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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />NOVEMBER 5, 2019 <br />TITLE: <br />APPROVE AGREEEMENT WITH <br />METROPOLITAN WATER DISTRICT OF <br />SOUTHERN CALIFORNIA AND THE <br />MUNICIPAL WATER DISTRICT OF <br />ORANGE COUNTY FOR IN -LIEU TREATED <br />WATER DELIVERIES <br />(NONGENERAL FUND) <br />{STRATEGIC PLAN NO. 5,21 <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 1" Reading <br />❑ Ordinance on 2ntl Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CONTINUED TO <br />/s/ Kristine Ridge FILE NUMBER <br />CITY MANAGER <br />RECOMMENDED ACTION <br />Authorize the City Manager to execute an agreement with the Metropolitan Water District of <br />Southern California and the Municipal Water District of Orange County for in -lieu treated water <br />deliveries, beginning on November 5, 2019 and expiring on July 1, 2027, subject to non -substantive <br />changes approved by the City Manager and City Attorney. <br />DISCUSSION <br />The Metropolitan Water District (MWD) is a wholesale water provider to its 26 member agencies; <br />the City of Santa Ana and the Municipal Water District of Orange County (MWDOC) are member <br />agencies of MWD. MWD provides imported surface water to the Southern California region from <br />both the Sacramento Bay Delta to the north, and the Colorado River to the east. A significant <br />amount (approximately 25 percent) of water supplied by the City of Santa Ana to its residents and <br />businesses is purchased from MWD. The balance of water supplied by the City is pumped <br />groundwater from the Orange County Basin. <br />The heavy rains and snowfall experienced across the State during the winter seasons of 2016- <br />2019 has resulted in an abundance of surface water runoff into the Sacramento Bay Delta. This <br />surface water must be stored, consumed, or allowed to flow into the ocean. As a result, MWD has <br />filled its reservoirs and must find additional storage space and use for the surface water, or risk <br />losing this precious resource to the ocean. <br />One strategy available to MWD is to ask groundwater producers, such as Santa Ana, to increase <br />the amount of MWD surface water they use, and decrease groundwater pumping. This "in -lieu <br />pumping" (water banking) strategy will allow Santa Ana to save its basin groundwater. In future <br />25E-1 <br />