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HomeMy WebLinkAbout14724RESOLUTION NO. 14724 A RESOLUTION AUTHORIZING PAYMENT OF FUNDS IN THE AMOUNT OF TWO MILLION DOLLARS ($2,000,000) FROM PROJECT NO. CI2113 - AMERICAN RESCUE PLAN ACT, FOR PURPOSES OF CONSTRUCTING SEWER INFRASTRUCTURE AS AUTHORIZED BY SECTION 603(c)(1)(D) OF THE AMERICAN RESCUE PLAN ACT AND INTERIM FINAL RULE 31 CFR 35.6 RECITALS The following recitals are incorporated in and made a part of this Resolution: WHEREAS, on March 11, 2021, President Biden signed the U.S. Senate- amended H.R. 1319 (P.L. 117-2) known as the American Rescue Plan Act (hereinafter “ARPA”); and WHEREAS, on May 10, 2021, the U.S. Treasury issued the Interim Final Rule to implement ARPA in Title 31, Part 35 of the Code of Federal Regulations (“CFR”); and WHEREAS, under the Interim Final Rule, recipients may use Coronavirus State and Local Fiscal Recovery Funds (“CSLFRF”) for sewer infrastructure projects. See CSLFRF Frequently Asked Questions No. 6.1; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO that: SECTION 1. The City Council finds and concludes that the sewer infrastructure project approved hereby qualifies for funding under the U.S. Environmental Protection Agency’s Clean Water State Revolving Fund. SECTION 2. Funds in the amount of Two Million Dollars ($2,000,000.00) are hereby authorized for payment from Project No. CI2113 – American Rescue Plan Act, for purposes of constructing a sanitary main sewer line approximately 6,200 feet in length, th going from manhole 415823.4 near 27 Street to the south boundary of the Southern Colorado Clinic annexation plat, which is just north of Spaulding Avenue. SECTION 3. The officers and staff of the City are authorized to perform any and all acts consistent with this Resolution to implement the policies and procedures described herein. SECTION 4. This Resolution shall become effective immediately upon final passage. INTRODUCED September 27, 2021 BY: Robert Schilling MEMBER OF CITY COUNCIL APPROVED: PRESIDENT OF CITY COUNCIL ATTESTED BY: DEPUTY CITY CLERK City Clerk’s Office Item # Q-1 Background Paper for Proposed Resolution COUNCIL MEETING DATE: September 27, 2021 TO: President Lawrence W. Atencio and Members of City Council VIA: Marisa Stoller, City Clerk CC: Mayor Nicholas A. Gradisar FROM: Nancy Keller, Director of Wastewater SUBJECT: A RESOLUTION AUTHORIZING PAYMENT OF FUNDS IN THE AMOUNT OF TWO MILLION DOLLARS ($2,000,000) FROM PROJECT NO. CI2113 - AMERICAN RESCUE PLAN ACT, FOR PURPOSES OF CONSTRUCTING SEWER INFRASTRUCTURE, AS AUTHORIZED BY SECTION 603(c)(1)(D) OF THE AMERICAN RESCUE PLAN ACT AND INTERIM FINAL RULE 31 CFR 35.6 SUMMARY: This Resolution provides funding in the amount of $2 million for upgrading a sanitary main sewer line, as authorized by Section 603(c)(1)(D) of the American Rescue Plan Act and Interim Final Rule 31 CFR 35.6. PREVIOUS COUNCIL ACTION: By Ordinance No. 9931, approved on May 17, 2021, the City Council established Project No. CI2113 and budgeted and appropriated up to $36.7 million in funds which were expected to be distributed to the City under the American Recovery Plan Act (“ARPA”) for covered costs and eligible expenses to be incurred during the period which began on March 3, 2021 until December 31, 2024 (to be expended by December 31, 2026). BACKGROUND: Under the Interim Final Rule, recipients of may use Coronavirus State and Local Fiscal Recovery Funds (“CSLFRF”) for sewer infrastructure projects. See CSLFRF Frequently Asked Questions No. 6.1. In 2008, when the YMCA proposed to develop a pool/recreation center to be located on E. Spaulding Ave., applicable City ordinances required the YMCA to extend the sanitary main to its northern boundary to accommodate future growth. The YMCA was allowed by City Council to only put in a small sewer line connecting to the existing system, with the agreement that if the YMCA did any future development of its property, it would be required to upgrade the sanitary main to its northern boundary. Because of the costs associated with upgrading the sanitary main, the YMCA is effectively precluded from future development of its property. Upgrading the sanitary main sewer line is necessary to accommodate future growth on the westside of the City, including:  Phase 2 of the YMCA development;  Phase 2 of the Southern Colorado Clinic development;  WL proposed annexation;  Wildhorse proposed annexation;  Providing wastewater services to the proposed Pueblo County detention facility. FINANCIAL IMPLICATIONS: $2 million in ARPA funds will be used to enlarge the sanitary main. The new sewer line infrastructure consists of a sanitary main approximately 6,200 feet in length, going from th manhole 415823.4 near 27 Street to the south boundary of the Southern Colorado Clinic annexation plat, which is just north of Spaulding Avenue. The main will cost about $2 million to install due to bedrock and groundwater levels as described in the geotechnical report. There are two minor arroyo crossings and one major arroyo crossing that will require encasements of the sewer main. The sewer main will be positioned, for its entire length, between 16-26 feet deep, with the majority of the line situated over 20’ deep. Depths over 20’ require engineered trench boxes which escalates the cost of the project. BOARD/COMMISSION RECOMMENDATION: Not applicable to this Resolution. STAKEHOLDER PROCESS: Not applicable to this Resolution. ALTERNATIVES: City Council could decide not to support or fund this sewer infrastructure project. RECOMMENDATION: Approval of the Resolution Attachments: Proposed Resolution