HomeMy WebLinkAboutStaff Report 3.I 09/14/2015Agenda Item x#3.1
� E
y `AR
DATE: September 14, 2015
TO: Honorable Mayor and Members of the City Council through City Manager
FROM: Dan Sl t.. l ASCE — Director, Public Works and Utilities
Leah Walker, P.E. — Environmental Services Manager
SUBJECT: Resolution Authorizing the City Manager to Sign an Agreement with the Sonoma
County Water Agency for Proposition 84 Grant Funding for Water - Efficient
Landscape Program
RECOMMENDATION
It is recommended that the City Council approve the Resolution Authorizing the City Manager to
Sign an Agreement with the Sonoma County Water Agency for Proposition 84 Grant Funding
for Water- Efficient Landscape Program.
BACKGROUND
On July 16, 2014, the California Department of Water Resources approved a Proposition 84
grant application by the Association of Bay Area Governments (ABAG) for implementing the
Bay Area Regional Water Enhancement Program. ABAG then executed an agreement with the
Solano County Water Agency to implement the Bay Area Regional Conservation and Education
Project, of which the Sonoma County Water Agency (Water Agency) is one of eleven
participating agencies. The Proposition 84 Integrated Regional Water Management Grant
Memorandum of Understanding (MOU) governs the Project. Under the MOU, the Water Agency
was awarded a grant of $202,500 to implement water use efficiency programs. The Water
Agency has been authorized to distribute grant funding to North Marin Water District, City of
Sonoma, Valley of the Moon Water District, City of Petaluma, Daily Acts and Master Gardeners.
The City of Petaluma's turf conversion program, Mulch Madness, is eligible for Grant funding
under the MOU. The new grant funding follows two previous water conservation grants awarded
to the City of Petaluma in 2011 for the City's SmartYard program, the Mulch Madness program,
fixture rebates, and direct installation programs. The new grant is specifically for Water —
Efficient Landscapes such as the Mulch Madness program.
DISCUSSION
The Funding Agreement will provide the City with up to $25,875 in grant funding for the Mulch
Madness program. The funding is substantially less than the previous grant of $330,000 and is
focused on the program that saves the most potable water at the lowest cost. The funding will
pay 75% of the Mulch Madness Program costs, which are approximately $0.50 per square foot of
converted turf. The City is required to pay the remaining 25% as a match to the grant. The grant
will provide funding to convert 69,000 square feet of turf, or approximately 69 typical single -
family lawns, which is estimated to save about 1.5 million gallons per year. In previous years,
the City paid for approximately 175 residential turf conversions.
The turf conversion program is consistent with the California Urban Water Conservation
Council's ( CUWCC) Best Management Practices (BMPs) as well as the City of Petaluma's
Water Conservation Plan. The City and the Water Agency are both signatories to the CUWCC
Memorandum of Understanding Regarding Urban Water Conservation in California and are
therefore required to meet the BMP guidelines outlined therein.
This action is consistent with General Plan 2025 Goal 8 -G -5: "Maximize water conservation
measures to improve water use efficiency and reduce overall water demand."
FINANCIAL IMPACTS
The City is required to match grant funding at a minimum of 25% for this agreement or
$6,468.75. The current water conservation program budget is $716,171, which will provide the
grant matching requirements.
ATTACHMENTS
1. Resolution. Authorizing the City Manager to Sign an Agreement with the Sonoma County
Water Agency for Proposition 84 Grant Funding for Water - Efficient Landscape Program
2. Funding Agreement for the City of Petaluma Water Conservation Program
2
Attachment 1
RESOLUTION AUTHORIZING THE CITY MANAGER TO SIGN AN AGREEMENT
WITH THE SONOMA COUNTY WATER AGENCY FOR PROPOSITION 84 GRANT
FUNDING FOR WATER- EFFICIENT LANDSCAPE PROGRAM
WHEREAS, the City of Petaluma wishes to continue to improve water use efficiency in
order to reduce operating costs, avoid or defer capital improvement costs associated with
expansion of water supply and wastewater disposal systems, minimize associated environmental
impacts, and meet the criteria and standards of state and federal regulatory agencies; and
WHEREAS, the City of Petaluma and the Sonoma County Water Agency (Water
Agency) are signatories to the Memorandum of Understanding Regarding Urban Water
Conservation in California (MOU) as governed by the California Urban Water Conservation
Council (CUWCC), and
WHEREAS, the MOU identifies water conservation Best Management Practices (BMPs)
that achieve long -term reductions in per- capita water demand to improve supply reliability,
reduce the impact of short-term water shortage conditions, and provide a more accurate basis for
future water management planning efforts; and
WHEREAS, the City of Petaluma Water Conservation Plan also identifies numerous
water conservation programs and measures that further improve water use efficiency throughout
the City; and
WHEREAS, on July 16, 2014, the Department of Water Resources approved a
Proposition 84 grant application by the Association of Bay Area Governments for implementing
the Bay Area Regional Water Enhancement Program; and
WHEREAS, the Water Agency is a participating agency in the Bay Area Proposition 84
Integrated Regional Water Management Grant Memorandum of Understanding (Prop 84 MOU);
and
WHEREAS, under the Prop 84 MOU the Water Agency was awarded grant funding to
implement water use efficiency programs for local water retailers; and
WHEREAS, the Water Agency will distribute Grant funding for water use efficiency
programs to North Marin Water District, City of Sonoma, Valley of the Moon Water District,
City of Petaluma, Daily Acts and Master Gardeners; and
WHEREAS, the City of Petaluma will use the grant funding to offset costs in the
existing water conservation budget and to help reduce water operating costs.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Petaluma hereby authorizes the City Manager to Sign the Agreement with the Sonoma County
Water Agency for Proposition 84 Grant Funding for Water - Efficient Landscape Program.
Attachment 2
ba:s: \techw \agreements \1415- 106.docx version: 7/30/201511:05:00 AM
TW 14/15 -106
Funding Agreement for the
City of Petaluma Water- Efficient Landscape Program
This Agreement is between the Sonoma County Water Agency, a body corporate and politic of the
State of California (hereinafter "Water Agency "), and City of Petaluma (hereinafter "City ").
RECITALS
A. California is in the fourth year of a significant drought that has reduced water storage levels to
unprecedented low levels and caused critical water shortages in some communities in the Bay
Area.
B. City and Water Agency share the goal of promoting increased water use efficiency in order to
reduce operating costs, avoid or defer capital improvement costs associated with expansion of
water supply and wastewater disposal systems, minimize associated environmental impacts, and
meet the criteria and standards of state and federal regulatory agencies.
C. The Restructured Agreement for Water Supply ( "Restructured Agreement ") authorizes Water
Agency to implement and fund water conservation measures that are cost - effective and will reduce
water demands on Water Agency's water transmission system.
D. City and Water Agency are signatories to the Memorandum of Understanding Regarding Urban
Water Conservation in California (MOU) as governed by the California Urban Water Conservation
Council (CUWCC).
E. The MOU identifies water conservation Best Management Practices (BMPs) that achieve long -term
reductions in per- capita water demand to improve supply reliability, reduce the impact of short -
term water shortage conditions, and provide a more accurate basis for future water management
planning efforts.
F. On July 16, 2014, Department of Water Resources executed a grant agreement with Association of
Bay Area Governments, to implement the San Francisco Bay Area Regional Water Enhancement
Program.
G. The Association of Bay Area Governments, acting as the Lead Applicant, executed an agreement
with Solano County Water Agency, to implement the Bay Area Regional Conservation and
Education Project ( "Project "), a component of the San Francisco Bay Area Regional Water
Enhancement Program.
H. The Water Agency is one of eleven agencies participating in the Project, which is governed by the
Bay Area Proposition 84 Integrated Regional Water Management Grant Memorandum of
Understanding (Prop 84 MOU).
I. Under the Prop 84 MOU Water Agency was awarded $202,500 through the Proposition 84 Bay
Area Integrated Regional Water Management Program funding ( "Grant ") to implement water use
efficiency programs. Water Agency will distribute Grant funding for water use efficiency programs
to Valley of the Moon Water District, City of Sonoma, North Marin Water District, City of Petaluma,
Master Gardeners, and Daily Acts.
J. Water Agency and City have cooperated to fund a Water Efficiency Landscape Program (Program).
K. Water Agency and City do mutually desire to cooperate in the implementation of City's Program.
Funding Agreement for the City of Petaluma Water- Efficient Landscape Program
0
AGREEMENT
City and Water Agency agree as follows:
1. RECITALS
A. The above recitals are true and correct.
2. LIST OF EXHIBITS
A. The following exhibits are attached hereto and incorporated herein:
1) Exhibit A: Program Summary
2) Exhibit B: Grant Reporting Form
3) Exhibit C: Grant Reporting Schedule
3. DEFINITIONS
A. For the purposes of this Agreement the following terms and definitions shall be used:
1) Program. The Water Efficiency Landscape Program described in Exhibit A.
2) Measures. Components of the Program as identified in Exhibit A.
3) Participants. City- approved water customers who apply to participate in Measures as
described in Exhibit A.
4) Grant - Funded Measures. Water Efficiency Landscape incentives described in Exhibit A
that are funded by Department of Water Resources Proposition 84 grant.
5) Water Agency Assistance. Measures described in Exhibit A that may be implemented
for City by Water Agency.
6) Water Agency Representative. Water Agency staff assigned to perform Water Agency's
responsibilities.
7) City Representative. City staff assigned to perform Water Agency's responsibilities.
4. CITY COORDINATION
A. City shall coordinate work with Water. Agency's Representative. Contact information:
Water Agency
City
Water Agency Representative:
Carrie Pollard, Water Agency Principal
Programs Specialist, or assigned
personnel
City Representative:
Leah Godsey Walker, Environmental
Services Manager, or assigned
personnel
Sonoma County Water Agency
City of Petaluma
404 Aviation Boulevard
202 N. McDowell Boulevard
Santa Rosa, CA 95403 -9019
Petaluma, CA 94954
Phone: 707 - 547 -1968
Phone: (707) 776 -3777
Email: carrie.pollard @scwa.ca.gov
Email: (walker @ci.petaluma.ca.us
S. CITY'S RESPONSIBILITIES
Assist Water Agency with administration of Program as follows:
Funding Agreement for the City of Petaluma Water- Efficient Landscape Program 2
5
A. Applicant Review. Review list of applicants requesting Program incentives to determine if
applicant is a qualified Participant to receive a incentive.
B. Communication. Provide regular communication via email or phone with Water Agency
Representative on incentives awarded, budget tracking, and other issues as required.
C. Quarterly Reports. Complete the Grant Reporting Form (Exhibit B) for program activities
and submit before deadline on schedule (Exhibit Q.
D. Matching Funds. City shall ensure that $0.125/sq ft in matching funds are available for
program implantation as required by the Grant. Matching funds will be reported by City on
Grant Reporting Form.
E. CUWCC Online BMP Report. Annually enter BMP data on CUWCC online forms, as required
by CUWCC, for City -run Measures and provide Water Agency with a copy of the BMP report.
F. Record Keeping. Maintain complete and accurate records of all transactions in compliance
with generally accepted accounting principles for enterprise accounting as promulgated by
the American Institute of Certified Public Accountants and the Governmental Accounting
Standards Board. Such records shall be available to Water Agency at all reasonable times
for inspection and analysis.
6. WATER AGENCY'S RESPONSIBILITIES
A. Prop 84 MOU. Water Agency shall be, a participating agency under the Prop 84 MOU.
B. Coordination. Coordinate, document, and report on the Measures that Water Agency
performs, including management, administration, budget, and follow -up of Measures
described in Exhibit A.
C. Quarterly Reports. Prepare quarterly reports summarizing status of Measures completed
by Water Agency and City. Submit the report to lead grant reporting agency.
D. CUWCC Online Reporting. Annually enter BMP data on CUWCC online forms for Water
Agency -run Measures.
E. Record Keeping. Water Agency will maintain complete and accurate records of all Water
Agency costs and transactions associated with performance of Water Agency's
responsibilities under this Agreement in compliance with generally accepted accounting
principles for enterprise accounting as promulgated by the American Institute of Certified
Public Accountants and the Governmental Accounting Standards Board. Such records wil
be available to City at all reasonable times for inspection and analysis.
7. FUNDING
A. Grant Funding:
1) Water Agency will submit invoices and receive funds from Lead Applicant under the
Prop 84 MOU based on activities reported by City per Paragraph 5 of this Agreement.
2) City may receive a maximum of $25,875 from the Prop 84 MOU for activities per Exhibit
A. Actual payments to City will be based on the Measures actually implemented by City
for each program.
B. Grant Distribution. City shall report Program activities quarterly on Grant Reporting Form
(Exhibit B) to the Water Agency. Water Agency will distribute payments to City based upon
Funding Agreement for the City of Petaluma Water- Efficient Landscape Program 3
X
the Prop. 84 grant guidelines for City's activities upon receipt of funding under Prop 84
MOU.
8. ADDITIONAL REQUIREMENTS
A. Authority to Amend Agreement. Changes to the Agreement may be authorized only by
written amendment to this Agreement, signed by both parties. Minor changes, which do
not increase the amount paid under the Agreement, and which do not significantly change
the Agreement or significantly lengthen time schedules may be executed by the Water
Agency's General Manager in a form approved by County Counsel. Notwithstanding this
authority, neither Water Agency nor City is under any obligation to approve such
amendments.
B. No Waiver of Breach. The waiver by Water Agency of any breach of any term or promise
contained in this Agreement shall not be deemed to be a waiver of such term or promise or
any subsequent breach of the same or any other term or promise contained in this
Agreement.
C. Construction:
1) To the fullest extent allowed by law, the provisions of this Agreement shall be construed
and given effect in a manner that avoids any violation of statute, ordinance, regulation,
or law. The parties covenant and agree that in the event that any provision of this
Agreement is held by a court of competent jurisdiction to be invalid, void, or
unenforceable, the remainder of the provisions hereof shall remain in full force and
effect and shall in no way be affected, impaired, or invalidated thereby.
2) City and Water Agency acknowledge that they have each contributed to the making of
this Agreement and that, in the event of a dispute over the interpretation of this
Agreement, the language of the Agreement will not be construed against one party in
favor of the other. City and Water Agency acknowledge that they have each had an
adequate opportunity to consult with counsel in the negotiation and preparation of this
Agreement.
D. No Third -Party Beneficiaries. Nothing contained in this Agreement shall be construed to
create and the parties do not intend to create any rights in third parties.
E. Applicable Law and Forum. This Agreement shall be construed and interpreted according to
the substantive law of California excluding the law of conflicts. Any action to enforce the
terms of this Agreement or for the breach thereof shall be brought and tried in the County
of Sonoma.
F. Captions. The captions in this Agreement are solely for convenience of reference. They are
not a part of this Agreement and shall have no effect on its construction or interpretation.
G. Merger. This writing is intended both as the final expression of the Agreement between the
parties hereto with respect to the included terms and as a complete and exclusive
statement of the terms of the Agreement, pursuant to Code of Civil Procedure Section
1856. No modification of this Agreement shall be effective unless and until such
modification is evidenced by a writing signed by both parties.
H. Survival of Terms. All express representations, waivers, indemnifications, and limitations of
liability included in this Agreement will survive its completion or termination for any reason.
Funding Agreement for the City of Petaluma Water- Efficient Landscape Program 4
N
I. Time of Essence. Time is and shall be of the essence of this Agreement and every provision
hereof.
9. MUTUAL INDEMNIFICATION
A. City agrees to defend, indemnify and hold Water Agency, its officers, employees and agents
harmless from and against any and all liability, loss, expense, attorneys' fees, or claims for
injury or damages arising out of the performance of this Agreement but only in proportion to
and to the extent such liability, loss, expense attorneys' fees, or claims for injury or damages
are caused by or result from the negligent or intentional acts or omissions of City.
B. Water Agency agrees to defend, indemnify and hold City, its officers, employees and agents
harmless from and against any and all liability, loss, expense, attorneys' fees, or claims for
injury or damages arising out of the performance of this Agreement but only in proportion to
and to the extent such liability, loss, expense, attorneys' fees, or claims for injury or damages
are caused by or result from the negligent or intentional acts or omissions of Water Agency.
10. TERM OF AGREEMENT
A. This Agreement shall remain in effect until depletion of the not -to- exceed amount listed in
Paragraph 7 of this Agreement, or until December 31, 2018, whichever occurs first, unless
terminated earlier in accordance with the provisions of Paragraph 11 of this Agreement.
11. TERMINATION OF AGREEMENT
A. This Agreement maybe terminated by either party for any reason upon thirty calendar
days' written notice by either party. Water Agency's right to terminate may be exercised by
Water Agency's General Manager.
Funding Agreement for the City of Petaluma Water- Efficient Landscape Program
i
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as set forth below.
TW 14/15 -106
Reviewed as to funds:
Approved:
Bv: By:
Water Agency Division Manager -
Administrative Services
Approved as to form:
Bv:
Michael Gogna, Deputy County Counsel
Sonoma County Water Agency
By:
Grant Davis
Water Agency General Manager
Authorized per Water Agency's Board of
Directors Action on May 5, 2015
Date:
Department Director
Approved:
By:
Finance Director
Approved as to form:
By:
City Attorney
Approved:
By:
City's Risk Manager
City of Petaluma
By:
City Manager
Date:
Attest:
By:
City Clerk
Funding Agreement for the City of Petaluma Water- Efficient Landscape Program 6
9
EXHIBIT A
Program Summary
I. GRANT FUNDED MEASURES
A. City will implement a turf conversion program providing incentives for replacing turf (lawn) with
low water use plants. The Program will follow the guidelines below:
1. City will offer Participants materials for turf conversion that include: compost, sheet
cardboard, mulch, and low water use plants (exclusively for residential customers) with a
value of at least $0.50 /sq. ft. towards converting high water use turf to low water use
landscaping.
2. Grant will fund $0.375/sq. ft. per square foot of turf converted. Approximately $25,875 will
be available from grant funds for this Program. City will provide remaining cost for materials
and delivery as match, at least $0.125/sq. ft. of turf converted.
II. WATER AGENCY ASSISTANCE
A. Water Agency staff will report program activities to Solano County Water Agency, process
invoices, and distribute incentive reimbursement.
Funding Agreement for the City of Petaluma Water- Efficient Landscape Program A -1
I l$J
EXHIBIT B
Grant Reporting Form
Water Efficient Landscape Rebate Program
Report Period:
A
8
C
D
E
F
G
H
I
f
K
L
M
N
P
'
Unit
Estimated'
Estimated
Estimated
Number
Total
Total
Rebate
Total Cost
DWR'
City/District
Other
Total
UnitAnnual
Total Annual
Annual'
Please listany marketing activities
Square
Square
Portion of
Water
conducted during the reporting period
city/District
of
feet
:feet
Cost (Cost
of Rebates
Portion
Rebates
City/District
City/District
Water
Water
savings
Water
(for example: bill Inserts, newspaper ads,
Rebates
persquare
(CXE)
(CX.375)
Costs
Cost (H tl)
Savings
rebated
converted
foot)
(F -G)
',
(gal /sf /yr)'.
(K XD) D)
(KXD)
(AF/Y)
eta)
Valley of the Moon Water District
1 $0,501
$0.00
$0,00
'.$0.00
1 $0.001
25
1 0
1 00
City of Sonoma
I
1
$0.50
''$0.00
..`$0.00
$O.00
:':.$0.00
.... 25
0
M
North Marin Water District
$0.50
$0.00
> $0.00
` -$OAO
$0.00
.
0
QO
City of Petaluma
$0.50
$OAO
l'!$0.00
's0.00
`$O.ODj
25
1 0
1 00
Total
1 0
0 1
0
NA
S0.001
$0.00
1 $0.001
$0.001
$0.00
''NA
1 0
1 0
Funding Agreement for the City of Petaluma Water - Efficient Landscape Program E -1
11
EXHIBIT C
Grant Reporting Schedule
Water Efficiency Landscape Program
Reporting Schedule
Reporting
Period
Quarterly Reporting Form and
Documentation Due
4/1/2015
to
6/30/2015
7/15/2015
7/1/2015
to
9/30/2015
10/15/2015
10/1/2015
to
12/31/2015
1/15/2016
1/1/2016
to
3/31/2016
4/15/2016
4/1/2016
to
6/30/2016
7/15/2016
7/1/2016
to
9/30/2016
10/15/2016
10/1/2016
to
12/31/2016
1/15/2017
1/1/2017
to
3/31/2017
4/15/2017
4/1/2017
to
6/30/2017
7/15/2017
7/1/2017
to
9/30/2017
10/15/2017
10/1/2017
to
12/31/2017
1/15/2018
1/1/2018
to
3/31/2018
4/15/2018
4/1/2018
to
6/30/2018
7/15/2018
7/1/2018
to
9/30/2018
10/15/2018
10/1/2018
to
12/31/2018
1/15/2019
Funding Agreement for the City of Petaluma Water- Efficient Landscape Program C -1
12