Los Osos Sewer gets more San Luis Obispo County funds

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• San Luis Obispo County supervisors approve Los Osos sewer oversight contract

  San Luis Obispo County supervisors approve Los Osos sewer oversight contract

  The San Luis Obispo County Board of Supervisors on Tuesday unanimously approved a $7.6 million contract to oversee construction of the Los Osos sewer.

  The vote came a week after California water officials reduced the interest rate on a loan for the project of nearly $70 million from 2.6 to 2 percent.

  The reduction is expected to save some $6 million in interest payments over the 30-year life of the project, said John Waddell, project manager.

• Los osos sewer project may get a little cheaper

  Los osos sewer project may get a little cheaper

  State water officials will meet in Sacramento on Monday to consider lowering the interest rate on a loan for the Los Osos sewer project, a move that could shave millions of dollars off the price of the project, reducing the cost to residents.

  The State Water Resources Control Board will consider a staff recommendation to lower the rate on a $69.7 million loan from 2.6 percent to 2 percent. The county and Los Osos Community Services District are sending letters to the water board urging that the interest rate be reduced to zero in an effort to make the massive infrastructure project as affordable as possible.

  “The district board is wholly supportive of a reduction in the current interest rate of 2.6 percent to 0 percent, and we believe we speak for the overwhelming majority of the 12,500 residents affected by the project,” community services district board President Marshall Ochylski stated in a letter to the board.

• County poised to hire sewer overseer

  County poised to hire sewer overseer

  San Luis Obispo County supervisors today are expected to approve a request to spend up to $7.6 million to hire an engineering firm to oversee the construction of the Los Osos sewer.

  The county’s Public Works Department has selected the Walnut Creek office of HDR Engineering for the job of construction management services of the $173 million project.

  Although construction is not expected to begin until early summer, filling the contract is necessary because several preconstruction tasks must be completed, project manager John Waddell said in a staff report.

• Los Osos sewer work to begin by July

  Los Osos sewer work to begin by July

  With the start of construction of the Los Osos sewer drawing near, the county Board of Supervisors is expected today to hear a project update and consider approving two contracts for engineering and archaeological services totaling nearly $2 million.

  Construction is scheduled to start by the end of July, said Supervisor Bruce Gibson, whose district includes Los Osos. Gibson said he is confident construction will begin on time.

  A group of Los Osos residents has petitioned the California Coastal Commission to revoke the county’s permit for the project on the assertion that it is based on false information. Dan Carl, Central Coast supervisor for the commission, said the request could cause delays in the project because it will take staff time away from verifying that the county has met its permit conditions.

• Water rate hike disputed by customers

  Water rate hike disputed by customers

  More than 100 people from as far away as Ojai packed the South Bay Community Center in Los Osos on Friday afternoon to protest hefty rate increases proposed by Golden State Water Co.

  The private water company has customers throughout the state and county, including in Los Osos, Edna Valley and Nipomo. It is proposing various rate increases depending on location, with some of the biggest for 3,300 customers in Los Osos and Edna Valley where rates would go up 48.9 percent for a typical home in 2013.

  The state Public Utilities Commission held the meeting to get customer feedback. It must approve any rate increase and expects to make a decision a year from now, said Administrative Law Judge Richard Smith, who is hearing the case.