ITEM:		PUBLIC HEARING
10.	CONSIDER SECOND READING AND ADOPTION OF ORDINANCE NO. 194 AMENDING RULE 11 AND ADDING RULE 23.10 TO ESTABLISH A WATER ENTITLEMENT FOR THE CITY OF SEASIDE
Meeting Date:			February 12, 2024	Budgeted:	N/A
From:			David J. Stoldt,	Program/	N/A
			General Manager	Line Item No.:
Prepared By:			Stephanie Locke	Cost Estimate:	N/A
General Counsel Review: Yes
Committee Recommendation: N/A
CEQA Compliance: MPWMD has determined that a Statutory Exemption applies as defined in CEQA Guidelines Section 15268 (Ministerial Projects), based on previous environmental determinations by the Courts.

SUMMARY: Ordinance No. 194 (Exhibit 10-A) establishes a Water Entitlement for Benefited Properties in the City of Seaside supplied by California-American Water Company (Cal-Am) from Wells located in the Coastal Subareas of the Seaside Groundwater Basin based on a temporary assignment of Seaside’s banked water credits from its in-lieu groundwater storage program as recognized by the Seaside Watermaster. The ordinance establishes the City of Seaside (Seaside) Water Entitlement of 13.00 Acre-Feet annually (AFA) through the California-American Water Company (Cal-Am) Water Distribution System (WDS) for production from Cal-Am’s Seaside Groundwater Basin Wells, less an assumed system loss factor of seven percent (7%) to supply water to the Ascent Project. The water available for permitting purposes will be 12.09 AFA. As a condition of Ordinance No. 194, Cal-Am is required to amend its WDS Permit to increase its Production Limit by 13.0 AFA.

The Seaside Entitlement will be used to issue Water Permits for the Ascent Project (the Benefited Properties) until the State Water Resources Control Board Cease and Desist Order and the California Public Utilities Commission moratorium are lifted. The Ascent Project is owned by Ascent Seaside LLC, a Delaware Limited Liability Company, and is a ten-building workforce rental housing development at Broadway Avenue and Terrace Street (APNs: 012-191-001, -002, -003, -004, -030, -031, -033, -034, and -035).

A Water Entitlement is a discrete quantity of water designated by a District ordinance to a specified Water Entitlement Holder for new or Intensified Water Use. A Water Entitlement Holder may assign water to “subscribers” via an “Assignment Document” that the subscriber then uses to obtain a Water Use Permit and Water Permit from the District (MPWMD Rule 23.1).

CEQA: MPWMD has followed those guidelines adopted by the State of California and published in the California Administrative Code, Title 14, Section 15000, et seq. Specifically, the MPWMD has determined that a Statutory Exemption applies as defined in CEQA Guidelines Section 15268 (Ministerial Projects), based on previous environmental determinations by the Courts. The Monterey County Superior Court concluded that its Adjudication Decision included environmental determinations related to the Seaside Basin and adjudication of the rights therein. The MPWMD action is also consistent with the May 11, 2009, Court Order as confirmed by the Sixth District Court of Appeal, which limits CEQA review of water-related issues to areas other than the Seaside Basin.

RECOMMENDATION: Staff recommends the Board approve the Second Reading and adopt Ordinance No. 194, Amending Rule 11 and Adding Rule 23.10 to Establish a Water Entitlement for the City of Seaside. In doing so, the Board should direct staff to file a Notice of Exemption with the Monterey County Clerk.

EXHIBIT

10-A Draft Ordinance No. 194

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