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City Council Memorandum <br />TO: HONORABLE MAYOR AND CITY COUNCIL <br />FROM: PUBLIC UTILITIES DEPARTMENT <br />DATE: DECEMBER 18, 2012 <br />ITEM NO: 37 <br />WARDS: ALL <br />SUBJECT: AMENDMENT OF LEASE NO. PRC 6785.1 BETWEEN THE STATE OF <br />CALIFORNIA STATE LANDS COMMISSION AND THE CITY OF RIVERSIDE, <br />SAN DIEGO GAS AND ELECTRIC AND SOUTHERN CALIFORNIA EDISON <br />ISSUE <br />The item for City Council consideration is approval of the State Lands Commission Lease <br />Amendment PRC 6785.1 ( "Lease ") between the State of California ( "State ") and the City of <br />Riverside ( "Riverside "), San Diego Gas and Electric Company ( "SDG &E ") and Southern California <br />Edison Company ( "SCE ") to meet state regulatory requirements. <br />RECOMMENDATIONS <br />That the City Council: <br />1. Approve the Amendment to the Lease No. 6785.1 between the State of California State <br />Lands Commission and the City of Riverside to allow for installation, use and <br />maintenance of Large Organism Exclusion Devices at the San Onofre Nuclear <br />Generating Station to meet new regulatory requirements for once - through - cooling coastal <br />power plants; <br />2. Authorize the City Manager, or his designee, to execute the Amendment to the Lease <br />Agreement; and <br />3. Authorize the City Manager, or his designee, to execute any future amendments to the <br />State Lands Commission Lease No. PRC 6785.1. <br />BOARD RECOMMENDATION <br />This item was unanimously approved by the Board of Public Utilities on November 16, 2012. <br />BACKGROUND <br />The San Onofre Nuclear Generating Station ( "SONGS ") is comprised of three generating units: <br />Unit 1 which permanently ceased operation in 1992 and is jointly owned by SCE and SDG &E; and <br />Units 2 and 3 which are currently owned by SCE, SDG &E and Riverside. In accordance with the <br />37 -1 <br />