CITY OF COMMERCEAGENDA REPORTCITY OF COMMERCEAGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
Item No. Item No.
Item No.
Item No.
TO: Honorable City Council
FROM: City Manager
SUBJECT: Los Angeles County Flood Control District Transfer Agreement for Safe Clean Water Parcel Tax Restricted Municipal Return for Stormwater Activities Meeting Date: December 10, 2024
RECOMMENDATION:
The City Council approval of a Resolution adopting a Transfer Agreement between the Los Angeles County Flood Control District and the City of Commerce, Agreement No. 2024MP17 for the Safe, Clean Water Program Municipal Program.
BACKGROUND:
Every agency that discharges water from its jurisdiction into the stormwater system is regulated under a National Pollution Discharge Elimination System (NPDES) federal permit assigned and enforced by the State Water Quality Resources Control Board and the Los Angeles Regional Water Quality Control Board. The permit remains in effect for five (5) years. The MS4 Stormwater Permit enforces all Total Maximum Daily Loads (TMDLs) regulating water quality for trash, metals, nutrients, and bacteria. Local governments struggle with the cost of these unfunded mandates in complying with water quality regulations.
With the County’s passage of Measure W in November 2018, a new revenue source from a parcel tax on all properties based on impervious area is now in effect. In order to receive the municipal local return, the City approved the original Transfer Agreement, No. 2020MP17 in August of 2020. This agreement spanned FY20/21 through FY23/24 and expired on July1, 2024.
In order to continue to receive the municipal local return estimated at approximately $1 million per fiscal year for the City of Commerce, the City of Commerce needs to approve the updated FY24/25 through FY27/28 Transfer Agreement No. 2024MP17. These funds are restricted to stormwater activities and require the City to track and report eligible expenses annually to the County Flood Control District.
FISCAL IMPACT:
The parcel tax of 2.5 cents per square foot of impermeable area was expected to generate approximately $300 million in annual revenue countywide. Commerce was estimated to receive approximately $1 million in restricted funds. The total program revenues are divided as follows:
Regional Program (50%) = $150 million
Municipal Program (40%) = $120 million
County District Program (10%) = $30 million
RELATIONSHIP TO STRATEGIC GOALS:
This item is related to the 2016 Strategic Goal to “create and pursue opportunities for collaboration and regional partnerships to maximize resources and address regional issues.” Prepared by: Andrew Caraveo, Environmental Coordinator Approved and Recommended by: Vilko Domic, Assistant City Manager Approved as to form: Noel Tapia, City Attorney
Respectfully submitted: Ernie Hernandez, City Manager
Attachments:
Resolution
Transfer Agreement – LA County Flood Control District