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Legislative Public Meetings

File #: 25-572    Version: 1 Name:
Type: Consent Calendar Status: Agenda Ready
File created: 5/8/2025 In control: Council and Authorities Concurrent Meeting
On agenda: 6/24/2025 Final action:
Title: Action on an Option Agreement for an Amendment to Ground Lease and Property Use Agreement Between the City of San Jos?, the City of Santa Clara and Santa Clara Valley Water District to Allow for the Development of a Direct Potable Reuse Demonstration Facility
Attachments: 1. Option Agreement for First Amendment to Ground Lease and Property Use Agreement and Nonexclusive Utility Easement, 2. Draft First Amendment to Ground Lease and Property Use Agreement, 3. Draft First Amended Restated Agreement for Operation and Maintenance of the Silicon Valley Advanced Purification Center, 4. Draft First Amendment to Recycled Water Facilities Programs Integration Agreement
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REPORT TO COUNCIL
SUBJECT
Title
Action on an Option Agreement for an Amendment to Ground Lease and Property Use Agreement Between the City of San Jos?, the City of Santa Clara and Santa Clara Valley Water District to Allow for the Development of a Direct Potable Reuse Demonstration Facility

Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure and Promote Sustainability and Environmental Protection

EXECUTIVE SUMMARY
Approval of this recommendation would enable the Santa Clara Valley Water District ("Valley Water") to secure an option for an Amendment to the Ground Lease and Property Use Agreement for the construction of a direct potable reuse demonstration facility following satisfaction of certain conditions including environmental review and execution of related amendments to agreements for cost sharing, and operation and maintenance.

BACKGROUND
The City of San Jos? and City of Santa Clara ("Cities") and Valley Water have historically collaborated to expand recycled water and augment the local water supply in the county. The Cities and Valley Water partnered on the construction of the Silicon Valley Advanced Water Purification Center ("SVAWPC", more commonly known as the Advanced Water Purification Center, "AWTF"), an advanced wastewater treatment facility producing up to eight million gallons per day of purified water that is blended with treated effluent from the San Jos?/Santa Clara Regional Wastewater Facility ("RWF") to enhance recycled water quality distributed by the South Bay Water Recycling Program ("SBWR"). The Cities of San Jos? and Santa Clara are co-owners of the land surrounding the RWF, and the City of San Jos? serves as the administering agency for the RWF.

On March 2, 2010, the City of San Jos? and Valley Water entered into a Ground Lease and Property Use Agreement ("Ground Lease") and the Recycled Water Facilities and Programs Integration Agreement ("Integration Agreement"). The Ground Lease provid...

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