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WATER, ENERGY 1„E. PUBLIC UTILITIES BOARD OF PUBLIC UTILITIES RIVERSIDE PUBLIC UTILITIES Board Memorandum DATE: DECEMBER 12, 2014 ITEM NO: 12 SUBJECT: WESTERN MUNICIPAL WATER DISTRICT — WATER SERVICE PROVISIONAL BOUNDARY MODIFICATION MEMORANDUM OF UNDERSTANDING ISSUE: That the Board of Public Utilities recommend approval of the Water Service Provisional Boundary Modification Memorandum of Understanding with Western Municipal Water District (WMWD). RECOMMENDATION: That the Board of Public Utilities recommend that the City Council Approve the Water Service Provisional Boundary Modification Memorandum of Understanding with Western Municipal Water District. BACKGROUND: The City of Riverside Public Utilities (RPU) provides retail water service within most of the corporate boundary of Riverside, except for the Orangecrest and Mission Grove neighborhoods southerly of Canyon Crest. On March 11, 2004, the City Council Utility Services /Land Use /Energy Development Committee and WMWD Board of Directors established an Ad -Hoc committee to address issues of mutual concern between the agencies, with the primary objective of continuing discussions of the retail service boundary debate in the City's southern neighborhoods and sphere of influence. The Ad -Hoc Committee formalized their recommendations which were approved by City Council on May 24, 2005 (Attachment 2). The City Council action approved the establishment of a Water Service Provisional Boundary with WMWD as depicted on Exhibits 1 and Al through Al2 of Attachment 2. The City Council further authorized the Riverside Public Utilities (RPU) General Manager to make minor modifications to the Water Service Provisional Boundary where fewer than five services and 25 acres were affected. Subsequently, on April 6 and August 28, 2012, the Board of Public Utilities approved a recommendation and the City Council approved a revision to the 2005 Water Service Provisional Boundary. This modification was associated with a tentative tract map located within the southeasterly limits of the Arlington Heights neighborhood of Ward 4. The tract consisted of 128 acres and roughly 23 water services. Staffs evaluation determined that hydraulically, WMWD's water infrastructure would be more suitable to serve the project. Staff reviewed a different tentative tract map to subdivide approximately 4.75 acres into seven residential lots located along Indiana Avenue at Buchanan Avenue. The project is located within the City limits but is within WMWD's water service area boundary. RPU staff evaluated the project area and determined that hydraulically, RPU's water infrastructure would be more suitable to serve the project. Staff from both agencies met and collectively agreed that RPU should serve the project. As such, the Water Service Provisional Boundary as depicted in Exhibit A2 of Attachment 2 requires modification. Exhibit A2 generally depicts an area along the southwesterly limits of the La Sierra neighborhood of Ward 6.