FOR: City Council and Rialto Utility Authority Meeting June 11, 2024
TO: Honorable Mayor and City Council
APPROVAL: G. Michael Milhiser, Interim City Manager
FROM: Toyasha Sebbag, Assistant to the City Manager
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Request that the City Council and Rialto Utility Authority Board: 1) Adopt Resolution No. 8247 and RUA Resolution No. 08-35 amending the 2023-2024 fiscal year budget; 2) Approve Proposition 1 Round 2 Integrated Regional Water Management Implementation Grant Funding Contract between the Santa Ana Watershed Project Authority and the City of Rialto in the amount of $2,149,748 for the Rialto Habitat Nature Center Project; and 3) Authorize the City Manager/Executive Director to execute all documents.
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RECOMMENDATION:
Staff recommends that the City Council and Rialto Utility Authority Board: 1) Adopt Resolution No. 8247 and RUA Resolution No. 08-35 amending the 2023-2024 fiscal year budget; 2) Approve Proposition 1 Round 2 Integrated Regional Water Management Implementation Grant Funding Contract between the Santa Ana Watershed Project Authority and the City of Rialto in the amount of $2,149,748 for the Rialto Habitat Nature Center Project; and 3) Authorize the City Manager/Executive Director to execute all documents.
BACKGROUND:
On November 4, 2014, California voters approved Proposition 1, the Water Quality, Supply, and Infrastructure Improvement Act of 2014. Proposition 1 authorized $510 million in Integrated Regional Water Management (IRWM) funding. California was divided into 12 funding regions to allocate the funding with Rialto falling into funding Region 5 - Santa Ana Sub-Region.
The IRWM Grant Program is designed to encourage integrated regional strategies for the management of water resources and to provide funding for programs and projects that support local IRWM planning and implementation. IRWM serves as the mechanism for the Department of Water Resources (DWR) to administer Proposition (water bond) funding to projects that help meet the long-term water needs of the state. The Santa Ana Watershed Project Authority (SAWPA) is the lead agency for the Santa Ana Sub-Region funding, and has created, and implemented the One Water One Watershed (OWOW) Integrated Regional Water Management (IRWM) Program for the region.
On November 24, 2015, the City of Rialto adopted Resolution No. 6855, the “One Water One Watershed (OWOW) 2.0 Plan”, the Integrated Regional Water Management Plan (IRWMP) for the Santa Ana River Watershed, which made the City eligible to apply for and receive IRWM Region 5 funding.
ANALYSIS/DISCUSSION
From January through March 2022, SAWPA released applications for OWOW participants to submit projects to apply for Proposition 1 Round 2 funding. Rialto submitted an application to SAWPA for the Rialto Habitat Nature Center (RHNC).
On May 5, 2023, SAWPA was notified that the California Department of Water Resources (DWR) fully funded each of the projects included in the Santa Ana Funding Area Proposition 1 Round 2 IRWM application, which included $2,149,748 million for the RHNC.
On January 10, 2024, DWR and SAWPA entered into a Proposition 1 Round 2 Integrated Regional Water Management Implementation Grant Agreement that provides that SAWPA would serve as the program manager for the $29,058,570 in IRWM grant funds to be disbursed to Sub-Grantees. Rialto is considered a Sub-Grantee of this agreement. As such, staff is bringing the grant authorization and agreement before the City Council for final authorization.
ENVIRONMENTAL IMPACT:
The requested City Council action is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has the potential to result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. According to Section 15378(b), a Project does not include (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.
GENERAL PLAN CONSISTENCY:
Approval of this action complies with the following:
Our City government will lead by example and will operate in an open, transparent, and responsive manner that meets the needs of the citizens and is a good place to do business.
LEGAL REVIEW:
The City Attorney has reviewed this staff report, resolutions, and grant agreement and approved it as to form.
FINANCIAL IMPACT:
Operating Budget Impact
None.
Capital Improvement Budget Impact
A significant portion of the Rialto Habitat Nature Center Project (RHNC) construction costs has been secured through grants:
|
AMOUNT |
SOURCE |
|
$2.15 million |
SAWPA (state) |
|
$2.00 million |
Rep. Pete Aguilar (federal) |
|
$1.05 million |
Senator Connie M. Leyva (state) |
|
$5.20 million |
Amount Funded |
Staff has two pending grant applications with the Bureau of Reclamation and only needs one of the two grants approved to fully fund the RHNC project through grants for a total project cost of $10.4 million.
The SAWPA grant requires a 50% cost share that can be secured with federal matching funds already secured in the above table and pending additional federal grant funding.
Licensing
This action does not require a business license.