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Ordinance No. 500-07 \., \." \.; ORDINANCE NO. 500-07 AN ORDINANCE OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT AUTHORIZING DISTRICT WATER SERVICE TO DOMESTIC WATER WELL USERS AS A RESULT OF DECLINING GROUNDWATER LEVELS BE IT ENACTED, by the Board of Directors ofthe South Tahoe Public Utility District, County ofEl Dorado, California, as follows: SECTION 1. Short Title. This Ordinance No. 500-07 shall be known and cited as the "Declining Groundwater Levels Ordinance of 2007" ofthe South Tahoe Public Utility District. SECTION 2. Policy and Purpose. A. The purpose of this Ordinance is to regulate, manage, conserve and protect the District's ongoing water supply in such a manner that the District's water supply, including but not limited to the groundwater resources within the boundaries of the District, will remain a viable resource to be put to the most efficient and beneficial use by the District and its inhabitants, while also safeguarding the health and safety of the District's inhabitants. The District is responsible for managing the groundwater within its boundaries and is dedicated to preserving the quantity and quality of its groundwater resources. B. In response to declining groundwater levels within the District's boundaries, the District intends to authorize District water service to persons who are currently utilizing wells on their property for domestic uses and are experiencing a loss in their well production and/or deteriorating water quality. The District is aware that many factors can cause or contribute to a loss of production and/or deteriorating water quality in wells including declining water levels associated with droughts, or mechanical problems, age or construction design of the well. Matter of District policy the District desires to offer these well owners District water service as a reliable and cost effective source of supply to mitigate any potential adverse effects which may be attributable to declining groundwater levels. SECTION 3. Definitions. A. "Abandoned well" shall mean a well that has not been used for one year, unless the owner demonstrates intention to use the well again in accordance with the provisions of Section 115700 ofthe Health and Safety Code. B. "Active well" shall mean a water well that is routinely operated and supplies greater than or equal to forty percent (40%) of the water supply requirement of the property upon which it is located. - 1 - .'" '" ~ C. "Applicant" shall mean the person who seeks a connection fee exemption and reimbursement of connection costs as set forth in this Ordinance or the person who seeks a variance permit for concurrent supplies of water as set forth in this Ordinance, as the context may indicate. D. "Board" shall mean the Board of Directors of the South Tahoe Public Utility District. E. "Destroyed Well" shall mean a well that is no longer useful and that has been completely filled in accordance with the procedures described in Section 23 of the California Well Standards, California Department of Water Resources Bulletin 74-81 and Bulletin 74-90 (Supplement to Bulletin 74-81). F. "District" shall mean the South Tahoe Public Utility District or its duly authorized representative, as the context may indicate. G. "Domestic use" shall have the meaning ascribed to it by California Code of Regulations, Title 23, section 660. H. "Extraction" shall mean the act of obtaining groundwater by pumping or other controlled means. 1. "Extraction facility" shall mean any device or method for the extraction of groundwater, including a well. J. "Groundwater" shall mean the water beneath the surface of the earth within the zone below the water table in which the soil is completely saturated with water, whether or not flowing through known and defined channels. K. "Industrial use" shall have the meaning ascribed to it by California Code of Regulations, Title 23, section 665. L. "Main" shall mean a principle water supply pipeline for public or community use to which branch pipelines are tributary. M. "No-Cost Service Period" shall mean that period of time for which a Subject Property may receive water service at no-cost. The No-Cost Service Period shall be determined on a property by property basis and shall be equivalent to the difference between 50 years and the age of the extraction facility, in years, in existence on the Subject Property as of July 19, 2007. N. "Person" shall mean any individual, firm, partnership, general corporation, association or governmental entity. Governmental entity, as used herein, shall not include any local agency exempt from the application of this Ordinance pursuant to State law. - 2 - O. "Radius of influence" shall mean the distance from the center of a well to 6.". the limit of the cone of depression. P. "Subject property" shall mean any legal parcel for which an applicant is seeking District water service pursuant to this Ordinance, a connection fee exemption and reim- bursement of connection costs, or any legal parcel for which an applicant is seeking a variance permit to supply with multiple sources of water or any legal parcel which is receiving water supplied from both the District and some other source, as the context may indicate. Q. "Well or water well" shall mean any artificial excavation constructed by any method for the purpose of extracting groundwater. Well or water well shall not include: (1) Oil and gas wells, or geothermal wells constructed under the jurisdiction of the California State Department of Conservation, except those wells converted to use as water wells; or (2) Wells used for the purpose of: (a) Dewatering excavation during construction, or (b) Stabilizing hillsides or earth embankments. SECTION 4. Findines. ~ A. The water supply of the District is a valuable commodity, which the District appropriates and dedicates to beneficial and efficient public use by the District and its inhabitants. B. The District is responsible for regulating, managing, conserving, protecting and preserving its water supply, both quantity and quality, in such a manner as not to jeopardize the health and safety of its inhabitants. C. The District provides a healthful, potable water supply at a reasonable cost to all lands within the water service area of the District. D. The District has determined that it has an available and adequate supply of potable water to meet the needs of its existing and future customers within its water service area. E. The District has investigated the costs associated with drilling new wells or redrilling existing wells within the boundaries of the District, as well as the cost of producing water from these wells taking into account energy costs, the amortized costs of capital investments and improvements and the wells' useful life expectancy. F. The District has investigated the quality of water provided to its customers through the District's water distribution system and found that the quality of water is comparable or superior to the quality of groundwater extracted through privately owned or operated wells. ~ - 3 - \., '-' G. Based upon the foregoing investigations and determinations, the District finds it can offer water service of comparable quantity, quality and cost to persons who are currently utilizing wells on their property for the extraction of groundwater for domestic uses and are experiencing a loss in their well production and/or deterioration in water quality. SECTION 5. Authorization of District Service. The District shall provide requested water service under reasonable terms and conditions through the District's water distribution system to persons who are currently utilizing an extraction facility on their property for the extraction of groundwater for domestic uses in identified areas of potential declining groundwater levels and who are experiencing, or have experienced, a loss of production and/or deterioration in water quality in their wells at any time during the period from July 19, 2007 to July 19, 2015 and who make a showing that 1) their existing wells which have been in operation on or after July 19, 2007, are located within the radius of influence of the District's Municipal Wells; and 2) the loss of production and/or deterioration in water quality was caused or contributed to by the groundwater extraction activities of the District. The District shall have the right to enter upon any property at any reasonable time to make examinations for the purpose of verification ofloss of production and/or deterioration in water quality, subject to the provisions of Code of Civil Procedure section 1822.50, et seq. The District may subsequently revise and extend this time period based upon the results of hydrogeologic studies and investigations prepared by, or on behalf of, the District. The District shall provide requested water service to these private well owners' subject property of comparable quantity and quality in accordance with the District's rules and regulations. The District shall provide requested water service to these private well owners' subject property at no cost to the owner of the subject property for the No-Cost Service Period following the date of connection to the District's water distribution system. The No-Cost Service Period shall be determined on a property by property basis and shall be equivalent to the difference between 50 years and the age of the extraction facility, in years, in existence on the Subject Property as of July 19, 2007. Thereafter, the District shall charge the owner of the subject property the then prevailing rate for District water service as provided in the applicable District rules and regulations. Alternatively, the property owner may elect that the District establish a five thousand dollar ($5,000) credit for water service to the subject property. The District has determined that, with the incorporation of the No Cost Service Period or a water service credit, the property owner's costs of receiving water service from the District over the remaining useful life of the extraction facility on his or her property are comparable to the cost to the property owner of extracting groundwater for domestic uses from an extraction facility on his or her property. SECTION 6. Connection Fees and Costs: contents. decision. Any person currently extracting groundwater for domestic uses, who is experiencing, or has experienced, a loss of production and/or deterioration in water quality in his or her extraction facility at any time during the period from July 19, 2007 to July 19,2015, and makes a showing that the loss of production and/or deterioration in water quality was caused or '-' contributed to by the groundwater extraction activities of the District may apply to the District -4- ~ ~ '-' for a connection fee exemption and reimbursement of connection costs. The District shall reimburse the licensed contractor employed by those persons who make such a showing for all reasonable costs associated with connection to the District's water distribution system, including but not limited to construction of pipeline laterals, installation of meters, and destruction of the welles) on the subject property. This exemption and reimbursement shall not apply to persons extracting groundwater for industrial uses or to persons extracting groundwater for combined industrial and domestic uses where the industrial use is the predominant (greater than 70%) use. SECTION 7. Application for Connection Fee Exemption and Reimbursement of Connection Costs. A. Application for a connection fee exemption and reimbursement of connection costs shall be made in writing on such form as may be prescribed by the District, signed by the applicant and shall include the following: (1) Applicant's name and address (2) Location of the subject property for which the exemption and reimbursement is sought, including the street address and assessor's parcel number(s). (3) Description of the legal interest the applicant has in the subject property (i.e., owner) and the name and address ofthe owner of the subject property if the applicant is not the owner. (4) A detailed description of the extraction facility(ies) located on the subject property. Such description shall include, ifknown: (a) Date when loss of production and/or deterioration In water quality was first experienced. (b) Depth of the well. (c) Perforation intervals. (d) Date of construction. ( e) Casing size. (f) Flow rate. (g) Static water level. (h) Physical condition of the well. (i) Proximity to District's municipal wells. - 5 - 6., ~ ~ G) Any other information as the District may deem necessary in order to determine whether an exemption and reimbursement should be granted. The District shall have the right to enter upon any property at any reasonable time to make inspections and examinations for the purpose of verification of the information provided in the applicant's description of the extraction facility(ies), subject to the provisions of Code of Civil Procedure section 1822.50, et seq. B. Each application for a connection fee exemption and reimbursement of connection costs shall be reviewed and evaluated for approval by the District's General Manager or his or her designee as soon as practicable after the application is filed in proper form. SECTION 8. Prohibitions. A. Pursuant to District Ordinance No. 394 establishing control of cross-connec- tions in order to protect the public potable water supply of the District and to promote the elimination or control of existing cross-connections, and as a condition to the provision of District water service, it shall be unlawful for any property located within the District to receive water service from the District and concurrently receive water supplied from a water well located on the subject property or a water well located on any other property located within the boundaries of the District. B. The prohibition of subsection (A) of this section does not apply to any property that, as of the effective date of this Ordinance, is receiving water service from the District and concurrently receiving water from an active well located on the subject property in compliance with Ordinance No. 394 establishing control of cross-connections. SECTION 9. Variance Permits: contents. hearine. decision. Any person seeking to supply a subject property from two or more supplies of water, one of which is from the District, must receive prior approval from the District by applying for a variance permit. SECTION 10. Application for Variance Permit. A. Applications for a variance permit shall be made in writing to the District on such form as may be prescribed by the District, signed by the applicant and shall include the following: (1) Applicant's name and address. (2) Location of the subject property to which concurrent water supply is sought, including the street address and assessor's parcel number(s). - 6- 6." (3) Description of the legal interest the applicant has in the subject property (i.e., owner) and the name and address of the owner of the subject property if the applicant is not the owner. (4) A description of the water supply sources, other than the District, from which the subject property will be supplied in compliance with Ordinance No. 394 estab- lishing control of cross-connections. The costs of the required backflow preventer under Ordinance No. 394 shall be borne solely by the applicant. B. Each application for a variance permit shall be reviewed and evaluated for approval by the District's General Manager or his or her designee as soon as practicable after the application is filed in proper form. '-' C. The issuance of a variance permit hereunder shall be deemed a discretionary act and issuance shall be in the sole discretion of the District given the standards and policies set forth under this Ordinance. In approving discretionary permits, the District's General Manager or his or her designee is hereby authorized to impose any reasonable conditions, modifications, or limitations on any part of the application which are deemed necessary to eliminate or substantially mitigate any significant adverse impact on the environment, the District groundwater resource, and any other District water supply sources, for the health and safety of the inhabitants of the District and otherwise carry out the purpose and goals of this Ordinance. As a discretionary act, issuance of a variance permit requires compliance with the California Environmental Quality Act (Public Resources Code sections 21000, et seq.) The District's General Manager or his or her designee may determine whether the applicant's existing well is subject to a categorical exemption pursuant to California Code of Regulations, title 14, section 15301 (CEQA Guidelines section 15301). D. As a condition of the issuance of a variance permit by the District, a release shall be given by the applicant to the District relinquishing all existing and future claims against the District related to quantity and/or quality of the water the applicant receives from the well or wells on the subject property or water well or wells located on any other property within the boundaries of the District. The release shall be on such form as may be prescribed by the District and shall be submitted concurrently upon the District's issuance of a variance permit. The release touches and concerns and runs with the subject property and shall be recorded by the District with the County Recorder's Office. SECTION 11. Permit Expiration. Renewal. A. Every variance permit issued pursuant to this Ordinance expires upon the date specified in the permit or upon the abandonment and/or destruction of the applicant's well. ~ B. Should the conditions on the subject property so warrant, the variance permit may be renewed by filing a new application for a variance permit in accordance with the provisions of this Ordinance. There is no limit to the number of times a variance permit may be issued for the subject property should conditions so warrant. - 7 - 6." 6." \., SECTION 12. Suspension or Revocation. A. The District may suspend or revoke a variance permit issued under this Ordinance whenever the District determines that a permit condition or term has been violated or that an applicant has misrepresented any material fact in the application for a variance permit. B. Before the District suspends or revokes a variance permit, the District shall make reasonable effort to notify the applicant, to allow the applicant an opportunity to show cause why the permit should not be suspended or revoked. C. Upon notification by the District that the permit is suspended or revoked, the District may terminate District water service to the subject property. SECTION 13. Appeals from Denial. Suspension. Revocation. Any person whose application for a permit has been suspended, revoked or denied may appeal to the Board of Directors in writing within ten (10) days after notice of such suspension, revocation or denial. Said appeal shall specify the reasons therefor and shall be accompanied by a filing fee, if any, as established by the Board. The Secretary of the District shall set the appeal for hearing and shall give notice to the appellant and the appropriate District personnel of the time and place of the hearing. SECTION 14. Rieht of Entry to Inspect. The District shall have the right to enter upon any property at any reasonable time to make inspections and examinations for the purposes of enforcement of this Ordinance, subject to the provisions of Code of Civil Procedure section 1822.50, et seq. SECTION 15. Liability for Violations. Any person violating any of the provisions of the Ordinances, rules or regulations of the District shall become liable to the District for any expense, loss or damage occasioned by the District by reason of such violation. SECTION 16. Application. The provisions of this Ordinance shall be read in conjunction with and complement all other District Ordinances and Resolutions and shall apply to all persons residing within the boundaries of the District. SECTION 17. Termination. This Ordinance shall remain in full force and effect until repealed by action of the Board. SECTION 18. Severability. - 8 - '-' 6." ~ If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance and its implementing rules and regulations, or any part thereof, is for any reason held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portions of this Ordinance. The Board hereby declares and determines that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof of this Ordi- nance and its implementing rules and regulations irrespective of the fact that anyone or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases may be determined to be unconstitutional or invalid. PASSED AND ADOPTED by the Board of Directors of the South Tahoe Public Utility District at its duly held regular meeting on the 19th day of July, 2007, by the following vote: AYES: Directors Wallace, Jones, Schafer, Farrell, Mosbacher NOES: None ABSENT: None ATTEST;. a Kathy Sharp, - 9-