BOARD AGENDA MEMORANDUM
Government Code § 84308 Applies: Yes ☐ No ☒
(If “YES” Complete Attachment A - Gov. Code § 84308)
SUBJECT:
Title
Adopt Plans and Specifications and Authorize Advertisement for Bids for the Phase 2B Construction of the Upper Llagas Creek Flood Protection Project, Project No. 26174055, Contract No. C0695 (Morgan Hill, District 1).
End
RECOMMENDATION:
Recommendation
A. Adopt the Plans and Specifications and Authorize Advertisement for Bids for the Phase 2B Construction of the Upper Llagas Creek Flood Protection Project per the Notice to Bidders; and
B. Authorize the Designated Engineer to issue addenda, as necessary, during the bidding process.
Body
SUMMARY:
Santa Clara Valley Water District (Valley Water) is undertaking the Upper Llagas Creek Flood Protection Project (Project) in partnership with the U.S. Army Corps of Engineers (USACE), the State of California, and the City of Morgan Hill (City) to provide 1% flood protection to approximately 1,100 homes and 500 businesses along West Little Llagas Creek, East Little Llagas Creek, and Llagas Creek. The Project, part of the renewed Safe, Clean Water and Natural Flood Protection Program, is approximately 13.9 miles long and encompasses the City of Morgan Hill, City of Gilroy, and various unincorporated areas of Santa Clara County, including San Martin. (Project Map, Attachment 1).
Llagas Creek and its tributaries are part of the Uvas/Llagas Watershed, the area of land over which rain falls and then drains southward to the Pacific Ocean through Monterey County or into reservoirs for storage. The Uvas-Llagas Watershed is a 104-square-mile region that is distinguished by its agricultural lands and natural areas. Part of the larger Pajaro River Watershed, the creeks within this watershed are the only waterways in Santa Clara County that flow southward.
The Project consists of channel widening and deepening, instream improvements for wildlife and habitat, constructing box culverts, underground high flow bypass tunnel, and revegetation. The Project’s mitigation elements to offset environmental impacts associated with the construction work include the following environmental elements:
• Riparian mitigation consisting of approximately 114 acres of native vegetation plantings;
• Creation of the Lake Silveira wetlands, approximately 5 acres;
• Creation of plant, fish, and wildlife habitat;
• Invasive plant removal (13.0± acres);
• In-stream complexities-woody debris (464 instream complexity features including divide logs, wing deflectors, rootwads and boulder clusters);
• Turtle basking sites within the created wetlands (10 turtle basking sites);
• Tree girdling (27 invasive trees girdled for bat/owl habitat);
• Bat boxes (14);
• Upland log piles (148 locations);
• Removal of legacy trash & hardscape debris (2.3± acres of remediation); and
• In-fill native planting sites (11± acres).
Valley Water’s Project team has obtained the following required regulatory permits:
• California Department of Fish and Wildlife (CDFW) 1600 Permit, dated January 11, 2017;
• Central Coast Regional Water Quality Control Board 401 Water Certification, dated July 27, 2017;
• Incidental Take Permit (ITP) from CDFW for California Tiger Salamander. Valley Water’s Board of Directors approved at its September 25, 2018, hearing the execution of the ITP and Valley Water’s purchase of mitigation credits from the Sparling Ranch Conservation Bank; and
• U.S. Army Corps of Engineers Regulatory Branch, 404 permit, dated March 26, 2019.
The Project is being constructed in three phases (Phases 1, 2A, and 2B) and flood protection will only be realized after construction completion of all of the following three phases:
• Phase 1 construction (Reaches 4, 5, 7a, and the Lake Silveira wetlands) began on September 3, 2019. The Valley Water Board of Directors accepted Phase I civil work on May 24, 2022, and Valley Water expects to complete the three-year plant establishment period in March 2025.
• Based on approval by the Valley Water Board of Directors at its January 14, 2020 meeting, Phase 2 will be constructed in Phase 2A and Phase 2B. The Phase 2A contract was awarded on May 13, 2021 and construction began on June 21, 2021. Phase 2A construction includes a portion of Reach 8 from Ciolino Avenue upstream to approximately 300 feet north of the existing West Main Avenue and Hale Avenue intersection. Phase 2A also includes construction of an approximately 2,300 linear feet horseshoe-shaped underground high-flow diversion tunnel and approximately 1,600 linear feet of twin reinforced concrete box culverts upstream and downstream of the tunnel. Other elements of construction include traffic control, detours, road work, utility relocations and coordination, fencing, soil testing as required for off-site disposal, concrete and other miscellaneous work, community outreach and coordination. Construction is anticipated to be completed in May 2024.
• Phase 2B involves construction of Reach 6 (Highway 101 upstream to Monterey Road), Reach 7B (Watsonville Road to Ciolino Avenue), the remaining portion of Reach 8 (approximately West Main Avenue to Llagas Road), and Reach 14 (confluence with Reach 4 upstream to Sycamore Avenue). Phase 2B construction consists of approximately 1,900 linear feet of twin reinforced concrete box culverts, creek modifications and excavation by widening and deepening, installation of culverts at various street crossings, construction of an inlet basin weir split-flow structure, bridge underpinning work, installation of instream complexities, removal of plantings and non-native plantings, habitat enhancements, revegetation, utility relocations and coordination, outfall modifications, aggregate base maintenance roads, access ramps, traffic controls/detours, fencing, soil testing as required for off-site disposal, concrete and other miscellaneous work, community outreach and coordination. Construction is anticipated to take approximately three years to complete, followed by a three-year plant establishment period.
Phase 2B flood protection improvements require the replacement of Hale Avenue post-construction and the City and Valley Water have agreed to include City improvements with the restoration of Hale Avenue. This coordination between the City and Valley Water will result in savings and a reduction of public impacts to the community. City improvements include, undergrounding of utilities along the west side of Hale Avenue in coordination and in cooperation with PG&E, AT&T, Frontier, and others, installation of new streetlights, new curbs, gutters, sidewalks, and a new soundwall along a portion of the east side of Hale Avenue between West Main Avenue and Wright Avenue.
Outreach to Bidders
The Notice to Bidders (Attachment 2) will be sent to the following recipients: approximately 26 plan rooms, 50 minority businesses, Chambers of Commerce and small business groups, certified small business contractors, and local and regional firms that have the appropriate license for this type of work, and the Santa Clara and San Benito Counties Building and Construction Trades Council, which maintains contacts with at least 500 contractors and 70 union representatives, for distribution to their members.
Board Adoption of Plans and Specifications and Addenda Authorization
Board adoption of plans and specifications and Board authorization to advertise is recommended in order to proceed to bid the Project for construction. Authorizing the Designated Engineer to issue addenda during the bidding allows for modifications to the construction contract documents, if necessary, during the bidding period and before the contract is awarded. Specifications will be provided with a Supplemental Board Agenda Memorandum and will be made available to the public on Friday, May 10, 2024.
Public Outreach
Valley Water will utilize various outreach strategies to keep the community informed of the Project’s progress and important milestones. During the Project’s design phase, outreach strategies included numerous public meetings and mailed notices to collect input, a Project webpage <https://www.valleywater.org/project-updates/e6-upper-llagas-creek-flood-protection-0>, Project fact sheets, and media relations.
During construction, outreach will be targeted to the surrounding neighborhoods and include pre-construction and post-construction public meetings. In addition to the outreach tactics used during the design phase, construction phase outreach will include regular email updates and construction site signage.
United States Natural Resources Conservation Service (NRCS) Grant Agreement
According to the Watershed Protection and Flood Prevention Act (Public Law 83-566) passed in 1954, the United States Department of Agriculture’s (USDA) Secretary of Agriculture is authorized to provide financial assistance to state and local governments for projects that protect and restore watersheds up to 250,000 acres. On October 4, 2017, it was announced that the USDA agency, NRCS, would invest $150 million in 48 new projects.
Valley Water staff initially met with NRCS on January 30, 2019, to discuss the possibility of receiving grant funding for the Llagas Creek Flood Protection Project. Valley Water staff has been working with NRCS to complete the required documentation and steps required to execute a grant funding agreement. On December 12, 2023, the Valley Water Board of Directors authorized the Chief Executive Officer, or their Designee, to negotiate and execute an approximately $80 million Grant Agreement with the United States Department of Agriculture, Natural Resources Conservation Service (NRCS) for funding to support Phase 2B construction. Staff is continuing to work with NRCS to provide the necessary information to execute the grant agreement and confirming that all grant terms, conditions, and requirements can be met. Execution of the NRCS grant agreement is anticipated to be completed by June 2024.
Phase 2B construction contract award is contingent on the execution of the NRCS grant agreement.
Rights of Way
Valley Water staff has acquired all the right of way required to construct Phase 2B of the Project. Valley Water sent a letter to NRCS, dated August 29, 2023, providing Phase 2B right of way certification.
Next Steps
If the Board approves the recommendations, staff will proceed to advertise for bids for Project construction. The next Board action is award of the construction contract, tentatively scheduled for the July 9, 2024, Board meeting, pending execution of the NRCS grant agreement. The Project Delivery Process Chart (Attachment 3) highlights the current Project phase and the staff recommendations before the Board.
ENVIRONMENTAL JUSTICE AND EQUITY IMPACT:
There are no Environmental Justice and Equity Impacts associated with this item. The completed project will provide the flood protection needed for the community.
FINANCIAL IMPACT:
The Upper Llagas Creek Flood Protection Project, Project No. 26174055, is included in the Capital Improvement Program (CIP) Draft Fiscal Years (FY) 2025-29 Five-Year Plan and in the FY 2023-24 Adopted Budget. The Project is funded through the Safe, Clean Water and Natural Flood Protection Fund (Fund 26). There is no financial impact associated with the recommendation to; Adopt the Plans and Specifications and Authorize Advertisement for Bids for the Phase 2B Construction of the Upper Llagas Creek Flood Protection Project per the Notice to Bidders; and Authorize the Designated Engineer to issue addenda, as necessary, during the bidding process.
The NRCS grant is anticipated to result in approximately $80 million in new federal grant revenue for Valley Water to help pay for construction completion of the Phase 2B Project, planned for FY 2024-26. The NRCS grant will be utilized by Valley Water to pay 100 percent of the eligible Phase 2B construction costs.
Phase 2B construction contract award is contingent on the execution of the NRCS grant agreement.
CEQA:
Certification of the EIR
On June 10, 2014, the Board certified the Environmental Impact Report for the Upper Llagas Creek Project and adopted Resolution No. 14-67.
Certification of the Final EIS
USACE San Francisco Regulatory Division released the Project’s Final Environmental Impact Statement (EIS) for Public Review on December 7, 2018. The Public Review period ended on January 11, 2019. The USACE San Francisco Regulatory Division issued a Record of Decision on March 26, 2019.
ATTACHMENTS:
Attachment 1: Map
Attachment 2: Notice to Bidders
Attachment 3: Project Delivery Process Chart
Attachment 4: Plans
*Supplemental Agenda Memo
*Supplemental Attachment 1: Specifications, Volume 1
*Supplemental Attachment 2: Specifications, Volume 2
UNCLASSIFIED MANAGER:
Manager
Bhavani Yerrapotu, 408-630-2735