REPORT TO THE CITY COUNCIL December 4, 2014 FROM: THOMAS C. ESQUEDA, Director Department of Public Utilities BY: MARTIN A. QUERIN, PE, Assistant Director Department of Public Utilities - Water Division SUBJECT ..Title Approve the acquisition of permanent pipeline right-of-way easements and temporary construction easements from Thelma Becker and Knox Blasingame for APN 581-010-14 and APN 581-010-15 ..Body RECOMMENDATIONS Staff recommends that City Council: 1. Approve the acquisition of permanent pipeline right-of-way and temporary construction easement as shown in the Table below for the construction of the Raw Water Pipeline from the Friant-Kern Canal to the Northeast Surface Water Treatment Facility (NESWTF). 2. Authorize the Director of Public Utilities, or his designee, to sign all documents on behalf of the City. EXECUTIVE SUMMARY The Department of Public Utilities, Water Division, is finalizing the design of the Friant Kern Raw Water Pipeline to deliver raw water from the Friant-Kern Canal to the NESWTF. With bidding scheduled to begin in late 2015, acquisition of easements for this pipeline project is necessary. The property owners Thelma Becker and Knox Blasingame have agreed to the compensation of $41,550 for the acquisition of permanent pipeline rights-of-way and $3,130/year for the acquisition of temporary construction easements (see attachment Table 1). BACKGROUND Presently, the City's contract with the United States Bureau of Reclamation (USBR) for Central Valley Project (CVP) surface water travels nearly 55 miles in open canals from Friant Dam (Millerton Lake) to the NESWTF. The proposed Project consists of the construction and operation of a 5.6-mile raw water pipeline. The new pipeline reroutes the CVP water directly to the NESWTF and will eliminate nearly 47 miles from the conveyance distance. The Project will convey water in an enclosed system and greatly reduce the threat to water quality in otherwise open canals which are exposed to contamination from environmental debris, and accidental or malicious acts. The pipeline will be constructed across numerous properties in unincorporated Fresno County and connected to the existing one-mile long segment of pipeline constructed in 2007. Additional benefits of the project include reduced power consumption, chemical utilization, and increased operational reliability at the NESWTF. ENVIRONMENTAL FINDINGS An initial study and Mitigated Negative Declaration was prepared and adopted on June 14, 2012 for this project. A Notice of Determination was subsequently filed with the Fresno County Clerk's Office on June 19, 2012. The Proposed Project consists of the construction and operation of a 5.6-mile raw water supply pipeline northeast of the City of Fresno, in unincorporated Fresno County at the City's existing Surface Water Treatment Facility (SWTF). The Proposed Project would be located between the SWTF near Chestnut and Behymer Avenues and the Friant-Kern Canal to the northeast. The purpose of the Proposed Project is to develop a reliable raw water conveyance system with reduced potential for water quality contamination that will bring the City's existing Central Valley Project (CVP) contract supply water directly from the Friant-Kern Canal to the SWTF. This approval is to implement that project. An analysis has been performed pursuant CEQA Guidelines �15162 to determine whether subsequent environmental review is required for the project. Based upon this analysis the following findings are made to support the determination that no subsequent environmental review is required: 1. No substantial changes are proposed in the project which will require major revisions of the previous Mitigated Negative Declaration due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects. In this case there are no changes to the project. 2. No substantial changes occur with respect to the circumstances under which the project is undertaken which will require major revisions of the previous Mitigated Negative Declaration due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects. In this case, the proposed pipeline alignment has not changed. 3. There is no new information, which was not known and could not have been known at the time of the previous Mitigated Negative Declaration that the project will have significant effect not discussed in the Mitigated Negative Declaration. Based upon these findings, it has been determined that no further environmental documentation is required for this project. LOCAL PREFERENCE Local Preference was not considered because this action does not include a bid or an award of a City construction or services contract. FISCAL IMPACT Approving acquisition of these easements will not impact the General Fund. Appropriations for the acquisition of these easements are included in Water Division's FY 2015 Capital Improvement Program budget within the 2010 Water Revenue Bonds A-1 Fund (40118). Project construction is expected to start in mid-year 2015. Attachments: Table 1 Vicinity Map Trust Certificates Purchase Agreement Detailed Exhibits and Legal Descriptions