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Item 4 - Additional Materials posted 02-03-26

Poway City Council
February 3, 2026

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Item 4 - Additional Materials posted 02-03-26
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February 3, 2026
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M EMQRAN DLJ M City of Poway

ADDITIONAL MATERIALS
(Agenda Related Writings/Documents provided to City Council or Staff after distribution of the Agenda Packet for the February 3, 2026 Regular City Council Meeting) DATE:

TO:

FROM:

CONTACT:

February 3, 2026
Honorable Mayor and Members of the City Council
Carrie Gallagher, City Clerk er
(858)668-4535 or [email protected]
SUBJECT: Item 4 -Water Infrastructure Improvement Program Update Attached please find correspondence received after the agenda posting deadline.

Reviewed/Approved By:

Assistant City Manager
Reviewed By:

Alan Fenstermacher
City Attorney City Manager
1 of 4 February 3, 2026, Item #4

From: chris cruse
Sent: Monday, February 2, 2026 7:36 AM
To: Eric Heidemann
Cc: Chris Hazeltine ; Robert Weber ; Jenny Maeda
; Peter De Hoff ; Steve Vaus ; Chris
Pikus
Subject: Re: 2/3/26 council meeting. Item #4

EXTERNAL EMAIL
Hi Eric
No, your statement doesn’t answer my question.

Scott Peter’s webpage specifically says the grant was for the new clearwell.

So, it appears that the grant was “repurposed”, and you claim that was done in collaboration with the EPA. What exactly does that mean? But why repurpose it? How does using it for a different purpose change how much the ratepayers are paying for capital improvement costs? Do ratepayers not pay for the master plan consultants?
The problem with repurposing is that it creates distrust that the city is tapping water and sewer funds to backfill paying for other department costs. Or, as the City did during redevelopment, using water and sewer funds to buy property and not repaying the water and sewer funds.

I don’t understand your last paragraph at all. Are you saying the city (general fund) is going to tap 20% of every water and sewer grant for administration fees? If so, then why did you subtract the full million dollars from the anticipated grant Issa secured for the water infrastructure?
Sincerely,
Chris
On Feb 1, 2026, at 12:00 PM, Eric Heidemann wrote:

Hi Chris:

The grant funding from Representative Scott Peters was repurposed, in collaboration with the United States Environmental Protection Agency, for completion of the City’s Water and Sewer Master Plan Updates. Consultant costs for the Master Plans are eligible for reimbursement through a $1 million USEPA federal grant (No. 97T33801) which the City received through the Fiscal Year 2023 Consolidated Appropriations Act (P.L. 117-328) for Community Projects. Funds were secured with the assistance of Congressmember Scott 2 of 4 February 3, 2026, Item #4

Peters in 2022 to reimburse City costs associated with planning, design, and construction of drinking water and wastewater infrastructure, and we identified these projects/costs in the November 18 agenda report for the setting of the water/wastewater public hearing.

The use of grant funding for water projects has a rate suppression effect compared to utilizing water and sewer rate revenue from Poway customers. Poway will combine grant funding (80%) while offsetting the City’s match (20%) through reimbursement of Poway’s staff time to develop the Plans. I hope this answers your question.

Thanks,
Eric
From: chris cruse
Sent: Thursday, January 29, 2026 12:44 PM
To: Eric Heidemann ; Craig Schmollinger ; Chris
Hazeltine ; Steve Vaus ; Peter De Hoff
; Chris Pikus ; Jenny Maeda ; Robert
Weber
Subject: 2/3/26 council meeting. Item #4
[You don't often get email from [email protected]. Learn why this is important at https://aka.ms/LearnAboutSenderIdentification ]

EXTERNAL EMAIL
Hello Eric Heidemnn and Robert Weber,
I read your report on the water infrastructure improvement program update, and I noticed that you included an “anticipated” grant of $1 million facilitated by Darrell Issa. But I could not find the $1 million grant that Steve Peter’s already delivered to the city for water infrastructure improvements.

Did something happen to that $1 million? Was it diverted to another fund? If so, which fund? And why was it diverted?
Sincerely,
Chris Cruse
3 of 4 February 3, 2026, Item #4

4 of 4 February 3, 2026, Item #4
CityofPoway > ... > Agenda Packets > 2020-2029 > 2026 > Agenda Packet 2026 02-03 > Item 4-Water Infrastructure Improvement Program Update • ~ I] P t it D ots -I + Automatic Zoom !
ewne Program cost summary·
Project Cost
Clearwell Bypass Project
Initial Proiected Cost $10,200,000
Actual Cost $9,300,000
Variance ($900,000)
Clearwell Replacement Project
Initial Proiected Cost $39,400,000
Estimated Actual Cost $37,400,000
Estimated Variance ($2,000,000)
Treated Water Facilities Project
Total Current Prolecred Cost $49,370,000
Anticipated Rep. Darrell Issa Grant ($1,000,000)
POW-6 FCF ~DCWA Funded) ($7,000,000)
3 of 8 February 3, 2026, Item #4
Anticipated Ramona MWD ($1,500,000)
Contribution for Esoola Road Ploellne
Revised Projected Cost /Powoy OnM $39,870,000
Current Projected Program Cost: $86,570,000
Poways current projected cost for the TWF Project Includes an anticipated cost-share contribution from Ramona In the amount of $1,500,000 which was established based on the proportional linear .. )} " Metadata Annotations
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Modified 1/27/2026 5:10:25
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Created 1/27/2026 5:10:25
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Date 2/3/2026
Agency Type City Council
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