Agenda

Return

C. 64

To:	Board of Supervisors
From:	Julia R. Bueren, Public Works Director/Chief Engineer
Date:	February 10, 2015

Contra

Costa

County

Subject:

Granting of a Pipeline Franchise to Golden State Water Company

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 02/10/2015

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Mary N. Piepho, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

ABSENT:

Candace Andersen, District II Supervisor

Contact:

Carrie Ricci, 925-313-2235

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: February 10, 2015
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

ADOPT Resolution No. 2015/49 granting a pipeline franchise to Golden State Water Company pursuant to the terms and conditions of County Ordinance No. 2013-19 and County Resolution No. 2013/305 for pipelines located in the unincorporated area of the County, as recommended by the Public Works Director.

FISCAL IMPACT:

The pipeline franchise will generate approximately $70,000 per year in calendar year 2015. In each subsequent calendar year the franchisee will pay the County two percent (2%) of the gross annual receipts of the grantee arising from the use, operation or possession of the franchise; provided, however, that such payment shall in no event be less than one percent (1%) of the grantee’s gross annual receipts derived from the sale within the limits of the County of the utility service for which the franchise is awarded.

BACKGROUND:

On August 13, 2013, this Board adopted Ordinance No. 2013-19 (establishing regulations for granting pipeline franchises in County rights-of-way), and Resolution No. 2013/305 (establishing pipeline franchise fee amounts).

BACKGROUND: (CONT'D)

Golden State Water Company has filed a written application with the County, dated January 13, 2014, wherein it has requested the granting of a pipeline franchise for the transportation of water pursuant to the terms and conditions of County Ordinance No. 2013-19. Golden State Water Company also provided the $5,000 deposit to cover all administrative costs associated with the granting of this pipeline franchise, as required by Ordinance No. 2013-19 and Resolution No. 2013/305.

Approval of Resolution No. 2015/49 will grant a pipeline franchise to Golden State Water Company for the pipelines located within the County’s rights of way for a term of ten years.

On December 14, 1965, the County Board of Supervisors adopted Ordinance 1953 which granted a pipeline franchise to Bay Water Company for a period of 40 years. Bay Water Company provided potable water to residents located with portions of the unincorporated County. On November 29, 1966, the County Board of Supervisors adopted Resolution 5776 approving the assignment of the pipeline franchise from Bay Water Company to Southern California Water Company. In 2005 Southern California Water Company changed its name to Golden State Water Company. Golden State Water Company provides water service to Bay Point residents.

CONSEQUENCE OF NEGATIVE ACTION:

Golden State Water Company will not obtain the required authorization to operate and maintain their pipelines within the County right-of-way.

CHILDREN'S IMPACT STATEMENT:

Not applicable.