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HomeMy WebLinkAbout2007-05-07 Packet - Sewer WorkshopCITY OF UKIAH CITY COUNCIL AGENDA Special Meeting Civic Center Council Chambers SEWER LATERALWORKSHOP 300 Seminary Avenue Ukiah, CA 95482 May 7, 2007 5:00 PM ROLL CALL 2. 4. ADJOURNMENT Please be advised that the City needs to be notified 72 hours in advance of a meeting if any specific accommodations or interpreter services are needed in order for you to attend. The City complies with ADA requirements and will attempt to reasonably accommodate individuals with disabilities upon request. hereby certify under penalty of perjury under the laws of the State of California that the foregoing agenda was posted on the bulletin board at the main entrance of the City of Ukiah City Hall, located at 300 Seminary Avenue, Ukiah, Cal'rfornia, not less than 72 hours prior to the meeting set forth on this agenda. Dated this 4th day of May, 2007. Gail Petersen, City Clerk ITEM NO: Sewer Lateral Workshop MEETING DATE: Mav 7. 2007 AGENDA SUMMARY REPORT SUBJECT: DISCUSSION AND DIRECTION TO STAFF REGARDING VARIOUS SEWER LATERAL PROGRAM TOPICS SUMMARY: The City Council had requested staff to return with information on several sewer lateral program topics that needed further discussion. Attached are reports from consultant Mary Grace Pawson and from Rick Kennedy on several key issues that require Council discussion and direction. RECOMMENDED ACTION: Discuss and provide direction. ALTERNATIVE COUNCIL POLICY OPTIONS: N/A Citizens Advised: Yes Requested by: City Council Prepared by: Mary Grace Pawson Coordinated with: Candace Horsley, C Attachments: Reports--3 and Rick Kennedy :y Manager and Dave Rapport, City Attorney Approved: Candace Horsley, Cit Manager CITY OF UKIAH REPORT ON SEWER LATERAL ASSISTANCE PROGRAM May 2, 2007 Prepared by: WINZLER & KELLY CONSULTING ENGINEERS 495 Tesconi Circle Santa Rosa, CA 95404 (707)523-1010 TABLE OF CONTENTS 1.0 INTRODUCTION &PURPOSE .....................................................................................1-1 2.0 EXISTING CONDITION INFORMATION ...................................................................2-1 2.1 Existing City-Owned Sewer Collection System ..................................................2-1 2.2 Private Laterals .................................................................................................... 2-1 2.3 General Waste Discharge Requirements for Sanitary Sewer Systems .................2-2 2.4 City's Sewer Rate Structure and Available Budgets ........................................... 2-3 3.0 ALTERNATIVE ASSISTANCE PROGRAMS ................................................ .............3-1 3.1 Alternative 1 -Increase Public Education .............................................. .............3-1 3.2 Alternative 2 -Grants For Lateral Repairs ............................................. ............. 3-1 3.3 Alternative 3 -Loans For Lateral Repairs ............................................... ............. 3-2 3.4 Alternative 4 -City Crew Repair of Street Laterals ............................... ............. 3-2 3.5 Alternative 5 -Accept Repaired Laterals in the Right of Way .............. ............. 3-2 3.6 Summary ....... .......................................................................................... .............3-4 4.0 RECOMMENDATIONS .................................................................................................4-1 5.0 REFERENCES .......................................:........................................................................ 5-2 `Tbi,r is a draft report and is not intended to be a ftna! reprerentation of the work done or recommendations made by Bmwn and Caldwc!!. It should not be relied upon; cansulL the final report. " City of Ukiah Report on Sewer Lateral Assistance Program Page 1-1 1.O INTRODUCTION & PURPOSE The City of Ukiah (City) owns and operates a sanitary sewer collection system and a sewer treatment plant to serve the residents and businesses within its limits. The City regulates its sewer system under Division 4, Chapter 2 of the Municipal Code (the "Sewer Use Ordinance"). The City recently amended portions of its Sewer Use Ordinance to require inspection and repair of privately owned sewer laterals upon a number of triggers, including point-of--sale of a property. These amendments were made in order to comply with a Consent Decree and Order between the City and North Coast River Watch. As the City developed these amendments to its Sewer Use Ordinance, it received substantial public comment related to the burden these requirements would place on private property owners. Comments fell into two major categories: 1. The City should consider providing financial assistance to owners; 2. The City should consider relieving the private property owner of responsibility for the portion of the sewer lateral that is located in the public street. In addition to the requirements of the Consent Decree, the City, like all agencies operating sewer collection systems, is subject to the requirements of the State Water Resources Control Board Order No. 2006-0003 DWQ (Statewide General Waste Dischazge Requirements for Sanitary Sewer Systems or GWDRs). The GWDRs set new standards for collection system maintenance and management. These new standards emphasize the importance of reducing overflows of untreated sewage from the collection system. Historically agencies that operate treatment plants, like the City, have focused on treating peak wastewater flows rather than reducing these flows because investing in centralized treatment is less expensive than investing in miles of collection system repair. The new requirements have changed this perspective. Because collections system performance is now regulated, improving that performance by reducing seasonal infiltration and inflow will reduce the City's exposure to regulatory enforcement actions. The GWDRs require that the City prepare a Sanitary Sewer Management. Plan by July 2009. As part of this Plan, the City needs to develop goals for the management of its sewer collection system. The GWDR requirements provide the City with an opportunity to consider the comments it received on its sewer lateral program in the context of its lazger goals for managing the collection system. The purpose of this report is to provide the City's decision makers with options that would help them address the comments received on the sewer lateral inspection and repair program. The options are presented in light of the overall collection system management needs so that decision makers can develop a balanced strategy for infrastructure investment that makes the most of available budgets. City of Ukiah Report on Sewer Lateral Assistance Program Page 2-1 2.0 EXISTING CONDITION INFORMATION This section provides information on the City's collection system and on its sewer rate structure and budget. This existing condition information provides the background against which the City will develop alternative sewer lateral inspection and repair programs and evaluate their effectiveness. 2.1 Existing City-Owned Sewer Collection System Under current City policy, the City owns and is responsible for the maintenance of the sewer mains located in public rights of way. The City-owned sewer collection system is approximately 43.5 miles in length and varies in diameter from 6-inches to 42-inches. In order to provide the City with an approximate value of this asset (and the investment that is needed to preserve it), Winzler & Kelly used an estimate of $200/linear foot of system. With this estimate, the present value of the City's system is approximately $46 million dollars. If the City managed this asset fora 100-year life (i.e. replaces 1% per year), the required investment is $460,000/year in current dollars. If the City managed this asset fora 50-year life (i.e. replaces 2% per year), the required investment is $920,000/year in current dollars. 2.2 Private Laterals Under current City policy, private property owners are responsible for the maintenance of the sewer lateral from the building face to the sewer main. The City's Sewer Use Ordinance describes two pieces of the lateral: the building lateral (which is located between the building face and the property line) and the street lateral (which is located between the property line and the sewer main}. There are approximately 5,700 lateral connections to the City-owned sewer collection system. In order to provide the City with an approximate value of this asset (and the investment that is needed to preserve it), Winzler & Kelly used the following simplifying assumptions: • Each lateral is approximately 50 feet long and evenly divided between building lateral and the street lateral; • The value of the building lateral is estimated at $65/linear foot; • The value of the street lateral is estimated at $120/linear foot. Using these estimates, privately-owned laterals may actually be longer than the City-owned collection system and could contribute another 54 miles of length to the collection system (50 feet x 5,700 connections). The laterals have an estimated asset value of $26.5 million or approximately 60% of the value of the City-owned collection system. City of Ukiah Report on Sewer Lateral Assistance Program Page 2-2 Managing these assets fora 100-yeaz life (i.e. replacing 1% per year), requires an investment of $265,000/year in current dollars. Managing these assets fora 50-yeaz life (i.e. replacing 2% per year), requires an investment of $530,000/year in current dollars. 2.3 General Waste Discharge Requirements for Sanitary Sewer Systems In May 2006, the State Water Resources Control Board (State Boazd) adopted its GDWRs for collection systems. The City is subject to these new requirements because it owns and operates more that one mile of collection system infrastructure. The City has enrolled for coverage under the GWDR program. The GWDRs require that the City participate in a centralized reporting system for sanitary sewer overflows (SSOs) and also require that the City develop and implement a Sewer System Management Plan (SSMP). The SSMP has eight required elements, outlined in Section D.13 of the GWDRs including: • A description of the City's organization • A description of the City's legal authority to manage its system. This is to be accomplished through the Sewer Use Ordinance or service agreements and must demonstrate that the City has the authority to: o Prevent illicit discharges into its sanitary sewer system (including I/I. stormwater, roots etc); o Require that sewers and connections be properly designed and constructed o Ensure access for maintenance, inspection or repairs for portions of the lateral owned or maintained by the public agency o Limit the discharge of fats, oils and grease and other debris that may cause blockages; and o Enforce any violation of its sewer ordinances • A description of the City's Operation and Maintenance Program. This is to include a rehabilitation and replacement plan to identify and prioritize system deficiencies and implement actions to address each deficiency. • A description of the City's Design and Performance Provisions • A description of the City's Overflow and Emergency Response Plan • A description of the City's Fat, Oil & Grease Control Program Ciry of Ukiah Report on Sewer Lateral Assistance Program Page 2-3 • A description of the City's System Evaluation and Capacity Assurance Plan. This is to include a short and long-term Capital Improvement Program (CIP) to address identified deficiencies. • A description of the City's Monitoring and Measurement Program for SSOs As part of developing its SSMP the City will need to review its Sewer Use Ordinance to assure that it has clearly articulated the authority required by the GWDRs and it will need to review its CIP to assure that it has clearly articulated and budgeted for repairs consistent with technical information on the condition of the system. 2.4 City's Sewer Rate Structure and Available Budgets In late 2005, the City and the Ukiah Valley Sanitation District approved aphased-in sewer rate increase to manage the capital and operational needs of their collection systems and their shazed treatment plant. While the primary driver for the sewer rate increase was the need to finance upgrades to the sewer treatment plant, the rates also support an ongoing Capital Improvement Program that includes components for Sewer Line Replacements, Sewer Main Replacements and Inflow and Infiltration. Table 2-1 below summazizes the 5-year budgetazy numbers that were included in the City's rate study. The table also converts these to an annual budgetary amount and allocates that budget between the City and the Ukiah Valley Sanitation District. These tables represent the fully budgeted revenues. Because of the rate increases are phased-in, fully budgeted revenues, from the rate increase, will not become available until Fiscal Year 2009/10. Table 2-2 below compares these annual budgetary amounts to the asset management budgets developed above for the City-owned Sewer Collection System. Table 2-1 Five Year Capital Improvement Budgets in Rate Structure Project Description 5-Year CIP Equivalent Annual Annual Budget' Annual Budget Budget Budget ' Allocation Allocation to City to District (53%) (47%) Line Replacements $1,500,000 $300,000 $159,000 $141,000 Main Replacement $1,625,000 $325,000 $172,250 $152,750 Subtotal Line 8 Main Replacement $3,125,000 $625,000 $331,250 $293,750 Inflow/Infiltration $1,301,000 $260,200 $137,906 $122,294 Totals $4,426,000 $885,200 $469,156 416,044 'Note: Full Budget Allowance is not available until Fiscal Year 09/70. City of Uklah Report on Sewer Lateral Assistance Program Pate 2-4 Table 2-2 Equivalent Annual Budget Compared to Estimated Asset Management Needs 1 % per Year 2% per Year Replacement Replacement Schedule Schedule (100-year life) (50-year life) City Line 8: Main Replacement Budget Only , Annual City Line & Main Replacement Budget $331,250 $331,250 Estimated Investment in City-Owned Sewer System <$460,000> <$920,000> Difference (Budget less Estimated Investment) <$128,750> <588,750> City Line, Main I/I Budget Annual City Line & Main Replacement Budget $469,156 $469,156 Estimated Investment in City-Owned Sewer System <$460,000> <$920,000> Difference (Budget less Estimated Investment) $9,156 <450,844> Table 2-2 indicates the following key points: • The City's available budget from its rate base does not allow it to accomplish a 2% per year replacement schedule; The City's available budget from its rate base does allow it to accomplish a 1 % per year replacement schedule within its collection system. However, in this case it would have little available revenue for property owner assistance; • The City could preserve its Infiltration and Inflow budget for property owner assistance and accomplish a replacement of its collection system at 0.75% per year. City of Ukiah Report on Sewer Lateral Assistance Program Paze 3-/ 3.O ALTERNATIVE ASSISTANCE PROGRAMS This section describes five (5) alternatives programs for assisting property owners with the costs of inspecting, repairing and maintaining the private sewer laterals that are tributary to the City's collection system. Three of these options build on model programs developed by other agencies. The fourth program is an option that has been discussed by the City Council 3.1 Alternative 1 -Increase Public Education This alternative involves providing the public with easy access to information and resources that will help them maintain their private sewer lateral and minimize the risk of overflows or damage. The alternative can be very easily implemented by utilizing resources developed through the Association of Bay Area Government's (ABAG's) "Sewer Smart Program". Resources are easily accessed on-line at www.sewersmart.ora. This alternative would require minimal staff time and minimal financial commitment to implement. The City can elect to implement this alternative in combination with others described below. 3.2 Alternative 2 -Grants For Lateral Repairs Some public agencies do make grants to property owners who repair/replace their sewer lateral. These programs are similar in concept to water conservation rebate programs. The property owner contracts for the repair work and provides the City with documentation of costs. The City would then issue a check for a portion of the costs. Lateral grant programs are administered by the City of Petaluma, the Castro Valley Sanitary District, and the West County Sanitary District (covers the cities of Pinole, El Sobrante, East Richmond Heights, Tara Hills, Rollingwood and Bayview). Each of these programs offer grants for 50% of the cost of repairs up to $2,000. When the City conducted public outreach, during the development of its Sewer Lateral Inspection and Repair requirements, it learned that approximately 100 real estate transactions occur annually in the City. If the City set a maximum grant amount of $2,000 and each transaction qualified for the maximum grant, the City would need a budget of approximately $200,000 annually to administer the program. As illustrated in Table 2-1, the City's share of the adopted Infiltration/Inflow budget ($137,000) would likely allow it to fund this type of a program. This alternative would require financial commitment to implement. Administratively, sewer lateral grants could be issued in conjunction with the Certificate of Sewer Lateral Compliance. City of Ukiah Report nn Sewer Lateral Assistance Program Page 3-2 3.3 Alternative 3 -Loans For Lateral Repairs The City of Pacific Grove administers a loan program for property owners who repair or replace their sewer laterals. As is the case in Ukiah, property owners are responsible for the lateral to the public sewer main. Pacific Grove's loan program offers a maximum of $10,000 in loan funds to owners who undertake the work. In Ukiah, a program like this with a maximum loan of $10,000 could require up to $1,000,000 in annual capitalization costs in the early years. As the program matured, the City could fund new loans with the repayment stream, which would minimize the ongoing program costs. Table 2-1 illustrates that the City's rate base can be expected to generate approximately $885,000 in revenue for collection system upgrade programs. This indicates that the City would need to capitalize a loan program over several years and may need to prioritize the manner in which it gave loans in order to manage available funds. A loan program does require substantially more administrative effort than a grant program because of the need to administer the repayment process. 3.4 Alternative 4 -City Crew Repair of Street Laterals Since the City adopted its lateral inspection and repair program, City crews have made repairs to the portion of the sewer lateral in the street upon request of the property owner. The owner has then reimbursed the City for the actual cost of City time and materials. This program is cost- neutral to the City, because it recovers its costs from benefiting property owners. The program does produce additional administrative demands on staff related to scheduling work and billing for services. Anecdotal reports suggest that the City's cost is lower than quotes from private contractors; hence City crew repair is a form of assistance to property owners. The single largest limitation to offering this assistance to all owners is the availability of City workers. The City may wish to consider combining this program with direct financial assistance (i.e. a grant or loan) so that property owners can access either a lower cost repair or receive direct assistance for the more expensive repair. 3.5 Alternative 5 -Accept Repaired Laterals in the Right of Way This alternative involves City acceptance of the street lateral once an owner has replaced the lateral to current City standards. This alternative has no immediate costs to the City but brings with it long term considerations related to asset management and future liability. There are two major types of liability that the City could potentially incur if it accepts portions of the private sewer lateral. These are liability from blockages and overflows and liability for future costs of repair and replacement. City oJUkiah Report on Sewer Lateral Assistance Program Paee 3-3 Liability from blockages and overflows. Under current policy, the owner is responsible for the sewer lateral. The City is not required to prevent blockages in the lateral; it is not required to report overflows that occur as result of these blockages and its rate base is not liable for any fines or administrative liabilities that result from lateral overflows. if the City modified its ownership policy, it could be accepting some responsibility for keeping the street lateral clear of blockages and reporting overflows that result from these blockages. The City may be able to tailor its lateral acceptance contract and policy to leave the responsibility for lateral maintenance with the private property owner, even if the City chose to accept responsibility for the costs of street lateral repairs. This concept would require careful review by the City Attorney and the North Coast Regional Water Quality Control Board to assure that the City is protected. Liability for future costs of repair and replacement. As outlined in Section 2, there aze approximately 5,700 lateral connections to the City's sewer system. Using the assumptions developed in Section 2, the street portion of the laterals has an approximate value of $17.1 million or nearly 40% of the value of the City-owned sewer collection system. If it accepted the street lateral assets, the City should budget for the eventual need to replace or repair these at some time in the future, or it will compromise its ability to effectively manage its other assets including the main collection system and the treatment plant. Managing the laterals fora 100-year life (i.e. replacing 1 % per year), requires an investment of $171,000/year in current dollars. Managing the laterals fora 50-yeaz life (i.e. replacing 2% per yeaz), requires an investment of $342,000/yeaz in current dollazs. Table 3-1 below illustrates the impact of this additional liability on the City's revenue stream. Table 3-1 Equivalent Annual Budget Compared to Estimated Asset Management Needs 1%per Year 2% per Year Replacement Replacement Schedule Schedule Equivalent Annual CIP Budget $469,000 $469,000 Estimated Investment in City-Owned Sewer System <$460,000> <$920,000> Estimated Investment in Street Laterals <171,000> <$342,000> Difference (Budget less Estimated Investment) <$762,000> <$793,000> This preliminazy analysis indicates that the City's rate base could not adequately support the ongoing investment in both collection system and street lateral repair. Accepting responsibility for additional infrastmcture assets will not only result in an "unfunded" liability for the City but would also limit the City's ability to invest in other aspects of its collection system and would limit the City's ability to provide other forms of property owner assistance. City of Ukiah Report on Sewer Lateral Assistance Program Page 3-4 Administrative Concerns. While accepting fully repaired street laterals could provide an incentive to property owners, the piece-meal nature of the acceptance process will create new administrative concerns. Staff would need to carefully track which laterals the City owned and didn't own and there would clearly be a need for additional public outreach to assist the public in understanding repair policies that appeared inconsistent. Again, while the City may be able to effectively limit its liability for blockages and overflows, it can expect to be challenged at times on these liability limitations. 3.6 Summary Table 3-2 provides a summary of the various alternatives evaluated against a range of cost and liability criteria. This analysis is intended to assist the City in clarifying its goals for the program and is not a conclusive set of recommendations. Table 3-2 Summary of Alternative Evaluation Low First Low Long Can Be Maintains Minimizes Cost Term Cost Supported the City's Liability by Existing on the Existing Asset Sewer Rate Base Base Enterprise Fund Alternative 1 Increase Public Education X X X X X Alternative 2 Provide Grant Assistance ? ? X Alternative 3 Provide Loan Assistance X ? ? X Alternative 4 Provide City Crew Assistance X X X X X Alternative 5 City Acceptance of Replaced Public Laterals X ? Indicates that the City would need to selectively prioritize between investments in city-owned infrastructure and privately-owned infrastructure. Ciry of Ukiah Report on Sewer Lateral Assistance Program Page 4-! 4.0 RECOMMENDATIONS The City is considering major policy revisions which potentially have significant financial impacts upon its sewer enterprise fund well into the future. The GWDRs provide the City with a framework for making these decisions, because they require that the City develop goals for its collection system management program. We recommend that the City develop its Sanitary Sewer Management Plan goals and work to implement policy changes consistent with goals. Example goals that the City could consider include: 1. The City's collection system management strategy will include a repair and rehabilitation plan that identifies and prioritizes system deficiencies and actions to address those deficiencies (GWDRs D.13(iv)(c)). 2. The City's collection system management strategy will include proactive implementation of Capacity Enhancement Measures (GWDRs D.13(viii)(c)). 3. The City's collection system management strategy will minimize the risk of regulatory enforcement actions being taken against the City and its rate payers. 4. The City's collection system management strategy will preserve the value of the City's infrastructure assets 5. The City's collection system management strategy will be supported by the existing rate structure. 6. The City will implement a property owner assistance program for sewer lateral repairs that is based on need/priority. City of Ukiah Report on .Sewer Lateral Assistance Program Paee 5-2 5.0 REFERENCES Ukiah and Ukiah Valley Sanitation District Sewer Rate Study and Financing Plan, October 2008. 2. City of Ukiah, Municiual Code Division 4, Chapter 2 (the "Sewer Use Ordinance). 3. State Water Resources Control Board Order No. 2006-003 DWO Statewide General Waste Discharge Requirements for Sanitary Sewer S std, May 2006. APPROVAL OF FORMS AND STANDARDS CITY COUNCIL WORKSHOP SEWER LATERAL INSPECTION AND TESTING PROGRAM MAY 7. 2007 Discussion Item Approval of Forms and Standards Developed for the Sewer Lateral Inspection and Testing Program-Rick Kennedy Atlssue Staff has developed draft forms and standards (Program Standards) to facilitate the enforcement of the City of Ukiah's Sewer Lateral Inspection and Testing Program. Although the provisions of Ordinance No 1091 provides the authority to the Public Utility Director to prepare and promulgate the public administrative guidelines within 90 days of the adoption of the ordinance, staff is recommending that the provisions of the Program Standards be discussed by the City Council for the purpose of determining if said provisions serve the public interest and accomplishes the goals intended by the City Council. Discussion As committed by staff, the development of the Program Standards has been accomplished with appropriate public review. Two program stakeholder meetings were held for the purpose of receiving comment to the proposed Program Standards from the professionals who will be directly involved in the program process. Program stakeholders are realtors, mortgage lenders, title company officers, escrow officers and contractors who will be offering inspection, testing, and repair/replacement services. As directed by the Ukiah Valley Sanitation Board of Directors, a second stakeholder meeting was noticed in the Daily Journal and the proposed Program Standards were posted on the City's web site along with a the notice of the meeting. Independent consultations with title officers and the County Recorder/Assessor were conducted to ensure that the Certificates of Compliance were recordable and that the Security Agreements and the corresponding certificates were sufficient and addressed the needs of the Title Companies. Staff also attended a NorBar breakfast meeting with the City Mayor to discuss the sewer lateral programs adopted by the City of Ukiah and the Ukiah Valley Sanitation District. The majority of the stakeholder comments pertained to the requirements of the Ordinances and the point of sale requirements. The point of sale requirement has not received favorable comment and all comments were taken from the seller's perspective. Most individuals opined that the geographical approach to the sewer 1 lateral inspections was the most practical approach. However, it was not evident to the participants that the geographical approach did not currently involve financial participation by the City and that the requirement to inspect, test, and repair/replace the sewer lateral if necessary could arise without offering the property owner the opportunity to plan for the expense of making the repair. Staff received considerable comment regarding the responsibility for the repair of the street lateral and all participants believed that the street lateral was the City's responsibility. Some participants opined that the City should issue bonds to finance the lateral repairs. Several participants felt that the sale price exemption provided in the District's ordinance was unfair when compared to the requirements of the City's ordinance. Staff did receive some comments pertaining to the Program Standards. During the first stakeholder meeting it was suggested that the air test was not applicable to sewer laterals that have been in service over several years and that the air test was not equivalent to the water pressure test. Staff agreed and the requirement for the air test was omitted from the Standards. The allowable leakage contained in the standards was changed to 85 gallons per day per lateral which represents the average daily discharge per individual. During the second stakeholder meeting, a participant took exception to the requirement that a copy of the escrow instructions be provided with the application for a sewer lateral certificate of compliance for the purpose of verifying that the sale price was under or over the sale price exemption provided in the District's ordinance and that the information contained in the instructions is confidential even though the sale price becomes public record after the recording of the deed of transfer. Since the applicant signs the application under penalty of perjury and that the sale price can be confirmed after deed recordation, staff agreed to eliminate the requirement for providing a copy of the escrow instructions. One participant requested that the application for the testing permit include the construction of a cleanout should a cleanout become necessary to facilitate the inspection or test; for work within the District, this request can be accommodated since the District staff inspects the sewer lateral on private property. One participant opined that the presence of some roots within a lateral does not necessarily mean that the lateral is leaking; the individual further opined that pressure testing does not necessarily determine if the sewer lateral is significantly contributing to I/I. Staff does not agree with this opinion. One participant inquired about the provisions for providing security and the provisions of the security agreement were briefly discussed. Many participants opined that the public needed to be informed about the process and staff replied that after the forms and standards had been finalized, information pertaining to the sewer lateral testing and inspection program would be provided with the utility bills. The Program Standards were presented to the Ukiah Valley Sanitation District Board for approval on April 25, 2007. As a result of objections from two public speakers, the Board took exception to the repair methods and materials specified as approved in the Standards of Repair and Replacement. The Board also took 2 exception to the provisions setting forth what existing sewer lateral conditions were repair would not be accepted for the purpose of obtaining a certificate of compliance. Staff explained that the purpose of the Standards was to clarify and provide specificity as to what type of repair and material would be acceptable. Staff also stated that the Codes do not address Certificates of Compliance or the testing and inspection of existing sewer laterals. However, the Board opined that the provisions of the Plumbing Code were sufficient. The City of Ukiah has adopted the State of California model codes and the current Plumbing Code is the 2001 California Plumbing Code (the Code). Chapter 7 of the Code addresses sanitary drainage and Part 2 of Chapter 7, beginning with Section 713.0, deals with building sewers. Section 715, Building Sewer Materials, states that "the building sewer, beginning two (2) feet. from any building or structure, shall be of such materials as maybe approved by the Administrative Authority under the approval procedures set forth in Chapter 3 of the Code. Joining methods and materials shall be as prescribed in the Code". Section 701, Materials, of the Code states that "drainage piping shall be cast iron, galvanized steel, galvanized wrought iron, lead, copper, brass, schedule 40 ABS DWV, schedule 40 PVC DWV, extra strength vitrified clay pipe or other approved materials having a smooth and uniform bore",with certain exceptions. Not all the pipe so specified is acceptable for underground installations but are to be used in the building plumbing. Section 705.1, Types of Joints, permits caulked joints for cast iron bell and spigot with oakum or hemp filled with molten lead. The section also permits cement mortarjoints where repairs and connections to existing lines constructed with such joints are made. Staff does not believe these types of joints are appropriate for the purpose of reducing I/I. Appendix I of the Code addresses installation standards and under Section IAPPMO IS 1-91 of this Appendix non metallic building sewer materials and approved jointing are specified. This appendix allows the use of concrete sewer pipe and asbestos cement sewer pipe: Concrete products are susceptible to deterioration from sewer gases created under anaerobic conditions. The use of asbestos cement pipe has safety issues and most Public Agencies do not specify its use in public work contracts. As is specified in the Draft Standards for Repair and Replacement, the following pipe joints and connections are prohibited because of their potential to leak under aging and ground movement conditions: 1. Cement, cement mortar; or concrete joints 2. Mastic or hot pour bituminous joints 3. Caulked joints 4. Oakum or hemp joints filled with lead 5. Lead joints 6. Joints made with fittings not approved for the specific installation 7. Joints between different diameter pipes made with elastomeric rolling o- rings 3 8. Solvent cement joints between different types of plastic pipe The Draft Standards for Repair and Replacement specify what existing conditions where pipe repairs. will not be accepted for the purpose of obtaining a Certificate of Sewer Lateral Compliance. Repairs to Orangeburg pipe, hubless concrete or vitrified clay pipe or pipes without gasketed or glued bell and spigot joints excepting asbestos cement pipe gasketed couplings, ABS glued or gasketed couplings or gasketed couplings for grey iron drainage pipe are not acceptable and sewer laterals constructed of the pipe materials and jointing so described must be replaced in their entirety from the wye in the sewer main to a cleanout located near the footing of the structure being served. Staff believes that the Program Standards as submitted contain appropriate measures whereby the City can achieve its goal in reducing I/I to its sewer collection system in accordance with the requirements and objectives of the Consent Decree. Continued implementation of the Program Standards will reduce sanitary sewer overflows as is required by the General Statewide Waste Discharge Requirements for Sewer Collection Systems. Staff encourages the City Council to accept the Program Standards as written and submitted. The Program Standards are attached and consist of the following 1. Application for Sewer Lateral Testing 2. Application for Sewer Lateral Certificate of Compliance 3. Sewer Lateral certificate of Compliance 4. CCTV Sewer Lateral Inspection Report 5. Sewer Lateral Repair/Replacement Agreement 6. Certificate of Compliance Bond 7. Sewer Lateral Notice of Repair 8. Requirements and Standards for Closed Circuit Television Sewer Lateral Inspections 9. Standards for Obtaining a Sewer Lateral Certificate of Compliance Based on Repair or Replacement of the Sewer Lateral 4 RE-DEFINING SEWER MAIN REPAIR CITY COUNCIL WORKSHOP SEWER LATERAL INSPECTION AND TESTING PROGRAM MAY 7, 2007 Discussion Item Re-defining Sewer Main Repair-Rick Kennedy At Issue Pursuant to the provisions of Ordinance No. 1091, a repair to the sewer main will trigger the requirement that all sewer laterals connected to the repaired sewer main must be inspected and tested and subsequently repaired should the laterals fail the test. Since re-lining of sewer mains is a common repair method, a public work project involving the re-lining of public sewer mains will cause the necessary cleaning and testing of all sewer laterals connected to the sewer main to be re-lined. This requirement will cause an unexpected financial burden on the property owners that are connected to the repaired main. It has been questioned if this requirement was intended when the ordinance was drafted for consideration by the City Council and staff recommends that the City Council consider modifying the provisions of Ordinance No. 1091 to specifically exclude re-lining of sewer mains from the Sewer Main Repair trigger for lateral testing and repair if permitted by the Consent Decree or as may be re-negotiated with River Watch. Discussion The adoption of Ordinance No. 1091 created the City of Ukiah's Sewer Lateral Testing and Inspection Program. The provisions of this ordinance requires that all sewer laterals connected to the public sewer shall be cleaned and tested in accordance with the provisions of the ordinance upon the occurrence of any one of seven specific events which are as follows: 1. Application for a new connection to the sewer collection system; or 2. Application for a building permit for a remodel on the property served where the cost of the improvements exceeds $50,000 in 2007 dollars and adjusted every yaer for inflation, the inflation adjustment to be prescribed by resolution of the City Council; or 3. Application for a building permit or plumbing permit to install additional toilet facilities on the property served; or 4. Application for a change of use on the property served from residential to commercial, or from non-restaurant commercial to restaurant commercial; or 5. In conjunction with a change of ownership of property served and prior to the recordation of any deed or other conveyance document; or 6. In conjunction with any repair or replacement of the main sewer to which the sewer lateral is connected; or 7. The determination of the Director of Public Utilities that the cleaning and testing is required for the protection of the public health, safety, and welfare. This discussion item pertains to the requirements for sewer lateral cleaning and inspection when the sewer main to which the lateral is connected is repaired or replaced. Section 3799.6 of Section 18, Division 4, Chapter 2 of the Ukiah Municipal Code created by Ordinance No. 1091, sets forth the testing procedures and requirements for repair for sewer laterals upon the repair or replacement of the public sewer main or upon the determination of the Director of Public Utilities if the public welfare and safety requires the testing. Should the lateral fail the test, the property owner is responsible for the repair or replacement of the sewer lateral and the work must be completed within six (6) months from the date of the test unless an extension of time, not exceeding 90 days, is granted for good cause. If the repair is not completed within the required time limit including any authorized time extensions, the City shall complete the required repairs at the owner's expense. Reimbursement to the City may be accomplished through the addition of a surcharge to the monthly utility bill until the repair costs are recovered in not more than five (5) years. The City Council may by Resolution prescribe alternative procedures by which the repair or replacement work shall be performed including the degree to which the City shall offer to perform all or a portion of the work or contribute towards the cost of the sewer lateral work. The term repair is not defined within the ordinance and what constitutes repair has been debated by staff. There is a general consensus that re-lining the sewer main constitutes repair and all laterals connected to that portion of the sewer main so repaired would be required to be cleaned and tested. However, it has been questioned if this was the intent of the authors of the provisions of the ordinance. Some staff members have opined that the repair trigger was intended to apply to the situation where the sewer wye within the main is repaired. The consequences arising from the requirement that sewer laterals connected to a sewer main which is being repaired or rehabilitated under a public works contract must be cleaned and tested is similar to the consequences that would result under a geographical approach to the testing and inspection of sewer laterals. Both occurrences are beyond the control of the affected property owners. The cost to clean and inspect the sewer lateral and the cost of any required repair is to be-borne by the property owner. The cost to clean and inspect is ranging from $400 to $600 for most cases and a potential sewer lateral repair/replacement can cost between $4,000 to $8,000 depending upon the 2 extent of the repair/replacement and the amount of site and public improvements to be replaced. Upon the failure of a sewer lateral test, the repairs of the sewer lateral to be completed within 6 months from the date of inspection and there is concern that this requirement may place an unanticipated financial burden on many property owners. The City has budgeted $225,000 for fiscal year 06/07 for sewer system improvements and repair under account 612-3510-810. Technical Specifications for the re-lining of the sewer main in Clay Street from State Street to Highland Ave have been prepared and posted for public review. Staff has delayed submitting the contemplated public works project to the City Council for approval to advertise for bids because of the resulting consequences in regards to the requirement that all sewer laterals connected to the repaired sewer main must be cleaned and tested. Staff is recommending that the sewer main repair provisions of Ordinance No. 1091 be discussed and consideration be given to re-defining sewer main repair that best serves the public interest or, pursuant to the provisions of said Section 3799.6 of the Ukiah Municipal Code, consider the adoption of a Resolution setting forth the City's participation in the cost to test and repair the sewer lateral connected to the sewer main scheduled for repair. At their regular meeting of April 25, 2007, the Ukiah Valley Sanitation District Board of Directors approved the establishment of a test area within which the sewer laterals connected to the District's sewer main would be inspected and tested for the purpose of identifying issues and for quantifying potential repairs and associated costs for repair that may arise if a geographical approach to the enforcement of the inspection and testing provisions of the District's Sewer Lateral Inspection and Testing Ordinance were implemented. The testing and inspection of the sewer laterals and main will be accomplished under a public work contract. Staff will develop the Technical Specifications and bid documents. The Board approved an expenditure level not to exceed $26,000 and directed staff to select two locations within the District for possible selection. The public work project will potentially be completed the month of June. The resulting test information will be shared with the City of Ukiah. 3