City Council/Successor Agency Agenda Item Summary Agenda Item: 1 Meeting Date: July 8, 2020 Agenda Section: Staff Contact: Proclamations/Presentations David Kelley, City Manager Agenda Item Title: Presentation by Sonoma Water on the Temporary Urgency Change Petition and Potter Valley Project Status ________________________________________________________________________________________ Recommended Council Action(s): Receive Presentation from Sonoma Water providing an update on Sonoma Water Temporary Urgency Change Petition to the Federal Energy Regulatory Petition and the Potter Valley Project Status. ________________________________________________________________________________________ Background: Sonoma Water was created as a special district in 1949 by the California Legislature to provide flood protection and water supply services. The Sonoma County Board of Supervisors acts as Sonoma Water's Board of Directors. Sonoma Water is a separate legal entity created by State law, having specific limited purposes and powers, and separate sources of funding. Sonoma Water is thus different from County departments, which are created by the Board of Supervisors for administrative purposes. Sonoma Water manages and maintains a water transmission system that provides naturally filtered Russian River water to nine cities and special districts that in turn delivers drinking water to more than 600,000 residents in portions of Sonoma and Marin counties. Sonoma Water is a water wholesaler that provides drinking water to the following cities and special districts: City of Cotati, Marin Municipal Water District, North Marin Water District, City of Petaluma, City of Rohnert Park, City of Santa Rosa, City of Sonoma, Valley of the Moon Water District, Town of Windsor. ________________________________________________________________________________________ Summary: On May 13th, 2020, Sonoma Water released a Press Release announcing an ambitious plan to advance restoration of Eel River fisheries while maintaining water security for Russian River basin water users. Five diverse entities including California Trout, the Round Valley Indian Tribes, the County of Humboldt, Mendocino County Inland Water and Power Commission and Sonoma Water formed the Two-Basin Partnership. The Partnership developed the Feasibility Study Report (Report) filed with the Federal Energy Regulatory Commission (FERC). The Report was filed with FERC as the next step in the effort toward securing a new license for the Potter Valley Project, which is currently owned by PG&E. On June 10th, 2020 Sonoma Water General Manager Grant Davis notified the City of Cloverdale that Sonoma Water filed a Temporary Urgency Change Petition (TUCP) to the State Water Resources Control Board that seeks temporary reduced flows in the Russian River this summer and fall. The North Bay region is facing the third driest year on record. Sonoma Water seeks to preserve water storage in the regional water supply system and continued water saving efforts in our communities. The TUCP seeks approval from the State Water Board to reduce Russian River flows in order to preserve water supplies in Lake Mendocino. If approved, the TUCP would modify how Sonoma Water manages Lake Mendocino water supplies for urban consumption and ensure cold water for the fall migration of endangered salmon in the upper Russian River. 5 City Council/Successor Agency Agenda Item Summary Meeting Date: July 8, 2020 Item No. 1 Page 2 of 2 If the TUCP is approved, effective July 1, minimum in-stream Russian River flows would be managed as below through December 27, 2020: • Upper Russian River (From Lake Mendocino to Dry Creek confluence): No less than 50 cubic feet per second • Lower Russian River (From Dry Creek confluence to the Pacific Ocean): No less than 60 cubic feet per second The Potter Valley Project and TUCP filed by Sonoma Water have significant implications for the City of Cloverdale’s water supply. Sonoma Water staff prepared a presentation to provide an informational update on the status of both of these important projects to the Cloverdale City Council. Pam Jeane, Assistant General Manager and Don Seymour, Principal Engineer will provide the Presentation to the City Council. ________________________________________________________________________________________ Alternative Options: 1. Receive Presentation from Sonoma Water and take no action; or 2. Provide Feedback and direction to City staff on Sonoma Water’s presentation and refer to a Council Subcommittee for further review and discussion ________________________________________________________________________________________ Subcommittee Recommendation: Sonoma Water’s Presentation was not reviewed by a Council Subcommittee prior to consideration by the City Council. ________________________________________________________________________________________ Budget/Financial Impact: There is no budget or funding impact associated with Sonoma Water’s presentation. ________________________________________________________________________________________ Attachments: 1. PowerPoint Presentation 6 Attachment 1 Clean. Reliable. Essential. Every day. Temporary Urgency Change Petition and Potter Valley Project Status Cloverdale City Council July 8, 2020 Pam Jeane – Assistant General Manager Don Seymour – Principal Engineer sonomawater.org 7 Russian River Water Supply Condition • Based on Sonoma Water’s water right permits and State Board Decision 1610, the water supply condition for Russian River is classified as Dry • Minimum Instream flow requirements for the remainder of the year: Upper Russian River – 75 cfs Lower Russian River – 85 cfs 8 2020 Precipitation 9 2020 Lake Mendocino Deviation 10 Potter Valley Project Flow Variance • April 17, 2020 PG&E filed a variance with FERC requesting to temporarily reduce minimum instream flow requirements in the East Fork Russian River below the Powerhouse • April 30, 2020 FERC issued an order approving the temporary flow changes • PVP flow variance has reduced inflow into Lake Mendocino by 50 to 60 acre-feet per day • Based on analyses prepared by Sonoma Water engineering staff, Lake Mendocino storage will decline to 30,000 acre-feet by early October unless mitigation measures are taken 11 2020 TUCP Request • From July 1 through December 27 Reduce minimum instream flow requirement on Upper Russian River from 75 cfs to 50 cfs Reduce minimum instream flow requirement on Lower Russian River from 85 cfs to 60 cfs Minimum instream flow requirement will be implemented as a 5-day running average of average daily stream flow measurements with instantaneous minimum instream flows being no less than 40 cfs on the Upper Russian River and no less than 50 cfs on the Lower Russian River 12 Water Target Storage Levels 13 Community Engagement 14 PG&E’s Potter Valley Project 15 Two River Basins Eel River Watershed Potter Valley Project Russian River Watershed 16 17 18 How We Got Here • April 2017: PG&E began Federal Energy Regulatory Commission (FERC) Relicensing Process - current license expires April 2022 • May 2017: Congressman Huffman convened Ad Hoc Committee to work on a Two-Basin Solution • Late January 2019: PG&E withdrew Notice of Intent to Relicense the PVP • March 1, 2019: FERC issued Notice of Solicitation for Applications - due July 1, 2019 19 Uncertain Future of Project • Discussions with Mendocino County Inland Water and Power Commission and Cal Trout resulted in “Planning Agreement” Proposal • Very Compressed Timeline • Best Option toward Two-Basin Solution – Water Supply Reliability – Fisheries Protection and Restoration – Some Certainty in FERC Process – Continued Collaboration with Others in Region 20 Planning Agreement Partners • Shared Objectives, Pool Resources • Submitted NOI/PAD before FERC deadline • Feasibility Study Report – Submitted May 13 – Regional Entity – Project Plan – Fisheries Restoration Plan – Application Study Plan – Financial Plan • Integrated Licensing Process restarts now! 21 Potential Licensing Proposal, Not a Commitment • Planned Project based on the Shared Objectives – Protecting tribal, cultural, economic, and other interests – Reliance on best available science and engineering analyses – Improving fish passage and habitat on the Eel River – Continued hydroelectric generation – Economic welfare of both basins and collaboration on funding – Minimizing or avoiding impacts to water supply reliability, fisheries, water quality & recreation • Moving Forward - Active participation of tribes and other stakeholders supportive of the Shared Objectives – Re -initiation of a FERC relicensing process – Very preliminary technical information at this time – Several technical and economic issues need further study – Studies and stakeholder input will shape the project moving forward – Parties are committed to working with other interested parties to become equal partners in the process • Proposal will become a commitment only when license application is submitted and approved 22 Next Steps • On current schedule, Partners will: – File Initial Study Report this September, to summarize results of PG&E’s studies through 2018 – Conduct second year of studies in 2021 – File draft license application in November 2021 – File final license application in April 2022 • Schedule subject to adjustment based on funding for relicensing studies and process 23 Learn More Saving water: www.savingwaterpartnership.org Potter Valley Project: www.twobasinsolution.org Congressman Huffman’s Ad Hoc Website: pottervalleyproject.org Sign