WHEREAS:

1. The State Water Resources Control Board (SWRCB), on February 16, 1995, adopted the "Policy for Implementing the State Revolving Fund for Construction of Wastewater Treatment Facilities," and revised it on June 18, 1998;

1. The SWRCB, on June 18, 1998, adopted the FFY 1999 SRF Loan Program Priority List which included the Treatment Plant Upgrades for the City in priority Class C;

1. The Division of Clean Water Programs (Division) has approved the facilities plan;

1. The City is signatory to the "Memorandum of Understanding Regarding Urban Water Conservation in California"; and

1. The City certified an EIR and Addendum (State Clearinghouse # 90010817) which have been reviewed and considered, and it has been determined that:

1. Changes or alterations have been required in, or incorporated into the proposed project which avoid or reduce to less than significant levels potentially significant environ-mental effects identified in the EIR with respect to: (i) water quality impacts which will be mitigated by including measures developed from hydrologic investigations such as coordination for location and maintenance of drainage facilities, use of erosion controls, seasonal grading restrictions, proper groundwater extraction and disposal, containment of effluent seepage, prevention of spills or leaks of wastewater effluent and hazardous materials, and development of spill contingency plans; and (ii) flooding impacts which will be mitigated by flood protection measures such as elevating the proposed facilities using berms, or using containment facilities.

1. With respect to other potentially significant environmental impacts identified in the environmental documents, appropriate changes or alterations are not within the responsibility and jurisdiction of the SWRCB. Such other changes or alterations have been adopted or should be adopted by other agencies.

THEREFORE BE IT RESOLVED THAT:

The State Water Resources Control Board approves a SRF loan of $10 million to the City of Escondido for the construction of secondary improvements at the Hale Avenue Resource Recovery Facility. The repayment period shall be 20 years, and the first repayment due one year after completion of construction.

The undersigned, Administrative Assistant to the Board, does hereby certify that the foregoing is a full, true, and correct copy of a resolution duly and regularly adopted at a meeting of the State Water Resources Control Board held on November 19, 1998.

/s/

Maureen Marché

Administrative Assistant to the Board