The Los Osos Community Services District has formalized a support agreement with one of the town’s private water systems, agreeing to continue to lend operational support when needed.
The LOCSD Board approved an agreement with the S&T Mutual Water Co., which provides water to the Sunset Terrace neighborhood, that would ensure the governmental agency would be there when the little water company needs help.
“S&T,” reads a report from LOCSD General Manager Greg Kwolek, “is a very small mutual water company whose operations are managed by a husband-and-wife operator team that live within the S&T service area. During periods when both operators are out of town or otherwise unavailable, the District has been asked to provide limited operational coverage to help ensure continuity of water system operations.”
S&T Mutual is owned by and serves 179 owner/customers and provides water to the Sunset Terrace neighborhood and the Sea Pines Golf Resort and Restaurant, a par-3 private golf course that sits on the northern and western sides of the Sunset Terrace neighborhood.
The support had been done on sort-of a handshake basis. Now, it’s formal.
“The proposed S&T Operations Support Services Agreement,” Kwolek said, “establishes clear expectations regarding the services that may be provided, identifies the respective roles and responsibilities of each party, addresses liability and insurance requirements, and provides a mechanism for the District to recover its costs for both stand-by availability and any operational support services that are performed.”
Under the agreement, the LOCSD would act as an independent consultant and contractor, and bill the company monthly for whatever services it provides, on a stand-by basis.
The CSD also agrees to emergency response for things like water main breaks and various alarms on the system, among others.
Under the agreement, “Emergency response is intended to stabilize the situation and protect the water system until normal operations can resume. Following the initial emergency response, the Parties will determine whether additional operational support is needed.”
S&T will pay the LOCSD $20 a day in stand-by costs. Rates for emergency callouts “shall be billed on an hourly basis in accordance with the District’s then-current rates for personnel, together with applicable charges for materials, equipment, supplies, vehicles, laboratory services, contractor costs, and other resources utilized in providing the services. If no applicable District rate exists, services shall be billed at District’s actual cost.”
No actual dollar amounts for emergency services were listed in the agreement. At $20 per day, the stand-by costs to S&T would run $7,300 a year.
The agreement did not have an expiration date and would stay in effect until either party decides to end the arrangement.
