The Coastal Water Project A water supply solution for our coastal communities

1
The Coastal Water Project A water supply
solution for our coastal communities
Monterey Peninsula Water Management
District March 21, 2005
2
Todays Purpose

• Update on Coastal Water Project Since
• July 29, 2004
• Monterey Peninsula Water Management
• Presentation

3
Coastal Water Project Past Presentation Themes
40 Presentations

• Round One Presentation - June - July 2004
• Introduction
• Approach to Project
• MPWMD July 29, 2004
• Round Two Presentation - August - November 2004
• Detailed Project Description
• Cost
• Round Three Presentation - Underway
• Progress Report
• Importance/Relevance of Project
• Retrospective

4
Coastal Water Project Is Environmentally Driven

• Solves SWRCB 95-10 Order (Reduce Carmel River
  Supply by 70)
• Mitigates Endangered Species Issues
• Diversifies and Increases Reliability of Supply
  Portfolio
• Protects Seaside Basin for Long-term Reliability
• Protects Local Economy
• Reduces Future Moratorium Threats

5
Coastal Water Project Is On Track

• Ongoing Communication with California Public
  Utilities Commission (CPUC)
• Coordinating with Monterey County Water Resources
  Agency (MCWRA)
• Coordinating with Monterey Peninsula Water
  Management District (MPWMD) on Aquifer Storage
  and Recovery (ASR)
• Detailed Engineering and Environmental Studies
  Nearing Completion

6
Coastal Water Project Is On Track

• Coordinating with Permitting/Regulatory Agencies
• Held Permit Workshop with 27 agencies at RBF
  Office in Marina on July 15, 2004
• Met with Coastal Regulating Agencies to Review
  Project on January 28, 2005
• MPWMD
• California Coastal Commission
• Monterey Bay National Marine Sanctuary
• Monterey County Planning, Water Resources and
  Environmental Health
• NOAA Fisheries
• Others

7
Coastal Water Project Is On Track

• Presentations to over 40 Cities/Agencies/Organizat
  ions/Town Halls
• Moving Forward with Realistic Schedule
• Cost Estimates Completed
• Capital
• Operations and Maintenance
• Over 4 Million Invested in Environmental /
  Engineering Studies by Company
• Timely and Detailed Updates to Public
• Filed CPUC Application on September 20, 2004
• Proponents Environmental Assessment (PEA) to be
  Filed June 2005

8
Proposed Coastal Water Project Components

• Ocean Desalination Plant
• Moss Landing
• Horizontal Directional Drilling (HDD) Wells
  (Seawater)
• Conveyance and Storage Facilities
• Aquifer Storage and Recovery (ASR)

9
Coastal Water Project Demand
Water demand numbers provided by Monterey
County Water Resources Agency (MCWRA)
10
Preliminary Engineering Completed
11
Coastal Water Project Alternative Plant Sites
Identified
12
Special Studies to Support Environmental
Approvals

• Project Description and Alternatives Updates
• Completed
• Pipeline Alignments
• Identified
• Horizontal Directional Drilling (HDD) Intake and
  Brine Discharge Study
• Completed
• HDD Intake Results Feasible
• Team Providing Support to
• City of Long Beach HDD Prototype
• Municipal Water District of Orange County

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HDD Intake
14
Special Studies to Support Environmental
Approvals

• Aquifer Storage and Recovery (ASR)
• Analysis Completed ASR Feasible
• Sites Identified
• Coordinating with MPWMD
• Computer Modeling Runs Provided to MPWMD
• Numerous Coordination Meetings
• Brine Modeling and Duke Outfall
• Preliminary Models Completed
• Preliminary Results Show Minor Part Per Thousand
  Salinity Increase
• Marine Impact Analysis Underway

15
Special Studies to Support Environmental
Approvals

• Pilot Plant
• Currently Being Fabricated by Pridesa
• Coordinated with Duke
• Permits
• Monterey County
• Regional Water Quality Control Board
• California Coastal Commission
• Operational by September

16
Preliminary Estimated Capital Construction Costs
Identified
Estimated Estimated Total Cost Cost per
AFY 146,000,000 1,100 13,500,000 1,100
48,700,000 1,100 28,100,000 940
23,900,000 750 260,200,000

• Based on Prorata Share of CWP Participation
• Component 1 Order 95-10 (10,730 AFY)
• Component 2 Seaside Overdraft (1,000 AFY)
• Component 3 MPWMD 20 Year Projections (3,572
  AFY)
• Component 4 MCWD (2,400 AFY)
• Component 5 Northern County Areas (2,570 AFY)

AFY Acre-Feet per Year Based on interest
rate of 7 for 30 year return period
17
Preliminary Operation Maintenance Annual Costs
Identified
Estimated Estimated Total Cost Cost per
AFY 5,400,000 500 500,000 500 1,700,000
500 1,300,000 585 1,400,000 588 10,300,000

• Based on Prorata Share of CWP Participation
• Component 1 Order 95-10 (10,730 AFY)
• Component 2 Seaside Overdraft (1,000 AFY)
• Component 3 MPWMD 20 Year Projections (3,572
  AFY)
• Component 4 MCWD (2,400 AFY)
• Component 5 Northern County Areas (2,570 AFY)

AFY Acre-Feet per Year Based on interest
rate of 7 for 30 year return period
18
Preliminary Capital and OM Cost Comparisons Per
Acre Foot
Based on electrical rate per CPUC Plan B Per
Final Phase 1 Technical Memorandum dated March
2003 and lowered to represent CPUC Plan B
electrical rate
19
Proposed Project Timeline is On Track
20
California American Water Supports Public
Governance Model
December 2006

Coastal Commission
Approval

April 2006

Environmental Impact
Report (EIR) Adopted

June 2005

Proponents Environmental
Assessment (PEA)

12 Month Engineering
and Environmental

Studies
CPUC Process

Local Governance

21
Community OutreachMonterey Peninsula Polling
Results

• Findings based on 500 interviews, random sample
  of registered
• voters in MPWMD area. Conducted by Decision
  Research
• November 9-11, 2004.
• Respondents Have A Positive Attitude Toward
  Desalination
• 75 of respondents say desalination is an
  important
• potential source of additional water only 15
  oppose
• Support for The Coastal Water Project (CWP) is
  Strong
• 74 support the CWP only 19 oppose
• Respondents Prefer California American Water Over
  Pajaro-Sunny Mesa (PSM) When it Comes to
  Operation of a Desalination Facility
• 48 prefer California American Water 15 prefer
  PSM and 37 are unsure

22
Community OutreachMonterey Peninsula Polling
Results

• Findings based on 500 interviews, random sample
  of
• registered voters in MPWMD area.
• Conducted by Decision Research
• November 9-11, 2004.
• Respondents Appreciate the Argument that the
  Plant Would Help the Environment
• 67 agree that a desalination plant would help
  restore the Carmel River Watershed.
• Need for More Water Trumps Growth Concerns
• 67 agree more that a desalination plant would
  mean a desperately needed source of water.

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Position on Coastal Water Project
As you may know, a proposal has been made called
The Coastal Water Project to address the water
supply needs on the Monterey Peninsula. This
proposal would mean building a desalination plant
in Moss Landing and an underground water storage
facility in Seaside, both of which would be
completed in about five years. Generally
speaking, do you favor or oppose this proposal as
a way of meeting the regions water supply needs?
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Coastal Water ProjectContact Information

• Upcoming Town Hall Meetings
• Wednesday, March 30, 2005 - Moss Landing
• Moss Landing Chamber of Commerce
• Wednesday, April 6, 2005 - Carmel/Carmel Valley
• Rancho Cañada
• Wednesday, April 13, 2005 Seaside/Monterey
• Embassy Suites
• Wednesday, April 27, 2005 Pacific Grove
• Sally Griffin Senior Center
• Permit Coordination Center Project Library
• Location - RBF Consulting Office, 3180 Imjin
  Road, Marina
• Telephone Number - 831.883.8187
• Project Website
• www.coastalwaterproject.com
• Email
• info_at_coastalwaterproject.com

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Questions Discussion
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The Coastal Water Project A water supply
solution for our coastal communities