TO:Andrew P. Powers, City Manager
FROM:Nader Heydari, Public Works Director
DATE:July 7, 2026
SUBJECT: Stormwater to Sewer Diversion and Reuse Project at Ocho Rios (CI 5600)
RECOMMENDATION:
1. Authorize acceptance of a grant in the amount of $2,459,752 from the Environmental Protection Agency (EPA) Community Grant Program for the design and construction of a stormwater diversion system to improve environmental water quality.
2. Approve Professional Services Agreement with Pacific Advanced Civil Engineering, Inc. (PACE) (Fountain Valley, CA) to provide engineering services for Stormwater to Sewer Diversion and Reuse Project at Ocho Rios Way (CI 5600) in the amount of $206,462, plus extra services of $20,000, for a total not-to-exceed amount of $226,462, with a term ending June 30, 2027.
3. Authorize expenditure for FY 2026-27 in the amount of $231,462 ($206,462 agreement, extra services of $20,000, and $5,000 for City Furnished Materials and Supplies) from A/C #177-5320-631-8300 (Stormwater to Sewer Diversion and Reuse Project at Ocho Rios Way CI 5600).
4. Find that this action is not a project as defined under the California Environmental Quality Act.
LEVINE ACT ITEM: Yes
FINANCIAL IMPACT:
No Additional Funding Requested. $3,074,752 is included in the Adopted FY 2025-2027 Capital Budget for the Stormwater to Sewer Diversion and Reuse Project at Ocho Rios Way (CI 5600), including $615,000 in the Stormwater/Flood Control Fund and $2,459,752 in the Grants Fund. The estimated cost for this project is $2,956,462.
Stormwater to Sewer Diversion and Reuse Project at Ocho Rios (CI 5600) July 7, 2026
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BACKGROUND:
The Countywide Watershed Management Plan and the newly adopted Municipal Separate Storm Sewer System (MS4) Permit for Ventura County require the City to develop strategies and projects to reduce pollutants in both the Calleguas Creek and Malibu Creek Watersheds. The City and the County previously hired a consultant to conduct a feasibility study to determine the best areas in both the City's and County's jurisdictional areas in the Upper Malibu Creek Watershed to build diversion structures to specifically comply with Bacteria and Nutrients Total Maximum Daily Loads (TMDLs) for this watershed.
That study identified that the Ocho Rios location (Attachment #1) was the ideal location for the design and construction of improvements to remove pollutants from the watershed, provide water for reuse, and to comply with requirements in the MS4 Permit and the Upper Malibu Creek Watershed Bacteria and Nutrients TMDL requirements. The Ocho Rios location scored highest in terms of feasibility and benefit, as well as compliance and water reuse for the City and the County.
The proposed project will divert existing stormwater at this location to Triunfo's sewer systems and continue on to Las Virgenes Municipal Water District (LVMWD) facilities to be treated and reused.
The City is serving as the project and financial lead because the City was awarded the EPA Community Grant funding to be used for the project in May 2026, which requires the grant recipient to assume primary responsibility for project management and fiscal administration.
As such, the City is currently developing a Memorandum of Agreement (MOA) with the County of Ventura and the Las Virgenes / Triunfo Joint Powers Authority (JPA) for this joint benefit project. The MOA will establish operational and administrative procedures, responsibilities, roles, and guidelines governing collaboration among the participating agencies.
DISCUSSION/ANALYSIS:
On March 27, 2026, and in accordance with Government Code Section 4526 and Thousand Oaks Municipal Code Section 3-10.401, the City publicly advertised a formal Request for Proposals/Qualifications (RFP/Q) for providing professional engineering services for the Stormwater to Sewer Diversion and Reuse Project at Ocho Rios Way. The solicitation was advertised in the Thousand Oaks Acorn newspaper and on the City’s procurement website.
Stormwater to Sewer Diversion and Reuse Project at Ocho Rios (CI 5600) July 7, 2026
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On April 29, 2026, the City received six proposals as follows:
Unlike public works construction contracts, Professional Services Agreements are not awarded solely on the basis of lowest cost. A team of Public Works staff evaluated the proposals based on the following qualification criteria:
Project Understanding and Approach
Quality, Clarity, Responsiveness, and Overall Impression Project Team / Sub-Consultants Qualifications
Relevant Experience
Creativity and innovation
Past Experiences with the City
Reasonableness and Efficiency of Completion Schedule and Hours After careful review and consideration of the above criteria, the proposal from PACE was determined to provide the most value in meeting the City’s needs for this project. Staff recommends City Council approve the Professional Services Agreement with PACE in the amount of $206,462 (Attachment #2), for design, preparation of contract documents, and bidding services. Upon successful completion of the design and bidding services, staff will seek City Council’s authorization to amend PACE’s contract to provide engineering support services during construction.
ESTIMATED PROJECT COST SUMMARY
Engineering Design (this action) $ 206,462
Engineering Extra Services (this action) $ 20,000
City Furnished Material/Supplies (this action) $ 5,000 Engineering Construction Support (future) $ 75,000
Construction Contract (future) $2,650,000
Total $2,956,462
Federal funding not to exceed $2,459,752 was awarded for this project in May 2026 by the EPA through the Community Grants Program. EPA agrees to cost- share 80 percent of all approved costs incurred, up to and not exceeding $2,459,752.
Proposer Name Location
1. BKF Engineers, Inc. Thousand Oaks, CA
2. Craftwater Engineering, Inc. Pasadena, CA
3. CWE Engineering Fullerton, CA
4. Fuscoe Engineering Los Angeles, CA
5. M6 Consulting, Inc. Thousand Oaks, CA
6. Pacific Advanced Civil Engineering, Inc. (PACE) Fountain Valley, CA Stormwater to Sewer Diversion and Reuse Project at Ocho Rios (CI 5600) July 7, 2026
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PROJECT TIMELINE
Begin Design Summer 2026
Complete Design Spring 2027
Bid and Award Process Summer 2027
Begin Construction Fall 2027
Project Completion Fall 2028
Community Outreach: A public outreach plan for the project will be developed during the design, with a focus on residents located within the project boundaries. A project website and community meetings will be arranged to inform the public and address their questions/concerns.
This project meets City Council’s Top Ten Priorities #9, “Public Works Infrastructure & Sustainability.”
CIP PROJECT PRIORITY (as outlined in FY 2025-26 and FY 2026-27 CIP Program Budget)
Priority One – Essential projects which address health and safety, legal and regulatory requirements, as well as City Council’s Top Priorities projects.
LEVINE ACT (California Government Code § 84308):
This item is subject to the Levine Act. City Councilmembers who have received a campaign contribution of more than $500 (aggregated) within the preceding 12 months from a party or their agent/representative, or a financially-interested participant involved in this proceeding may do either of the following: (1) disclose the contribution on the record and recuse themselves from this proceeding; or if applicable (2) return the portion of the contribution that exceeds $500 within 30 days from the time the official knew or should have known about the contribution, and participate in the proceeding.
All parties and their agents/representatives must disclose on the record of this proceeding any aggregated contribution of more than $500 made to any Councilmember within the preceding 12 months. Councilmembers are prohibited from accepting, soliciting, or directing a campaign contribution of more than $500 (aggregated) from a party, their agent/representative, or a financially-interested participant during a proceeding and for 12 months following the date a final decision is made. In addition, a party, their agent/representative, or a financially- interested participant is prohibited from contributing more than $500 (aggregated) Stormwater to Sewer Diversion and Reuse Project at Ocho Rios (CI 5600) July 7, 2026
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to a Councilmember during a proceeding and for 12 months following the date a final decision is made. The completed Levine Act Form for PACE is included as an exhibit to the agreement in Attachment #2.
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goal:
F. Provide and enhance essential infrastructure to ensure that the goals and policies of the Thousand Oaks General Plan are carried out and the City retains its role and reputation as a leader in protecting the environment and preserving limited natural resources.
PREPARED BY: Ayda Forouzan, Sr. Engineer
Attachments:
Attachment #1 – Vicinity and Location Maps
Attachment #2 – Professional Services Agreement with PACE DPW: 850-20\ev\Council\2026\070726\CI5600\Stormwater to Sewer Diversion and Reuse Project staff report.docx