TO: LINDA REICH, CITY MANAGER
FROM: HYE JIN LEE, PE, DIRECTOR OF PUBLIC WORKS
SUBJECT
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Sale of City of Chino's ownership of Plant 33 to the Monte Vista Water District.
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RECOMMENDATION
Approve the sale of the City's ownership interest in Plant 33 to the Monte Vista Water District for $1,015,000.00; and authorize the City Manager to execute all necessary documents to complete the transfer on behalf of the City.
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FISCAL IMPACT
The proceeds from the sale will be added to the Fiscal Year 2024-25 Water Fund Revenue
CITY OF CHINO MISSION / VISION / VALUES / STRATEGIC ISSUES
The recommendation detailed above further the City's values and strategic issues that serve as key pillars on which identified priorities, goals, and action plans are built, by fostering:
* Financial Stability
* Responsible Long-Range Planning
Revenue: 5207310 - 59335-WA041
Expenditure:
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BACKGROUND
In November 2004, the City of Chino (City) and the Monte Vista Water District (District) entered into an agreement to jointly construct, operate, and maintain Plant 33. This facility, located at the corner of Palo Verde Street and Benson Avenue in the City of Montclair, includes Well 33 and an ion exchange treatment system. The purpose of Plant 33 was to produce, treat, and deliver groundwater to both the City and the District. Additionally, the facility was intended to inject treated imported water into the Chino Basin for storage and later recovery. However, this plan never materialized. The City was not able to take any water from Plant 33.
Following construction, testing confirmed that Well 33, located at Plant 33, exceeded the maximum contaminant level (MCL) for 1,2-Dibromo-3-Chloropropane (DBCP), necessitating the installation of additional treatment technologies to meet drinking water standards. Due to this exceedance and the lack of viable options to treat or blend groundwate...
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