ITEM: IX INFORMATIONAL ITEMS/STAFF REPORTS

I. WATER USE CREDIT TRANSFER STATUS REPORT

Meeting Date: January 31, 2002 Budgeted: N/A

Program/Line Item No.: N/A

Staff Contact: Debbie Martin Cost Estimate: N/A

General Counsel Approval: N/A

Committee Recommendation: N/A

CEQA Compliance: N/A

SUMMARY: Included as Exhibit I-1 is a table listing all pending Water Use Credit Transfer applications. As shown, the table provides information on the originating site of the credit, the applicant, the receiving site, the jurisdiction in which the transfer would occur, the date the application was received, the status of the application, and the quantity of water proposed for transfer.

As of December 18, 2001, all transfer applications must be approved by the Board of Directors. Prior to December 18, 2001, four water use credit transfers were finalized and the water permit was issued for an expansion to the Cypress Inn in Carmel. These applications were processed under the rules in effect at the time the application was received and were not subject to the financial disclosure requirements of Ordinance No. 97 which was adopted on March 19, 2001. Ordinance No. 97 limits the amount of monetary or other reimbursement received by a property owner in exchange for a water credit transfer to a value equal to the connection charge associated with the amount of Water Use Credit transferred.

BACKGROUND: Water Use Credit Transfers are governed by District Rule 28. Transfers of Water Use Credits from an existing commercial use to an expanding commercial use in the same jurisdiction were first allowed in December 1993. In September 1995, the District Rules were amended to also allow commercial water use credits to be transferred into a jurisdiction’s allocation. Once a Water Use Credit is transferred to a jurisdiction’s allocation, the water is available for use at the jurisdiction’s discretion and can be used for residential or commercial uses, including both new construction and remodels.

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Exhibit I-1

Pending Water Use Credit Transfer Applications (Alphabetical by Receiving Date)
Originating Site/Prior Use	Applicant	Receiving Site/Proposed Use	Jurisdiction	Date Rec’d at District	Status*	Acre-Feet Proposed for Transfer
Robert Louis Stevenson Upper School / School 3152 Forest Lake Road Pebble Beach, CA 93953	Robert Louis Stevenson School	Robert Louis Stevenson Lower and Middle School · School	Monterey County	2-23-2000	Application incomplete · Needs approval of transfer by jurisdiction · Needs water permit application for receiving site	0.700
Carmel Valley Racquet and Health Club / Health Club 27300 Rancho San Carlos Rd., Carmel, CA 93923	Dennis R. Shepherd	Monterey County	Monterey County	2-24-2000	Application incomplete · Needs approval of transfer by jurisdiction · Aggregate transfer requests from originating site exceed credit available for transfer	1.190
Carmel Valley Racquet and Health Club / Health Club 27300 Rancho San Carlos Rd., Carmel, CA 93923	Bruce Knutson c/o Lombardo & Gilles	Ania Malkowska’s Original Ceramics/ Storage Project · Unknown Proposed Use**	Monterey County	3-15-2000	Application incomplete · Needs approval of transfer by jurisdiction · Aggregate transfer requests from originating site exceed credit available for transfer · Needs water permit application for receiving site	0.4711
Cavanaugh’s 1732 Fremont Blvd. Seaside, CA 93955	Ray Evers	City of Seaside	Seaside	6-15-2000	Application incomplete · Needs approval of transfer by jurisdiction · Needs documented Water Use Credit · Needs to provide water account numbers · Needs letter of owner’s consent to a deed restriction	2.000
Bertolucci Restaurant 208 Forest Avenue Pacific Grove, CA 93950	Frank Morris	Frank’s 17^th Street Grill	Pacific Grove	12-19-2000	Application incomplete · Processing fee required · Needs to provide water account numbers · Needs receiving site property owner’s authorization for deed restriction · Needs to provide proof that receiving site is commercial use · Needs approval of transfer by jurisdiction · Needs water permit application for receiving site/approve plans	0.080
Former Spinning Wheel Restaurant Monte Verde South of Ocean, Carmel, CA 93921	John Mandurrago	City of Carmel	Carmel	3-19-2001	Application incomplete · Needs approval of transfer by jurisdiction	0.476
TOTAL						4.9171

Notes:

* All complete applications are subject to recordation of a deed restriction on the title of the originating property. Securing the property owner’s authorization to record a notice on the title that irrevocably extinguishes any right or entitlement to the actual water use, water use capacity, or water credit which has been transferred is required to complete a transfer. This step is taken after the complete application is received and just prior to the actual transfer of the Water Use Credits.

** “Unknown proposed use” indicates that the application does not include sufficient data to characterize the types and quantity of water use on the receiving site.

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D. Martin, Pending Water Use Credit Transfer Applications, 3 pages, January 11, 2002 (10:50am)