TITLE
The Mayor and City Council shall discuss and take action to approve a revised Letter of Intent addressed to the U.S. Army Corps of Engineers, requesting the reallocation of approved Federal funding from the West Maricopa Transmission Waterline project to the Maricopa Aquifer Recharge Facility project, and authorize the Mayor to sign this Letter. Discussion and Action.
AGENDA ITEM DESCRIPTION
In April 2021, the City of Maricopa requested Federal assistance for the construction of a water line in western Maricopa to assist with future development, as well as the construction of a new Aquifer Recharge Facility that would enhance the resiliency of the City’s water supply. Each project was identified for Federal funding under the Army Corps' Work Plan and was allocated $3.0M and $3.5M in Federal funds, respectively. The projects will be funded under the Western Rural Waters Environmental Infrastructure Program authorized by Section 595 of the Water Resource Development Act of 1999, as amended.
In the time since the Federal funding for both projects was identified, the need has arisen to reallocate the $3.5M in funding from the West Maricopa Transmission Waterline. Given its possession of the Certificate of Convenience and Necessity for the service area contemplated to be served by this transmission line, Global Water-Santa Cruz Water Company, Inc. will separately finance, construct and own this water line. The requested reallocation will address the critical needs of our community’s water supply by augmenting the budget for the awarded Aquifer Recharge Facility project.
The reallocation of the awarded funding from the West Maricopa Transmission Waterline Project for $3.5 million is crucial for several reasons:
1. The Aquifer Recharge Facility has a real need with larger costs now than previously estimated. Currently awarded for $3 million, the reallocation would result in an augmented total contribution of $6.5 million by the U.S. Army Corps of Engineers, with a total estimated budget of $8.667 million including the City’s contribution.
2. Global Water-Santa Cruz Water Company, Inc. will separately finance, construct and own the West Maricopa Transmission Waterline. There are no provisions in state statute or other restrictions that would prevent the City of Maricopa from owning the Aquifer Recharge Facility, which will be designed, built, operated, and maintained by the Global Water-Santa Cruz Water Company, in an agreement between them and the City of Maricopa.
As part of the process to reallocate the funding, the City of Maricopa must submit a revised Letter of Intent to the Army Corps of Engineers, which oversees the deployment of the Section 595 funds.
The City does not anticipate spending any additional funds beyond the dollars received through this federal allocation. This project will be done in coordination with Global Water.
PRESENTER
This item will be presented by Steve Kenna, Civil Engineer.
STAFF RECOMMENDATION
Staff recommends that the Mayor and City Council approve the Letter of Intent and authorize the Mayor to sign the letter as needed to request the reallocation of Federal assistance funds.