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CC SR 20230801 03 - ACLAD De-Watering Wells Funding RequestCITY COUNCIL MEETING DATE: 08/01/2023 AGENDA REPORT AGENDA HEADING: Regular Business AGENDA TITLE: Consideration and possible action to fund the reactivation of four City-owned dewatering wells within the jurisdiction of the Abalone Cove Landslide Abatement District (ACLAD). RECOMMENDED COUNCIL ACTION: 1) Approve an additional appropriation of $520,000 to fund the reactivation of four City-owned dewatering wells within the jurisdiction of the Abalone Cove Landslide Abatement District (ACLAD); and 2) Direct Staff to explore how the City can transfer financial responsibility of all City- owned dewatering wells within Abalone Cove to ACLAD. FISCAL IMPACT: The recommended Council action will require an additional appropriation of $520,000 from the Capital Infrastructure Program Fund in Fiscal Year 2023-24. Amount Budgeted: $0 Additional Appropriation: $520,000 Account Number(s): 330-400-8306-8802 VR ORIGINATED BY: Ramzi Awwad, Director of Public Works REVIEWED BY: Same as above APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. ACLAD Request to City for funding costs of reactivating four City dewatering wells (page A-1) B. April 5, 1994 Agreement between ACLAD and the Rancho Palos Verdes Redevelopment Agency (page B-1) C. May 2, 2000 Agreement between ACLAD and the Rancho Palos Verdes Improvement Authority (page C-1) D. December 19, 2017 City Council Staff Report (page D-1) E. City Council Resolution 80-3 (page E-1) 1 BACKGROUND: In September 1978, the City Council was presented with information regarding movement along Palos Verdes Drive South and Narcissa Drive associated with the reactivation of an old landslide, the Abalone Cove Landslide. The City Council immediately established a building moratorium in the area and authorized a series of geological investigations to ascertain the problem and identify potential solutions. In March 1979, the City Council hired Robert Stone and Associates to perform a comprehensive hydrogeologic investigation to determine the feasibility of dewatering the landslide. Based on the investigation’s findings, seven dewatering wells were installed to remove water and lower the groundwater level. On January 2, 1980, the City Council adopted Resolution 80-3, which created the framework for the Abalone Cove Landslide Abatement District (ACLAD). ACLAD was created by the City and property owners in the Abalone Cove community to mitigate and abate the Abalone Cove landslide. Prior to the formation of ACLAD, property owners within the Abalone Cove area agreed to fund the drilling of six dewatering wells, which came into operation in mid-April 1980. Following the formation of ACLAD in 1981, the property owners transferred those wells to ACLAD. In 1987, the Landslide Reimbursement and Settlement Agreement was reached between the City, the Rancho Palos Verdes Redevelopment Agency (RDA), and Los Angeles County in connection with the Horan lawsuit. As a result, the Joint Powers Improvement Authority-Abalone Cove (Improvement Authority) and the City primarily funded certain maintenance costs within the Abalone Cove Landslide area. In September 1990, the City created the Improvement Authority to install, construct, and maintain public capital improvements necessary to abate geologic hazards in the City and to accept financial assistance from other public agencies to provide for the implementation of the 1987 Reimbursement and Settlement Agreement. On April 5, 1994, the RDA entered into an agreement (Attachment B) with ACLAD whereby the RDA agreed to fund and install five new dewatering wells. Among other things, the agreement stated that the RDA shall be financially responsible for the operation, repair, maintenance, and monitoring of its existing dewatering wells, the five new dewatering wells, and the facilities connecting the RDA wells to the existing drainage network. Additionally, the agreement provides for ACLAD to perform the work with the RDA reimbursing the cost. Finally, the agreement includes a clause allowing the RDA or ACLAD to terminate the agreement upon a 30 -day notice. The April 5, 1994 agreement was transferred to the Improvement Authority. 2 On May 2, 2000, Improvement Authority entered into an agreement (Attachment C) with ACLAD whereby Improvement Authority had sole discretion to reimburse ACLAD for certain of ACLAD’s expenditures that are directly related to maintaining dewatering wells and discharge lines not included within the scope of the April 5, 1994 agreement, the amount of which is solely to be determined by Improvement Authority upon request by ACLAD. The agreement between the Improvement Authority and ACLAD indicates that funding requests by ACLAD for the maintenance of the City-owned dewatering wells must be received by March 1st for the ensuing fiscal year . Thus, on January 19, 2023, the City received a written request (Attachment A) from ACLAD to fund the cost to reactivate four City-owned dewatering wells, in the amount of $520,000. The City Council is now being asked to consider ACLAD’s request. DISCUSSION: ACLAD’s written request to fund the cost to reactivate four City-owned dewatering wells located seaward of Palos Verdes Drive South is in the amount of $520,000 and intended to reduce slide activity and therefore reduce City maintenance costs of Palos Verdes Drive South and reduce property damage to residents’ homes. The requested amount of 520,000 is an estimate based on recent ACLAD costs to reactive dewatering wells in 2022. The actual final cost may differ from the estimate, depending on bid results. The cost of these dewatering wells was not included in the adopted FY2023 -24 CIP budget because at the time the request was received, Staff was evaluating the request for compliance with existing agreements. Therefore, Staff now recommends the City Council approve an additional appropriation of $520,000 from the Capital Infrastructure Program Fund’s projected Unrestricted Fund Balance of $29.1 million. Since receiving the request, Staff and the City Attorney have been reviewing the request and the City’s legal obligations with respect to funding the City owned dewatering wells in ACLAD. Staff recommends funding the ACLAD request to reactive the four City dewatering wells to immediately address the increasing rate of movement in the Abalone Cove Landslide. Additionally, Staff recommends the City Council direct Staff to explore how to transfer financial responsibility of all wells within Abalone Cove to ACLAD as originally envisioned when the district was formed in 1981. Geological Hazard Abatement Districts (GHAD), similar to ACLAD, are generally formed for complete autonomy on the oversight and responsibilities associated with addressing landslide mitigation efforts. ADDITIONAL INFORMATION: In addition to being a GHAD, ACLAD is an assessment district. Using a formula based on the size of a lot and its improvements, each property owner in ACLAD is assessed annually to pay for the cost of the various abatement facilities and ACLAD administrative costs. Each property owner receives an annual bill, which can be paid directly to ACLAD 3 or be paid as part of the property owner's property tax bill. The City is the largest property owner within ACLAD and provides the largest annual assessment (Attachment D). Aside from investment earnings, which have been used to financially support the Improvement Authority since its inception 30 years ago, the primary subsidy has come from the City’s General Fund. Through the annual budget process, the General Fund subsidy is determined by the estimated monitoring, operations, and maintenance needs identified by ACLAD, and the shortfall after estimating the projected interest earnings revenue generated). In accordance with Landslide Mitigation Measures adopted by the City Council in December 2012 and in addition to the subsidy stated above, the City Council made a financial commitment to fund the installation of new wells and the re -drilling of existing wells on a reimbursement basis within the District from Fiscal Year 2013-14 through FY 2015-16 (Attachment D). Grant Opportunities GHADs are considered governmental agencies and may be eligible for grants to assist financially on efforts to mitigate landslides. The City is working with ACLAD to identify grant opportunities through FEMA’s Hazard Mitigation Grant Program (HMGP) and/or Building Resiliency Infrastructure Community (BRIC) grant. At this time, the City is collaborating with ACLAD on identifying which, if any, grant application may be pursued to assist in funding new dewatering wells and other new landslide mitigation measures with the Abalone Cove area. ALTERNATIVES: In addition to the Staff recommendation s, the following alternative actions are available for the City Council’s consideration: 1. Approve an appropriation of $520,000 to fund reactivation of four City owned dewatering wells within the jurisdiction of the ACLAD and do not direct Staff to issue the required notice and terminate the May 2000 agreement with ACLAD, thereby continuing the agreement making the four reactivated dewatering wells a continuing financial responsibility of the City. 2. Do not appropriate $520,000 to fund reactivation of four City owned dewatering wells within the jurisdiction of the ACLAD and instead direct Staff to issue the required notice and terminate the May 2000 agreement with ACLAD, making all wells within ACLAD the financial responsibility of ACLAD. 4 A-1 A-2 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx Page 1 wsp.com 2023-01-19 Project No. CM20167830 Abalone Cove Landslide Abatement District P.O. Box 3675 Palos Verdes Peninsula, CA 90274 Attention: Tim Kelly and Michael Barth Subject: Review and Recommendations Re: “City” Dewatering Wells Seaward of PV Drive South Seaward of the Abalone Cove Residential Area, Rancho Palos Verdes, California 1.0 Introduction As requested, available file information, including site review and photo- documentation of the existing dewatering (DW) well conditions seaward of PV Drive South, has been completed. As discussed at recent ACLAD Board meetings, the purpose of this review was to develop recommendations for planned replacement/relocation of the previous DW wells in the subject area. This area comprises the toe or lowermost portion of the ancient Abalone Cove landslide, which is generally outside of the Abalone Cove residential area, and the existing DW wells in this area are known as “City” wells. WSP understands that ACLAD will prepare a budgetary cost estimate for implementation of the recommended replacement/relocation of the subject DW wells for the use by the City of Rancho Palos Verdes (City) in their budgetary planning. 2.0 City Well Sites Seaward of Palos Verdes Drive South (PV Drive) In January 2022 informal reconnaissance (recon) and photo-documentation of the of the previous/existing wells in the subject area was performed. Consistent with a graphic map prepared by Dr. Bob Douglas in 2006, there are four (4) DW well sites seaward of PV Drive South (i.e., WW-9, WW-18, WW-19 and WW-20). A geologic map of the lower Abalone Cove landslide (ACLS) area that was prepared for the City in 1983 by Robert Stone Assoc. was used as a basemap to locate the wells more accurately using a combination of information from Google Earth and from the recon photographs of the well sites (refer to attached copy of the 1983 Geologic Map). Following is a brief summary of available information/observations at each of these four well sites. A-3 Page 2 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx 2.1 WW-9 Dewatering Well Site As suggested by the numbering sequence, WW-9 was the first of these four wells to be constructed, probably in about 1985. Existing wellhead casing is present at three (3) locations in the WW-9 well site area (refer to attached well location map). WW-9A consists of steel well casing that is located immediately adjacent to the existing power pole, and is believed to be the oldest well at that location. WW-9B is believed to be the second DW well installed at the WW-9 well site, and also consists of steel casing. WW-9C consists of plastic casing and appears to be the most recently active DW well at the site because of the condition and the presence of a discharge line and pump in the PVC well casing. ACLAD representatives performed downhole camera logging of WW-9C in March 2022 that indicated a water level at a depth of 87 feet and a depth of 134.5 feet to the top of the pump in the casing (i.e., the groundwater column in the casing extends about 47.5 feet above the top of the pump). A “00000” reading on the electrical meter indicates the power is on/live at that location. A large, open void/hole in the ground immediately downslope from WW-9A and WW-9C appears to coincide with a large/long ground crack that is shown at that location on the attached 1983 Geologic Map. Recent compilation of available well records between 1997 and 2020 indicate that dewatering at the WW-9 well site was occurring more or less continuously between January 1997 and August 2000, typically averaging about 1,000 gallons per day (gpd). The generalized discharge rates shown for the wells on Dr. Douglas’ 2006 graphic indicate an average discharge rate of <1,000 gpd for WW-9. A similar updated graphic presented in Dr. Douglas’ 2013 Special Publication (Figure 52, AEG No. 24, 2013) shows “no production” from WW-9. This and other available information suggest that significant pumping from the WW-9 well site occurred between about 1985 and 2000 and active dewatering has likely not occurred at the WW-9 well since August 2000. 2.2 WW-18 (Archeology) Dewatering Well Site There is no information available regarding the original construction of WW- 18, but the available 1997 -2020 well records indicate dewatering at the WW- 18 well site has been occurring more or less continuously between January 1997 and December 2020 (23 years). The existing wellhead is in a locked wooden well box in close proximity to the associated power pole/electrical meter for the well, suggesting that the existing well is the original/only well at the WW-18 well site. There appears to be no power to the electrical meter at the present time (no readout shown), indicating the DW well was not active at the time of the January 2022 recon. No specific information is known to be available regarding when, or why active pumping of WW-18 ceased. A-4 Page 3 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx Information in Bob Douglas’ 2013 publication on the Portuguese Bend area landslides (AEG Special Publication No. 24) indicates that output from the well averaged between “a few thousand to tens of thousands of gallons per day, depending on the storm discharge in Altamira Canyon”. The maximum average discharge in the recently compiled 1997 to 2020 well records was 29,820 gpd for January 2011, and the last available reading for December 2020 was 5520 gpd. On Figure 55 of Dr. Douglas’ 2013 publication, he indicates that the pump in WW-18 is located at an elevation of 35 feet below sea level (i.e., at a depth of about 100 feet below the ground surface). Review/measurements by ACLAD representatives in November 2022 indicated the well casing was open to a depth of about 75 feet, and a water surface was at a depth about 57 feet. Additional evaluations that included use of a generator to try activating the existing pump, and also an attempt to remove the discharge line/pump assembly, were performed in December 2022 without success. ACLAD representatives believe the pump is encased in mud and/or obstructed by a deformed section of casing well below a depth of 75 feet, and they have concluded that it is not practical to re- develop the existing well. 2.3 Original WW-19 Dewatering Well Site There are apparently no records available regarding the original construction or pumping discharge history of WW-19. The remnants of the wooden well box and the PVC plastic wellhead casing are immediately adjacent to the associated power pole/electrical meter for the well. Surprisingly, a reading of “00000” on the electrical meter indicates the power is currently on/live at that location. The meter appears to be relatively new, and it is possible the power is periodically being used for other purposes. There was no readily available evidence to suggest that any replacement wells had been constructed in the vicinity of the existing well. The attached 2006 graphic prepared by Dr. Douglas indicates discharge from the well was less than 1,000 gpd, but the updated version of his graphic (Figure 55, 2013) indicates “no production”. There is no discharge recorded for the original WW-19 well site in the previously referenced/compiled 1997-2020 well records. However, in early 2012 a new DW well WW-19 was apparently constructed at the easterly end of upper Narcissa Drive. Available well records indicate that pumping of the new WW-19 well began in Feb. 2012, and continues to the present day. Although there is no specific information available, the condition of the original WW-19 wellhead and other available information suggest the well has been inactive for a very long time, and was probably taken offline around the same time as the WW-9 well site in the year 2000. A-5 Page 4 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx 2.4 Original WW-20 Dewatering Well Site No records are apparently available regarding the original construction or pumping discharge history of WW-20. The wooden well box and the PVC plastic wellhead casing are immediately adjacent to the associated power pole/electrical meter for the well. There appears to be no power to the electrical meter (no readout shown), and the condition of the wellhead and meter suggests there has been no active pumping at that location for a very long time. The attached graphic prepared by Dr. Douglas in 2006 shows the approximate location of the original WW-20 well site in the upper map, but does not include that well in the lower plot showing the generalized discharge rates. This lack of information and the deteriorated condition of the wellhead suggest the original WW-20 well had a relatively short lifespan as a DW well. Similar to the original WW-19 well, the original WW-20 well designation was co-opted for a new DW well that was apparently constructed in early 2011 near at the easterly end of Sweetbay Road. The new WW-20 DW well was originally referred to as the “Yamaguchi” well in the available well records, which indicate it has been operating more or less continuously from 2011 to the present day. 3.0 Observed Upslope Progression, Mitigation, and Continuing Landslide Movement The Abalone Cove landslide, and other large landslides in the Portuguese Bend area are gravitational failures that are sliding along relatively extensive, weak layers in the underlying bedrock that are inclined toward the ocean. Gravitational sliding along these weak layers was precipitated by erosion of the bluffs and removal of support along the ocean shoreline. Similarly, continuing movement of the lower landslide area (i.e., seaward of PV Drive South) removes support, and at least some portion of this movement will ultimately translate upslope into the Abalone Cove residential area. Seaward movement of the slides is exacerbated by the presence of groundwater levels/pressure within the slide mass that reduce the frictional resistance to sliding. Periods of heavy rainfall correlate with significant increases in groundwater levels/pressure and associated increases in the rate of landslide movement. Significant displacement of the lower ACLS was reportedly first recognized in February 1974, affecting the southwesterly portion of the landslide area near the coast. With loss of support along the coast (i.e., displacement along the toe of the landslide) the landslide movement slowly progressed upslope Ehlig, 1982). Dr. Ehlig’s review of LA County survey data for the area indicated that in November 1977 the lower portion of the ACLS had moved seaward about 3 to 5 feet, but the displacement did not extend into the upslope area above PV Drive South until April-May 1978 (i.e., about 4 years after significant movement was observed in the coastal section of the A-6 Page 5 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx landslide). In conjunction with heavy seasonal rains in 1977-1980, significant slide movement and associated damages continued upslope until February 1980, at about the time Dr. Ehlig’s DW well efforts began (Ehlig, 1982). Dr. Ehlig’s review of LA County survey data for August 1980 indicated that ultimately about 20 feet of displacement had occurred in the area near the coast, 14 feet had occurred in the vicinity of PV Drive South, and about 4 feet had occurred near the toe of the ascending slope along lower Narcissa Drive i.e., near the toe of the headscarp for what was identified as the “active” ACLS). Between 1979 and early 1982, Dr. Ehlig evaluated, developed and directed installation of a DW well system to mitigate the landslide movement. Dewatering that began on March 3, 1980 removed approximately 69 million gallons of groundwater water during the first 22 months of operation, lowering the water level an average of about 23 feet in the area north of Palos Verdes Drive South (Ehlig and Bean, 1982). During this time period, steadily decreasing landslide movement was measured at two ground surface monitoring stations that were established by Dr. Ehlig. Between late 1981 and early 1982 (just prior to preparation/publication of the Ehlig and Bean professional paper), no detectable movement was recorded at these monitoring stations (Ehlig and Bean, 1982). Pursuant to the Beverly Act 1979, the Abalone Cove Landslide Abatement District (ACLAD) was formed in January 1981 to provide a mechanism for financing continuing maintenance and potential enhancements of the DW well system in perpetuity. In the early 1980s, the limits of significant ground movement, deformation and damages were mapped and identified by Dr. Ehlig as the “active” Abalone Cove landslide. These limits/slide boundary approximately coincide with the most well-developed topographic evidence of recent landslide activity in the ancient Abalone Cove landslide area, which extends about 3,000 feet further upslope from the mapped top or head of the “active” slide area. Limited review of GPS monitoring results for survey stations within, and upslope from the “active” slide area over the previous 25 years provide strong evidence that long-term, slow creeping movement of the Abalone Cove landslide has progressed upslope from the previously identified “active” slide area into the upper Abalone Cove area (Wood, 3/2/2021). These GPS survey results are consistent with a significant increase in utility breaks, leaks, and repairs over a wide area of the upper Abalone Cove area in the last several years. Similar to previous observations of the “active” landslide, the average rate and magnitude of measured displacements indicated by the GPS results tends to decrease upslope, but the limited number of monitoring A-7 Page 6 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx stations reviewed at that time did not identify an upslope limit of ground movement. 4.0 Recommendations Regarding Existing “City” Well Sites The compiled information indicates that uncontrolled movement of the lower ACLS ultimately progresses upslope to affect the Abalone Cove residential area. Restoration of the “City” dewatering program in the lower ACLS area, and possibly other mitigation measures to control landslide movement, should be implemented as soon as is practicable. WW-18 - The WW-18 well has a long history of productive dewatering (23 years +) that apparently ended sometime in the last 20 months, possibly due to lack of electrical power? The previous discharge output of about 5,000 – 6000 gpd over the last several years and substantial increases in the historic well output that have been observed during storm flow in the nearby section of Altamira Canyon, puts WW-18 at the top of the list for restoration (refer to Section 5.0 below). WW-9 - The WW-9 well site has apparently been inactive for about 22 years and does not appear to have been particularly productive when it was operating (typically about 1,000 gpd or less in the available records). Some consideration should be given to test pumping the WW-9C well, but that is not considered to be a high priority. As shown on the attached 1983 Geologic Map, there is an abundance of active ground cracks, fissures and/or scarps in the area of the WW-9 well site, which increases the potential for relatively short-term damage/displacement of a new well. The apparently poor performance of the previous wells and the potential for short-term damage make this area a poor candidate for well replacement/relocation. Refer to Section 5.0 for discussion regarding a possible alternative location in the vicinity. WW-19 - The limited extent of available information regarding the construction and pumping history at the WW-19 well suggests it had a relatively short and lackluster term of service as a DW well (<1,000 gpd?). Based on the apparent poor performance of WW-19, abandonment of this inactive DW site is recommended. Refer to Section 5.0 for recommendations regarding replacement/relocation of this well in a nearby area. WW-20 - Information regarding the WW-20 well is also very limited. This lack of information and the deteriorated condition of the wellhead and electrical meter suggests it was a poor producer and has not been active for very long time. Abandonment of the inactive WW-20 DW site is, therefore, recommended. Refer to Section 5.0 for recommendations regarding replacement/relocation of this well in a nearby area. A-8 Page 7 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx 5.0 Recommended Dewatering Well Replacement/Relocation Areas Replacement of wells WW-19 and WW-20 at DW sites more likely to provide better long-term performance in the toe region of the ACLS is recommended. Based on the long-term performance and favorable location of DW well WW-18, any planned replacement wells for WW-19 and WW-20 should be relocated on to the same long terrace level where WW-18 is located (i.e., above/behind the coastal bluff at ~elevation 60-65 feet). The general areas of recommended replacement/relocation for existing wells WW-18, WW-19, and WW-20, are shown on the attached 1983 Geologic Map. The available inclinometer data indicates that beneath the long terrace level that comprises the well replacement area, the base of the active ACLS is about 85 to 90 feet below sea level, and beneath the existing coastal bluff the slide base ramps up at a moderate angle to daylight beneath the beach in the intertidal zone. This subsurface configuration in the toe area requires the slide to be pushed uphill a vertical height of about 85 to 90 feet, providing a major component of the resistance to continued slide movement. Lowering the groundwater in this area increases the effective friction along the base of the slide, providing resisting forces that are disproportionally higher than the effects of a similar volume of dewatering in the higher portions of the slide area (i.e., where the landslide mass is moving downhill). The proposed well relocation areas are also situated on the westerly and easterly sides of Altamira Canyon, a perennial source of recharge to the local groundwater levels that have been observed to increase dramatically during heavy rainfall/storm runoff. The apparent long-term performance of WW-18, the topographic consistency of the subject terrace level, and available inclinometer results in the local area, also indicate a relatively low potential for subsidiary internal landslide boundaries/shear surfaces that could disrupt proposed DW wells in this area. The presence of numerous active ground cracks, fissures and/or scarps in the area surrounding the WW-9 well site severely constrain possible areas for replacement/relocation of the well. However, as shown on the attached 1983 Geologic Map, there is a potential replacement/relocation area along the seaward side of PV Drive South that appears to be relatively unaffected by internal landslide deformation and is located adjacent to Altamira Canyon. However, the presence of utilities in the road shoulder and other possible access constraints may preclude construction of a DW well in this area. Proposed replacement/relocation of WW-9 is considered tentative, pending future evaluation of pertinent access/use constraints. A-9 Page 8 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx 6.0 Recommended Well Depths and Other Parameters in Replacement/Relocation Areas The only water pressure/levels that effect the landslide stability are above the base of the of the active slide (i.e., in the absence of any excess/artesian pore pressure beneath the landslide mass). Water pressure measurements performed between 1988 and 1993 at numerous locations/depths in the vicinity of the proposed well replacements, both within and below the active slide, showed no evidence of excess/artesian water pressure beneath slide Bing Yen & Associates [BYA] on behalf of the City, 1988-1993). Consistent with the design of Dr. Ehlig’s original DW wells, the proposed replacement wells are intended to extend to, but not through the base of the active slide to minimize the potential for damage to the wells from landslide displacement. Inclinometers were also installed by BYA at each of the water pressure/level monitoring stations in 1988. These inclinometer installations allowed precise measurements of horizontal slide movement to be made at depth intervals of 2 feet through and below the full depth of the active landslide between 1988 and 1993. These measurements, therefore, provide the depth to the base of active landsliding at each of these inclinometer locations. This information was used to prepare projected/estimated subsurface elevation contours of the base of the active slide in the subject area (refer to attached subsurface elevation plot on the BYA inclinometer/piezometer location map). Displacement plots of the inclinometer measurements suggest a low potential for the presence of high-angle subsidiary shear surfaces that could damage the wells in the vicinity of the proposed replacement well areas for WW-18, WW-19, and WW-20. There is no comparable monitoring information available for the tentatively proposed WW-9 replacement well area. The recommended well depth and the associated parameter estimates for each of the proposed DW well replacement/relocation areas are presented in the table below. Proposed DW Replacement Well Area Approximate Ground Elev. ft.) Estimated Elev. Of Slide Base ft.) Estimated Depth To Slide Base ft.) Recommended DW Well Depth ft.) WW-9 152 -30 182 190 WW-18 63 -85 148 155 WW-19 55 -55 110 115 WW-20 63 -85 148 155 A-10 Page 9 P:\167830\03 DocCtrl\Geotechnical Reports\Review and Recommendations Re- Existing City Dewatering Wells Seaward of PV Drive South\Letter Report_011923.docx The recommended well depths represent the drilled depth of the well to allow assessment of any observable changes in the drilling conditions at the estimated depth to the base of the landslide, and to provide some extra depth for any drill cuttings/slough that cannot be efficiently removed from the bottom of the drillhole. Pending observations/measurements at the time of drilling/well construction the well casings should not extend below the estimated depth to the base of the landslide at each location. 7.0 Closure and General Conditions This report is based on the project as described and the data obtained from WSP’s site observations, reported conditions by others, and from the available referenced documents. The conclusions and interpretations do not reflect possible undetected variations that may occur between the reported observations, data points, or findings. WSP should be notified of any pertinent difference or change in the reported site conditions, or if site conditions are found, or are known to exist, that differ from those described in this report. This report has not been prepared for use by parties other than the Abalone Cove Landslide Abatement District, or their designated representatives, or for projects or locations other than that described herein. This document may not contain sufficient information for other parties or other purposes. This report has been prepared in accordance with generally accepted engineering geologic practices and makes no other warranties, either express or implied, as to the professional advice or data included. Sincerely yours, WSP USA Environment & Infrastructure Inc. Scott T. Kerwin Senior Associate Engineering Geologist STK Attachments: 1.Annotated (STK) 1983 Geologic Map Showing Existing and Proposed DW Well Locations 2.2006 Well Location/Discharge Graphic Maps, Dr. Douglas 3.Generalized Well Discharge Graphic Map, Figure 52, Douglas, 2013 4.Annotated (STK, projected/estimated structure contours) BYA Inclinometer/Piezometer Location Map (BYA, 1993) A-11 ATTACHMENT 1. ANNOTATED (STK) 1983 GEOLOGIC MAP SHOWING EXISTING AND PROPOSED DW WELL LOCATIONS A-12 PLATE I I I lo0teu't&J I or ".. . ",""" ., ''r{ r$ ' c r !\! lrb ..... * .,"..,."""..,.. .",".,. BATJCHO PALOS VERO€S r6.istlo.nrc!o.r**! a E r!r(r Fr rirlr*, h/eu- lettt) tut4/AfE&r/6- D/3ZH44A! Lile PLATE I ll*n.,*,,,*u*o. 4 ] t/O.v4L m.,rt 4/ ),../o.-/.r, ( d/:1// ,. . '. : a-. \/i 19,! q , i 183 GEoLoG C MAP O * ai, i*yry "N r** a?,:i'-,.tAt-/, A-13 ATTACHMENT 2. 2006 WELL LOCATION/DISCHARGE GRAPHIC MAPS, DR. DOUGLAS A-14 From Bob Douglas presentation to RPV City Council wuB. d wwre a WWga o wwl8 1 owwl4 r-) o Ycr O >20,000 gal/day E >6,000 gal/day O {6,000 gal/day O <1,000 gal/day ACLAD Dewatering Wells 2006 19Bo wells Wells added after 1985 xro Fxo! 6$ zo cIErmIo c> lm ao3soF 0 A-15 ATTACHMENT 3. GENERALIZED WELL DISCHARGE GRAPHIC MAP, FIGURE 52, DOUGLAS, 2013 A-16 A-17 ATTACHMENT 4. ANNOTATED (STK, PROJECTED/ESTIMATED STRUCTURE CONTOURS) BYA INCLINOMETER/PIEZOMETER LOCATION MAP (BYA, 1933) A-18 t-==o-l' a- 4G -----r*t-I rilntr rEnI-.. (|, q.G lEJlf,rtltll!frlgl. rt.|.lllt,lICrlIr mtolltitr ra lrfr rGllat r a&Ilr tm.lgtltt uml t [flE3l Earll'l'** rut7arg d'ttf e { r'dT/t# trb @ 6'tOl : EEt/' AJ7 ' dot*? * t*t*s a2e nnd frsr4df|; 6o -t,rrt4t& i*GlY*P' *'t *on'co'fi tcfrf 4rrse.ft {co*e O pd-f,# ar ft *t*i GEA( 3tL) fd,a^*gzt -SXtlAur€ Coillir/YLr 4',/ 6/8€ ol Actuvt? 1'4nPsza4 stK !/.'oP'tt loa' I ta\ I I t I\-----1 oc,f il lcl-t . rrl9s lA' l:IIErrtrlrEL.rcGr.mtl aDrl.rrxElrrt froWefl€t <Gnu zuZE (orno,t,g a,,t 7(,Xr4i oF lgazeryg drur /dn/drz /'l€ Y, *'f".b:.i r\ i'[ r?lti iru ffi,; r" di\, a{' \lxs \ d-*/ rBtlrc3rC.G E.ITEB,'I![IE3TDOlf,gruI T IGEI BffiI ftefA< E /6€; C yA ["€/''"'';?''t"t€7ti<? /4-:.te A-19 a 1 y AGREEMENT This Agreement is entered into this 5th day of April 1994 , between the Rancho Palos Verdes Redevelopment Agency (hereinafter referred to as "RDA") and the Abalone Cove Landslide Abatement District (hereinafter referred to as "ACLAD") . RECITALS WHEREAS, ACLAD has installed a network of pumps and wells to remove water from the Abalone Cove Landslide; and WHEREAS, ACLAD also has installed and maintains a drainage system to remove the water which is generated by its dewatering wells; and WHEREAS, consulting Geologist, Dr. Perry Ehlig, has- made a recommendation to RDA to install five additional dewatering wells to remove water from areas within the Abalone Cove Landslide in an attempt to stop landslide "creep" causedbytherecentheavyrains; and WHEREAS, pursuant to Dr. Ehlig's recommendation, RDA wishes to install five additional dewatering wells, at RDA's expense, and to use the existing ACLAD drainage system to discharge the water which will be produced by the five new dewatering wells; 1111 NOW, THEREFORE, RDA AND ACLAD AGREE AS FOLLOWS: 1. RDA may connect its five new dewatering wells to the existing ACLAD drainage network. All costs associated with the installation of the five new dewatering wells and connection to the existing drainage network including, without limitation, drilling; installation of new drain pipes; acquisition of easements from affected property owners; repairs or remediation of any problems caused by the installation of the new wells, pipes and connections; and any clean-up after the work is completed, shall be borne by RDA. 2 . RDA also shall be financially responsible for the operation, repair, maintenance and monitoring of its existing dewatering wells, the five new dewatering wells and the facilities connecting the RDA wells to the existing drainage network. 3 . Except as provided in Section 7 of this Agreement, none of the costs referred to in Sections 1 and 2 of this Agreement shall be borne by ACLAD. 4. Within thirty (30) days of completion of the installation of the new facilities referred to in Section 1 of this Agreement, RDA shall provide to ACLAD a map which demonstrates the location of the five new dewatering wells, the facilities which will be installed to carry the water to the B-1 111- 110 existing ACLAD drainage network, and the connections of the new facilities to the existing drainage system. 1111 5. If the output from the five new dewatering wells causes the volume carried by all, or any portion, of ACLAD's existing drainage system to exceed its capacity, and if RDA chooses to continue using ACLAD's existing drainage system to discharge the water produced by the new dewatering wells, then RDA will bear the cost of designing and improving the existing ACLAD drainage system so that it will have the capacity to accept the output from the new dewatering wells in addition to the output from the existing dewatering wells. 6. ACLAD shall bear the cost of maintenance and repair of any drainage facilities which serve only dewatering wells owned by ACLAD, . and RDA shall bear the cost of maintenance and repair of any drainage facilities which serve only dewatering wells owned by RDA. 7. ACLAD and RDA shall share the cost of maintenance and repair of any drainage facilities which serve both ACLAD wells and RDA wells. These costs shall be shared proportionally and shall be based upon the annual output of the wells which are servedby the particular drainage facilities. By way of example, a particular drainage facility discharges water produced from five dewatering wells; three of the wells are owned by ACLAD and two of the wells are owned by RDA. To compute each entity's share of the annual maintenance or repair cost of the drainage 110 facilities which serve those five wells, a percentage will be determined by dividing the total output of all five wells into the output of the wells owned by the particular entity. Annually, ACLAD and RDA shall estimate the total cost of repairing and maintaining the drainage facilities which serve wells owned by both entities and each entity's share of that cost. In April, 1994, and in January of each calendar year after 1994 that this Agreement is in effect, RDA shall deposit with ACLAD a sum of money which is equal to RDA's estimated share of the annual maintenance and repair cost for that year. At the conclusion of the calendar year, ACLAD and RDA shall determine the actual cost of maintenance and repair and each entity's share of the cost, based on the formula set forth in this Section 7 . If the estimated amount paid by RDA to ACLAD exceeded RDA's actual share of the maintenance and repair cost, then ACLAD shall refund the difference to RDA or apply the difference to RDA's share of the estimated cost for the following year. If the estimated amount paid by RDA to ACLAD is less than RDA's actual share of the maintenance and repair cost, then RDA shall pay the difference to ACLAD within thirty (30) days of the date of the determination of the actual amount. B-2 7 f 8. ACLAD shall monitor and maintain all of the dewatering wells owned by RDA which are on property within the 1111 Abalone Cove Landslide. Annually, ACLAD and RDA shall estimate the cost of labor for the monthly monitoring and maintenance work. This sum is currently estimated to be $200. 00 per month or 2 ,400.00 per year. In April, 1994, and in January of each calendar year after 1994 that this Agreement is in effect, RDA shall deposit with ACLAD a sum of money which is equal to the estimated cost of labor for the monthly monitoring and maintenance of the dewatering wells during that year. At the conclusion of the calendar year, ACLAD and RDA shall determine the actual cost of the monitoring and maintenance work. If the estimated amount paid by RDA to ACLAD exceeded the actual cost of the monitoring and maintenance, then ACLAD shall refund the difference to RDA or apply the difference to RDA's share of the estimated cost for the following year. If the estimated amount paid by RDA to ACLAD is less than the actual cost of monitoring and maintaining the RDA dewatering wells, then RDA shall pay the difference to ACLAD within thirty (30) days of the date of the determination of the actual amount. 9. If any of RDA's wells require repair, and ACLAD is willing to make such repairs, ACLAD shall first advise RDA of the need to make the repairs and the Estimated cost of the repairs. 1111 If RDA authorizes ACLAD to perform the repair work, RDA shall reimburse ACLAD for the cost of the repairs. 10. The term of this Agreement shall be from the date first written above until terminated by one or both of the parties pursuant to the provisions of Section 11. 11. Either ACLAD or RDA may terminate this Agreement byprovidingnot g• • less than thirty (30) days notice in writing to the other party. 12 . This Agreement shall be interpreted under the laws of the State of California. 13 . This Agreement may be amended by the parties, provided that said amendment is in writing and executed by both parties. 14. This Agreement contains the entire agreement between the parties hereto. No promise, representation, warranty, or covenant not included in the agreement has been or is relied upon by any party hereto. B-3 A 411 15. Each provision of this Agreement is separate, 1111 distinct and individually enforceable. If any section or portion of this agreement is found to be invalid, such findings shall not affect the validity of the remainder of the Agreement, which shall continue in full force and effect. 16. An action arising from the terms and provisions of this Agreement shall entitle the prevailing party to recovery of reasonable attorneys' fees and court costs. 17. All notices pertaining to this Agreement shall be in writing and addressed as follows: If to RDA: Rancho Palos Verdes Redevelopment Agency 30940 Hawthorne Boulevard Rancho Palos Verdes, California 90274- 5391 Attention: Executive Director If to ACLAD: Abalone Cove Landslide Abatement District P.O. Box 7000-169 Rancho Palos Verdes, California 90274-5391 Attention: Executive Director IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first written above. 111/ Dated: April 5, 1994 Rancho Palos Verdes Redevelopment Agency i J2/1 By. C Chairman YKuykendall ATTEST: 16 ) 1 Agency Secretary Dated: 7007/ Abalone Cove Landslide Abatement District By: 4 AittIr/ airman Whitmore ATTES lt District Clerk B-4 AGREEMENT BETWEEN THE RANCHO PALOS VERDES IMPROVEMENT AUTHORITY AND THE ABALONE COVE LANDSLIDE ABATEMENT DISTRICT This Agreement is entered into this 2nd day of May , 2000, between the Rancho Palos Verdes Improvement Authority (hereinafter referred to as "Authority") and the Abalone Cove Landslide Abatement District (hereinafter referred to as "ACLAD"). RECITALS WHEREAS, ACLAD has installed a network of pumps and dewatering wells to remove water from the Abalone Cove Landslide; and WHEREAS, ACLAD also has installed and maintains a drainage system to remove the water which is generated by its dewatering wells; and WHEREAS, the Rancho Palos Verdes Redevelopment Agency Agency") also has installed a network of pumps and wells to remove water from the Abalone Cove Landslide; and WHEREAS, pursuant to an Agreement between ACLAD and Agency, dated April 5, 1994, ACLAD allowed Agency to connect some of its dewatering wells to discharge lines owned by ACLAD; and WHEREAS, pursuant to the April 5, 1994 Agreement, Agency and ACLAD agreed that ACLAD would maintain certain of Agency's dewatering wells and that Agency would reimburse ACLAD annually for the cost of maintaining Agency's dewatering wells and any discharge lines into which Agency's wells drain, as set forth in said Agreement; and WHEREAS, pursuant to the provisions of the Reimbursement and Settlement Agreement between .the County of Los Angeles, the City of Rancho Palos Verdes and Agency, certain monies (One million dollars) were deposited in a fund that is administered by Authority to maintain landslide abatement improvements; and WHEREAS, the Rancho Palos Verdes Redevelopment Agency has assigned to the Authority its obligations to ACLAD under the terms of the 1994 Agreement; and 000502 cwl L:\voll\cwl\0691413.2.DOC (2) C-1 WHEREAS, ACLAD has requested that Authority use some of the interest earned on the $1 million fund to pay for the costs incurred by ACLAD to maintain ACLAD's dewatering wells and discharge lines so that ACLAD can use the funds that it obtains from the annual assessments, which ACLAD imposes on owners of property within the District, to install new dewatering wells and other capital improvements or facilities to abate the landslide and enhance the stability of the land within the District; and WHEREAS, Authority is willing, in its sole discretion, to reimburse ACLAD for certain of ACLAD's expenditures that are directly related to maintaining the dewatering wells and discharge lines, which are not included within the scope of the 1994 Agreement between ACLAD and the Rancho Palos Verdes Redevel~pment Agency; NOW, THEREFORE, AUTHORITY AND ACLAD AGREE AS FOLLOWS: 1. On or before March 1st, ACLAD shall submit a written request to Authority for payment of reimbursable expenses, as defined in Section 4, for the upcoming fiscal year. Authority shall determine, in connection with the preparation of Authority's budget, the maximum amount of money, if any, that Authority shall pay to ACLAD during that fiscal year, to reimburse ACLAD for the cost of maintaining, monitoring and repairing ACLAD's dewatering wells and drainage facilities. 2. The determination of the amount, if any, to be paid to ACLAD during a particular fiscal year shall be in the sole discretion of Authority. Authority shall advise ACLAD in writing of its determination, so that ACLAD can incorporate any amount to be allocated by the Authority into ACLAD's budget for the upcoming fiscal year. 3. Ninety percent of any sum authorized by Authority to be paid to ACLAD shall be paid to ACLAD by August 31st of that fiscal year. Reimbursement for any remaining expenses authorized by this Agreement, not to exceed ten percent, shall be paid to ACLAD within sixty days following receipt from ACLAD of the accounting of expenditures referred to in Section 6, below. If ACLAD does not expend the full amount of any monies paid by Authority on authorized expenditures during a particular fiscal year, ACLAD either shall refund any unexpended monies to Authority within sixty days following the end of the fiscal year, or if Authority authorizes a payment to ACLAD for a 000502 cwl L:\voll\cwl\0691413.2.DOC (2) 2 - C-2 successive fiscal year, the amount to be paid to ACLAD for such successive year shall be the amount so authorized, less the unexpended monies from any prior payment(s) from the Authority. 4. Pursuant to the provisions of Section 1, if Authority receives and approves a request for reimbursement from ACLAD for a particular fiscal year, which commences annually on July 1st, only certain types of ACLAD expenses shall be eligible for reimbursement. Reimbursable expenses shall include only those expenses that are directly related to the operation and maintenance of ACLAD's dewatering wells and drainage facilities and are not within.the scope of the 1994 Agreement. Such expenses shall include the cost of electr1c power to operate the de-watering wells and monies paid to contractors, which are related to the operation and maintenance of ACLAD's dewatering wells and drainage facilities. Any expenses associated with any major capital projects are specifically excluded from reimbursement under this Agreement. 5. ACLAD shall keep detailed and itemized records of the maintenance, monitoring and repair of all dewatering wells and drainage facilities, which shall identify the particular dewatering well or drainage facility that has been maintained, repaired or monitored. 6. Within sixty days following the end of the fiscal year, ACLAD shall provide Authority with an itemized accounting of the maintenance, monitoring and repair of all dewatering wells and drainage facilities. The itemized accounting shall distinguish between expenses incurred in connection with the operation and maintenance of dewatering wells and drainage facilities owned or used by RDA and dewatering well and drainage facilities that are owned or used by ACLAD. With respect to expenditures relating to RDA facilities or ACLAD facilities for which ACLAD is seeking reimbursement from Authority, the itemized accounting also shall include copies of the actual invoices that have been paid by ACLAD, identification of the check number used to pay the particular invoice, and copies of the actual checks issued by ACLAD in payment of the expenditure. This itemized accounting shall be in a format acceptable to Authority. 7. Authority Staff shall review the documentation of expenditures submitted by ACLAD for purposes of determining eligibility for reimbursement under this Agreement. With 000502 cwl L:\voll\cwl\0691413.2.DOC (2) 3 - C-3 11: respect to expenditures relating to ACLAD facilities, the determination of whether an expenditure falls within the provisions of this Agreement is in the sole and reasonable discretion of Authority. All payments made by Authority pursuant to the provisions of this Agreement shall be paid to ACLAD. Authority shall not pay any ACLAD invoice to a vendor or contractor. 8. During the term of this Agreement ACLAD shall not reduce its annual assessments upon properties within the District below the assessments that existed as of July 1, 1999, without providing at least thirty days prior written notice of the proposed reduction to the Authority. 9. ACLAD shall indemnify, defend and hold Authority, the City of Rancho Palos Verdes, and RDA, and their respective officers, agents and employees harmless from any and all claims, causes of action, obligations, liabilities or financial losses arising from damages to persons or property which are caused by the negligence or willful misconduct of ACLAD and its agents or employees in the performance of this Agreement. 10. Authority shall indemnify, defend and hold ACLAD and its officers, agents and employees harmless from any and all claims, causes of action, obligations, liabilities or financial losses arising from damages to persons or property which are caused by the negligence or willful misconduct of Authority and its agents or employees in the performance of this Agreement. 11. The term of this Agreement shall be from the date first written above until terminated by one or both of the parties pursuant to the provisions of Section 12. 12. Either ACLAD or Authority may terminate this Agreement by providing not less than thirty (30) days notice in writing to the other party, pursuant to the provisions of Section 18. 13. This Agreement shall be interpreted under the laws of the State of California. 14. This Agreement may be amended by the parties, provided that said amendment is in writing and executed by both parties. 15. This Agreement contains the entire agreement between the parties hereto. No promise, representation, warranty, or 000502 cwl L:\voll\cwl\0691413.2.DOC (2) 4 - C-4 covenant not included in the agreement has been or is relied upon by any party hereto. 16. Each provision of this Agreement is separate, distinct and individually enforceable. If any section or portion of this agreement is found to be invalid, such findings shall not affect the validity of the remainder of the Agreement, which shall continue in full force and effect. 17. An action arising from the terms and provisions of this Agreement shall entitle the prevailing party to recovery of reasonable attorneys' fees and court costs. 18. All notices pertaining to this Agreement shall be in writing and shall be sufficient if delivered personally or sent by United States Mail, certified or registered, postage prepaid, to the addresses listed below: If to Authority: If to ACLAD: Rancho Palos Verdes Improvement Authority 30940 Hawthorne Boulevard Rancho Palos Verdes, California 90275 Attention: Executive Director Abalone Cove Landslide Abatement District P.O. Box 7000-169 Rancho Palos Verdes, California 90275 Attention: Executive Director 000502 cwl L:\voll\cwl\0691413.2.DOC (2) 5 - C-5 IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first written above. Dated: May 2, 2000 ATTEST: Dated: May 9 , 2000 ATTEST: District Clerk 000502 cwl L:\voll\cwl\0691413.2.DOC (2) Rancho Palos Verdes Improvement Authority By: ~~~ ChairffiByrd Abalone Cove Landslide Abatement By:~ Chair 6 - C-6 RANCHO PALOS VERDES CITY COUNCIL MEETING DATE: 12/19/2017 AGENDA REPORT AGENDA HEADING: Regular Business AGENDA DESCRIPTION: Consideration and possible action to receive and file report on the history and finances of the Abalone Cove Landslide Abatement District (ACLAD) and the fiscal support the City provides to the District. RECOMMENDED COUNCIL ACTION: 1) Receive and file report on the history and finances of ACLAD and the fiscal support the City provides to the District. FISCAL IMPACT: There is no fiscal impact that is not included in the FY17-18 adopted budget. Amount Budgeted: $74,600 Additional Appropriation: N/A Account Number(s): Various ORIGINATED BY: Allan Kaufman, Senior Administrative Analyst REVIEWED BY: Deborah Cullen, Director of Finance APPROVED BY: Doug Willmore, City Manager ATTACHED SUPPORTING DOCUMENTS: A. ACLAD’s 10-year Financial History (page A-1) B. City’s 10-year Fiscal Support to ACLAD (page B-1) C. Agreement between the Rancho Palos Verdes Redevelopment Agency and ACLAD (page C-1) D. Agreement between the Rancho Palos Verdes Improvement Authority and ACLAD (page D-1) BACKGROUND AND DISCUSSION: In September 1978, the Rancho Palos Verdes City Council was presented with information regarding movement along Palos Verdes Drive South and Narcissa Drive that indicated a reactivation of an old landslide (i.e., the Abalone Cove landslide). The City Council immediately established a building moratorium in the area and authorized a series of geological investigations to ascertain the problem and identify potential solutions. In March 1979, proposed legislation designed to permit the creation of a Geological Hazard Abatement District (GHAD) was presented to Senator Robert Beverly and D-1 Assemblywoman Marilyn Ryan for introduction as an emergency measure. At the same time, the City Council hired Robert Stone and Associates to perform a comprehensive hydrogeologic investigation to determine the feasibility of dewatering the landslide. Based on the investigation’s findings, seven (7) dewatering wells were installed to remove water and lower the groundwater level. The Abalone Cove Landslide Abatement District (ACLAD) was created by the City and property owners in the Abalone Cove community for the purposes of mitigation and abatement of the Abalone Cove landslide. It was the first GHAD created in the state. The District is governed by five (5) elected Directors, who serve 4-year terms and are elected from among the property owners in the District. The Board is assisted by a Secretary and Manager of Well Operations, and meets the second Wednesday of each month at 7:30 PM in the Community Room of the Rancho Palos Verdes City Hall. On January 1, 1980, Senate Bill No. 1195 authorized the formation of a GHAD into law. After the passage of the SB 1195, the City Council adopted Resolution 80-3, which created ACLAD. Prior to the forming ACLAD, property owners within the Abalone Cove area agreed to finance the drilling of six (6) dewatering wells. The wells came into operation in mid-April 1980. Following the formation of ACLAD, the property owners transferred the wells to the District in 1981. ACLAD’s Landslide Abatement Strategy Abatement efforts that ACLAD operates and maintains to prevent movement of the Abalone Cove landslide include, but are not limited to: Dewatering wells and associated discharge lines. Easements to assure access to the dewatering facilities. Monitoring groundwater elevations throughout the District. Reviewing measurements of the Global Positioning System (GPS) for evidence of slide movement. Coordinating with the City to maintain certain storm culverts and other improvements related to landslide abatement. ACLAD believes the most effective abatement strategy is its dewatering wells. Currently, the District operates and maintains 13 producing dewatering wells. These include wells drilled during the formation of ACLAD by the interim homeowners association, wells drilled under the authority of ACLAD, and wells drilled by the City/Redevelopment Agency (RDA), funded by the Horan lawsuit settlement funds and subsequently transferred to ACLAD under an agreement between the City and the District. ACLAD also monitors the GPS stations annually and takes measurements for evidence of possible slide movement, as well as working with the City to maintain the storm drain culvert extending beneath Palos Verdes Drive South at Altamira Canyon. The District D-2 conducts or contracts investigations related to the geology, rainwater discharge and groundwater flow in the area to aid in evaluating and developing abatement efforts. An agreement (Attachment C) was executed on April 4, 1994, between the former Rancho Palos Verdes RDA and the Joint Powers Improvement Authority-Abalone Cove JPIA-Abalone Cove). JPIA was formed in September 1990 to install, construct, and maintain public capital improvements necessary to abate geologic hazards in the City of Rancho Palos Verdes and to accept financial assistance from other public agencies to provide for the implementation of the 1987 Reimbursement and Settlement Agreement. Per this agreement, the RDA agreed to install five (5) additional dewatering wells based on the recommendation of then-City Geologist Dr. Perry Ehlig. The financial obligations to the RDA were outlined in the following sections in the agreement: 1. RDA may connect its five new dewatering wells to the existing ACLAD drainage network. All costs associated with the installation of the five new dewatering wells and connection to the existing drainage network including, without limitation, drilling; installation of new drain pipes; acquisition of easements from affected property owners; repairs or remediation of any problems caused by the installation of the new wells, pipes and connections; and any clean-up after the work is completed, shall be borne by RDA. 2. RDA also shall be financially responsible for the operation, repair, maintenance, and monitoring of its existing dewatering wells, the five new dewatering wells and the facilities connecting the RDA wells to the existing drainage network. 6. RDA shall bear the cost of maintenance and repair of any drainage facilities which serve only dewatering wells owned by RDA. Another agreement (Attachment D) was reached on May 2, 2000, between the JPIA- Abalone Cove and ACLAD. This agreement gave the Authority sole discretion to reimburse ACLAD for certain expenditures directly related to the maintenance of ACLAD’s dewatering wells and discharge lines that were not included within the scope of the April 4, 1994, agreement with the RDA. ACLAD Financing In addition to being a GHAD, ACLAD is also an assessment district. Using a formula based on the size of a lot and its improvements, each property owner in the District is assessed annually to pay for the cost of the various abatement facilities and ACLAD administrative costs as allowed under the California Improvement Act of 1911. Each property owner receives an annual bill, which can be paid directly to ACLAD or be paid as part of the property owner's property tax bill. In FY17-18, the District is expected to collect $115,300 in total assessments. Together with income from assessments, cash reserves and the City’s financial support, the D-3 District appropriated a FY17-18 Budget of $109,600. The City is the largest property owner within the District, and provides the largest annual assessment. The City is expected to contribute $62,600 or 54% to ACLAD’s total assessments in FY17-18. ACLAD has provided Staff with its 10-year financial history (Attachment A). Based on this information, the ACLAD is reporting their FY16-17 ending fund balance/cash reserve to be approximately $308,000. At the present time, Staff has requested additional documentation to resolve outstanding questions pertaining to the District’s financial reporting. City Financial Support of ACLAD City-funded maintenance within the Abalone Cove landslide area is funded in accordance with the 1987 Landslide Settlement Agreement between the City, the former RDA and Los Angeles County, in connection to the Horan lawsuit. The agreement required that $1 million of the original $10 million bond proceeds from the County be set aside as a non-spendable deposit in a maintenance fund from which investment earnings are to be used. As a result, the City created the Joint Powers Improvement Authority – Abalone Cove JPIA-Abalone Cove) to hold the non-spendable deposit of $1 million. The interest earned on the $1 million endowment is used to reimburse ACLAD for the maintenance of wells that were funded by the former RDA and transferred to the City after dissolution of the RDA in 2012. This reimbursement arrangement fulfills the requirement outlined in the aforementioned April 4, 1994, agreement. There are currently 13 dewatering wells in operation within the District, four of which are City-owned wells that are maintained by ACLAD. Aside from investment earnings, which have been used to financially support the JPIA- Abalone Cove since its inception 30 years ago, the primary subsidy has come from the City’s General Fund. Through the annual budget process the General Fund subsidy is determined by the estimated maintenance needs identified by ACLAD (operation cost) and the shortfall after estimating the projected interest earnings (revenue generated). The General Fund operating transfer to the JPIA-Abalone Cove in the FY17-18 Adopted Budget is $38,000. In accordance with Landslide Mitigation Measures adopted by the City Council in December 2012 and in addition to the subsidy stated above, the City Council made a financial commitment to fund the installation of new wells and the re-drilling of existing wells on a reimbursement basis within the District from FY13-14 through FY15-16. During this three-year period, the City allocated a total of $470,000. Of this amount, only $121,500 has been spent thus far, mostly due to ACLAD facing difficulty securing the necessary easements for the wells. The funds that were set aside by City Council direction are still identified for this purpose. CONCLUSION D-4 In conclusion, ACLAD receives financial support from the City. ACLAD is currently funded by annual assessments upon property owners in the District. The City is the largest property owner in the District and is expected to contribute $62,600 in direct assessment payments in FY17-18. Under the terms of the Horan settlement, the City continues to subsidize the maintenance of dewatering wells in the District, four of which are owned by the City. In FY17-18, the General Fund transfer to the Abalone Cove Fund for this purpose will be $38,000. In addition, the City Council has authorized the expenditure of $470,000 for new dewatering wells and re-drilling of existing wells, of which $348,500 remains unexpended at this time. D-5 D-6 D-7 D-8 D-9 D-10 D-11 D-12 D-13 D-14 D-15 a 1 y AGREEMENT This Agreement is entered into this 5th day of April 1994 , between the Rancho Palos Verdes Redevelopment Agency (hereinafter referred to as "RDA") and the Abalone Cove Landslide Abatement District (hereinafter referred to as "ACLAD") . RECITALS WHEREAS, ACLAD has installed a network of pumps and wells to remove water from the Abalone Cove Landslide; and WHEREAS, ACLAD also has installed and maintains a drainage system to remove the water which is generated by its dewatering wells; and WHEREAS, consulting Geologist, Dr. Perry Ehlig, has- made a recommendation to RDA to install five additional dewatering wells to remove water from areas within the Abalone Cove Landslide in an attempt to stop landslide "creep" causedbytherecentheavyrains; and WHEREAS, pursuant to Dr. Ehlig's recommendation, RDA wishes to install five additional dewatering wells, at RDA's expense, and to use the existing ACLAD drainage system to discharge the water which will be produced by the five new dewatering wells; 1111 NOW, THEREFORE, RDA AND ACLAD AGREE AS FOLLOWS: 1. RDA may connect its five new dewatering wells to the existing ACLAD drainage network. All costs associated with the installation of the five new dewatering wells and connection to the existing drainage network including, without limitation, drilling; installation of new drain pipes; acquisition of easements from affected property owners; repairs or remediation of any problems caused by the installation of the new wells, pipes and connections; and any clean-up after the work is completed, shall be borne by RDA. 2 . RDA also shall be financially responsible for the operation, repair, maintenance and monitoring of its existing dewatering wells, the five new dewatering wells and the facilities connecting the RDA wells to the existing drainage network. 3 . Except as provided in Section 7 of this Agreement, none of the costs referred to in Sections 1 and 2 of this Agreement shall be borne by ACLAD. 4. Within thirty (30) days of completion of the installation of the new facilities referred to in Section 1 of this Agreement, RDA shall provide to ACLAD a map which demonstrates the location of the five new dewatering wells, the facilities which will be installed to carry the water to the D-17 111- 110 existing ACLAD drainage network, and the connections of the new facilities to the existing drainage system. 1111 5. If the output from the five new dewatering wells causes the volume carried by all, or any portion, of ACLAD's existing drainage system to exceed its capacity, and if RDA chooses to continue using ACLAD's existing drainage system to discharge the water produced by the new dewatering wells, then RDA will bear the cost of designing and improving the existing ACLAD drainage system so that it will have the capacity to accept the output from the new dewatering wells in addition to the output from the existing dewatering wells. 6. ACLAD shall bear the cost of maintenance and repair of any drainage facilities which serve only dewatering wells owned by ACLAD, . and RDA shall bear the cost of maintenance and repair of any drainage facilities which serve only dewatering wells owned by RDA. 7. ACLAD and RDA shall share the cost of maintenance and repair of any drainage facilities which serve both ACLAD wells and RDA wells. These costs shall be shared proportionally and shall be based upon the annual output of the wells which are servedby the particular drainage facilities. By way of example, a particular drainage facility discharges water produced from five dewatering wells; three of the wells are owned by ACLAD and two of the wells are owned by RDA. To compute each entity's share of the annual maintenance or repair cost of the drainage 110 facilities which serve those five wells, a percentage will be determined by dividing the total output of all five wells into the output of the wells owned by the particular entity. Annually, ACLAD and RDA shall estimate the total cost of repairing and maintaining the drainage facilities which serve wells owned by both entities and each entity's share of that cost. In April, 1994, and in January of each calendar year after 1994 that this Agreement is in effect, RDA shall deposit with ACLAD a sum of money which is equal to RDA's estimated share of the annual maintenance and repair cost for that year. At the conclusion of the calendar year, ACLAD and RDA shall determine the actual cost of maintenance and repair and each entity's share of the cost, based on the formula set forth in this Section 7 . If the estimated amount paid by RDA to ACLAD exceeded RDA's actual share of the maintenance and repair cost, then ACLAD shall refund the difference to RDA or apply the difference to RDA's share of the estimated cost for the following year. If the estimated amount paid by RDA to ACLAD is less than RDA's actual share of the maintenance and repair cost, then RDA shall pay the difference to ACLAD within thirty (30) days of the date of the determination of the actual amount. D-18 7 f 8. ACLAD shall monitor and maintain all of the dewatering wells owned by RDA which are on property within the 1111 Abalone Cove Landslide. Annually, ACLAD and RDA shall estimate the cost of labor for the monthly monitoring and maintenance work. This sum is currently estimated to be $200. 00 per month or 2 ,400.00 per year. In April, 1994, and in January of each calendar year after 1994 that this Agreement is in effect, RDA shall deposit with ACLAD a sum of money which is equal to the estimated cost of labor for the monthly monitoring and maintenance of the dewatering wells during that year. At the conclusion of the calendar year, ACLAD and RDA shall determine the actual cost of the monitoring and maintenance work. If the estimated amount paid by RDA to ACLAD exceeded the actual cost of the monitoring and maintenance, then ACLAD shall refund the difference to RDA or apply the difference to RDA's share of the estimated cost for the following year. If the estimated amount paid by RDA to ACLAD is less than the actual cost of monitoring and maintaining the RDA dewatering wells, then RDA shall pay the difference to ACLAD within thirty (30) days of the date of the determination of the actual amount. 9. If any of RDA's wells require repair, and ACLAD is willing to make such repairs, ACLAD shall first advise RDA of the need to make the repairs and the Estimated cost of the repairs. 1111 If RDA authorizes ACLAD to perform the repair work, RDA shall reimburse ACLAD for the cost of the repairs. 10. The term of this Agreement shall be from the date first written above until terminated by one or both of the parties pursuant to the provisions of Section 11. 11. Either ACLAD or RDA may terminate this Agreement byprovidingnot g• • less than thirty (30) days notice in writing to the other party. 12 . This Agreement shall be interpreted under the laws of the State of California. 13 . This Agreement may be amended by the parties, provided that said amendment is in writing and executed by both parties. 14. This Agreement contains the entire agreement between the parties hereto. No promise, representation, warranty, or covenant not included in the agreement has been or is relied upon by any party hereto. D-19 A 411 15. Each provision of this Agreement is separate, 1111 distinct and individually enforceable. If any section or portion of this agreement is found to be invalid, such findings shall not affect the validity of the remainder of the Agreement, which shall continue in full force and effect. 16. An action arising from the terms and provisions of this Agreement shall entitle the prevailing party to recovery of reasonable attorneys' fees and court costs. 17. All notices pertaining to this Agreement shall be in writing and addressed as follows: If to RDA: Rancho Palos Verdes Redevelopment Agency 30940 Hawthorne Boulevard Rancho Palos Verdes, California 90274- 5391 Attention: Executive Director If to ACLAD: Abalone Cove Landslide Abatement District P.O. Box 7000-169 Rancho Palos Verdes, California 90274-5391 Attention: Executive Director IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first written above. 111/ Dated: April 5, 1994 Rancho Palos Verdes Redevelopment Agency i J2/1 By. C Chairman YKuykendall ATTEST: 16 ) 1 Agency Secretary Dated: 7007/ Abalone Cove Landslide Abatement District By: 4 AittIr/ airman Whitmore ATTES lt District Clerk D-20 AGREEMENT BETWEEN THE RANCHO PALOS VERDES IMPROVEMENT AUTHORITY AND THE ABALONE COVE LANDSLIDE ABATEMENT DISTRICT This Agreement is entered into this 2nd day of May , 2000, between the Rancho Palos Verdes Improvement Authority (hereinafter referred to as "Authority") and the Abalone Cove Landslide Abatement District (hereinafter referred to as "ACLAD"). RECITALS WHEREAS, ACLAD has installed a network of pumps and dewatering wells to remove water from the Abalone Cove Landslide; and WHEREAS, ACLAD also has installed and maintains a drainage system to remove the water which is generated by its dewatering wells; and WHEREAS, the Rancho Palos Verdes Redevelopment Agency Agency") also has installed a network of pumps and wells to remove water from the Abalone Cove Landslide; and WHEREAS, pursuant to an Agreement between ACLAD and Agency, dated April 5, 1994, ACLAD allowed Agency to connect some of its dewatering wells to discharge lines owned by ACLAD; and WHEREAS, pursuant to the April 5, 1994 Agreement, Agency and ACLAD agreed that ACLAD would maintain certain of Agency's dewatering wells and that Agency would reimburse ACLAD annually for the cost of maintaining Agency's dewatering wells and any discharge lines into which Agency's wells drain, as set forth in said Agreement; and WHEREAS, pursuant to the provisions of the Reimbursement and Settlement Agreement between .the County of Los Angeles, the City of Rancho Palos Verdes and Agency, certain monies (One million dollars) were deposited in a fund that is administered by Authority to maintain landslide abatement improvements; and WHEREAS, the Rancho Palos Verdes Redevelopment Agency has assigned to the Authority its obligations to ACLAD under the terms of the 1994 Agreement; and 000502 cwl L:\voll\cwl\0691413.2.DOC (2) D-21 WHEREAS, ACLAD has requested that Authority use some of the interest earned on the $1 million fund to pay for the costs incurred by ACLAD to maintain ACLAD's dewatering wells and discharge lines so that ACLAD can use the funds that it obtains from the annual assessments, which ACLAD imposes on owners of property within the District, to install new dewatering wells and other capital improvements or facilities to abate the landslide and enhance the stability of the land within the District; and WHEREAS, Authority is willing, in its sole discretion, to reimburse ACLAD for certain of ACLAD's expenditures that are directly related to maintaining the dewatering wells and discharge lines, which are not included within the scope of the 1994 Agreement between ACLAD and the Rancho Palos Verdes Redevel~pment Agency; NOW, THEREFORE, AUTHORITY AND ACLAD AGREE AS FOLLOWS: 1. On or before March 1st, ACLAD shall submit a written request to Authority for payment of reimbursable expenses, as defined in Section 4, for the upcoming fiscal year. Authority shall determine, in connection with the preparation of Authority's budget, the maximum amount of money, if any, that Authority shall pay to ACLAD during that fiscal year, to reimburse ACLAD for the cost of maintaining, monitoring and repairing ACLAD's dewatering wells and drainage facilities. 2. The determination of the amount, if any, to be paid to ACLAD during a particular fiscal year shall be in the sole discretion of Authority. Authority shall advise ACLAD in writing of its determination, so that ACLAD can incorporate any amount to be allocated by the Authority into ACLAD's budget for the upcoming fiscal year. 3. Ninety percent of any sum authorized by Authority to be paid to ACLAD shall be paid to ACLAD by August 31st of that fiscal year. Reimbursement for any remaining expenses authorized by this Agreement, not to exceed ten percent, shall be paid to ACLAD within sixty days following receipt from ACLAD of the accounting of expenditures referred to in Section 6, below. If ACLAD does not expend the full amount of any monies paid by Authority on authorized expenditures during a particular fiscal year, ACLAD either shall refund any unexpended monies to Authority within sixty days following the end of the fiscal year, or if Authority authorizes a payment to ACLAD for a 000502 cwl L:\voll\cwl\0691413.2.DOC (2) 2 - D-22 successive fiscal year, the amount to be paid to ACLAD for such successive year shall be the amount so authorized, less the unexpended monies from any prior payment(s) from the Authority. 4. Pursuant to the provisions of Section 1, if Authority receives and approves a request for reimbursement from ACLAD for a particular fiscal year, which commences annually on July 1st, only certain types of ACLAD expenses shall be eligible for reimbursement. Reimbursable expenses shall include only those expenses that are directly related to the operation and maintenance of ACLAD's dewatering wells and drainage facilities and are not within.the scope of the 1994 Agreement. Such expenses shall include the cost of electr1c power to operate the de-watering wells and monies paid to contractors, which are related to the operation and maintenance of ACLAD's dewatering wells and drainage facilities. Any expenses associated with any major capital projects are specifically excluded from reimbursement under this Agreement. 5. ACLAD shall keep detailed and itemized records of the maintenance, monitoring and repair of all dewatering wells and drainage facilities, which shall identify the particular dewatering well or drainage facility that has been maintained, repaired or monitored. 6. Within sixty days following the end of the fiscal year, ACLAD shall provide Authority with an itemized accounting of the maintenance, monitoring and repair of all dewatering wells and drainage facilities. The itemized accounting shall distinguish between expenses incurred in connection with the operation and maintenance of dewatering wells and drainage facilities owned or used by RDA and dewatering well and drainage facilities that are owned or used by ACLAD. With respect to expenditures relating to RDA facilities or ACLAD facilities for which ACLAD is seeking reimbursement from Authority, the itemized accounting also shall include copies of the actual invoices that have been paid by ACLAD, identification of the check number used to pay the particular invoice, and copies of the actual checks issued by ACLAD in payment of the expenditure. This itemized accounting shall be in a format acceptable to Authority. 7. Authority Staff shall review the documentation of expenditures submitted by ACLAD for purposes of determining eligibility for reimbursement under this Agreement. With 000502 cwl L:\voll\cwl\0691413.2.DOC (2) 3 - D-23 11: respect to expenditures relating to ACLAD facilities, the determination of whether an expenditure falls within the provisions of this Agreement is in the sole and reasonable discretion of Authority. All payments made by Authority pursuant to the provisions of this Agreement shall be paid to ACLAD. Authority shall not pay any ACLAD invoice to a vendor or contractor. 8. During the term of this Agreement ACLAD shall not reduce its annual assessments upon properties within the District below the assessments that existed as of July 1, 1999, without providing at least thirty days prior written notice of the proposed reduction to the Authority. 9. ACLAD shall indemnify, defend and hold Authority, the City of Rancho Palos Verdes, and RDA, and their respective officers, agents and employees harmless from any and all claims, causes of action, obligations, liabilities or financial losses arising from damages to persons or property which are caused by the negligence or willful misconduct of ACLAD and its agents or employees in the performance of this Agreement. 10. Authority shall indemnify, defend and hold ACLAD and its officers, agents and employees harmless from any and all claims, causes of action, obligations, liabilities or financial losses arising from damages to persons or property which are caused by the negligence or willful misconduct of Authority and its agents or employees in the performance of this Agreement. 11. The term of this Agreement shall be from the date first written above until terminated by one or both of the parties pursuant to the provisions of Section 12. 12. Either ACLAD or Authority may terminate this Agreement by providing not less than thirty (30) days notice in writing to the other party, pursuant to the provisions of Section 18. 13. This Agreement shall be interpreted under the laws of the State of California. 14. This Agreement may be amended by the parties, provided that said amendment is in writing and executed by both parties. 15. This Agreement contains the entire agreement between the parties hereto. No promise, representation, warranty, or 000502 cwl L:\voll\cwl\0691413.2.DOC (2) 4 - D-24 covenant not included in the agreement has been or is relied upon by any party hereto. 16. Each provision of this Agreement is separate, distinct and individually enforceable. If any section or portion of this agreement is found to be invalid, such findings shall not affect the validity of the remainder of the Agreement, which shall continue in full force and effect. 17. An action arising from the terms and provisions of this Agreement shall entitle the prevailing party to recovery of reasonable attorneys' fees and court costs. 18. All notices pertaining to this Agreement shall be in writing and shall be sufficient if delivered personally or sent by United States Mail, certified or registered, postage prepaid, to the addresses listed below: If to Authority: If to ACLAD: Rancho Palos Verdes Improvement Authority 30940 Hawthorne Boulevard Rancho Palos Verdes, California 90275 Attention: Executive Director Abalone Cove Landslide Abatement District P.O. Box 7000-169 Rancho Palos Verdes, California 90275 Attention: Executive Director 000502 cwl L:\voll\cwl\0691413.2.DOC (2) 5 - D-25 IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first written above. Dated: May 2, 2000 ATTEST: Dated: May 9 , 2000 ATTEST: District Clerk 000502 cwl L:\voll\cwl\0691413.2.DOC (2) Rancho Palos Verdes Improvement Authority By: ~~~ ChairffiByrd Abalone Cove Landslide Abatement By:~ Chair 6 - D-26 RESOLUTION NO. 80-3 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DECLARING THAT IT IS SUBJECT TO CHAPTER 2 OF DIVISION 17 OF THE PUBLIC RESOURCES CODE. BE IT RESOLVED, DETERMINED AND ORDERED by the City Council of the City of Rancho Palos Verdes as follows: Section 1. Certain areas within the territorial limits of the City of Rancho Palos Verdes are subject to actual and threatened geologic hazards, namely landslides and land subsidence. Section 2. Division 17 of the Public Resources Code provides for the formation of a geologic hazard abatement district to prevent, mitigate, abate or control a geologic hazard. Section 3. In light of the foregoing, and in the interest of the public health, safety and welfare, the City Council of the City of Rancho Palos Verdes, pursuant to Public Resources Code Section 26550, does hereby declare that it is subject to the provisions of Chapter 2 of Division 17 of the Public Resources Code. Section 4. The City Clerk is hereby authorized and directed to forward a copy of this Resolution to the State Controller. PASSED, APPROVED and ADOPTED this 2nd day of January, 1980. 1.0-. „5ZR44) MAYOR ATTEST: LEONARD G. WOOD, CITY CLERK AND EX OFFICIO CLERK OF THE COUNCIL 0 4,-„I Mit ' ij i, i L ' I C/ CL i) I HEREBY CERTIFY that the foregoing is a true and correct copy of Resolution No. 80-3 passed and adopted by the City Council of the City of Rancho Palos Verdes at the meeting thereof held this 2nd day of January, 1980. LEONARD G. WOOD, CITY CLERK AND EX OFFICIO CLERK OF THE COUNCIL t , Ie_... Ilk 1 41112t..411 Atilir, • T/CLE'I E-1