TO: Board of Supervisors
FROM: Steven Lederer, Director of Public Works
REPORT BY: Sydney Barclay, Associate Engineer
SUBJECT: Pueblo Area Rehabilitation Project, RDS 26-01, Phase II - Approval of the Reimbursement Agreement with the Napa Sanitation District
RECOMMENDATION
title
Approve and authorize Agreement No. 270182B with the Napa Sanitation District to reimburse the District for construction costs and District administrative expenses for the “Pueblo Area Rehabilitation Project - Phase 2,” RDS 26-01. (Fiscal Impact $3,000,000 Expense; Local Transportation Tax (T/U); Reallocation of Budget; Discretionary)
body
BACKGROUND
The Napa Sanitation District (NSD) is partnering with the City of Napa and County of Napa to administer the Pueblo Area Rehabilitation Project, which is located in northwest Napa between West Pueblo Avenue, Solano Avenue, Linda Vista Avenue, and Redwood Road. The project was divided into two (2) phases with Phase 1 undergoing construction activities in the north portion of the project limits in 2026, and with plans for Phase 2 to undergo construction improvements in the south half of the project area in 2027. This project will rehabilitate the existing sewer infrastructure, update select City fire hydrants, restore the pavement surface, and repair damaged concrete drainage facilities as needed, among other project related improvements.
Given the expense, vast scope, and available fiscal funding for each agency involved, the project was split into two phases. Phase 1 focused on repairs to the project area north of Janette Drive, south of Redwood Road, east of Linda Vista Avenue, and west of Solano Avenue, and construction is ongoing. Phase 2 would repair the sections of road north of Morlan Drive, south of Janette Drive, east of Rancho Drive, and west of Solano Avenue in 2027.
On May 20, 2025, the Board of Supervisors approved a Professional Services Agreement with Nichols Consulting Engineers, Inc. to prepare Plans and Specifications for the paving portion of the project. The final design for the “Pueblo Area Rehabilitation Project - Phase 2,” RDS 26-01 is complete and NSD plans to advertise the project for bid on October 23, 2026, with the County’s paving portion incorporated into the contract as Bid Alternate A.
The following 15 streets will be paved in 2027 as part of Phase 2 construction: Alberta Dr, Barbara Rd, Burnette Ct, Carol Dr, Delpha Dr, Edith Ct, Geraldine Ct, Margo Ct, Morlan Dr, Norma Dr, Patrick Ct, Rancho Dr, Sherry Dr, Thomas Dr, and W Pueblo Ave.
The Reimbursement Agreement proposed for approval, gives NSD the responsibilities to advertise, award, and administer the construction contract and makes the County responsible for reimbursing NSD for the cost of paving and appurtenant work. The Reimbursement Agreement will be presented for approval by NSD on October 21, 2026. County staff recommends that the County and NSD enter into a Reimbursement Agreement to authorize NSD to advertise, award, and administer the construction contract for the Pueblo Area Rehabilitation Project - Phase 2.
The engineer’s estimate for construction is $2,200,000. NSD will open bids on December 3, 2026, with the intent to award a construction contract to the lowest responsive and responsible bidder on December 16, 2026. Construction is anticipated to commence in February 2027 and be completed by November 2027, with paving operations completed between September and October 2027, weather and site conditions permitting. A 20% construction contingency of $400,000 has been factored into the anticipated construction cost estimate, for any unforeseen items of work; $225,000 has been set aside for construction management costs with $175,000 set aside for inspections and permitting costs.
Included in the Fiscal Year 2026-27 budget is $14,850,000 million in Project RDS00 for a list of Roads Capital Improvement Projects with not-to-exceed project amounts approved by the Board. Pueblo Pocket Sewer/Roadway Rehab (Phase 2) also known as Pueblo Area Rehabilitation Project (25010) was on the list with a not-to-exceed amount of $3,000,000. With respect to this agenda item, a budget amendment and subsequent transfer of funds will be prepared to reallocate $3,000,000 from RDS00 to Project 25010. These actions will be reviewed and approved by the County Executive Office and the Auditor-Controller Office to ensure compliance with the adopted budget and availability of funds.
Requested Actions:
1. Approve Agreement No. 270182B with the Napa Sanitation District.
FISCAL IMPACT
|
Is there a Fiscal Impact? |
Yes |
|
Is it currently budgeted? |
Yes |
|
Where is it Budgeted? |
Roads Fund, Division 20405 |
|
Is it Mandatory or Discretionary? |
Discretionary |
|
Discretionary Justification: |
Partnering with the Napa Sanitation District will allow the County to participate in a joint agency effort to finish the efforts already employed in this area with the Phase 1 project efforts. This project will rehabilitate the existing infrastructure in the Pueblo Area and reduce costs for all agencies involved. |
|
Is the general fund affected? |
No |
|
Future fiscal impact: |
Construction for Phase 1 will be completed by November 2026, any leftover funds will be utilized for Phase 2. Construction for Phase 2 will take place in fiscal years 2026-27 and 2027-28. The project was phased out into two different construction seasons due to the vast scope of repairs taking place and fiscal funding limitations. |
|
Consequences if not approved: |
The Napa Sanitation District will move forward with their project, which will damage the existing pavement and require a future paving project to repair damages. This would ultimately impact the residents and create projects that are completed in multiple years, having increased costs and a major impact on the neighboring community. |
|
Strategic Initiative: |
Build Healthy, Connected Communities |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: Consideration and possible adoption of a Categorical Exemption Class 1: It has been determined that this type of project does not have a significant effect on the environment and is exempt from the California Environmental Quality Act. [See Class 1 (“Existing Facilities”) which may be found in the guidelines for the implementation of the California Environmental Quality Act of 14 CCR §15301; see also Napa County’s Local Procedures for Implementing the California Environmental Quality Act, Appendix B].