City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2025-00366 2/25/2025 Consent Item 2.
Application for Environmental Protection Agency (EPA) Community Grant Federal Appropriations
File ID: 2025-00366
Location: Citywide
Recommendation: Adopt a Resolution authorizing the City Manager or City Manager’s designee to:
1) apply for federal appropriations through the Fiscal Year (FY) 2024 Consolidation Act (P.L. 117-42) Environmental Protection Agency; 2) if awarded, sign the agreement and documents of compliance, prepare the necessary data, and execute all reporting and payment requests applicable to the completion of the program; 3) if awarded, establish revenue and expenditure budgets in the Well Rehabilitation Program (Z14110100, Fund 6205) for an amount not-to-exceed $1,919,504.
Contact: Pravani Vandeyar, Director, (916) 808-13765, [email protected]; Chuong (Ryan) Pham, Business Services Manager, (916) 808-8995, [email protected]; David Levine, Program Manager, (916) 808-6645, [email protected]; Jamin Barnes, Program Specialist, (916)808-2222, [email protected]; Alaina Jordan, Administrative Analyst, (916) 808-5801, [email protected]; Department of Utilities Presenter: None
Attachments:
1-Description/Analysis
2-Resolution Wells 168 & 169 Appropriations
Description/Analysis
Issue Detail: The Department of Utilities (DOU) is requesting authority to apply for federal appropriation funding from the Environmental Protection Agency (EPA) Community Grant Federal Appropriations Act of FY 2024. Congress identified the City’s Groundwater Wells #168 and #169 projects for appropriations.
Policy Considerations: Council Resolution 2024-0193 requires City Council approval to apply for grants more than $250,000.
Economic Impacts: Not applicable.
File ID: 2025-00366 2/25/2025 Consent Item 2.
Environmental Considerations:
California Environmental Quality Act (CEQA): Application for a Federal appropriation funds is an administrative and governmental fiscal activity that will not have a significant effect on the environment and does not constitute a “project” as defined by the California Environmental Quality Act (CEQA) Guidelines Sections 15378(b)(2, 4, and 5) and is therefore, not subject to CEQA [CEQA Guidelines Section 15060(c)(3)].
Sustainability: This project is consistent with the 2040 General Plan Policies: PFS-4.2 (Water Supply Sustainability) that requires the City to maintain a surface water/groundwater conjunctive use program, which uses more surface water when it is available and more groundwater when surface water is limited; PFS-4.7 (Water Supply During Emergencies) which requires the City, to the extent feasible, to maintain adequate water supply during emergencies; and PFS-4.8 (New Development) which requires the City to ensure that water supply capacity is in place prior to granting building permits for new development.
Commission/Committee Action: Not applicable.
Rationale for Recommendation: The appropriations would allow DOU to expedite the project, further ensuring the City’s long-term resilience to drought by increasing the reliability of water supplies. Without this additional funding, the projects will be delayed and put on hold until additional funds can be identified.
Financial Considerations: DOU is seeking up to $1,919,504 million in Federal appropriations through the FY 2024 Consolidation Act (P.L. 118-42) Environmental Protection Agency Section. There is a 20% cost share requirement for these appropriations. If awarded, staff recommends establishing revenue and expenditure budget in the Well Rehabilitation Program (Z14110100, Fund 6205) for the amount of the award or not-to-exceed $1,919,504 million. Sufficient funding is available in the Well Rehabilitation Program (Z14110100, Fund 6005) to support the 20% cost share.
There are no General Funds allocated for this project.
Local Business Enterprise (LBE): Not applicable.
Background: The Groundwater Well #168 Project will replace a City-owned groundwater well that produces up to 1.7 MGD, which is approximately 7,841 AFY or 8 percent of the City’s total water supply in 2021.
The Groundwater Well #169 Project will replace a City-owned groundwater well that produces up to
1.8 MGD, which is approximately 2,016 AFY or 2 percent of the City’s total water supply in 2021.
File ID: 2025-00366 2/25/2025 Consent Item 2.
These Projects will make necessary system upgrades required to maintain reliable and high-quality water services for the City’s 101 square mile service area by replacing a groundwater well that is beyond its’ useful life. Ensuring that the City’s groundwater infrastructure will not fail due to age is vital in continuing meeting water demands, given the State’s historic vulnerability to drought conditions that impact the amount of available surface water.
On March 9, 2024, President Biden signed into law the FY 2024 Consolidated Appropriations Act (P.L. 118-42). In this law, Congress continued the practice of funding specifically named community infrastructure projects, referred to by the Senate as Congressionally Directed Spending (CDS) items and in the House of Representatives as Community Project Funding (CPF) items. Water infrastructure CDS/CPF projects are referred to as Community Projects. The Environmental Protection Agency (EPA) was identified as the section of the Consolidated Appropriations Act 2024 to award and administer the CDS/CPF Grants.
For FY 2024, the Consolidated Appropriations Act (P.L. 118-42) includes $1,419,312,172 in the State and Tribal Assistance Grants (STAG) account for 1,022 drinking water, wastewater, stormwater infrastructure, and water quality protection projects. Out of the 1,022 projects, the City of Sacramento, Department of Utilities #168 and #169 Well Projects were identified for funding. EPA will use the Clean Water State Revolving Fund (CWSRF) and Drinking Water State Revolving Fund (DWSRF) framework to guide implementation of these Community Grant projects.
With these appropriations the City is set to receive up to $1,919,504 million which will aid the City to in making the necessary system upgrades required to maintain reliable and high-quality water services for the City’s 101 square mile service area by replacing groundwater wells that are beyond their useful life.
RESOLUTION NO. 2025 –
Adopted by the Sacramento City Council
February 25, 2025
APPLICATION FOR THE ENVIRONMENTAL PROTECTION AGENCY (EPA) COMMUNITY GRANT FUNDING APPROPRIATIONS FISCAL YEAR (FY) 2024.
BACKGROUND
A. On March 9, 2024, President Biden signed into law the FY 2024 Consolidated Appropriations Act (P.L. 118-42). In this law, Congress continued the practice of funding specifically named community infrastructure projects, referred to by the Senate as Congres sionally Directed Spending (CDS) items and in the House of Representatives as Community Project Funding (CPF) items. Water infrastructure CDS/CPF projects are referred to as Community Projects. The Environmental Protection Agency (EPA) was identified as the section of the Consolidated Appropriations Act 2024 to award and administer the CDS/CPF Grants.
B. EPA’s Community Grant Appropriations are State and Tribal Assistance Grants (STAG) infrastructure grants to improve water infrastructure and water quality through funding for drinking water, wastewater, and stormwater projects. For FY 2024, the Consolidated Appropriations Act (P.L. 118- 42) includes $1,419,312,172 in the STAG account for 1,022 drinking water, wastewater, stormwater infrastructure, and water quality protection projects.
C. Out of the 1,022 projects, the City of Sacramento, Department of Utilities Groundwater Well Projects #168 and #169 were identified for funding. EPA will use the Clean Water State Revolving Fund (CWSRF) and Drinking Water St ate Revolving Fund (DWSRF) framework to guide implementation of these Community Grant projects.
D. DOU’s Groundwater Well #168 Project will replace a City-owned groundwater well that produces up to 1.7 MGD, which is approximately 7,841 AFY or 8 percent of the City’s total water supply in 2021 and #169 Groundwater Well Project will replace a City -owned groundwater well that produces up to 1.8 MGD, which is approximately 2,016 AFY or 2 percent of the City’s total water supply in 2021. With this appropriation the City will receive an amount not-to-exceed $1,919,504.
E. The City’s Department of Utilities (DOU) is seeking approval to apply for an amount not-to-exceed $1,919,504 in grant appropriations funding for these projects. There is a 20% cost share requirement for these appropriations and there is sufficient funding available in the Well Rehabilitation Program (Z14110100, Fund 6005) to support the 20% cost share for Groundwater Well #168 and #169.
F. If awarded, staff recommends establishing the revenu e and expense budgets in the Well Rehabilitation Program (Z14110100, Fund 6205) for the amount of the grant award not-to-exceed $1,919,504.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
Section 1 The City Manager or the City Manager’s designee, is authorized to:
A. Apply for the appropriation funding through the Environmental Protection Agency (EPA) Community Grant Funding Appropriations Act of Fiscal Year 2024 in an amount not- to- exceed $1,919,504.
B. If awarded, sign the funding agreement and documents of compliance, prepare the necessary data, and execute all reporting, payment requests, and documentation of compliance applicable to the grant and completion of the program.
C. If awarded, establish the revenue and expenditure budgets in the Well Rehabilitation Program (Z14110100, Fund 6205) for the amount of the grant award not-to-exceed $1,919,504 million.