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SR-508-008 EPWM:CP:BJ:NS:/Prop50Chap5grants Council Meeting: January 10, 2006 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Authorize the City Manager to Negotiate and Execute Two Grant Agreements with the State of California; to Adopt Resolutions to Receive Grants to Support the Bicknell Green Street Urban Runoff th Project and the 16 Street Multi-Stage Urban Runoff Treatment- Reuse Project; and Authorize the Appropriation of Grant Funds Introduction This report recommends that the City Council authorize the City Manager to negotiate and execute two grant agreements with the State Water Resources Control Board from Proposition 50, Chapter 5 funding for the City?s urban runoff improvement projects. The proposed projects are comprised of the construction of sub-surface urban runoff treatment systems along Bicknell Street between th Main and Fourth Streets, and in the City?s 16 Street Watershed, adjacent to Marine Park. The report also requests that Council adopt resolutions to receive the grant awards and authorize the appropriation of the grant funds. Background Federal, state and local regulations require the City to reduce urban runoff pollution from storm drain discharges into the Santa Monica Bay. Recent changes in these regulations have shifted the management strategy for urban runoff control from an end-of-pipe approach to a sustainable watershed approach, where the entire watershed or storm drainage area is evaluated for 1 stormwater management opportunities. The watershed approach is considered a best management practice (BMP) and promotes reduction of runoff volume and prevention of urban runoff pollution as guiding principles. Discussion The two proposed projects and their respective grant awards are presented below. Both projects are intended to help restore water quality and maintain the beneficial uses of the Santa Monica Bay. In addition, the projects will assist the City in complying with regulatory requirements imposed by the National Pollution Discharge Elimination System and Total Maximum Daily Loads mandates. A prior staff report dated June 22, 2004 provides additional information regarding th the 16 Street project. Bicknell Green Street Urban Runoff BMP Project The construction of the Bicknell Green Street Project, with an estimated total cost of $724,494, is being funded in part by the State?s Proposition 50, Chapter 5 grant program. The grant award of $450,000 is expected to cover a major portion of the construction costs. The proposed treatment system includes the installation of permeable surfaces in gutters and parking lanes to allow urban runoff to infiltrate through the pavement into the ground, thereby removing a variety of soluble pollutants and preventing them from reaching the Bay. If successful, it is anticipated that this demonstration project will encourage other 2 municipalities to adopt this strategy in streets and other paved areas throughout California. A similar green street was successfully built in Seattle. th 16 Street Multi-Stage Urban Runoff BMP Project th The construction of the 16 Street BMP treatment system, with a cost estimated to be $1,765,186, is also being funded in part by the State?s Proposition 50, Chapter 5 grant program. The grant award of $500,000 is expected to cover a portion of the construction costs. This treatment system is proposed to be located adjacent to Marine Park and includes a primary separation-screening chamber to remove trash, debris, sand, oil and grease, as well as other soluble pollutants, and a secondary filtering system to further treat the runoff. From this treatment system, treated water will flow into a cistern-leach field where the treated water will be stored for reuse or will percolate into the ground. Treated water exceeding the capacity of the percolation system will flow back into the storm drain system and into the Bay. The City has also been awarded a Federal 319 grant of $470,000 to help fund this project. Budget/Financial Impact The following budget changes are needed to record receipt of the grant awards and make them available for program use: 1. Establish a revenue budget in the amount of $450,000 at account 3 number 20662.403680. 2. Appropriate $450,000 in capital improvement project number C200701.589000 (Prop 50 ? Bicknell Green Street Runoff BMP). 3. Establish a revenue budget in the amount of $500,000 at account number 20662.403690. 4. Appropriate $500,000 in capital improvement project number th C200703.589000 (Prop 50 ? 16 Street Runoff BMP). Staff is currently identifying potential funding sources for the balance of the project budgets and, once the necessary additional funding is secured, will return to Council in the latter part of 2006 for final projects? approval. Recommendation Staff recommends that the City Council authorize the City Manager to negotiate and execute two grant agreements with the State Water Resources Control Board, adopt the attached resolutions in support of the installation of urban runoff th treatment systems in the City?s 16 Street Drainage Basin adjacent to Marine Park and along a portion of Bicknell Street, and appropriate grant funds as identified in the above budget changes. Prepared by: Craig Perkins, Director, Environmental and Public Works Management Anthony Antich, P.E., City Engineer, Civil Engineering & Architecture Gil Borboa, P.E., Water Resources Division Manager Brian Johnson, Environmental Programs Division Manager Neal Shapiro, Senior Administrative Analyst th See Adopted Resolution Numbers: 10099(CCS) (Bicknel) & 10100(CCS) (16 St) th Reference Contract Numbers: 8542(CCS) (Bicknel) & 8543(CCS) (16 St) 4