REPORT TO COUNCIL
SUBJECT
Title
Action on Adoption of a Resolution Authorizing the Submittal of Application(s) for the California Department of Water Resources Urban Multi-Benefit Drought Relief Grant Program
Report
COUNCIL PILLAR
Promote Sustainability and Environmental Protection
BACKGROUND
The Water & Sewer Utilities Department provides potable water to approximately 26,000 customers in Santa Clara. The City receives its water from four sources: groundwater pumped from City owned wells, treated water from Valley Water, Hetch-Hetchy water from the San Francisco Public Utilities Commission (SFPUC), and recycled water through South Bay Water Recycling, operated by the City of San Jose. Hydrological analysis in Santa Clara revealed the need to drill and equip two new groundwater wells to serve current and future needs for the City's customers.
Staff recognizes that the cost of doing so would impact City rate payers. In an effort to blunt such an impact and in cooperation with Townsend and Associates, the City's lobbyist, staff began searching for alternative financing for the two new wells.
DISCUSSION
The California Department of Water Resources (DWR) Urban Multi-Benefit Drought Relief Grant Program allocated up to $300 million statewide for conservation programs and drought relief efforts. In collaboration with Townsend, City staff submitted an application for this program in October 2022 for funding for the drilling and equipping of two new groundwater wells and rehabilitating/reactivating one well in the City. The estimated amount requested is $4,537,500 with a City match of $1,512,500 (25%) for a total project cost of $6,050,000.
Staff requests that Council grant authority to the City Manager to sign any necessary submittals for the acceptance of this money, should the state accept the City's application.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a "project" within the meaning of the California Environmental Quality Act ("C...
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