To: Honorable Mayor and Members of City Council
From: Jessica Lowe, Public Works Director
Prepared By: John Mason, Assistant Engineer
TITLE:
Title
Pueblo Area Paving-Reimbursement Agreement with the Napa Sanitation District
LABEL
RECOMMENDED ACTION:
Recommendation
Adopt a resolution (1) authorizing the Public Works Director to execute on behalf of the City a Reimbursement Agreement with the Napa Sanitation District in an amount up to $1,580,000 to reimburse the Napa Sanitation District for the cost to construct water, sidewalk, and paving improvements as part of Phase 2 of the Pueblo Area Paving Project in the City of Napa; and (2) determining the actions authorized by this resolution are exempt from CEQA.
Body
DISCUSSION:
The Napa Sanitation District (NapaSan) is completing a sanitary sewer rehabilitation project in the West Pueblo neighborhood, which spans areas within the City of Napa and unincorporated Napa County. As part of the project, NapaSan has coordinated with the City and County to include improvements to local infrastructure including sidewalks, street paving, and water distribution facilities. The City of Napa and Napa County are each funding improvements within their respective jurisdictions. Measure G funding was programmed for the City’s portion of the paving and concrete work, with Utilities funding the water distribution work.
In November 2025, City Council approved an initial reimbursement agreement to allow NapaSan’s contractor to complete City infrastructure improvements as part of the larger project. Coordinating construction with other agencies allows work to be completed more efficiently, with reduced overall project costs and minimizing community disruptions.
Construction was divided into two phases, with Phase 1 now complete. This proposed agreement will cover work planned as part of Phase 2, scheduled for construction in 2027. The City Public Works portion of the project includes sidewalk repairs and paving while the Utilities Department - Water Division’s portion of work includes installation of two fire hydrants: one on Rancho Drive and one on Massa Drive.
Under the proposed agreement, the City will reimburse NapaSan for 100% of the construction costs associated with street paving and concrete work within the City limits as well as the water distribution improvements. The City will have the ability to decline to award the City’s portion of the work if the bid results are not favorable, will have the authority to approve change orders, and will inspect and approve the final product.
FINANCIAL IMPACTS:
The proposed reimbursement agreement will be supporting two projects; Pueblo Area Paving Project (33ST26PW06) and W Pueblo Water Improvement - NapaSan Project (63WD26UT06); and sufficient available funding for the proposed agreement is included in each project’s prospective budgets.
CEQA:
City staff recommends that the City Council determine that the Recommended Action is exempt from CEQA pursuant to CEQA Guidelines Section 15301, which exempts the repair, maintenance, or minor alteration of existing public facilities involving negligible or no expansion of use.
DOCUMENTS ATTACHED:
ATCH 1 - Resolution
EX A - Agreement
NOTIFICATION:
None.