BOARD AGENDA MEMORANDUM
Government Code § 84308 Applies: Yes ☐ No ☒
(If “YES” Complete Attachment A - Gov. Code § 84308)
SUBJECT:
Title
Adopt a Resolution Approving the Award of Grant Funds From the State Coastal Conservancy to Santa Clara Valley Water District and Designating the Chief Executive Officer to Negotiate and Execute the Grant Agreement and any Amendments Thereto, and Future Grant Agreements and any Amendments Thereto, for the South San Francisco Bay Shoreline Phase 1 Project, Project No. 00044026 (San Jose, District 3).
End
RECOMMENDATION:
Recommendation
A. Adopt the Resolution APPROVING THE AWARD OF GRANT FUNDS FROM THE STATE COASTAL CONSERVANCY TO SANTA CLARA VALLEY WATER DISTRICT AND DESIGNATING THE CHIEF EXECUTIVE OFFICER TO NEGOTIATE AND EXECUTE THE GRANT AGREEMENT AND ANY AMENDMENTS THERETO, AND FUTURE GRANT AGREEMENTS AND ANY AMENDMENTS THERETO, FOR THE SOUTH SAN FRANCISCO BAY SHORELINE PHASE 1 PROJECT;
B. Approve the award of grant funding from the State Coastal Conservancy for the South San Francisco Bay Shoreline Phase 1 Project;
C. Delegate authority to the Chief Executive Officer (CEO) to negotiate and execute the Grant Agreement with the State Coastal Conservancy (SCC) and any amendments thereto, and future grant agreements and any amendments thereto, for funding to support the South San Francisco Bay Shoreline Phase 1 Project (Project), provided that all grant terms, conditions, and requirements are consistent or can be met;
D. Delegate authority to the CEO, including the Chief Financial Officer, to sign and submit invoices and requests to SCC for grant fund reimbursements to be made pursuant to such grant agreements; and
E. Delegate to the CEO such authority as needed to provide management and support services required for performance of the work and administration pursuant to the grant agreements, as deemed necessary and appropriate.
F. Authorize the CEO to execute the Grant Agreement with SCC and any amendments thereto, and future grant agreements and any amendments thereto, using electronic means pursuant to the Uniform Electronic Transactions Act.
Body
SUMMARY:
At the State Coastal Conservancy (SCC) Board meeting on April 18, 2024, the SCC authorized a grant of $7,428,300 to Santa Clara Valley Water District (Valley Water) for implementation of the South San Francisco Bay Shoreline Phase 1 Project in the community of Alviso, City of San José, Santa Clara County.
Completion of the South San Francisco Bay Shoreline Phase 1 Project (Project) will provide flood protection with a flood risk management levee, restore 2,900 acres of former salt evaporation ponds to tidal marsh, and enhance recreation and public access in the Alviso area. The U.S. Army Corps of Engineers (Corps) is constructing the Shoreline Project pursuant to a cost-sharing agreement with Valley Water and the SCC, who are the non-federal sponsors for the Project. Corps began construction of Reaches 1-3 of the Project, from Alviso Marina to Artesian Slough, in December 2021. Completion of Reaches 1-3 is anticipated to be completed in Summer 2025. Board approval of the recommended actions is required to obtain up to $7,428,300 million in reimbursements of eligible expenditures for the remaining Reaches 4-5 of the Project construction, scheduled to commence as early as fall of 2027, from Artesian Slough to Coyote Creek).
Execution of the Grant Agreement is required by SCC to receive reimbursement for Reaches 4-5 expenses (eligible costs). The term of the Grant Agreement begins upon execution of the Grant Agreement and extends to January 31, 2050, unless otherwise terminated or amended. All work must be completed by January 31, 2040, the completion date. Currently, the Grant Agreement allows up to $7,428,300 million in disbursements.
This resolution approves grant funding directly from SCC, and it also approves grant funding received through SCC where the originating source of that grant funding may be another public agency. Staff will review and confirm Valley Water’s ability to achieve present and future compliance with all grant requirements and staff will ensure ongoing compliance with the grant terms and conditions, prior to executing the Grant Agreement and any additional grant agreements and amendments for this Project.
ENVIRONMENTAL JUSTICE AND EQUITY IMPACT:
The project team has conducted significant outreach to the impacted community and discussed the impacts and benefits of the project. This engagement has enabled the Valley Water project team to develop a greater understanding of cultural sensitivities and awareness for all communities, particularly disadvantaged communities, that may be impacted by our capital improvement projects.
The Project exists in a known environmental justice area that includes 1,100 structures, 2,500 residents, and 3,000 commuters who work and travel through the area each day and includes the community of Alviso, a disadvantaged community. Completion of this Project would have a positive impact on this low-income community by reducing the potential for economic flood damages caused by any coastal flood event. The Project would provide integrated 100-year coastal flood protection, as well as resiliency against projected sea level rise.
Without this Project, the community of Alviso would remain at risk to flooding that would continue to grow due to impending rising seas. The community of Alviso sits at 13 feet below sea level and has experienced severe flooding many times, specifically in 1973, 1983, 1998, 2003, 2005, and 2014. A 100-year flood event that would occur today would result in more than $200 million in structure and content damages to the Alviso community. These damage estimates are projected to increase over the next 50 years as sea levels rise.
FINANCIAL IMPACT:
The San Francisco Bay Shoreline Project, Project No. 00044026 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. Approval of the proposed recommendation may result in up to $7,428,300 in disbursements from the SCC to Valley Water for eligible costs incurred for the Project. The Project is funded by the Watershed Stream Stewardship Fund (Fund 12).
CEQA:
The recommended action does not constitute a project under California Environmental Quality Act (CEQA) because it does not have a potential for resulting in direct or reasonably foreseeable indirect physical change in the environment.
ATTACHMENTS:
Attachment 1: Resolution
UNCLASSIFIED MANAGER:
Manager
Bhavani Yerrapotu, 408-630-2735