Agenda

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C. 24

To:	Board of Supervisors
From:	FINANCE COMMITTEE
Date:	April 18, 2017

Contra

Costa

County

Subject:

Appropriation Adjustment for Wildcat/San Pablo Creeks Levee Remediation Project, North Richmond area.

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 04/18/2017

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Diane Burgis, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:

Wanda Quever, 925 313-2372

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: April 18, 2017
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

APPROVE Fiscal Year 2016/17 Appropriation Adjustment No. 5068 and AUTHORIZE the transfer of $990,000 from the General Fund-Appropriations for Contingencies to Public Works Flood Control for the funding deficit in the Wildcat/San Pablo Creeks Levee Remediation Project, as recommended by the Finance Committee, North Richmond area.

FISCAL IMPACT:

One-time General Fund subsidy to the Wildcat/San Pablo Creeks Levee Remediation Project.

BACKGROUND:

Wildcat and San Pablo Creeks are two streams that drain adjoining watersheds within western Contra Costa County. Historically, the two creek basins combined into a common floodplain that extended through the unincorporated community of North Richmond before draining into San Pablo Bay. Both creeks were channelized and levees constructed by the Corps of Engineers between 1988 and 1992 and turned over to the Contra Costa County Flood Control & Water Conservation District (District) for long-term maintenance.

BACKGROUND: (CONT'D)

In the aftermath of Hurricane Katrina, the Federal Emergency Management Agency (FEMA) rescinded all levee certifications and required local levee owners to prove levees still provided adequate levels of flood protection. The District applied for and received a $487,000 State Department of Water Resources (DWR) Local Levee assistance grant that covered 90% of the cost of levee evaluation. The DWR funding coverage increased from 50% to 90% because North Richmond is a disadvantaged community. Even with this level of funding, the District struggled to provide the remaining 10% match.

The study indicated that the levees were generally in good repair, but needed to be raised to meet more stringent FEMA requirements. The District applied for and received a 90% DWR grant for Local Levee Critical Repair. The total repair cost was estimated at $1,684,000 with the State providing 90%, or $1,515,600.

Both the permitting and design for the Wildcat / San Pablo Creeks Levee Rehabilitation Project (Project) have become more complex than was anticipated when the grant was received. Extra precautions for dealing with possible endangered species near the levees have made the plans more complex and costly to prepare, and an especially challenging Corps Section 408 permitting process has far exceeded the permitting budget. Finally, Corps-required upgrades to the levee and floodwall materials have significantly increased expected construction costs. Considering all of these factors, the Project’s current funding deficit is $990,000.

The District sought out additional project funding from over a dozen different local, state and federal sources. The District’s approach was guided by feedback from the Board’s Finance Committee in February and March 2016, and most recently on March 27, 2017. At that meeting, the District received direction to return to the full board with the request to transfer funds from the General Fund to cover the funding deficit of $990,000.

CONSEQUENCE OF NEGATIVE ACTION:

If the transfer of funds is not approved, the levee project will not be constructed and the District would be required to repay approximately $1.2 million in state grants spent to date.

In addition, FEMA would revise their maps adding 245 North Richmond parcels into the 100-year floodplain. Parcels with mortgages would be required to pay flood insurance. This would be a significant strain on the quality of life and economic vitality of North Richmond.