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HomeMy WebLinkAbout121012-3254-Bay-Area-Biosolids-to-Energy-Coalition City of Palo Alto (ID # 3254) City Council Staff Report Report Type: Consent Calendar Meeting Date: 12/10/2012 City of Palo Alto Page 1 Summary Title: Bay Area Biosolids to Energy Coalition Membership Title: Approval of a Wastewater Treatment Enterprise Fund Contract to Join the Bay Area Biosolids to Energy Coalition in the Total Amount of $151,553 for Membership in a Regional Coalition Exploring Biosolids to Energy Projects that Benefit the Regional Water Quality Control Plant From: City Manager Lead Department: Public Works Recommendation Staff recommends that Council approve and authorize the City Manager or his designee to execute the Amended and Restated Bay Area Biosolids to Energy Coalition Joint Exercise of Powers Agreement (Attachment A) for the Regional Water Quality Control Plant (RWQCP) to become a member of the Bay Area Biosolids to Energy Coalition for a contribution in the amount of $151,553. Executive Summary The RWQCP will become a member of the Bay Area Biosolids to Energy Coalition, a coalition of 18 agencies throughout the San Francisco Bay region who treat wastewater. Joining the Coalition is consistent with the RWQCP’s effort to develop new solutions for the treatment and reuse of biosolids. It is a proactive step that is part of the development of the Biosolids Facility Plan. The key goals of the coalition are to collaboratively respond to the increasing need for new approaches for biosolids management within the wastewater industry that reduce risk and maximize resource recovery while at the same time diversifying management options and advancing the knowledge and acceptance of new technologies that can convert this resource to energy. City of Palo Alto Page 2 Background The Palo Alto RWQCP treats wastewater originating from approximately 217,000 residents and 170,000 workers. This wastewater is generated in the cities of Los Altos, Mountain View, and Palo Alto, the Town of Los Altos Hills, the East Palo Alto Sanitary District, and Stanford University (Partners). The City owns and operates the RWQCP with operating and capital costs shared by the Partners. On July 2, 2012, the City Council accepted the Long Range Facilities Plan (LRFP) for the RWQCP and directed staff to prepare a Biosolids Facility Plan to finalize a biosolids treatment and disposal option and to retire the Plant incinerators as soon as practical. At the same time, the Council accepted the action plan and timeline for the Measure E Energy/Compost facility or Export option and directed staff to prepare an Organics Resource and Recovery Strategy. In response, the RWQCP developed a Request for Proposal (RFP) to develop a Biosolids Facility Plan. One of the options that will be considered in the development of the Biosolids Facility Plan, is use of an off-site facility that may be constructed by the Bay Area Biosolids to Energy Coalition (BAB2E or Coalition) in the future. The purpose of the Coalition is to develop regional waste to energy facilities for biosolids. Seven wastewater agencies formed the Coalition in 2007 to create a local sustainable solution to biosolids disposition. The Coalition has since expanded to 18 agencies, adding the City of San Jose earlier this year, operating under a Joint Exercise of Powers Agreement (JEPA). The Delta Diablo Sanitation Agency is the fiscal agent for the Coalition. The Coalition has been successful in securing nearly $1 million in grant funding from the California Energy Commission to pilot new biosolids-to-energy technologies and has engaged the Water Environment Research Foundation to conduct peer review of the pilot. Currently, the Coalition is reviewing submissions from a recent Statement of Qualifications effort that shows promising new technologies that may need additional pilot testing. Throughout the process to develop a regional biosolids-to-energy project, the Coalition has contracted with an engineering firm to review proposals and provide advice regarding biosolids-to-energy technologies. The Coalition has also City of Palo Alto Page 3 contracted with advocacy firms in Sacramento and Washington, DC to lobby on issues related to biosolids-to-energy funding and regulation. Discussion Joining the Coalition is consistent with the RWQCP’s effort to develop new solutions for the treatment and reuse of biosolids. It is a proactive step that is part of the development of the Biosolids Facility Plan because it will allow the City to participate in a viable effort to develop sustainable solutions and help determine the path forward so that it meets the City’s goals as well as regional goals. Key benefits to the City include the following:  Leadership in sustainable resource management and being part of a successful regional effort that is addressing the biosolids issue in a way that can attract both state and federal partnerships in the form of regulatory and financial assistance.  Being part of a group that is proactive in seeking to diversify biosolids management options.  Working together, rather than individually, agencies pool resources (knowledge, financial, consultant and strategy).  Shared costs for lobbying and consulting.  Coalition is now at 18 agencies representing 4 million people. Joining the coalition provides access to a significant base from which to advocate for policies and funding for biosolids to energy that will benefit all Coalition agencies.  Approaching as a group reduces risk to individual agencies. The key goals of the coalition are to collaboratively respond to the increasing need for new approaches within the wastewater industry that reduce risk and maximize resource recovery while at the same time diversifying biosolids management options and advancing the knowledge and acceptance of new technologies that can convert this resource to energy. Participation in the Coalition now will allow staff to monitor emerging technologies through the regional effort and be able to participate in the selection of proposals that are City of Palo Alto Page 4 most consistent with the City’s goals. Pooling resources to develop one or more regional biosolids-to-energy projects is expected to result in a lower cost and reduced risk, than if the City pursued alternative projects independently and allows for more options than one agency alone could pursue. Initial Coalition membership contributions are based on the 2007 average dry- weather effluent flow for each facility, which for the RWQCP was 22.9 million gallons per day. Under the terms of the JEPA, Coalition members are not required to contribute additional funds without unanimous consent of the members. The members are not committed, either individually or collectively, to enter into any agreements as a result of the planning effort, although it is the intent of most to proceed with one or more projects, if any of the proposals received meet the goals of the Coalition and are acceptably priced. At that time, members would determine what portion of their biosolids, if any, will be handled by the regional facility as opposed to other options, helping agencies diversify their reuse options. Members of the Coalition that participate in the development of a regional facility will likely have favorable fees, as opposed to joining once a project has been built. The Coalition has been successful in its joint legislative and regulatory advocacy efforts related to biosolids. At the federal level, a Senate committee has accepted language that would make $170,000,000 available in the next fiscal year for biomass projects other than algae biofuels and directs the Department of Energy to consider projects that "include biosolids derived from the municipal wastewater treatment process." The Coalition’s Sacramento consultant is primarily focusing on regulations and legislation related to utility funding for renewable energy projects and the greenhouse gas (GHG) emission allowances, which may be available in the 2012-13 budget year. Currently, the Coalition is working on issues relating to the Electric Program Investment Charge (EPIC), which is intended to replace the Public Goods Charge that funded renewable energy projects; amendments to allow funding of biosolids-to-energy projects in several categories eligible for GHG emission allowances in the future; and exploration of biosolids-to-energy funding opportunities with CalRecycle. Staff participating in the Coalition will monitor legislative positions being considered and will attempt to modify any that are contrary to City policy or interests. Any such legislation of importance to the City will be brought to Council as appropriate for action. Based on the stated goals and previous activities of the City of Palo Alto Page 5 Coalition, it is not anticipated that the Coalition will take positions contrary to the City. The City’s representative to the Coalition will be the Manager of the Environmental Services Division. The benefits of regional biosolids-to-energy technology development, the potential value of joint advocacy efforts regarding biosolids-to-energy funding and regulation, as well as developing additional grants and expanding options analysis for biosolids at the RWQCP, makes this an ideal time to join the Coalition. Resource Impact The RWQCP will become a member of the Bay Area Biosolids to Energy Coalition for a contribution in the amount of $151,553. The funds are available in the FY 2013 Wastewater Treatment Fund Capital Project WQ-10001 (Plant Master Plan). Membership requires staff participation to the Bay Area Biosolids to Energy Coalition Steering Committee but does not mandate participation in future projects. Policy Implications Participation in the Bay Area Biosolids to Energy Coalition is consistent with all City and wastewater management policies. Environmental Review Membership in the Bay Area Biosolids to Energy Coalition does not constitute a project under California Environmental Quality Act (CEQA). Environmental review for any individual projects or activities that the Coalition or the City consider in the future that may impact the environment will be completed on a case-by-case basis as required by CEQA. Attachments:  A: Joint Exercise of Powers Agreement for BAB2E (PDF) AMENDED AND RESTATED BAY AREA BIOSOLIDS TO ENERGY COALITION JOINT EXERCISE OF POWERS AGREEMENT This amended and restated joint exercise of powers agreement (this "Agreement") is dated as of July 1,2012 and is by and among the public entities identified on Exhibit A (each, an "Initial Member"). RECITALS A. The California Government Code at Section 6500 et seq. provides that two or more public agencies may, by agreement, jointly exercise powers common to them. B. Each Initial Member is a party to ajoint exercise of powers agreement dated March 30, 2006, between the City and County of San Francisco, the City of Millbrae, the Delta Diablo Sanitation District, the Dublin San Ramon Services District, the East Bay Municipal Utility District, the Fairfield-Suisun Sewer District, and the Union Sanitary District, as amended by Amendment No.1 and by Amendment No.2 (the "Original JEP A"). Among other changes, Amendment No.1 added the following parties to the agreement: City of Burlingame, City of Livermore, City of Richmond, North San Mateo County Sanitation District, West County Wastewater District, Central Marin Sanitation Agency, Ironhouse Sanitary District, South Bayside System Authority, Sausalito-Marin City Sanitary District, Vallejo Sanitation and Flood Control District, and deleted the East Bay Municipal Utilities District. Amendment No.2 created a mechanism for other entities to become parties to the Agreement upon (i) approval by a majority of then-current Parties, and (ii) execution of a completed Addendum. Subsequently, the City of Santa Rosa and the City of San Jose each executed a completed Addendum. As a result of the foregoing, all of the Initial Members listed in Exhibit A are parties to the Original JEP A. C. Under the Original JEP A, the parties cooperated to plan, advocate, and analyze biosolids management solutions for the Bay Area. D. Under the Original JEPA, the parties agreed that certain tasks were to be undertaken and completed in Phase IIIB, as defined in the Original JEPA. The status of those tasks is set forth in Exhibit B. E. Under the Original JEP A, the Delta Diablo Sanitation District was required and empowered to perform certain tasks on behalf of the group, including the following: enter into contracts with consultants to perform certain services and to manage such contracts; and submit funding applications related to the group's purposes and to act as the group's agent for the receipt of any state and federal funds resulting from such applications. Acting on behalf of the group, the Delta Amended and Restated JEPA v7.2 1 B034200111345905-5 Diablo Sanitation District entered into the contracts identified on Exhibit C (together, the "Existing Contracts"). F. The Initial Members now desire to amend and restate the Original JEP A in order to permit the Members, as defined below, to work cooperatively to further explore and develop biosolids management solutions and to permit Members to subsequently enter into contracts for the planning, design, construction, operation, and maintenance of one or more regional biosolids facilities. G. By this Agreement, the parties do not intend to create a separate legal entity. The parties therefore amend and restate the Original JEP A to read in its entirety as follows: SECTION 1 Definitions The following terms have the following meanings: "Addendum" means an agreement that is in substantial conformity with the addendum set forth in Exhibit E. "Coalition" means the Members, when the Members are acting pursuant to this Agreement. The Coalition is sometimes referred to as the "Bay Area Biosolids to Energy Coalition" and the "BAB2E Coalition." The Coalition is not a legal entity. "Contribution" means a payment or payments made to the Coalition by a Member pursuant to Section 4.A. "Existing Contracts" has the meaning ascribed to it in Recital E. "Fiscal Year" means the 12-month period that begins on July 1. "Initial Member" has the meaning ascribed to it in the introductory paragraph. "Lead Agency" means the Member that is designated as the Lead Agency in accordance with this Agreement to perform the duties set forth in Section S.A. on behalf of the Coalition. Unless otherwise determined in accordance with Section S.D., the Lead Agency is Delta Diablo Sanitation District, a California sanitation district organized and existing under the laws of the State of California. "Material Action" means any action taken by or on behalf of the Coalition that will directly (1) create or increase an obligation, debt or liability of any Member, or (2) require any Member to make a payment or payments to the Coalition in excess of that Member's Contribution. Amended and Restated JEPA v7.2 2 B034200111345905-5 "Members" means the parties to this Agreement, including all Initial Members and any Subsequent Members, unless and until such party withdraws from participating in the Coalition in accordance with Section 6.B. "Subsequent Member" means an entity that becomes a party to this Agreement in accordance with Section 6.A. SECTION 2 Purpose The purpose of the Coalition is to provide a vehicle for participating agencies to work together to: (i) explore biosolids management issues and technologies, and (ii) develop a regional project to diversify biosolids management options. The regional project may ultimately consist of one facility or multiple facilities. SECTION 3 Decision Making A. Steering Committee. a. Representatives. Each Member may appoint one individual to serve as its representative on the Coalition's steering committee (the "Steering Committee"). Each such individual is a "Representative." In addition, each Member may appoint an individual to serve in place of its Representative, in the event its Representative is unable to attend a meeting of the Steering Committee (an "Alternate"). Each Member's Representative and Alternate must be a senior manager of the Member (s)he represents. By entering into this Agreement, each Member represents that its Representative and Alternate have the authority to vote on any issue before the Steering Committee and to bind the Member (s)he represents. b. Responsibilities. The Steering Committee is the decision-making body of the Coalition. The Steering Committee decides all matters that affect the Coalition. The Steering Committee oversees all financial matters affecting the Coalition, including the expenditure of Coalition funds. c. Voting. Each Representative has one vote. In order for a Member to cast a vote, the Member's Representative or Alternate must attend the meeting of the Steering Committee at which a vote is taken. If neither a Member's Representative nor its Alternate is able to attend a meeting of the Steering Committee in person, the Member's Representative or Alternate may attend by phone. If a Representative or Alternate is attending a meeting of the Steering Committee by phone, any vote taken at such meeting is to be taken by roll call and all other requirements of a teleconferenced meeting under the Ralph M. Brown Act, as defined below, will be observed. Amended and Restated JEPA v7.2 3 B034200111345905-5 1. Quorum. A majority of the Members constitutes a quorum for any matter requiring a vote. A Representative or Alternate attending a meeting of the Steering Committee by phone counts toward the quorum. 11. Majority Vote. All decisions of the Steering Committee are based on the majority vote of the Members voting on a particular issue; provided, however, the Steering Committee may not take a Material Action without the unanimous consent of all affected Members. Members shall endeavor to avoid abstaining from any vote; however, any abstention does not count toward either the majority or the minority on any vote. d. Delegation of Duties. The Steering Committee may delegate ministerial duties to the Lead Agency. e. Meetings. The Steering Committee will schedule meetings as it deems appropriate. f. Minutes. Unless otherwise provided by the Steering Committee, the Lead Agency will keep minutes of each Steering Committee meeting and will circulate a copy of the minutes of each meeting to each Representative. B. Material Action. If any Members desire to pursue a project that could result in a Material Action without the unanimous consent of all affected Members, the Members desiring the project may separately contract for and finance the project. SECTION 4 Finances A. Contributions. Each Member is required to make a Contribution. Contributions are used to fund Coalition expenses. a. Initial Members. The Contribution made or committed to by each Initial Member is set forth in Exhibit D. b. Subsequent Members. Unless determined otherwise by the Steering Committee prior to the admission of a Subsequent Member, the Contribution required of a Subsequent Member will be based on the Subsequent Member's 2007 average dry weather flow and will be equal to that of the Member identified on Exhibit D that has the same 2007 average dry weather flow as the Subsequent Member. If the Subsequent Member's flow does not match that of an Initial Member identified on Exhibit D, the Subsequent Member's Contribution will be calculated to be proportionately equal to that of the Initial Members. The Contribution by a Subsequent Member may be made either in one lump payment or through installment payments, as approved by the Steering Committee. Amended and Restated JEP A v7.2 4 B034200 1/1345905-5 Upon the admission of a Subsequent Member, the Lead Agency shall update the information shown in Exhibit D and circulate the updated information to all Members. c. In-Kind Payment. If a Member carries out a demonstration of a new technology, or takes other actions substantially beyond those taken by other Members, that contributes to the purpose of this Agreement, the Steering Committee may grant such Member a credit toward its Contribution, or toward future Contributions, in exchange for access to and/or information about the demonstration or other actions. Any such decision by the Steering Committee will be documented by the Steering Committee through a memo to all Members. B. Administration of Funds. a. Account. Coalition funds are to be accounted for by the Lead Agency. b. Financial Obligations. Financial obligations of the Coalition to be covered by Coalition funds, including Lead Agency Costs, as defined below, must be authorized by the Steering Committee. c. Annual Accounting. The Lead Agency shall prepare, or shall hire a consultant to prepare, periodic reports and accountings of all Coalition funds. Within sixty (60) days after the close of each Fiscal Year, the Lead Agency shall prepare, or shall hire a consultant to prepare, a written report of all of the Coalition's financial activities for such Fiscal Year. Such reports shall be distributed to each Member. Should the Lead Agency utilize a consultant for such reporting, the costs shall be reimbursable from the Coalition Contributions. d. Records. The Lead Agency shall maintain accurate records of all Coalition expenditures. Any Member may inspect the books and records of the Coalition at any time during regular business hours. C. Disposition. Upon termination of this Agreement, any Coalition assets from cash contributions remaining after the payment of, or provision for, all debts, liabilities and obligations of the Coalition (including obligations to Members), are to be returned to the Members in proportion to their Contributions. A. Duties SECTION 5 Lead Agency a. General. The Lead Agency shall coordinate the activities of the Steering Committee, including calling and organizing meetings, transmitting notices, minutes, and other communications to the members of the Steering Committee, Amended and Restated JEPA v7.2 5 B034200 1/1345905-5 and ensuring compliance with the "Ralph M. Brown Act" (Government Code section 54950 et seq.), if and to the extent required. b. Custodian of Coalition Funds. The Lead Agency shall maintain an account for Coalition funds and perform the accounting and reporting activities set forth in Section 4. c. Contracts. The Lead Agency is empowered by the Coalition to enter into contracts on behalf of the Coalition, provided (i) the contract relates to ministerial duties that have been delegated to the Lead Agency by the Steering Committee (such as bookkeeping and other administrative services), or (ii) the Steering Committee has approved the essential terms of the contract. No other Member is authorized to enter into contracts on behalf of the Coalition. All contracts signed by the Lead Agency on behalf of the Coalition, including but not limited to the Existing Contracts, bind all Members, including Subsequent Members. Upon request, the Lead Agency will make available to any Member a copy of any contract entered into on behalf of the Coalition. B. Costs. Subject to the approval of the Steering Committee, the Lead Agency is entitled to be reimbursed for costs it incurs in carrying out its duties as Lead Agency, including, but not limited to, the cost of travel for state and federal advocacy, conference call hosting, and copying and postage, but excluding staff time, (hereinafter referred to as "Lead Agency Costs"). Payment of Lead Agency costs from Coalition funds shall only be made with Steering Committee approval. The Lead Agency shall keep a record of Lead Agency Costs and, upon request, shall provide to the Steering Committee a summary thereof. If the parties agree to a future proj ect for the design, construction, or operation of a regional biosolids facility, to the extent not otherwise reimbursed, the Lead Agency may elect to have Lead Agency Costs reimbursed in the form of a credit toward any contribution required ofthe Lead Agency for such project. C. Indemnification. The Members shall defend, indemnify and hold the Lead Agency harmless from and against any and all claims, damages, losses, liens, judgments, penalties, expenses (including reasonable attorneys and consultant fees), andlor liabilities arising out of or relating to any acts of the Lead Agency in its capacity as Lead Agency, except to the extent caused by the intentional or willful misconduct, or the negligent acts, errors, or omissions of the Lead Agency or its agents, officers, or employees. This provision will survive the expiration or telmination of this Agreement. D. Replacement. a. Resignation. If the Member acting as the Lead Agency resigns as Lead Agency, the Steering Committee shall select another Member to serve as the Lead Agency. b. Termination. The Steering Committee may replace the Member acting as Lead Agency with another Member, with or without cause. Amended and Restated JEPA v7.2 6 B034200111345905-5 c. Effective Date. The effective date of the appointment of a new Lead Agency is to be determined by the Steering Committee and the new Lead Agency. The outgoing Lead Agency shall cooperate in transferring management of Coalition funds to the new Lead Agency, as well as the transfer of all appropriate Coalition books and records to the new Lead Agency. SECTION 6 Changes in Coalition Membership A. Subsequent Members. Any public agency in the Bay Area responsible for processing and/or managing biosolids may become a Subsequent Member upon (i) approval by the Steering Committee, and (ii) the execution of an Addendum by such Subsequent Member. The Contribution to be made by a Subsequent Member will be determined in accordance with Section 4.A. B. Withdrawal. A Member may withdraw from the Coalition by providing written notice to the other Members. Withdrawal from the Coalition does not relieve an entity of any obligations incurred while a Member, including its obligations as an indemnitor and its obligation to pay its Contribution in full. At the discretion of the Steering Committee, a Member shall be deemed to have withdrawn pursuant to this sub-Section if the Steering Committee determines, after notice to all Members, the Member has failed to abide by this agreement. Withdrawal from the Coalition, whether voluntary or involuntary, does not entitle a Member to a refund of its Contribution. SECTION 7 Indemnification With the exception of the Lead Agency when performing its duties as Lead Agency, in the performance of this Agreement, each Member and its agents, employees, and contractors shall act in an independent capacity and not as officers, employees, or agents of any other party. Except as, and to the extent, set forth in Section S.C., no Member assumes any liability for the activities of another Member in the performance of this Agreement and each Member (i) is responsible in proportion to its respective fault for all liability, including but not limited to personal injury or property damage that may arise out of this Agreement and, (ii) specifically repudiates the division of liability otherwise provided for in Chapter 21 of Part 2 of Division 3.6 oftitle 1 of the Government Code, entitled "Tort Liability under Agreements between Public Entitles," section 895 et seq. Except to the extent Section S.C. provides otherwise, each Member expressly agrees to defend, indemnify, and hold harmless the other Members and their directors, council members, officers, agents and employees from and against any and all loss, liability, expense, claims, suits, and damages, including attorneys' fees, to the extent arising out of or resulting from the negligent acts, errors or omissions, or the intentional or willful misconduct of the indemnifying Member, its associates, employees, sub-consultants, or other agents, in the operation of and/or Amended and Restated JEPA v7.2 7 B034200 111345905-5 performance under this Agreement. This provision will survive the expiration or termination of this Agreement. SECTION 8 Dispute Resolution A. General. It is the intent of the Members that before the initiation of any administrative, legal or equitable action concerning any dispute arising out of this Agreement, such dispute be subject to the dispute resolution process provided in this Section. The Members shall make good faith efforts to resolve all such disputes by negotiation or mediation as provided in this Section and at the lowest possible cost. B. Dispute Notification and Negotiation. Any Member claiming a dispute arising out of this Agreement shall notify the other Members of the nature of the dispute in writing. The Members shall first attempt to negotiate and resolve the dispute at the technical andlor administrative staff level as appropriate. If the dispute is not resolved at this level, then the General Manager of each of the relevant Members, or other chief staff persons or their designees, shall attempt to negotiate and resolve the dispute. If the Members are unable to resolve the dispute at the staff level, the governing bodies of the Members may each appoint not more than two representatives who will attempt to negotiate and resolve the dispute. If the dispute is not resolved through the negotiation process set forth in this paragraph within ten (10) weeks of the initial written notification of the dispute, any party to the dispute may request mediation as set forth below. C. Mediation. Any party to the dispute may request mediation by sending a written demand for mediation of a dispute to the other parties to the dispute. The parties shall select, by agreement, the mediator. No person shall act as a mediator who is in any way financially interested in the work or the business or political affairs of any party to the dispute. The mediator shall meet with the parties together andlor alone as needed in an attempt to facilitate the resolution of the dispute. The parties will share the cost of the mediation equally. D. Final Recourse. If a dispute is not resolved through mediation within eight (8) weeks of the written demand for mediation, a party to the dispute may resort to such other recourse deemed appropriate, including, but not limited to, seeking administrative, legal or equitable relief. E. Attorneys' Fees. With the exception of the Lead Agency when performing its duties as Lead Agency, each party to a dispute shall bear its own attorneys' fees and costs in all aspects of dispute resolution. If the Lead Agency participates in any dispute resolution process in its capacity as Lead Agency with the prior approval of the Steering Committee, the Lead Agency is entitled to be reimbursed by the Members for any costs, expenses and attorneys' fees it incurs in such capacity. SECTION 9 General Amended and Restated JEPA v7.2 8 B034200 111345905-5 A. Existing Contracts. The Members hereby ratify and approve the Existing Contracts. B. Privileges and Immunities. In accordance with Government Code section 6513, all of the privileges and immunities from liability, exemptions from laws, ordinances and rules, all pension, relief, disability, workmen's compensation, and other benefits that apply to the activity of the officers, agents or employees of the Members when such agents or employees are performing their respective functions within the territorial limits of their respective agencies, apply to them to the same degree and extent while they are engaged in the performance of any of their functions and duties extraterritorially in furtherance of the objectives of this Agreement. C. Term. This Agreement will remain in effect indefinitely unless terminated by mutual written agreement of the parties. D. Officers, Employees, Agents. If the Coalition contracts with any Member for services, none of the persons providing that service on behalf of the Member is, by reason of such contract, an employee or agent of the Coalition. E. Principal Office. The Steering Committee may, but is not obligated to, establish a principal office of the Coalition. F. Notices. Unless and until notified of a substitute address, all notices are to be directed to a Member at the address designated for such Member in Exhibit A or the Addendum executed by such Member, as applicable. Notices are effective three business days after depositing in the United States postal system, upon confirmed facsimile transmission, upon receipt of electronic (e.g., e-mail) transmission, or on the next business day if sent by overnight courier in accordance with this Section. G. Integration; Amendment. This Agreement, including its exhibits, all contracts executed by the Lead Agency on behalf of the Coalition, including but not limited to the Existing Contracts, and all Addendums, together set forth all the promises, agreements, conditions, and understandings of the Members with respect to the subject matter hereof. Except as otherwise provided in Section 9.L and elsewhere herein, no subsequent alteration, amendment, change or addition to this Agreement is binding upon the Members unless reduced to writing and signed by all Members. H. No Construction Against Drafter. Each Initial Member has participated in negotiating and drafting this Agreement. If an ambiguity or a question of intent or interpretation arises, this Agreement is to be construed as if the parties had drafted it jointly, as opposed to being construed against a party because it was responsible for drafting one or more provisions of this Agreement. I. Severability. If any part of this Agreement is held by a court to be invalid, the remainder of the Agreement will continue in full force and effect, provided that the Amended and Restated JEPA v7.2 9 B034200111345905-5 remainder of the Agreement can be interpreted to give effect to the intention of the Members. J. Successors. This Agreement binds and inures to the benefit of the successors of the Members in the same manner as if they were expressly named. Nothing in this Agreement may be construed to give any rights or benefits to anyone other than the parties or their respective successors. K. Governing Law. The laws of the State of California govern all matters arising out of this Agreement. L. Effectiveness. Upon execution by the Initial Members, this Agreement shall be deemed effective as of the date first set forth above, except that execution by an Initial Member that withdraws is not required in order for this Agreement to become effective as to the other Members. M. Entire Agreement. This Agreement supersedes all prior agreements and understandings between the Members on the subject matter hereof.; SECTION 10 Signatures A. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same agreement. B. Signatures. The following signatures attest the parties' agreement hereto. Amended and Restated JEP A v7.2 10 B034200111345905-5 CITY OF BURLINGAME Approved as to form: ____________________ ________________________ Gus Guinan Jim Nantell City Attorney City Manager ____________________ Mary Ellen Kearney City Clerk Amended and Restated JEPA v7.2 11 B0342001/1345905-5 Amended and Restated JEPA v7.2 B0342001/1345905-5 12 CITY OF LIVERMORE Approved as to form: ______________________ _________________________ John Pomidor Marc Roberts City Attorney City Manager CITY OF MILLBRAE Approved as to form: Joan Cassman City Attorney Amended and Restated JEPA v7.2 B034200 1/1345905-5 Marcia Raines City Manager 13 CITY OF RICHMOND Approved as to form: City Attorney Amended and Restated JEPA v7.2 B034200 1/1345905-5 14 Bill Lindsay City Manager CITY OF SAN JOSE Approved as to form: City Attorney Amended and Restated JEPA v7.2 B034200111345905-5 City Manager 15 Amended and Restated JEPA v7.2 B0342001/1345905-5 16 CITY OF SANTA ROSA Approved as to form: ______________________ _________________________ Richard Dowd City Attorney BPU Chairman CENTRAL MARIN SANITATION AGENCY Approved as to form: Jack Govi Assistant County Counsel Amended and Restated JEPA v7.2 17 B03420011134590S-S JasonR. Dow General Manager DELTA DIABLO SANITATION DISTRICT Approved as to form: Mary Ann Mason District Counsel Amended and Restated JEPA v7.2 B03420011l345905-5 18 Gary W. Darling General Manager DUBLIN SAN RAMON SERVICES DISTRICT Approved as to form: Robert B. Maddow General Counsel Amended and Restated JEPA v7.2 B03420011l345905-5 19 Bert L. Michalczyk General Manager FAIRFIELD-SUISUN SEWER DISTRICT Approved as to form: Mark Cornelius . District Counsel Amended and Restated JEP A v7.2 B034200111345905-5 20 Greg Baatrup General Manager IRONHOUSE SANITARY DISTRICT Approved as to fonn: Frederick M. Etzel District Counsel Amended and Restated JEP A v7.2 B034200 1/1345905-5 21 Tom Williams General Manager NORTH SAN MATEO COUNTY SANITATION DISTRICT Approved as to form: Rose Zimmerman District Counsel Amended and Restated JEP A v7.2 B034200111345905-5 22 Patricia E. Martel General Manager SAN FRANCISCO PUBLIC UTILITIES COMMISSION Approved as to form: John S. Roddy City Attorney Amended and Restated JEP A v7.2 B034200Il134S90S-S 23 Ed Harrington, General Manager General Manager SAUSALITO-MARIN CITY SANITARY DISTRICT Approved as to form: Jennifer Fraught District Counsel Amended and Restated JEP A v7.2 B034200 111345905-5 24 Robert Simmons General Manager SOUTH BAYSIDE SYSTEM AUTHORITY Approved as to fonn: David E. Schricker General Counsel Amended and Restated JEP A v7.2 B034200 1/1345905-5 25 Daniel Child Manager UNION SANITARY DISTRICT Approved as to form: David M. O'Hara District Counsel Amended and Restated JEPA v7.2 B034200 1/1345905-5 26 Richard Currie General Manager VALLEJO SANITATION AND FLOOD CONTROL DISTRICT Approved as to form: Favaro, Lavezzo, Gill, Caretti & Heppell District Counsel Amended and Restated JEPA v7.2 B034200 1/1345905-5 27 Ron Matheson District Manager WEST COUNTY WASTEWATER DISTRICT Approved as to form: Alfred A. Cabral Board Attorney Amended and Restated JEPA v7.2 B03420011l345905-5 28 E. 1. Shalaby General Manager EXHIBIT A BAY AREA BIOSOLIDS TO ENERGY COALITION JOINT EXERCISE OF POWERS AGREEMENT INITIAL MEMBERS & REPRESENTATIVES City of Burlingame William E. Toci, Plant Manager 1103 Airport Blvd. Burlingame, CA 94010 Phone: (650) 342-3727 Fax: (650) 342-3712 William. toci@veoliawaterna.com City of Livermore David A. Stoops, Public Works Operations Manager 101 W. Jack London Blvd. Livermore, CA 94551 Phone: (925) 960-8122 Fax: (925) 960-8105 dastoops@ci.livermore.ca.us City of Millbrae Ronald Popp, Director of Public Works 621 Magnolia Avenue Millbrae, CA 94030 Phone: (650) 259-2339 Fax: (650) 697-8158 rpopp@ci.millbrae.ca.us City of Richmond Chad Davisson, WastewaterlStormwater Division Manager City of Richmond 450 Civic Center Plaza Richmond, CA 94804-1630 Phone: (510) 620-5486 Fax: (510) 307-8116 Chad Davisson@cixichmond.ca.us B034200 111249516-1 Central Marin Sanitation Agency (CSMA) Jason Dow, General Manager 1301 Anderson Drive San Rafael, CA 94901 Phone: (415) 459-1455 x 145 Fax: (415) 459-3971 j dow@centralmarinsa.org Delta Diablo Sanitation District (DDSD) Caroline Quinn, District Engineer 2500 Pittsburg-Antioch Highway Antioch, CA 94509-1373 Phone: (925) 756-1928 Fax: (925) 756-1960 caro lineq@ddsd.org Dublin San Ramon Services District (DSRSD) Bert L. Michalczyk, General Manager 7051 Dublin Boulevard Dublin, CA 94568 Phone: (925) 875-2200 Fax: (925) 829-1180 michalczyk@dsrsd.com Fairfield-Suisun Sewer District Gregory G. Baatrup, General Manager 1010 Chadbourne Road Fairfield, CA 94534-9700 Phone: (707) 429-8930 Fax: (707) 429-1280 gbaatrup@fssd.com Ironhouse Sanitarv District (lSD) Jenny Skrel, District Engineer 450 Walnut Meadows Drive Oakley, CA 94561 Phone: (925) 625-2279 Fax: (925) 625-0169 skrelisd@sbcgobal.net EXHIBIT A (Continued) North San Mateo County Sanitation District Patricia E. Martel, General Manager 333-90th Street Daly City, CA 94015 Phone: (650) 991-8127 Fax: (650) 991-5759 pmartel@dalycity.org San Francisco Public Utilities Commission (SFPUC) Tommy Moala, Assistant General Manager, Wastewater Enterprise 1155 Market St. 11 th Floor San Francisco, CA 94103 Phone: 415-554-2465 Fax: (415) 554-3171 tmoala@sfwater.org Sausalito-Marin City Sanitary District Robert Simmons, General Manager P.O. Box 39 Sausalito, CA 94966 Phone: (415) 332-0244 Fax: (415) 332-0453 bob@smcsd.net South Bayside System Authority Daniel T. Child, Manager 1400 Radio Road Redwood City, CA 94065-1220 Phone: (650) 832-6220 Fax: (650) 591-7122 therrera@sbsa.org Union Sanitary District Richard Currie, General Manager 5072 Benson Road, P.O. Box 5050 Union City, CA 94587-8550 Phone: (510) 477-7502 Fax: (510) 477-7501 rich currie@unionsanitary.com B034200 111249516· 1 Vallejo Sanitation and Flood Control District Ron Matheson, District Manager 450 Ryder Street Vallejo, CA 94590 Phone: (707) 644-8949 x211 Fax: (707) 644-8975 rmatheson@vsfcd.com West County Wastewater District (wCWD) E. J. Shalaby, General Manager 2910 Hilltop Drive Richmond, CA 94806 Phone: (510) 222-6700 Fax: (510) 222-3277 eshalaby@wcwd.org City of Santa Rosa Zachary Kay, Biosolids Manager 4301 Llano Rd Santa Rosa, CA 95407 Phone: (707) 543-3374 Fax: (707) 543-3444 zkay@srcity.org City of San Jose Jo Zientek, Deputy Director of Environmental Services 200 East Santa Clara Street, 10th Floor San Jose, CA 95113 Phone: (408) 535-8557 Fax: (408) 292-6211 Jo.Zientek@sanjoseca.gov TASK 1 2 3 4 5 6 7 EXHIBITB BAY AREA BIOSOLIDS TO ENERGY COALITION STATUS OF "PHASE III.B"(FROM ORIGINAL JEPA) TASKS DESCRIPTION STATUS Biosolids Management Alternatives Complete Engineering Facility Planning Complete Site Screening and Environmental Documentation Complete Project (Agency) Outreach Complete Stakeholder Outreach Complete Grant Funding Assistance Ongoing State and Federal Advocacy Assistance Ongoing B0342001/1249517-2 EXHIBITC BAY AREA BIOSOLIDS TO ENERGY COALITION JOINT EXERCISE OF POWERS AGREEMENT EXISTING CONTRACTS The following is a list of contracts that Delta Diablo Sanitation District (DDSD) has entered into on behalf of the Bay Area Biosolids to Energy Coalition. 1. Consulting Services Agreement between DDSD and Carollo Engineers, dated March 26, 2009, for technical and engineering services. 2. Consulting Services Agreement between DDSD and ENS Resources, dated January 1, 2009, for federal advocacy services. 3. Consulting Services Agreement between DDSD and Edelstein Gilbert Robson & Smith, dated November 1, 2008, for state advocacy services. 4. Agreement between Bay Area Biosolids to Energy Coalition/DDSD and Water Environment Research Foundation, dated May 12, 2011, for WERF to organize and manage a peer review of a demonstration project 5. Contract for legal Services between DDSD and Archer Norris, A Professional Law Corporation, dated March 17,2011, for legal services related to establishing a governance structure (through a JEPA Amendment) for the Bay Area Biosolids to Energy Coalition. 6. Agreement No. 500-10-34 between DDSD and the State of California Energy Resources Conservation and Development Commission (Energy Commission), to provide funding for a technology . demonstration project 7. Project Agreement between DDSD and Intellergy Incorporated, dated June 21,2011, to Transfer Obligations and funding under Funding Agreement 500-10-34 to Intellergy. B0342001/1296384-1 Joint Exercise of Powers Agreement BAY AREA BIOSOLIDS TO ENERGY COALITION EXHIBIT D Project Cost Allocation 2007 Avg Dry Agency Weather Flow(mgd) Total Payment Sausalito Marin 1.3 $46,333 City of Milbrae 1.5 $47,307 Iron house Sanitary District 2.7 $53,153 City of Burlingame 3.6 $57,537 North San Mateo County San 6.6 $72,151 Central Marin Sanitation Agency 7.0 $74,099 City of Livermore 7.1 $74,586 West County Wastewater District 7.2 $75,074 City of Richmond 9.2 $84,816 Dublin San Ramon Services District 11.1 $94,072 Vallejo Sanitation District 11.0 $93,585 Delta Diablo Sanitation District . 14.0 $108,199 Fairfield-Suisun Sewer District 14.5 $110,634 South Bayside System Authority 15.3 $114,531 Santa Rosa 15.3 $114,531 Union Sanitary District 26.5 $169,090 San Francisco Public Utilities District 79.0 $424,835 City of San Jose 112.0 $585,588 TOTAL $2,400,119 San Jose Credit for demonstration $215,000 TOTAL Cash Contributions $2,185,119 EXHIBITE BAY AREA BIOSOLIDS TO ENERGY COALITION JOINT EXERCISE OF POWERS AGREEMENT FORM OF ADDENDUM This addendum to the [date] agreement entitled "Amended and Restated Bay Area Biosolids to Energy Coalition Joint Exercise of Powers Agreement", [as amended on ______ [list dates of any amendments] (the "Agreement"), is dated ______ _ and is made by [name of agency] (the "Agency"), a __________ [state legal capacity, e.g. a municipal corporation] for the purpose of Agency becoming a party to the Agreement and a Member of the Coalition, as those terms are defined in the Agreement. The Agreement is incorporated by reference and made a part of this Addendum. The Agency acknowledges that it has received a copy of the Agreement and, after a thorough review of the Agreement, desires to become a party to the Agreement and a Member. The Agreement permits the addition of parties to the Agreement if (i) such addition is approved by a majority of the members of the Steering Committee, as defined in the Agreement, and (ii) the agency desiring to become a party provides certain information and assumes the obligations of a party through the execution of an addendum. The governing body of the Agency certifies that the Agency has reviewed the Agreement and agrees to its terms. In consideration for the mutual promises set forth in the Agreement, the governing body ofthe Agency hereby agrees to accept and perform all duties, responsibilities and obligations required of a Member as set forth in the Agreement. Further, the governing body authorizes its _________ [title], or his/her designee, as its Representative, with authority to sign all documents necessary to implement the Agreement. The notice address for the Agency's Representative is: [Name of Agency] By: _________________ _ Chairperson The Agreement and the Addendum are approved as to form: By: _______________ , Attorney for AGENCY B034200 111296391-4 Page 1 of 1