QUESTIONS FOR MOSS LANDING DESALINATION PRESENTERS

MPWMD Workshop -- July 29, 2004

The following questions were prepared by MPWMD staff. Answers to some questions may be contained in the presentations by Cal-Am/Monterey County and Pajaro/Sunny Mesa CSD.

FOR BOTH PRESENTERS:

q PROJECT COST - What is the estimated project cost?

q Does this cost include the desalination plant as well as infrastructure such as intake/discharge, distribution pipelines, and pump stations?

q Are environmental mitigation capital costs included in the current cost estimate?

q What is the current condition of the intake and discharge pipelines you plan to use? Do your cost estimates include rehabilitation costs, if needed?

q If the costs for the above components are not known, when will these estimates be available?

q FINANCING - What type of financing is envisioned? If not known, when will this information be available?

q RATE IMPACTS - What is the estimated impact on the average residential Cal-Am water bill? If not known, when will you have an estimate of impacts to ratepayers?

q TIMELINE - What is timeline do you anticipate for project completion, and what intermediate dates do you foresee prior to project completion?

q NEAR TERM - How far along do you think your proposed project will be one year from today.  Share with us your best guess as to its progress in the arenas of (a) permit application and approval, (b) environmental review, (c) design, and (d) financing.

q REGULATORY PROCESS - What are the critical governmental approval steps that you foresee?  Which are the key agencies, and when do you plan to apply for approval from each?

q ENVIRONMENTAL - Do you anticipate that your project will need an E.I.S. to comply with the federal environmental process?  If so, which federal agency do you think will be the lead agency, and when do you anticipate they will become involved?

q ENERGY - Given concerns about California's power grid, what provisions will be made to prevent project water supply service interruptions due to power outages or rolling blackouts?

q SANCTUARY ISSUES - Do you anticipate that your project will need approval from the National Marine Sanctuary?  If not, please explain. 

q News articles indicate that the Coastal Commission and NOAA will not approve two desalination projects at Moss Landing. If so, tell us why you believe your project is best.

q PARTNERSHIPS - Have you considered partnering with your competitor to build one desal plant at Moss Landing?

q How do you intend to explore regional water supply partners (such as MPWMD)?

q What would you like to see MPWMD do to help further this project?

q PUBLIC INVOLVEMENT - What public involvement programs are planned? 

FOR CAL-AM/MONTEREY COUNTY:

q CPUC PROCESS - Please explain in more detail the process by which the California Public Utilities Commission will review and approve your project. 

q When will an application be filed, and when do you anticipate that any hearings on the project will be held?

q DUKE ENERGY COMMITMENT - Do you now have a commitment from Duke Energy regarding use of their property for a full-scale desalination plant (above and beyond the pilot plant)?

q When will you know if you have a commitment?

q What will you do if Duke Energy chooses not to allow use of its property?

q ROLE OF PRIDESA - What will be the role of Pridesa, a Spanish desalination specialist and RWE subsidiary?

FOR PAJARO/SUNNY MESA:

q CEQA - Will your agency serve as the CEQA lead agency for an EIR on the project?

q FINANCING - Given that you are a small community services district, how will you finance a large desalination project?

U:\Henri\wp\staffnote\2004\questions072904.doc

Final - HS/AB/DCL/DF/DB