REPORT TO THE CITY COUNCIL October 22, 2015 FROM: THOMAS C. ESQUEDA, Director Department of Public Utilities BY: KEVIN L. NORGAARD, PE, Supervising Professional Engineer Department of Public Utilities - Wastewater Management Division SUBJECT ..Title RESOLUTION - Adopting a finding of Mitigated Negative Declaration, pursuant to Sections 15178(b)(1) and (2), of the California Environmental Quality Act Guidelines for the construction of new sewer infrastructure in the North Avenue industrial growth area (Council District 3). ..Body RECOMMENDATION Staff recommends that the City Council adopt a finding of Mitigated Negative Declaration, pursuant to Section 15178(b)(1) and (2) of the California Environmental Quality Act (CEQA) Guidelines for the construction of new sewer infrastructure in the North Avenue industrial growth area. EXECUTIVE SUMMARY The Department of Public Utilities (DPU), Wastewater Management Division is seeking to adopt a Mitigated Negative Declaration pursuant to Sections 15178(b)(1) and (2), of the California Environmental Quality Act Guidelines for the construction of new sewer infrastructure in the North Avenue industrial growth area. The project will include the construction of new sanitary sewer lines and fiber optic conduit within Cedar Avenue from Malaga Avenue north to Muscat Avenue, within Orange Avenue from Malaga Avenue north to Fortune Avenue, in East Avenue from Central Avenue north approximately 3,200 feet, in Malaga Avenue between Orange Avenue and Cedar Avenue, and in Central Avenue from Cedar Avenue east to the BNSF Railroad. BACKGROUND In 2003 the City of Fresno Public Works Department began an environmental study and design for the Cherry Avenue lift station and sewer. The lift station was constructed in 2009 along with new large diameter sewer in Cherry Avenue from Jensen to Central Avenues and in Central Avenue from Cherry to Cedar Avenues. The project was constructed to implement the 2025 General Plan. Subsequently, a network of sewer mains to serve the area was designed to provide sanitary sewer service for existing and future industrial development south of North Avenue consistent with the General Plan. The Project takes into account existing water, storm drain, access, existing property operations, Fresno Irrigation District (FID), facilities and alignments of existing utilities north of the Project limits. Approval of the design work and construction of these sewer mains is a project which requires analysis under the California Environmental Quality Act (CEQA). Since the first version of the initial study and Mitigated Negative Declaration (MND) was completed, a new General Plan has been adopted, with a new mitigation measure monitoring and reporting checklist (however, the same planned land uses remain in the project vicinity). The project has also been augmented with installation of fiber optic conduit along with sewer pipelines. The Project includes the construction of new sanitary sewer lines and fiber optic conduit within Cedar Avenue from Malaga Avenue north to Muscat Avenue, within Orange Avenue from Malaga Avenue north to Fortune Avenue, in East Avenue from Central Avenue north approximately 3,200 feet, in Malaga Avenue between Orange Avenue and Cedar Avenue, and in Central Avenue from Cedar Avenue east to the BNSF Railroad. The Project provides City sewer service to the areas tributary to said sewer lines. Project elements include the construction of new sewer lines within the existing rights of way of Cedar Avenue, Orange Avenue, East Avenue, Malaga Avenue, and Central Avenue. The Project includes acquisition of new street easements in East Avenue, Orange Avenue, and Cedar Avenue, where no street easement previously existed. The Project will require execution of an agreement between the City of Fresno and County of Fresno for the Repair of County Roads in the Project limits. The project will include pavement restoration of the existing roadways disturbed by the construction. The project will require temporary road closures and detours during construction. In addition, the project will meet the new General Plan requirements and the Sewer System Master Plan projections. The project area is projected to develop into an area of heavy industry. New sewer infrastructure and communications capabilities are required to meet General Plan projections. The purpose of this Council action is to finalize the updated CEQA work by formally adopting a finding of Mitigated Negative Declaration. Adoption of the MND will allow the City to proceed with acquisition of easements for the installation of new sewers and fiber optic conduit within the project limits. The project will be ready for bid by December 2015, which will put the anticipated start of construction by the end of this year. Anticipated construction costs are $5,511,740 with an accelerated construction duration of 190 working days. The City Attorney's Office has reviewed and approved the proposed resolution for the adoption of a Mitigated Negative Declaration. Upon approval of the MND by the City Council, a Notice of Determination will be filed with the Fresno County Clerk, upon payment of the required California Department of Fish and Wildlife CEQA filing fee. ENVIRONMENTAL FINDINGS The construction of new sewer infrastructure in the North Avenue industrial growth area has been evaluated for compliance with the CEQA Guidelines. Based on the attached environmental assessment (EA No. C-13-015) and the list of identified mitigation measures, staff has determined that the project will not have a significant impact on the environment and that the filing of a Mitigated Negative Declaration is appropriate in accordance with the provisions of CEQA Section 21157.5(a)(2) and CEQA Guidelines Section 15178(b)(1) and (2). A public notice of the attached Mitigated Negative Declaration finding for Environmental Assessment Application No. C-13-015 was published on August 14, 2015 in the Fresno Bee, and posted with the County Clerk's Office on that date for a 30-day review. A Native American Tribal Consultation was also done. No comments were received. The Department of Public Utilities, as applicant, has agreed to implement the Mitigation Monitoring Reporting Plan (MMRP), which is a standard condition of approval for projects. A copy of the environmental assessment and the Finding of Mitigated Negative Declaration is attached to this report. As part of the City Council's action on this matter, the Council is asked to adopt the Finding of Mitigated Negative Declaration. LOCAL PREFERENCE Local preference does not apply to the adoption of a Mitigated Negative Declaration. FISCAL IMPACT This project is identified in the 2025 Master Plan Council District 3. Funds in the amount of $4,000,000 for construction of the project were budgeted in the FY16 Sewer Enterprise Fund No. 40501. The adoption of the MND will have no impact on the General Fund. Attachments: Final Mitigated Negative Declaration Vicinity map Resolution