Public Works and Transportation Committee September 22, 2026 AGENDA REPORT TO: Elizabeth Lake FROM:Liam Garland Interim City Administrator Director, Oakland Public WorksSUBJECT: Storm Drainage Master Plan Update And Stormwater Fee ReportDATE:August 31, 2026 City Administrator Approval Date: RECOMMENDATION Staff Recommends That The City Council Receive An Informational Report On The City Of Oakland Storm Drainage Master Plan Findings And The Ensuing Opportunity To Explore Storm Drainage Fee Balloting To Help Build A Resilient Storm Drainage System Designed To Reduce Flooding, Reverse Impacts Of Deferred Storm Drainage Maintenance, And Achieve Clean Waterways. EXECUTIVE SUMMARY The City of Oakland (City) Storm Drainage Master Plan (SDMP) project, which began in 2021, is 75% complete. It has revealed that the City lacks adequate funding to keep up with the significant operations, maintenance, rehabilitation, capital upgrades, and regulatory water quality requirements associated with the City’s storm drainage system. The estimated funding need is $3.63 billion for storm drainage system improvement, citywide replacement/repair of deteriorated drainage infrastructure, and equipment costs. The SDMP project used condition assessments and modeling to identify $1.26 billion in specific system improvements and repairs, representing a subset of total citywide costs. In addition, a minimum of $24 million per year is needed for regulatory water quality compliance costs plus capital and programmatic costs to control waterway pollutants of concern, and an estimated $16.3 million per year is needed for storm drainage operations and maintenance (O&M) to shift from a reactive to a more cost-effective preventative maintenance approach. The SDMP is developing strategies and further refining cost estimates to enhance and sustain the City’s storm drainage system, improve future resilience, and plan equitable climate change adaptation approaches, such as integrating the City’s urban forestry goals into stormwater management. To date, the SDMP project has developed a roadmap to: 1) reverse the impacts of deferred storm drainage maintenance, 2) reduce flooding, 3) protect water quality, 4) deliver SDMP-recommended storm drainage capital improvement projects, 5) require new storm Elizabeth Lake (Sep 10, 2026 09:29:31 PDT)
Sep 10, 2026
Elizabeth Lake, Interim City AdministratorSubject: Storm Drainage Master Plan Update And Stormwater Fee Report Date: August 31, 2026 Page 2 Public Works and Transportation Committee September 22, 2026 drainage infrastructure construction to follow updated technical storm drainage design standards, and 6) raise funding needed to implement the SDMP. This report provides an update on the SDMP project and describes how SDMP findings substantiate the need for a sustainable storm drainage system and clean water program funding. In addition to ensuring that Measure U funds are directed to high-priority and medium-priority storm drainage and water quality improvement projects, staff is exploring storm drainage fee balloting from late 2026 through to 2028 that would enable the City to expand its levels of service to achieve the goals of responsible environmental stewardship and smart investment in the City’s aging infrastructure. Approval of the informational report is not approval of a future revenue measure. Any recommendation to place a revenue measure before Oakland voters would be brought back to the City Council for separate consideration and action at a later date. BACKGROUND / LEGISLATIVE HISTORY The storm drainage system in the City consists of approximately 400 miles of storm drainage pipes, 80 miles of open creeks and waterways, over 18,000 structures (including full trash capture devices), 4 pump stations, and other drainage appurtenances. Responsibility for the drainage throughout Oakland is shared among the City, private property owners, Caltrans, and the Alameda County Flood Control and Water Conservation District (District). While the City owns and maintains the majority of storm drains within the city boundaries, the District is responsible for portions of the major creeks and flood control channels. Private property owners, including other public agencies, are responsible for private storm drainage and the drainage within watercourses on their property. The City currently lacks adequate dedicated funding for storm drainage maintenance and rehabilitation, capital improvements, pollutant discharge prevention, and City-owned waterway maintenance and protection. Many storm drainage assets are over 85 years old and have reached or exceeded their serviceable life. The proposal for the City to enter into a professional services agreement (SDMP agreement) to develop a new and robust SDMP was approved by Oakland City Council (Council) on November 10, 2020 via Council resolution No. 88355 CMS. Council then authorized amending the SDMP agreement on April 14, 2025 via Council resolution No. 90692 C.M.S. The SDMP is 75% complete and will provide technical guidance on managing and improving the City’s storm drainage system and creeks. It identifies critical needs and recommends actions in three areas: rehabilitating existing infrastructure, constructing new improvements (including water quality improvements incorporated into the storm drainage system such as green stormwater infrastructure and large full trash capture devices), and maintaining existing and future drainage assets. So far, the SDMP project has completed a hydrologic and hydraulic computer model of 90% of the City’s storm drainage system. This was a critical deliverable needed to develop storm drainage system capacity improvement recommendations. Additional SDMP progress includes: update drainage design standards (95% complete); identify pipe deficiencies and develop proposed capital improvement projects to upsize pipes (90% complete with an equitable project prioritization and extreme precipitation analysis underway); complete pipe and structure Elizabeth Lake, Interim City AdministratorSubject: Storm Drainage Master Plan Update And Stormwater Fee Report Date: August 31, 2026 Page 3 Public Works and Transportation Committee September 22, 2026 condition assessment (70% complete); assess sea level rise impacts to City-owned drainage infrastructure along the shoreline (20% complete); identify feasible creek channel daylighting sites (60% complete); develop tree canopy model and recommendations (40% complete); identify two feasible green stormwater infrastructure proposed projects (100% complete); refine the City’s Geographic Information System (GIS) storm drainage asset database and map (90% complete); develop storm drainage rehabilitation and routine maintenance plans (40% complete); implement public outreach including educational webpage (50% complete); complete financial analysis and funding strategy (70% complete); and complete final SDMP report (40% complete). The original scope is approximately 90% complete and the overall project, including the additional scope authorized via Council resolution No. 90692 C.M.S., is 75% complete. As noted, based on SDMP project findings and the City’s current costs, an estimated $3.63 billion is needed for storm drainage system improvement, citywide replacement/repair of deteriorated drainage infrastructure, and equipment costs. The SDMP project used condition assessments and modeling to identify $1.26 billion in specific system improvements and repairs, representing a subset of total citywide costs. In addition, a minimum of $24 million per year is needed for regulatory water quality compliance costs plus capital and programmatic costs to control waterway pollutants of concern, including trash, and an estimated $16.3 million per year is needed for storm drainage operations and maintenance (O&M) to shift from a reactive to a more cost-effective preventative maintenance approach. The O&M costs include $13.8 million/year for an expanded O&M program and $2.5 million/year for vehicle replacement. As new infrastructure is added, such as full trash capture devices, maintenance costs will increase. These costs are currently being refined as the SDMP project progresses, and separately regulatory water quality compliance costs, specifically to address pollutants of concern, are being studied in Fiscal Year 2026-2027. The SDMP is expected to be finalized in 2027. Regarding water quality, in 1987, under amendments to the 1972 Clean Water Act, the Federal Environmental Protection Agency (EPA) imposed regulations that mandated control and reduction of pollutants in stormwater runoff through the National Pollution Discharge Elimination System (NPDES) permitting program. The EPA authorizes California to administer the NPDES program, allowing the Regional Water Quality Control Board (Water Board) to issue, monitor, and enforce permits for point source discharges into waterways. The City is now regulated by the third iteration of the Municipal Regional Stormwater NPDES Permit (MRP 3.0), which was approved by the Water Board in May 2022 and applies to all municipalities throughout Alameda, San Mateo, Santa Clara, and Contra Costa counties, as well as the cities of Fairfield, Suisun City, and Vallejo. Each MRP mandates specific actions to prevent stormwater pollution and annual reporting. Failure by municipalities to comply with the permit requirements can result in significant enforcement action by the Water Board and legal actions by third-party entities. The Water Board expects to adopt a new 5-year term permit, MRP 4.0, in May 2027. It is expected that MRP 4.0 will continue requiring the City to clean roadway runoff using green stormwater infrastructure and other stormwater treatment methods to prevent trash and other pollutants of concern from entering waterways. Based on preliminary conversations with regulators, urban forest expansion and creek restoration could offset some green stormwater infrastructure requirements in future stormwater permits. Significantly expanding Oakland’s tree canopy would intercept and help manage stormwater by reducing its volume and velocity once it reaches Oakland’s impervious surfaces.
Elizabeth Lake, Interim City AdministratorSubject: Storm Drainage Master Plan Update And Stormwater Fee Report Date: August 31, 2026 Page 4 Public Works and Transportation Committee September 22, 2026 ANALYSIS AND POLICY ALTERNATIVES The SDMP is assessing the value of the City’s existing assets and the cost of outstanding capital and maintenance needs. These assessments will position the City to undertake a strategic and equitable capital and maintenance program to reduce the risk and frequency of costly system failures, including collapsed structures, roadway damage, flooding, sinkholes, landslides, or other storm drainage related issues that can threaten public and/or private property. An informed maintenance program will extend the life of existing assets and slow the rate of costs associated with capital repairs. Without adequate, dedicated, and sustainable funding to maintain, protect, and improve the City’s storm drainage system and expand the urban forest, the City faces a critical infrastructure and water quality compliance gap. The information provided by the SDMP effort on the value, condition, and needs of the City’s existing storm drainage system presents an opportunity to explore a storm drainage Proposition 218-compliant property-related fee. The path to storm drainage fee balloting would require a comprehensive storm drainage fee study that would start in Fiscal Year 2027/2028 (July 1, 2027-June 30, 2028), and public notice, a City Council public hearing, and direct-mail balloting in Fiscal Year 2028/2029 (July 1, 2028-June 30, 2029). The fee study process will determine the feasibility of establishing a new property-related storm drainage fee needed to improve and maintain storm drainage system resilience, ensure regulatory compliance, and advance the City’s equity and environmental goals. Funds would be used for the City’s clean water, storm drainage maintenance, flood protection, tree planting and maintenance, and urgent replacement of deteriorated storm drainage infrastructure. The feasibility analysis would estimate user rate ranges for various budget scenarios and conduct a public opinion survey of Oakland residents and property owners to determine storm drainage-related priorities and willingness to support a fee for these services. The second phase will involve the implementation of a funding mechanism and the development of a fee report that presents a fair fee structure and meets all legal requirements. Subsequent steps in this implementation phase would include a public hearing and a ballot proceeding. Over the past several years, cities throughout Northern California—including Berkeley, Alameda, Cupertino, Davis, Sacramento, San Mateo, and Palo Alto—have successfully secured property-owner support for new or increased property-related fees to fund stormwater services and infrastructure. In Alameda and Berkeley, property owners approved new stormwater fees through the Proposition 218 (Prop 218) process, allowing the cities to establish dedicated revenue streams to support stormwater operations, maintenance, and capital improvements. Alameda’s Stormwater fee was approved in 2019 at the rate of $78 per year for a typical single-family home and generates over $3 million each year. Berkeley’s Stormwater fee was approved in 2018 and at the rate of $42 per year for a typical single-family home and generates just under $3 million each year. Assuming similar rates would be supported by Oakland property owners, an estimated annual range of $10-15 million generated is reasonable. Additional funding from government obligated bonds and state and federal grants would be needed to meet the needs identified in the preliminary SDMP findings. A Prop 218 balloted property-related fee process would require the following general steps: 1. Determine operational & financial needs (underway through the SDMP project) Elizabeth Lake, Interim City AdministratorSubject: Storm Drainage Master Plan Update And Stormwater Fee Report Date: August 31, 2026 Page 5 Public Works and Transportation Committee September 22, 2026
2. Select a consultant team (through an RFP process) to provide services such as conducting a stormwater fee rate study and designing and mailing ballots 3. Select a funding mechanism (likely a Prop 218 balloted property related fee) 4. Survey Oakland’s community 5. Begin a comprehensive community outreach to inform property owners 6. Conduct a fee study 7. Implement property owner noticing, balloting, and tabulation A Prop 218 balloted property-related fee process would likely take 18-36 months with early to mid-2029 as a viable target date to complete the process. The implementation is a straightforward legislative process with notices and ballots mailed to each affected property and requires 50% approval with one vote per property. Community surveying and an outreach effort emphasizing the importance of a well-maintained storm drainage system to prevent local flooding, and compliance with water quality regulations to avoid fines and protect waterways, could be recommended. Note that most storm drainage fees include an optional Consumer Price Index escalator, and no sunset provision. The balloting process is not beholden to any election dates and can be held any time of the year. Should storm drainage fee balloting be pursued, City resources will be required for consultants and staff to complete the process. If balloting were successful, a dedicated, sustainable revenue stream for infrastructure upgrades and maintenance would provide long-term savings by reducing flooding and avoiding the costs of deferred maintenance. Oakland’s property owners would see an increase in existing property taxes. Alternatively, the City could continue with the status quo. In this alternative, Oakland ratepayers would not have to pay a stormwater fee. However, the City would incur additional liability as the storm drainage system’s repairs will increase in cost and difficulty, flooding and other system failures will increase, and these impacts will be compounded as storms become more intense due to the impacts of climate change. RELATED PLANNING EFFORTS This informational report provides an update on the City’s SDMP effort and the opportunity to explore storm drainage fee balloting to help build a resilient storm drainage system designed to help reduce flooding, reverse impacts of deferred storm drainage maintenance, and address water quality issues in Oakland’s waterways. These topics align with several City plans as described in this report section. Capital Improvement Program 2025-2027 The City’s Capital Improvement Program (CIP) also relates to this agenda item. One CIP goal to invest in infrastructure needed to promote community health and vibrancy. For example, the Storm Drainage Master Plan will identify the highest priority locations to increase system capacity to reduce flooding, and pursuing a funding mechanism for storm drainage management is recommended to protect and maintain storm drainage infrastructure investments.
Elizabeth Lake, Interim City AdministratorSubject: Storm Drainage Master Plan Update And Stormwater Fee Report Date: August 31, 2026 Page 6 Public Works and Transportation Committee September 22, 2026 Urban Forest Plan 2024 The City’s Urban Forest Plan aligns with this agenda item. In urban areas like Oakland, landscapes are defined by concrete, asphalt, buildings, and other hard surfaces that reflect heat and do not absorb water. The Urban Forest Plan states that “stormwater management systems are not always adequate to accommodate runoff, especially during heavy rains, such as those during the winter of 2022-2023. When a system is overloaded, stormwater may back up and cause flooding. Trees help prevent this backup by intercepting rainfall in their canopies, which reduces intensity of rainfall and runoff at ground level. Underground, tree root growth and decomposition create spaces in the soil that help increase the amount of water that the soil can store, allowing for greater absorption of rain.” The City’s SDMP Project’s tree canopy modeling effort will help to quantify these benefits, and aligning funding efforts will provide cost efficiencies. 2030 Equitable Climate Action Plan This agenda item aligns with the Equitable Climate Action Plan’s Adaptation Actions A-5, Identify and Reduce Financial Risks from Climate Change, and A-6, Expand and Protect Green Infrastructure & Biodiversity. CIP projects developed through the SDMP will include preliminary designs and cost estimates that reflect potential increases in the size and frequency of storms predicted by climate change scientists. This will provide an opportunity for the City to consider infrastructure investments designed to adequately prepare for and mitigate the effects of climate change. In addition, this agenda item presents a path to secure sustainable funding needed to maintain public green stormwater infrastructure that is being installed to meet current water quality regulations. General Plan Elements This agenda item also supports implementation actions in several City General Plan elements. The SDMP and potential sustainable storm drainage management funding relates to implementation action EJ-10.1, Prioritizing EJ Communities, in 2023 Oakland Environmental Justice Element (EJ Element), because flood improvement projects with similar risk scores will be prioritized in high and very high priority equity areas. This agenda item relates to the Land Use and Transportation Element (LUTE), 2023-2031 Housing Element, and the 2023 Oakland Safety Element by contributing to green and safer streets through green stormwater infrastructure and flood mitigation through storm drainage improvement. FISCAL IMPACT This item is for informational purposes only and does not have a direct fiscal impact or cost. However, this informational report identifies $1.26 billion to $3.63 billion in City storm drainage system deferred maintenance and improvements in the and $16.3 million for enhanced annual storm drainage operations and maintenance (O&M). PUBLIC OUTREACH / INTEREST An equity-based public inclusive outreach and engagement process is a component of the Elizabeth Lake, Interim City AdministratorSubject: Storm Drainage Master Plan Update And Stormwater Fee Report Date: August 31, 2026 Page 7 Public Works and Transportation Committee September 22, 2026 SDMP. Initial general outreach started in 2023 when the City distributed postcards asking residents to report local flooding to inform SDMP work, including the City’s hydraulic & hydrologic storm drainage system model (see Attachment A: Report and Prevent Local Flooding). The postcards were printed in Spanish, Chinese, and English and placed at public buildings such as libraries and City offices. The postcards were also posted online on the City’s SDMP webpage, Storm Drainage Master Plan | City of Oakland, CA, and include Quick Response (QR) codes to facilitate reporting a storm drainage flooding hotspot, requesting service via Oak311, volunteering to adopt a neighborhood storm drain, and learning more about protecting properties from flooding. The results of this effort are shown in Attachment B: Reported Flooding Hotspots Map.The map shows there are reported flooding hotspots throughout Oakland. Future equity-based inclusive outreach and engagement will present the results of the SDMP and is being designed to ensure that the needs of those most impacted by racial disparities in the City are addressed. Outreach will include collaboration with the Oakland Public Works’ Communications Team and the Department of Race and Equity. Multiple-format community engagement strategies will be developed and outreach and education on the City’s storm drain and waterways systems will be included in public meetings and presentations on the draft SDMP once it is completed. In addition, the complete findings and recommendations of the SDMP will be presented to the Public Works and Transportation Committee and/or City Council. Storm drainage fee balloting, if pursued, will require additional equity-focused inclusive outreach on the details of a proposed fee and how it will serve and affect Oakland’s property owners and residents. Design and construction of Capital Improvement Projects prioritized through the SDMP will also include equity-based public inclusive outreach and engagement. COORDINATION This report was shared with Oakland Public Works Bureaus of Environment and Maintenance and Internal Services, and was reviewed by the City Administrator’s Office, the Office of the City Attorney, the Budget Bureau, and the Department of Race and Equity. RACE AND EQUITY The City is conducting the SDMP studies, including system modeling and condition assessments, citywide. With this information the City is identifying storm drainage improvements necessary to reduce the instances of flooding and other stormwater conveyance, maintenance, and quality issues. Due to the nature of Oakland’s topography, flooding and other water quality issues have generally disproportionately impacted historically underserved high and very high priority equity neighborhoods in Oakland’s flatlands. Through the SDMP, storm drainage projects are being designed to mitigate these impacts by improving system capacity, stormwater conveyance, maintenance, and water quality. Securing funding for and delivering these projects will benefit residents in the flatlands by minimizing property damage and roadway flooding, and these benefits will extend citywide. The draft SDMP will be shared with the public following an inclusive equity-focused public outreach and engagement approach as part of the equity analysis that will be done to ensure the program is fair an implemented equitably. This effort will be designed to improve residents’ understanding of the City’s storm drainage system, will describe planned high and medium priority projects, and will gather community concerns Elizabeth Lake, Interim City AdministratorSubject: Storm Drainage Master Plan Update And Stormwater Fee Report Date: August 31, 2026 Page 8 Public Works and Transportation Committee September 22, 2026 regarding issues of stormwater flooding, conveyance, and quality that are most important to their neighborhoods and present data collected from Oakland’s residents through a citywide outreach effort. The proposed stormwater capital improvement projects will be evaluated through the City’s Capital Improvement Project prioritization process that includes equity-based and risk-based ranking. Should storm drainage fee balloting be pursued, equitable outreach will be conducted to help property owners understand how a new property related fee would benefit neighborhoods and the cost to property owners. ACTION REQUESTED OF THE CITY COUNCIL Staff Recommends That The City Council Receive An Informational Report On The City Of Oakland Storm Drainage Master Plan Findings And The Ensuing Opportunity To Explore Storm Drainage Fee Balloting To Help Build A Resilient Storm Drainage System Designed To Reduce Flooding, Reverse Impacts Of Deferred Storm Drainage Maintenance, And Achieve Clean Waterways. For questions regarding this report, please contact Terri Fashing, Watershed and Stormwater Division and DD Bond Manager, at 510-238-7276. Respectfully submitted, Liam Garland Director, Oakland Public Works Reviewed by: Jimmy Mach, Assistant Director Bureau of Design and Construction Prepared by: Terri Fashing, Watershed and Stormwater Division and DD Bond Manager Watershed and Stormwater Division Attachments (2): A: Report and Prevent Local Flooding Postcard B: Reporting Flooding Hotspots