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HomeMy WebLinkAboutAgenda - 08-17-1999 - 10ai. 1 ORANGECOUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: August 17, 1999 Action Agenda Item # /O -Q SUBJECT: Report on Topics for the Proposed September 2nd Meeting on Local Jurisdictions' Coordination to Access Jordan Lake Water Supply DEPARTMENT: County Manager ATTACHMENT(S): 4/13/99 letter from Alice Gordon to Daniel VanderMeer County Manager's letter to OWASA PUBLIC HEARING: Yes No BUDGET AMENDMENT: Yes INFORMATION CONTACT: County Engineer Extension 2303 No County Manager's letter to Chatham County TELEPHONE NUMBERS: Chatham County Engineering Consultant's Hillsborough - 732 -8181 Response to BOCC questions /issues Durham - 688 -7331 OWASA Response to BOCC questions/ Mebane - 227 -2031 issues (under separate cover) Chapel Hill - 967- 9251/968 -4501 PURPOSE: To consider responses from OWASA and Chatham County with regard to topics of discussion for the proposed September 2 "d Board Meeting on local jurisdictions' coordination to access the Jordan Lake water supply. BACKGROUND: The subject of Chatham County's access to its Jordan Lake water allocation and the role that Orange County, the Towns of Chapel Hill and Carrboro, and OWASA might play in facilitating that access have been a subject of discussion for nearly a year. An interlocal meeting has been proposed for September 2, 1999, to discuss this issue. On July 14, 1999, the Manager sent letters of inquiry (see attached) to Ed Kerwin, Executive Director of OWASA, and Charlie Horne, County Manager of Chatham County, to ascertain their jurisdictions' interests and concerns relative to the Jordan Lake access issues and to the proposed September 2 "d meeting. The response from Chatham County is attached. The response from OWASA will be forthcoming on Friday, August 13", and will be provided to the Board under separate cover. It is proposed that those responses be discussed by the BOCC at August 17' meeting and again if necessary at the August 31" work session. s 2 FISCAL IMPACT: There is no immediate fiscal impact foreseen for this process. It is anticipated that the long term fiscal impact, if any, will be based on decisions the County takes related to the use and cost of any intake infrastructure needed to access the County's Jordan Lake water allocation. At this time it is not possible to project those potential costs. RECOMMENDATION: The Manager recommends that the Board receive the report as information and advise staff as to any additional information the Board desires. Orange County Commissioners P. O. Box 8181 200 S Cameron Street Hillsborough, NC 2 72 78 a` Alice M. Gordon, Chair b► + Stephen H. HaUdods, Vice Chair o Margaret W. Brown 17 y� Moses Cary, Js ya Barry Jacobs April 13, 1999 °rib Ceco�`o Mr. Daniel C. VanderMeer, Chair Board of Directors Orange Water and Sewer Authority PO Box 366 Carrboro, NC 27510 -0366 0""", Dear NU Vaaderb&co;, The Orange County Board of Commissioners offers the following comments regarding the local water supply and water quality protection issues discussed at the October 1, 1998 meeting involving Orange and Chatham Counties, the Towns of Carrboro, Chapel Hill and Hillsborough, and OWASA. Clearly our region's explosive growth makes it imperative that all local jurisdictions work together to protect the quality of all of our natural resources and promote the most environmentally sound usage of those resources. Orange County is located in the upper portions of a number of important and environmentally sensitive water supply river systems. Consequently we are acutely conscious of the need to be judicious in our efforts to be good stewards of our available water resources, and of the need to work with the local governmental jurisdictions within and adjacent to Orange County to develop the strategies and accomplish the goals consistent with that stewardship. In accordance with this philosophy, the Orange County Board of Commissioners commends OWASA on its efforts to bring stakeholders in local water supply issues together to discuss issues of mutual concern. Relative to the issues raised at the October 1" meeting, the Board of County Commissioners is of course interested in facilitating a solution for Chatham County's water needs. Since there have been additional discussions on this issue since October 1", it would be very helpful for Orange County to receive clarification concerning the options open to Chatham County at the present time, including Chatham County's preferred solution. If an intake on the westem side of Jordan Lake is the preferred option, then Orange County encourages Chatham County to work with OWASA to develop a plan to provide access to Jordan Lake water supplies for Chatham County. Any such plan should You Count In Orange County AREA CODE (919) 732 -8181 : 968 -4501: 688 -7331: 227 -2031 : FAX (919) 644 -3004 Ext. 2130 4 Mr. Daniel C. VanderMeer April 13, 1999 page 2 of course ensure that OWASA's and Orange County's potential access to their Jordan Lake allocations be preserved. Subsequent to development of the plan, and before any efforts to implement the plan, Orange County wishes to review the plan with Chatham County, OWASA, OWASA's other constituent governments, and state and federal agencies controlling access to and allocation of Jordan Lake water supplies. The Orange County Board of Commissioners is ready to join all existing and potential users of Jordan Lake water supplies in studying, developing and implementing effective watershed and water quality protection strategies. The Orange County Board of Commissioners is similarly ready to work with Chatham County to discuss, develop and implement enhanced watershed and water quality protection strategies for University Lake water supplies. If I may provide any additional input or staff assistance, please contact me at your earliest convenience. I would appreciate your advising the Board of County Commissioners when OWASA has ascertained the range of options for meeting Chatham County's water needs, including their preferred option. Sincerely, Alice M. Gordon, Chair Orange County Board of Commissioners cc: Chatham County Board of Commissioners 34/14/99 ORANGE COUNTY HILLSBOROUGH NORTH CAROLINA J/_. I = Ii /i July 15, 1999 Mr. Ed Kerwin, Executive Director Orange Water and Sewer Authority PO Box 366 Carrboro, NC 27510 -0366 Dear n�- 47-� r7r6& cam' 3 5 &WaA&4ed>768 As per our recent telephone conversation, I am writing to reiterate Orange County's willingness to cooperate with Chatham County and other local jurisdictions to facilitate access to Jordan Lake water supplies and address related water resource issues. We recognize that Chatham County's longterm al is to develop a permanent capacity to withdraw water from Jordan Lake on the w side of the lake, probably at or near the property that has been acquired by Orange er and Sewer Auth . OWASA) for an intake site. We also ogm - that there e an oppo ocal cooperation in such an endeav W and a of diction have or may have an inter , ��: this same location. There are a num o _ ssioners (BOCC) would > "" ocal meeting to discuss Cha{ t these topics were outlined ' .r Meer. Specifically, we hav" "` ons or explanations of a) Chatham County's current arrangement for obtaining Jordan Lake water through the Cary /Apex intake facilities; b) the problems and shortcomings of that arrangement and an assessment of the state's ability to effect a satisfactory solution to those problems; c) the short and long term effects and implication of the recently publicized grant funded construction of an interconnection between Chatham County and City of Durham water systems; d) the options available to Chatham County to access its Jordan Lake allocation; and e) the access option preferred by the Chatham BOCC. In addition, we request that OWASA staff develop and present information about how OWASA's Jordan Lake property could be utilized to provide Jordan Lake access to Chatham County and other jurisdictions while enuring that its own access and that of Orange County are preserved. AREA CODE (919) 732.8181 • 968 -4501 • 688 -7331 • 227 -2031 • FAX (919) 644 -3004 Mr. Ed Kerwin July 15, 1999 page 2 It will be very important to the Orange County BOCC to be well versed in the details of issues to be discussed at the proposed September 2"d meeting. Accordingly, we are requesting that OWASA's background material relative to the topics outlined above, as well as related topics important to OWASA be made available for BOCC review and discussion at its regular meeting on the evening of August I Th . It would be very helpful for any written material to be provided for dissemination to the Board by August 12" and for OWASA staff to be available to provide clarification to the Board at the 17m meeting. Please review these issues and requests with your Board and your staff and advise me if you see difficulties in this matter. Thank you for your consideration of our request. Sincerely John /County r., County Manager ge cc Alice Gordon Steve Halkiotis Margaret Brown Moses Carey Barry Jacobs Charlie Home 6 ORANGE COUNTY HILLSBOROUGH NORTH CAROLINA ,a...,, � July 15, 1999 Mr. Charlie Home, County Manager Chatham County PO Box 87 Pittsboro, NC 27312 Dear Mr. ome: 7 &%AzA&kd 4768 As per our recent telephone conversation, I am writing to reiterate Orange County's willingness to cooperate with Chatham County and other local jurisdictions to facilitate access to Jordan Lake water supplies and address related water resource issues. We recognize that Chatham County's long term goal is to develop a permanent capacity to withdraw water from Jordan Lake on the we side of the lake, probably at or near the property that has been acquired by Orange ` er and Sewer Authon ( OWASA) for an intake site. We also recognize that there m e an opportunity f local cooperation in such an endeavor OWASA and a n " of ocher entis ` dictions have an interest in accessin an e's availab er suD lv a ation. • • • ®` ' �a q i+e G` M, • r'� j9t`• i e ti 1 de • r o� x q n� r mt erlocal water allocation. Fort,'O-) letter from y ♦`;.�h 3„ '� -.'b A Y '�;q i g �. w -t 4,0, Lilt 4` hair of OWASA. Sp - � 11 . t aving Chatham County's si _ �"" - County's current arrangement for obtaining Jordan Lake water through the Cary/Apex intake facilities; b) the problems and shortcomings of that arrangement and an assessment of the state's ability.to effect a satisfactory solution to those problems; c) the short and long term effects and implications of the recently publicized grant funded construction of an interconnection between Chatham County and City of Durham water systems; d) the options available to Chatham County to access its Jordan Lake allocation; and e) the access option preferred by the Chatham BOCC. Orange County will also be asking that OWASA staff develop and present information about how OWASA's Jordan Lake property could be utilized to provide Jordan Lake access to Chatham County and other jurisdictions while ensuring that its own access and that of Orange County are preserved. It will be very important to the Orange County BOCC to be well versed in the details of issues to be discussed at the proposed September 2' meeting. Accordingly, we are requesting that background material relative to the topics outlined above as well as topics AREA CODE (919) 732 -8181 • 968 -4501 • 688 -7331 • 227 -2031 • FAX (919) 644 -3004 Mr. Charlie Horne July 15, 1999 page 2 important to the Chatham County BOCC and a draft agenda for the September 2id meeting be made available for my Board's review at its regular meeting on the evening of August 17' . It would be very helpful for any written material to be provided for dissemination to the Board by August 12' and for Chatham County technical staff to be available to provide clarification to the Board at the 17* meeting. Please review these issues and requests with your Board and your staff and advise me if you see difficulties in this matter. Thank you for your consideration of our request. Sincerely M. Link, Jr., County Manager ge County cc Alice Gordon Steve Halkiotis Margaret Brown Moses Carey Barry Jacobs Ed Kerwin 08,'06/99 15:05 CHATHAM COUNTY MANAGERS OFFICE 4 9196443004 NO.6% P002/004 I Consulting Engineers 290 S. W Broad Strew So Mem Pines. N. C 28387 (910) 692 -56/6 MEMORANDUM TO: Chatham County FROM: Hobbs, Upchurch & Associates, P.A. DATE: July 21, 1999 RE: Letter from Orange County requesting an update on water supply from Jordan rake The following discussion addresses issues raised in a July 15, 1999 letter from the Orange County Manager to W. Charlie Home. a. Chatham Casey's current arrangement for obWaing Jordan Lake Waur Waugh the Cary/Ap= remake facilities. Currently, Chatham County has a water purchase contract with the Town of Cary/Apex that allows the County to purchase up to 1.0 MGD of raw water averaged over a month period. The contract terms; indicate that Chatham County's purchase cannot exceed 1.0 MGD on a monthly average. Typically, Chatham County experiences seasonal demand increases in the North Chatham System and additional capacity is required to meet the increased demand. The Town of Cary has provided some latitude for increasing the County's allowable raw water purchase as outlined in the water purchase contract, This amount may increase in 100,000 gallon increments and must be requested in writing. Chatham County has requested increases several tines over the last few years, however, Cary has declined to grant the County a permanent increase. Cary has permitted the County to temporarily increase its withdrawal by several hundred thousand gallons a day with the stipulation that it can be reduced at any time. b. The problems and shortcomings of that arrangement and an a sesssneist of the State's ability to effect a sasisjaetory solmioa to Aoseprvbrsams. State and federal govertmient organizations charged with Jordan Lake regulation and oversight have worked under the assumption that intakes on Jordan Lake will operate as regional facilities without any centralized support or incentives. The Corps of Engineer's Jordan Lake master plan was designed assuming that there would be two regional intakes. The Jordan Lake allocation process was designed and has been implemented assuming that allocation holders would be able to access their allocation through regional facilities. Unfortunately, the existing regulatory fiw wvork does not include any assistance to local governments wishing to participate in a regional facility. The lack of any centralized oversight has resulted in a ' first come, fast served" system that favors large financially secure utilities at the expense of smaller less capital rich utilities. Cary/Apex's intake facility was initially promoted as a regional intake in which Chatham County would be a welcome participant, however, in the past few years, Cary has expressed an increasing reluctance to partnering with Chatham County, especially on a long term permanent basis. The regulatory bodies and oversight bodies that promoted the intake as a 08/06 /99 15:05 CHATHAM COUNTY MANAGERS OFFICE 4 9196443004 NO.686 P003/004 10 regional facility have stated that they do not have any regulatory influence regarding how Cary chooses to share its private facility with others. During the design period of the Chatham County Water Treatment Plant, Chatham County staff evaluated several different raw water alternatives to serve the plant including a partnership with Cary as well as an independent intake. Oversight and regulatory groups such as the state and the Army Corps of Engineers recommended very forcefully against the construction of a separate intake and urged the County to partner with Cary/Apex. At the tune, the Cary /Apex intake had a small amount of excess capacity that was dete=tied to be sufficient to meet Chatham County's short-term needs. Chatham County and Cary signed a 10 year contract with the understanding that future intake expansion efforts would include Chatham County. The contract clearly stated that Cary/Apex planned on sharing the use of its facility with others in the future. Since the time the original contract was signed, Cary has had high growth rates that have resulted in water demands exceeding their Jordan Lake allocation and their production capability. Cary has mgt=W an increased allocation from the state and has prepared engineering plans for system upgrades to increase their water supply. The upgrades include an expansion of the intake. According to Cary staff, the expansion plan did not take into consideration Chatham County's needs. For example, the engines working on the project never modeled Chatham County's usage in preparing the pump design. As a result, according to Cary, the intake does not have sufficient capacity to serve as a permanent water source for Chatham County's treatment plant. Cary's position towards a Chatham County partnership is not clear. In some correspondences, Cary has urged Chatham County to construct their own intake since Cary's growth projections show that there may not be any long -term surplus capacity in their facility. In outer responses, Cary has suggested that Chatham County carry out their own engineering study and propose modifications to the planned intake design for Cary to consider. Neither of the positions are conducive to regional cooperation and they have resulted in inefficient planning and needlessly duplicated engineering studies. Chatham county is currently studying possible design modifications for Cary to consider. Under the existing framework, Cary/Apex maintains complete control of their intake facility and they are under no obligation to make their facility available to others. In addition, some of Cary's political leadership has stated a desire to control growth in Cary by limiting the expansion of the water system including the intake. This type of restriction, while possibly acceptable for a private facility, makes the operation of a regional facility almost impossible. Chatham County has had numerous meetings with officials from, the Division of Water Resources and the Army Corps of Engineers to discuss the intake. Officials at these meetings, particularly officials from DWR have been reluctant to become involved in the situation. The general opinion has been that the intake is a private facility owned and operated by Cary /ApM and the organizations are unable to control how the facility is shared or not shared with others utilities c. The short and long term effects and implications of the recently publicized grammt fronded consouctiam of an interconnection betwaen Chatham Coawty and City of Durham water sysrenms. In the short- term, the Durham interconnect will be used to supplement Chatham County's raw water purchase from Cary/Apex, thereby allowing the County to stay within the 1.0 MGD limit established in the water purchase contract. Long-term, the interconnect could be used to supply water from Chatham County to the City of Durham. This option is 08/06/99 15:05 CHATHAM COUNTY MANAGERS OFFICE 4 9196443004 NO.6% P004/004 11 contingent upon Chatham County developing a reliable raw water source to supply its water treatment plant located riznr Jordan Lake. d. The options available to Chatham county to access its Jordan Lake ARocadon. As mentioned above, the Town of Cary has offered Chatham County the opportunity to complete a hydraulic study to evaluate the effects of allowing the County access to its 6 MOD allocation through the existing raw water intake. Based on the results of the study, the County may be allowed the opportunity to develop a permanent allocation in the Cary intake. There is also an opportunity to for the Chatham County Water System to develop an intake on the East Bank of Jordan Lake, however there are several issues that must be addressed. First, Cary's intake is located on the east bank. Two east bank intake structures is not consistent with the US Corps of Engineers Master Plan for Jordan Lake. The Corps has indicated that it will allow one intake on each side of the lake. Second, there would be significant environmental issues to overcome and address with regard to a new raw water intake. And third, the cost of a new intake would be substantially greater than costs associated with the upgrade of an existing intake. e. The access option preferred by the Chatham Can" Board of CoxuaisstenerR Orange County will also be asking that OWASA staff develop and present information about Avow 0WASA I's Jordan Lake property cooed be wdh!W to provide Jordan Lake access to Chatham County and other jtuisdicdons while ensuring dat to own access and that of Orange County are preserved Chatham County is extremely interested in developing a regional intake facility on the West Bank of Jordan Lake. The County would lilac to proceed with this option in conjunction with other local governmental entities, including OWASA/Orange County. the City of Durham, and other interested parties. Chatham County prefers that the North Camlma Department of Environment and Natural Resources assume a active role in the west bank intake project. This will allow NCDENR to fairly evaluate and establish allocation amounts. A regional intake facility could also develop into a regional water treatment facility that could be used to furnish finished water to the participating entities.