FINANCE AND ADMINISTRATION COMMITTEE
ITEM:		ACTION ITEM
2.	CONSIDER AUTHORIZING THE GENERAL MANAGER TO ENTER INTO A CONTRACT WITH MONTGOMERY AND ASSOCIATES TO PROVIDE A TULARCITOS ASR FEASIBILITY STUDY
Meeting Date:			March 13, 2023	Budgeted:	Yes
From:			Dave Stoldt	Program/	1-1-3, 1-7-1
			General Manager	Line Item No.:	335-03-786038, 35-04-786016
Prepared By:			Maureen Hamilton	Cost Estimate:	$119,200
General Counsel Approval: N/A
Committee Recommendation: The Water Supply Planning Committee reviewed this item on March 6, 2023 and recommended approval on a 3-0 vote. The Finance and Administration Committee reviewed this item on March 9, 2023 and recommended ______________.
CEQA Compliance:  This action does not constitute a project as defined by the California Environmental Quality Act Guidelines Section 15378.

SUMMARY: MPWMD holds a suite of water right permits that originated with the proposed New Los Padres Dam on the Carmel River. Water rights (WR) 20808 A and C are used for ASR diversions to injection; WR 20808 B remains unused. A condition for maintaining WR 20808 B is that the permittee (MPWMD) must demonstrate that a project is diligently pursued.

A suite of potential projects was identified and ranked by ability to utilize water under WR 20808 B. The Tularcitos ASR project (Project) was selected for the first feasibility study (Feasibility Study). The Feasibility Study will determine the viability of the Project to divert water from the Carmel River, inject it into ASR wells located in the Tularcitos Creek subwatershed, and recover the water during dry periods.

Groundwater modeling provides the basis of the proposed Feasibility Study.

The Feasibility Study cost estimate is $119,200. Staff proposes $80,000 be funded by budgeted Permit 20808 B Alternatives Analysis program 1-7-1, and the remaining $39,200 be funded by the modeling budget program 1-1-3.

Consultant work will be conducted on a time and materials basis not to exceed $119,200.

RECOMMENDATION: The Finance and Administration Committee should recommend that the Board authorize the General Manager to enter a contract with Montgomery and Associates to provide a Tularcitos ASR Feasibility Study to the District for an amount not to exceed $119,200.

BACKGROUND: The water right process has three phases: (a) application, (b) permit, and (c) license. A permit is the legal authorization to divert water in accordance with conditions and within a time frame, and to develop the project. When that time frame elapses, a permittee should either:

(1) request revocation of the permit if the project has been abandoned or cannot be diligently completed due to personal or financial reasons;

(2) petition for an extension of time to extend the development schedule if the construction and use of water under the permit has been diligently pursued and additional time is necessary to complete full anticipated beneficial use of water; or,

(3) notify the State Water Board that the permitted project is complete and ready for licensing.

It is difficult to show diligence in pursuing a new large dam on the Carmel River after 2003. However, the District could cite evidence that a new large dam would not be permitted and show progress toward planning for smaller projects, as was done for the existing ASR projects.

On April 20, 2020 the Board directed District Staff to respond to an State Water Board letter that MPWMD would file a Petition for Extension of Time to show beneficial use for WR 20808 B and withdraw the Petition for Extension of Time to construct New Los Padres Dam. Once the District has identified viable project(s), staff would file a Petition for Change to modify the water right to apply to the new project(s).

Potential projects must include facilities to extract water from the Carmel River, convey the water, and store the water. Because conveyance from the Carmel River to the Seaside Groundwater Basin is constrained and may change, projects sited in the Carmel River watershed were prioritized.

The Project would divert water from the Carmel River at the confluence with Tularcitos Creek at a property owned by California American Water Company (Cal-Am). The water would then be injected into and recovered from ASR wells screened in an unnamed Miocene sandstone unit in the upland portions of the Tularcitos Creek subwatershed that is bound by faults.

The Feasibility Study groundwater modeling will simulate different project configurations using the Carmel River Basin Hydrologic Model (Model) to evaluate ASR feasibility in the area of interest. Work to complete the proposed Feasibility Study includes:

• Analyzing the availability of Carmel River water for ASR diversion

• Developing a hydrogeological framework and cross sections of the area of interest

• Model-based evaluations for ASR well feasibility and project sizing

• Selecting hydrogeologic units and sites for further analysis and field testing if preliminary screening indicates potential project feasibility

Montgomery was founded in 1984 and specializes in groundwater. Its services include water supply, water recharge, water resource planning, groundwater modeling, and water rights. Montgomery maintains the Seaside Basin model for the Watermaster and Monterey One Water.

EXHIBIT

2-A Letter Proposal from Montgomery and Associates to provide a Tularcitos ASR Feasibility Study to the District

U:\staff\Board_Committees\FAC prev Admin\2023\20230313\02\Item-2.docx