Public Works Agency
www.santa-ana.gov/public-works/
Item # 22
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
October 6, 2026
TOPIC: Resolutions for Walnut Pump Station PFAS Treatment System Funding
AGENDA TITLE
Adopt Resolutions Authorizing the City Manager to Submit a Financial Assistance Application for a Financing Agreement from the State Water Resources Control Board for the Walnut Pump Station PFAS Treatment System Project and Declare that the Project is Categorically Exempt from the California Environmental Quality Act
RECOMMENDED ACTION
1. Adopt a resolution authorizing the City Manager to submit a financial assistance application for a financing agreement from the State Water Resources Control Board for the planning, design, and construction of the Walnut Pump Station PFAS Treatment System Project.
RESOLUTION NO. 2026-XXX entitled A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA ANA AUTHORIZING AN APPLICATION TO THE STATE
WATER RESOURCES CONTROL BOARD FOR FINANCIAL ASSISTANCE FOR
THE WALNUT PUMP STATION PFAS TREATMENT PROJECT
2. Adopt a resolution declaring the Walnut Pump Station PFAS Treatment System Project is categorically exempt from the California Environmental Quality Act pursuant to Section 15303 of the California Environmental Quality Act Guidelines.
RESOLUTION NO. 2026-XXX entitled A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA ANA SUPPORTING AND ADOPTING THE FINDINGS
THAT THE CITY OF SANTA ANA WALNUT PUMP STATION PFAS TREATMENT PROJECT IS EXEMPT FROM CEQA PURSUANT TO SECTION 15303 OF THE
CEQA GUIDELINES
GOVERNMENT CODE §84308 APPLIES: No
DISCUSSION
The Public Works Agency (PWA) is responsible for the daily operations of the City of Santa Ana’s drinking water systems. The water system has an average daily demand of 30 million gallons from its roughly 45,810 service connections. The majority of the City’s Resolutions for Walnut Pump Station PFAS Treatment System Funding October 6, 2026
potable water comes from the Orange County Groundwater Basin (OC Basin) and is pumped through 21 existing City wells. Due to the presence of per- and polyfluoroalkyl substances (PFAS) found in routine well monitoring, several wells in the OC Basin have been taken offline, including Santa Ana Wells 16, 29, 33, and 41 which supply water into the Walnut Pump Station reservoir.
On May 19, 2020, City Council approved the PFAS Treatment Facilities and Program Agreement with the Orange County Water District (OCWD) (Exhibit 1). The PFAS Treatment Facilities and Program Agreement (Agreement) calls for OCWD to provide the funding, design, construction, and operation assistance for PFAS treatment facilities for qualifying City groundwater wells. The City and OCWD have identified the Walnut Pump Station as a priority location for the construction of PFAS treatment facilities to treat groundwater pumped from City Wells 16, 29, 33, and 41 (Project). The total Project budget, including construction cost, is estimated to be $30,000,000. Under the Agreement, the City is assisting OCWD in securing approximately $15,000,000 in grant funding to offset a portion of the Project’s construction costs.
Under the federal Bipartisan Infrastructure Law (BIL), $5 billion has been allocated through the Drinking Water State Revolving Fund (DWSRF) Program administered by the State Water Resources Control Board (SWRCB) to address PFAS and other emerging contaminants. The SWRCB will provide grant up to fifty percent (50%) of project costs, up to $25,000,000, for each qualified applicant. Eligible projects include the construction of a new treatment facility that addresses PFAS such as the City of Santa Ana Walnut Pump Station PFAS Treatment System Project. OCWD is not an eligible applicant for the PFAS grant because it is not the owner or operator of PFAScontaminated wells. Per the Agreement, the City of Santa Ana must be the applicant for the grant funds. Receiving this grant would help advance the Project, reduce impacts to rate-payers, and restore the ability to produce locally-sourced water, while reducing the City’s reliance on costly imported water.
If the City were awarded the PFAS grant and the funding agreement were executed, the City would serve as the grant recipient, as the owner and the operator of the PFAS water treatment systems. OCWD would submit invoice(s) to the City that total to the grant amount for the construction of the Project. The City of Santa Ana would need to pay OCWD as “proof of payment” before seeking and receiving grant reimbursement from the SWRCB. The City will serve as a “pass through” agency between SWRCB and OCWD, and the net financial impact to the City would be zero.
The City of Santa Ana’s adoption of an Authorization Resolution is a requirement of the PFAS grant application and is necessary to proceed with execution of the grant funding agreement with the SWRCB (Exhibit 2).
Resolutions for Walnut Pump Station PFAS Treatment System Funding October 6, 2026
ENVIRONMENTAL IMPACT
The City must adopt a resolution finding the City’s Walnut Pump Station PFAS Treatment System Project is exempt from California Environmental Quality Act (CEQA) pursuant to Section 15303 of the CEQA guidelines (Exhibit 3). This project is consistent with Categorical Exemption Class 3 of Section 15303 because it consists of the construction and operation of a small treatment plant at a previously disturbed site representing the development of limited numbers of new, small facilities or structures, and it would not result in any significant impacts to the environment.
FISCAL IMPACT
There is no fiscal impact associated with this action. A separate staff report will be presented to the City Council at a later date to recognize and appropriate grant funds.
EXHIBIT(S)
1. PFAS Treatment Facilities and Program Agreement
2. Authorization Resolution
3. CEQA Exemption Resolution
Submitted By: Rodolfo Rosas, P. E., Acting Executive Director of Public Works Approved By: Alvaro Nuñez, City Manager