1. San Gabriel Valley Council of Governments 2016 1

2. What’s Stormwater and MS4? Stormwater - water running over land during or immediately after a rainstorm It includes dry weather runoff from car washing, pool drainage, etc. In the San Gabriel Valley – it mainly originates from paved surfaces (parking lots, playgrounds, streets, etc.) The stormwater is typically captured through local drainage systems (storm drains)managed by municipalities Those municipal storm drain systems typically connect to a county-wide system. In the San Gabriel Valley, our storm drain systems usually connect to facilities owned and maintained by the LA County Flood Control District 2

3. Why Must We Care about Stormwater? Stormwater Quick Facts Water quality is degraded, because it is picking up pollutants. Not always captured for uses such as recharging drinking water aquifers. Pollutants can increase the cost of treating drinking water. Other pollutants negatively impact aquatic life, rivers, concrete channels, lakes, streams, and other habitats. Bacteria can cause beach closures. It’s regulated! We face potential litigation and penalties if we don’t comply. 3

4. How is Stormwater Managed in California? 4 In California, stormwater regulations are managed by the State Water Resources Control Board (SWRCB) through nine (9) Regional Water Quality Control Boards (RWQCB) The Board Members are not elected. They are appointed by the Governor; their appointments are ratified by the State Senate The San Gabriel Valley is regulated by the Los Angeles RWQCB The RWQCB requires municipal jurisdictions to achieve specific stormwater standards through a permit called the MS4 permit

5. What’s An MS4 Permit? MS4 is an acronym that stands for Municipal Separate Storm Sewer System – and the permit has nothing to do with sewers! The current MS4 Permit for LA County has been in effect since December 28, 2012 5

6. How We Got Here - History of Stormwater Regulations 6 1969- California Porter-Cologne Act enacted 1972- Federal Clean Water Act (CWA) enacted. Charges EPA with regulating stormwater 1987- CWA was amended by the Water Quality Act which requires a permit for discharges from a storm sewer system 1998- EPA was sued by enviromental NGOs. The resultant consent decree charged the EPA including TMDLs (Total Maximum Daily Loads) in future LA County permits 2001- The LA County permit allowed an iterative (trial and error) process, but was vulnerable to Notices of Violation and third party lawsuits - The LA County Flood Control District was the principal permittee, on behalf of cities connecting to it. It includes three TMDLs 2012 - The LA RWQCB issued a new MS4 permit for Los Angeles County. The Flood Control District is longer the principal permittee - The permit is watershed-based. and includes 33 TMDLs

7. LA County’s 2012 MS4 Permit Creates a new, watershed-focused process for compliance. A watershed is an area of land that drains all the streams and rainfall to a common outlet. Encourages use of Green infrastructure Low impact development, and Multi-benefit regional projects It places a new focus on stormwater as water supply with water quality compliance achieved through infiltration 7

8. LA County’s 2012 MS4 Permit (cont.) Interim compliance is now encouraged through creation of Watershed Management Programs (WMPs) and Enhanced Watershed Management Programs (EWMPs); otherwise, achieve compliance now! Nineteen EWMPs and WMPs have been formed since the issuance of the 2012 permit Significantly increased monitoring is required, testing at both the receiving water and the outfall and testing for more pollutants. More than 30 different TMDLs (pollutant limits) must be monitored and treated 8

9. What is an EWMP? A WMP?  EWMP and WMP plans include best management practices, multi- benefit regional projects to retain stormwater runoff, and detailed analysis (known as a Reasonable Assurance Analysis) that illustrates how the projects would comply with TMDL limits.  Compliance is achieved through a combination of structural and non-structural control measures (e.g, retention basins, street sweeping, catch basins, etc.). 9

10. 10 Los Angeles and San Gabriel Watersheds 5 WMP/EWMP Groups in SGVCOG:  East San Gabriel WMP  Rio Hondo/San Gabriel River EWMP  Upper San Gabriel River EWMP  Lower San Gabriel River WMP  Upper Los Angeles River EWMP 3 Cities: El Monte, Irwindale, & Walnut

11. EWMP/WMP Groups 11 Group NameCities/PermiteesPlan Rio Hondo/San Gabriel River Arcadia, Azusa, Bradbury, Duarte, Monrovia, Sierra Madre, County, LACFCD EWMP Upper San Gabriel River Baldwin Park, Covina, Glendora, Industry, La Puente, County, LACFCD, South El Monte, West Covina EWMP East San Gabriel Valley Claremont, La Verne, Pomona, San DimasWMP Upper Los Angeles River SGVCOG Cities: Alhambra, La Canada Flintridge, Montebello, Monterey Park, Pasadena, Rosemead, San Gabriel, San Marino, South Pasadena, Temple City, County, LACFCD, South El Monte Non-COG Cities: Burbank, Calabasas, Glendale, Hidden Hills, Los Angeles, San Fernando EWMP Lower San Gabriel River SGVCOG Cities: Diamond Bar Non-COG Cities: Artesia, Bellflower, Cerritos, Downey, Hawaiian Gardens, La Mirada, Lakewood, Long Beach, Norwalk, Pico Rivera, Santa Fe Springs, Whittier, LACFCD WMP Individual CitiesEl Monte, Irwindale and WalnutIndividual WMP

12. EWMP/WMP Project Examples 12 GroupProject Upper LA River EWMPAlmansor Park – The potential BMP is proposed as a below-ground retention/infiltration basin situated beneath the baseball fields and open space in the southwest portions of the park. Rio Hondo/San Gabriel EWMP Arboretum of LA County – Would provide drainage into Baldwin Lake, for 207 acres which is anticipated to yield 9 acre feet Upper San Gabriel River EWMP Khaler Russel Park – To install infiltration galleries to capture 36 acre-foot of stormwater from 1,000 acres of tributary area that includes the cities of Covina, Glendora, and County unincorporated areas at a ballpark (estimated cost of $22 million). East San Gabriel River WMP Brasada NJD Development - Basin and bioretention BMP in San Dimas. Will provide drainage for 270 acres. Lower San Gabriel River WMP Cerritos Regional Park in Cerritos – To install a stormwater capture project to collect 95.7 acre-foot of stormwater from a tributary area of 1,160 acres that could benefit the City of Cerritos

13. Green Street Examples 13

14. Estimated MS4 Capital Costs (2015) ■ Total estimated capital cost for LA County exceeds $20 billion ■ Total estimated capital cost for SGVCOG cities exceeds $6 billion ■ Most cities in built environment, significant use of green streets 14 GroupTimelineEstimated Cost Upper LA River EWMPMajority implementation by 2028, full implementation by 2037 $6,308,700,000 Rio Hondo/San Gabriel EWMP Full implementation by 2028$1,463,321,591 Upper San Gabriel River EWMP Full implementation by 2040$2,520,487,000 East San Gabriel River WMP Full implementation by 2026$646,479,000 Lower San Gabriel River WMP Full implementation by 2026$64,630,000

15. Estimated Capital Cost by City 15

16. The Estimated Cost is HUGE ! A few cities have estimated the annual cost to address their MS4 obligations Monrovia has estimated its cost to address stormwater would result in an annual parcel cost of $1,334 for 30 years Carson estimates its cost of addressing stormwater will consume an amount equivalent to over 13% of its operating budget for the first ten years Some SGVCOG cities have particularly high estimated costs, among highest in county: Industry: $476,261,000 Arcadia: $407,986,602 West Covina: $380,459,000 Azusa: $332,232,746 16

17. Do We Really Have to Comply?  Federal and State law allows Regional Boards to levy fines for non-compliance  Per the Regional Board, failure to comply with the MS4 Permit conditions could result in the following non-compliant fines Mandatory minimum $3,000/day per violation up to $10,000/day maximum Maximum $25,000/day per violation if imposed by state court  Furthermore, violations of Federal Clean Water Act can be enforced by US EPA and by environmental groups Federal penalties could reach $37,500/day  In addition, local jurisdictions such as LA County have been sued in federal court by environmental groups such as the Natural Resource Defense Council and LA Waterkeeper over water quality level exceedances 17

18. Real Life Stormwater Lawsuits!  Between 2003-2013, there were 16 lawsuits throughout the State brought against local agencies for stormwater permit violations  12 of those cases have concluded via settlements (consent decrees) Those settlements have resulted in payment of $19.2 million in penalty costs, $3.5 million in plaintiffs’ attorneys fees, and $209k in additional monitoring costs  In 2012, the City of Malibu settled with Santa Monica Bay Keeper and the Natural Resource Defense Council for stormwater runoff violations Malibu paid $6.6 million ($5.6 million infrastructure upgrades, $750k in legal fees, $250k for an ocean health assessment) as part of that settlement 18

19. Why Haven’t We Heard of These Issues Before Now? Throughout California, only LA County has a MS4 Permit that includes compliance limits for 33 TMDLs through the establishment of WMPs and EWMPs However, the State Water Resources Control Board stipulated the following in State Water Board Order WQ 2015-0075 “WE DIRECT ALL REGIONAL WATER BOARDS TO CONSIDER THE WMP/EWMP APPROACH TO RECEIVING WATER LIMITATIONS COMPLIANCE WHEN ISSUING PHASE I MS4 PERMITS GOING FORWARD…” 19

20. What Should Our Approach Be?  As the SGVCOG Water Committee has assessed the overall EWMP issue, we believe that our Cities need to engage in a three pronged approach: 1. Public Education 2. Advocate For Policy Change 3. Work Towards Compliance 20

21. Public Education  Stormwater issues have not been thoroughly discussed with city councils let alone the public In addition, stormwater is such an complex topic that even municipal staff have found it difficult to engage in the subject  A coordinated public education effort is needed We must discuss both the importance of stormwater management, and the impracticality of current regulatory requirements 21

22. Advocate for Policy Change It is unrealistic to expect EWMP/WMPs to complete $6 billion worth of stormwater improvement projects in the SGVCOG region, most by 2028 to expect that property owners would approve a significant tax increase to fund stormwater projects To achieve a more realistic approach, a coordinated lobbying effort advocating for stormwater policy changes is needed. Regional Water Quality Control Board State Water Quality Control Board State Legislative Representatives, including the Governor’s Office Federal Legislators, particularly California Congress Members We need more electeds to help with advocacy 22

23. Meanwhile, Work Towards Compliance Await LA Regional Water Quality Control Board approval or revision of submitted EWMP Plan April 2016. WMPs already approved. Following EWMP approval, the Adaptive Management Process will allow for potential plan changes based upon water quality monitoring data and new information It is important to demonstrate that we are working towards compliance with the MS4 permit Start implementation of the most cost-effective projects Consider partnering with the Sanitation District per SB 485 Continue to vigorously monitor your stormwater quality 23

24. Seek Potential Funding Sources  $230 million in Prop. 1 Stormwater grants are available  Some municipalities are advocating for a 2% allocation of funds from the Transportation Measure R2 which will be on the November ballot Possible legislation to: Redirect state tire fee from air pollution to water that is polluted by stormwater Seek phased elimination of zinc in tires, or impose Extended Producer Responsibility Seek state fund or state indemnity for school sites used to infiltrate stormwater Seek financial capability limit? Seek authorized use of existing infrastructure (LAFCD) 24

25. Proposition 218 Implications  Proposition 218, is a property-related tax which cannot be imposed unless it is approved by the majority of property owners or by 2/3 of the electorate  However, Proposition 218 allows a protest vote process for approval of utility-related fees (i.e., water / sewer fees)  California courts have held that stormwater is not a “utility” service  The Association of California Water Agencies, the California State Association of Counties, and the League of California Cities recently proposed a legislative amendment to the California Constitution that would allow stormwater to be treated as a utility, thus allowing stormwater costs to be added to property tax bills.  The supporters of the measure decided not to pursue a ballot initiative for the November, 2016 ballot 25

26. The LA County Drought Resiliency Work Plan On April 5, 2016, the LA County Board of Supervisors (BOS) voted 4-1 (Sup. Antonovich opposed) to create a Drought Resiliency Work Plan. The plan is to be designed to implement projects that improve capture of water, improve water quality, and include geographically distributed, multi- benefit projects that benefit water management The LA Co. Department of Public Works is tasked with developing a plan for the funding system and reporting back to the Supervisors at the beginning of July. The funding mechanism, if adopted by the BOS, will be submitted to appropriate voters subsequent to the Nov. 2016 general election 26

27. Next Steps (cont.) Monitor (or participate in) existing litigation City of Gardena v. State Water Quality Control Board and Regional WQCB City of Duarte v. Regional WQCB Natural Resource Defense Council v. State Water Quality Control Board and Regional WQCB. Los Angeles County has joined the Water Boards as defendants of the lawsuit Prepare for the next permit. The current permit expires Dec. 18, 2017 and a new application will be due 180 days prior (July 1, 2017!) 27