Resolution 747
RESOLUTION NO. 747
RESOLUTION OF THE CITY OF GILROY
ENDORSING COUNTY WATER PROGRAM
WHEREAS, on February 20, 1963, the Santa Clara County Water
Commission recommended to the Board of Supervisors of the Santa
Clara County Flood Control and Water Conservation District a
water program consisting of a water treatment and distribution
system for Zone ~l of said District; and
WHEREAS, said recommendations included recommendations on
tax limits and water charges to provide revenue in support of
said water program; and
WHEREAS, the Board of Supervisors of said District on the
4th day of March, 1963, adopted all of the recommendations of
the Santa Clara County Water Commission by resolution, a copy
of which is attached hereto; and
WHEREAS, the City Council of the City of Gilroy
agrees with the recommendations of the Santa Clara County Water
Commission as set forth in the resolution adopted by the Board
of Supervisors.
NOW, THEREFORE, be it resolved by the City Council of the
City of Gi I roy
as follows:
1. That the Board of Supervisors of said District be ad-
vised of the approval and support of the City Council of
of the recommendations of the Santa Clara County Water Com-
mission adopted February 20, 1963, as contained in the resolution
of said Board of Supervisors adopted March 4, 1963.
2. That said Board of Supervisors be, and are hereby, re-
quested to call for a bond election on June 11, 1963, to put
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before the voters the recommendations of said Water Commission
as adopted by the Board of Supervisors.
3. That said Board of Supervisors be, and are hereby, ad-
vised of the complete support by the City Council of the City of
G i I roy
of said recommendations of the Santa Clara County
Water Commission as contained in the resolution adopted by the
Board of Supervisors.
PASSED AND ADOPTED by the City Council of the City of G II roy
on the
1st
day of
Apri I
, 1963 by the following
roll call vote:
AYES: COUNCIL MEMBERS: Duffin,Eckard,Goodrich,Jordan,Quartiroli,
Wentworth, and Petersen
NOES: COUNC I L MEMB ERS: None
ABSENT: COUNC I L MEMBERS: None
APPROVED:
MAYOR
ATTEST:
CITY CLERK
I, SUSANNE E. PAYNE , City Clerk of the City of
Gilroy, do hereby certify that the attached Resolution No. 747
is an original resolution, duly adopted by the Council of the
City of Gilroy at a regular meeting of said Council held on the
1st day of Apri I , 19..2,L, at which meeting
a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and af-
fixed the official seal of the City of Gilroy, this 2nd day
of April ,19..&.1.
. .
RESOLUTION ADOPTING RECOMMENDATIONS OF
SANTA CLARA COUNTY ,^!ATER COMMISSION AND
DECLARING PRICING POLICY FOR WATER PROGRAM
WHEREAS, In accordance with previous recommendations of the
Santa Clara County i,Vater Commission, this Board of Supervisors established
Zone Vr-l (Voting Zone) and Zone W-2 (Ground "Nater Charge Zone) of this
District, both of said zones having the same boundaries, and held a bond
election in the amount of $42,050,000 for the financing of a water treatment
and distribution system; and
'WHEREAS, the Santa Clara County Vvater Commission on February 20,
1963, made certain recommendations modifying previous recommendations
on tax and water charges to provide revenue in support of said bond
election; and
WHEREAS, this Board of Supervisors feels that said modifications
as recommended by the Santa Clara County \Alater Commission are equitable
and will be beneficial to this District and said zones.
NO"", THEREFORE, it is hereby resolved that the recommendations
adopted on February 20, 1963 by the Santa Clara County Water Commission
are hereby adopted by this Board of Supervisors and set forth as follows:
A. Construction Schedule of Treatment and Distribution Facilities.
1. The Northeast, Central, and Central Extension
Pipelines, as contained in the Engineer's Report,
Zone 1,"'-1, dated July 18, 1962,are to be constructed
to become operable in time to receive water from the
State of California through the South Bay Aqueduct
by December 31, 1964.
2. The West Pipelines and the first increment of the
'^,est Side Treatment Plant are to be constructed to
become operable by January 1, 1966, subject
however, to the provision to be contained in the
ordinance calling the bond election prohibiting the
expenditure of any bond money authorized for the
construction of treatment plants, except that which
is supported by bona fide contracts for the purchase
of said water which will support the repayment of
cost for said plant and said costs as hereinafter
set forth in (C. 3) .
3. The northerly portion of the Cross-Valley Pipelines
is to be constructed to become operable by January 1,
1967, unless it is found necessary to construct said
line at an earlier date in order to obtain better
distribution of water.
4. The Milpitas and East Pipelines and the first increment
of the East Side Treatment Plant are to be constructed
when contracts have been obtained which will satisfy
the provisions to be contained in said bond election
ordinance.
5. The remaining portion of the Cross-Valley Pipeline
is to be constructed to become operable in time to
receive water from the completed Pacheco Aqueduct,
estimated to be January 1, 1971.
B. Bond Financing.
1. The water treatment and distribution system, as adopted
by this Board of Supervisors on Monday, August 20,
1962, is to be financed by the issuance of revenue-
supported general obligation bonds within Zone ""-1.
2. Such bonds shall not be sold until needed for construction
of facilities in accordance with the above construction
schedule.
C. Pricing and Financing.
1. Taxes.
a. The existing District-wide tax of 5~ on each $100
of assessed value of land and improvements is to
be maintained until it can be reduced as set forth
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in (c) below. Said tax will be levied to pay
for the general economic benefit to the county
as a whole for having facilities which import
water, including the South Bay and Pacheco Aqueducts.
b. Said tax shall be limited to a maximum rate of 5~.
c. v'IThen total revenues are sufficient to reduce
taxe s or water rates, the District-wide tax will
be reduced to zero before a reduction in the price
of treated water or a reduction of the municipal
and industrial ground water charge below $10 per
acre foot or a reduction in the agricultural ground
water charge below $5 per acre foot.
d. There shall be a tax import credit to be paid to
cities or districts importing Hetch-Hetchy, or
any other approved imported water into the Santa
Clara County Flood Control and \ATater Conservation
District. The tax import credit is to be computed
by determining the percentage of Hetch-Hetchy
water used within each such city or district. Each
such city or district is to be given a credit on
taxes collected therein in the same percentage
as its Hetch-Hetchy water use bears to total water
use within such city; provided however, that the
tax import credit would be limited as to each
city or district to a maximum of 60% of the taxes
collected for water purposes by the Santa Clara
County Flood Control and \^later Conservation District
within such importing city or district.
2. Ground Vlater Charges.
a. The agricultural ground water charge will be
established at $5 per acre foot for all waterB
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produced for agricultural use from wells within
Zone IN-2, said water charge to become effective
on July 1, 1964.
b. The municipal and industrial ground water charge
will be established at $10 per acre foot for all
water produced for municipal and industrial use
from wells within Zone VI/-2, said charge to
become effective on July 1, 1964, subject to
modifications as set forth in (c) below.
c. In the event revenues based on the above 5~
tax and the above $5 and $10 ground water charges
are ins ufficient to pa y annual costs, the municipal
and industrial ground water charge will be increased
to the extent necessary to pay such annual costs.
d. Costs not paid for by 1) taxes remaining after
payment of tax import credits, 2) revenue from
agricultural ground water charges or sales of
agricultural surface distributed water and,
3) revenue to repay 1/2 the construction and
maintenance and operation costs of the East,
'Nest, and Milpitas Pipelines resulting from sales
of treated water hereinafter set forth in (C. 3.) ,
shall be allocated to the municipal and industrial
ground water charge.
3. Treated 'Hater Prices.
a. Treated water will be priced at an amount to include
all of the amortization of construction costs for
treatment plants, including land, all treatment
plant maintenance and operation costs, plus 1/2
of the amount required to amortize the construction
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and the maintenance and operation costs of the
East, West, and Milpitas Pipelines, plus an
amount equal to the municipal and industrial
ground water charge.
b. The ordinance calling the bond election shall
contain a section prohibiting the expenditure of
any bond money authorized for the construction of
treatment plants, until there exist bona fide contracts
for the purchase of said water, which purchases and
contracts will support the repayment of the costs
for said plants, including land, and 1/2 of the
construction and maintenance and operat ion costs
of the East, 'Vest, and Milpitas Pipelines as set
forth in (a) above.
D. Legislation.
1. The Santa Clara County Flood Control and ,.vater
Conservation DistrictMl shall be amended to permit
the pricing policies set forth herein with speCial
reference to removing the maximum limit of $10 per
acre foot on the municipal and industrial ground water
charge and allOWing for tax import credit payments
to cities or districts importing water into the Santa
Clara County Flood Control and ""ater Conservation
District.
2. The Water Conservation Act of 1931 shall be amended to
include legislation as submitted by the Santa Clara
Valley Water Conservation District authorizing said
District to levy ground water charges.
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3. The amendments to the Santa Clara County Flood Control
and '.^Tater Conservation District Act and the~vFater
Conservation Act of 1931, as endorsed by this
resolution, should be enacted into law at the earliest
possible date so that the people of the districts
affected thereby can be assured, prior to May 6, 1963,
that the policies adopted hereby can be put into
effect.
PASSED AN D ADOPTED by the Board of Supervisors of the Santa
Clara County Flood Control and \Nater Conservation District this
4th day of March, 1963, by the following vote:
AYES:
Supervisors
T ,pv;n Ddla Maggiore Spangler M ehrkens Sanchez
NOES: Supervisors
None
ABSENT: Supervisors
None
Chairman of the Board of Supervisors
of the Santa Clara County Flood Control
and "I,'vater Conservation District
ATTEST: JEAN PULLAN I Clerk of
said Board of Supervisors
cJ2~" ~ t2<~ ...&./
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