Item 22 - Resolutions for Wells 27 and 28 PFAS Treatment System Funding

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INSURANCE NOT REQUIRED A-2020-103 WORK MAY PROCEED Return ORIGINAL CLERK OF COUNCIL executed eoov to rOTC, to Tc V 13S I ;I O M-30 EXHIBIT 1 Wa (lt leir IolP1 rM PFAS TREATMENT FACILITIES AND PROGRAM AGREEMENT This PFAS TREATMENT FACILITIES AND PROGRAM AGREEMENT (the Agreement") is effective on the date identified in Section 10.17 ("Effective Date") of the Agreement, and is between the ORANGE COUNTY WATER DISTRICT, a special governmental district organized and existing pursuant to the Orange County Water District Act, Chapter 924, Statutes of 1933, as amended ("OCWD") on the one hand, and the Cities of Anaheim, Fullerton, Garden Grove, Orange, Santa Ana and Tustin; and the East Orange County Water District, Irvine Ranch Water District, Serrano Water District, Yorba Linda Water District, and Golden State Water Company (each a "Producer," and collectively "Producers"') on the other. OCWD and the Producers are each a "Party" and collectively "Parties" to this Agreement. A. OCWD manages the Orange County Groundwater Basin ("Basin") in northern and central Orange County in order to support a variety of beneficial uses, including potable and non - potable water supply. Much of the potable water supply currently used within northern and central Orange County is pumped groundwater for use by persons and Producers within OCWD's service area. Section 2, subdivision 60.) of the Orange County Water District Act ("OCWD Act") authorizes OCWD to "transport, reclaim, purify, treat, inject, extract, or otherwise manage and control water for the beneficial use of persons or property within the district and to improve and protect the quality of the groundwater supplies within the district." Inasmuch as Orange County is located in a semi -arid area, it is essential that all reasonable efforts be put forth by OCWD, in cooperation with the Producers, to protect the quality and quantity of groundwater supplies within OCWD's boundaries. B. A group of man-made substances known as per- and polyfluoroalkyl substances PFAS") has been used in numerous consumer and industrial products since the 1940s. Recent testing in the Basin has revealed that as of the Effective Date, at least eleven producers and at least 71 groundwater wells that are sources of drinking water in the Basin are impacted by PFAS. C. Producers are governmental agencies (or a regulated public utility) that operate public water systems for the purpose of delivering potable water. They obtain a portion of their water supply by pumping groundwater from Water Producing Facilities within the Basin. D. In July 2018, the State of California Division of Drinking Water ("DDW") established a Response Level ("RL") of 70 parts per trillion ("ppt") for perfluorooctanoic acid PFOA") and 70 ppt perfluorooctane sulfonate ("PFOS"), two types of PFAS. In February 2020, DDW established revised RLs of 10 parts ppt for PFOA and 40 ppt for PFOS. Assembly Bill 756, codified at Health and Safety Code Section 116378, and effective January 1, 2020, requires that community water systems, including Producers, either notify their customers of PFAS detections Producers" means the listed public agencies (and a regulated public utility) identified herein, and groundwater pumpers later added per Section 10.16, that extract groundwater from the Basin via "Water Producing Facilities" (as that term is defined in Section 24 of the OCWD Act), and who are adversely impacted by PFAS in one or more Water Producing Facility/Faeilities they own or operate. 1629/022499-0087 14979764.1 .04/17/20