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SR-502-001 (2) f) .- ~CitYOf Santa Moniea@ City Council Report City Council Meeting: September 12,2006 Agenda Item: _i-:r: To: Mayor and City Council From: Craig Perkins, Director - Environmental and Public Works Management Subject: Acceptance and Appropriation of Federal FY 2006/2007 U.S. Environmental Protection Agency Grant Funds for the Santa Monica Water Infrastructure Reliability Project Recommended Action It is recommended that City Council: 1. authorize the City Manager to accept the Federal Fiscal Year 2006/2007 U.S. Environmental Protection Agency Grant Funds for the Santa Monica Water Infrastructure Reliability Project; and 2. authorize the necessary budget appropriations outlined In the BudgetlFinanciallmpact section of this report. Executive Summary The U.S. Environmental Protection Agency (EPA) awarded a $529,900 grant to the City of Santa Monica for the Santa Monica Water Infrastructure Reliability Project. The grant will be used to assess the water storage needs of the City, and design of replacement water mains in areas of old and/or unlined cast iron pipelines throughout the City. The total cost of the project, including City contributions, is $990,600. Any contracts to 1 perform feasibility and/or design work associated with the grant funded project will be directed to City Council at a later date. Discussion In 1998, the U.S. Army Corps of Engineers prepared a report entitled City of Santa Monica Infrastructure and Restoration Special Study (Feasibility Phase) This study assessed the seismic reliability of the City's water supply and distribution system after the 1994 Northridge earthquake. As expected, the study confirmed the vulnerability of Santa Monica's water infrastructure in the event of a major earthquake. In 1994, main breaks occurred; however, water supply was maintained because the City could continue to operate its wells and draw from its groundwater supplies. In 1996, groundwater contamination forced the closure of 9 of the City's 11 water wells. These wells remain off pending remediation and cost recovery efforts. In the event of a major earthquake during a loss of local groundwater availability, the water storage capabilities of the City and the reliability of its distribution infrastructure become critical for fire protection needs and domestic service. Water Storaqe Needs Santa Monica currently operates a water distribution system which includes 40 million gallons of treated water storage in four reservoirs. In the event of a loss of water supply into the system, such as a major seismic event, the City would be completely reliant upon stored water to meet domestic demands and fire protection requirements. With significant conservation efforts, and assuming the loss of water supply occurred at a 2 time when the reservoirs were full, 40 million gallons would provide approximately four days of supply. This time frame could be significantly shortened if water were used for fire fighting. The Santa Monica Water Infrastructure Reliability Project would assess the water storage needs of the City and provide information on the feasibility of a capital project for a new 20 Million-Gallon Reservoir Water Main Replacement Santa Monica operates and maintains 236 miles of water distribution pipelines throughout the City. Approximately 30% of the pipelines are cast iron, unlined. Some of these pipelines are up to 60 years old. The age of the pipelines, along with the deterioration of the interior pipe walls create water quality problems and hydraulic inefficiencies. Additionally, these cast iron mains are less likely to remain intact during and after a moderate or major earthquake. The grant funded project will allow the City to begin a design for the most cost-effective replacement and/or upgrade of these pipelines. BudqetlFinanciallmpact The following budget changes are needed to record receipt of the 2005 grant funds and make them available for program use: 1) increase budget for revenue account number 20671.403950 by $240,600; and, 2) appropriate $240,600 to Capital Improvement Project account C200609.589000 (Water System Improvement). 3 Prepared by: Gil Borboa, Water Resources Manager Jean Higbee, Water Resources Business Supervisor Approved: Forwarded to Council: Craig Perkins Director - E lronmental and Public Works Management Department 4