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1985-164RESOLUTION NO. 85R-164 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, INITIATING PROCEEDINGS FOR DETACHMENT OF CERTAIN TERRITORY FROM THE MUNICIPAL WATER DISTRICT OF ORANGE COUNTY. WHEREAS, the District Reorganization Act of 1965 (Division 1 of Title 6 of the Government Code of the State of California, commencing with Section 56000) provides for the change of organization of certain districts, such as the Municipal Water District of Orange County ("MWDOC"), through the approval by the Local Agency Formation Commission of Orange County; and WHEREAS, the City of Anaheim is an "affected city" as that term is used in the District Reorganization Act of 1965; and WHEREAS, the Orange County Special District Task Force, in its January 17, 1984, report to the Board of Supervisors, identified certain inefficiencies resulting from multiple governmental agencies providing similar municipal-type services within the corporate limits of a city; and WHEREAS, said report endorsed the full service municipality concept and recommended that the cities assume provision of certain services provided by such agencies; and WHEREAS, the MWDOC is considered by the City of Anaheim to be such an Agency; and WHEREAS, the City Council of the City of Anaheim concurs with the Task Force finding that multiple governmental agencies performing similar public works functions within the corporate boundaries of the City of Anaheim contribute to the complexity of local government and may hinder the ability of residents to readily identify and contact the agency responsible for providing service; and WHEREAS, the City Council of the City of Anaheim believes that residents of the City of Anaheim would benefit from a full-service municipal concept and endorses the full-service concept presented by the Task Force; and WHEREAS, the MWDOC provides services which are a duplication of services already provided by the City of Anaheim as an original Member Agency of the Metropolitan Water District of Southern California; and WHEREAS, the City of Anaheim desires this resolution to be deemed a resolution of application proposing a change of organization pursuant to Section 56195 of the California Government Code. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Anaheim as follows: 1. That the City of Anaheim hereby applies to the Local Agency Formation Commission of Orange County for the detachment of certain territory from the MWDOC pursuant to the District Reorganization Act of 1965, Division 1 of Title 6 of the Government Code of the State of California, commencing with Section 56000. 2. That the territory proposed for detachment is inhabited and is shown on Exhibit "A" attached hereto and by this reference incorporated herein. 3. That the City intends to assume full responsibility for providing the services currently provided by the MWDOC within the corporate boundaries of the City of Anaheim. 4. That the proposed detachment provide for and be subject to the following conditions: a. That commencing with the first year that the reorganization is effective for property tax purposes as provided in California Government Code Section 54902, all property tax revenues which would have accrued pursuant to California Revenue and Taxation Code Section 97.5 to the MWDOC from the area in the corporate limits of Anaheim, had it remained in the District, shall be allocated to the City of Anaheim. b. That upon completion of said reorganization detaching territory within the City of Anaheim from the MWDOC, said territories shall be relieved from the liability for payment of all or any part of principal or interest or any other amounts which may be due or become due on account of all or any part of any bonded indebtedness, contracts, or obligations, including, but not by way of limitation, any judgment or judgments against the MWDOC County, and that said territory be relieved from the levying or fixing and the collection of any taxes or assessments as may be made for the payment thereof except for the contractual obligations of the City of Anaheim relating to the Allen McColloch Pipeline. c. That any election called upon the question of confirming an order for the reorganization shall be called, held and conducted upon such reorganization only within the territory affected by such reorganization. F~ d. Funds accumulated in Reserve by the MWDOC for the purpose of capital improvements, operations and maintenance, and administration thereof shall be allocated to the City of Anaheim based on the proration of property tax revenues generated within the City of Anaheim and allocated to the District as a percentage of the total property tax revenues of the District. -2- 5. That the reason for this proposed detachment is that the City of Anaheim, an original Member Agency (1929) of the Metropolitan Water District of Southern California, is not adequately represented on the Metropolitan Water District of Southern California Board of Directors since Anaheim's Director - represents only approximately 11$ of the City, the remainder being represented through MWDOC. Commencing in 1984-85, the Board of the MWDOC instituted Annual Retail Service Connection Charges and a Water Increment Charge for water used in Anaheim within their jurisdictional boundaries, even though much of this water is not purchased from them. The services provided by MWDOC within Anaheim are duplications of services already provided by the City or services which can be provided by the City at lower cost to its constituents. 6. That the City of Anaheim desires to be a full-service city. 7. That the City of Anaheim hereby requests that proceedings be taken and commenced for a change of organization in connection with the hereinabove described proposed detachment of territory from the MWDOC. 8. That the Clerk of the Council of the City of Anaheim is hereby authorized and directed to file a certified copy of this Resolution with the Executive Officer of the Local Agency Formation Commission. THE FOREGOING RESOLUTION is approved and adopted by the City Council of the City of Anaheim this 30th day of April, 1985. ~~_ ~~ MAYOR OF THE CITY OF ANAHEIM PRO i'EM ATTEST: c CITY CLERK OF THE CITY OF ANAHEIM JLW : f m 3458M 042285 -3- STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF ANAHEIM ) I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution No. 85R-164 was introduced and adopted at a regular meeting provided by law, of the City Council of the City of Anaheim held on the 30th day of April, 1985, by the following vote of the members thereof: AYES: COUNCIL MEMBERS: Kaywood, Bay, Pickler and Overholt NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: Roth AND I FURTHER CERTIFY that the Mayor Pro Tem of the City of Anaheim signed said Resolution No. 85R-164 on the 30th day of April, 1985. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the City of Anaheim this 30th day of April, 1985. i ` ~~o~~~ CITY CLERK OF THE CITY OF ANAHEIM (SEAL) I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original of Resolution No. 85R-164 duly passed and adopted by the Anaheim City Council on April 30, 1985. CITY CLERK '"","~, ~ ;:Q EXHIBIT A DETACHMENT OF TERRITORY OF THE CITY OF ANAHEIM FROM THE MUNICIPAL WATER DISTRICT OF ORANGE COUNTY That portion of the City of Anaheim, County of Orange, State of California, described as follows: Beginning at an angle point in the existing boundary of the City of Anaheim as established by "Annexation No. 66 South Anaheim", said angle point being the southwest corner of said annexation, said angle point also being at a point lying 30 feet easterly of the centerline of Euclid Street, being 95.5 feet wide, and lying 1,317 feet southerly of the centerline of Orangewood Avenue, being 90 feet wide; thence, following along said existing boundary line as established by "Annexation No. 66 South Anaheim", "Annexation No. 82 Midwood Manor", "Annexation No. 98 Katella Park", "Annexation No. 93 Brookhurst-Katella", "Annexation No. 82 Midwood Manor", "Annexation No. 53 Nutwood-Ball", "Annexation No. 85 Brookhurst-Ball #2", "Annexation No. 54 Brookhurst-Ball", "Annexation No. 87 North Brookhurst-Ball", "Annexation No. 44 Orange Avenue", "Annexation No. 143 Brookside", "Annexation No. 174 Brookside #2", "Annexation No. 81 Brookhurst", "Annexation No. 132 Orange-Thistle", "Annexation No. 83 Urange-Brookhurst", "Annexation No. 44 Orange Avenue", "Annexation No. 138 Broadway-Brookhurst", "Annexation No. 107 Broadway-Gilbert", "Annexation No. 205 Greenwich #2", "Annexation No. 203 Greenwich", "Annexation No. 114 Disney School", "Annexation No. 107 Broadway-Gilbert", "Annexation No. 37 Gilbert Street", "Annexation No. 56 Gilbert Street #2", "Annexation No. 183 Ball-Gilbert", "Annexation No. 56 Gilbert Street #2", "Annexation No. 108 Magnolia-Cerritos", "Annexation No. 88 Magnolia-Winston", "Annexation No. 74 Ball-Dale", "Annexation No. 94 Knott-Cerritos", "Annexation No. 74 Ball-Dale", "Annexation No. 95 Knott-Orange", "Annexation No. 74 Ball-Dale", "Annexation No. 70 West Anaheim #2", "Annexation No. 75 Butler-Harbour", "Annexation No. 70 West Anaheim #2", "Annexation No. 196 Colorado-Crescent", "Annexation No. 52 Magnolia-Crescent", "Annexation No. 37 Gilbert Street", "Annexation No. 33 Delco-Remy", "Annexation No. 110 Manchester-Dale", "Annexation No. 32 Houston Avenue", "Annexation No. 55 Houston-Magnolia", "Annexation No. 32 Houston Ave.", "Annexation No. 63 Houston #2", "Annexation No. 190 Anaheim Hills #7", "Annexation No. 39 Euclid-Romneya", "Annexation No. 69 Romneya West", "Annexation No. 51 Miles Rancho", "Annexation No. 268 Transfer of territory from Fullerton to Anaheim", "Annexation No. 11 South Spadra", "Annexation No. 35 Acacia Street", "Annexation No. 64 East Sycamore", "Annexation No. 77 Northeast", "Annexation No. 91 Northeast #2A", "Annexation No. 106 Dowling-Orangethorpe", 1104m041285 -1- "Annexation No. 96 Orange Co. Water Dist.", "Annexation No. 91 Northeast #2A", "Annexation No. 184 Tustin-Miraloma #2", "Annexation No. 140 Linda Vista #1", "Annexation No. 188 Tustin-Miraloma #3", "Annexation No. 195 Tustin-Miraloma #4", "Annexation No. 141 Linda Vista #2", "Annexation No. 195 "` Tustin-Miraloma #4", "Annexation No. 257 Tustin-Atwood", "Annexation No. 256 Jefferson-Orangethorpe #2", "Annexation No. 206 Jefferson-Orangethorpe", "Annexation No. 256 Jefferson-Orangethorpe #2", "Annexation No. 115 Northeast #3", "Annexation No. 265 Lakeview-Orangethorpe #6", "Annexation No. 149 Lakeview-La Palma", "Annexation No. 265 Lakeview-Orangethorpe #6", "Annexation No. 247 Lakeview-Orangethorpe #5", "Annexation No. 137 Lakeview-Orangethrope", "Annexation No. 265 Lakeview-Orangethorpe #6", "Annexation No. 246 Lakeview-Orangethorpe #4", "Annexation No. 115 Northeast #3", "Annexation No. 121 Rinker", "Annexation No. 260 Municipal Reorganization #55", "Annexation No. 135 Orchard Drive", "Annexation No. 116 Yorba", "Annexation No. 175 Cresthill Drive", "Annexation No. 194 Orangethorpe-Nixon Freeway", "Annexation No. 116 Yorba", "Annexation No. 142 Imperial-Esperanza", "Annexation No. 155 Esperanza-Fairmont", "Annexation No. 156 Esperanza-Roth", "Annexation No. 158 Esperanza-Carrillo", "Annexation No. 264 Santa Ana Canyon #11", "Annexation No. 241 Santa Ana Canyon #7", "Annexation No. 229 Serrano #1", "Annexation No. 249 Serrano #2", "Annexation No. 229 Serrano #1", "Annexation No. 166 Anaheim Hills #4", "Annexation No. 197 Anaheim Hills #11", "Annexation No. 252 Anaheim Hills #29", "Annexation No. 233 Anaheim Hills #22", "Annexation No. 252 Anaheim Hills #29", "Annexation No. 233 Anaheim Hills #22", "Annexation No. 237 Anaheim Hills #25", "Annexation No. 233 Anaheim Hills #22", "Annexation No. 252 Anaheim Hills #29", "Annexation No. 233 Anaheim Hills #22", "Annexation No. 252 Anaheim Hills #29", "Annexation No. 244 Anaheim Hills #28", "Annexation No. 238 Anaheim Hills #26", "Annexation No. 227 Anaheim Hills #18", "Annexation No. 215 Anaheim Hills #17", "Annexation No. 116 Northeast #3", "Annexation No. 236 Anaheim Hills #24", "Annexation No. 253 Reorganization #51 Transfer to City of Orange", "Annexation No. 112 Olive Hills Reservoir", "Annexation No. 91 Northeast #2A", "Annexation No. 250 Frontera #3", "Annexation No. 119 La Palma-Rio Vista", "Annexation No. 109 Wagner-Sunkist", "Annexation No. 117 Wagner-Rio Vista", "Annexation No. 212 Ball-Freeway", "Annexation No. 261 Ball-Freeway #3", "Annexation No. 150 Douglass-Katella", "Annexation No. 218 Douglass-Katella #2", "Annexation No. 78 Katella", "Annexation -- No. 79 Haster", "Annexation No. 103 Sirius-Tiller", "Annexation No. 100 Chapman-Harbor", "Annexation No. 66 South Anaheim", through the various courses in a general northerly, westerly, northerly, easterly, southerly, westerly direction to the point of beginning. Excepting therefrom that portion described as follows: 1104m041285 -2- Beginning at an angle point in the existing boundary of the City of Anaheim as established by "Annexation No. 146 Orchard-Orangethorpe", said angle point being the northwest corner of said annexation, said angle point also being the northeast corner of Tract 4926; thence following along said existing boundary line as established by "Annexation No. 146 Orchard-Orangethorpe", "Annexation No. 126 Warner-Lambert", "Annexation No. 115 Northeast #3", and "Annexation No. 135 Orchard Drive", through the various courses in a general southerly, westerly, northerly, easterly direction to the point of beginning. Also excepting therefrom that portion of the City of Anaheim known as the "Original Metropolitan Water District Area" and never a part of the Municipal Water District of Orange County, a total of 4.45 square miles, referred to in the Municipal Water District of Orange County Annual Report as "Member's Area", namely that portion of the City of Anaheim as it existed in 1920, plus the following annexations: "Annexation No. 1 North Anaheim Add.", "Annexation No. 2 North ~ East Add.", "Annexation No. 3 North ~ West Add.", "Annexation No. 4 Industrial Site", "Annexation No. 5 Helen ~ Lynch", "Annexation No. 6 Commercial St.", "Annexation No. 7 Kirven", "Annexation No. 8 East Anaheim", "Annexation No. 9 So. Palm St.", "Annexation No. 10 Manchester Ave.", "Annexation No. 11 So. Spadra", "Annexation No. 12 Kennedy", "Annexation No. 13 West La Palma", "Annexation No. 14 Manchester Ave #2", "Annexation No. 15 So. Palm St. #2", "Annexation No. 16 So. Los Angeles St.", "Annexation No. 17 East Vermont Ave.", "Annexation No. 18 Roberts", "Annexation No. 19 Morris", "Annexation No. 20 Euclid Ave.", "Annexation No. 21 Morales". The area to be detached contains 39.09 square miles, more or less. Attached, and made a part of, is a map designated as Exhibit B. This legal description and map was prepared under my supervision. This proposal does meet the approval of the Orange County Surveyor's Office. C. R. Nelson, County Surveyor. By Deputy County Surveyor Date Ray A. Auerbach, R.C.E. 20236 1104m041285 -3- OFFICcRS STANLEti" E. SPRAGvE .ENERa~ M~•. 4~Fr LORRAI'rE M. CRGSS S:PET4P~ JAN L ALLNUTT TP; a5, ~+~ F RUSSEL_ ~~ 9EHRENS DIRECTORS KENNETH H. WITT PRE S.u ENT WAYNE A. CLARK VICE PRESIDENT WILLIAM F. gAVENPORT H.E. 'BI~~ t-tARTGE GERALD E. PRICE MUNICIPAL ~` WATER - DISTRICT OF ORANGE CUUNTY P.O. BOX 15229 • 1950 EAST 17TH STREET, SU17E 150 • SANTA ANA, CALlFORN1A 92705-0229 • (714) 973-1023 April 15, 1985 ~ ~ ~? ~~~ iti Ij 1y~ ~ ~ ~; ; ~J' ~~ N~'K 15 i°85 '--- Local Agency Formation Commission ~{ii~•J ~• ~~,::~ =.=_.I.._ C,:iC~l-; 10 Civic Center Plaza, Room 458 ~~~~ ~=tw~s ~L'--~`~~.~~='~ ~.'~~:i~~~;Gta Santa Ana, CA 92701 Re: Proposed Detachment by the City of Santa Ana from Municipal Water District of Orange County Application for Determination that Municipal Water District of Orange County is not a "District" Within the Meaning of Division 1 of Title 6 of the Government Code Gent lemer.: Application is hereby made under Section 56015 of the Government Code that it be determined by the Commission that the Municipal Water District of Orange County (MWDOC) is not a district Within the meaning of Title, 6, Division 1, of the Government Code commencing with Section 56000 (District Reorgani- zation Act of 1965). Enclosed is a resolution of the District requesting such determination. This application is not made to circum:~ent the public process involved in government reorganization and change, but is advanced in order to preserve the MwTJOC's position concerrliny its administrative remedies and procedures. It appears that the City is asking for detachment to obtain relief from a modest financial burden. However, the City's detachment will have the effect of redistributing the financial burden among the MWDOC's other customers, less of representation on behalf of 80$ of Orange County at Metropolitan Water District of Southern Caliz"ornia (PiET), ar.d disturbing long-standing operational and intergovern- mental arrangements. The initiation by the City of Santa Ana of proceedings for detachment of approximately 16.84 square miles of territory from - MWDOC raises some very significant concerns with far reaching impacts on Orange County regional water supplies. In addition to potential impacts on available water supplies in the times of water shcrtage and the potential for continued fragmented repre- sentation of water agencies, the proposed detachment will defi- nitely result in the net loss of at least one of the County's Directors at MET. As you know, F~IET is the only source of import- ed water supplies for Orange. County. At present, MET has 52 Local Agency Formation Commission April 15, 1985 Page 2 Directors on its Board from•all over Southern California. Those Directors determine the course of action by MET in securing adey~.:zte water supplies and determining how water distribution systems and water supplies-are to be allocated throughout Scuth- ern California, including Orange County. At the present time, Orange County has eleven Directors representing Orange County's interest at Metropolitan: 6 from M4v~OC, two from Coastal Munici- pal Water District, one from the City of Santa Ana, one from the City of Anaheim and one from the City of Fullerton. According to law, each member of MET is entitled to one Director based on membership above and one additional Director for each 3$ of that agency's "A.V." as it relates to the total MET "A.V." If the detachment is allowed, MWDOC and the County of Orange would lose one MET Director from MWDOC who would not be replaced by any other Orange County agency. Distribution of Directors based on assessed valuation is shown in an enclosure to this letter entitled "Effects of Detachment." In addition, because of the regional nature of M4dDOC's activities and the regional issues with which it deals, the detachment will not result in any lower costs. The amount received by reason of, the area detached may well have to b? redistributed to M.WDOC's remaining territory and customer agencies. MWDOC believes that it is in the best interest of the County and its agencies to maintain maximum representation at NIET and to keep costs at efficient levels for all its customer agencies including the City of Santa Ana. It does not appear that the detachment sought by the City of Santa Ana will support achieving those goals. The District is striving to work toward a meaning- ful solution to the problem of protecting the interests of all concerned. The course of action chosen by the City, in our opinion, could, in the long run, work to the detriment of the best interests of all of Orange County. Our review of the law indicates that while we are attempting to resolve these compli- cated issues, there may be a way of maintaining stability in water representation that would provide sufficient time to address and solve these issues. Under Section 56015, a district is entitled to apply to LAFCO for a determination that it is not a "district" for pur- poses of the District Reorganization Act. If the Co:^~issior. finds under Section 56016 that MWDC~C is not engaged in the distribution and sale of water for any purpose other than for the purpose o` resale, i.e., a wholesaler, then LAFCO must find that MF'DOC is not a "district" subject to the District Reorganization Act. • MWDOC is a district of the kind that, based on its limited activities, may be excluded from that Act. It only engages ir. Local Agency For tion Commission April 15, 1985 Page 3 the sale of Metropolitan Water for purposes of resale to its customer agencies and makes no sales to ,y~~.,i_~t~te consumers . In light of the fact that the law requires that the District must make this application within 1C days of notification by the ~• Commission of the initiation of a proposal for a change of organization, we feel compelled to make this application in order to preserve this issue and potential avenue towards solution of the problem with long-range goals intact. MWDOC feels that the requirements of Section 54796 of the Government Code can be better achieved for the good of all by denying the proposal by the City o£ Santa Ana for detachment. .~ It is the MWDOC's intention to oppose the City's petition for detachment. You will be provided a report and other perti- nent information at a later time according to your presented schedule. The report and other pertinent information will explain in more detail the facts and circumstances supporting our position, and request is hereby made that in considering this application the Commission refer to those documents for further particulars. Very truly yours, ~~~~~ p Stanley E. Sprague General Manager SES:ggg Enclosure EFFECTS OF DETACHMENT CURR~:1vT AGENCY 190^4 P..V. 1984 A.V. DIRECTORS VOTES ($ Billicn) $ MWDSC MWDCC 63.9 15.75 6 6,3_93 Anaheim (MWD) 1.0 0.25 1 103 Fullerton (M~TD) 2.7 0.66 1 267 Santa Ana (MWD) 2.1 - 0.53 - 1 214 Subtotal: 69.7 17.18 9 6,977 Total MWD: 405.8 40,581 DETACH - ALL M4~'DOC 50 .9 12 .54 5 5, 088 Anaheim 8.6 2.12 1 860 Fullerton 3.9 0.96 1 390 Santa Ana 6.3 1.55 1 629 Subtotal: 69.7 17.18 8 6,977 DETACH - SANTA ANA ONLY MWDOC 59.7 14.72 5 5,968 Ar_aheim 1.0 0.25 1 103 Fullerton 2.7 0.66 1 267 Santa Ana 6.3 1.55 1 629 Subtotal 69.7 17.18 8 6,967 RESOLUTION N0. 1259 RESOLUTION OF THE BOARD OF DIRECTORS OF __ MDNI~IPAL WATER DISTRICT OF ORANGE COUNTY MAKING APPLIrnTION TO TEE L•OCAL• AGENCY FORMATION COMMISSION FOR A DETERMINATION THAT SAID AGENCY IS NOT A "DISTRICT" FOR PURPOSES OF THE a,,. DISTRICT REORGANIZATION ACT WHEREAS, on January 7, 1985, the City Council of the City of Santa Ana, adopted and thereafter filed with the Executive Officer of the Local Agency Formation Commission of Orange County (LAFCO) Resolution No. 85-2 proposing the detachment of certain territory from the Municipal Water District of Orange County (MTrtDOC) ; and WHEREAS, on April 5, 1985, the Executive Officer of LAFCO issued a Certificate of Filing for the proposed detachment and provided notice to MWDOC as required by Government Codz 55261; and WHEREAS, the Board of Directors of MWDOC has determined that the proposed detachment is in conflict with the best interests of these agencies i;,u ediately affected by the proposal and will ha:%? a detrimental impact generally upon the acquisition and distribution of imported water supplies. NOW, THEREFORE, the Board of Directors of MWDOC does hereby resolve, determine and order as follows: 1. That application be and the same is hereby made pursuant to Sections 56015 and 56016 of the Government Code for determination by the Local Agency Formation Commission of Orange County that MWDOC is not qa "district" within the meaning of the provisions of the District Reorganization Act of 1965 (Division 1, Title 6 of the Government Code). 2. That the Local Agency Formation Commission of Orange County be and the sane is hereby reg;~ested to initiate and conduct proceedings pursuant to Government Code, Sections 56015 and 56016, and: a. Find that MWDOC is a wholesale water agency and as such is not engaged in the distribution and sale of water for any purpose other than the purpose thereof; and b. Find that MWDOC is not engaged in any ~of the other activities described in subsections (a) through (d), inclusive, of Government Code 56016; and c. Determine that M.WDOC is not a "district" under the definition of that term by Section 56039 of the Grvern:^.ent Code and that none of the provisions fir cha;~ges of organization or reorganization. conducted pursuant to the District Reorganization Act are appl icabl e to tdWDOC. 3. That the Secretary of MWDOC be and the same is hereby authorized and directed to file a certified copy of this Resolution with the Executive Officer of the Local Agency Formation Commission of Orange County. Said resolution was adopted, on roll call, by the following vote: AYES: Directors Davenport, Hartge, Price and Witt. NOES: None. ABSENT: Director Clark. -- ABSTAIN: None. Adopted and approved this 12th day of April, 1985, MUNICIPAL WATER DISTRICT OF ORANGE COUNTY By -E-~ ~ ~ President By ~ Q'~~~- Secr tary I, HEREBY CERTIFY, that the foregoing is a full, true and correct copy of Resolution No. 1259 adopted by the Board of Directors of the Municipal Water District of Orange at its Special Meeting held on April 12, 1985. (SEAL) Lorraine M. Cross, Secretary Municipal Water District of Orange County CONFIDENTIAL MEMORANDUM OF UNDERSTANDING FOR INCREASED PARTICIPATION IN MWDOC FUNCTIONS BY THE CITIES OF ANAHEIM, FULLERTON, AND SANTA ANA MwQO~ Water issues facing Orange County water agencies and consumers are becoming more and more complex. Dealing with these issues requires coordination and increased participation among the water retailers and the wholesale agencies in the county. MWDOC has been cooperating with the cities of Anaheim, Fullerton, Santa Ana and others to increase the effectiveness of the representation at Metropolitan Water District of Southern California and to increase communications within MWDOC. The Three Cities are unique in wholesale water distribution because of their original city membership in Metropolitan and also in MWDOC. They feel they should not have to pay as much as other MWDOC water constituents because of an~overlap of service. The City of Santa Ana precipitated serious negotiations on the issue by passing a resolution to detach from MWDOC. The parties of this Memorandum of Understanding feel there are constructive alternatives to solving the problem other than detachment that will preserve the representation at Metropolitan and achieve equitable representation on the MWDOC Board. On March 5, 1985, representatives from MWDOC and the Three Cities met to discuss the issues of water rates, representation, and participation with the MWDOC Board and Metropolitan representatives. The Three Cities presented a proposal consisting of six points and a deadline of March 31, 1985. It was agreed that the staffs from the Three Cities would meet with MWDOC staff to analyze and discuss the proposal and if possible formulate an agreement for resolving the issues. Since that meeting, the staffs of the Three Cities and MWDOC met on March 14, 19, 22, and 26 to discuss the proposal. The following concepts have been agreed to: 1. Water Rates and Fees MWDOC and the Three Cities have evaluated the MWDOC cost of service to the Cities and have determined the value of the Three cities' membership in Metropolitan, and have found the aggregate value to be a charge of not greater than 35 percent of the water rate being charged to other agencies in MWDOC. This proportion charge will be applied to any type of assessment levied by MWDOC against the Three Cities except for a standby charge on undeveloped acreage which shall be levied in full on the Three Cities. MWDOC will evaluate the economic, political, and legal feasibility of a standby charge on undeveloped acreage by September 1985 and will proceed with implementation if feasible by August of 1986. ~~r~~o~ MAR 2 S 1985 1 2. Metropolitan Directorship MWDOC will form a sixth division for the Three Cities' membership and will structure the selection procedure for Metropolitan Directorships to allow the agencies within each of the five original `~ MWDOC divisions to select a nomination for the Metropolitan Directorships as they become available. The Three Cities will collectively select a nomination for the sixth division and submit it to the MWDOC Board who shall approve it and appoint said Director to MWD. The Three Cities will select a nominee for the next position that becomes available. The Three Cities shall have the right to report to the MWDOC Board on the effectiveness of the Metropolitan Director selected by them and request a change in representation if deemed necessary. The MWD Board shall honor said request if made by the Three Cities. 3. MWDOC Board Structure The MWDOC Board and staff have reviewed the concept of restructuring the MWDOC Board and finds that it has merit. The proper structure will strengthen the MWDOC Board and representation among water agencies within MWDOC and strengthen representation at Metropolitan. A small working Task Force appointed jointly by MWDOC and the Three Cities will be established to carefully evaluate the following proposal for restructuring the Board. The proposal is to expand the MWDOC Board of Directors to include one additional Director for each of the Three Cities, such director to be a City Council member approved respectively by each city. Other methods of Board reorganization may be studied and proposed so long as the Three Cities' proposal is included. The Task Force will have 60 days in which to develop, consider, and solicit input on this proposal from various individuals, agencies, and relevant interest groups. At the end of the 60 days, the Task Force shall prepare a report of its findings. If this report is negative and MWDOC will not implement the Three Cities proposal, then MWDOC will not oppose the detachment by the Three Cities if they decide to follow that course of action. 4. Sponsor Legislation MWDOC and the Three Cities shall sponsor legislation to be introduced in the 1986 session to amend the MWDOC Act to recognize the uniqueness of the Three Cities and to implement paragraphs 1, Z, and 3 above. 2 a Recommended for approval by the staffs of: Three Cities City of Anaheim /~ j ~ ,~ ' ~ Edward G: Alario Assistant General Managers - Operations City of Fullerton Hugh L. erry Assistant City Manager/ Director of Engineering and Community Development City of Santa Ana Samuel.. ohnson Execut ve Directo of Utiliti Agency MWDOC Municipal Water District of Orange County Stanley E. Sprague General Manager 3 JUSTIFICATION OF PROPOSAL QUESTIONNAIRE California Government Code Section 54796 requires the Local Agency Formation Com- mission to consider specific factors in regards any change of organization of local ~.... agencies. In order to facilitate the Commission's review and pursuant to its Bylaw No. 31, complete the following questionnaire. (Attach additional sheets as necessary) General Information 1. Name of Proposal: Proposed Detachment of Territory from the LZunicipal Water District of Orange County 2. Description of Proposal: (check one) annexation municipal incorporation X detachment district formation reorganization (any of the above involving two or more cities and/or districts) 3. Summarize the reasons for the propos-~d action. See attached Resolution adopted by the City Council of the City of Anaheim on April 30, 1985 4. Does the application possess 100 percent consent of each property oarner in the subject territory? yes no Attach letter of consent. N/A 5. List the Assessor Parcel Number, Assessee and Tax Rate Code Area for each involved parcel. (List available from Orange County Assessor) N/A 6. What is the total assessed valuation of the subject territory? (a) land ~` (b) improvements N/A TOTALS . 7. What i s the total 1 and area? 39.09 sg. miles Lan~± Use N/A 1. What is the General Plan Land Use designation for the site? Orange County ~- Affected city . 2. Describe any special land use concerns expressed in the above plans. 3. Indicate the existing land use, including the number of units. Single-Family Attached Single-Family Detached Multiple-Family (2-4 units per structure) Multiple-Family (5 or more units per structure) Mobile Homes 4. ghat is the proposed land use (include Precise Plan or Development Plan, where applicable)? Single-Family Attached Single-Family Detached Multiple-Family (2-4 units per structure) Multiple-Family (5 or more units per structure) Mobile Homes 5. Indicate the existing zoning 6. t•Jhat is the proposed zonino 7. Has the area been prezoned? If yes, what is the prezoning classification? 8. Hoer many persons reside on the site? . - 2 - 9. List each registered voter ~~lithin the subject territory (list available from Orange County Registrar of 'Joters). N/A 10. Describe the surrounding land uses. N/A 11. Is the site located within a city's boundaries? If yes, name the city. Yes, City of Anaheim 12. Is the subject territory located ~r~ith in "island" of unincorporated territory? Yes X '!o. 13. Would approval of this proposal create an "island" of unincorporated territory? Yes X No. If yes, justify why other unincorporated territory should not be included in the subject proposal. 14. Describe the proximity of the subject territory to populated areas. N/A -~ 15. Is there a likelihood of a significant increase in population in the subject area within the next ten years? Yes X No Estimate any population increase. 21,509 16. Is there a likelihood of a significant increase in population of adjacent areas within the next ten years? Yes X No Estimate any population increase. No reliable estimate available - 3 - Environmental Settin 1. Describe the location of the project area, including the major highway access, nearest intersection, etc. N/A 2. Describe the site's topography. N/A 3. Describe any watercourses, ridgelines, canyons, flood control channels, freeways, railroads, etc. adjacent to the site. N/A 4. State the proximity of the site to any airport and/or flight path. N/A 5. List any approved spheres of influence for any local agencies which may be applicable to the site. N/A 6. Daes the proposal involve territory under an agricultural preserve contract? If yes, list the parties involved in such contract. N/A 7. Has either a "NOTICE OF tJON-REP~EtJAL" or "NOTICE OF CANCELLATION" been filed ~vith the County Recorder's Office? If yes, state the date of filing. N/A 8. 6Ji11 the proposal decrease the amount of land available for open space or agricultural uses? Yes No~_. 9. Could the proposal serve to encourage development of presently ur;developed areas, or increase intensity of development of already developed areas? Yes No x - 4 - COMPLETE THE FOLLOLJING "ENVIRO"JMENTAL IMPACT" SECTION IF THE SUBJECT TERRITORY IS PRESENTLY UNDEVELOPED. ATTACH ANY PREPARED ENVIRONMENTAL DOCUi~ENTS FOR DE- VELOPMENT PROJECTS ON THE ANPdEXATION TERRITORY. ENUIRONMENTAL IMPACT Are the follo~~~ing items applicable to the project or its effects? Discuss below all items checked yes. (Attach additional sheets as necessary). Yes No x 1. Change in existing features of any bays, tidelands, beaches, lakes or hills, or substantial alteration of ground contours. x 2. Change in scenic views or vistas from existing residential areas or public lands or roads. x 3. Change in pattern, scale or character of general area of project. x 4. Significant amounts of solid waste or litter. x 5. Change in dust, ash, smoke, fumes or odors in vicinity. X 6. Change in ocean, bay, lake, stream or ground water quality or quantity, alteration of existing drainage patterns. x 7. Substantial change in existing noise or vibration levels in the vicinity. X 8. Site on filled land or on slope of 10 percent or more. x 9. Substantially increase fossil fuel consumption (electricity, oil, natural gas, etc.) x 10. Relationship to a larger project or series of projects. CERTIFICATION: I hereby certify that the statements furnished above and in the attached exhibits present the data and information required for this initial evaluation to the best of my ability, and that the facts, statements and infor- mation presented are true and correct to the best of my knowledge and belief. Date ~ ~~. ~~ ~~ ~ G(J ~_.Rt Signature ~" For ~~*' ~'~~ ~~r~,~~-~~ - 5 - Plan of Services Identify in Column (1) the "existing" service provider for the follovring service categories. If the service is not currently provided, write "not provided" in the respective space. Identify in Column (2) all changes in service providers if the "proposed" change of organization is completed. (l) (2) Existing Proposed PUBLIC SAFETY N/A Police Protection Fire Protection Rescue Paramedic Ambulance Animal Control UTILITIES N/A SEWERAGE Collection Treatment Disposal Reclamation WATER Acquisition City of Anaheim City of Anaheim Storage Distribution „ ELECTRICITY N/A SOLID WASTE N/A Collection Disposal TRANSIT N/A PUBLIC WORKS N/A STREETS N/A Construction Maintenance Stiveepi ng Lighting FLOOD CONTROL N/A - 6 - (1) (2) Existing Proposed COMMUNITY DEVELOPMENT N/A Planning Code Enforcement Redevelopment LEISURE SERVICES N/A Park Recreation Library For each service identified in column (2) as being provided by the affected (city} (district), describe: 1. The location from which each service is to be provided (e.g. nearest present or proposed fire station, utility line, library, etc.) N/A 2. The service level to be provided. Reference should be made to service level standards, such as frequency of street sweeping, average response times for emergency services, water service pressure zones, sewage treatment capacities, etc.) N/A 3. If the service level to be provided exceeds the existing service level capacity, what action will be taken to increase the existing capacity, and estimate the cost of increasing such capacity. N/A 4. If any service is not to be provided upon completion of proceedings, when will the service be provided? N/A - 7 - 5. The estimated cost of extending the service to the affected territory. N/A 6. Any conditions which would be imposed or required within the affected territory, such as, but not limited to, improvement or upgrading of structures, roads, sewer or water facilities, and the estimated cost thereof. N/A 7. How will services and improvements be financed? N/A 8. Describe ~vhat action will be taken to detach the site from any district(s) where a duplication of service and charges would result if the proposed action is approved. N/A - 8 - Provide the names, addresses and telephone numbers of persons (3 MAXIi~fU'~i who are to be furnished copies of the LAFC Agenda and Executive Officer's report and who are to be given mailed notice of hearing. Name Address Telephone No. Lee Sohl, City Clerk P.O. Box 3222 Anaheim,CA 92803 999-5100 ext.5257, P.O. Box 3222 William O. Talley, City Manager Anaheim, CA 92803 999-5100 ext. 5165 Public Utilities 999-5100 Gordon W. Hoyt, General Manager P.O. Box 3222 Anaheim,CA 92803 ext. 5173 Applicant's Name: Gordon W. Hoyt Public Utilities General Manager Address: P.O. sox 3222 Anaheim, CA. 92803 Telephone: ( 714 ) 999-5100, ext. 5173 Signature '7 _ O `~ ~~ Date - 9 -