Agenda Item Wording:
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Contract Change Order, Fund Appropriation, & License Agreement - Authorize contract amendment for JFS Enterprises, Inc. for increased orchard clearing at the East Side Regional Park, the appropriation of additional funds, and a license agreement with Kaweah Delta Water Conservation District.
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Deadline for Action: 8/5/2024
Submitting Department: Community Development
Contact Name and Phone Number:
Katherine Woodhull-Fuget, Associate Engineer, Katherine.Woodhull-Fuget@visalia.city <mailto:Katherine.Woodhull-Fuget@visalia.city>, (559) 713-4447
Eric Bons, Senior Civil Engineer, Eric.Bons@visalia.city <mailto:Eric.Bons@visalia.city>, (559) 713-4350
Jason Huckleberry, Director of Engineering & Building, Jason.Huckleberry@visalia.city <mailto:Jason.Huckleberry@visalia.city>, (559) 713-4495
Department Recommendation:
Staff recommends that the City Council:
1. Authorize the City Manager to execute a construction contract amendment for the clearing of 111 additional acres of fallowed orchard at the East Side Regional Park by JFS Enterprises, Inc in the amount of $832,500.
2. Authorize the additional appropriation of a total of $876,650 from the following funds:
a. $92,600 from Fund 224 Groundwater Recharge
b. $48,400 from Fund 241 TIF
c. $695,350 from Fund 211 Recreational Facilities
d. $40,300 from Fund 221 Storm Construction
3. Authorize the City Manager to execute a license agreement with Kaweah Delta Water Conservation District for the operation of temporary flood diversion equipment at the East Side Regional Park.
Background Discussion:
The City finalized contract negotiations with the California Department of Water Resources (DWR) for a land clearing grant as part of DWR’s Flood Diversion Recharge Enhancement (FDRE) Initiative. Previous City staff received Council authorization to participate in the grant (through Resolution 2023-43) and to award a land clearing contract to JFS Enterprises Inc.
The grant agreement with DWR was executed June 11th, 2024, with a contract end date of June 30th, 2026. DWR will reimburse the City for the clearing of 40 acres of fallowed walnut and pecan orchard on the East Side Regional Park (ESRP) in order to maximize groundwater recharge capacity during flood diversions. Should high flood flows like those seen in March 2023 occur during the contract term, the City will be expected to use temporary flood diversion equipment (pumps and siphons) to divert high flows onto the newly cleared land. The City intends to partner with Kaweah Delta Water Conservation District (KDWCD) for the procurement and operation of temporary flood diversion equipment as needed.
KDWCD has a separate grant agreement with DWR for the procurement and operation of temporary flood diversion equipment (portable pumps, siphons, and monitoring equipment) for use at specified locations. At the recommendation of DWR, KDWCD included the ESRP as one of the locations specified in their grant agreement at the City’s request. KDWCD would be responsible for the operation of the equipment and the submittal of reports as needed during the term of the DWR Contract. There will be no infrastructure installed in conflict with the ESRP master plan because no permanent diversionary structures will be constructed and only temporary, portable equipment will be used. Clearing the property and approving the license with KDWCD allows the property to be available for usage while planning for park occurs.
The proposed license agreement (attachment 4), once executed, will formalize the City’s partnership with KDWCD, authorizing the District to access the ESRP to perform water diversion pumping operations from Mill Creek onto the cleared land should high flood flows occur during the DWR contract term. As the Water Master for the region, KDWCD is uniquely suited to identify and manage flood diversion opportunities. The license agreement will be placed on KDWCD’s Board of Directors agenda for the August 6, 2024 meeting.
The master planned Eastside Regional Park & Groundwater Recharge Project consists of approximately 286 acres, including 40 acres of planned street & infrastructure improvements. The project will include Rd. 148 as a new arterial roadway; and improvements to Houston Avenue, Road 152, and E. Mineral King Avenue. The project allocated approximately 148 acres for park uses, while the dedicated groundwater recharge elements will encompass approximately 100 acres. The license with KDWCD for temporary usage can be terminated when the City is ready to move forward with the park uses.
The recharge basins are planned to receive allotted water deliveries to help replenish the area’s groundwater. Approximately 282 acres of property bounded by Mineral King/SR-198, Road 152, Houston Avenue (S/R 216), and the SCE overhead transmission towers have been acquired since 2001 for the future East Side Regional Park. Construction of park proper, the future Tower Street (Road 148) and Interchange with SR 198, and groundwater recharge facilities will be within the footprint area.
Of the 282 acres acquired since 2001 for the future ESRP, roughly 158 acres are still covered by walnut and pecan trees leftover from the land’s previous agricultural use. These walnut and pecan orchards were taken out of agricultural production several years ago and as a result have not been irrigated in years. While many of the trees showed signs of re-establishment after the significant rain events of early Spring 2023, the trees are non-producing and the vast majority are partially, if not completely, dead.
Forty of the 158 remaining acres of orchard will be cleared under the City’s grant agreement with DWR, and an additional 7 acres are slated for removal by the ESRP Basin D Project, which has a separate fund source and contractor, leaving 111 acres of orchard remaining. The procurement of JFS Enterprises for the clearing of the 40 grant-funded acres presented an opportunity to clear additional trees nearby. The proposed change order (CCO2) will clear the remaining 111 acres of orchard using local funds. Clearing these acres is recommended since the dead orchard will become a nuisance and require regular maintenance to avoid becoming a fire hazard.
Change Order 2 went before the Change Order Committee on July 31st, 2024. The Change Order Committee is a group of non-appointed technical staff without direct involvement in the project submitted for review. The Committee is an informal committee that reviews the contract change order request for completeness, accuracy, constructability, objectivity, consistency, and overall insight. After reviewing the request and discussing the item, the Committee recommended approval of the contract amendment to JFS Enterprises, Inc.
Fiscal Impact:
The $876,650 additional appropriation includes funds for staff time and CEQA compliance work as well as the $832,500 construction contract amendment. The proportions of Groundwater Recharge (224), TIF (241), Recreational Facilities (211), and Storm Construction (221) funds are based on the planned uses of the lands to be cleared by JFS Enterprises. Given that the planned layout of the ESRP is still preliminary, the proportional areas of land use have been rounded to the nearest acre:
|
Planned Land Use (Short Term Use) |
Grant Funded/Local |
Fund |
Acres |
|
Recharge Basin (Flood Layoff) |
Grant Funded |
001 |
32 |
|
Park Facilities (Flood Layoff) |
Grant Funded |
001 |
8 |
|
Recharge Basin |
Local |
224 |
11 |
|
Park Facilities + Frontage |
Local |
211 |
89 |
|
Storm Basin + Frontage |
Local |
221 |
5 |
|
Rd 148 Excluding Frontage |
Local |
241 |
6 |
|
|
|
Total |
151 |
The DWR grant does not reimburse for staff time or CEQA compliance costs. The staff time and CEQA compliance costs associated with the 32 acres of Recharge Basin (Flood Layoff) and 8 acres of Park Facilities (Flood Layoff) are covered by funds 224 and 211, respectively.
|
Fund Source |
Current |
Land Clearing Contract |
CEQA Compliance |
Estimated |
Fund |
Appropriation |
|
|
Budget |
Grant Scope |
CCO2 |
& Staff Time |
Total |
Surplus/ (Deficit) |
Request |
|
001-General Fund |
$313,500 |
$300,000 |
$ - |
$ - |
$ 300,000 |
$ 13,500 |
$ - |
|
211-Recr Facilities |
$ 32,850 |
$ - |
$667,500 |
$ 60,700 |
$ 728,200 |
$ (695,350) |
$ 695,350 |
|
221-Storm Const |
$ - |
$ - |
$ 37,500 |
$ 2,800 |
$ 40,300 |
$ (40,300) |
$ 40,300 |
|
224-Groundwater |
$ 40,000 |
$ - |
$ 82,500 |
$ 50,100 |
$ 132,600 |
$ (92,600) |
$ 92,600 |
|
241-TIF |
$ - |
$ - |
$ 45,000 |
$ 3,400 |
$ 48,400 |
$ (48,400) |
$ 48,400 |
|
Total |
$386,350 |
$300,000 |
$832,500 |
$ 117,000 |
$1,249,500 |
$ (863,150) |
$ 876,650 |
By partnering with KDWCD through a license agreement for the operation of temporary flood diversion equipment, the City avoids potential costs associated with equipment procurement and operation. The City does not have the necessary equipment on hand and would need to rent or otherwise procure the equipment if the conditions for diversion were met. Without partnering with KDWCD, the City would be responsible for the cost of renting the equipment. Based on estimates from May 2023, the monthly equipment and fuel costs would be roughly $12,000 for a 12 inch trash pump, discharge line, pipe fittings, a flow meter, and 400-gallon fuel cell. The total equipment and fuel costs for the duration of the DWR contract (2 years) would depend on the occurrence of high flood flows.
Prior Council Action:
• November 20, 2023, City Council authorized acceptance of grant funding from the Department of Water Resources in the amount of $313,500, award to JFS Enterprises for land clearing services in the amount of $285,000, and appropriation of $346,350 for the entire project.
• October 16, 2023, City Council adopted Resolution 2023-43 authorizing grant participation.
Alternatives: The City Council, in lieu of staff’s recommendation, may choose not to authorize the construction contract amendment with JFS Enterprises, Inc or the appropriation of funds. Should the City Council not authorize the contract amendment and additional appropriation, only the 40 acres reimbursable by DWR will be cleared, and the 111 acres of dry orchard will need to be cleared at a later date under a separate construction contract.
Recommended Motion (and Alternative Motions if expected):
recommendation
I move to:
1. Authorize the City Manager to execute a construction contract amendment for the clearing of 111 additional acres of fallowed orchard at the East Side Regional Park by JFS Enterprises, Inc in the amount of $832,500.
2. Authorize the additional appropriation of a total of $876,650 from the following funds:
a. $92,600 from Fund 224 Groundwater Recharge
b. $48,400 from Fund 241 TIF
c. $695,350 from Fund 211 Recreational Facilities
d. $40,300 from Fund 221 Storm Construction
3. Authorize the City Manager to execute a license agreement with Kaweah Delta Water Conservation District for the operation of temporary flood diversion equipment at the East Side Regional Park.
end
Environmental Assessment Status: Per the Mitigation Monitoring and Reporting Program in the East Side Regional Park & Groundwater Recharge Project Final Environmental Impact Report, Preconstruction Wildlife Surveys and Worker Environmental Awareness Training are required prior to tree clearing.
CEQA Review: This project is covered by the East Side Regional Park & Groundwater Recharge Project Final Environmental Impact Report (State Clearinghouse No. 2014121076)
Attachments:
1. ESRP Location Map
2. Orchard Removal Site Plan
3. Orchard Site Photos
4. KDWCD License Agreement