CC 07-16-2024 Special Meeting Item No. 1. Cupertino Municipal Water System_Staff PresentationCity Council
Cupertino Municipal Water
System
Jimmy Tan, P.E.
Assistant Director of Public Works
CC 07-16-2024 Special Meeting Item No. 1
•Adopt Resolution 24-XXX authorizing the
City Manager to execute a lease
agreement with San Jose Water Company
for the operation of the Cupertino
Municipal Water System
Recommendation
•Cupertino Municipal Water System
•Request for Proposal
•Water System Lease Provisions
Agenda
Leased to San Jose Water until 2024Cupertino
Municipal
Water System
•Pipelines: Approx. 60 miles (2” to 20”
diameter)
•Reservoirs: 4 (three 2 MG; one 0.18 MG)
•Pump Station: 1 (5 pumps; 6,300 gpm)
•Wells: 2 (total production 1,100 gpm)
•Service Connections: Approx. 4,600
Municipal Water System
Lease Timeline
1997 2019 2021 2022 2024
Lease expires with
San Jose Water
Company
September 30, 2024
Extended Lease with
San Jose Water
Company for 2
additional years
February 25, 2022
First Amendment to
Amend and Restated
Agreement for Lease
of Water System
Executed
December 17, 2021
Amended and
Restated Agreement
for Lease of Water
System executed
December 17, 2019
Agreement for Lease
of Water System
executed with San
Jose Water Company
for 25 years
October 1, 1997
•Issued: July 31, 2023
•Mandatory Pre-Submittal Meeting:
•August 24, 2023
•Attendees:
•San Jose Water Company
•California Water Company
•California American Water
Request for Proposal
•Proposal Received: September 28, 2023
•San Jose Water Company
•Public Hearing: July 16, 2024
•New Lease Begins: October 1, 2024
Request for Proposal
•Experience with maintaining water systems
•Operating and maintaining Cupertino’s
Municipal Water System since 1997
•City is satisfactory with their performance
•Recommend contracting with San Jose
Water Company
San Jose Water Company
•Concession Fee
•Annual Investment Rent
•Franchise Fee
•Term
•Operations &
Maintenance
•Repair
•Capital Improvements
•Rates
•Reporting
•Drought
Water System Lease Provisions
•Adopt Resolution 24-XXX authorizing the
City Manager to execute a lease
agreement with San Jose Water Company
for the operation of the Cupertino
Municipal Water System
Recommendation
July 16, 2023
Questions?
Cupertino Municipal Water System