Item C: EWEB Sale of Water to Veneta

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additional written comments received before the work session on January 11, 2010, will be provided at the work session. During the November 10, 2010, work session, information was requested regarding how the sale of surplus water to Veneta was consistent with the City’s Growth Management Policies 1, 2, 5, and 10, and how the sale related to and whether or not it was consistent with the Statewide Planning Goals 2, 11, and 14. In the case of the City’s Growth Management Policies, it is difficult to make determinations of consistency with respect to the sale of surplus water to the City of Veneta given the Eugene- specific nature of the policies. The Growth Management Policies were more recently integrated into the City’s land use code which also helps clarify their scope and purpose. It states “These policies shall serve as guidance as the city considers proposed changes to this land use code” (EC 9.0020(1)). Accordingly, they were not meant to be used as a means for evaluating regional growth issues, including how surrounding communities should grow. Additionally, the Statewide Planning Goals do not apply to this sale of surplus water because the sale would not result in the application of urban services onto rural lands. Accordingly, surplus water could be provided to Veneta without conflicting with or violating these statewide goals. The fact that these policies and strategies do not directly apply to this sale does not end the discussion, but rather, highlights the need to have a broader discussion about developing a “Regional Water Master Plan” and the issues and opportunities associated with such an effort. Issues such as water right perfection, addressing and mitigating risk, infrastructure planning and costs, efficiency and cost savings opportunities, regional growth, and triple-bottom-line analysis could all be discussed as part of a regional planning effort. Councilor Zelenka has drafted his thoughts for beginning such an effort. A copy of this is attached as Exhibit B. EWEB is open to further discussion on a regional drinking water plan to test interest from other agencies and if there is interest, to develop a clear purpose, scope and roles/responsibilities. EWEB has stated that for years they have participated in regional planning efforts and continues to see the value in taking a regional and long-term view on drinking water supplies. The 1963 water right was applied for within the context of a regional water supply relationship. The most viable approach to securing a secondary source of drinking water for Eugene customers in the future is via partnerships that address mutual and differing needs of our neighbors. In any case, the City of Veneta has requested the City of Eugene support the sale of surplus water pending the outcome of the appeal. While Veneta’s Annual Daily Demand for their 20 year build out is four million gallons per day (mgd), an approval of three mgd will allow Veneta to move forward with the project and take advantage of the federal funding package they have received. Additional provisions may also be included as a condition of support. RELATED CITY POLICIES There are no specific City policies to be considered by the City Council at this meeting; it is a status update and informational meeting. \\Cesrv500\cc support\CMO\2011 Council Agendas\M110111\S110111C.doc