TO: Members of the Governing Board
FROM: Christopher Silke, District Engineer
REPORT BY: Annamaria Martinez, Assistant Engineer
SUBJECT: Budget Transfer for Woodhaven Court Sewer Lift Station Replacement
RECOMMENDATION
title
District Engineer requests the approval of a Budget Transfer for the following (4/5 vote required):
1. Increase appropriations by $100,000 in the 2020 Lightning Fire Complex (Fund 1000, Org 1058006 Object 56100) with use of its available fund balance; and
2. Increase appropriations by $100,000 in the newly created Project 23032 (Woodhaven) budget (Fund 5240, Org 5240500, Object 52360) offset by an increase in revenue from the transfer-in from Organization 1058006 - 2020 Lightning Fire Complex.
body
EXECUTIVE SUMMARY
The Woodhaven Court Sewer Lift Station, which collects raw sewage from properties on Woodhaven Ct. and pumps it to the gravity sewer main on Headlands Drive, was destroyed by the 2020 LNU Lightning Complex Fire in August 2020.
After an extensive post-fire evaluation of the District’s facilities by agents of the Golden State Risk Management Authority (GSRMA) and negotiations with staff and the Risk Manager for Napa County, NBRID was issued a total of $1,656,941 to cover damages incurred during the fire by the insurance agency. After accounting for the $722,982 in repairs completed to date, $933,959 remains of the insurance settlement issued to the District.
The requested budget transfer will allow the District to begin the process of rebuilding the sewer lift station so that customers who are currently rebuilding their homes on Woodhaven Ct will have a functioning facility to connect into for the collection of their sewage.
FISCAL & STRATEGIC PLAN IMPACT
|
Is there a Fiscal Impact? |
Yes |
|
Is it currently budgeted? |
No |
|
Where is it budgeted? |
The source of the budget transfer comes from insurance settlement monies included in Fund 1000, Org 1058006 - 2020 Lightning Fire Complex. The insurance settlement was issued to NBRID for damages to infrastructure and equipment caused by the 2020 Lightning Fire Complex. |
|
Is it Mandatory or Discretionary? |
Discretionary |
|
Discretionary Justification: |
Replacement of the destroyed sewer lift station on Woodhaven Ct. is necessary for the District to be able to collect raw sewage from the properties on Woodhaven Ct. that are currently rebuilding, or who will later build homes on the Court. There is no alternative public sewer access for these homes. |
|
Is the general fund affected? |
No |
|
Consequences if not approved: |
Replacement pf the Woodhaven Ct. Lift Station will be unfunded and the District will not be able to move the project forward. Customers wishing to rebuild will have no direct access to public sewer and additional costs may be incurred by the District and customers to find an alternative method for collecting sewer from Woodhaven Ct. |
|
County Strategic Plan pillar addressed: |
Effective and Open Government |
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 at 14 CCR §15301; see also Napa County’s Local Procedures for Implementing the California Environmental Quality Act, Appendix B.].
BACKGROUND AND DISCUSSION
The Napa Berryessa Resort Improvement District ("District") is a special district of the State of California organized under the Resort Improvement District Law (Public Resources Code Section 13000 et seq.) for the provision of water and sewer service in an unincorporated portion of the County of Napa. The District provides water and sewer service to the Berryessa Highlands and Oakridge Estates communities.
On August 19, 2020, the LNU Lightning Fire Complex burned through the community, destroying many homes and damaging or destroying critical elements of infrastructure needed to operate the water and wastewater facilities, including the complete loss of Woodhaven Court Sewer Lift Station.
After extensive evaluation of damages followed by negotiations with Golden State Risk Management Authority (GSRMA) - the District’s insurance agency - an insurance settlement totaling $1,656,941 was issued to the District. To date, the District has expended $722,982 of the insurance payout for repairs of fire impacted facilities, leaving $933,959 for other expenditures. District staff confirmed through discussions with the County’s Risk Manager that the use of the remaining insurance funds are not limited to fire-related projects. However, there are two remaining fire-related projects: the replacement of the Woodhaven Ct Lift Station (the subject of today’s requested action) and the repair of treated wastewater Sprayfield No. 4 which will come before the Board at a future date. Staff believes that these two projects will consume the bulk of the insurance settlement monies. Should any portion of the insurance settlement remain after the completion of the two noted fire-related projects, staff will return to the Board for approval of another budget transfer to fund additional projects that will benefit the District’s water and sewer utility operations.
Today’s request is for a budget transfer of $100,000 from the District’s insurance settlement deposit into the Woodhaven Ct Sewer Lift Station Replacement Project budget for preliminary engineering, design plans and specifications and equipment expenditures. Informal Contractor bids will be solicited for construction.