To: Honorable Mayor and Members of City Council
From: Julie Lucido, Public Works Director
Prepared By: Jessica Lowe, Deputy Public Works Director
TITLE:
Title
Pueblo Area Paving-Reimbursement Agreement with the Napa Sanitation District
LABEL
RECOMMENDED ACTION:
Recommendation
Adopt a resolution (1) approving and 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 $1,790,000 to reimburse the Napa Sanitation District for the cost to construct water, sidewalk, and paving improvements as part of Phase 1 of the Pueblo Area Paving Project in the City of Napa; and (2) amending the FY2025/26 & 2026/27 Capital Improvement Plan as documented in Council Budget Amendment No. 24P5; and (3) determining the actions authorized by this resolution are exempt from CEQA.
Body
DISCUSSION:
The Napa Sanitation District (NapaSan) is planning a sanitary sewer rehabilitation project in the West Pueblo neighborhood. The project spans areas within the City of Napa and unincorporated Napa County. NapaSan has agreed to include the construction work to repair and replace City infrastructure including sidewalks, street paving, and water line improvements as part of the project. The City of Napa and Napa County will each contribute funding for the improvements within their respective jurisdictions. Measure G funding was programmed to add this project work to improve City infrastructure and has allowed the City to collaborate with other agencies to reduce overall costs and reduce community disruptions.
To ensure a seamless project across jurisdictional boundaries, the City and County developed joint improvement plans after an agreement was approved by City Council in June 2025. Construction is expected to be completed in phases, with the first phase expected in early 2026 and the second phase planned for 2027. This proposed agreement will cover work in the first phase of the project starting early next year. An amendment to the reimbursement agreement will be required for the second phase of the work once the phase two construction estimates are prepared.
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 approximately 260 feet of 6-inch polyvinyl chloride (PVC) watermain, C900 DR14 pipe, and abandonment of asbestos cement pipeline (ACP) watermain at Sandra Drive and Kathleen Drive. Relocation of one residential water service and installation of two new fire hydrants is also included.
The reimbursement agreement will allow the City work to be completed by NapaSan’s contractor as part of a larger NapaSan project. The City will pay for 100% of the construction cost for street paving and concrete sidewalk work that is within the City limits and for the watermain work. The City will have the ability to decline to award the work if the bid results are not favorable. The City will have authority to approve additional costs, such as change orders, and the City 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). Funding for the Public Works portion of the Pueblo Area Paving Project (33ST26PW06) is included in the project’s Fiscal Year 2025/26 budget.
Funding for the W Pueblo Water Improvement - NapaSan Project (63WD26UT06) requires additional funding. The attached Council Budget Amendment No. 24P5 will increase the W Pueblo Water Improvement - NapaSan Project (63WD26UT06)’s budget by $100,000 by appropriating Water CIP Reserve funds to Water Capital Projects - Distribution (53160131).
Staff recommends amending the FY2025/26 & 2026/27 Capital Improvement Project Plan as documented in Council Budget Amendment No. 24P5 as follows:
- Obligate $100,000 of Water CIP Reserves funding to the W. Pueblo Water Improvement - NapaSan Project (63WD26UT06).
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- Council Budget Amendment No. 24P5
ATCH 2 - Agreement
NOTIFICATION:
None.