TROA is the result of nearly 30 years of effort to establish a single, binding plan that controls the management of the Truckee River and the reservoirs in the river system, which aims to provide water storage during drought years, protect existing water rights, provide enhanced river flows for the Pyramid Lake cui-ui and Lahontan cutthroat trout, and expand recreational opportunities along the river system.  TROA was signed in 2008 and implementation began in 2015.

Section 2.C.2 of TROA states that the expenses to administer the agreement be apportioned among the United States, Nevada, and California.  The Federal Water Master’s Office is the administrator of TROA and submits an annual budget to the federal and state signatories.  The Nevada share is 40% of budgeted expenses, with TMWA, Washoe County, City of Sparks, City of Reno, and City of Fernley contributing to the Nevada payment.  The City of Sparks share is 10% of the Nevada obligation.

Article III of the Joint Funding Agreement details how the Nevada share is split among the parties for the fiscal years beginning October 1, 2019, October 1, 2020, and October 1, 2021, as illustrated in the following table:

Article IV and V detail the process for agreeing to apportionment after the October 1, 2021 fiscal year.  The Nevada agencies agree in good faith to attempt to reach an agreement on apportionment beyond October 1, 2021.  If an agreement is not reached by June 30, 2022 the apportionment will be solved by binding arbitration by the Truckee River Special Hearing Officer.

Article VI details the process for seeking modification of the annual budget submitted by the Federal Water Master.  Upon receipt of the annual budget submitted by the TROA administrator, Nevada shall exercise its authority to approve or seek modifications of the budget by a three fifths majority of the Nevada parties.  If three of the parties cannot agree on approval or modification of the budget, the State of Nevada may approve or seek modifications based upon reasonable judgement. 

1. The City Council may approve the agreement as submitted.
2. The City Council may direct the City Manager to negotiate certain amendments to the agreement and return for future consideration.
3. The City Council may reject the agreement outright and provide direction to the City Manager.

I move to approve the agreement, for joint funding of the Truckee River Operating Agreement, between the State of Nevada, Truckee Meadows Water Authority, Washoe County, City of Sparks, City of Reno, and City of Fernley, with Sparks’ share being $60,000 for FY 20 and $60,000 for FY 21..