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WATER ENERGY LIFE <br />rr� <br />CITY OF <br />RIVERSIDE <br />lag <br />PUBLIC UTILITIES <br />RIVERSIDE PUBLIC UTILITIES <br />Board Memorandum <br />BOARD OF PUBLIC UTILITIES <br />DATE: OCTOBER 23, 2023 <br />SUBJECT: APPROVE THE INCREASED CAPITAL EXPENDITURE FOR SEVEN OAKS DAM <br />ENHANCED RECHARGE PROJECT — WORK ORDER NO. 1329385 IN THE <br />AMOUNT OF $4,344,625 FOR A REVISED WORK ORDER TOTAL OF <br />$18,008,996 <br />ISSUE: <br />Consider approval of the increased capital expenditure for Work Order No. 1329385 in the amount <br />of $4,344,625 for a total of $18,008,996 to extend the participation in the Enhanced Recharge <br />Project in the San Bernardino Basin Area associated with the Seven Oaks Dam. <br />RECOMMENDATION: <br />That the Board of Public Utilities approve the increased capital expenditure for Work Order No. <br />1329385 in the amount of $4,344,625 for a total of $18,008,996 to extend the participation in the <br />Enhanced Recharge Project in the San Bernardino Basin Area associated with the Seven Oaks <br />Dam. <br />BACKGROUND: <br />Riverside has adjudicated rights to extract and export water from the San Bernardino Basin Area <br />(SBBA). These rights are currently set at 55,263 acre-feet per year (AFY), and they represent <br />22.49% of the total water rights for the basin which includes the additional extraction rights from <br />participating in the Initial Conservation Project. Riverside may increase further its <br />extraction/export rights if it participates in the Enhanced Recharge projects as part of "New <br />Conservation" projects as defined by the Western Municipal Water District of Riverside County et <br />al., v East San Bernardino County Water District. et al. Judgment issued in 1969 (1969 Judgment). <br />Within the 1969 Judgment, Western Municipal Water District (Western) represents Riverside's <br />interests associated with "New Conservation" projects. <br />Riverside's participation in New Conservation projects to increase water rights in the SBBA is <br />defined in agreements between the San Bernardino Valley Municipal Water District (Valley) and <br />Western. Valley is the lead in funding and completing New Conservation Projects, and Western <br />reimburses Valley for Riverside's and the other Plaintiff Parties' portion of the costs. Riverside <br />reimburses Western per Board and City Council approval agreements to participate in these "New <br />Conservation" projects. In prior actions, the Board and City Council have authorized Riverside to <br />enter into three agreements: Cost Sharing Agreement -Seven Oaks Dam Water Conservation <br />Study and Amendment 1, (January 4, 1994); the First Supplement to Cost -Sharing Agreement — <br />Seven Oaks Dam Initial Water Conservation Construction Costs (June 18, 1997); and the <br />Agreement between Western Municipal Water District of Riverside County and the City of <br />Riverside for Payment of Costs Related to Seven Oaks New Conservation (June 27, 2013). In <br />