ITEM: CONSENT CALENDAR

11. APPROVE AMENDED MEMORANDUM OF AGREEMENT BETWEEN THE MONTEREY PENINSULA WATER MANAGEMENT DISTRICT AND THE CARMEL RIVER STEELHEAD ASSOCIATION

Meeting Date: July 21, 2003 Budgeted: N/A

Program/Line Item No.: N/A

Staff Contact: Cynthia Schmidlin Cost Estimate: N/A

General Counsel: Review Pending

Committee Recommendation: The Administrative Committee reviewed this item on July 15, 2003 and recommended approval.

CEQA Compliance: N/A

SUMMARY: A previously approved but unexecuted Memorandum of Agreement (MOA) between the Monterey Peninsula Water Management District and the Carmel River Steelhead Association (CRSA) to deliver rescued juvenile steelhead to the District’s Sleepy Hollow Steelhead Rearing Facility contains a requirement for liability insurance in excess of the amount currently carried by the CSRA. Increased coverage costs would be prohibitive for that organization. Therefore, the MOA is being brought back to the Board for reconsideration, with an amendment to paragraph 17. Approval of the amended MOA, reducing the coverage amount from $2,000,000 to $1,000,000 per incident, up to an aggregate of $2,000,000, would allow the agreement to proceed.

RECOMMENDATION: District staff recommends approval of the amended Memorandum of Agreement (Exhibit 11-A).

BACKGROUND: On June 16, 2003, the Board approved an agreement with the Carmel River Steelhead Association (CRSA) to deliver juvenile steelhead that are rescued from tributaries of the Carmel River and to rear these fish at the District’s Sleepy Hollow Steelhead Rearing Facility. This agreement required that the CSRA have liability insurance in the amount of $2,000,000 per incident of bodily injury and/or property damage combined, for damages arising out of bodily injuries to or death of all persons and for damages to or destruction of property, including the loss thereof. The CSRA’s liability insurance covers $1,000,000 per incident up to an aggregate of $2,000,000. Increased coverage costs would be prohibitive for the organization. It has been determined by District staff that this coverage, which is the same level required by the California-American Water Company for CSRA’s operation on their property, is sufficient to provide adequate risk protection for the District.

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