TO: LINDA REICH, CITY MANAGER
FROM: HYE JIN LEE, PE, DIRECTOR OF PUBLIC WORKS
SUBJECT
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Adopt Resolution No. 2025-080 to enter into a Funding Agreement D2502006 with the State Water Resources Control Board for the Drinking Water State Revolving Fund program to fund the State Street Water Treatment Plant Project (WA212).
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RECOMMENDATION
1) Adopt Resolution No. 2025-080, authorizing the City to enter into Agreement No. D2502006 with the State Water Resources Control Board through the Drinking Water State Revolving Fund program to fund the State Street Water Treatment Plant Project (WA212); 2) accept the Emerging Contaminates Grant included in the Agreement D2502006 and appropriate $25,000,000 to the expenditures and revenue of the Water Fund Grant G7263; 3) reduce the State Street Water Treatment Project (WA212) budget in the Water Fund (520) by $25,000,000 and; 4) authorize the City Manager to execute all necessary documents on behalf of the City.
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FISCAL IMPACT
Requires an appropriation of $25,000,000 in expenditures and revenues to the Water Fund Grant G7263 for the Emerging Contaminates Grant awarded through the State Water Resources Control Board. Concurrently, it will reduce the Water Fund (520) budget for the State Street Water Treatment Project WA212, by $25,000,000.
There is no change in the total project budget for Project WA212. This adjustment reallocates the funding from the Water Fund to the grant, thereby increasing the Water Fund (520) fund balance by $25,000,000.
City Council adopted Resolution No. 2025-001 on January 7, 2025, authorizing staff to apply for a federal loan administered through the State Water Resources Control Board (State Water Board) under the "Drinking Water State Revolving Fund" (DWSRF) Program for project WA212. The State Water Board has now determined that project WA212 is eligible not only for a DWSRF Loan amount of $35,000,000, but also for a DWSRF Emerging Contaminants Grant in the amount of $25,000,00...
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