That the Utility Authority:
A.  Approve and authorize the Executive Director to execute an agreement with the Municipal Water District of Orange County (MWDOC) for sharing consultant costs in the amount of $64,448 for the Utility Authority's expenses related to updating the La Habra 2025 Urban Water Management Plan (UWMP); and

B.  Authorize staff to issue a purchase order to MWDOC in an amount not to exceed $64,448 for updates to the La Habra 2025 UWMP.

In 1983, the California Legislature enacted the Urban Water Management Planning Act (Act). The law requires that every water purveyor that supplies more than 3,000 acre-feet of water per year, or that has 3,000 or more customers, such as the La Habra Utility Authority, adopt an Urban Water Management Plan (UWMP) every five years, demonstrating water supply reliability in normal, single dry, and multiple dry years. The UWMP integrates local and regional land-use planning, regional water supply, infrastructure, and demand management projects, as well as statewide issues of concern like climate change and regulatory revisions. The next update to the City's UWMP must be adopted and filed with the California Department of Water Resources (DWR) by July 1, 2026. The DWR compiles the information from all UWMPs in the State and submits a report to the legislature.

As many water purveyors in the Orange County area have similar water supply characteristics, regional water management agencies, location, climate history, and demographics, an economy of scale can be achieved by entering into a joint venture with 24 local participating agencies.  MWDOC and the participating agencies worked together to prepare a Scope of Work that was incorporated into a Request for Proposals. In response, two consulting firms submitted proposals which were reviewed by a panel comprised of representatives from MWDOC and several participating agencies.  Based on this evaluation process, Carollo Engineers, Inc. was selected as the consultant to prepare UWMPs for each participating agency.  

Staff recommends entering into an agreement with MWDOC to facilitate the completion of the 2025 UWMP.  The Authority's cost of $64,448 is derived from a base cost of $46,196 with additional, optional services in the amount of $18,252.  Additional services will include revisions to the City's Water Shortage Contingency Plan, and UWMP adoption support services.

There is no impact to the General Fund. There is sufficient funding within the adopted Fiscal Year 2025-26 Utility Authority's Operating Budget to fund the Authority's $64,448 cost for updates to the La Habra 2025 Urban Water Management Plan. By participating in this joint venture with 23 other Orange County water purveyors, the Authority will save approximately $10,000 compared to contracting with a consultant to develop a stand-alone plan.