APPENDIX E
Archeological records search of the Berrenda Mesa property -
L- .. . . ,.. ..,...... c2j i lo;" j a .... :.:I .:::..: T,,,a,o Bakorsiicld C:flcgc ...... c@flter ...... s E? 2 :I 1363 1801 Fanorama Ori jeoicgic31 :.:::;:I:::.. . ~ .. ~.~.. . . Bakersfield. CA 93: (805) 3951191 4 &F,,L,,,, , 'LC~~ Pro j ec t : Groundwater ~lechar~eErtxzctionPmiect for Berrendt Xesa Water District. Location: T.xR. - 26~ Section(s)J, & 2 County Kern U.S.G.S. Quads: Stevens 7.5' USGS Touo-hic man. Requested by : Phflin L. wamer/~eedshill-~erekenhoff , MC. 1775 Market Street San Francisco, CalFfornia 94107 Phone (41 5)626-2070 Natural Environment: -x Valley Floor -Foothills -Mountain -Gesert -Other Historical Xodifications: -Agriculture -. !Jrban -Mining -Other -X Unknown Ethnographic Groups: Southern Valley Yokuts Group. Previous krchar~lcqicalStuiles: None recorded within ~roposedproject area. Surrers have been recorded adiacent to and uithin close r-wximitv to the mjec :Recorded Archaeological Sites : None recorded within umiect area. Five ulus . arct-aeolo~idlsites, previouslv recorded, exist uithin a threemile radius of the proiect baundarv. National P.egister PZop~rties: None prehistoric Complexes: None Special Resezrch Prcblems: None . . c i Area Sensitivity: XHigh -X Moderate .-' LOW -Unknown : ~dditional Conlmrnts: Project area is situated within similar envimmd setting. suwportive of aboriainal sites and/or c-. An- survey is.recommended ibrto d~-s'the n nfnv Resources. - . . i Roberr A. Schiffpn By : Jim IJli/~taffArchaeolonist [ Coordinator . *:-La+. -- t -. -= * -. .- APPENDIX F Ground Water Quality Data 1993 Emergency Ground Waicr Rccovcq Prog-arn SUMMARY OF WAER QUALITY IN PUMPING \YELLS KCWA 2 KCWA 3 KCWA 4 Dmonof Row 1991 Emcqenq Ground Water Rccovcq Pnxgmm SUMMARY OF WATER QUALITY IN PUMPING WELIS Dau: fsb 5. 1992 WcU Lntron 30S/UE09A01 XS/ZZEA9J01 MS/ISE12Wl XS/ZSEllAOI YJS/ZSEIlUl 30S/UE10001 Well Name DWR DWR D WR DWR DWR DWR flow 0 0 0 0 0 0 Dimrnl~of Flow 0 0 0 n n n 199X Emcqcncy Ground Water Rccovcr?. Program SUMMARY OF WAlER QUALITY IN PUMPING WELLS Darc Fcb + 192 1991Emcrq.cncy Ground Watv Recover?. Rqmm SUMMARY OF WATER QUALfIY IN PUMPING WELLS Dale Feb 5. 1992 1 WcU Lmtron 30SIZE-l7FUl M5/UE18P01 30SNElER[Il 30Sj26E09F~l 30S/ZSE09D1 ~5/~1E09001 WtUNamc DWR WELL DWRWEIl. DWRWUL KCWA9 BV2-9E BVI-9C Flew 0 0 0 0 0 Dirarrnof Flor 0 0 0 0 0 1992 Emagcnq Ground Water Recovery Rogram SUMMARY OF WATER QUALITY IN PUMPING WELLS Dale: Fcb 5. 1592 -- ca*lrnphewrn I I I I I I LCD < 1 c1 c 1 I < 1 < 7 C 1 L4S-n I < 1 I <1 I c 1 c 1 I c 1 I c 1 1 1991 Emcrgcncy Ground Water Recovcv Program SUMMARY OF WATER QUALITY IN PUMPING WELLS Date Fcb-. ..5 1W2 Well LoFluon X3S/LTE-24G01 MStZ4EZ4A01 30S/25L19M1 30SIZSE08P01 MS/26EZlWl 30S/Z5E24H01 Well Name OLCESE8 DWR-24A1 DWR-19Gl DWR4PI DWR-2101 OL(ESE7 ma I. 1991 Em~qGround Water Rccovcry Rqnm SU~MARYOF WATER QUALITY IN PUMPING WELLS Datr Fcb 5. 1991 MAGNESIUM I i.22 MANGANESE c .m MERCURY < .IN1 MBAS NIIRATE L7 0DORT.O.N. 4 . -~- ! -- -SR -FMI . . - IM .. . 1 c MS I SPECIFIC CONDUCTANCE I 640 CIS VFn c ,MI< -.-.-.. I - .- SODIUM I 1043 SrROKIIUM I SULFATES 715 TMAL DISSOLVED SOLIDS 416 HARDNESS 160 TURBIDITY 2 mc < .11M Rnmcrn ludL> CHLORDANE HEPTAMLOR HEPTACHLOR mxme LCD -- C 10.0 ~4s-v I c la 19% Ernetgcnq Ground Water Recovery Ragrrm SUMMARY OF WATER QUALITY IN PUMPING WELLS Datr Fcb 5.1992 well Loauo. WeliNMe NCatGAq Flw Dbnof Fla APPENDIX G Sensitive Species Wildlife Survey of Pioneer and Berrenda Mesa property, portions of Sections 1,4, and 11 - Pose 32 Long Term Warrr Suppty Rojen DcscnpMn William J. Vanherweg 332 NDK~stin. ~d. Senior Biologist Baksntield. California 93309 - - - I8051 8390375 FAX 18051 322-8056 29 September 1995 Mr. Kane Totzke Kern County Water Agency 3200 Rio Mirada Dr. P.O. Box 58 Bakersfield, CA 93302-0058 Dear Kane: As you requested. I have completed a baseline sensitive wildlife species survey at the North and South Pioneer. Berrenda Mesa Water Recharge Basins and the Castle and Cooke Exchange Properties. I consulted with Ms. Jody Brown of the United States Fish and Wildlife Service and Mr. Dale Mitchell of the California Department of Fish and Game to determine the intensity of the surveys. Figure 1 shows current land- use conditions and sensitive resources that I found on the properties. General descriptions of the parcels are as follows: North Pioneer Property - Most of this parcel is currently under water and supporting a wide variety of waterfowl. All lands being used for water recharge were farmed prior to being flooded. Sensitive resources include: fresh tracks of kit foxes (Vuipes macroris murica) (Figure 1). and three potential kit fox dens along the southern boundary of the parcel. A small area along the southern boundary is natural habitat disturbed by oil well development. The present value of the property to sensitive wildlife species would generally be limited to use for foraging. The Cross Valley Canal right-of-way (Figure 1I is not pan of the project and not included in the survey. Mr. Kane Totzke 23 September 1995 Page 2 South Pioneer and Berrenda Mesa Property - These properties are currently under water or are being farmed (Figure 1). All lands being used for water recharge were farmed prior to being flooded. I found no sign of kit foxes during my cursory survey, however, foxes from adjoining properties probably forage on the,property. 1 suspect the kangaroo rats along the northern boundary of the Berrenda Mesa ponds (Figure 1) are Heermann's kangaroo rats (Dipodomys heermanni). The present value of the property to sensitive wildlife species would be use as foraging habitat. The Kern River Canal and Southern Pacific Railroad right-of-ways (Figure 1) are not part of the project and not included in the survey. Castle and Cooke Exchange Property - With the exception of approximately 60 acres in Section 1 (Figure 1) (part of the secondary flood plain of the Kern River). these properties are currently being farmed. I found no sign of kit foxes during my cursory survey, however, foxes from adjoining lands probably forage on the property. The kangaroo rat burrows shown in Section 4 (Figure 1) are along the edge of the properry in an area that has not been disturbed by the farming operation. I found no evidence of blunt-nosed leopard lizards (Gambelia Sila) or San Joaquin antelope squirrels (Ammospermophilus nelson11 at either location. If you have any questions please feel free to give me a call at (805) 839-0375 or 324-3584. Sincerely, William J. Vanherweg Senior Biologist --.--, . .-,--..-- ., , . . . , . . , . , , . , ...... , , , , , , , , , . . . . . , , . , , , . , , , , , , , , , , , , , , , , , , , , , in River Canal T336. R X3E. MDWM Kern WarBak Flgure 1. Baseline land-use and TB E SpeCles status on theNorth &South Pioneer, Berrenda Mesa wdlel recharge lands and Castle B. Cooke Exchange Lands, September 1995. APPENDIX H ' Pioneer Joint Operations Agreement AGREEMENT NO. THIS AGREEMENT is made and entered into on , 1996, by and between the ClTY OF BAKERSFIELD, a chartered mun~cipalcorporation, referred to herein as "CITY," and KERN COUNlY WATER AGENCY, a special act public entity, referred to herein as "AGENCY." RECITALS A. CITY owns certain contiguous parcels of real property situated within and along the natural channel of the Kern River located west of CIM between Buena Vista Road and Interstate "5, consisting of approximately 2,800 acres, which is commonly referred to as the "2800 Acres" ("2800 Acres" herein), and more fully shown on Exhibit "A attached hereto and incorporated herein by reference: and 8. CIM, since 1976, has operated a water spreading and recovery project on the 2800 Acres ('City Project" herein), the primary use of which is for the spreading. percolation, storage, banking and recovery of CITY owned Kern River water for use by its citizens and residents to meet the demands and services required of those citizens and residents, including, but not limited to, drinking water; and C. ClTY has heretofore entered into contracts with Olcese Water District, Buena Vista Water Storage District ('Buena Vista" herein), and AGENCY, for use of the 2800 Acres, which provide for the spreading. percolation, storage, banking and recovery of various waters (including Kern River water. Friant-Kern and State Water Project water) owned by said contractors; and D. AGENCY owns certain noncontiguous parcels of real property situated adjacent to the 2800 Acres, consisting of approximately 2.253 acres, which is commonly referred to as the "Pioneer Property." and which is more fully shown on Exhibit "A," attamed hereto and incorporated herein by reference; and E. AGENCY plans to develop and manage a water spreading and recovery operation on the Pioneer Property, as well as other locations on the Kern River alluvial fan. and establish a Project ("Pioneer Project" herein), the primary use of which is for spreading, percolation, storage, banking and recovery of Kern River and other water owned by the AGENCY and certain member units ('Pioneer Project Participants" herein) which, as of this date, include Buena Vista. Henry Miller Water District, Kern Delta Water District, Rosedale-Rio Bravo Water Storage District. Wheeler Ridge-Maricopa Water r--n*grr**gr- (AWISLwAPERUGRI\RONEER DR3 Page 1 of 16 Pages -m I- - - - Storage District, TejonGastac Water District. Semitropic Water Storage District, Lost Hills Water District, Belridge Water Storage District, Berrenda Mesa Water District and Improvement District No. 4 of the AGENCY ('ID4 herein); and F. CITY and AGENCY acknowledge that the operation of their projects may have an impact or influence on the project of the other for which reason both parties desire, by this Agreement, to determine and provide certain reciprocal operating criteria which will avoid. to the greatest extent practicable, future conflicts; and G. AGENCY has entered into an agreement with the Pioneer Project Participants concerning the operation of the Pioneer Project entitled "Pioneer Project Participation Agreement," a copy of which is attached hereto as Exhibit "D." and incorporated herein by this reference; and H. AGENCY has executed a "Transfer and Exchange Agreement" with the Kern Water Bank Authority (Exhibit "E").Exhibit 3 (Declaration of Covenants. Conditions and Restrictions) of which provides for, among other things, the AGENCY and its Member Units to use the capaaty of the Kern Water Bank that is determined to be surplus by the Board of the Kern Water Bank Authority, and it is on that basis that the Kern Water Bank is included in the Project Area described below. The Kern Water Bank Authority has entered into a Memorandum of Understanding with Adjoining Entities regarding the operation and monitoring of the Kern Water Bank; and 1. CITY completed an Environmental Impact Report for the 2800 Acres in 1983. and has operated the City Projed under this Environmental Impact Report since that time; and J. CITY and AGENCY believe it is to the mutual benefit of both parties that incentives be developed to increase recharge in the Kern River Channel to improve water management and the urban environment of the metropolitan Bakersfield area. NOW, MEREFORE, incorporating the foregoing recitals herein. CIM and AGENCY agree as follows: 1. PARTIES. a. CITY exeartes this Agreement as the owner and operator of the 2800 Acres (City Project) and other CITY-owned facilities required under the operation of this Agreement. b. AGENCY executes this Agreement on behalf of itself and on behalf of each of the Pioneer Project Participants identified in Recital E above. each of whom have consented in writing to be bound by the terms and provisions of this Agreement as *mCoumwnrr*ro")lrmn IAW~S WLERACR~EER073 Page 2 of 16 Pages --I= - -- it affects the Pioneer Project only. For purposes of this Agreement, the term "AGENCY shall mean the Kern County Water Agency and the Project Participants (identified in Recital E above), unless otherwise specified. 2 NO ALTERATION. Nothing in this Agreement shall change or supersede any previous agreement between any party hereto, unless specifically set forth herein. 3. PROJECT AREA The Project Area shall be defined as the 2800 Acres, the Kern River Channel easterly from the 2800 Acres extending to the Rocky Point Weir, the Pioneer Property (including portions of the existing James and Pioneer Canal systems) and Kern Water Bank. The recharge areas of said facilities are located as shown on the map attached hereto as Exhibit "0," which is incorporated herein by this reference. Unless othetwise stated, the combined area of the 2800 Acres, the Kern River Channel easterly from the 2800 Acres extending to the Rocky Point Weir, the Pioneer Property (including portions of the existing James and Pioneer Canal systems) and the Kern Water Bank shall be referred to as the "Project Area" for purposes of this Agreement. 4. TlONSHlP TO ENVIRONMFNTAL STUDIFS. This Agreement shall become a part of any Environmental Impact Report. Negative Declaration, or other environmental document prepared by the AGENCY for the Pioneer Project. New urban developments in unincorporated areas of the County utilizing the AGENCY'S reserved capacity in the Pioneer Project will require additional environmental review for such developments before implementation. 5. USE OF FACILITIES. a. Kern River Canat. For purposes of this Agreement. the CITY owns and controls theKern River Canal and structures appurtenant thereto, including headgates diverting water therefrom, and has the right to operate said facilities at CITY'S sole discretion subjed only to existing rights of third parties arising by law or contract. Subject to the rights of CITY and the rights of any other entity under the 1W Amendment to the Miller-Haggin Agreement, or other CITY contracts, AGENCY may use the River Canal for transportation of water to be diverted into the Pioneer Property or Kern Water Bank. AGENCY acknowledges that any AGENCY request for delivery downstream of the terminus of the River Canal must be coordinated and verified with Buena Vista. b. Pioneer Canal. For the purposes of this Agreement, the CIM owns andfor controls the Pioneer Canal from and including the headgate westerly to the Stockdale Highway bridge overcrossing subject only to existing rights of third parties arising by law or contract, and CITY shall continue to operate said portion of Pioneer Canal subject to available capacity as determined by CIM. AGENCY may make arrangements to use the Pioneer Canal, which includes reaches downstream from the Cross Valley Canal, for recharge, banking, and for transportation of AGENCY water to be diverted into the Pioneer Property or Kern Water Bank. m"m3.x"w-*prr*.pr- --=llMlS IwITEIIUCR~EER ,I DR3 - Page 3 of 16 Pages - c. 2800 Acres. The CITY owns and controls the 2800 Acres (City Project). The CITY and AGENCY have heretofore entered into an agreement providing for AGENCY use of the 2800 Acres under certain terms and conditiw, to wit: Agreement No. 84-232 dated October 17, 1984. Said agreement will expire on July 1. 2012, subject to an option to extend for an additional period of twenty (20) years. A copy of said Agreement No. 84-232 is attached hereto as Exhibit "Fand incorporated herein by this reference. This Agreement neither replaces nor amends Agreement No. 84-232 but merely supplements the same. In the event of any conflict between this Agreement and Agreement No. 84-232, Agreement 84-232 shall govern. AGENCY acknowledges that any AGENCY request for conveyance of water past Second Point of Measurement in the Kern River Channel, located in the northwest quarter (NW 114) of Section 24. Township 30 South, Range 25 East, M.D.B. 8 M.. must be coordinated with Buena Vista. (1) The ClTY shall permit AGENCY to utilize the 2800 Acres for transportation of AGENCY water to the Pioneer Property and the Kern Water Bank subject to available capacity as determined by ClTY with the following provisions: (a) AGENCY water supply spread or recharged in the 2800 Acres as a result of transportation of AGENCY water via the 2800 Acres will be recorded as spread in the Pioneer Property, the 2800 Acres andlor the Kern Water Bank as determined by the AGENCY. (b) ClTY charges to AGENCY for water spread under this provision will consist of the Operations and Maintenance fee and Facilities Improvement Component of the Spreading Fee as set forth in Agreement No. 84-232. for the Pioneer Project and Kern Water Bank accounts. (2) ClTY shall permit AGENCY access to the 2800 Acres for the purpose of construction of turnout facilities at AGENCY expense which may divert from the 2800 Acres onto the Pioneer Property and the Kern Water Bank. Any plans for such construction shall be delivered to CITY by AGENCY in writing prior to the date of commencement of said construction. CITY shall have final approval of any plans or specifications. Upon completion of construction to the satisfaction of CITY. AGENCY will convey any such structure or turnout to CIM and CIM shall thereafter own, operate and maintain the installed facilities. For the term of this Agreement. AGENCY shall have first priority to use any facilities constructed by it pursuant to, this paragraph and shall pay operation and maintenance charges only (i.e.. AGENCY shall not be required to pay a capital component or replacement charge). - Page 4 of 16 Pages - d. Kern River Channel. For the purposes of this Agreement, the CIM mtrols the operation of a major portion of the Kern River Channel downstream of Rocky Point Weir, extending to the Interstate "5" crossing of the Kern River Channel subject to the rights of third parties arising by law or contract. Use of said portion of the Kern River Channel by AGENCY shall be governed by the following: (1) AGENCY may deliver water into the Kern River Channel at points easterly of 2800 Acres for spreading and banking purposes; however. AGENCY shall be responsible for determining the accounting for such water, induding designation of project accounts and related recharge losses. CIM shall have access to such accounting records.. (2) Use of the Kern River Channel by AGENCY for spreading and banking purposes shall not diminish or interfere with ongoing AGENCYlID4 spreading operations, and for the purpose of this Agreement, the ID4 spreading operation shall not be considered banked within the ID4 boundaries, unless otherwise agreed to between the ClTY and the Kern County Water Agency on behalf of ID4. Also, deferral of ID4 spreading operations to allow for banking by another entity shall not be deemed to diminish or interfere with ID4 spreading operations as long as the deferred quantities are eventually spread in lD4. (3) To encourage use of the Kern River Channel upstream of the 2800 Acres at times the Kern River Channel would otherwise be dry, ClTY may, by mutual agreement with AGENCY. request delivery of AGENCY water into the Kern River Channel at points easteriy of the 2800 Acresthat, absent such request, would otherwise be spread by AGENCY in the 2800 Acres, Pioneer Property or Kern Water Bank. ClTY shall reimburse AGENCY for the actual cost increase, if any, necessary to deliver AGENCY water into the Kern River Channel as set forth herein. (4) The Statement of Principles for the Establishment of a Water Recreation and Recharge Program for the Kern River Parkway adopted by the Water Board for the CIM and Kern County Water Agency on is included herein by reference as though fully set forth. -- Page 5 of 16 Pages - e. QDeratlons. CITY may operate the Kern River Canal, the Pioneer Canal at its point of diversion from the Kern River Ch'annel, the 2800 Acres and the Kern River Channel for the benefit of the AGENCY, subject to available capacity as determined by ClTY and the rights of third parties arising out of law or contract, and with the following understandings: (1) The cost to AGENCY for use of ClTY facilities shall be as described in certain preexisting agreements which are incorporated by reference herein, as follows: (a) For use of the Kern River Canal - 1964 Amendment to the Miller-Haggin Agreement dated January 1. 1964; and (b) For use of the 2800 Acres to transport AGENCY water - Agreement No. 84-232 dated October 17, 1984; and (c) For use of the Kern River Channel to bank in the 28M) Acres - Agreement No. 84-232 dated October 17, 1984; provided. however, the operation and ma~ntenancefee and Facility Improvement Component of the Spreading Fee shall not apply to water spread in the Kern River Channel easterly of the 2800 Acres; and (d) For use of the Kern River Channel to bank for the Pioneer Project and Kern Water Bank accounts, no fee shall apply; and (e) For use of the Pioneer Canal - Agreement No. 93-1 58 dated August 25, 1993 (a copy of which is attached hereto as Exhibit "G." and incorporated herein by this reference). f. Waiver of Charaes. CIW may waive any or all of the aforementioned charaes to the extent that AGENCY has spread water, after giving advance written notice to thk CITY, for overdraft correction rather than storage for later sale, assignment or extraction. g. Pavment of Charaes. All charges herein are due and payable by AGENCY to CITY forty-five (45) days after the mailing of the notice that such charges are due to CITY. No oversight by CITY in making such demand shall relieve AGENCY from such payments. L~w-lprmA~ IAM~S "NATERUG~~WONEERcR3 -= +,s - - Page 6 of 16 Pages - 6. PRIORITY FOR USF AGENCY hereby grants to ClTY a first right of refusal to use any and all unused recharge and recovery capacity of the Pioneer Project after the AGENCY and Kern County Water Agency Member Units. CITY'S right shall, at all times, be subject to the first priority rights of AGENCY and Kern County Water Agency Member Units and shall further be subject to the payment of all fees and compliance with all rules, regulations, restridions and limitations applicable to such use by AGENCY and its Member Units. 7. -. WTR a. Qualitv Enhancement. CITY and AGENCY agree to operate their respective projects in such manner so as to maintain and, when possible, enhance the quality of groundwater in the basin underlying the Project Area. To this end, each party agrees to make a good faith effort to meet the following objectives: (1) If supplies of acceptable recharge water exceed recharge capac~ty,all other things being equal, recharge priority should be given to the purest or best quality water. (2) Each project should be operated with the objective that the average concentration of total dissolved salts in the recovered water will exceed the average concentration of total dissolved salts in the recharged water. The average shall be calculated for a given project from the date of filing notice of determination to proceed with such project under the California Environmental Quality Act. (3) To maintam or improve groundwater quality, recovery operations should extract poorer quality groundwater where practicable. Blending may be used to increase extraction of lesser quality groundwater unless doing so will exacerbate problems by generating unfavorable movement of lesser quality groundwater. (4) All parties to this Agreement should attempt to control the migration of poor quality groundwater. Problem areas may be dealt with by limiting or terminating extractions that tend to draw lesser quality groundwater toward or into the useable groundwater areas, by increasing extractions in areas that might generate a beneficial gradient, by increasing recharge within the useable groundwater area to promote favorable groundwater gradient, and the like. -.Page 7 of 16 Pages - (5) Recharge should not ocav in, on or near contaminated areas, nor should water be spread in, on or near an adjoining area if the effect will be to mound water near enough to the contaminated area that the contaminates will be picked up and carried into the uncontaminated groundwater supply. (6) Within the Project Area, the parties may recharge Kern River and other high quality waters as high on the Kern River Fan as possible and may recharge State Water Project water as far to the west as possible, through reciprocal use of facilities if necessary, in order to enhance water quality in the upper Kern River Fan area. b. Hvdraulic Gradient. In addition to the foregoing, the parties agree to use best efforts in operating their respective projects to maintain a hydraulic gradient which slopes away from the Kem River Channel within the Project Area. Such efforts may include, but are not limited to, prioritizing recharge..along the Kern River Channel within the Project Area, limiting operation of recovery wells within the Project Area, and active monitoring of water levels. 8. OPERATING CRITERIA. a. RecharoePrioritv.In order to preserve the historical high quality groundwater supplies underlying the Kem River Channel, it shall be the goal of the parties to this Agreement to maintain a positive hydraulic gradient sloping away from the existing mound underlying the Kern River Channel. In recognition of this goal, AGENCY agrees that. at those times when water is not otherwise being recharged in the 2800 Acres ClTY may call for up to twenty percent (20%) of water scheduled by AGENCY for spreading andlor banking purposes on the Pioneer Property to be spread in the 2800 Acres. Said recharge delivery will be monitored, reviewed and coordinated on a daily basis by CITY and AGENCY contact person. Water spread by AGENCY under this provision may be conveyed from North Pioneer to the 2800 Acres by gravity through a turnout to be constructed by the CITY. Water recharged in the 2800 Acres under this provision shall be credited to the accounts of the Pioneer Project Participants and not subject to ClTY fees. ClTY shall reimburse AGENCY for the actual cost increase, if any, necessary to deliver AGENCY water as set forth herein. b. Use of Easement. The CITY and AGENCY have entered into a permanent agreement providing for an easement across CITY-owned property, to wit: Agreement No. 93-158 dated August 25. 1993. ClTY hereby consents to the assignment of said agreement as necessary to enable the AGENCY to use said easement in connection with its operation of the Pioneer Project if necessary. - Page 8 of 16 Pages - c. Recoverv Area. The AGENCY has developed a recovery plan for the Project Area that will afford maximum recovery capability within the Project Area while minimizing adverse impacts to others within the Project Area or other areas adjacent thereto. A copy of the map showing the recovery area is attached hereto as Exhibit "C," and incorporated herein by reference. d. Adverse Im~actAvoidancelMitiaation. With Monitoring Committee oversight, each project should be operated so as to prevent, eliminate or mitigate significant adverse impacts. Mitigation measures to prevent significant adverse impacts from occurring include, but are not limited to, the following: (1) Limit recovery from wells situated on Pioneer Property to water previously spread and banked on the Pioneer Property (including portions of the existing James and Pioneer Canal systems), the Berrenda Mesa property, the Kern Water Bank. the 2800 Acres and/or the Kern River Channel easterly of the 2800 Acres: (2) In any given year, the recovery from the Pioneer Projed shall not exceed the total quantity of AGENCY water previously spread and/or banked less that amount of water previously recovered on the Pioneer Property (including portions of the existing James and Pioneer Canal systems), the Berrenda Mesa property. the 2800 Acres, the Kern River Channel easterly of the 2800 Acres, and any water recharged on the Kern Water Bank via the Pioneer Property. (3) Expand the recovery area to include areas located westerly of the Pioneer Property; (4) Maintain a positive bank account balance at all times; (5) Provide buffer areas between recovery wells and neighboring overlying users; (6) Limit the monthly, seasonal and/or annual recovery rate; (7) Provide sufficient recovery wells to allow rotation of recovery wells or the use of alternate wells; (8) Adjust pumping rates or terminate pumping to reduce impads. if necessary; - Page 9 of 16 Pages - (9) Impose time restrictions between recharge and extraction to allow for percolation of water to the aquifer; and (10) Provide recharge of water that would not otherwise recharge the Project Area. e. Com~ensationfor Adverse Imoacts. Mitigation measures that comDensatq for unavoidable adverse impads include, but are not limited to, the following; (1) With the consent of the affected overlying user, lower the pump bowls or deepen wells as necessary to restore groundwater extraction capability to such overlying user; (2) With the consent of the affected overlying user, provide alternative water supplies to such overlying user; and (3) With the consent of the overlying user. provide financial compensation to such overlying user. f. Well Soacinq. New wells shall be placed no closer than one-third (113) mile from any existing wells located off the Pioneer Property; 9. Additional CITY Wells. AGENCY acknowledges that CITY has heretofore planned to mnstrud three (3) wells in the 2800 Acres to be situated in Sections 9, 10 and 16 of Township 30 South, Range 26 East, M.D.B. 8 M., and AGENCY agrees to provide well spacing of at least one-third (113) mile from said planned wells. h. J osses. Losses will be applicable to all water spread under this Agreement and at a minimum shall be assessed as follows: (1) Surface recharge losses shall be fixed and assessed at a rate of six percent (6Oh) of water diverted for recharge. (2) An additional five percent (5%) loss shall be assessed against any water diverted to the Project Area for banking by, for or on behalf of any out-of-County person, entity or organization andlor against any banked water sold or transferred to any out-of-County person, entity or organization. -Page 10 of 16 Pages - (3) Effective the date of this Agreement and except as otherwise limited by prior agreement, losses assessed under this Agreement represent amounts of water that are non-bankable and non-recoverable by ClTY or AGENCY. I. Definitions Aoolicable to Fees and Charaeg. To provide for uniformity with respect to fees and charges under this Agreement, it is agreed as follows: (1) Operations and maintenance fees and facility improvement fees shall be charged against total diversions into the facility (i.e.. the amount of water diverted before losses). (2) Spreading fees shall be charged against net water recharge. Net recharge shall be understood to be the total amount of water spread, less losses. (3) Recovery or extraction fees shall be charged against total water recovered. j. Friant-Kern Canal Flood Flow. The parties agree that the first priority of Friant-Kern flood flows that spill into the Kern River Channel shall be to estatilish and maintain a continuous (uninterrupted) stream channel from the terminus of the Friant-Kern Canal to the Kern River Intertie. Said continuous stream flow shall be dedicated to overdraft correction of the groundwater basin. k. Deliverv Point of AGFNCY Water. Except as provided in the 1964 Amendment to the Miller-Haggin Agreement, the delivery point for all Kern River water pertaining to operation of this Agreement owned or acquired by AGENCY shall be at the diversion point of the Beardsley Canal from the Kern River or, at the option of AGENCY. at other points of delivery downstream on the Kern River so long as AGENCY accepts all losses and costs associated with transportation of such water between the Beardsley Canal point of delivery and the other delivery point requested by AGENCY. AGENCY will be permitted to take delivery of all or portions of its Kern River water through the Carrier Canal during periods Mien CITY determines that sufficient ClTY capacity is available and ClTY and AGENCY agree to the time, place, duration and cost of such deliveries. 9. COORDINATION AND RECORD KEEPING. a. Coordination. The AGENCY is responsible for the day-today operation of the Pioneer Project. The AGENCY will designate a contact person to coordinate AGENCY activities wth the CITY. Water deliveries to the Project Area via the Kern River Channel or via any CIM-owned facility shall be regulated through CIM operation and shall be scheduled forty-eight (48) hours in advance through the CIM ~~nr*rY.~~~ Irwbs !w41EauUrSU?QMERERDR3 -= 7- - Page 11 of 16 Pages - Water Dispatcher by the AGENCY contact person. Unless otherwise agreed. the AGENCY contact person shall meet regularly w~thCITY to coordinate Pioneer Project operations. Delivery and recovery of water to and from the Kern Water Bank shall be coordinated by the AGENCY with the manager of the Kern Water Bank. b. Records. The CITY will be responsible for, and shall maintain records of all points of diversion from the Kern River Channel and CITY-owned canals arising from operation of this Agreement. The AGENCY shall have access to such records. The AGENCY contact person will provide such assistance and information as is necessary for ClTY to meet its obligations hereunder. 10. MONITORING COMMITTEE. The Pioneer Project Participants have consented to formation of a Monitoring Committee composed of representatives of such Pioneer Project Participants. The Monitoring Committee is charged with the duty and responsibility of reviewing project operations and activities, of making recommendations with respect thereto to insure compliance with the project objectives, and of providing a forum for dispute resolution. The CITY agrees to cooperate with the Monitoring Committee through contribution of records, identified herein, and 2800 Acre recharge and recovery data, collected by CITY, which will be supplied in the normal course of business. 11. QVERDRAFT REDUCTION. All parties to this Agreement agree that the use of the Pioneer Properly shall not cause or contribute to overdraft of the groundwater basin. In this connection, any consumptive use of water on the Pioneer Properly which exceeds .3 acre-feet per care on an acre-by-acre basis shall be provided from supplemental surface water or previously recharged water that does not create or contribute to overdraft. 12. NO CHANGE TO KERN RIVER RIGHTS. The Pioneer Project shall not change or affectrights to use Kern River water. Should any court of competent jurisdiction determine any use of Kern River water rights is affected by this Agreement, the parties shall meet and negotiate whatever mdiications are necessary to reestablish those rights which have been affected, or void any part, or all, of this Agreement necessary to re- establish said rights. The parties shall negotiate in good faith to maintain Kern River water rights whenever a modification or voiding of the terms of this Agreement becomes necessary. a. bdernnity. CITY and AGENCY agree to indemnify and hold each other harmless from any and all claims, demands, liabilities, losses or causes of action which arise by virtue of its own acts or omissions (either directly or through or by its agents, officers, or employees) to such extent and in such part as the respective parties are found by reason of law to have proximately caused the injury or damage. LI.tanllW*~Yrr*~ ,A~\WITEWR~EDIm3 - Page 12 of 16 Pages - -I.- X) (,s b. Notice of Claim. The party against whom any claim arising fmany subject matter of this Agreement is filed shall give prompt notice of the filing of the claim to the other party. 14. FFFECTNE DATF This Agreement is effective the day and year first above written regardless of the date of actual execution. 15. NOTICES. All notices relative to this Agreement shall be given in writing and shall be personally delivered or sent by certified or registered mail, in which latter case service will be effective upon depositing in the United States mall. The parties shall be addressed as follows, or at any other address designated by notice given in the manner herein provided: CITY: CITY OF BAKERSFIELD WATER RESOURCES DEPARTMENT 1000 Buena Vista Road Bakersfield. CALIFORNIA 9331 1 AGENCY: KERN COUNTY WATER AGENCY P.O. Box 58 Bakersfield. CALIFORNIA 933024058 16. FORUM. Any lawsuit pertaining to any matter arising under, or growing out of. this Agreement shall be instituted in Kern County, California. 17. ASSIGNMENT. This Agreement shall not be assigned by CIlY or AGENCY, without the prior written consent of the other. 18. EIJ4DING EFFECT. The rights and obligation of this Agreement shall inure to the benefit of, and be binding upon, the parties to the agreement and.their heirs, administrators, executors, personal representative. successors and assigns. 19. CORPORATF AUTHORITY. Each party executing this Agreement represents and warrants that it is duly authorized to execute and deliver this Agreement on behalf of the organization named herein and that this Agreement is binding upon said organization in accordance with its terms. 20. WANFR OF DEFAUIJ. The failure of any party to enforce against another a orovision of this Aoreement- shall not constitute a waiver of that party's. - right to enforce such a provision at a later time, and shall not serve to vary the terms of this Agreement. -Page 130f 16 Pages- 21. MERGER AND MODIFICATION. All prior oral agreements or understandings between the parties with resped to the matters covered by this Agreement are incorporated in this Agreement which constitutes the entire agreement. Its terms are intended by the parties as a final expression of their agreement with respect to such terms as are included herein and .may not be contradicted by evidence of any prior or contemporaneous oral agreement. The parties further intend this Agreement constitutes the complete and exclusive statement of its terms and no extrinsic evidence whatsoever may be introduced in any judicial or arbitration proceeding involving this Agreement. This Agreement may be modified only in a writing approved by the City Council, the Agency Board, and signed by all the parties. 22. NEGATION OF PARTNERW. No party shall become or be deemed a partner or joint venturer with any other party or associate in any such relationship with any other party by reason of the provisions of this Agreement. AGENCY shall not for any purpose be considered an agent, officer or employee of CllY, and CITY shall not for any purpose be considered an agent, officer or employee of AGENCY. 23. ACCOUNTING RECORDS. All parties shall maintain accurate accounting records and other written documentation pertaining to all costs incurred in performance of this Agreement. Such records and do&mentacon shall be kept at each party's oftice during the term of this Agreement. Said records shall be made available to CTP( or AGENCY representatives upon request at any time during regular business hours. 24. FXHIBITS. In the event of a conflict between the terms, conditions or speufications set forth in this Agreement and those in exhibits attached hereto, the terms, conditions, or specrfications set forth in this Agreement shall prevail. All exhibits to which reference is made in this Agreement are deemed incorporated in this Agreement, whether or not actually attached. 25. FNVIRONMFNUI QUAI IT)!. The CITY has various environmental concerns relating to the Pioneer Project which have been addressed to the Cms satisfaction in this Agreement; however, the CITY does not warrant or guarantee the environmental quality of the Pioneer Project and does not warrant or guarantee the Pioneer Project will be w~thoutenvironmental effects. 26. m. The term of this Agreement shall be the same as the term of the Agreement No. 84-232. 27. AUTHORSHIP. It is understood and agreed that this Agreement is the product of negotiation between the parties, with each party represented by independent counsel of its choice and each party's counsel contributing to the drafting hereof. In construing this Agreement, neither party shall be deemed its author. mcarw.a*srr*A~- 110015 (WITERUGRSWONW OR3 0.P.s. 1,,. - Page 14 of 16 Pages - IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day and year first above written. "CITY" "AGENCY" By: By: BOB PRICE Mayor Title: Title: APPROVED AS TO CONTENT: APPROVED AS TO FORM: WATER RESOURCES DEPARTMENT By: By: GENE BOGART Attorney for AGENCY Water Resources Manager APPROVED AS TO FORM: JUDY K. SKOUSEN City Attorney By: ALAN D. DANIEL Assistant City Attorney COUNTERSIGNED: GREGORY J. KLIMKO Finance Director - Page 15 of 16 Pages - PIONFrR PROJFCT JOINT OPFRATW AGRFFW LIST OF EXHIBITS AND ATTACHMENTS Exhlbits Exhibit 'A" - 2800 Acre Recharge Facility and Pioneer Property Exhibit 'B" - Project Area Recharge Map Exhibit 'C" - Project Area Recovery Map Exhibit 'D" - Pioneer Project Participation Agreement Exhibit 'E" - Exhibit 3: 'Declaration of Covenants, Conditions and Restrictions" of the 'Transfer and Exchange Agreement" between the Kern County Water Agency and the Kern Water Bank Authority. Exhibit 'F" - CIMIAGENCY Agreement No. 84-232 Exhibit 'G' - CIMIAGENCY Agreement No. 93-1 58 - Page 16 of 16 Pages - APPENDIX I Kern Water Bank Transfer and Exchange Agreement TRAh'SFER AND EXCHANGE AGREEMENT sf and Exchange Agreement ("Agreement") is entered into this (3ttz day of bp&~f1995, by and between Kern County Water Agency. a California public agency ("Agency"), and Kern Water Bank Authority, a California joint powers agency ("KWBA"). Recitals A. Agency has entered into. or contemplates entering into. that cenain "Agreement for the Exchange of the Kern Fan Element of the Kern Water Bank" by and between the Depanment of Water Resources ("DWR"), as Transferor. and Kern County Water Agency as Transferee (the "Master Agreement"). A copy of the Master Agreement is attached hereto as Exhibit A. B. Pursuant to the terms of the Master Agreement. Agency may transfer all or any portion of the property to be transferred to Agency pursuant to the terns of the Master Agreement. The panies hereto wish to convey a portion of such property to KWBA immediately upon the close of escrow under the Master Agreement. 'I'his Agreement is intended to be such an agreement as provided for in the Master Agreement. C. Agency and representatives of cenain other parties approved that certain document entitled "Implementation of the Monterey Agreement among the Kern County Water Agency, State Water Project Agricultural Contractors. and Member Units of the Kern County Water Agency" dated as of March 30. 1995 ("Implementation Agreement"). On March 30. 1995, representatives of the Agency and certain members of the KWBA namely. Dudley Ridge Water District, Wheeler Ridge Maricopa Water Storage District. Paramount Farming Company (in its capacity as predecessor-in-interest to Westside Mutual Water Company, LLC) and Cawelo Water District (which has withdrawn from the project) agreed to that certain document entitled "STATEMENT OF PRINCIPLES BY THE KERN COUNTY WATER AGENCY. ACTING FOR ITSELF AND ITS IMPROVEMENT DISTRICT NO. 4. DUDLEY RIDGE WATER DISTRICT, CAWELO WATER DISTRICT [SEMITROPIC WATER STORAGE DISTRICq,WHEELER RIDGE-MARICOPA WATER STORAGE DISTRICT AND PARAMOUNT FARMING COMPANY FOR THE DEVELOPMENT, OPERATION AND MAINTENANCE OF THE KERN FAN ELEMENT OF THE KERN WATER BANK" dated as of March 30, 1995 ("Statement of Principles"). This Agreement is intended to implement the Statement of Principles and those provisions of the Implementation Agreement penaining to the transfer of the Kern Fan Element of the Kern Water Bank from Agency to KWBA for the purpose of constructing and operating a groundwater recharging project (the "Project") on the Property. D. As pan of the Statement of Principles the Agency was authorized to approve the initial type and structure of a public agency to which the propeny would be conveyed and to this end, the Agency has approved rhe "Joint Powers Agreement for the Kern Water Bank Authority," dated October 16, 1995. and pursuant to such agreement the Kern Water Bank Authority was duly formed. E. Capitalized terms not otherwise defined herein shall have the meanins given to such term in the Master Agreement. In consideration of the mutual covenants contained herein. the panies a,Orer as follows: 1. Transfer and Exchanee of Proueny. 1.1 Agency hereby agrees to transfer and exchange to KWBA the following propeny (collectively the "Propeny"): 1.1.1 Approximately 19.890 acres of real pmpeny together with all Improvements (including the Monitoring Wells listed on Exhibit 1.8 of the Master Agreement) thereon located within Kern County, California. and other items of propeny (collectively, the "Real Property"). as more fully described in Ekhibit 1.1A hereto. The Real Propeny to be conveyed to KWBA generally consists of all of the lands to be conveyed to Agency under the Master A-meernent: but excluding approximately 573.18 acres located in the Rosedale-Rio Bravo Water Storage District. as more fully described in Exhibit 1.1B (the "Excluded Property "). 1.1.2 The Personal Propeny, and Propeny Rights associated with the Real Propeny, all as described in the Master Agreement. 1.2 In connection with and pursuant to the exchange for the Propeny. KWBA agrees to transfer or cause the transfer for and on behalf of KWBA of the following like-kind property: 1.2.1 The 45.000 acre-feet of "Retired Water Entitlemenr" referred to in Section 1.17 of the Master Agreement consisting of: (a) 36.340 acre-feet in the aggregate from the Table I Contract Entitlements of the Belridge Water Storage District, Lost Hills Water District. Semitropic Water Storage District. Tejon-Castac Water District and Wheeler Ridge Maricopa Water Storage Disuict in their respective long term member unit water supply contracts with the Agency; (b) 4.330 acre-feet of the Agency's allocation of annual entitlement to State Project water allocated to the Agency's 1mpkvement District No. 1: and. (c) 4,330 acre-feet from the Table A of the Entitlement of the Dudley Ridge Water District set forth in its long term water supply contract with the State. 1.2.2 Transfer to Agency all rights of KWBA to the supply. to the lands described in Exhibit 1.2.2 attached hereto. of water from Belridge Water Storage District (such rights having been exchanged and transferred to KWBA from Westside Mutual Water Company ("Westside"). 1.2.3 Transfer to Agency all rights of KWBA to the supply. to the lands described in Exhibit 1.2.3 attached hereto. of water from Lost Hills Water District (such rights having been exchanged and transferred to KWBA from Westside). 1.3 The transfer and exchange shall be subject to each of the terms and conditions provided for in this Agreement. 1.4 Agency shall take title to the Propeny from DWR. and immediately thereafter convey the Propeny to KWBA. KWBA shall accept title to the Propeny in the manner required by law. 1.5 The transfer and exchange contemplated by this section shall be consummated through an escrow at Chicago Title Insurance Company. 4700 Stockdale Highway. Bakersfield, California. as provided in Section 4 hereof. Prior to close of escrow. KWBA and Agency shall execute. acknowledge as necessary and deposit with the escrow holder for delivery at closing the following documents: 1.5.1 Agency shall transfer fee simple title to the Real Propeny to KWBA by executing, acknowledging and recording a Deed (the "Deed") in the form attached to this A-g-eement as Exhibit 1.5.1; 1.5.2 The Agency shall transfer title to the Personal Propeny to KWBA by executing a Bill of Sale in the form attached to this Agreement as Exhibit 1 .5.2 ("Bill of Sale"). (or such other appropriate instrument of conveyance conveying title to any ponion of the Propeny which can nor be transferred by deed). 1.5.3 Agency shall transfer and assign all of Agency's rights in and to the Propeny Rights to KWBA by executing a recordable Assignment of Propeny Rights ("Assignment of Pmpeny Rights") in the form attached to this Agreement as Exhibit 1.5.3. 1.5.4 Agency shall transfer to KWBA all of Agency's right. title and interest in and to the Leases and any security deposits by executing the Assignment of Leases and Security Deposits in the form anached hereto as Exhibit 1.5.4. 1.5.5 KWBA shall effect the transfers described in Sections 1.2.1. 1.2.2 and 1.2.3 pursuant to an Assignment in the form attached to this Agreement as Exhibit 1 s.5. 1.5.6 KWBA and Agency shall cause to be effected the transfer of the Retired Water Right Entitlement described in Section 1.2 by appropriate amendments to the SWP water supply COIItIaCtS between Agency and the subject water disuicts and water storage districts (collectively the "Water Supply Contracts Amendments"). Said districts referred to in Section 1.2.l(a) shall deliver to the Agency appropriate documents agreeing to execute and deposit with the escrow holder for delivery at closing of the Master Asreernent such amendments upon meeting the conditions to close the Monterey Amendments. 1.5.7 Prior to the close of escrow KWBA shall cause Dudley Ridge Water District to effect the transfer described in Section 1.2.l(c) by appropriate amendments to its water supply contract with the State (the "Dudley Water Supply Contract Amendment "). 1.6 Prior to the transfer and exchange of the Property. the Agency and KWBA shall execute and deposit with the escrow holder for delivery at closing an Assignment. Assumption & Indemnity in the form attached hereto as Exhibit 1.6. 1.7 Pursuant to the terns of the Master Agreement. DWR is paying the sum of Three Million Dollars (%3.000,000) to Agency in exchange for the assumption by Agency of the Known Environmenral Conditions and the Unknown Environmental Conditions, as defined in the Master Agreement. provided. however. in the event that hy close of escrow the Agency has identified Environmental Conditions associated with the Excluded Property, the reasonably estimated cost of remediation of such Environmental Conditions required under applicable law, up to but nor exceeding $80.000 of the $3,000.000. may be rerained by the Agency for such remediation. At the closing of the transfer and exchange of the Propeity to KWBA. Agency shall transfer such funds to KWBA. Such funds shall be restricted as provided in the Assignment. Assumption & Indemnity anached hereto as Exhibit 1.6. 1.8 Upon close of escrow. KWBA and Agency shall execute, acknowledge as necessary and deliver any other documents. instmments. data. records. correspondence or agreements required under this Agreement which have not previously been delivered. 2. Due Dilieence Review 2.1 KWBA acknowledges that it has reviewed. investigted. and approved in advance all matters contained in the Masrer Agreement and that. with respect to the hpeny. Agency relied on the approval and conduct of due diligence by KWBA in entering into the Master Agreement. The parties acknowledge that due to the "pass through" nature of the transactions contemplated in the Master Agreement and this Agreement, Agency will conduct no due diligence investigation of its own, and that KWBA in not relying upon any such investigation by Agency in taking the Propeny and consummating the transaction contemplated by this Agreement. KWBA shall conduct its own due diligence investigation of the Property, including, but not limited to. the state of title. its suitability for use for the Project. the environmental condition of the Propeny. and the applicability of any federal. state or local laws. regulations. ordinances. judgments. decrees or agreements pertaining to the Property and the projecr contemplated by KWBA for such Property. KWBA represents and wanants that it shall rely solely upon its own due diligence investigation. and not upon Agency, in connection with the closing of the transaction contemplated by this Agreement. except to the extent the Agency has made representations in this Agreement. No knowledge of conditions affecting the Propeny which the Agency has shall be imputed to the KWBA as a result of the Agency being a Member Entity of KWBA. With respect to the Propeny. KWBA agrees to hold the Agency, its officers. employees and agents harmless from all Liability directly arising from the Agency's execution of the Master Agreement: provided. however. nothing in this sentence shall be deemed to modify Section 8 or the Assignment. ~ssum~tionand Indemnity at Exhibit 1.6. 2.2 KWBA shall take the Propeny on an "as is". "where-is" basis. Agency makes no representations or warranties with respect to the Propeny. whether express or implied. except as are expressly made in this Agreement or any document delivered pursuant to this Agreement: and Agency expressly disclaims any such representations or warranties. Agency further expressly disclaims any warranty. express or implied. as to the suitability of the Propeny for any use contemplated by KWBA. including, but not limited to. any represenration or warranty as to those matten listed as (i) through (x) at Section 5 of the Master Agreement. except as otherwise provided in this Agreement. 2.3 KWBA shall complete its due diligence investigation. and shall notify Agency of its approval or disapproval of the results of such investigation. no later than' two (2) business days prior to the last day that Agency may disapprove the results of Agency's due diligence review under the terms of the Master Agreement. 2.4 Nothing in this Section 2 shall be construed to limit or modify the representations. warranties or covenants of DWR contained in the Master Agreement: but rather the provisions of this Section 2 (except Section 2.5) shall be solely for the benefit of Agency. 2.5 The Aeency shall cooperate with and assist the KWBA in conducting its due diligence review of the &openy by making available to KWBA information in its files refating to the Property and by making its employees. agents and contractors available for interviews and to provide information relating to the Propeny. 3. Resrrictions Uoon Use and Transfer of Promnv. The parties hereto agree that the unique narure of this transaction. including the public benefits to result from the construction and implemenration of the Project contemplated for the Propeny, justify the imposition of certain restrictions upon the use and transfer of the Property by KWBA. any successors in interest to KWBA and any rransferees of any interest in the Propeny. The Parties recite and agree that Agency would nor convey the Propeny to KWBA in the manner provided in this Agreement without imposition of restrictions provided for herein. These restrictions are reasonable and necessary to insure that the Propeny will continue to be used and operated for the purposes contemplated by this Agreement and that such restrictions are reasonable to protect the interest of Agency and the general public benefits to be conferred by the construction and operation of the Project upon the Propeny. Accordingly. upon transfer and exchange of the Propeny. Agency and KWBA shall execute. acknowledge and record a Declaration of Covenants. Conditions & Restncrions in the form attached herero as Exhibit 3. which shall also be referenced in the Deed. 4. Escrow. The conveyance of the Propeny herein, shall be effected through an escrow with Chicago Title Insurance Company. 4700 Stockdale Highway. Bakersfield. California (the "Escrow Holder:). The Closing hereunder shall be held at the offices of Escrow Holder. Closing shall occur immediately following the Closing under the Master Agreement provided that all conditions precedent set fonh in Sections 7.1 and 7.3 of this Agreement have been satisfied: provided that if Closing has not occurred by October 1. 1996. or as extended in writing by mutual agreement of the panies. any pany hereto which is not in default under this Agreement may at any time thereafter cancel this Agreement and the escrow by written notice to the other pmy and Escrow Holder. All escrow and title costs and fees incurred under the Master Agreement or this Agreement and not otherwise paid by DWR pursuant to the Master Agreement. shall be paid by KWBA. In the event that this transaction shall not close for any reason other than the Agency's default or misrepresentation. KWBA shall be responsible for all escrow or title costs incurred. Each pany shall be liable for its own attorney's fees, and other coas and fees directly incurred by such pany in connection with such transaction. In the event of cancellation of this Agreement. Escrow Holder shall return all documents and items to the pany which deposited such document or itern. In the event no pany cancels the Escrow by February 1. 1997. Escrow Holder shall return all documents and items to the pany which deposited such documents and items. Agency shall cause DWR to procure at DWR cost the policy of title insurance described in the Master Agreement in the name of the KWBA. rather than the Agency. in an amount equal to 531,466.812.00. 5. Reuresentations and Wananties of KWBA. KWBA hereby represents and warrants to Agency as follows: 5.1 KWBA is a California joint powers agency. duly formed. and legally existing under the laws of the State of California. KWBA has the full power and authority to execute, enter into, and deliver this Agreement. and to consummate the transactions contemplated hereunder. 5.2 This Agreement constimtes a valid and binding obligation of KWBA. enforceable in accordance with its terms. 5.3 The execution and delivery of the Agreement by KWBA has been duly authorized and approved by the Board of Directors of KWBA in accordance with the organizational documents of KWBA. No funher action is necessary on the pan of KWBA or its members to make this Agreement valid and binding upon KWBA. 5.4 Except for the manen covered by the Agency's representations. wananties and indemnities under this Agreement or documents Agency delivers pursuant to this Agreement, KWBA has conducted or will conduct its own due diligence investigation and review in connection with the Property. 6. Reoresentations and Warranties of Azency. The Agency represents and wanants to KWBA as follows: 6.1 Kern County Water Agency is a California Water Agency. duly formed. and legally existing pursuant to the Kern County Water Agency Act, California Statutes of 1961, chapter 1M)3 as amended. Kern County Water Agency has the full power and authority to execute. enter into and deliver this Agreement. and toconsummate the transactions contemplated hereunder. 6.2 This Agreement constitutes a valid and binding obligation of Agency. enforceable in accordance with its terms. 6.3 The execution. delivery and performance of this Agreement and the Master Agreement by Agency have been duly authorized and approved by the Board of Directors of Agency in accordance with the organizational documents of Agency. No further action is necessary on the pan of Agency to make this Agreement and the Master Agreement valid and binding upon Agency. 6.4 Prior to the time of closing the Agency will not have conveyed the Propeny. nor any right. title or interest therein. to any other person or entity, and the Propeny wilt be free from any encumbrance done, made or suffered by the Agency. 7. Conditions. 7.1 Each of the following shall be a condition precedent to Agency's obligation to close the transaction contemplated in this Agreement: 7.1 .I That all documents required to be executed pursuant to the terms of the Master Agreement shall have been execured. and that all conditions to the close of escrow contained in the Master Agreement shall have been satisfied; 7.1.2 That the Agency and its counsel shall have reviewed and approved the form and substance of all agreements. schedules. exhibits. deeds and other documents to be execured in connection with this Agreement: 7.1.3 That DWR is not in breach of any of the terms and conditions of the Master Agreement: 7.1.4 That all the representations and warranties of KWBA contained herein are true and correct at the close of escrow. and that KWBA is not in breach of any of the terms or conditions of this Agreement: 7.1.5 That KWBA shall have delivered to Agency fully executed copies of all agreements, schedules, exhibits, memoranda. and any other documents required pursuant to the terms of this Agreement. 7.2 The foregoing conditions contained in Section 7.1 are intended solely for the benefit of Agency. If (i) any of the foregoing conditions are not satisfied, or (ii) in the event of a breach by KWBA of any of its covenants. representations, wananties or other agreements set forth in this Agreement. Agency shall have the right in its sole discretion to elect either to (x) proceed with the exchange of the Property pursuant to all of the other terms of this Agreement, reserving all of its other rights and remedies available to it under this Agreement or otherwise at law or in equity by reason of such failure of condition or breach, or (y) in the alternative, terminate this Agreement. and upon such termination Agency shall be relieved of all further obligations under this Agreement. 7.3 Each of the following shall be a condition precedent to KWBA's obligation to close the transaction contemplated in this Agreement: 7.3.1 That all documents required to be executed pursuant to the tenns of the Master Agreement shall have been executed, and that all conditions to the close of escrow contained in the Master Agreement shall have been satisfied; 7.3.2 That KWBA and its counsel shall have reviewed and approved the form and substance of all agreements, schedules. exhibits. deeds and other documents to be executed in connection with this Agreement and the Master Agreement. 7.3.3 That DWX is not in breach of any of the terms and conditions of the Master Agreement: 7.3.4 That all the representations and wananties of Agency contained herein are true and correct at the close of escrow. and that Agency is not in breach of any of the terms or conditions of this A=-ement: 7.3.5 That Agency shall have delivered to KWBA fully executed copies of all agreements. schedules. exhibits. memoranda. and any other documents required pursuant to the terms of this A-mement. 7.4 The foregoing conditions contained in Section 7.3 are intended solely for the benefit of KWBA. If (i) any of the foregoing conditions are not satisfied. or (ii) in the event of a breach by Agency of any of its covenants, representations. warranties or other agreements set forth in this Agreement, KWBA shall have the right in its sole discretion to elect either to (x) proceed with the exchange of the Property pursuant to all of the other terms of this Agreement. reserving all of its other rights and remedies available to it under this Agreement or otherwise at law or in equity by reason of such failure of condition or breach. or (y) in the alternative. terminate this Agreement. and upon such termination KWBA shall be relieved of all further obligations under this Agreement. 7.5 Each of the following shall be a condition precedent to Agency's and KWBA's obligation to close the transaction contemplated in this Agreement: 7.5.1 That all of the conditions precedent set forth in Sections 4.1.1 through 4.1.7. inclusive. 4.3.1 and 4.3.2 of the Master Agreement shall have been satisfied in the good faith opinion of the KWBA, and for this purpose such conditions precedent are hereby incorporated herein by reference and are expressly for the benefit and protection of the Agency and KWBA where ever the Agency appears in such sections. 7.5.2 That (i) amendments to the long term water supply contracts between the State and the Agency and between the State and The Metropolitan Water District of Southern California implementing the Monterey Principles shall have been duly approved and executed by the parties to such contracts; (ii) no legal challenge or action involving validity or enforceability of such amendments has been filed within 60 days of such execution or, if filed, a final judgment of a court of competent jurisdiction has been entered sustaining or validating said amendments or. if a court of competent jurisdiction has determined that any pan of said amendments are invalid or unenforceable, that invalidity or unenforceability has been waived by the entities specified in the Monterey Amendments: and (iii) all such amendments state in substance and without qualification that they and the transactions effected thereby shall be rescinded and rendered void if and when the transactions contemplated or effected under this Agreement or the Master Agreement are rescinded. invalidated or rendered void for any reason. 8. Indemnification. 8.1 From and after the close of escrow under this Agreement. KWBA shall indemm and hold Agency (and Agency's members. officers. directors. agents. employees. and attorneys) harmless against any and all claims. demands. damages. liabilities. losses, judgments. assessments, costs and expenses (including reasonable attorney's fees) of any kind or nature whatsoever which may be asserted by anyone against Agency or such other indemnified parties: 8.1.1 By reason of any act. omission. or event arising. or occunin,p on or after the close of escrow relating 10 the Property, unless otherwise provided by wrinen agreement between KWBA and the Agency. or unless and only to the extent arising out of the Agency's capacity as a member of the KWBA. 8.1.2 Based upon or related to a breach of any representation. warranty, or covenant made by KWBA in this Agreement. or in any exhibit. document. schedule or certificate delivered pursuant to this Agreement: 8.1.3 By reason of any matter relating to the ownership of the Property it being the intent of the parries herein that in the event Agency owns the Propeny for any period of time as an incident to the ultimate transfer of such ownership to KWBA. that such ownership shall be solely for the purpose of such transfer to KWBA. 8.2 From and after the close of escrow under this Agreement. Agency shall indemnify and hold KWBA (and KWBA's members, officers. directors. agents. employees. and anorneys) harmless against any and all claims, demands, damages, liabilities. losses. judgments, assessments, costs and expenses (including reasonable attorney's fees) of any kind or nature whatsoever which may be asserted by any one against KWBA or such other indemnified parties: 8.2.1 Based upon or related to a breach of any representation. wananty. or covenant made by Agency in this Agreement. or in any exhibit. document. schedule or certificate delivered pursuant to this Agreement. 8.3 With respect to Sections 6.2.2 and 6.2.8 of the Master Agreement. for any Environmental Ton Claim not assumed by the State the Agency shall defend. indemnify and hold harmless the MAand its directors. officers. employees. agents and anorneys for any such EnvironmentafTort Claims asserted by any person who was an employee of the Agency at the time of the physical exposure giving rise to the cause of action occurred. For any other such Environmental Tort Claim not so assumed by the State or Agency, the KWBA shall defend, indemnify and hold harmless the Agency and its directors. employees. agents and attorneys. 9. Access to Prooertv and Possession. 9.1 Agency hereby assigns to KWBA Agency's right under Section 12 of the Master Agreement to reasonable access to the hpeny prior to Closing for the purpose of satisfying KWBA with respect to the representations. warranties and covenants of State in the Master Agmment and with respect to satisfaction of any conditions precedent to Closin,o in favor of KWBA set forth in this Agreement. KWBA shall indemnify. defend. hold harmless and reimburse Agency for any liability Agency may incur to the State in connection with KWBA's access to the Propeny. 9.2 Possession of the hDpeny shall be delivered to KWBA on the Closing Date. subject to the rights of any tenants or other parties with an interest in the Pmpeny as disclosed on Exhibit 3.1B of the Master Agreement. 10. Further Agreements. The Agency and KWBA shall enter into a Joint Use of Facilities Agreement ar the earliest possible date to incorporate the principles set fonh at Exhibit 10 hereto. and a recordable easement over the Agency's Pioneer Project. as it may be modified. for the benefit of the Pmpeny. KWBA and its successors and assigns. for the purpose of constructing, operating. maintaining, retaining and replacing a water conveyance facility and related equipment as set fonh in the principles at Exhibit 10. This section shall survive the close of escrow and recording of the Deed. 11. Entire Ameement. This Agreement constitutes the only agreement between the panies hereto concerning the nomination of KWBA to take title to the Propeny, or the transfer of such title from Agency ta KWBA. Any prior or other agreements or representations between the panies with respect to such matters are null and void unless as expressed and set fonh in this Agreement. To the extent any provisions of this Agreement conflict with the Implementation Agreement and/or Statement of Principles. the provisions of this Agreement shall prevail. Funhermore. this Agreement shall not supersede the April 27. 1995 letter agreement regarding 1995 operations. 12. Governing Law. This Agreement shall be construed in accordance with and governed by the laws of the state of California. 13. Notices and Demands. All notices and demands of any kind which either pany may be required or may wish to serve upon the other party, shall be in writing and shall be served on such other pany by personal service by facsimile transmission. or by mailing a copy thereof. cenified or registered mail, postage prepaid. addressed as follows: If to Agency P.O. Box 58 Bakenfield. CA 93302-0058 If to KWBA or any of its members: Kern Water Bank Authority C/OYoung Wooldridge 1800 30th Street. Founh Floor Bakersfield. CA 93301 Service shall be deemed complete (i) on the date of delivery if by personal service: (ii) by facsimile transmission on the date of actual delivery as shown on the facsimile transmission, provided that a hard copy of such facsimile transmission is mailed to the addressee by first class mail: (iii) three business days after mailing if sent by terrified or registered mail. Addresses to which notices and demands may be delivered or sent may be changed from time to time by notice to the pany. 14. Other .4eencv Riehts and Oblieations. Nothing in this Agreement or any documents delivered pursuant to this Agreement shall be construed to limit or modify in any way the rights. obligations and liabilities of Agency in its capacity as a Member Entity of KWBA. 15. Amendment. No amendment or modification of this Agreement shall be valid or effective unless in writing signed by both parties to this Agreement. Agency shall not amend the Master Agreement or waive any of its rights. benefits and protections thereunder without the prior written consent of KWBA. 16. Counteruans. This Agreement may be executed in two or more counterpans. each of which shall be deemed an original and all of which together shall constitute one and the same agreement. 17. Construction of Ameement. All parries to this Agreement have been represented by anorneys. For the purpose of interpretation of this Agreement, all parties shall be deemed to have an equal rule in the ddigand preparation of this Agreement. 18. Plans and Soecifications: Leases. 18.1 After rhe close of escrow. Agency shall cooperare with KWBA to obtain State's consent to KWBA's review and copying of any plans and specifications prepared by or for State for the consvucrion of a groundwater rechar~eoperation upon the Real Propeny to the extent permined by law. If the State dws not permit KWBA to directly review and copy such plans and specifications, then Agency agrees to perform such review and copying on behalf of KWBA to the extent Agency has the right to do so under the Master Agreement and promptly deliver to KWBA the information and copies the Agency so obtains. 18.2 Agency shall promptly deliver to KWBA any and all original Lrases it may receive from the State. After close of escrow. Agency shall cooperate with KWBA to diligently pursue delivery by State of the original Leases. 19. Continuation and Survival of Reoresentations. Wananries and Covenants. AU representations. wananties and covenants and indemnities by the respective panies contained herein or made in writing pursuant to this Agreement are intended to and shall remain true and correct as of the Closing Date. shall be deemed to be material. and shall survive the Closing. Signed this date hereinabove first mentioned. KERN COUNTY WATER AGENCY By: Its KERN WATER BANK AUTHORITY By: Its BEFORE THE BOARD OF DIRECTORS OF THE KERN COUNTY WATER AGENCY In the Matter of: DETERMINATIONS AND FINDINGS * WITH RESPECT TO THE * PIONEER GROUNDWATER RECKARGE * AND RECOVERY PROJECT * * 1, Pam Boswofi Secretary of the Board of Directors to the Kern County Water Agency, of the County of Kern, State of California, do hereby certify that the following resolution proposed by Director Frick and seconded by Director S tarrh , was duly passed and adopted by said Board of Directors at an official meeting hereof this ,?Q&day of December, 1996, by the follo~ingvote, to Ayes: Starrh, Frick, Garnect, Radon, Lundquist, Mathews & Rogers Noes: None Absent: None L of the ern County Water Agency RESOLUTION NO. WHEREAS, the Board of Directors (the "Board") of the Kern County Water Agency (the "Agency") has had prepared, circulated and presented to it, and has reviewed and considered an Initial Study, Environmental Checklist ,dated November 13, 1996, and a proposed Negative Declaration (Exhibit "A") attached thereto, all pertaining to the Pioneer Groundwater Recharge and Recovery Project; and WHEREAS, the Agency has received comments &om several responsible agencies and interested parties and incorporated those comments, together with the Agency's response to those comments, in the appendix of the Negative Declaration. NOW, TIHEREFORE, BE IT RESOLVED by the Board of Directors of the Agency as follows: The Board hereby finds and determines that the foregoing recitals, are meand correct. 1. The Board has reviewed and considered the contents of the Initial Study and proposed Negative Declaration, the presentation to the Board made by staff pertaining to same, and the comments received Gom the public both during a public hearing conducted by the Board on December 20, 1996 and received during the required environmental review period; and 2. Based upon the afore-described evidence, the Board hereby finds; a) that there is no substantial evidence that the Pioneer Groundwater Recharge and Recovery Project with the mitigation measures provided therein will have a significant effect on the environment; b) that the mitigation measures therein are incorporated within the scope of the project, and the project as defmed will not have a significant effect on the environment. Therefore, in accordance with such fmdings, the Board approves the Negative Declaration submitted in conjunction with the Initial Study and hereby directs staff to prepare and file a Notice of Determination (in the form attached hereto as Exhibit "B") in compliance with the California Environmental Quality Act (Public Resources Code Sections 21000, et seq.); and Page 2 3. The Board hereby further finds that, when considering the record as a whole, there is no substantial evidence before the Board that the proposed Project will have potential for an adverse effect on wildlife resources or the habitat upon which the wildlife depends on. If subsequent information becomes available indicating potential impacts to Federal and State listed or sensitive species as defined under the Federal Endangered Species Act, the Agency will comply with all mandatory State and Federal laws. EXHIBIT B NOTICE OF DETERMINATION /p <$l- z- /;. "* . .'2- TO: FROM: Q':* Office of the Governor Kern County Water ~~.d;;& / ;..a Office of Planning and Research P.O. Box 58 Kt-* State Clearinghouse 1400 Tenth Street, Room 12 Sacramento, Ca 95814 .C;: (1-5 I SUBJECT: Filing of Notice of Determination in compliance with Section 21 152 of the Public Resources Code PROJECT TITLE: Kern County Water Agency Interim Pioneer Ground Water Project (SCH# 961 11037) PROJECT LOCATION: Generally west of the City of Bakersfield between Stockdale Hwy and Panama Ln, as shown on attached map PROJECT DESCRIPTION: Property will be used for groundwater recharge and recovery This is to advise that the Kern County Water Agency (Lead Agency) has approved the above described project on Decemmber 20, 1996, and has madc the following determinations regarding the above described project: 1. The project - will, i; will not, have a significant effect on the environment. 2. - An Environmental Impact Report was prepared for ihis project pursuant to the provisions of CEQA. _x A Negative Declaration was prepared for this project pursuant to the provisions of CEQA. 3. Mitigation measures were, X were not, made a condition of approval for this projwL. 4. A statement of Overriding Considerations - was, was not, adopted for this project. This is to certify that a copy of the Negative Declaration with comments and responses and record of project approval is available to the general public at: Administrative Offices, Kern County Water Agency, 3200 Rio Mirada Drive, Bakersfield, CA 93308. Date Received for Fig: Signature -oer ilciice ~f f nvitc-nrnental i)acument Title Posted by County Clerk on -3 i. 2 and for 30 da:s thereafter, Pursila12: to Section 24 1G:lC: Prgh!;~a-~,~.~-,- r..r- KERN COUNTY WATER AGENCY Directors: GROUNDWATER Pionm February 18, 2000 Fred 1. Starrh Division 1 TO: Responsible Agencies and Interested Parties Terrq Rogers Division 1 FROM: Thomas N. Clark Peter Fnck Division 3 SUBJECT: California Environmental Quality Act (CEQA) Compliance for the Michael Radon Kern County Water Agency -Western Hills Water District Contract VicePresidenr to Transfer Water Division 4 Adrienne 1. Marhews Pursuant to CEQA, the Kern County Water Agency (Agency) will be the Lead Division 5 Agency and has prepared an Initial Study and Proposed DraR Subsequent Negative HenryC.Gamet1 Declaration for the Agency -Western Hills Water District Contract to Transfer Water President Project. We are soliciting the views of your agency as to the scope and content of the Division 6 environmental information which is applicable to your agency's statutory Gene A. Lundquist responsibilities in connection with the proposed project. Division 7 In order to review and consider your comments du~gthe public review Thomas N. Clark period, the Agency requests that ail comments be received prior to 5:00 p.m., Monday, GeneralManager March 20, 2000. Following the review and comment period, the Initial Study, along ]ohn F. Stoval1 with the Subsequent Negative Declaration will be presented to the Agency Board of General Gunsel Directors for adoption, at a public hearing to be held at 4:00 p.m. on Thursday March 23, 2000 at the Agency's administration office at 3200 Rio Mirada Drive, Bakersfield, CA. Please submit written comments to: Mr. Thomas N. Clark, General Manager Kern County Water Agency P.O. Box 58 Bakersfield, CA 93302-0058 If you require any further information contact Kane Totzke at (661) 634- 1468. Thomas N. Clark General Manager Enclosures Mailing Address: P.O.-BOX 58 akersfield. CA93302-W58 IBPhont: 661,634.1400 Fax: 6611634-1428 KERN COUNTY WATER AGENCY Environmental Initial Study Form [for CEQA Guidelines section 15162 determination] I. Project title: Kern County Water Agency-Western Hills Water District Contract to Transfer Water 2. Lead agency name and address: Kern County Water Agency P.O. Box 58 3200 Rio Mirada Drive Bakersfield CA 93302-0058 3. Contact person and phone number: Thomas N. Clark. General Manager, 661-634-1400 4. Project location: Waterstorage in and exchange from the Kern County WaterAgency (Agency) Pioneer Groundwater Recharge and Recovery Project, Kern County, California (see attached maps): water delivery to and use in Westem Hills Water District, Stanislaus County, California (see attached maps); water delivery via the Department of Water Resources Califomia Aqueduct. 5. Project sponsor's name and address: Same as lead agency. 6. Description of project: Summary. The project or activity analyzed in this Initial Study is the modification of the Diablo Grande development project and the project's water resources plan by the approval and implementation of the Kern County Water Agency-Western Hills Water District Contract to Transfer Water, which also implements in part the Kem County Water Agency Pioneer Groundwater Recharge and Recovery Project. Expanded Description. The Kern County Water Agency-Westem Hills Water District Contract to Transfer Water (the 'Agency-Westem Hills Contract") provides, by a water exchange, for the delivery of up to 8,000 acre feet of water per year from Kern County Water Agency ('Agencyyo Western Hills Water District ("Western Hills") The Agency-Westem Hills Contract will supply water to Western Hills to serve Phase 1 of the Diablo Grande development project located west of Interstate 5 near Patterson in western Stanislaus County, California. The Diablo Grande project includes housing, hotel, conference center, golf courses, vineyards and associated commercial uses. It is described in more detail in the Stanislaus County ElRs discussed below. The Agency-Westem Hills Contract water supply forthe Diablo Grande project is a modification to the initial project which provided for a water supply pursuant to a 1998 Agreement to Purchase Berrenda Mesa Water District State Water Project Entitlement to Water between Western Hills and Berrenda Mesa Water District (the'Berrenda Mesa Contract") Underthe Berrenda Mesa Contract, Western Hills purchased 8,000 acre feeffyear of Berrenda Mesa entitlements to the delivery of water from the State Water Project ("SWP")deiivered via the California Aqueduct. Berrenda Mesa is an Agency subcontractor and its entitlement is based on a water supply contract between the Agency and Berrenda Mesa. The Agency is a SWP contractor with the State Department of Water Resources ("DWR"). Western Hills now intends to obtain itswatersupply directly from the Agency pursuant to the Agency- Western Hills Contract. Instead of purchasing SWP water from a Agency subcontractor (Berrenda Mesa), Western Hills will purchase non-SWP banked groundwater directly from the Agency. The banked groundwaterwill be made available to Westem Hills through the operation ofAgencyfs Pioneer Groundwater Recharge and Recovery Project (the 'Agency Pioneer Groundwater Bank Supply"). The facilities for delivery of Agency Pioneer Groundwater Bank Supply water are located in Kern County approximately 195 miles south or (with respect to the Califomia Aqueduct) downstream from the Westem Hills service area, which is in Stanislaus County. It would not be feasible to deliver the Agency Groundwater Bank Supply directly to Western Hills. Therefore, the Agency Pioneer Groundwater Bank Supply would be delivered to Western Hills by exchange with DWR utilizing the SWP and California Aqueduct. A turnout would be installed in coordination with DWR on the Califomia Aqueduct for delivery of water to Westem Hills. Westem Hills owns an existing water conveyance pipeline, which intersects the Aqueduct, that runs to the Westem Hills service area. A pumping plant forthe Western Hills pipeline abuts the right of way forthe Aqueduct. The Westem Hills tumout would become an authorized point of delivery for Agency's SWP entitlement. DWR would deliver up to 8,000 acre feet per year of SWP water at the Westem Hills tumout under Agency's SWP water supply contract. The Agency's annual SWP entitlement is in excess of one million acre feet. Each acre foot of Agency SWP entitlement delivered to Western Hills would be replaced by an acre foot of Agency Pioneer Groundwater Bank Supply that would be delivered to Agency's lmprovement District No. 4 or other Agency member units in lieu of SWP entitlement. The same Aqueduct turnout and Westem Hills pumping plant and pipeline would have been used to deliver SWP water from the Aqueduct to Western Hills under the Berrenda Mesa Contract. The exchange between Agency Pioneer Groundwater Bank Supply and SWP water would not alter diversions from the Delta to the California Aqueduct. In the absence of the exchange, the SWP entitlement still would have been diverted from the Delta to the California Aqueduct and delivered to lmprovement District No. 4 or other Agency member units. Without the exchange, some of Agency's SWP entitlement would have been delivered directly from the Aqueduct to lmprovement District No. 4, other Agency member units, andlor the San Luis Reservoir for storage and later delivery from the Reservoir by means of the Aqueduct into Kern County. Neither lmprovement District No. 4 nor any Agency member unit will receive more or less water as a result of the exchange. Approval and implementation of the Agency-Westem Hillscontract also involve the following related approvals from DWR and the State Water Resources Control Board ('State Board"): (a) approval and implementation of the Point of Delivery Agreement Between Department of Water Resources. State of Califomia, and the Kern County Water Agency to Provide a Water Supply for the Westem Hills Water District (to authorize the delivery of SWP waterto Westem Hills through exchange of Agency local water); (b) approval and implementation of the Agreement Between the Department of Water Resources of the State of California. Kern County Water Agency, and Westem Hills Water District for Construction, Operation, and Maintenance of the Westem Hills Tumout a Permanent Tumout Within the CaliforniaAqueduct Right-of-way (to authorize construction and operation of the Aqueduct tumout to deliver water to Western Hills); and (c) State Board approval of a Petition for Change (to authorize DWR SWP water to be used in Westem Hills for municipal, industrial and irrigation purposes). This Initial Study and the project addressed in this analysis include these related DWR and State Board actions. A very similar DWR turnout agreement and State Board Petition for Change would have been required to deliver SWP water from the Aqueduct to Westem Hills underthe Berrenda Mesa Contract. Only the DWR point of delivery agreement (to authorize the exchange) is new with the modified water resources plan to serve Diablo Grande pursuant to the Agency-Western Hills Contract. 7. General plan designation and zoning: Not applicable to the present project. The general plan designation and zoning of the Diablo Grande development project in Western Hills are described in the Stanislaus County environmental documents discussed below. 8. Surrounding land uses and setting: See the Stanislaus County and Agency environmental documents discussed below. 9. Other public agencies whose approval is required: State Department of Water Resources (for approval and implementation of agreements referred to in section 6), State Water Resources Control Board (for approval of Petition for Change referred to in section 6). County of Stanislaus (to approve a modified water supply and for revised CEQA findings to reflect the change of the contractual source of the Westem HilIslDiablo Grande projectwatersupply), and Westem Hills Water District (for approval and implementation of Agency-Western Hills Contract, related agreements with DWR, and water delivery and service to Diablo Grande project). 10. Purpose and explanation of Initial Study form: The Agency has prepared this Environmental Initial Study form in order to determine whether the approval and implementation of the action to sell Agency Pioneer Groundwater Bank Supply to Westem Hills for use in the Diablo Grande development and to exchange that water for SWP water in the California Aqueduct, all as described above, requires subsequent or additional environmental review. CEQA Guidelines section 15162 provides that when an EIR andlor negative declaration have been prepared for a project, no subsequent ElR is required unless there are (a) substantial changes to the project that involve new significant environmental effects, (b) substantial changes to the project circumstances that involve new significant environmental effects, or (c) new information of substantial importance that necessitates revision of the earlier environmental document(s). Previously, Agency, as a responsibleagencyunderCEQA, adopted Resolution No. 81-99 concerning the sale of waterto Western Hills frorn Berrenda Mesa. In that resolution. Agency (a) certified the adequacy of the ElRs prepared by Stanislaus County for development of the Diablo Grande Project and related water resources plan, (b) adopted findings identifying environmental impacts, (c) adopted findings of overriding considerations, and (d) approved a mitigation monitoring plan. Previously, in November 1996. Agency also approved a Negative Declaration and filed a notice ofdeterminationunderCEQAforthe recharge, extraction and sale of previously stored groundwater from the Pioneer Groundwater Recharge and Recovery Project. The purpose of this initial study is to determine if any subsequent or additional environmental review is required as result of (i) marketing a portion of the Agency Pioneer Groundwater Bank Supply to Westem Hills, or (ii) changing the source of the Westem Hills water from Berrenda Mesa's SWP supply to Agency's groundwater supply. The Agency-Westem Hills Contract is intended to supply water to serve Phase 1 of the Diablo Grande development project in Western Hills. Although this activity involves a change of the underlying contract entitlement to water, the physical arrangement and potential impacts remain very much the same: the basic water supply is the same-SWP water (delivered pursuant to an exchange with DWR under the Agency-Westem Hills Contract and related agreements with DWR); the place of use of the water supply and scope of development remain the same-Diablo Grande development project as approved by Stanislaus County; the method of delivery remains the same-via the Delta and DWR's California Aqueduct and a new turnout to Western Hills; and, the quantity remains the same- 8,000 acre feeffper year. The only physical change related to the modification in the water supply (as compared with the Berrenda Mesa arrangement) concerns the exchange between Agency Pioneer Groundwater Bank Supply and SWP water and the related storage and use of water frorn the Agency Pioneer Groundwater Bank Supply. Stanislaus County and Agency have previously adopted CEQA environmental documents that address the following: development of the Diablo Grande project: water resources plan to provide water service to the Diablo Grande project, which included delivery of SWP water frorn the California Aqueduct pursuant to the Berrenda Mesa Contract; and, development and operation of the Agency Pioneer Groundwater Bank Supply, including delivery (by exchange) of water from that project to areas outside the affected aquifer. See the following: Stanislaus County, Final Environmental lmpad Report, Diablo Grande Specific Plan (1 993). Stanislaus County. Diablo Grande Water Resources Plan Final Supplemental NR (1 998). Stanislaus County Board of Supervisors Resolution No. 1999-954.Resolution Making Certain Court- MandatedFindings, Partially RecertifvingDiablo Grande Specific Plan EnvironmentallmpadReport, as Supplementedby the Diablo Grande Water Resources Plan Supplemental Environmentallmpad Report, and Adopting CEQA Findings and Mitigation Monitoring Program for Diablo Grande Phase IProject Approvals (1 999). Kern County Water Agency, lnitial Study and Negative Declaration for the Pioneer Groundwater Recharge and Recovery Project (1996). Kern County Water Agency, Resolution No. 81-99 of KCWA as Responsible Agency, Regarding the Sale of a Portion of Berrenda Mesa Water District Entitlement to the Westem Hills Water District: (i) Adopting Findings Identifying Environmental Impacts Associated Therewith; (ii) Adopting a Statement of Ovemiing Considerations; (iii)Approving a Mitigation Monitoring Program; and (iv) Certiwing Environmental Impact Report Adequacy (1 999). (Collectively the "Previous CEQA Documents." Copies of these Previous CEQA Documents are available for public review and copying during normal business hours at the Agency's oftice at the address set forth above.) The Stanislaus County documents address the environmental impacts of the development of the Diablo Grande project, the delivery and use of 8.000 acre feet per year from the California Aqueduct, and the construction and operation of the new Aqueduct turnout. The Agency documents address the environmental effects in Kern County of the Agency Pioneer Groundwater Recharge and Recovery Project and deliveries and exchanges under that project. The 1996 Agency initial studylnegative declaration contemplated use of water from the Agency Pioneer Groundwater Bank Supply via exchanges with DWR through the California Aqueduct and deliveries to upstream districts. This Initial Study evaluates the incremental differences between the impacts of the Diablo Grande development project, Berrenda Mesa Contract supply, and Agency Pioneer Groundwater Bank Supply as previously described, analyzed and approved in the Previous CEQA Documents, versus the delivery ofwater to the Diablo Grande project under the Agency-Westem Hills contract instead of the Berrenda Mesa Contract. The environmental impacts being reviewed in this Initial Study are limited solely to new impacts resulting from the change in the water entitlement contract to the projects previously described and analyzed in the Previous CEQA Documents. Because of the similarity of the physical arrangement of the watersupply and delivery between the Berrenda Mesa Contract and the Agency-Westem Hills Contract, the scope of the incremental differences is nil. ENVIRONMENTAL FACTORS POTENTIALLY AFFECTED: The environmental factors checked below would be potentially affected by this change in the water supply contract, involving at least one impact that is a 'Potentially Significant Impact" as indicated by the checklist on the following pages. [ ] Aesthetics [ ] Agriculture [ 1 Resources Air Quality [ ] Biological Resources [ ] Cultural Resources [ ] Geology /Soils [ ] Hazards & Hazardous Materials [ ] Hydrology IWater Quality [ ] Land Use IPlanning [ ] Mineral Resources [ ] Noise [ ] Population IHousing [ ] Public Services [ ] Recreation [ ] Transportationrrraffic [ ] Utilities IService Systems [ ] Mandatory Findings of Significance None DETERMINATION: (To be completed by the Lead Agency) On the basis of this initial evaluation: [ ] I find that the proposed project COULD NOT have a significant effect on the environment, and a NEGATIVE DECLARATION will be prepared. [ j I find that although the proposed project could have a significant effect on the environment. there will not be a significant effect in this case because revisions in the project have been made by or agreed to by the project proponent. A MITIGATED NEGATIVE DECLARATION will be prepared. [ ] I find that the proposed project MAY have a significant effect on the environment, and an ENVIRONMENTAL IMPACT REPORT is required. [ ] I find that the proposed project MAY have a 'potentially significant impact" or "potentially significant unless mitigated" impact on the environment, but at least one effect 1) has been adequately analyzed in an earlier document pursuant to applicable legal standards, and 2) has been addressed by mltlgation measures based on the earller analysls as descnbed on attacned sheets. An ENVIRONMENTAL IMPACT REPORT IS required, out it must analyze only the effects that remain to be addressed [xx] I find that although the proposed project (Diablo Grande development project and water resources plan as modified by the Agency-Westem Hills Contract, which also implements in part the Agency Pioneer Groundwater Recharge and Recovery Project) could have a significant effect on the environment, because all potentially significant effects of the Diablo Grande development project and water resources plan and the~~enc~~ioneer~roundwater ~echarge and Recovery Project (a) have been analyzed adequately in the Previous CEQA Documents pursuant to applicable standards, and (b) have been avoided or mitigated pursuant to the Previous CEQA Documents, including revisions or mitigation measures that are imposed upon the proposed project, nothing further is required. A SUBSEQUENT NEGATIVE DECLARATION will be prepared to confirm this conclusion. (CEQA Guidelines section 15162.) h.% February 18.2000 ~~hoyhasN. Clark Date EVALUATION OF ENVIRONMENTAL IMPACTS: Less Than Signifmnt Potentially Wih Less Than Significant Mitigation Significant No Impact Incorporation Impact Impact I. AESTHETICS - Would the project: a) Have a substantial adverse effect on a scenic vista? b) Substantially damage scenic resources, including, but not limited to, trees, rock outcmppings, and historic buildings within a state scenic highway? c) Substantially degrade the existing visual character or quality of the site and its surroundings? d) Create a new source of substantial light or glare which would adversely affect day or nighttime views in the area? II. AGRICULTURE RESOURCES - - In determining whether impacts to agricultural resources are significant environmental effects, lead agencies may refer to the California Agricultural Land Evaluation and Site Assessment Model (1997) prepared by the Califomia Dept. of Conservation as an optional model to use in assessing impacts on agriculture and farmland. Would the project: a) Convert Prime Farmland. Unique Farmland, or Farmland of Statewide Importance (Farmland), as shown on the maps prepared pursuant to the Farmland Mapping and Monitoring Program of the Califomia Resources Agency, to non-agricultural use? b) Confficf with existing zoning for agricultural use, or a Williamson Act contract? c) Involve other changes in the existing environment which, due to their location or nature, could result in conversion of Farmland, to non-agricultural use? Ill. AIR QUALITY - Where available, the significance criteria established by the applicable air quality management or air pollution control district may be relied upon to make the following determinations. Would the project: a) Conflict with or obstmct implementation of the applicable air quality plan? b) Violate any air quality standard or contribute substantially to an existing or projected air quality violation? P Less Than Significant Potentially WPh Less Than Significant Migation Significant No impact Incorporation Impact Impact c) Result in a cumulatively considerable net increase of any criteria pollutant for which the project region is non- attainment under an applicable federal or state ambient air quality standard (including releasing emissions which exceed quantitative thresholds for ozone precursors)? d) Expose sensitive receptors to substantial pollutant concentrations? e) Create objectionable odors affecting a substantial number of people? IV. BIOLOGICAL RESOURCES - Would the project: a) Have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Game or U.S. Fish and Wildlife Service? b) Have a substantial adverse effect on any riparian habitat or other sensitive natural community identified in local or regional plans, policies, regulations or by the California Department of Fish and Game or US Fish and Wildlife Service? c) Have a substantial adverse effect on federally protected wetlands as defined by Section 404 of the Clean Water Act (including, but not limited to, marsh, vernal pool, coastal, etc.) through direct removal, filling, hydrological interruption, or other means? d) Interfere substantially with the movement of any native resident or migratory fish or wildlife species or with established native resident or migratory wildlife comdors. or impede the use of native wildlife nursery sites? e) Conflict with any local policies or ordinances protecting biological resources, such as a tree preservation policy or ordinance? f) Conflict with the provisions of an adopted Habitat conservation Plan. Natural Community Conservation Plan, or other approved local, regional, or state habitat conservation plan? V. CULTURAL RESOURCES - Would the project: a) Cause a substantial adverse change in the significance of a historical resource as defined in Less Than Significant Potentially Wi Less Than Signiiicant Mitigation Significant No Impact lnc~rpwat'rnn impact Impact b) Cause a substantial adverse change in the significance of an archaeological resource pursuant to §15064.5? c) Directly or indirectly destroy a unique paleontological resource or site or unique geologic feature? d) Disturb any human remains, including those interred outside of formal cemeteries? VI. GEOLOGY AND SOILS -- Would the project: a) Expose people or structures to potential substantial adverse effects, including the risk of loss, injury, or death involving: i) Rupture of a known earthquake fault, as delineated on the most recent Alquist-Priolo Earthquake Fault Zoning Map issued by the State Geologist for the area or based on other substantial evidence of a known fault? Refer to Division of Mines and Geology Special Publication 42. ii) Strong seismic ground shaking? iii) Seismic-related ground failure, including liquefaction? iv) Landslides? b) Result in substantial soil erosion or the loss of topsoil? c) Be located on a geologic unit or soil that is unstable, or that would become unstable as a result of the project, and potentially result in on- or off-site landslide, lateral spreading, subsidence, liquefaction or collapse? d) Be located on expansive soil, as defined in Table 18- 1-5 of the Uniform Building Code (1994), creating substantial risks to life or property? e) Have soils incapable of adequately supporting the use of septic tanks or alternative waste water disposal systems where sewers are not available for the disposal of waste water? VII. HAZARDS AND HAZARDOUS MATERIALS - Would the project: Significant Potentially Wi Less Than Significant Mitigation Significant No Impact Impact Impact a) Create a significant hazard to the public or the [ I environment through the routine transport, use, or disposal of hazardous materials? b) Create a significant hazard to the public or the environment through reasonably foreseeable upset and accident conditions involving the release of hazardous materials into the environment? c) Emit hazardous emissions or handle hazardous or acutely hazardous materials, substances, or waste within one-quarter mile of an existing or proposed school? d) Be located on a site which is included on a list of hazardous materials sites compiled pursuant to Government Code Section 65962.5 and, as a result. would it create a significant hazard to the public or the environment? e) For a project located within an airport land use plan or, where such a plan has not been adopted, within two miles of a public airport or public use airport, would the project result in a safety hazard for people residing or working in the project area? f) For a project within the vicinity of a private airstrip, would the project result in a safety hazard for people residing or working in the project area? g) Impair implementation of or physically interfere with an adopted emergency response plan or emergency evacuation plan? h) Expose people or structures to a significant risk of loss, injury or death involving wildland fires, including where wildlands are adjacent to urbanized areas or where residences are intermixed with wildlands? VIII. HYDROLOGY AND WATER QUALITY - Would the project: a) Violate any water quality standards or waste discharge requirements? b) Substantially deplete groundwater supplies or interfere substantially with groundwater recharge such that there would be a net deficit in aquifer volume or a lowering of the local groundwater table level (e.g., the production rate of pre-existing nearby wells would drop to a level which would not support existing land uses or planned uses for which permits have been granted)? Significant Pdentialty with Less Than Significant Mitigation Significant No Impact Impact Impact c) Substantially alter the existing drainage pattem of the [ I [ x I site or area, including through the alteration of the course of a stream or river, in a manner which would result in substantial erosion or siltation on- or off-site? d) Substantially alter the existing drainage pattem of the site or area, including through the alteration of the course of a stream or river, or substantially increase the rate or amount of surface runoff in a manner which would result in flooding on- or off-site? e) Create or contribute runoff water which would exceed the capacity of existing or planned stonwater drainage systems or provide substantial additional sources of polluted runoff? f) Otherwise substantially degrade water quality? g) Place housing within a 100-year flood hazard area as mapped on a federal Flood Hazard Boundary or Flood Insurance Rate Map or other flood hazard delineation map? h) Place within a 100-year flood hazard area structures which would impede or redirect flood flows? i) Expose people or structures to a significant risk of loss, injury or death involving flooding, including flooding as a result of the failure of a levee or dam? j) Inundation by seiche, tsunami, or mudflow? IX. LAND USE AND PLANNING -Would the project: a) Physically divide an established community? b) Conflict with any applicable land use plan, policy, or regulation of an agency with jurisdiction over the project (including, but not limited to the general plan, specific plan, local coastal program, or zoning ordinance) adopted for the purpose of avoiding or mitigating an environmental effect? c) Conflict with any applicable habitat conservation plan or natural community conservation plan? X. MINERAL RESOURCES - Would the project: a) Result in the loss of availability of a known mineral resource that would be of value to the region and the residents of the state? Less Than Significant Potentially With Less Than Signifcant Mitigation Significant No Impact lnwrporation Impact Impact b) Result in the loss of availability of a locally-important mineral resource recovery site delineated on a local general plan, specific plan or other land use plan? XI. NOISE - Would the project result in: a) Exposure of persons to or generation of noise levels in excess of standards established in the local general plan or noise ordinance, or applicable standards of other agencies? b) Exposure of persons to or generation of excessive groundbome vibration or groundborne noise levels? c) A substantial permanent increase in ambient noise levels in the project vicinity above levels existing without the project? d) A substantial temporary or periodic increase in ambient noise levels in the project vicinity above levels existing without the project? e) For a project located within an airport land use plan or, where such a plan has not been adopted, within two miles of a public airport or public use airport, would the project expose people residing or working in the project area to excessive noise levels? f) For a project within the vicinity of a private airstrip. would the project expose people residing or working in the project area to excessive noise levels? XII. POPULATION AND HOUSING - Would the project: a) Induce substantial population growth in an area, either directly (for example, by proposing new homes and businesses) or indirectly (for example, through extension of roads or other infrasiiucture)? b) Displace substantial numbers of existing housing, necessitating the construction of replacement housing elsewhere? c) Displace substantial numbers of people, necessitating the construction of replacement housing elsewhere? XIII. PUBLIC SERVICES a) Would the project result in substantial adverse physical impacts associated with the provision of new or physically altered governmental facilities, need for new Less Than Significant Potentially With Less Than Significant Miigation Significant No Impact Incorporation Impact Impact or physically altered governmental facilities, the construction of which could cause significant environmental impacts, in order to maintain acceptable service ratios, response times or other performance objectives for any of the public services: Fire protection? Police protection? Schools? Parks? Other public facilities? XIV. RECREATION - a) Would the project increase the use of existing neighbomood and regional parks or other recreational facilities such that substantial physical deterioration of the facility would occur or be accelerated? b) Does the project include recreational facilities or require the construction or expansion of recreational facilities which might have an adverse physical effect on the environment? XV. TRANSPORTATIONKRAFFIC - Would the project: a) Cause an increase in traffic which is substantial in relation to the existing traftic load and capacity of the street system (i.e., result in a substantial increase in either the number of vehicle trips, the volume to capacity ratio on roads, or congestion at intersections)? b) Exceed, either individually or cumulatively, a level of service standard established by the county congestion management agency for designated roads or highways? c) Result in a change in air traffic patterns, including either an increase in traffic levels or a change in location that results in substantial safety risks? d) Substantially increase hazards due to a design feature (e.g., sharp curves or dangerous intersections) or incompatible uses (e.g., farm equipment)? e) Result in inadequate emergency access? f) Result in inadequate parking capacity? Less Than Significant Potentially Wih Less Than Significant Mitigation Signtficant No Impact Incorporation Impact Impact g) Conflict with adopted policies, plans, or programs [ 1 [ 1 1 [XI supporting alternative transportation (e.g., bus turnouts. bicycle racks)? XVI. UTILITIES AND SERVICE SYSTEMS -- Would the project: a) Exceed wastewater treatment requirements of the [ 1 [ 1 applicable Regional Water Quality Control Board? b) Require or result in the construction of new water or [ 1 [ 1 wastewater treatment facilities or expansion of existing facilities, the construction of which could cause significant environmental effects? c) Require or result in the construction of new storm [ 1 [ 1 water drainage facilities or expansion of existing facilities, the construction of which could cause significant environmental effects? d) Have sufficient water supplies available to serve the I 1 I 1 I 1 1x1 project from existing entitlements and resources, or are new or expanded entitlements needed? Without this exchange involving the Agency Pioneer Groundwater Bank Supply and SWP water, some of 8,000 acre feet per year of the Agency SWP entitlement would have been delivered from the Aqueduct to San Luis Reservoir, and then later delivered from San Luis Reservoir by means of the Aqueduct into Agency County. With the exchange, the amount of water diverted to and from San Luis Reservoirwould be reduced by some portion of the amount of water delivered to Westem Hills. The amount would be something lessthat 8,000 acre feet per year. San Luis Reservoir holds up to 2,030,000 acre feet. Assuming 75% of the 8.000 acre feet was stored in San Luis (i.e.. 6,000 acre feet), this amount would represent only 0.3% of the San Luis capacity. Loss of this small amount of water storage is considered less than a significant impact. In addition, the quantity isso small that there would be no net perceivable impact on lake elevations at San Luis as a result of the exchange. e) Result in a determination by the wastewater treatment [ ] [ 1 1 1 [XI provider which serves or may serve the project that it has adequate capacity to serve the projects projected demand in addition to the providers existing commitments? 9 Be served by a landfill with sufficient permitted 1 1 [ 1 [ 1 [XI capacity to accommodate the projects solid waste disposal needs? g) Comply with federal, state, and local statutes and [ 1 [ 1 [ 1 [XI regulations related to solid waste? Less Than Significant Potentially With Less Than Signifcant Mitigation Significant No Impact Incorporation Impact Impact XVII. MANDATORY FINDINGS OF SIGNIFICANCE - a) Does the project have the potential to degrade the quality of the environment, substantially reduce the habitat of a fish or wildlife species, cause a fish or wildlife population to drop below self-sustaining levels, threaten to eliminate a plant or animal community, reduce the number or restrict the range of a rare or endangered plant or animal or eliminate important examples of the major periods of California history or prehistory? b) Does the project have impacts that are individually limited, but cumulatively considerable? ("Cumulatively considerable" means that the incremental effects of a project are considerable when viewed in connection with the effects of past projects, the effects of other current projects, and the effects of probable future projects)? c) Does the project have environmental effects which will cause substantial adverse effects on human beings, either directly or indirectly? LISTOFREFERENCESANDSUPPORTINGFACTUALBASES Stanislaus County. Final Environmental lmpact Report- Diablo Grande Specific Plan (1993). Stanislaus County, Diablo Grande Water Resources Plan Final Supplemental NR (1 998) Stanislaus County Board of Supervison Resolution No. 1999-954,Resolution Making Certain Court- Mandated Findings, Partially Recertifying Diablo Grande Specific Plan Environmental lmpact Report, as Supplementedby the Diablo Grande Water Resources Plan Supplemental Environmental Impact Report, and Adopting CEQA Findings and Mitigation Monitoring Program for Diablo Grande Phase I Project Approvals (1 999). Kern County Water Agency, Initial Study and Negative Declaration for the Pioneer Groundwater Recharge and Recovery Project (1 996). Kern County Water Agency. Resolution No. 81-99 of KCWA as Responsible Agency, Regarding the Sale of a Portion of Berrenda Mesa Water District Entitlement to the Westen Hills Water District: (i) Adopting Findings ldentiving Environmental Impacts Associated Therewith; (ii) Adopting a Statement of Ovemding Considerations; (iii) Approving a Mitigation Monitoring Program; and (iv) Cerfiruing Environmental lmpact Report Adequacy (1999). Kern County Water Agency-Western Hills Water District Contract to Transfer Water (2000) Agreement to Purchase Berrenda Mesa Water District State Water Project Entitlement to Water between Western Hills Water District and Berrenda Mesa Water District (1 998). California State Water Project Atlas (DWR. 1999). Sacramento-San Joaquin Stream and Reservoir Systems map (DWR. 1990) Agency staff consultations with staffs of State Department of Water Resources, State Water Resources Control Board and Westem Hills Water District (1Z99-2/00): Experience and knowledge of Agency staff concerning operation of the Agency water system, Agency Pioneer Groundwater Recharge and Recovery Project. State Water Project and California Aqueduct. LECEND Kern River Rechorge KiW Rechoige Ponds Kern County Wolsr Agency Kern Counls. Cnlilarniil Erislinq COO Ponds - Properly Lloe, olher lhon Pioneer I KCWA ~orlh.souih. Cenlral Pioneer Bv/W Pondr IplONEER GROUND WATER RECHARGE AND RECOVERY PROJECT 0 2500 5000 KCWA Pioneer Pondr -SCALE IN FCC1 RECHARGE FACILITIES ,o/rx/ss ,... ~... i LEGEND o Exirling Aq Wellr Agency Pipeline Kern County Woler Agency 8 Fuluie Wellr ---- Kern Counly. Coli(orn1a A Exirling Agency Wells II,,...., KCWA Norlll. Ceniroi & Saulh Pioneer o Fxislinq Lo Hacienda Wells -Property Line, oihei iiion Plontei PIOI4EER GROUNDWATER RECHARGE 0 Exisling KFE Wells AND RECOVERY PROJECT 0 ?SODi 5000 o Exisling KFE Erponsion Wrllr RECOVERY FACILITIES -scii~cIN rttr a Exisling Wells Owned by Olhers ,O/ll/SS *.B.~#f. d." PLATE A Kern County Water Agency "\ Kern County, Calilornia Piotierr Grourrdwaler Rrrhargc & Recovery Project VICINITY MAP KERN COUNTY WATER AGENCY NOTICE OF INTENT TO ADOPT SUBSEQUENT NEGATIVE DECLARATION [to confirm CEQA Guidelines section 15162 determination] Pursuant to the Califomia Environmental Quality Act and CEQA Guidelines, the Kem County Water Agency hereby provides notice of its intent to adopt a Subsequent Negative Declaration pursuant to CEQA Guidelines section 15162 for the following: 1. Name of Project: Kem County Water Agency-Western Hills Water District Contract to Transfer Water. 2. Project Lead Agency and Sponsor: Kern County Water Agency. P.O. Box 58.3200 Rio Mirada Drive. Bakersfield CA 93302-0058. Contact person: Thomas N. Clark. General Manager, 661-634- 1400. 3. Project Description: The modification of the Diablo Grande development project and the project's water resources plan by the approval and implementation of the Kern County Water Agency-Western Hills Water District Contract to Transfer Water (the 'Agency-Westem Hills Contract"), which also implements in part the Kern County Water Agency ("Agency") Pioneer Groundwater Recharge and Recovery Project. The Agency-Westem Hills Contract water supply for the Diablo Grande project modifies the initial project which provided for a water supply pursuantto a 1998 agreement for Westem Hills Water District ("Westem Hills") to purchase Agency State Water Project ("SWP")entitlement from Berrenda Mesa Water District, a Agency subcontractor (the "Berrenda Mesa Contract"). Both contracts, though. involve the delivery of up to 8,000 acre feet per year of SWP water to Westem Hills from a new turnout on the California Aqueduct to serve the Diablo Grande development. The project also includes the storage, recovery and sale of water pursuant to the Agency's Pioneer Groundwater Recharge and Recovery Project. the exchange of water with the State Department of Water Resources ("DWRVhrough the Califomia Aqueduct, and related approvals from DWR. State Water Resources Control Board, County of Stanislaus, and Westem Hills. For more information concerning the project, see the Kern County Water Agency Environmental initial Study Form [for CEQA Guidelines section 15162 Determination] dated February 18. 2000 (the "lnitial Study"), which is available for review and copying during regular business hours at the Agency office at the above address. 4. Purpose and explanation of Initial Study: The Agency has prepared the Initial Study in orderto determine whetherthe approval and implementation ofthe project as described in the lnitial Study require subsequent or additional environmental review under CEQA Guidelines section 15162. The Agency- Western Hills Contract is intended to supply water to serve Phase 1 of the Diablo Grande development project in Westem Hills. It results in a modification to the initial project which provided for a water supply from Agency's SWP water supply pursuant to the Berrenda Mesa Contract. In comparing water delivery to the Diablo Grande project by the Agency-Westem Hills Contract versus the Berrenda Mesa Contract, except for the exchange between the Agency Pioneer Groundwater Bank Supply and SWP water and the related storage and use of waterfromthe Agency groundwaterbank, the physical arrangement and potential impacts remain very much the same. Stanislaus County and Agency have previously adopted CEQA environmental documents that address the following: development of the Diablo Grande project: water resources plan to provide water service to the Diablo Grande project, which included delivery of SWP water from the Califomia Aqueduct pursuant to the Berrenda Mesa Contract; and, development and operation of the Agency Pioneer Groundwater Recharge and Recovery Project, including delivery (by exchange) of water from that project to areas outside the affedted aquifer. The previous environmental documents are listed in the lnitial Study. The Initial Study evaluates the incremental differences between the impacts of the Diablo Grande development project. Berrenda Mesa Contract supply, and Agency Pioneer Groundwater Bank Supply as previously described, analyzed and approved in the previous CEQA documents, versus the delivery of water to the Diablo Grande project underthe Agency-Westem Hills Contract. For more information concerning the purpose of the lnitial Study and this Subsequent Negative Declaration, see the lnitial Study. 5. Project Location: Water storage in and exchange from Agency Pioneer Groundwater Recharge and Recovery Project. Kern County. Califomia (see maps attached to lnitial Study); waterdelivery to and use in Western Hills Water District, Stanislaus County. California (see maps attached to lnitial Study); water delivery via the DWR California Aqueduct. 6. Proposed Finding: The Agency Board of Directors has reviewed the proposed project, lnitial Study, comments received on the proposal to adopt this Subsequent Negative Declaration, and other documents and information from Agency staff, and on the basis of this information and the whole record before Agency, hereby finds and determines as follows: (a) The lnitial Study and Subsequent Negative Declaration reflect Agency's independent judgment and analysis; and (b) Although the proposed project (Diablo Grande development project and water resources plan as modified by the Agency-Westem Hills Contract, which also implements in part the Agency Pioneer Groundwater Recharge and Recovery Project) could have a significant effect on the environment, because all potentially significant effects of the Diablo Grande development project and water resources plan and the Agency Pioneer Groundwater Recharge and Recovery Project (i) have been analyzed adequately in the previous environmental impact reports and negative declarations pursuant to applicable standards, and (ii) have been avoided or mitigated pursuant to the previous environmental impact reports and negative declarations, including revisions or mitigation measures that are imposed upon the proposed project, nothing further is required. This Subsequent Negative Declaration confirms this conclusion. 7. Initial Study: A copy of the Initial Study is either attached or available for public review at the Agency office at the above address. 8. Location of Background Documents: The Initial Study, documents referenced in the lnitial Study, notice of intent to adopt Subsequent Negative Declaration, comments on the lnitial Study, and other documents concerning this project are on file and available for public review at the Agency office at the above address. The Agency Board Secretary (same address) is the custodian of the documents that constitute the record of proceedings upon which the decision in this matter is based. 9. Public Review: Public comments on this proposal to adopt a Subsequent Negative Declaration will be received by the Agency at the above address beginning Februaly 18. 2000 and ending March 22. 2000. The Agency Board of Directors is expected to consider the adoption of the Subsequent Negative Declaration at a public meeting scheduled for March 23.2000 at 4:00 p.m., at the Agency's offices at the above address. 2-/S-00 Thomas N. Clark Date General Manager Kern County Water Agency KERN COUNTY WATER AGENCY SUBSEQUENT NEGATIVE DECLARATION [to confirm CEQA Guidelines section 15162 determination] Pursuant to the California Environmental Quality Act and CEQA Guidelines, the Kern County Water Agency hereby adopts this Subsequent negative declaration pursuant to CEQA Guidelines section 15162 for the following: 1. Name of Project: Kem County Water Agency-Western Hills Water District Contract to Transfer Water. 2. Project Lead Agency and Sponsor: Kem County Water Agency. P.O. Box 58.3200 Rio Mirada Drive, Bakersfield CA 93302-0058. Contact person: Thomas N. Clark. General Manager. 661-634- 1400. 3. Project Description: The modification of the Diablo Grande development project and the project's water resources plan by the approval and implementation of the Kem County Water Agency-Westem Hills Water District Contract to Transfer Water (the 'Agency-Westem Hills Contract7, which also implements in part the Kern County Water Agency ("Agency") Pioneer Groundwater Recharge and Recovery Project. The Agency-Western Hills Contract water supply for the Diablo Grande project is a modification to the initial project which provided for a water supply pursuant to a 1998 agreement for Western Hills Water District ('Westem Hills") to purchase Agency State Water Project ('SWP")entitlement from Berrenda Mesa Water District, a Agency subcontractor (the 'Berrenda Mesa Contract"). Both contracts. though, involve the delivery of up to 8.000 acre feet per year of SWP water to Western Hills from a new turnout on the California Aqueduct to serve the Diablo Grande development. The project also includes the storage, recovery and sale of water pursuant to Agency's Pioneer Groundwater Recharge and Recovery Project, the exchange of water with the State Department of Water Resources ("DWR") through the California Aqueduct, and related approvals from DWR, State Water Resources Control Board, County of Stanislaus, and Western Hills. For more information concerning the project, see the Kern County Water Agency EnvironmentalInitial Study Form[for CEQA Guidelines section 15 162 Detemination]dated February 18, 2000 (the "lnitial Study"), which is available for review and copying during regular business hours at the Agency office at the above address. 4. Purpose and explanation of Initial Study: The Agency has prepared the Initial Study in orderto determine whetherthe approval and implementation ofthe project as described in the lnitial Study require subsequent or additional environmental review under CEQA Guidelines section 15162. The Agency- Western Hills Contract is intended to supply water to serve Phase 1 of the Diablo Grande development project in Westem Hills. It results in a modification to the initial project which provided for a water supply from Agency's SWP water supply pursuant to the Berrenda Mesa Contract. In comparing water delivery to the Diablo Grande by the Agency-Westem Hills Contract versus the Berrenda Mesa Contract, except for the exchange between the Agency Pioneer Groundwater Bank Supply and SWP water and the related storage and use of water from the Agency groundwater bank, the physical arrangement and potential impacts remain very much the same. Stanislaus County and Agency have previously adopted CEQA environmental documents that address the following: development of the Diablo Grande project; water resources plan to provide water service to the Diablo Grande project, which included deliveiy of SWP water from the California Aqueduct pursuant to the Berrenda Mesa Contract; and, development and operation of the Agency Pioneer Groundwater Bank Supply, including delivery (by exchange) of water from that project to areas outside the affected aquifer. The previous environmental documents are listed in the lnitial Study. The lnitial Study evaluates the incremental differences between the impacts of the Diablo Grande development project, Berrenda Mesa Contract Supply, and Agency Pioneer Groundwater Bank Supply as previously described, analyzed and approved in the previous CEQA documents, versus the delivery of water to the Diablo Grande project under the Agency-Westem Hills Contract. For more information concerning the purpose of the lnitial Study and this Subsequent Negative Declaration, see the lnitial Study 5. Project Location: Water storage in and exchange from Agency Pioneer Groundwater Recharge and Recovery Project, Kem County. California (see maps attached to lnitial Study): water delivery to and use in Western Hills Water District, Stanislaus County, California (see maps attached to lnitial Study); water delivery via the DWR Califomia Aqueduct. 6. Finding: The Agency Board of Directors has reviewed the proposed project, Initial Study. comments received on the proposal to adopt this Subsequent Negative Declaration, and other documents and information from Agency staff, and on the basis of this information and the whole record before Agency. hereby finds and determines as follows: (a) The lnitial Study and Subsequent Negative Declaration reflect Agency's independent judgment and analysis; and (b) Although the proposed project (Diablo Grande development project and water resources plan as modified by the Agency-Westem Hills Contract, which also implements in part the Agency Pioneer Groundwater Recharge and Recovery Project) could have a significant effect on the environment, because all potentially significant effects of the Diablo Grande development project and water resources plan and the Agency Pioneer Groundwater Recharge and Recovery Project (i) have been analyzed adequately in the previous environmental impact reports and negative declarations pursuant to applicable standards, and (ii) have been avoided or mitigated pursuant to the previous environmental impact reports and negative declarations, including revisions or mitigation measures that are imposed upon the proposed project, nothing further is required. This Subsequent Negative Declaration confirms this conclusion. 7. Initial Study: A copy of the Initial Study is either attached or available for public review at the Agency office at the above address. 8. Location of Background Documents: The Initial Study, documents referenced in the Initial Study, notice of intent to adopt Subsequent Negative Declaration, comments on the lnitial Study, and other documents concerning this project are on file and available for public review at the Agency office at the above address. The Agency Board Secretary (same address) is the custodian of the documents that constitute the record of proceedings upon which the decision in this matter is based. By: President Date: EQA Notice of Determination : Office of Planning and Research From: Kern County Water Agency FILED 1400 Tenth Street. Room 121 P.O. Box 58 KERN COUNTY P.O. Box 3044 3200 Rio Mirada Drive Sacramento. CA 95814 Bakersfield, CA 93302-0058 MAR 2 4 2000 County Clerk JAMES& RHOADES. CLERK BY County of Kern DEPw 1115 Truxtun Ave., Zrn Floor -n7-.s Bakersfield, CA 93301 -. . County Clerk County of Stanislaus P.O. Box 3288 Modesto. CA 95353 Subject: lg of Notice of Determination in compliance w~thSectlon 21108 or 21152 of the Public Resources Code ject Title: Kern County Water Agency-Western Hills Water District Contract to Transfer Water te Clearinghouse Number Lead Agency1 Area CodefTelephone/Extension ;ubrnitted to Clearinghouse) Contact Person Kern County Water Agency1 General Manager Thomas N. Clark ject Location (Include county) attached Subsequent Negative Declaration ject Description: attached Subsequent Negative Declaration : is to advise that on March 23. 2000 the Kern County Water Agency (as lead agency) approved the project (more particularly xibed in the attached Subsequent Negative Dedation) and determined that no additional environmental review is required. The ncy's March 23, 2000 action is part of the previously approved Diablo Grande development project and Agency Pioneer undwater Recharge and Recovery Project. These earlier approved projects are addressed in previous CEQA environmental Jments (listed and described in the Initial Study). nitial Study and Subsequent Negative Declaration with findings were prepared for the Agency's recent action pursuant to the ,isions of CEQA Guidelines section 15162 concluding that no additional environmental review is required The recent action will lave any significant effect on the environment that was not already addressed in the previous CEQA documents for this project. lation measares were not made a condition of the Agency's recent action on the project, but they were made a condition pursuant -evious CEQA environmental documents for this project. A Statement of Overriding Considerations was not adopted in lection wlth the Agency's recent action on this project, but such a Statement was adopted pursuant to previous CEQA :onmental documents for this project. is to certify that the Initial Study with comments and responses and record of project approval 1s available to the general public received for filing at OPR: - CALIFORNIA DEPARTMENT OF FISH AND GAME CERTIFICATE OF FEE EXEMPTION De Minimis Impact Finding Project Title: Kern County Water Agency -Western Hills Water District Contract to Transfer Water Project Location: California Aqueduct, Kern and Stanislaus Counties Project Description: The Project is the modification of the Diablo Grande development project and the project's water resources plan approval and implementation of the Kern County Water Agency - Western Hills Water District Contract to Transfer Water, which also implements in part the Kern County Water Agency Pioneer Groundwater Recharge and Recovery Project. Findings of Exemption: 1. The project consists of a water transfer. 2. A Subsequent Negative- Declaration has been conducted by Kern Countv Water Aqency (lead agency) which evaluates the potential for adverse environmental impacts resulting from the approval and implementation of the project. 3. The lead agency has no evidence before it, including the information in the Subsequent Negative Declaration and comments of appropriate reviewing agencies, to indicate that the proposed project could have any potential for adverse effects on fish and wildlife resources. Certification: I hereby certify that the public agency has made the above finding(s) and that the project will not individually or cumulatively have an adverse effect on wildlife resources, as defined in Section 71.2 of the Fish and Game Code. Local Lead Agency: Kern Countv Water Aqencv Date: March 23. 2000 BARTKIEWICZ,KRONICK & SHANAHAN .aM Bi\Rn;aWICZ .A. .PROFESSIONAL ... CORPORATION EPHEN A KRONICK 1011TWENTY-SECOND STREET 3L4RX P. SHAN4HAN SAC-0, CALIFORNIA 95816-4907 ANB LUY (916) 446-4254 'AN S. BEZERRA FAX (916) 446-4018 SHUA M HOROWrrZ E-MAIL [email protected] July 5,2001 Mr. David Romano Newman Law Office 801 Tenth Street Fifth Floor, Suite One Modesto CA 95354-2302 Re: Kern County Water Agency i~esolutions Dear Dave: I have enclosed pursuant to your request copies of Kern County Water Agency Board Resolution Nos. 21-00,22-00 and 24-00 relating to the Agency's March 23,2000 approval of the Western Hills Water District and related DWR water contracts and the related CEQA action. Please contact me if you have any questions concerning these documents or if you would like any other information. Sincerely, RPS:sjg Enclosures KERN couNn WATER AGENCY Directors: Fred L. Starrh SECRETARY'S CERTIFICATE President Division 1 Teny Rogers I, Pam Bosworth, Secretary of the Board of Directors of the Kern Division 2 Peter Frick County Water Agency, do hereby certify that the foregoing is a full, true Division 3 Michael Radon and correct copy of Resolution No. 21-00 duly passed and adopted by Division 4 Adrienne]. Mathews said Board of Directors at an official meeting of the Board held on the Division 5 Henry C. Garnerr 23rd day of March 2000, by the following vote: Vice President Division 6 AYES: Garnett, Frick, Radon, Lundquist, Rogers, Gene A. Lundquisr Mathews & Starrh Division 7 NOES: None ThornasN. Clark General Manaeer ABSENT: - fecretary of the Board of Directors of the Kern County Water Agency SEAL: P.O. Box 58 ~kersfield.CA 93302-0058 Phone: 6611634-1400 Fax: 6611634.1428 BEFORE THE BOARD OF DIRECTORS OF THE KERN COUNTY WATER AGENCY In the Matter of ADOPTION OF SUBSEQUENT NEGATIVE t DECLARATION FOR THE KERN COUNTY * WATER AGENCY- WESTERN HILLS WATER * DISTRICT WATER TRANSFER AND EXCHANGE * I, PAM BOSWORTH, Secretary of the Board of Directors of the Kern County Water Agency, of the County of Kern, State of California, do- hereby certify that the following resolution proposed by Director Radon and seconded by Director Roners was duly passed and adopted by said Board of Directors at an official meeting hereof this 23rd day of ~~~~h 2000, by the foil~wing vote, to-wit: Ayes: Garnett, Frick, Radon, Lundquist, Rogers, Mathews & Starrh Noes: None Absent: None of the ~krnCounty Water Agency RESOLUTION 21-00 WHEREAS, the Kern County Water Agency (Agency) has previously complied with the California Environmental Quality Act (CEQA) for the Pioneer Groundwater Recharge and Recovery Project by adoption of a Negative Declaration in December, 1996; and WHEREAS, Stanislaus County has previously adopted and complied with CEQA in 1993 and 1998 to address development of theDiablo Grande project water resources plan to provide water service to the Diablo Grande project, which includes delivery of Stateproject Water (SWP) from the California Aqueduct pursuant to the Berrenda Mesa contract; and WHEREAS, the Stanislaus County Board of Supervisors passed Resolution NO. 1999-954, Resolution Mahng Certain Court-Mandated Findings, PartialIy Recertfing Diablo Grnnde Specz$c Plan Environmental Impact Report, as Supplemented by the Diablo Grnnde Water Resources Plan SupplernentaZEnvir~nmentalIm~actReport, andAdopting CEQA Findings andMitigationMonitoring Program for Diablo Grande Phase I Project Approvals in 1999; and WHEREAS, the Kern County Water Agency passed Resolution No. 81-99, KCWA as Responsible Agency, Regarding the Sale of a Portion of Berrenda Mesa Water District Entitlement to the WesternHills Water District: (i) Adopting FindingsIdent7fvit7g Environmental Impacts Associated Therewith; (ii) Adopting a Statement of Overriding Considerations; (iii) Approving a Mitigation Monitoring Program; and (iv) Certlfving Environmental Impact Report Adequacy in 1999; and WHEREAS, the Agency-Western Hills Water District Contract to Transfer Water ("Agency- Western Hills Contract") provides, by a water exchange, for the delivery ofup to 8,000 acre feet per year from the Agency to Western Hills Water District ("Western Hills"); the Agency-Western Hills Contract will supply water to Western Hills to serve Phase 1 of the Diablo Grande development project located west of Interstate 5 near Patterson in western Stanislaus County, California; and WHEREAS, the Agency-Western Hills Contract water supply for the Diablo Grande project is a modification to the initial project which provided for a water supply pursuant to a 1998 Agreement to PurchaseBerrendaMesa Water District State Water Project Entitlement to Water between WesternHills and BerrendaMesa WaterDistrict (the "Berrenda Mesa Contract"); under the Berrenda Mesa Contract, Western Hills purchased 8,000 acre feetlyear of Berrenda Mesa entitlements for delivery from the California Aqueduct; and WHEREAS, Berrenda Mesa is an Agency subcontractor and its entitlement is based on a water supply contract between the Agency and Berrenda Mesa; the Agency is a SWP contractor with the State - 2- Department of Water Resources ("DWR); and WHEREAS, Western Hills now intends to obtain its water supply directly from the Agency pursuant to the Agency-Westem Hills Contract, instead of purchasing the water from an Agency subcontractor (Berrenda Mesa), Western Hills will purchase it directly from the Agency; the Agency SWP entitlement water will be made available to Western Hills by exchange for the Agency's groundwater banking of local surface water supplies in the operation of the Agency's Pioneer Groundwater Recharge and Recovery Project (the "Agency Pioneer Groundwater Bank Supply"); and WHEREAS, the exchange between Agency Pioneer Groundwater Bank Supply and SWP water would not alter diversions from theDelta to the California Aqueduct; and in the absence ofthe exchange, the SWP entitlement still would have been diverted from the Delta to the California Aqueduct and delivered to Improvement District No. 4 or other Agency member units; without the exchange, some of the Agency's SWP entitlement would have been delivered directly from the Aqueduct to Improvement District No. 4, other Agency member units, and/or the San Luis Reservoir for storage and later delivery from the Reservoir by means ofthe Aqueduct into Kern County; neither Improvement District NO. 4 nor any Agency member unit will receive more or less water as a result of the exchange; and WHEREAS, the Stanislaus County documents address the environmental impacts of the development of the Diablo Grande project, the delivery and use of 8,000 acre feet per year from the California Aqueduct, and the construction and operation ofthe new Aqueduct turnout, and the Agency documents address the environmental effects in Kern County of the Agency Pioneer droundwater Recharge and Recovery Project and deliveries and exchanges under that project; and the 1996 Agency initial study and negative declaration contemplated use ofwater from the Agency Pioneer Groundwater Bank Supply via exchanges with DWR through the California Aqueduct and deliveries to upstream districts; and WHEREAS, the Initial Study for the Agency-Western Hills Contract evaluates the incremental -3- differences between the impacts of the Diablo Grande development project, Berrenda Mesa Contract supply, and Agency Pioneer Groundwater Bank Supply as previously described, analyzed and approved in the Previous CEQADocuments, versus the delivery ofwater to the Diablo Grande project under the Agency-Western Hills contract instead of the Berrenda Mesa Contract; and; WHEREAS, the environmental impacts being reviewed in this Initial Study are limited solely to new impacts resulting from the change in the water entitlement contract to the projects previously described and analyzed in the Agency and Western Hills CEQA Documents; and WHEREAS, becauseofthe similarity ofthe physical arrangement ofthe water supply and delivery between the Berrenda Mesa Contract and the Agency-Western Hills Contract, the scope of the incremental environmental differences is nil; and WHEREAS, the amount ofwater to be provided by this project has been offered within the past year at the same price to all interested parties within Kern County and no willingness to take the water has been expressed, and the Board thereby concludes that the water offered herein is surplus to that required within the Agency and county, and the Agency hrther finds, in accordance with section 5 ofthe Kern County Water Agency Act, that the water transferred to Western Hills will not be needed for use within the Agency; and WHEREAS, proper notice ofthis matter has been provided to the State Clearinghouse, the Clerks of counties of Kern and Stanislaus, and the public, and the Board has considered all written and oral comment offered to it during the comment period and at the meeting of March 23, 2000, and after consideration of such concludes that there is no significant environmental impact from the proposed project NOW, THEREFORE,BEITRESOLVEDbytheKernCounty Water Agency Board ofDirectors that: 1. The Board hereby finds and determines that the foregoing recitals, which are incorporated herein by reference, are true and correct; and 2. The Board hereby adopts the Initial StudylEnvironmental Checklist and proposed Subsequent Negative Declaration for the Kern County Water Agency-Westem Hills Water District Contract to Transfer Water Project, in the form shown attached hereto as Exhibit "A''; 3. Directs the Secretary of the Board to provide notice ofthe adoption to the responsible Agency's affected and other parties expressing interest, and to forthwith prepare and file a CEQA notice of determination with the State Clearinghouse and the Clerks of Kern and Stanislaus counties. KERN COUNTY WATER AGENCY Directors: Fred L Starrh SECRETARY'S CERTIFICATE President Division 1 Teny Rogers I, Pam Bosworth Secretary of the Board of Directors of the Kern Division 2 Peter Frick County Water Agency, do hereby certify that the foregoing is a full, true Division 3 Michael Radon and correct copy of Resolution No. 22-00 duly passed and adopted by Division 4 Adrienne]. Mathews said Board of Directors at an official meeting of the Board held on the Division 5 23rd day of March 2000, by the following vote: Henry C. Garnett Vice President Division 6 AYES: Garnett, Frick, Radon, Lundquist, Rogers, & Gene A. Lundquisr Mathews Starrh Division 7 NOES: None Thomas N. Clark GeneialManager ABSENT: N- ]ohn F. Stovail GeneralCounsel 'Aw* ~~retarvof theward of Directors obthe kern County Water Agency SEAL: Mailing Addies: P.O. Box 58 ~ersfield,CA93302-0058 Phone: 6611634.1400 Fax: 6611634.1428 BEFORE THE BOARD OF DIRECTORS OF THE KERN COUNTY WATER AGENCY In the Matter of AUTHORIZATION TO EXECUTE THE * KERN COUNTY WATER AGENCY- * WESTERN HlLLS WATER DISTRICT * CONTRACT TO TRANSFER WATER * I, PAMBOSWORTq Secretary of the Board of Directors of the Kern County Water Agency, of the County of Kern, State of California, do hereby certify that the following resolution proposed by Director Radon and seconded by Director Garnet t was duly passed and adopted by said Board of Directors at an official meeting hereof this day of March 2000, by the following vote. to-wit: Ayes: Garnett, Frick, Radon, ~kd~uist,Rogers, Mathews h Starrh Noes: None Absent: None Secretary of the Board of Directors of the Kern County Water Agency RESOLUTION 22-00 WHEREAS, the Kern County Water Agency (Agency) has previously complied with the Califor~aEnvironmental Quality Act (CEQA) for the Pioneer Groundwater Recharge and Recovery Project by adoption of a Negative Declaration in December, 1996; and WHEREAS, Stanislaus County has previously adopted and complied with CEQA in 1993, 1998 and 1999 to address development of the Diablo Grande project water resources plan to provide water service to the Diablo Grande project, which includes delivery of State Project Water (SWP) from the California Aqueduct pursuant to the Berrenda Mesa contract; and WHEREAS, the Kern County Water Agency passed Resolution No. 81-99. KCWA as Re~poru?bleAgency, Regarding the Sale of a Portion of Berrenda Mesa Water District Entitlement to the WesternHills Water District: (ii) Adopting Findings Identrfyig Environmental Impacts Associated Therewith; (ii)Adopting a Statement of Overriding Considerations; (iii) Approving a Mitigation Mo?7itoring Program; and (iv) Cert~fyingEnvironmental Impact Report Adequacy in 1999; and WHEREAS, the Agency-Western Hills Water District Contract to Transfer Water ("Agency- Western Hdls Contract'') provides, by a water exchange, for the detivery of up to 8,000 acre feet per year &om the Agency to Western Hills Water District ("Western Hills"); the Agency-Westem Hills Contract will supply water to Western Hills to serve Phase 1 of the Diablo Grande development project located west of Interstate 5 near Patterson in western Stanislaus County, Califomia; and WHEREAS, the Agency-Western Hills Contract water supply for the Diablo Grande project is a modiication to the initial project which provided for a water supply pursuant to a 1998 Agreement to Purchase Berrenda Mesa Water District State Water Project Entitlement to Water between Western Hills and Berrenda Mesa Water District (the "Berrenda Mesa Contract"); under the Berrenda Mesa Contract, Western Hills purchased 8,000 acre feetlyear of Berrenda Mesa entitlements for delivery from the California Aqueduct; and WHEREAS, Berrenda Mesa is an Agency subcontractor and its entitlement is based on a water supply contract between the Agency and Berrenda Mesa; the Agency is a SWP contractor with the State Department of Water Resources ("DWR"); and WHEREAS, Western Ells now intends to obtain its water supply directly from the Agency pursuant to the Agency-Western Hills Contract, instead of purchasing the water from an Agency subcontractor (Berrenda Mesa), Western Hills will purchase it directly from the Agency; the Agency SWP entitlement water will be made available to Western Hills by exchange for the Agency's groundwater bahng of local surface water supplies in the operation of the Agency's Pioneer -2- Groundwater Recharge and Recovery Project (the "Agency Pioneer Groundwater Bank Supply"); and WHEREAS, the Agency has approved Resolution 21-00 adopting the Initial Study and Subsequent Negative Declaration for the Agency-Western Hills Contract that evaluates the incremental differences between the impacts of the Diablo Grande development project, Berrenda Mesa Contract supply, and Agency Pioneer Groundwater Bank Supply as previously described, analyzed and approved in the Previous CEQA Documents, versus the delivery of water to the Diablo Crande project under the Agency-Western Hills contract instead of the Berrenda Mesa Contract; and; WHEREAS, the environmental impacts reviewed in the above mentioned Initial Study are limited solely to new impacts resulting from the change in the water entitlement contract to the projects previously described and analyzed in the Agency and Western Hills CEQA Documents; and WHEREAS, the amount ofwater to be ~rovidedby this project has been offered within the past year at the same price to all interested parties within Kern County and no willingness to take the water has been expressed, and the Board thereby concludks that the water offered herein is surplus to that required within the Agency and county, and the Agency krther finds, in accordance with section 5 of the Kern County Water Agency Act, that the water transfered to Western HJls will not be needed for use within the Agency. NOW, THEREFORE, BE IT RESOLVED by the Kern County Water Agency Board ofDiectors that: 1. The Board hereby hds and determines that the foregoing recitals, which are incorporated herein by reference, are true and correct; and 2. The Board hereby authorizes the President of the Board to execute, subject to approval of the General Manager and the General Counsel as to foq the Kern County Water Agency - Westem Hills Water District Contract to Transfer Water in substantially the form shown attached hereto as Exhibit "A". -3- KERN COUNTY WATER AGENCY Directors: Fred L. Stanh SECRETARY'S CERTIFICATE President Division 1 Temy Rogen I, Pam Bosworth, Secretary of the Board of Directors of the Kern Division 2 Peter Frick County Water Agency, do hereby certify that the foregoing is a full, true Division 3 MichaelRadon and correct copy of Resolution No. 24-00 duly passed and adopted by Division 4 Adrienne]. Mathews said Board of Directors at an official meeting of the Board held on the Division 5 Henry C. Gamett 23rd day of March 2000, by the following vote: Vice President Division 6 AYES: Garnett, Frick, Radon, Lundquist, Rogers. Gene A. Lundquist Mathews & Starrh Division 7 NOES: None Thomas N. Clark GeneralManager ABSENT: NyT- John F. Stwall GeneralCoumel Secretary of the Board of Directo \ of the Kern County Water Agency SEAL: P.o.-~x 58 Bakersfield, CA 93302-0058 Phone 6611634-1400 Fax: 6611634,1428 BEFORE THE BOARD OF DIRECTORS OF THE KERN COUNTY WATER AGENCY In the Matter of AUTHORLZATION TO EXECUTE THE * POINT OF DELIVERY, TURNOUT CON- * STRUCTION/O&M AND REIMBURSE- * MENT AGREEMENTS FOR THE KERN * COUNTY WATER AGENCY-WESTERN * HILLS WATER DISTRICT WATER t SUPPLY PROGRAM * I, PAM BOSWORW Secretary of the Board of Directors of the Kern County Water Agency, of the County of Kern State of California, do hereby certify that the following resolution proposed by Director Radon and seconded by Director Garnett was duly passed and adopted by said Board ofDirectors at an official meeting hereof this 23rd day of March 2000, by the following ..*L vote, to-wit: Ayes: Garnett, Frick, Radon, Lundquist, Rogers, Mathews 6 Starrh Noes: None L- of the Kern County Water Agency RESOLUTION 24-00 WHEREAS, the Kern County Water Agency (Agency) has previously complied with the California Environmental Quality Act (CEQA) for the Pioneer Groundwater Recharge and Recovery Project by adoption of a Negative Declaration in December, 1996, and WHEREAS, Stanislaus County has previously adopted and complied with CEQA in 1093, 1998 and 1999 to address development of the Diablo Grande project water resources plan to provide water service to the Diablo Grande project, which includes delivery of State Project Water (SWP) from the California Aqueduct pursuant to the Berrenda Mesa contract; and WEREAS, the Kern County Water Agency passed Resolution No. 81-99, KCWA as Reqmm'bIe Agency, Regarding the Sale oja Portion ojBerrenda Mesa Water District Entitlement to the Western Hills Water District: (I) Adopting Findings Identzfying Environmental Impacts Associated Therewith; (ii) Adopting a Statement oj Overriding Considerations; (iii) Approving a Mitigation Monitoring Program; and (iv) Cerhfying Environmental Impact Report Adequacy in 1999; and WHEREAS, the Agency-Westem Hills Water District Contract to Transfer Water ("Agency- Western Hills Contract") provides, by a water exchange, for the delivery of up to 8,000 acre feet per year from the Agency to Western Hills Water District ("Western Hills"); the Agency-Western Hills Contract will supply water to Western Hills to serve Phase 1 of the Diablo Grande development project located west of Interstate 5 near Patterson in western Stanislaus County, California; and WHEREAS, the Agency-Westem Hills Contract water supply for the Diablo Grande project is a modification to the initial project which provided for a water supply pursuant to a 1998 Agreement to Purchase Berrenda Mesa Water District State Water Project Entitlement to Water between Western Hills and Berrenda Mesa Water District (the "Berrenda Mesa Contract"); under the Berrenda Mesa Contract, Western Ells purchased 8,000 acre feetlyear of Berrenda Mesa entitlements for delivery from the California Aqueduct; and WHEREAS, Berrenda Mesa is an .4gency subcontractor and its entitlement is based on a water supply contract between the Agency and Berrenda Mesa; the Agency is a SWP contractor with the State Department of Water Resources ("DWR"); and WHEREAS, Western Hills now intends to obtain its water supply directly from the Agency pursuant to the Agency-Western Hills Contract, instead of purchasing the water from an Agency -2- subcontractor (Berrenda Mesa), Western Hills will purchase it directly f?om the Agency; the Agency SWP entitlement water will be made available to Western Hills by exchange for the Agency's groundwater banking of local surface water supplies in the operation of the Agency's Pioneer Groundwater Recharge and Recovery Project (the "Agency Pioneer Groundwater Bank Supply"); and WHEREAS, the Agency has approved Resolution 21-00 adopting the Initial Study and Subsequent Negative Declaration for the Agency-Westem Hills Contract that evaluates the incremental differences between the impacts of the Diablo ~randedevelopment project, Berrenda Mesa Contract supply, and Agency Pioneer Groundwater Bank Supply as previously described, analyzed and approved in the Previous CEQA Documents, versus the delivery of water to the Diablo Grande project under the Agency-Western Hills contract instead of the Berrenda Mesa Contract; and WHEREAS, the environmental impacts reviewed in the above mentioned Initial Study are limited solely to new impacts resulting from the change in the water entitlement contract to the projects previously described and. analyzed in the Agency and Western Hills CEQA Documents; and WHEREAS, the amount of water to be provided by this project has been offered within the past year at the same price to all interested parties within Kern County and no willingness to take the water has been expressed, and the Board thereby concludes that the water offered herein is surplus to that required within the Agency and county, and the Agency hrther finds, in accordance with section 5 of the Kern County Water Agency Act, that the water transfered to Western Hills will not be needed for use within the Agency; and WHEREAS, the delivery ofwater to Western Hills will require agreements with the Department of Water Resources to construct a new turnout, to provide for delivery of water outside the Agency senice area and to reimburse DWR for the cost of developing the necessary agreements. NOW, THEREFORE, BE IT RESOLVED by the Kern County Water Agency Board of Directors that: 1. The Board hereby finds and determines that the foregoing recitals, which are incorporated herein by reference, are true and correct; and 2. The Board hereby authorizes the President of the Board to execute, subject to approval ofthe General Manager and General Counsel as to form,: a) "Point of Delivery Agreement Between the Department of Water Resources, State of California and the Kern County Water Agency", attached hereto as Exhibit "A". b) "Agreement Between the Department of Water Resources of the State of California, Kern County Water Agency and Western WsWater District for Construction, Operation and Maintenance of the Western Hills Turnout a Permanent Turnout Within the California Aqueduct Right-of-way", attached hereto as Exhibit "B". .,. c) "Agreement Among the Department of water Resources of the State of California, Kern County Water Agency and Western Hills Water District for Reimbursement of DWR's costs Related to the Transfer of Kern County Local Water to Western Hills Water District", attached hereto as Exhibit "C. Directors: Fred L Starrh SECRETARY'S CERTIFICATE President Division 1 Terry Rogers I, Pam Bosworth. Secretary of the Board of Directors of the Kern Division 2 Peter Frick County Water Agency, do hereby certify that the foregoing is a full, true Division 3 MichaelRadon and correct copy of Resolution No. 24-00 duly passed and adopted by Division 4 Adrienne J. Mathews said Board of Directors at an official meeting of the Board held on the Division 5 Henry C. Garnett 23rd day of March 2000, by the following vote: Vice Presidcnt Division 6 AYES: Garnett, Frick, Radon, Lundquist, Rogers, Gene A. Lundquist Mathews & Starrh Division 7 NOES: None Thomas N. Clark GeneralManager ABSENT: NF7n John F. Stovall General Caunsel of the Kern County Water Agency SEAL: I Mailing Address: P.O. Bax 58 Bakersfield, C.493302-0058 Phone: 6611634-1400 Fax: 6611634.1428 BEFORE THE BOARD OF DIRECTORS OF THE KERN COUNTY WATER AGENCY In the Matter of AUTHORIZATION TO EXECUTE THE * POINT OF DELIVERY, TURNOUT CON- * STRUCTION/O&M AND REIMBURSE- * MENT AGREEMENTS FOR THE KERN * COUNTY WATER AGENCY-WESTERN * HILLS WATER DISTRICT WATER * SUPPLY PROGRAM * I, PAM BOSWORTq Secretary of the Board of Directors of the Kern County Water Agency, of the County of Kern, State of California, do hereby certifL that the following resolution proposed by Director Radon and seconded by Director Garne tt was duly passed and adopted by said Board of Directors at an officialmeeting hereof this 23rd day of March 2000, by the following ..,. vote. to-wit: Ayes: Garnett, Frick, Radon, Lundquist, Rogers, Mathews & Starrh Noes: None Absent: None Secretary of the Board of Directors L- of the ~krnCounty Water Agency - RESOLUTION 24-00 WHEREAS, the Kern County Water Agency (Agency) has previously complied with the California Environmental Quality Act (CEQA) for the Pioneer Groundwater Recharge and Recovery Project by adoption of a Negative Declaration in December, 1996; and WHEREAS, Stanislaus County has previously adopted and complied with CEQA in 1993, 1998 and 1999 to address development of the Diablo Grande project water resources plan to provide water service to the Diablo Grande project, which includes delivery of State Project Water (SWP) from the California Aqueduct pursuant to the Berrenda Mesa contract; and WHEREAS, the Kern County Water Agency passed Resolution NO. 81-99, KCWA as Re~pom~bleAgency, Regarding the Sale of a Portion ojBerrenda Mesa Water District Entitlement to the Western Hills Wa?erDistrict: (i) Adopting Findings Identrfyig Environmental Impacts Associated Therewith; (ii) Adopting a Statement of Overriding Considerations; (iiu Approving a Mitigation Monitoring Program; and (iv) CerfrfyingEnvironmental Impact Report Adequacy in 1999; and WHEREAS, the Agency-Western Hills Water District Contract to Transfer Water ("Agency- Western Hills Contract") provides, by a water exchange, for the delivery of up to 8,000 acre feet per year from the Agency to Western Hills Water District ("Western Hills"); the Agency-Western Hills Contract will supply water to Western HiUs to serve Phase 1 of the Diablo Grande development project located west of Interstate 5 near Patterson in western Stanislaus County, California; and WHEREAS, the Agency-Western Hills Contract water supply for the Diablo Grande project is a modification to the initial project which provided for a water supply pursuant to a 1998 Agreement to Purchase Berrenda Mesa Water District State Water Project Entitlement to Water between Western Hills and Berrenda Mesa Water District (the "Berrenda Mesa Contract"); under the Berrenda Mesa Contract, Western Hills purchased 8,000 acre feetlyear of Berrenda Mesa entitlements for delivery from the California Aqueduct; and WHEREAS, Berrenda Mesa is an Agency subcontractor and its entitlement is based on a water supply contract between the Agency and BerrendaMesa; the Agency is a SWP contractor with the State Department of Water Resources ("DWR); and WHEREAS, Western Hills now intends to obtain its water supply directly from the Agency pursuant to the Agency-Western Kills Contract, instead of purchasing the water from an Agency - 2- subcontractor (Berrenda Mesa), Western Hills will purchase it directly from the Agency; the Agency SWP entitlement water will be made available to Western Hills by exchange for the Agency's groundwater banking of local surface water supplies in the operation of the Agency's Pioneer Groundwater Recharge and Recovery Project (the "Agency Pioneer Groundwater Bank Supply"); and WHEREAS, the Agency has approved Resolution 21-00 adopting the Initial Study and Subsequent Negative Declaration for the Agency-Westem Hills Contract that evaluates the incremental differences between the impacts of the Diablo ~randedevelopment project, Berrenda Mesa Contract supply, and Agency Pioneer Groundwater Bank Supply as previously described, analyzed and approved in the Previous CEQA Documents, versus the delivery of water to the Diablo Grande project under the Agency-Western Hills contract instead of the Berrenda Mesa Contract; and WHEREAS, the environmental impacts reviewed in the above mentioned I~tialStudy are limited solely to new impacts resulting from the change in the water entitlement contract to the projects previously described and. analyzed in the Agency and Western Hills CEQA Documents; and WHEREAS, the amount of water to be provided by this project has been offered within the past year at the same price to all interested parties within Kern County and no willingness to take the water has been expressed, and the Board thereby concludes that the water offered herein is surplus to that required within the Agency and county, and the Agency further finds, in accordance with section 5 of the Kern County Water Agency Act, that the water transfered to Western Hills will not be needed for use within the Agency; and WHEREAS, the delivery ofwater to Western Hills will require agreements with the Department of Water Resources to construct a new turnout, to provide for delivery of water outside the Agency service area and to reimburse DWR for the cosr of developing the necessary agreements NOW, THEREFORE, BE IT RESOLVED by the Kern County Water Agency Board of Directors that: 1. The Board hereby bds and determines that the foregoing recitals, which are incorporated herein by reference, are true and correct; and 2. The Board hereby authorizes the President of the Board to execute, subject to approval of the General Manager and General Counsel as to form, a) "Point of Delivery Agreement Between the Department of Water Resources, State of California and the Kern County Water Agency", attached hereto as Exhibit "A. b) "Agreement Between the Department of Water Resources of the State of Californiq Kern County Water Agency and Western WsWater District for Construction, Operation and IvIaintenance ofthe Western WsTurnout a Permanent Turnout Within the California Aqueduct Right-of-way", attached hereto as Exhibit "El". C) "beernent Among the Department of Water Resources of the State of California, Kern County Water Agency and Western Hills Water District for Reimbursement of DWR's costs Related to the Transfer of Kern County Local Water to Western Hills Water District", attached hereto as Exhibit "C". RESOLUTION NO. =1 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE WESTERN HILLS WATER DISTRICT CONCERNING DIABLO GRANDE DEVELOPMENT PROJECT, AND CONSIDERING CEQA DOCUMENTS, MAKING CEQA FINDINGS, ADOPTING CEQA MITIGATION MONITORING PROGRAM, AND APPROVING SERVICE TO THE PROJECT BE IT RESOLVED by the Board of Directors of Western Hills Water District as follows: 1. BACKGROUND RECITALS AND FACTS. a. The Diablo Grande development project (the "Project") is located within Western Hills Water District (the "District"). Diablo Grande is a proposed 29,500 acre planned destination resort and residential community located in southwestern Stanislaus County, seven miles west of Interstate 5 near Patterson. The Project is planned to include golf courses, swimming and tennis facilities, hotel and conference center, winery and vineyards, municipal facilities, commercial uses, 5,000 residential dwelling units, and open space and conservation areas. b. The District proposes to provide water, sewer and storm drainage facilities and services to the Project. The Project, environmental impacts associated with the development of the Project and District service to the Project, and appropriate mitigation measures to avoid or substantially reduce environmental impacts have been thoroughly analyzed in various environmental review documents prepared under the California Environmental Quality Act ("CEQA") by Stanislaus County ("County") and Kern County Water Agency ("Kern"). c. The plan and facilities for providing District sewer and storm drainage services to the Project are described and analyzed in the Stanislaus County, Final Environmental Impact Report: Diablo Grande SpecEfic Plan (1993) (two volumes, draft and final). d. The following applies to the plan and facilities for providing District water service to the Project: 1. The on-site water treatment and distribution plan facilities are described and analyzed in the Stanislaus County, Final Environmental Impact Report: Diablo Grande Specijic Plan (1993). .. n. The District water supply for the Project will be a combination of the following sources: Kern County Water Agency-Western Hills Water District Contract to Transfer IVater (the "Kern-Western Hills Contract") (copy on file in District office); on-site groundwater; # reclaimed wastewater; and, blarshall-Davis well (limited to emergency use only). ... 111. The use of on-site groundwater, reclaimed wastewater, and Marshall-Davis well water is described and analyzed in the Stanislaus County, Final Environmental Impact Report: Diablo Grande Speclfic Plan (1993), and Stanislaus County, Diablo Grande Water Resources Plan Final Supplemental EIR (1998) (two volumes, draft and final). iv. The Kern-Western Hills Contract would provide, by a water exchange. for the delivery of up to 8,000 acre feet of State Water Project ("SWP") water per year from Kern to the District, delivered via the California Aqueduct. The Kem-Western Hills Contract water supply is described and analyzed in the Kern County Water Agency, Environmental Initial Stu4 Form and Nestive Declaration (2000), which relies on the following: Stanislaus County, Final Environmental Impact Report: Diablo Grande Speclfic Plan (1993) Stanislaus County, Diaklo Grande Water Resources Plan Final Supplemental EIR (1998) Stanislaus County Board of Supervisors Resolution No. 1999-954, Resolution iVIaking Certain Court-ikndared Findings, Parrially Recert&ing Diablo Grande Spec~ficPlan Environmental Impact Report, as Supplemented by the Diablo Grande Water Resources Plan Supplemental Environmental Impact Report, and Adopting CEQA Findings and hfitigation Monitoring Program for Diablo Grande Phase I Project Approvals (1 999) Kern County Water Agency, Initial Study and Negative Declaration for the Pioneer Groundwater Recharge and Recovery Project (1996) (These documents, including the Kern Environment Initial Study Form and Negative Declaration (2000), shall be referred to in this resolution collectively as the "CEQA Documents." Copies of the CEQA documents are available for public review at the District offices, 10001 Oak Flat Road, Patterson, California 95363.) e. The County has served as CEQA lead agency for the development of the Project and ir has prepared the 1993 final environmental impact report, 1998 ha1supplemental EIR, and 1999 County resolution described above. The County Board of Supervisors, as lead agency, has certified these final environmental documents as adequate and complete under CEQA. f. Ln December 1999, in response to a decision of the Stanislaus County Superior Court, the County Board of Supervisors adopted its Findings Regarding CEQA Compliance in Support of Re-Approval of Diablo Grande Phase I Preliminary Development Plan (attached as Exhibit A and incorporated herein), wbch was included within the 1999 resolution referred to above. 0 , Kern has served as CEQA lead agency for the approval and implementation of the Kern-Western Hills Contract and it has prepared the 1996 and 2000 initial studies and negative declarations described above. The Kern Board of Directors. as lead agency. has certified these final environmental documents as adequate and complete under CEQA. h. The County's 1998 Final Supplemental EIR and water resources plan considered a range of water supply options, including a water supply from a 1998 Agreement to Purchase Berrenda Mesa Water District State Water Project Entitlement to Water between Western Hills and Berrenda Mesa Water District (the "Berrenda Mesa Contract"). The Kern-Western Hills Contract water supply for Diablo Grande is a modification to the Berrenda mesa Contract supply. Under the Berrenda Mesa Contract, Western Hills would have purchased 8,000 acre feetiyear of Benenda Mesa entitlements to the delivery of water from the SWP delivered via the California Aqueduct. Berrenda Mesa is a Kern subcontractor and its entitlement is based on a water supply contract between Kern and Berrenda Mesa. Under the Kern-Western Hills Contract, the District instead will obtain 8,000 acre feetlyear directly from Kern through the operation of Kern's Pioneer Groundwater Recharge and Recovery Project and an exchange with the State Department of Water Resources utilizing the SWP and California Aqueduct. As explained in Kern's 2000 Environmental Initial Study Form and Negative Declaration, the physical arrangement and facilities will remain the same with the Kern- Western Hills Contract supply as compared with the Berrenda Mesa Contract supply, in that both contracts would involve the same water quantity, place of use (Diablo Grandej, California Aqueduct turnout, and District conveyance pipeline and pumping plant. The environmental analysis of the 1998 Final Supplemental EIR therefore is adequate to consider the physical and environmental impacts of the Kern-Western Hills Contract. Impacts in Kern County relating to implementation of Kern's Pioneer Groundwater Recharge and Recovery Project are addressed in Kern's 1996 Initial Study and Negative Declaration for the Pioneer Groundwater Recharge and Recovery Project. 1. The approval and implementation of the Kern-Western Hills Contract also involves the District's approval and participation in the proposed Agreement Between the Department of Water Resources of the State of California, Kern County Water Agency, and Western Hills Water District for Constmction, Operation, and Maintenance of the Western Hills Turnout a Permanent Turnout Within the California Aqueduct aght-of-Way (the "Turnout Contract") (copy on file in District office). The Turnout Contract authorizes the construction and operation of the California Aqueduct turnout to deliver water to the District. j. As a party to the Kern-Western Hills Contract and Turnout Contract and as the provider of water, sewer and storm drainage facilities and services to the Project, the District is a responsible agency for purposes of CEQA. As a responsible agency, the District must consider the environmental effects of the Project and the provision of District services to the Project as shown in the CEQA Documents, adopt mitigation measures for those parts of the Project to be implemented by the District, make findings required by CEQA, and adopt a CEQA mitigation monito~gprogram relating to the mitigation measures to be implemented by the District. (CEQA Guidelines sections l5096(f)-(h) & 15097.) The purpose of this resolution is to implement these CEQA responsible agency requirements and to approve District water, sewer and storm drainage facilities and services to the Project, including the Kern-Western Hills Contract. The "Project" for purposes of this resolution also shall include District water, sewer and storm drainage facilities and services to the Project and the Project water resources plan (including the Kern- Western Hills Contract and related implementation of the Kern Pioneer Groundwater Recharge and Recovery Project). k. The Board of Directors legally may adopt this resolution and take the actions described herein, despite any financial interests of one or more directors, based upon the authorities and procedure described in Resolution No. 99-08, adopted by the Board of Directors on August 19, 1999 2. CONSIDERATION OF CEQA DOCUMENTS. a. The District Board of Directors has (a) reviewed the CEQA Documents and finds that they are adequate for use by the District in relation to an analysis of the potential environmental effects of the Project, and (b) considered the environmental effects of the Project and provision of District water, sewer and storm drainage services to the Project, including the Kern-Western Hills Contract, as shown in the CEQA Documents. b. The District Board of Directors finds that (a) the CEQA Documents thoroughly analyze all aspects and potential environmental impacts of the proposed Project (including the Diablo Grande development, provision of District water, sewer and storm drainage services to the Project,- and Project water resources plan (including the Kern-Western Hills Contract and related implementation bf the Kern Pioneer Groundwater Recharge and Recovery Project)), (b) the CEQA Documents describe feasible mitigation- measures and consider a reasonable range- of alternatives, (c) it is unnecessary for the District to conduct any subsequent or supplemental environmental analysis, and (d) the CEQA Documents are adequate for use by the District. 3. ADOPTION OF MITIGATION MEASURES. a. The CEQA Documents propose that most of the measures appropriate to mitigate the potential environmental impacts of the Project be implemented by the County or other agencies. As it relates to providing water, sewer and storm drainage services to the Project (i.e., those parts of the Project to be approved and implemented by the District), the CEQA Documents propose that the District adopt certain mitigation measures specific to those services. The mitigation measures specific to the District are described in Exhibit B, attached hereto and incorporated herein (the "District Mitigation Measures"). The District hereby adopts, and commits to comply with and implement, the District Mitigation Measures. The District Manager is hereby authorized and directed to implement the District Mitigation Measures in the planning, design, implementation, construction, operation and maintenance of District water, sewer and storm drainage facilities and services to the Project. b. The District Mitigation Measures that relate to the design, construction, operation and maintenance of the storm drainage facilities for the Project are described in pages IV-92 - rV-96 and IV-128 of Exhibit B. Many of these mitigation measures are to be implemented through the design and construction of the storm drainage facilities, which will be regulated and monitored by the County. The District's storm drainage services will be limited to the operation and maintenance of the completed facilities. The Dishict Mitigation Measures for storm drainage services therefore shall be limited to the mitigation measures relating to the operation and maintenance of the completed storm drainage facilities. In operating and maintaining the storm drainage system, the District also commits to comply with applicable conditions and provisions of the NPDES permit(s) for stormwater discharge as approved by the Regional Water Quality Control Board. 4. FINDINGS CONCERNING ENVIRONMENTAL EFFECTS. a. The District Board of Directors hereby confirms and adopts the 1999 Stanislaus County Board of Supervisors Findings Regarding CEQA Compliance in Support of Re-Approval of Diablo Grande Phase I Preliminary Development Plan. (See Exhibit A.) b. The District Board of Directors finds that the Project may have significant impacts on the environment. A summary of the potential environmental impacts, mitigation measures, and status of potential impacts after mitigation (i.e., less than significant, significant but mitigable, or potentially significant after mitigation) is shown on Exhibit C, attached hereto and incorporated herein, and in the CEQA mitigation ~Vfonitoringand Reporting Plan for the Diablo Grande Specrfic Plan and Phase I Preliminary Development Plan (1993) and Diablo Grande Water Resources Plan Mitigation Monitoring Program (1998) (the "Diablo Grande Mitigation lbf0~t01lngPlans"), on file in the District office and incorporated herein. c. Based on the CEQA Documents, E'xhibit C, and Diablo Grande Mitigation Monitoring Plans, the District Board of Directors finds as follows: 1. For impacts relating to the provision of District water, sewer and storm drainage services to the Project and Project water resources plan, except for those impacts identified as potentially significant after mitigation, the District finds that changes or alterations have been required in, or incorporated into, the Project which avoid or substantially lessen the significant environmental impacts as identified in the CEQA Documents. .. 11. For other impacts unrelated to the provision of District water, sewer and storm drainage services to the Project and Project water resources plan, except for those impacts identified as potentially significant after mitigation, the District finds that changes or alterations to avoid or substantially lessen the significant environmental impacts are within the responsibility and jurisdiction of the County or other public agencies and that such changes or alterations have been adopted by such other agencies or can and should be adopted by such other agencies. .. . m. Some impacts are identified as potentially significant even after mitigation, and therefore are unavoidable. 5. STATENUENT OF OVERRIDING CONSIDERATIONS. The District has analyzed and considered the Statement of Ovemding Considerations that was adopted by the County Board of Supervisors for the Project. (See County Findiigs of Fact and Final Decision dated October 25, 1993, as such findings were readopted by County ResolutionNos. 98-641 and 1999-964 (copies of these documents are on file in the District office and incorporated herein) (the "County Statement of Ovemdiig Considerations")). The District finds that it concurs with the reasons and findings set forth in the County Statement of Ovemding Considerations. For those significant environmental impacts that cannot be mitigated or that remain potentially significant after mitigation, the District Board of Directors hereby adopts the County Statement of Overriding Considerations. The District Board finds that the benefits of the Project as described in the County Statement of Overriding B Considerations outweigh the unavoidable adverse environmental impacts thereby making such impacts acceptable to the District. 6. PROJECT ALTERNATIVES. .4n adequate range of Project alternatives and water supply.. . options were considered as part of the environmental review and approval process as set forth in the CEQA Documents. The District Board of Directors hereby makes the following findmgs concerning the water supply options and alternatives of the 1998 water resources plan: a. By this resolution, the District approves a water supply for the Project from the Kern- Western Hills Contract, on-site groundwater (i.e., groundwater wells withthe District), reclaimed wastewater and Marshall-Davis well (limited to emergency use only). The District is not approving any other water supply alternatives and options at this time. The District reserves its discretion to reconsider the other water supply alternatives and options at some future time, subject to additional environmental review and findings if required by CEQA. b. The District has analyzed and considered the findings that were adopted by the County Board of Supervisors explaining why the County rejected the Project alternatives. (See Stanislaus County Findings of Fact and Final Decision dated October 25, 1993 and County Resolution No. 98-641 (copies of these documents are on file in the District ofice and incorporated herein) (the "County Findings on Alternatives")). The District finds that it concurs with the reasons and findings set forth in the County Findings on Alternatives. The District therefore adopts the reasons for rejection of altematives as set forth in the County Findings on Alternatives. 7. MITIGATION MONITORING PROGRAM. The District has analyzed and considered the Diablo Grande Mitigation Monitoring Plans that were adopted by the County Board of Supervisors. The District (a) fmds that the Diablo Grande Mitigation Monitoring Plans address and provide a pian or program for monitoring or reporting of each of the District Mitigation Measures, (b) concurs with and approves the mitigation monitoring approach taken by the County in the Diablo Grande Mitigation Monitoring Plans, (c) finds that it is unnecessary for the District to prepare and adopt its own separate and different monitoring or reporting plan, and (d) finds that coordination between the District and County on mitigation will be enhanced if both agencies follow the same mitigation monitoring plan. The District Board of Directors therefore adopts the Diablo Grande Mitigation Monitoring Plans, to the extent they relate to the implementation of the water resources plan as approved by the District and the provision of water, sewer and storm drainage facilities and services to the Project. The District Manager is hereby authorized and directed to implement and comply with those portions of the Diablo Grande Mitigation Monitoring Plans that apply to the design, construction, operation and maintenance of District water, sewer and storm drainage facilities and services to the Project. 8. PROJECT APPROVAL. The District Board of Directors hereby: a. Approves the provision of water, sewer and storm drainage facilities and services to the Project on and subject to the terms and mitigation measures of the CEQA Documents. b. Approves the following District water supply sources to serve the Project: Kern- Western Hills Contract; on-site groundwater (i.e., groundwater wells within the District); reclaimed wastewater; and, Marshall-Davis well (limited to emergency use only). c. Approves the Kern-Western Hills Contract in substantially the form attached as presented at this meeting, authorizes and directs the President and Secretary to sign the Contract, and authorizes and directs the District Manager to proceed with the implementation of the Contract. d. Approves the Turnout Contract in substantially the form attached as presented at this meeting, authorizes and directs the President and Secretary to sign the Contract, and authorizes and directs the District Manager to proceed with the implementation of the Contract. e. Authorizes the President, with the advice of District counsel, to approve minor changes and insertions as may be necessary to fmalize the Kern-Western Hills Contract and Turnout Contract. 9. FUNDING BY DEVELOPER. The District reaffirms and confirms the ongoing validity of the following agreements between the District and Diablo Grande Limited Partnership: June 4, 1998 Master Agreement to Provide Water, Sewer, and Storm Drainage Services, and June 11, 1998 Agreement for the Construction and Dedication of Water Treatment and Delivery Facilities and to Advance Funds for the Acquisition of Off-Site Water Supplies. The District's obligation to provide water, sewer and storm drainage facilities and services to the Project remains subject to the developer's obligation to advance funding for the facilities pursuant to these 1998 agreements. 10. NOTICE OF DETERMINATION. The District Secretary is hereby authorized and directed to forthwith execute and file a CEQA notice of determination consistent with this resolution with the State Clearinghouse and the Stanislaus and Kem County Clerks. 11. CUSTODIAN OF RECORDS. The following shall be the custodian of the record of proceedings upon which thls decision is based: David 0. Romano, District Secretary, 801 Tenth Street, 5th Fl., Ste. 1, Modesto CA 95354-2303. PASSED AND ADOPTED by the Board of Directors of the Westem Hills Water District on the 24" day of March 2000, by the following vote: AYES: Directors DUCK, LIGHTLY and President SCHNEIDER NOES: none ABSTAIN: none Al3SENT: Directors \EST and BALFOUX LIST OF EXHIBITS A 1999 Stanislaus County Board of Supervisors Findings Regarding CEQA Compliance in Support of Re-Approval of Diablo Grande Phase I Preliminary Development Plan. B District CEQA Mitigation Measures. C Summary of potential environmental effects, mitigation measures and status after mitigation.