* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [00:00:01] AND WE'RE BACK. UH, SO WE WILL NOW, UH, CONVENE THE PLANNING COMMITTEE. [CALL TO ORDER] UH, UH, MEETING IS CALLED TO ORDER. AND DINA, MAY WE PLEASE HAVE A ROLL [ROLL CALL] CALL CHAIR SCOTT, PRESENT. MEMBER MCGUIRE HERE. THANK YOU. SUPER. UH, SO WE ARE GOING [REGULAR AGENDA] TO STEP OUT OF ORDER ON OUR AGENDA, UM, DUE TO THE, DUE TO THE LATE HOUR. UH, AND I KNOW WE'VE GOT SOME GUESTS THAT HAVE BEEN WAITING. SO, UH, WE'RE GONNA JUMP TO ITEM NUMBER FOUR. UH, RECEIVE AND FILE [4. 26-54276 Recommendation to receive and file Campus Realignment and Modernization Update.       Suggested Action: Approve recommendation. ] CAMPUS REALIGNMENT AND MODERNIZATION UPDATE. UH, MAY I PLEASE HAVE A MOTION TO RECEIVE A FILE? SO MOVED. I'LL SECOND THAT CALL ON KEVIN , PLEASE. OKAY, I GOT IT. GOOD MORNING, PRESIDENT SCOTT. UH, COMMISSIONER MCGUIRE. UM, IT'S PLEASURE TO BE UP HERE TO PROVIDE AN UPDATE ON OUR, OUR CAMPUS PROJECT. UH, I THINK WE HAVE A, A LOT TO SHARE, BUT I WANT TO CAUTION, WE DON'T HAVE ANY HARD NUMBERS, BUT, UH, WE'RE, WE'RE MAKING PROGRESS TOWARDS HOW TO ANALYZE AND DELIVER, I THINK YOUR, YOUR ASK OF HAVING SOMETHING TO RECOMMEND TO THIS COMMITTEE BY THE END OF THIS FISCAL YEAR. UH, SO AN OVERVIEW OF OUR PRESENTATION, UH, UH, I'M GONNA INTRODUCE OUR UTILITIES TEAM, AND WE ALSO HAVE SOME CONSULTANTS THAT ARE HELPING US OUT. AT OUR LAST PRESENTATION AT I PROVIDED, I REALIZED THAT, UH, I NEEDED SOME HELP. SO I ASKED, UH, THE EXECUTIVE TEAM IF THEY COULD PROVIDE PEOPLE FROM THEIR STAFF TO HELP OUT, AND THEY KINDLY PROVIDED ME WITH A, A GREAT TEAM. UM, OUR, UH, CONSULTANT, JEFF FULLERTON, IS GONNA GO OVER THE KIND OF THE 1 0 1 OF WHAT A P THREE IS, AND THEN I'LL FINISH UP WITH THIS, UH, KIND OF OUR OPTION SUMMARIES AND WHAT WE PLAN TO WORK ON GOING FORWARD. SO FIRST I INTRODUCE OUR, OUR TEAM, UH, FROM THE UTILITY SIDE. SO, UH, NOT EVERYONE WAS ABLE TO MAKE IT TODAY, BUT WE HAVE, UH, UH, DANIEL GUTIERREZ, UH, GIANCARLO MORALE, JOEY BA I'M GONNA BUTCHER SOME NAMES. BACA RIZZO, JOEY CONTRERAS, IAN N UH, LETICIA, IL CLOSE ENOUGH, ION SANDERS, AND TONY FO FOSTER. SO THEY'VE BEEN A, A HUGE HELP ALREADY, AND I, I KNOW THEY'RE GONNA ADD A LOT TO, UH, MOVING FORWARD ON THIS PROJECT. AND THEN, UM, WE HAD TO GO DEEP INTO THE SELLER AND, UH, PULL BACK SOMEONE WHO, WHO, UH, WHO USED TO BE VERY FAMILIAR TO PROBABLY EVERYONE HERE. UH, RICH ANTHONY, UH, HE'S ON RETAINER WITH THE, THE CITY. AND, UH, WE ASKED, UH, BECAUSE OF HIS PAST EXPERIENCE WORKING ON, UH, THE P THREE FOR THE CIVIC CENTER, IF HE, UH, COULD HELP US OUT ON THIS PROJECT AS WELL. SO, UH, I THINK RICH WANTED JUST, UH, INTRODUCE, SAY A FEW WORDS. SURE. GO DEEP INTO THE ARCHIVES. OH, THE ONE COMMISSIONER THAT'S NEW SINCE I LEFT, WHO I WAS GONNA INTRODUCE MYSELF TO IS GONE. WHERE'D HE GO? MR. PARKIN? WE GO WAY BACK. COMMISSIONER SCOTT, COMMISSIONER MCGUIRE, PLEASURE TO SEE YOU AGAIN. UM, I SUPPOSE I SHOULD INTRODUCE MYSELF TO SOME PEOPLE IN THE ROOM WHO MAY NOT KNOW WHO I AM. MY NAME'S RICH ANTHONY. I WAS A 20 YEAR, UH, DEPUTY CITY ATTORNEY WITH THE CITY OF LONG BEACH, AND LEFT ABOUT 18 MONTHS AGO, BUT STILL DO A FAIR AMOUNT OF WORK WITH THE CITY ATTORNEY'S OFFICE ON VARIOUS SPECIAL PROJECTS. UH, ANNA TOLL AND DON MCINTOSH REACHED OUT TO ME AND ASKED IF I COULD HELP ON THIS PROJECT, WHICH I'M ECSTATIC TO DO. I WORKED WITH, UM, JEFF FULLERTON ON THE CITY'S CIVIC CENTER P THREE PROJECT, WHICH IS LARGELY WHY I'M BACK HERE. UM, MEMBERS OF THE CITY STAFF, AND MAYBE SOME COMMISSIONERS MIGHT REMEMBER, THERE WERE THREE OR FOUR CITY EMPLOYEES THAT SPEARHEADED THE TEAM OVER A 10 YEAR PERIOD FROM START TO FINISH ON THE LONG BEACH CIVIC CENTER, P THREE PROJECT, MIKE CONWAY, AMY BOECK, JOHN GROSS, ALL NAMES FROM THE PAST WHO ARE GONE. I WAS ONE OF THOSE TEAM MEMBERS, AND I THINK I'M THE LAST ONE AROUND THAT HASN'T RETIRED YET. SO, SO WHATEVER HELP AND ASSISTANCE I CAN GIVE WITH RESPECT TO EITHER LEGAL WORK OR INSTITUTIONAL KNOWLEDGE, THAT'S PRIMARILY MY ROLE. BUT I WOULD IMAGINE THAT JEFF FULLERTON WILL BE DOING MOST OF THE, UM, LABORING WORK, MANNING THE LABORING, OR, AND MARSHA YASUDA AND OTHER MEMBERS OF THE CITY ATTORNEY TEAM WILL DO MOST OF THE LEGAL WORK I'M HERE TO SUPPORT AS NECESSARY. I REALLY LOOK FORWARD TO IT. I'M HAPPY TO BE BACK. THANK YOU. THANK YOU, RICH. IT'S GREAT TO HAVE YOU BACK. UH, WE'VE GOT A TON OF, UH, TRUST AND FAITH AND, [00:05:01] AND, UH, IT'S GOOD TO SEE YOU. THANK YOU. YEAH, THANK YOU, RICH. UH, AND RICH AND I USED TO WORK TOGETHER WHEN I WAS ON THE, WITH ENERGY RESOURCES, AND HE WAS ALWAYS A, A GREAT PERSON TO WORK WITH. AND THEN I WANT TO INTRODUCE, AND, AND RICH RECOMMENDED JEFF FULLTON. AS EVERYONE SEEMS TO KNOW JEFF FULLERTON BEFORE I EVER MET HIM, UH, HE HAS A GOOD, HE HAS A GOOD REPUTATION, UM, ON, ON THESE TYPES OF PROJECTS. SO, UH, WE'VE BROUGHT HIM IN AND HE IS ALWAYS ALREADY BEEN A GREAT ASSET. SO I'LL LET HIM INTRODUCE HIMSELF, AND THEN HE'S GONNA WALK YOU THROUGH, UH, THE NEXT COUPLE OF SLIDES. JEFF, THANKS KEVIN. AND, UH, COMMISSIONER SCOTT, COMMISSIONER MCGUIRE, PLEASURE TO MEET YOU. MAYBE TWO OF THE PEOPLE IN THE ROOM. I DIDN'T MEET DURING THE LONG BEACH CIVIC CENTER PROJECT, BUT, UM, HAVING TO START WORKING ON THIS. AND, UH, I WAS THRILLED TO WORK WITH, WITH RICH ON THAT PROJECT. WE BOTH HAD FULL HEADS OF HAIR WHEN IT STARTED . UM, SO HOPEFULLY SOME OF THOSE LESSONS LEARNED CAN HELP THIS, THIS ONE GO A LITTLE BIT MORE SMOOTHLY. UM, AND, UH, ALSO THANKS TO KEVIN AND HIS STAFF, ALL THOSE FOLKS ON THERE. WE'VE HAD A COUPLE OF KICKOFF MEETINGS AND THEY'VE BEEN GREAT ABOUT TRYING TO START TO PULL INFORMATION TOGETHER TO MAKE EVERYTHING, UH, WORK VERY EFFICIENTLY. UM, SO YEAH, A LITTLE BIT ABOUT MYSELF. I'VE DONE ABOUT 35 PUBLIC PRIVATE PARTNERSHIP PROJECTS, ABOUT $6 BILLION WORTH OF ASSETS ACROSS 18 MILLION SQUARE FEET OF REAL ESTATE AROUND THE COUNTRY. TWO OF THOSE HAPPEN TO BE IN LONG BEACH. I'M GONNA DIVE INTO 'EM JUST A LITTLE BIT JUST SO YOU GUYS GET A LITTLE BACKGROUND HISTORY IF YOU'RE LESS FAMILIAR WITH THEM. AND REALLY, UM, LATELY THE LAST THREE YEARS I'VE BEEN ADVISING AT DIFFERENT PUBLIC AGENCIES ON HOW TO GET SOME PUBLIC PRIVATE PARTNERSHIPS OFF THE GROUND. WHAT THEY ARE, THEY'RE ALL DIFFERENT. I MEAN, THAT'S REALLY THE, THE BOTTOM LINE. EVERY PARTNERSHIP, JUST LIKE ALL OF YOU HAVE MANY PARTNERSHIPS IN YOUR LIVES, AND THEY'RE ALL DIFFERENT, AND THEY'RE, AND THEY'RE UNIQUE AND THEY'RE SPECIAL, AND THEY'RE ABOUT MAKING IT, UM, IT WORK FOR BOTH PARTIES, RIGHT? WHAT DO YOU, WHAT IS WHAT, WHAT DOES EVERYBODY BRING TO THE TABLE? UH, SO WITH THAT, I THINK THERE'S, THE BENEFITS OF UTILIZING A P THREE OBVIOUSLY IS, YOU KNOW, IF YOU DEFINE THE GOALS, RIGHT, AND YOU, YOU KNOW, UM, THEN OUR PROCESS WILL BE LIKE, REALLY ABOUT ESTABLISHING OUR AFFORDABILITY LIMIT. THAT'S KIND OF OUR NEXT STEP RIGHT NOW. UM, IDENTIFYING THE PROJECT RISKS AND THEN, AND THEN COMING UP WITH THE ASK IF WE'RE GONNA BRING A PRIVATE SECTOR PARTY. AND WHAT IS THAT PARTICULAR ASK? UH, AS I SAID, EACH P THREE IS UNIQUE, RIGHT? SO THE KEY IS YOU GET A PARTNERSHIP, YOU'RE ALL ROWING TOGETHER, AND, UM, WE LEVERAGE PRIVATE SECTOR RESOURCES TO ACHIEVE PUBLIC SECTOR GOALS. AND THAT'S WHAT ALL OF MY CLIENTS THAT I'M CURRENTLY WORKING WITH AND ADVISING ARE TRYING TO DO. AND THEY ARE LONG-TERM PARTNERSHIPS, RIGHT? SO, LIKE OUR LONG BEACH CIVIC CENTER PROJECT, I THINK IF YOU ADDED UP ALL THE LEGAL AGREEMENTS THAT RICH WROTE, THEY STAND ABOUT THIS HIGH. IT'S A LOT OF PAPER. UM, I THINK THERE WERE 35 SEPARATE AGREEMENTS, AND SO ALL KIND OF LINKED TOGETHER, BUT, YOU KNOW, YOU'RE, YOU'VE GOT A 35 YEAR PROJECT, SO THAT'S, YOU KNOW, MAKE AGREEMENT IN A YEAR. THAT'S ABOUT RIGHT. SO, , UM, SO THIS IS CASE STUDY NUMBER ONE. THIS IS THE FIRST PROJECT IN THE LONG BEACH I WAS INVOLVED WITH. THIS IS THE LONG BEACH COURTHOUSE. AND MANY OF YOU, UH, MAY HAVE BEEN THERE, HOPEFULLY, UH, MAYBE IT'S A JUROR AND NOT A GUEST TO THE STATE, I HOPE. UM, BUT IT WAS, UH, IT WAS, YOU KNOW, THE OLD LONG BEACH COURTHOUSE WAS ONE OF THE WORST PERFORMING IN THE STATE. UH, THE STATE DID NOT HAVE, UH, BILLABLE FUNDS UNDER THE CAPITAL IMPROVEMENT PLAN. SO GOVERNOR SCHWARZENEGGER ASKED THE A OC TO GO OUT AND FIND AN ALTERNATIVE MODEL. HE FOUND THAT DESIGN, BUILD, FINANCE, OPERATE AND MAINTAIN MODEL FROM CANADA, THEY'VE BEEN DOING A LOT OF PUBLIC INFRASTRUCTURE UNDER. AND THE REAL BENEFIT OF THAT WAS A, A ROBUST MAINTENANCE GUARANTEE. SO IN THE CASE OF THE COURTHOUSE, YOU KNOW, THE OLD COURTHOUSE, THE CEILING TILES WERE FALLING DOWN, YOU COULDN'T PUT A JURY IN THE BOX BECAUSE IT WAS UNSAFE. SO YOU HAD TO RESCHEDULE COURT, WHICH IS EXPENSIVE, RIGHT? YOU GOTTA, YOU KNOW, ANOTHER MONTH TO GET ON THE CALENDAR AND YOU'RE, YOU'RE KEEPING PRISONERS, YOU'RE DOING ALL OF THIS STUFF. IT'S VERY, VERY EXPENSIVE AND VERY DISRUPTIVE TO THE COURT PROCESS. NOT TO MENTION THE FACT THAT PEOPLE LINED UP AROUND THE BLOCK, YOU KNOW, ON OPPOSITE SIDES OF A CASE TRYING TO GET THROUGH ONE SECURITY STALL, YOU KNOW, AND THEY WERE, THEY WERE MAD WHEN THEY CAME INTO THE COURTROOM, RIGHT? WELL, THE JUDGES TELL ME NOW THAT THEY RESOLVE CASES VERY QUICKLY, AND IT'S ONE OF THE BEST PERFORMING, YOU KNOW, COURTHOUSES IN THE COUNTRY FOR THAT, FOR THAT NEED, BECAUSE, YOU KNOW, A LOT OF THE THINGS WE PUT INTO THE DESIGN, BUT IT WAS ALL DRIVEN. ALL OF THOSE RESULTS WERE DRIVEN BY THE FUNDAMENTAL ASK, WHICH WAS MAKE THIS A PERFORMANCE ORIENTATED, PERFORMANCE GUARANTEED FACILITY. AND THERE'S A, THERE'S A PERFORMANCE DEDUCTION REGIME WITHIN THE CONTRACT THAT IT MOTIVATED THE PRIVATE SECTOR TO DO THAT. SO IN THE CASE OF THE COURTHOUSE, LIKE IF SAY THE FIRE ALARM SYSTEM WENT DOWN OR SOMETHING, YOU WEREN'T ABLE TO OPEN THE BUILDING, THE PRIVATE CONTRACTOR, YOU KNOW, UH, IT'S $250,000 A DAY PENALTY, RIGHT? SIGNIFICANT LIQUIDATED DAMAGES FOR THE, THAT PARTIALLY OFFSET THE COURT'S CONSEQUENTIAL DAMAGES OF NOT BEING ABLE TO HOLD BUSINESS THAT DAY. THAT WAS THEIR MAIN DRIVING FACTOR. AND AGAIN, ONCE YOU GET TO THOSE MAIN GOALS, NOW YOU CAN STRUCTURE A PARTNERSHIP, BRING IN PARTNERS, YOU CAN GET THE RESULTS YOU'RE LOOKING FOR BECAUSE YOU'VE DEFINED THE PROBLEM AND YOU'VE DEFINED WHAT YOUR STRENGTHS ARE AND WHAT THE STRENGTHS YOU'RE LOOKING FOR FROM A PARTNER. WE HAD A LITTLE DIFFERENT [00:10:01] SITUATION IN THE CITY. THE CITY SAID TO US, WE LIKE HOW QUICKLY YOU BUILT THAT BUILDING ACROSS THE STREET. WE'D LIKE YOU TO DO IT THE SAME WAY, BUT WE HAVE NO MONEY. SO COULD YOU BUILD US A BUILDING FOR NO MORE THAN A COST TO MAINTAIN THE OLD ONE? WE SAID, SURE, . AND THEN WE FIGURED OUT HOW TO DO IT. UM, BUT IT WAS THROUGH A COMPLICATED CAPITAL STACK. AND THEM ALSO JUST KINDA REALIZING WHAT THEIR, YOU KNOW, WHAT THEIR, WHAT THEIR REAL COST OF AFFORDABILITY WAS. AND I THINK THAT'S WHERE WE'RE AT NOW A LITTLE BIT WITH THE GAS DEPARTMENT, OR SORRY, THE UTILITIES DEPARTMENT HERE, UH, WHICH IS, YOU KNOW, WHAT IS IT COSTING YOU TO BE IN THESE BUILDINGS? WHAT IS THE TRUE COST OF DOING NOTHING? IS THERE, IS THERE A DO NOTHING ALTERNATIVE THAT IS, THAT IS VIABLE? AND, YOU KNOW, WHAT DOES IT LOOK LIKE GOING FORWARD? WHAT'S THE TYPE OF PARTNERSHIP WE WANT? HOW CAN WE MAKE IT MOST EFFICIENT TO, YOU KNOW, ACHIEVE THE OPERATIONAL GOALS OF CONSOLIDATION THAT YOU GUYS HAVE SET OUT TO DO HERE? UH, SO THAT SOME OF THAT WAS VERY SIMILAR TO THE CITY OF LONG BEACH. UH, WE TOOK LAND AND TRADE THAT WAS PART OF THE OVERALL CAPITAL STACK. WE WERE ABLE TO REPURPOSE THE DOLLARS THAT THEY WERE OTHERWISE SPENDING ON MAINTENANCE AND, AND REC AND DEFERRED MAINTENANCE THAT THEY WOULD HAVE TO SPEND IF THEY STAYED IN THEIR BUILDING. UM, WE MADE MORE EFFICIENT OFFICE SPACE, MEANING, YOU KNOW, LESS SQUARE FOOT PER PERSON, BUT ALSO LIKE, YOU KNOW, OPEN AND USABLE AND PRODUCTIVE SPACE. WE HAD MORE EFFICIENT ENERGY COSTS AND OPERATIONS. SO WE HAD OPERATIONAL COST SAVINGS ON MULTIPLE FRONTS. SO ALL OF THOSE THINGS ADDED UP TO GET TO A COST NEUTRAL EQUATION WHERE THEY WERE SPENDING 12.3 MILLION A YEAR IN 2015, THAT WAS THEIR ASK TO BE OUR PAYMENT NUMBER. THEY HAD ANOTHER $70 MILLION OF DEFERRED MAINTENANCE THAT THEY WEREN'T RECOGNIZING. SO EVEN OVER 10 YEARS, CALL THAT ANOTHER 7 MILLION A YEAR. SO THEY'RE, THEIR, THEIR NOT WAS, YOU KNOW, $19.3 MILLION. AND WE CAME IN AT $14.7 MILLION WHEN WE CONSIDERED THE NEW ELECTRICITY. SO WE GOT 600,000 NEW SQUARES, FEET OF REAL ESTATE AND SAVE 5 MILLION A YEAR. UM, THIS IS, YOU KNOW, I THINK WHEN WE THINK ABOUT PUBLIC-PRIVATE PARTNERSHIPS, AS I MENTIONED, THEY'RE ALL UNIQUE. THEY'RE ALL DIFFERENT. THIS IS, YOU KNOW, UH, KIND OF THE SPECTRUM OF TYPICAL PUBLIC WORKS CONTRACTING THAT WE DEAL WITH ON THE FAR RIGHT SIDE, YOU KNOW, WAS THE, YOUR, YOUR HARD BID, YOUR DESIGN BID BUILD, GO OUT, GET THE LOWEST COST BIDDER, YOU KNOW, THEN WE JUST, WE, WE WORKED ON MAINTAINING IT. UM, THAT'S LIKE TAKING EACH PART OF THE PROJECT AND TRYING TO GET THE, THIS, THE CHEAPEST PRICE FOR EACH PART, RIGHT? WHICH SOMETIMES THE SUM OF THE PARTS IS, IS LESS THAN THE WHOLE. AND THAT'S WHEN YOU MOVE MORE TOWARDS THE RIGHT OF THE, UH, LEFT, SORRY, THE RIGHT SIDE OF THE SPECTRUM THERE. YOU FIND THAT, UM, AS YOU START TO INTEGRATE DESIGN AND BUILDING TOGETHER, NOW YOU'RE, YOU'RE, YOU'RE WORKING AT A, UH, FOR A FASTER PACE. YOU ADD FINANCING TO IT, YOU KNOW THAT, YOU KNOW YOU'RE GONNA GET TURNKEY ON TIME DELIVERY 'CAUSE A CONTRACTOR DOESN'T GET PAID TILL A THING IS FINISHED. AND THEN IF YOU ADD MAINTENANCE INTO IT, NOW YOU'RE REALLY CHANGING THE PARADIGM BETWEEN LOWEST FIRST COST AND LOWEST TOTAL OPERATIONAL COST. AND SO THAT'S KIND OF HOW WE MOVE FROM A, YOU KNOW, DESIGN BID BUILD THROUGH THE DESIGN D-B-F-O-M PROJECT. AND THERE ARE OTHER NUANCES THAT WE ADD IN THERE. LIKE IF YOU'RE LOOKING AT LIKE, HOW DO WE REPURPOSE EXISTING REAL ESTATE AND HOW DO WE, YOU KNOW, FIND OPERATIONAL EFFICIENCIES, HOW DO WE MONETIZE THOSE? YOU GUYS HAVE CHALLENGES BETWEEN THE THREE DIFFERENT, YOU KNOW, RATE PAYERS AND RATE PROGRAMS THAT YOU HAVE WITHIN A CONSOLIDATED FACILITY. SO WE'RE GONNA DEAL WITH ALL THAT. UM, BUT, UM, JUST AS AN OVERVIEW, AGAIN, PUBLIC-PRIVATE PARTNERSHIPS WHEN THEY WORK THE BEST OR ABOUT TRANSFERRING RISK, TRANSFERRING THE RIGHT RISKS AND GETTING THE RIGHT PARTNER. AND THAT'S OUR GOALS. THANK YOU, JEFF. I'VE ALREADY LEARNED A LOT. UM, YOU KNOW, I, MY ONLY EXPERIENCE WITH THE P THREE HAS BEEN THE CITY CIVIC CENTER. AND SO THE IDEA OF, I THINK THE CITY WENT TO THE FULL TURNKEY OPTION WHERE, UH, YOU'RE TRANSFERRING THE FINANCING, THE MAINTENANCE, THE, THE DESIGN AND THE CONSTRUCTION TO THE PRIVATE PARTNER. AND SO I, I DIDN'T REALIZE THAT THERE WAS VARIOUS VERSIONS OF, OF DOING A P THREE. SO WE HAVE A, OUR WORK CUT OUT FOR US TO, TO FIGURE OUT, UH, WHAT'S THE BEST, UH, WAY TO RECOMMEND TO THIS BOARD. SO THIS IS JUST A REVIEW OF, OF I THINK WHAT I'VE SHOWN BEFORE. WE HAVE OUR FOUR OPTIONS THAT WE LOOKED AT. OPTIONS ONE AND TWO ARE YOUR, UH, $225 MILLION WE'RE USE UTILIZING THE TWO CAMPUSES, THE ONE AT SPRING, AND THEN ONE AT TREATMENT PLANT. UH, OPTION THREE WAS OUR, UH, CENTRALIZED CAMPUS. WE'RE ALL LOCATED AT THE TREATMENT PLANT, AND, UH, ESTIMATED COST IS A LITTLE BIT MORE 246 MILLION. AND THEN, UH, OPTION THREE OR OPTION FOUR, UH, IS YOU'RE DOING RENOVATIONS HERE AT THIS LOCATION, AND YOU ARE DOING SOME, UH, NEW CONSTRUCTION AT SPRING STREET FOR OUR WAREHOUSE AND SOME OF OUR BUILDINGS THAT ARE IN, UH, POOR CONDITION. AND THAT WAS, UH, FOR LIKE 133 MILLION. SO ONE OF, ONE OF THE THINGS, AND, AND THESE NUMBERS HERE ARE JUST FOR ILLUSTRATIVE [00:15:01] PURPOSES. THESE ARE NOT HARD NUMBERS. AND SOME OF THESE ARE JUST, YOU KNOW, LIKE FOR EXAMPLE, THE ANNUAL PAYMENT IS JUST A GUESS. UH, BUT SO IF YOU TOOK THE, THE OPTIONS AND THE TOTAL COST, AND YOU WERE JUST TO GO TO THE MARKET AND BOND LIKE WE TYPICALLY WOULD AND BORROW FOR ON A 30 YEAR PAYMENT, THESE ARE WHAT THE ANNUAL PAYMENTS WOULD BE, UH, THAT I'M SHOWING ON THIS, ON THIS ROW RIGHT HERE. AND SO THOSE ARE, I DON'T KNOW, FOR ME, I LOOKED AT THAT I WAS, THAT'S, THOSE ARE SIZABLE NUMBERS, BUT IF, IF YOU LOOK AT, YOU KNOW, IN OUR OPTIONS WHERE WE'RE UTILIZING, UH, SURPLUS LAND AND ALSO, UH, OTHER, OTHER WAYS THAT WE, JEFF HAD JUST MENTIONED, YOU KNOW, THERE'S OPERATING COST SAVINGS THAT WE CAN GET TO. THERE'S ENERGY SAVINGS IF, UH, OUR NEW CONSTRUCTION SHOULD BE, UH, MUCH MORE EFFICIENT SO OUR ELECTRICAL BILLS WILL GO DOWN. AND THEN THERE'S ALSO THE DEFERRED MAINTENANCE COMPONENT THAT THE CITY LOOKED AT THAT WE KNOW WE'RE GOING TO HAVE TO MAKE SOME INVESTMENTS IN THESE, IN THIS INFRASTRUCTURE IF WE GO WITH THE STATUS QUO CASE. BUT RIGHT HERE, I'M JUST SHOWING IF IN THIS HYPOTHETICAL, WE WERE ABLE TO, UH, SECURE THIS LEVEL OF RENT FROM, UH, THESE BUILDINGS. IT SHOWS THAT THE, IT OBVIOUSLY LOWERS THE COST OF THE OVERALL. AND, AND YOU CAN START TO SEE THAT IF YOU START THROWING IN OTHER EFFICIENCIES THAT ARE NOT ON THIS SPREADSHEET RIGHT HERE YET, YOU SEE THAT THE, THE OVERALL COST IS NOT NECESSARILY, UH, THE CHEAPEST VERSION MAY NOT BE THE ONE THAT'S THE, THE, THE CHEAPEST TO CONSTRUCT. AND SO THIS, THIS IS THE LAST SLIDE HERE WHERE, UM, THIS IS WHAT OUR GOALS ARE OVER THE NEXT, UH, I GUESS THE NEXT FEW MONTHS. AND SO WE'RE GONNA, AS I MENTIONED, WORK ON DEVELOPING WHAT THOSE CURRENT OPERATING COSTS ARE. SO WE CAN ADD THAT COMPONENT INTO OUR ANALYSIS. UH, WE'RE GONNA REFINE, UH, THE VALUE OF OUR X SURPLUS PROPERTY WE HAVE, WE'RE GONNA LOOK AT MULTIPLE OPTIONS, UH, FROM EITHER SELLING IT, LEASING IT, UH, MAYBE REBUILDING IT AND HAVING SOME OTHER RENTAL TYPE PURPOSES. AND THEN, YOU KNOW, EVEN THE OPTION THAT THE CITY LOOKED AT WHERE YOU MAYBE ROLL IN THE, UH, SURPLUS PROPERTY INTO THE, INTO WITH THE P THREE AND SEE IF THEY'RE, SEE WHAT THEY CAN COME UP AND WHAT THEY CAN OFFER, THEN WE CAN EVALUATE ALL OF THOSE OPTIONS. UM, I THINK FOR THE, FOR THE NEXT PRESENTATION, THIS NEXT ONE IS GONNA BE MOST CRITICAL IS ESTABLISHING AN AFFORDABILITY LIMIT, AND NOT JUST THE OVERALL COST, BUT ALSO WHAT, WHAT THAT BURDEN WOULD BE TO THE RATE PAYERS. SO OUR GOAL WOULD BE TO START PROVIDING KIND OF A BALLPARK FIGURE OF WHAT THAT LOOKS LIKE AND, AND REALLY, UH, GET YOUR FEEDBACK ON IF THAT'S SOMETHING WE WANT TO KEEP MOVING FORWARD TO PURSUE. AND, UH, ANALYZING THE BENEFITS AND LIMITATIONS OF ALTERNATIVE FINANCING SOURCES VERSUS OUR, OUR NORMAL FUNDING MECHANISMS. THAT'S JUST LOOKING AT UTILIZING THE PRIVATE MARKETS VERSUS, UH, THE PUBLIC MARKETS QUANTIFYING PROJECT RISKS. AND THEN FINALLY, WORKSHOP ALTERNATIVE DELIVERY METHODS CONSIDERING PROJECT RISKS AND GOALS. UH, IT'S THE KIND OF STUFF THAT JEFF WAS GOING OVER ON HIS SLIDE WHERE YOU'RE SHOWING IF GOING MORE UTILIZING A P THREE, YOU SHIFT SOME OF THAT RISK TO THE PRIVATE SEC SECTOR. ONE OF THE, THE BENEFITS I REALLY LIKE IS THAT WE DON'T SPEND A DIME ON THIS UNTIL THEY DELIVER SOMETHING THAT WE CAN MOVE INTO. AND THAT'S, THAT WOULD BE HUGELY BENEFICIAL. SO, UH, THAT CONCLUDES OUR PRESENTATION. THE TEAM IS HERE TO ANSWER ANY QUESTIONS YOU MAY HAVE. UH, THANK YOU. UH, THANK YOU SO MUCH. FIRST OF ALL, BEFORE I SAY ANYTHING, ARE THERE ANY PUBLIC COMMENTS? AWESOME. UH, I CAN FINALLY SLEEP AT NIGHT. MY GOSH. UH, IT, IT IS GREAT TO SEE THIS TEAM BEING BROUGHT TOGETHER. UM, UH, I'M SUPER EXCITED, UH, ABOUT RICH. I'M, I'M VERY EXCITED ABOUT, UH, JEFF. JEFF, I'D LIKE YOU INSTANTLY WHEN I SAW THAT YOU WERE A CPA, UM, SO PERFECT. UH, I, I, EVERYBODY THAT YOU'VE, YOU'VE BROUGHT ON BOARD HERE, I'M SUPER EXCITED ABOUT IT. UM, EVERYTHING YOU'RE SAYING IS IN LOCKSTEP WITH WHAT I'VE HAD ENVISIONED FOR, FOR QUITE A WHILE, SO THANK YOU SO MUCH AND I'M, I'M REALLY LOOKING FORWARD TO SEEING HOW THIS PROGRESSES DURING THE REST OF THIS YEAR. THANK YOU. IT'S GREAT PROGRESS. , I OVER KEVIN AND I ARE EXCITED, UM, AND A GREAT TEAM. SO THANK YOU. THANK YOU. GREAT. THANK YOU. I, I HAVE NO FURTHER QUESTIONS OR, OR, I, I'M HAPPY TO SEE THE, THE ROAD THAT YOU'RE ON AND LOOKING FORWARD TO SEE THE RESULTS THAT YOU BRING BACK TO US. SO THANK YOU SO MUCH. ALRIGHT, THANK YOU VERY MUCH. SO THAT BEING SAID, UH, LET'S SEE. WE'VE GOT A MOTION TO RECEIVE AND FILE [00:20:01] ALL THOSE IN FAVOR SAY AYE. AYE. AYE. NO ONE IS OPPOSED. THANK YOU SO MUCH. UH, AYE. NEGLECTED TO RECOGNIZE OUR, OUR EDITION UP HERE. THOMAS, WELCOME. LET ME TURN THIS ON. THANK YOU, UH, PRESIDENT SCOTT, UH, COMMISSIONER MCGUIRE. LOOK FORWARD TO WORKING WITH YOU. THANK YOU SO MUCH. ALRIGHT, LET'S, UH, HOP BACK INTO THE REGULAR AGENDA. [1. 26-54273 Recommendation to approve December 4, 2025 Planning Committee meeting minutes.       Suggested Action: Approve recommendation. ] UH, ITEM NUMBER ONE, APPROVE, UH, DECEMBER 4TH, 2025, PLANNING COMMITTEE MEETING MINUTES. UH, DO I HAVE A MOTION? SO MOVED AND I WILL SECOND THAT. ANY PUBLIC COMMENTS? PERFECT. ALL THOSE IN FAVOR SAY AYE. AYE. AYE. AND NONE OPPOSED. THANK YOU. ITEM NUMBER TWO, UH, RECEIVE [2. 26-54274 Recommendation to receive and file an overview report of the Groundwater Resilience Program.       Suggested Action: Approve recommendation. ] AND FILE AN OVERVIEW REPORT OF THE GROUNDWATER RESILIENCY PROGRAM, THE GRP. UH, MAY I HAVE A MOTION TO, UH, RECEIVE AND FILE, SO MOVED AND SECOND CALL ON THOMAS FOR YOUR PRESENTATION. THANK YOU. THANK YOU, UH, PRESIDENT SCOTT. UH, THANK YOU, UH, COMMISSIONER MCGUIRE. THIS PRESENTATION IS ACTUALLY GOING TO BE PRESENTED BY, UH, LAYLA STEVENS. SHE'S, UH, ONE OF OUR ENGINEERS, SHE'LL, SHE WILL BE PROVIDING YOU REALLY GOOD DETAIL OF THE PRESENTATION ON GROUNDWATER UM, RESILIENCE PROGRAM. BUT I, I DID WANT TO GIVE YOU A BRIEF SUMMARY OF WHAT, WHAT THE GROUND RESILIENCE PROGRAM IS ABOUT. AND, UM, YOU KNOW, IT'S INTERESTING, IT'S ACTUALLY A PRODUCT OF SEVERAL, UH, PLANNING DOCUMENTS THAT HAVE BEEN PREVI THAT HAVE BEEN PREPARED AT O THAT THAT, THAT HAVE BEEN PREPARED OVER THE YEARS. IT STARTED IN 2017, UH, WHEN THE, UH, UH, WELL REHABILITATION PROGRAM WAS FIRST DEVELOPED WHERE WE IN INITIATED THE IDEA OF ACTIVATING AT LEAST TWO WELLS PER YEAR. AND THEN WE MOVED ON TO THE 2020, UM, UH, WATER RESOURCES MASTER PLAN THAT IDENTIFIED THE NEED FOR GROUNDWATER RESILIENCY AND HAVING A SECOND WATER TREATMENT PLAN IN 2023. WE TOOK IT EVEN FURTHER AND WORKED A LITTLE BIT FURTHER ON THE, UM, UH, UH, THE NEED FOR A SECONDARY TREATMENT PLAN ON THE WEST SIDE OF OUR CITY, BASICALLY WEST OF, UH, THE LA RIVER RIVER, UH, WHERE AN AREA THAT WE CALL THE MWD ZONE OR THE JWD JW, JWJ ZONE, UH, THAT AREA HAS A DEMAND OF ABOUT, UH, 10 MILLION GALLON PER DAY, WHICH EQUATES UP TO, YOU KNOW, 11,000 ACRE FEET PER YEAR. THAT IS APPROXIMATELY 20% OF THE WATER USED BY OUR CITY. UH, SO OFFSETTING THAT COST BY USING GROUNDWATER INSTEAD OF BUYING IT FROM METROPOLITAN WATER, WATER DISTRICT, UH, PUTS IT AS A GREAT ADVANTAGE. SO LAYLA'S PRESENTATION IS GOING TO GO OVER THE SCOPE, COST, AND SCHEDULE OF WHAT THAT LOOKS LIKE. WITH THAT BEING SAID, I'LL DEFER IT TO LAYLA. THANK YOU THOMAS. UH, YES, GOOD MORNING. MORNING EVERYONE. MY NAME IS LELA STEVENS WITH THE ENGINEERING PIPELINE INFRASTRUCTURE GROUP. I'M HERE TO PRESENT ON THE GROUNDWATER RESILIENCE PROGRAM AND THOMAS ALREADY PROVIDED A REALLY GOOD BACKGROUND INFORMATION ON THIS. BEFORE I START ON THE PRESENTATION SLIDES, LIKE KEVIN, I KNOW HE'S NOT HERE ANYMORE, BUT I ALSO HAVE A SUPPORTIVE TEAM THAT HELPED ME WITH DELIVERING OF THIS PRESENTATION PROGRAM. I SAVED MYSELF FROM EMBARRASSING FROM PRONOUNCING EVERYONE'S LAST NAME, SO WE'RE GONNA SKIP WITH THAT AND MOVE ON WITH THE PRESENTATION. SO, FOR THE NEED FOR THE GRP, THE NEED FOR THE GRP OR THE GROUNDWATER RESILIENCE PROGRAM IS TO ENHANCE THE RESILIENCE AND PROVIDE REDUNDANCY AND OPTIMIZE THE LOCAL GROUNDWATER SUPPLY WHILE NAVIGATING THE ENVIRONMENTAL UNCERTAINTY AND THE COMPLEXITY COMPLEXITY. BEFORE WE DIVE INTO WHERE WE NEED TO GO, LET'S TAKE A LOOK WHERE WE ARE RIGHT NOW. OKAY. SO OUR EXISTING SYS SYSTEM SERVICE APPROXIMATELY 500,000 RESIDENTS AND HAS APPROXIMATELY 90,000 ACTIVE PROPER WATER SERVICE CONNECTION. WE ALSO HAVE CONSISTS OF TWO MAIN DISTRIBUTION ZONE WITH THE BLENDED ZONE THAT UTILIZED THE LOCAL GROUNDWATER SUPPLY AND THE IMPORTED WATER FROM NWD ON THE WEST SIDE OF LONG BEACH. IT SOLELY RELIES ON THE IMPORTED WATER FROM NWD, AND I DO WANT TO MENTION THAT WE WILL PROVIDE A MORE DETAILED INFORMATION ON OUR, OUR WATER SYSTEM IN THE LATER, UH, IN THE FUTURE PRESENTATION. SO NOW WE UNDERSTAND WHERE WE ARE AT, WHERE WE ARE NOW, WHERE DO WE NEED TO GO FROM HERE? IN 2019, THE DEPARTMENT DEVELOPED ITS LONG-TERM WATER RESOURCES STRATEGY AND HAS COMMITTED TO INCREASED LOCAL WATER SUPPLY SOURCE AND REDUCED THE DEPENDENCY ON THE IMPORTED WATER WITH A SPECIFIC GOAL OF INCREASING THE LOCAL GROUNDWATER SUPPLY FROM 55% TO 75% AND INCREASE THE RECYCLED WATER SUPPLY FROM 15% TO [00:25:01] 18% WHILE REDUCING THE IMPORTED WATER SUPPLY FROM 30% TO 7%. AS YOU'VE SEEN IN THE PREVIOUS SLIDE, OUR EXISTING SYSTEMS, SPECIFICALLY ON THE WESTERN PORTION OF THE LONG BEACH, LIMITS US FROM ACHIEVING THE DEPARTMENT'S OVERALL GOAL AND THAT PROVIDES THE CONSTRAINTS. SO HOW SO HOW DO WE GET TO THE TOMORROW'S GOAL WITH THE, WITH THE WATER RESOURCES PLAN? WE HAVE COMPLETED THE OPTIMIZATION STUDY THAT IS A PLANNING DOC PLANNING LEVEL DOCUMENT TO EVALUATE WAYS OF OPTIMIZING THE WATER SYSTEM AND THE CURRENT OPERATIONAL PROCEDURES TO MAKE NECESSARY IMPROVEMENTS AND TO ACCOMMODATE THE SHIFT IN THE FUTURE WATER SUPPLIES. AND THIS VENTURE EATS LEADS US TO THE GROUNDWATER RESILIENCE PROGRAM. ANOTHER AVENUE THAT DEPARTMENT IS ALSO TAKING IS THE AUGMENTATION STUDY THAT IS CURRENTLY STILL IN PROGRESS AND THAT WILL LEAD LEAD TO THE INVENTION PHASES OF THE RECYCLED GROUNDWATER RECHARGE PROGRAM. JUST I DO WANT TO MENTION THAT THE COMPLETION OF THE GROUNDWATER AUGMENTATION STUDY IS VERY VITAL FOR OUR, FOR US TO MOVE FORWARD WITH THE GROUNDWATER RESILIENCE PROGRAM. AS THE WELL SIDING STUDY FROM THE AUGMENTATION WILL HELP US TO BETTER UNDERSTANDING THE POTENTIAL WELL SITES THAT WE CAN IMPLEMENT INTO THE GROUNDWATER RESILIENCE PROGRAM. SO FOR THE GRP FOR THE GROUNDWATER RESILIENCE PROGRAM, IT BUILDS UPON THE EXISTING COLLECTION SYSTEM AND USES THE EXISTING DISTRIBUTION SYSTEM WITH THE ADDITIONAL IMPLEMENTATION OF FOUR MAIN COMPONENTS. WITH THE FIRST ONE BEING THE NEW TREATMENT PLAN WEST, WHICH WILL BE AT JW JOHNSON RESERVOIR SITE AND MEETING. IT WILL BE DESIGNED AT A 10 MGD MEETING THE DEMAND OF THE CURRENT NWD OR JJWJ SERVICE ZONE. THE SECOND COMPONENT IS THE WEST BASIN EXPANSION LINE. THAT IS APPROXIMATELY 16,000 LI FEET OF 24 INCH PIPELINE HIGHLIGHTING ORANGE THAT WILL PROVIDE OPPORTUNITY FOR PRODUCTION WELLS WITHIN SPECIFICALLY THE WEST BASIN. THE THIRD COMPONENT IS THE CAPACITY ENHANCEMENT LINE THAT IS APPROXIMATELY 30, UH, 12,000, 12,500 LEARNING FEET OF 30 INCH PIPELINE THAT WILL PROVIDE ADDITIONAL OPPORTUNITIES FOR THE PRODUCTION WELLS. OOPS, I MOVED TOO FAST. ADDITIONAL OPPORTUNITY FOR THE PRODUCTION WELLS WITHIN CENTRAL BASIN AND AS WELL AS CONNECTING THE EXISTING COLLECTION SYSTEM WITHIN THIS AREA. THE LAST COMPONENT IS THE SYSTEM UNIFICATION LINE HIGHLIGHTING RING THAT IS APPROXIMATELY 17,000 LEARNING FEET OF 30 INCH PIPELINE. AND WITH THIS PIPELINE IT WOULD CONNECT GROUNDWATER SYSTEM, OOPS, AGAIN, MOVE TO . IT WOULD CONNECT BOTH GROUND WATER SYSTEM FROM THE CENTRAL BASIN AND WEST COAST BASIN AND HOPE THAT WILL PROVIDE FLEXIBILITY TO OUR SYSTEM, LET'S SAY WHEN ONE TREATMENT IS ALL FOR MAINTENANCE. AND WITH THIS LINE IT ALSO PROVIDES THE ADDITIONAL REDUNDANCY AND THE RESILIENCE TO THE, OUR ENTIRE SYSTEM IN LONG BEACH. SO FOR THE GROUNDWATER RESILIENCE PROGRAM, WE NEED TO UNDERSTAND HOW WE CAN GET TO THERE WITH UNDERSTANDING THE SCOPE, SCHEDULE AND COST. LET'S GO OVER THE SCOPE AND SCHEDULE FIRST. FOR THE SCOPE, IT IS SIMPLIFIED INTO SEVEN MAJOR MILESTONES WITH WE WILL GO INTO EACH OF THE MILESTONES AND THE SCOPE, UH, SCHEDULE ASSOCIATED WITH EACH IN THE LATER SLIDE, THE DURATION. AND THEN THIS SLIDE SHOWS A HIGH LEVEL OVERVIEW OF THE SCHEDULE WITH ALL SEVEN MAJOR MILESTONE LISTED ON THERE WITH THE ANTICIPATE START TIME OF JUNE, 2026 AND THE ANTICIPATE COMPLETION TIME OF MAY, 2038. AND ONCE AGAIN, WE WILL GO GO MORE IN DETAIL OF EACH OF THE MILESTONE AND THE SCHEDULE IN THE LATER SLIDES. I DO WANT TO MENTION THAT IN THE LATER ON SLIDES YOU WILL NOTICE THESE FLAGS. THEY'RE DEFINED HERE WITH THE GREEN FLAG INDICATING THE START TIME OF THE MILESTONE. AND THIS FINISH, THE FINISH TIME, COMPLETION TIME OF THE MILESTONE. AND THE ORANGE FLAG INDICATES THE APPROXIMATE TIME WHERE WE MAY NEED TO INVOLVE THE EXECUTIVE AND BOARD FOR REVIEW APPROVAL FOR SUCH FOR LET'S SAY THE DESIGN CONTRACT DOCUMENT OR CONSTRUCTION MANAGEMENT SERVICES OR AND CONSTRUCTION. LET'S GO OVER THE GROUNDWATER AUGMENTATION STUDY. SO I MENTIONED THE COMPLETION OF THE GROUNDWATER AUGMENTATION STUDY IS GOING TO HELP US TO BETTER UNDERSTAND THE POTENTIAL LOCATION FOR THE PRODUCTION WELLS. SO FOR THE COMPLETION OF THIS AUGMENTATION STUDY THAT IS ALREADY CURRENTLY IN PROGRESS WITH THE AN ANTICIPATE [00:30:01] COMPLETION TIME OF JUNE, 2027. AND WITH THIS, IT WILL HELP US TO BETTER UNDERSTAND THE POTENTIAL WELL SITE LOCATION THAT WE CAN USE INTO OUR NEXT MILESTONE, WHICH IS THE FEASIBILITY STUDY. THE FEASIBILITY STUDY COMBINES BOTH THE GROUNDWATER OPTIMIZATION STUDY AND THE AUGMENTATION STUDY. SO IT'S REALLY TO A BIG, A MAJOR MILESTONE TO HELP US TO PULL ALL THE STUDIES TOGETHER FOR US TO BETTER UNDERSTAND WHAT IS THE SIZE SUITABILITY FOR THE TREATMENT PLAN AND AS WELL AS FOR THE PRODUCTION WELLS INITIAL WATER BLENDING TEST AND INTEGRATION STUDY, AS WELL AS DEVELOPING THE HIGH LEVEL COST ESTIMATE AND INTERNAL ANALYSIS FOR THE PROJECT DELIVERY METHOD. AND THROUGH THIS MILESTONE, WE ANTICIPATE THAT TO START IN JUNE, 2026 WITH THE COMPLETION TIME OF DECEMBER, 2027. FOR THE NEXT ONE IS THE FINANCING PLAN WITH THE DEVELOPED OF A HIGH LEVEL COST ESTIMATE FROM THE FEASIBILITY STUDY THAT WILL HELP US TO BETTER ASSESS WITH THE DEVELOPMENT OF THE FINANCING PLAN. THIS WILL ALSO HELP US TO IDENTIFY AND EVALUATE THE FUNDING SOURCE SUCH AS THE LOAN BOND STAY REVOLVING FUND OR SUCH. AND SO WITH THIS, THE ANTICIPATE START TIME IS AUGUST, 2027 WITH THE ANTICIPATE COMPLETION TIME OF THE DEVELOPMENT OF THE FINANCING PLAN IN AUGUST 20, 20, 28. NOW OBVIOUSLY WE ALSO NEED TO ENCOUNTER THE TIME IN IT MAY GO BEYOND, YOU KNOW, 30 YEARS FOR THE EXECUTION OF THE FINANCING PLAN. FOR THE NEXT ONE WITH THE IDENTIFIED WELL LOCATION, WE ALSO NEED TO LOOK INTO THE LAND ACQUISITION AS WELL AS THE EASEMENT NECESSARY EASEMENT FOR THE PIPELINE FOR THIS MILESTONE. WE ARE ANTICIPATE THAT TO STARTING AUGUST, 2027 AND COMPLETION TIME OF APRIL 29TH, 29. AND THIS MILESTONE IS HAPPENING PARALLEL WITH THE DEVELOPMENT OF THE FINANCING PLAN. NOW THE EXCITING PART FOR THE PRODUCTION, WELL FOR THE PRODUCTION WELLS, WE ARE ASSUMING THAT WE WILL NEED THREE PRODUCTION WELLS, A MINIMUM TO HELP US TO AT LEAST TO PROVIDE THE NECESSARY PRODUCTION FOR THE NEW TREATMENT PLAN OF 10 MGD. THE PRODUCTION WELL IS SCHEDULING INTO TWO PHASING AND ONE, THE FIRST PHASE IS THE DRILLING COMPONENT. THE SECOND PHASE IS THE EQUIPPING FOLLOWED WITH THE BOTH DESIGN AND CONSTRUCTION THAT WILL WE THE CURRENT PROCESSES THAT WE USE FOR OUR DEVELOP FOR THE DELIVERY OF OUR WELL PROJECTS. THE ANTICIPATED START TIME IS MAY, 2029 WITH THE COMPLETION TIME OF JUNE, 2037. AND I DO WANT TO MENTION THAT THIS SCHEDULE IS UNDER THE ASSUMPTION THAT ALL THREE WELLS ARE PACKAGED AS ONE AND THAT IT WOULD ALSO PROVIDE MORE OF A CONSERVATIVE APPROACH INTO THE SCHEDULING ESTIMATE. FOR THE TREATMENT PLAN. FOR THE CONSTRUCTION OF THE NEW TREATMENT PLAN, IT WILL BE ON THE EXISTING J JOHNSON JW JOHNSON RESERVOIR SITE DESIGNED TO TREAT AND DELIVER 10 MGD MEETING THE CURRENT NWD AND JOJ JOHNSON SERVICE SURFACE ZONE. FOR THE TREATMENT PLAN, IT'S ENCOMPASSED THE PILOT STUDY THAT WE'RE LOOKING TO THE PROCESS OUT PROCESSES ELEMENT OF THE TREATMENT COMPONENTS. AND THEY WILL HAVE THE DESIGN AND CONSTRUCTION FOLLOW WITH THE ANTICIPATE START TIME OF NOVEMBER, 2029 AND COMPLETION TIME OF MARCH, 2037. AND FOR ALL THE PIPELINES THAT INCLUDES THE WEST BASIN EXPANSION LINE, CAPACITY ENHANCEMENT LINE AND SYSTEM UNIFICATION LINE, AND ANY OTHER PIPELINES THAT MAY BE NEEDED TO CONNECT FROM THE PRODUCTION WELLS TO THE EXISTING OR THE NEW COLLECTION SYSTEM. THE TOTAL PIPELINE LENGTH IS ALMOST APPROXIMATELY 50,000 LINEAR FEET THAT CAN RANGE FROM 16 TO 24 INCH TO 30 INCH PIPELINE. THE PIPELINE WILL ALLOW US TO INTEGRATE THE EXISTING AND THE FUTURE GROUNDWATER COLLECTION SYSTEM AND PROVIDE THAT FLEXIBILITY IN YOUR SYSTEM WITH THE, WITH THIS MILESTONE, THE ANTICIPATE START TIME IS AUGUST, 2029 WITH THE COMPLETION TIME OF MAY, 2038. AND LAST ONE, TO TIE EVERYTHING TOGETHER, WE DO WANT TO INCLUDE THIS ONE TO CONDUCT A SYSTEM WIDE COMMISSIONING AND TO MAKE SURE ALL THE MECHANICAL, ELECTRICAL, AND THE INSTRUMENTATION ARE FUNCTIONING CORRECTLY AND OPERATING ACCORDING TO THE DESIGN TENT. THIS MILESTONE IS ALSO NEEDED TO ESTABLISH THE OPERATIONAL BASELINE AND DEVELOP MAINTENANCE PROTOCOLS FOR THE LONG-TERM PERFORMANCE. AND WITH ANOTHER ONE IS TO THE TWO TRANSFER OFF OF THE OFF FROM THE OPERATION FROM [00:35:01] CONSTRUCTION TEAM TO THE OPERATION TEAM FOR THIS MILESTONE, WE ARE ANTICIPATE THAT TO START IN JUNE 20TH, 2037 AND THE COMPLETION TIME OF MAY, 2038. NOW BACK TO THIS IMAGE, I'VE INCLUDED MORE DETAIL OF EACH OF THE MAJOR MILESTONES WITH THE ANTICIPATED START TIME OF JUNE, 2026 WITH THE COMPLETION TIME OF MAY, 2038. AND AS YOU SEEN, THE ORANGE FLAGS ARE ADDED, THAT'S WHERE WE, WE WILL NEED TO COORDINATE WITH THE EXECUTIVES AND THE BOARD FOR ANY REVIEW OR APPROVAL. AND YOU WILL SEE THIS NUMBER NEXT TO EACH OF THE ORANGE FLAG, NEXT TO THE TIMELINE FOR THE ORANGE FLAG THAT SHOWS THE ASSOCIATE MILESTONE NUMBER. THAT'S WITH IT. I DO WANT TO HIGHLIGHT THIS RED FLAG JANUARY, 2028. THAT IS THE ANTICIPATED COMPLETION TIME FOR THE FEASIBILITY STUDY. BUT THAT IS ALSO A VERY IMPORTANT TIME FOR US IS SORT OF POINT OF NO RETURN, POINT OF NO RETURN. THAT SIGN SIGNIFIES A CRITICAL MILESTONE POINT FOR US TO KNOW THAT ONCE WE MOVE PAST THIS POINT, WE AS A TEAM ARE MORE FULLY COMMITTED IN DEVELOP IN THE DELIVERY OF THIS PROGRAM. SO NOW WE HAVE THIS, UH, SCOPE WHICH IS BROKE, BROKEN DOWN INTO SEVEN MILESTONES AND SCHEDULE IS 12 YEARS. LET'S TAKE A LOOK AT THE COST. I'M SURE THAT'S ALL EVERYONE WAITING FOR. COST BASELINE ESTIMATE FOR THE COST BASELINE ESTIMATE, IT REALLY INCLUDES THE PROBABLE CONSTRUCTION COST, WHICH INCLUDES THE LABOR, MATERIAL AND EQUIPMENT. SO IT DOES NOT INCLUDE ANY CONTINGENCY COST YET. FOR THE COST BASELINE ESTIMATE FOR THE PRODUCTION, WELL FOR THE THREE PRODUCTION WELLS, THE TOTAL COST BASELINE ESTIMATE IS A LITTLE BIT MORE THAN 14 MILLION FOR THE COST BASELINE ESTIMATE FOR THE TREATMENT PLAN, ASSUMING THE TREATMENT PLAN IS TO BE DESIGNED AT TAM MGD AND I DO WANT TO LET YOU KNOW, INFORM THAT WE ARE OPEN TO THE OPTION OF POSSIBLY EXPANDING BEYOND THE TAM MGD IF THAT IS SOMETHING THAT EVERYONE, UH, WANTS, THE DEPARTMENT WANTS THAT TO BE, YOU KNOW, CONSIDERED. SO RIGHT NOW, THIS COST ESTIMATE ONLY LIMITS TO THE TAM MGD OF THE ORIGINALLY INTENT OF THE TREATMENT PLAN SIZE. WE ALSO INCLUDED POS TREATMENT SYSTEM FROM OUR MULTIPLE COORDINATION WITH OTHER AGENCIES SUCH AS CITY OF SANTA MONICA ANAHEIM, YORBA LINDA, WHO ALSO RECENTLY IMPLEMENTED THE PF OS TREATMENT SYSTEM. IT HAS BEEN INDICATED THAT ION EXCHANGE IS ONE OF THE MOST COST EFFECTIVE AND EFFICIENT IN REMOVING PFAS. SO THE PFAS TREATMENT SYSTEM, WE ARE ASSUMING THAT WE WILL BE USING THE ION EXCHANGE AND THE TOTAL COST BASELINE ESTIMATE FOR THE TREATMENT PLAN IS 85.5 MILLION. THE COST BASELINE ESTIMATE FOR THE PIPELINE WITH ABOUT 50,000 LEARNING FEET OF PIPELINE, THAT INCLUDES 24 INCH TO 30 INCH OF PIPELINE. THE TOTAL COST BASELINE ESTIMATE FOR THAT IS A LITTLE BIT MORE THAN 35 MILLION. SO THESE ARE THE COST BASELINE ESTIMATE. NOW LET'S GO OVER THE OTHER CONTINGENCIES AND COSTS THAT'S ASSOCIATED IN ON TOP OF THE COST BASELINE ESTIMATE. WITH THE CONSTRUCTION COSTS, WE TYPICALLY INCLUDE 25% OF THE COST. BASELINE ESTIMATE. BASELINE ESTIMATE. THAT GIVES US THE CONTINGENCY COST. AND ON TOP OF THAT, WE ALSO WANT TO CONSIDER THE PLANNING COST, WHICH IS THE 5% OF THE CONSTRUCTION COST DESIGN, 20% OF THE CONSTRUCTION COSTS CONSTRUCTION MANAGEMENT SERVICES, 20% OF THE CONSTRUCTION COSTS. SO BECAUSE THIS PROGRAM IS SPENT OVER 12 YEARS, WE ALSO WANT TO CONSIDER THE YEARLY ESCALATION FEE OF 5%. NOW LET'S TAKE A LOOK AT THIS GRAPH HERE. LET'S SAY TODAY'S DOLLAR YEAR ONE WITH THE CONSIDERATION OF THE CONSTRUCTION COST, THAT INCLUDES THE CONTINGENCY PERCENTAGE ALREADY PLANNING, COST DESIGN AND CONSTRUCTION MANAGE MANAGEMENT SERVICES. LET'S SAY IF THE TOTAL FOR THAT IS $100 12 YEARS FROM NOW, IT'LL BE $170. SO WITH THAT, KEEP IN MIND WITH FROM THE PREVIOUS COST BASELINE ESTIMATE, WE WANT TO, I'M SURE THIS IS REALLY THE SLIDE WHERE YOU GUYS WON'T WANT TO KNOW. THE TOTAL GRP ESCALATE COSTS FOR THE TOTAL IS 316.13 MILLION. AND I DO WANT TO MENTION THAT FOR BOTH SCHEDULE AND COST, THOSE ARE ALL VERY CONSIDERED ASSUMPTION AND ESTIMATE THAT WE INCLUDED. AND WITH THAT, FOR THE GROUNDWATER RESILIENCE PROGRAM, WE HAVE SCOPE INTO SEVEN MILESTONES SCHEDULED INTO 12 YEARS AND COST IS 316 MILLION. [00:40:03] AND OBVIOUSLY WE CAN'T CARRY OUT THE PROGRAM WITHOUT THE PARTNERS, WITH EVERYONE SITTING IN THIS ROOM AND ALL THE MANAGEMENT AND STAFF. WE ALSO NEED TO CONSIDER, YOU KNOW, POTENTIAL PARTNERSHIP WITH THE WATER REPLENISHMENT DISTRICT, METROPOLITAN WATER DISTRICT, ANY PERMITTING COORDINATION THAT MAY BE INVOLVED WITH THE STATE WATER RESOURCES CONTROL BOARD, LA COUNTY FLOOD CONTROL DISTRICT AND CALTRANS EVER, IF THEY EVER PICK UP THE PHONE AND OTHER NEIGHBORING IN THE OTHER NEIGHBORING CITIES SUCH AS CITY OF CARSON, CITY OF COMPTON, AND CITY OF LAKEWOOD. AND LASTLY, BECAUSE YOU KNOW, IT IS 12 YEAR LONG AND 316, I AT LEAST WILL STILL BE HERE. BUT WE ALSO NEED TO CON CONSIDER THE COMMITMENT CONSIDERATION FOR THE ENTIRE STAFF BUDGET AND FUNDING PLAN THAT, THAT WE WILL HAVE A BETTER UNDERSTANDING FROM THE DEVELOPMENT OF THE FINANCING PLAN PROJECT DELIVERY METHOD. SHOULD WE CONSIDER THE TRADITIONAL PROJECT DESIGN, BUILD DELIVERY METHOD OR SHOULD WE CONSIDER MORE OF A PROGRESSIVE DESIGN BUILD DELIVERY METHOD TO HELP US TO MOVE THIS PROGRAM, DELIVER THIS PROGRAM AT A SOONER TIMEFRAME. PROCUREMENT FOR THE MATERIAL SITE, AVAILABILITY FOR THE PRODUCTION WEALTH AND FUTURE GROWTH. ARE WE ONLY CONSIDERING TO LIMITING THE CURRENT GROUNDWATER TREATMENT? SO NOT THE CURRENT, THE GROUND GROUNDWATER TREATMENT PLAN WEST TO BE AT TAM MGD OR DO WE WANT TO CONSIDER THE FUTURE GROWTH AND GO BEYOND THE TAM MGD. AND LASTLY, THE ASSET MANAGEMENT. AND WITH THAT BEING SAID, THIS IS MY FAVORITE SLIDE. . OH MY GOSH, THANK YOU EVERYONE. THANK YOU. LAYLA, BEFORE WE START, ARE THERE ANY PUBLIC COMMENTS? ANY COMMISSIONER? IT'S SO BIG. , IT'S SO BIG. YOU HAVE LOTS OF JOB SECURITY HERE, RIGHT? , WE KNOW WHAT WE'RE GONNA BE DOING FOR A WHILE, RIGHT? I HOPE I'M STILL AROUND. . WELL, THANK YOU. THOSE WERE AMAZING. UM, THE DEPTH OF IT AND YOU PRETTY MUCH AS I THOUGHT OF QUESTIONS, YOU WERE HANDLING 'EM RIGHT WITHIN THE PRESENTATION, SO THAT WAS VERY, VERY COMPREHENSIVE, VERY ASPIRATIONAL, BUT IT'S CERTAINLY IN LINE WITH, YOU KNOW, THE GOALS THAT WE'VE SET AND THE EQUITY THAT WE'RE TRYING TO ACHIEVE AND TO SECURE OUR FUTURE. SO THANK YOU FOR THIS WORK. YEAH, I ECHO ALL OF THOSE REMARKS. UM, I'VE GOT ONE QUESTION AND I DON'T EVEN KNOW IF I SHOULD ASK IT. , UM, THE, THE OVERALL COST THREE HUNDRED AND THIRTEEN SIXTEEN, THREE HUNDRED 16 MILLION, ARE WE BALANCING THAT WITH THE COST SAVINGS FROM NOT HAVING TO PURCHASE MWD WATER? IS THAT, IS THAT THE IDEA? FORTUNATELY DEAN IS HERE TO ANSWER THAT QUESTION, , BUT IT IS, UH, CONSIDERED SOMETHING WE NEED TO CONSIDER WITH THE ALLOCATION RIGHTS AND HOW WE CAN IMPLEMENT THAT WITH, AS WELL AS WITH THE OTHER, THE OTHER AVENUE THAT OUR DEPARTMENT IS ALSO TAKING WITH THE RECHARGE PROGRAM, THAT COULD ALSO BRING SOME BENEFIT INTO THAT TOO. OKAY, GOOD. I'M CURIOUS TO CONTINUE FOLLOWING THAT AND SEE WHERE THAT IS THE, WE'D HAVE TO CHANGE THE ALLOCATION RIGHTS IN ORDER FOR US TO HAVE A, AN OFFSET 'CAUSE WE'RE REQUIRED TO TAKE SO MUCH. YEAH, AND, AND THAT'S YEAH, A GREAT QUESTION AND YEAH, YOU KNOW, INTERESTING TIME BECAUSE ACTUALLY IN THE NEXT BOARD MEETING, UM, I'LL BE PRESENTING FOR THE WATER RESOURCES PLAN AND KIND OF TOUCHING ON A LITTLE BIT OF THIS. UM, BUT I THINK TO YOUR QUESTION, UH, PRESIDENT SCOTT IS, UH, THERE IS A SAVINGS FROM SWITCHING TO, TO GROUNDWATER VERSUS IMPORTED WATER AND THAT WILL OFFSET THAT 360 MILLION. IT'S JUST A MATTER OF OVER HOW MANY YEARS. UM, BUT YOU KNOW, BEYOND THE FINANCIAL BENEFITS, I THINK LILA TODAY SPOKE TO ALL THE DIFFERENT SYSTEM AND OPERATIONAL BENEFITS AND RELIABILITY BENEFITS. SO THE PROGRAM AND, UM, I FULLY ANTICIPATE THAT THERE WILL BE A FINANCIAL BENEFIT AS WELL. AND I APPRECIATE THAT AND I'M NOT TRYING TO HOLD YOU TO ANYTHING SPECIFIC TODAY, AND THAT'S WHY I HESITATED TO ASK YOU. THIS IS STRANGE. THIS IS STRANGE , I I THINK I WAS GONNA JOIN IN 'CAUSE YOU HAD WATER RESOURCES, ENGINEERING YES. FINANCING AS WELL. AND SO IT IS EVERYTHING COMING TOGETHER EMBEDDED WITHIN YOUR QUESTION IS THIS ELEMENT OF IF YOU COMMIT TO A CAPITAL PROGRAM THAT SPANS SO MANY YEARS, UH, WE NOW HAVE MOVED OUT OF THE BOUNDARIES OF FINANCE'S, 10 YEAR FINANCE PLAN. YOU ARE ALSO COMMITTING AS A BOARD TO HAVE THE LONG TERM PERSPECTIVE. YOU HAVE A NUMBER OF CAPITAL INVESTMENTS. TO YOUR POINT, PRESIDENT SCOTT, YOU DON'T GET THE OFFSET UNTIL YOU'RE FULLY OPERATIONAL. THIS ENTIRE CAPITAL STRUCTURE IS [00:45:01] BUILT AROUND HAVING A FUNCTIONING TREATMENT PLAN AT THE END. AND WHEN YOU EXERCISE THAT TREATMENT PLAN, THEN YOU'LL START OFFSETTING TO A DEGREE, RIGHT? AND SO THEREFORE THERE HAS TO BE SOME TYPE OF FINANCIAL METRICS THAT MOVE BEYOND THE 10 YEAR FINANCE PLAN IN ORDER TO DELIVER, UH, THE VALUE PROPOSITION THAT YOU'RE ASKING. HOW DOES THIS ALL WORK TOGETHER? DOING THAT, THESE ELEMENTS OF FINANCING BRING BACK SOMETHING THAT LILA MENTIONED, WHICH IS WHAT IS ACTUALLY THE PROJECT DELIVERY METHOD WITH ITS FINANCIAL IMPLICATIONS THAT HELPS YOU MANAGE THAT CAPITAL INVESTMENT. IT'S A LOT OF MOVING PIECES, NOT WITHSTANDING THAT I BELIEVE FINANCIALLY INHERENTLY THIS ASPECT OF SWITCHING THE RESOURCE MIX DOWN THE ROAD IS A PRUDENT AND CRITICAL INVESTMENT. AWESOME. THANK YOU. I APPRECIATE THAT. THAT'S GREAT INSIGHT. UH, I LIKE THE IDEA OF THE POINT OF NO RETURN TOO. THAT'S, UH, AT THE END OF YOUR PRESENTATION, I WAS BACK TO NOT BEING ABLE TO SLEEP AT NIGHT, BUT THE POINT OF HAVING THE POINT OF NO RETURN. , WE'RE GOOD. WE'RE GOOD. ANY OTHER COMMENTS? YES, IF I MAY MAKE ONE MINOR COMMENT. SO, UH, THE POINT OF NO RETURN IS A, A REALLY GOOD, UH, FLAG THAT, UH, LAYLA PLACED THERE. BUT I THINK THE, THE OTHER, UH, POINT THAT WE WOULD BRING TO YOU AT A LATER STAGE IS ONCE THE FINANCING PLAN IS, HAS TAKEN INTO SHAPE, THERE ARE, YOU KNOW, A FEW OTHER RESOURCES, STATE REVOLVING FUNDS, YOU KNOW, LOW INTEREST, UH, WRD RELATED LOANS. THERE ARE DIFFERENT TYPE OF FINANCIAL MECHANISMS IN WHICH THIS COULD BE FUNDED. DELIVERY METHODS SIMILAR TO WHAT, WHAT IS BEING PROPOSED FOR THE, UM, UH, FOR THE CAMPUS PROJECT. SO THERE ARE A LOT OF OPTIONS THAT WE CAN BRING TO YOUR ATTENTION AT A FUTURE DATE, UH, TO MAKE THIS, UH, A REALITY AND CAPELA EMPLOYED FOR THE NEXT FEW YEARS. , THANK YOU. I, I APPRECIATE THIS SOPHISTICATION, UH, IN THE WAY THAT THIS IS BEING VIEWED. SO THANK YOU FOR THAT. UM, I THINK THAT BEING SAID, WE'VE GOT A MOTION TO RECEIVE AND FILE ALL THOSE IN FAVOR. AYE. AYE. AND NONE OPPOSED. THANK YOU. LATER. ALRIGHT, MOVING ON. OUR FINAL AGENDA, [3. 26-54275 Recommendation to receive and file a letter of support for the Metropolitan Water District of Southern California’s (Metropolitan) application for Judicial Streamlining in accordance with California Public Resources Code (PRC) Division 13, Chapter 7, commencing with Section 21189.80.       Suggested Action: Approve recommendation. ] ITEM NUMBER THREE, RECEIVE AND FILE A LETTER OF SUPPORT FOR METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA APPLICATION FOR JUDICIAL STREAMLINING IN ACCORDANCE WITH CALIFORNIA PUBLIC RESOURCES CODE, UH, PRC DIVISION 13, CHAPTER SEVEN, COMMENCING WITH SECTION 2 1 1 8 9 8 0. DO I HAVE A MOTION TO RECEIVE A FILE? SO MOVED AND I SHALL SECOND CALL ON DIANA TANG FOR REPRESENTATION, PLEASE. GOOD MORNING COMMISSIONERS. AND I HOPE THAT, UM, IT IS STILL MORNING BY THE TIME WE CONCLUDE THIS ITEM. IT SHOULD BE PRETTY SIMPLE. UM, FOLLOWING ON LELA'S GREAT PRESENTATION AND OUR GENERAL MANAGER'S, UM, COMMENT ON SUPPORT AND THANK YOU FOR THE BOARD, UM, VOTING IN SUPPORT OF APPROVING THE CERTIFICATION OF, UM, METROPOLITAN'S EIR FOR THE PURE WATER PROJECT. UM, BACKING UP SEVERAL MONTHS, THIS BOARD, UM, AND, AND THE FULL BOARD APPROVED OUR DEPARTMENT'S FIRST PUBLIC POLICY PRIORITIES DOCUMENT. AND SO IN ALIGNMENT WITH THAT PUBLIC POLICIES DOCUMENT, WE HAVE BEEN ACTIVELY ENGAGING IN REGULATORY AFFAIRS AND LEGISLATIVE AFFAIRS AND WE HAD MENTIONED THAT, UM, IF WE DO TAKE ACTION, PARTICULARLY ON LARGER, UM, TOPICS, THAT WE WOULD COME BACK AND SHARE THAT INFORMATION WITH YOU. SO THIS IS A REPRESENTATION OF THAT, UM, EXPERIENCE. SO, UM, I'LL SKIP OVER THE OVERVIEW PER WATER BECAUSE WE, I THINK WE HEARD A LITTLE BIT ABOUT IT, UM, FROM ANOL EARLIER TODAY IN OUR FULL BOARD MEETING. BUT NEVERTHELESS, IT IS A VERY LARGE PROJECT IN SCOPE. UM, AND, AND WHILE MANAGED BY THE METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA IN COORDINATION WITH LA COUNTY, SANITATION WOULD NOT BE SUCCESSFUL IF NOT FOR, UM, MORE LOCAL PARTNERS SUCH AS WAMI UTILITIES. SO, UM, GIVEN THAT WE HAVE AN OPPORTUNITY TO BENEFIT FROM THE PROJECT, UM, AND, AND SEEING HOW AS THESE VERY LARGE PROJECTS CAN SOMETIMES RUN INTO, UM, ENVIRONMENTAL REVIEW CHALLENGES, NAMELY LEGAL CHALLENGES, THE STATE OF CALIFORNIA SEVERAL YEARS AGO ESTABLISHED A PROGRAM CALLED JUDICIAL STREAMLINING TO SUPPORT WATER RELATED PROJECTS, CLIMATE CHANGE, UM, ADAPTATION PROJECTS, HOUSING, TRANSPORTATION, BIG ISSUE AREAS THAT THE STATE HAS FELT, UM, IS IMPORTANT TO CALIFORNIA'S EVOLUTION AND AND SUCCESS. SO JUDICIAL STREAMLINING FOR THE PURE WATER PROJECT FELL UNDER THE WATER COMPONENT OF, UM, THE OPPORTUNITY FOR THIS APPLICATION. UH, METROPOLITAN APPLIED IN OCTOBER FOR JUDICIAL STREAMLINING, WHICH CAN SHAVE UP TO THREE YEARS OF LITIGATION OFF OF THE PROGRAM ENVIRONMENTAL REVIEW, UM, APPROVAL PROCESS AND LA BEACH UTILITIES. UM, ONE IS, WAS ONE OF THE LARGEST SUPPORTING AGENCIES OF THAT TECHNICAL, [00:50:01] UM, APPLICATION. UM, THIS IS JUST A, A BROAD OVERVIEW OF WHAT IT IS. UM, JUDICIAL STREAMLINING DOES NOT MEAN THAT A PROJECT DOES NOT NEED TO FOLLOW CQA. UM, IF APPROVED FOR JUDICIAL STREAMLINING THE FULL CA PROCESS STILL DOES NEED TO OCCUR. UM, WHAT IT, WHAT IT STREAMLINES THOUGH IS THE LITIGATION OR THE LEGAL CHALLENGES TO THAT DOCUMENT SHOULD ANY BE LEVIED AGAINST IT. UM, SO FORTUNATELY IN DECEMBER, THE GOVERNOR'S OFFICE DID APPROVE JUDICIAL STREAMLINING FOR, UH, THE PIER WATER PROJECT AND SO WE'RE HAPPY TO SHARE THAT NEWS WITH YOU. AND AS A**L MENTIONED, THE MET BOARD, UM, NEXT WEEK I BELIEVE WILL BE CONSIDERED CERTIFICATION OF THE EIR, WHICH, UM, THANK YOU YOU ALL AGREED TO SUPPORT AS WELL. UM, AND JUST AS A NOTE TO THAT, COUNCILWOMAN SORROW, WHO IS THE CITY OF LONG BEACH'S REPRESENTATIVE TO THE LA COUNTY BOARD OF SANITATION DISTRICTS, UM, ALSO HAD REQUESTED OUR SUPPORT FOR PURE WATER AT THAT UM, MET BOARD MEETING. AND SO WE'LL BE COMMUNICATING TO HER YOUR ACTION ON THAT TODAY. SO THIS ALL COMES TOGETHER TO JUST SHARE THAT, UM, THE LETTER, UM, THAT WE HAD SENT IN SUPPORT OF JUDICIAL STREAMLINING FOR PURE WATER IS ATTACHED, UM, AND PART OF YOUR BOARD POCKET. AND WE WILL CONTINUE TO, THROUGH THE GOVERNMENT AFFAIRS ASPECT OF THE DEPARTMENT, CONTINUE TO ENGAGE IN ISSUES LIKE THIS FOR, FOR WATER AND ON OTHER CLIMATE ADAPTATION INITIATIVES, PARTICULARLY WITH GAS. IF THERE ARE ANY QUESTIONS, I'M HAPPY TO TAKE THEM. THANK YOU. DIANA, ARE THERE ANY PUBLIC COMMENTS? ANY COMMISSIONER COMMENTS? UM, ONE QUESTION I THINK, UH, UH, I KNOW YOU MENTIONED THIS IS, UH, TO BENEFIT OR THE IMMEDIATE BENEFIT IS, IS PURE WATER PROJECT. WOULD THIS ALSO BENEFIT OUR OUR WATER, WATER TREATMENT WEST PROJECT? NO, IT DOESN'T. IT WOULD ONLY BENEFIT OUR WATER TREATMENT PLANT IF OUR WATER TREATMENT PLANT HAD BEEN INCLUDED IN THE EIR THAT METROPOLITAN IS, IS VOTING TO APPROVE. MAY VOTE TO APPROVE NEXT WEEK. THANK YOU. UH, I DON'T THINK WE HAVE ANY FURTHER QUESTIONS. THANK YOU. UH, SO WE'VE GOT A MOTION TO RECEIVE AND FILE. UH, ALL THOSE IN FAVOR SAY AYE. AYE. NONE OPPOSED? UM, I BELIEVE THAT CONCLUDES OUR AGENDA. SO ARE THERE, UH, PUBLIC COMMENT IS NOW OPEN. IS THERE ANYONE WISHING TO SPEAK ON A NON NON-AGENDA ITEM? SEEING NONE PUBLIC COMMENT PERIOD IS NOW CLOSED. ARE THERE ANY ANNOUNCEMENTS? I'M NOT AT THIS TIME. THANK YOU. AND I DON'T BELIEVE WE HAVE ANY ANNOUNCEMENTS, SO THE MEETING IS NOW ADJOURNED. THANK YOU EVERYONE. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.