Committee Lukewarm On Company's Recycled Water Proposal

A subcommittee that's looking at plans to upgrade the Pinole-Hercules water treatment plant agreed on Wednesday to not spend more staff time on a private company's proposal for a new water recycling plant.

The subcommittee of Pinole and Hercules city council members will make the recommendation to their respective councils for a vote. The panel will move forward with its application for a plant upgrade to the Bay Area Regional Water Quality Control Board.

An upgrade to the plant is needed to handle more volume of wastewater during periods of heavy rainfall, when the treatment facility can be overwhelmed and forced to release untreated water into San Pablo Bay.

PERC Water has been trying to convince the cities to award it a contract for engineering services for its design-build project. Under its proposal, the East Bay Municipal Utilities District would sell recycled water to the ConocoPhillips for use at its Rodeo oil refinery. The two cities, the refinery, the utility district and the company would share those costs. By selling the water, the project would save ratepayers in the long run, PERC Water officials have argued.

The two cities had already awarded an engineering contract to another company by the time PERC Water submitted its private-public partnership idea.

Despite a series of presentations over months, PERC Water didn't convince the committee. Among the uncertainties raised is potential complications that could arise with so many decisions and commitments depending on the involved parties.

"I don't find the proposal compelling enough," to spend money on PERC's proposal, said Hercules Councilwman Myrna de Vera.

Pinole Director of Public Works Dean Allison called it a "fatal flaw" that there is no long-term commitment from ConcooPhillips beyond three to five years to buy the recycled water. He also said that the two cities' planned $47 million upgrade includes water recycling.

Pinole Councilman Tim Banuelos said without a multi-decade agreement among the involved players, the  proposal isn't worthy of consideration. Also, there are unanswered questions about how to pay for the decommissioning of the existing plant, he said.

"Without a commitment, we don't have a customer," Banuelos said. "It makes zero sense to me. I feel like I'm getting a sales job."

Pinole Councilwoman Debbie Long questioned a lack of firm numbers on the full cost of the engineering that PERC Water proposed.

"I don't pay for estimates," Long said. "I'm not willing to put any money into PERC at this time."

Long also had concerns about whether Pinole would continue to own or to share the permit to the plant if other partners joined in the new facility. She suggested that the committee and cities move forward with its current permit renewal and upgrade plans, but PERC could still pursue its plan in the meantime.

"I'm still prepared to keep an open mind but at no cost," Long said.

Banuelous said PERC has had enough opportunities.

"I think we've heard all we need to hear form PERC water," Banuelos said. "I think we're done with staff time for both cities. This is a diversion the we do not need right now."

Hercules councilman Dan Romero said PERC offered "false hope" and that it was time to move on without the company.

The committee agreed to continue recycling options, leaving the door open for PERC Water or for other companies to submit proposals.

The subcommittee members will take their recommendations to the respective councils for consideration.

Pinole TV has the full subcommittee meeting available for viewing in its program archives.