REPORT TO THE CITY COUNCIL
FROM: BROCK D. BUCHE, PE, PLS, Director
Department of Public Utilities
BY: DEJAN PAVIC, PE, Projects Administrator
Department of Public Utilities - Utilities Planning & Engineering
SUBJECT
Title
Actions pertaining to an Extraterritorial Water and Sewer Service and Offsite Infrastructure Agreement between Clovis Unified School District and the City of Fresno (City of Fresno Sphere of Influence and County of Fresno):
1. RESOLUTION - Considering Mitigated Negative Declaration SCH No. 2018031007 and adopting findings pursuant to California Environmental Quality Act Guidelines section 15162;
2. Approve an Extraterritorial Water and Sewer Service and Offsite Infrastructure Agreement between Clovis Unified School District and the City of Fresno.
Body
RECOMMENDATIONS
Staff recommends that the City Council adopt: a resolution considering Mitigated Negative Declaration SCH No. 2018031007 and adopting findings pursuant to California Environmental Quality Act (CEQA) Guidelines section 15162; approve an Extraterritorial Water and Sewer Service and Offsite Infrastructure Agreement between Clovis Unified School District (CUSD) and the City of Fresno (City); and authorize the Director of Public Utilities, or designee, to sign the agreement on behalf of the City.
EXECUTIVE SUMMARY
The Department of Public Utilities (DPU) and the Public Works Department (PWD) seek to enter into an Extraterritorial Water and Sewer Service and Offsite Infrastructure Agreement (Agreement) with CUSD pertaining to the Dr. Janet L. Young Elementary School which was constructed to alleviate student overcrowding issues adversely impacting the student learning environment at its existing elementary schools located in the eastern portion of the City. CUSD developed a 25-acre property on the east side of North Locan Avenue, between East Shields Avenue and the Gould Canal. The school site is located outside the City’s corporate boundaries, but within the City’s Sphere of Influence (SOI), and, specifically, within the Southeast Development Area (SEDA). Due to its proximity to the City corporate limits, CUSD has requested to extend water and sewer facilities to serve the school site. In order for the City to provide water and sewer to the school, CUSD submitted an extension of service application to Fresno Local Agency Formation Commission (LAFCo) and must enter into a service agreement with the City. LAFCo has approved CUSD’s extension of service application.
BACKGROUND
The proposed Agreement with CUSD is in support of an elementary school constructed to alleviate student overcrowding issues adversely impacting the student learning environment at its existing elementary schools located in the eastern portion of the City. CUSD developed a 25-acre site located on the east side of North Locan Avenue, between East Shields Avenue and the Gould Canal, southeast of the City. The elementary school is a full-service facility designed to accommodate 750 students in grades PK-6. The campus has approximately 28 classrooms, administration offices, and a multi- purpose building. The campus encompasses outside spaces such as hardcourt areas, athletic fields, and parking lots. The school has approximately 50 employees, including administrators, faculty, and support staff. The school is in regular session on weekdays from late August to early June. From time to time the school may host special events and classes during evenings, weekends, and summer breaks. The Dr. Janet L. Young Elementary School opened in the 2020-2021 school year. CUSD requested to extend municipal water and sewer services to the school site and is currently receiving both water and sewer service. These extensions include 8-inch diameter water and sewer mains from the point of service in a 55-foot Public Utility Easement originating at Locan Avenue and traversing through the campus ultimately terminating at the north end of the campus at North Jewel Avenue.
The school site is located outside the City’s corporate boundaries, but within the City’s SOI, and, specifically, within the SEDA. The site will not be annexed to the City in conjunction with the approval of this Agreement and construction of the school project due the urgent need for a new elementary school in this area and the need to plan for water and sewer infrastructure prior to annexation and development occurring in SEDA. Due to its proximity to the City corporate limits, CUSD requested to extend water and sewer facilities to serve the school site. Since the project site is adjacent to the existing City limits, DPU agrees that the school be provided City water and sewer services through the approval of an exterritorial service agreement between CUSD and the City.
Under the 2016 Revised, Amended, and Restated Cooperative Agreement between the City and Fresno Irrigation District (FID), the underlying surface water rights are retained by FID. CUSD is required to entertain one of the two means (mitigation measures) outlined in the Agreement to provide the estimated annual water demand quantities for the school.
Pursuant to Section 56133 of the Government Code, a City or District principally in Fresno County may provide new or extended services by contract or agreement outside its boundaries only if it requests and receives approval from LAFCo. In order for the City to provide water and sewer service to the school, CUSD submitted an extension of service application to LAFCo, and must enter into a service agreement with the City. Due to CUSD’s decision to not annex the school site to the City at this time, LAFCo has required CUSD to apply for an extension of services to obtain sewer and water services from the City. LAFCo has subsequently reviewed and approved CUSD’s extension of service application by Resolution No. OS-18-04 on May 17, 2018, pursuant to its Resolution No. 127. By its Resolution No. 127, LAFCo delegated to its Executive Officer the authority to approve, or conditionally approve, proposals to extend services outside jurisdictional boundaries. Pursuant to Government Code section 56133 (b), LAFCo may authorize a city to provide new or extended services outside of its jurisdictional boundaries in anticipation of a later change in organization.
City staff has negotiated an Extraterritorial Water and Sewer Service and Offsite Infrastructure Agreement with CUSD. The Agreement outlines the installation and maintenance of water and sewer facilities to serve the school site, and the payment of appropriate development fees and charges for water, sewer, and other offsite infrastructure improvements, including the Water Supply Payment as one of the two possible means for satisfying the required surface water supply.
Considering the foregoing, staff recommends that the City Council approve the Agreement between CUSD and the City, and authorize the Director of Public Utilities, or designee, to sign the Agreement on behalf of the City.
The Agreement has been approved as to form by the City Attorney’s Office.
ENVIRONMENTAL FINDINGS
On October 26, 2018, CUSD, as lead agency, adopted a Mitigated Negative Declaration (MND) for the Shields-Locan Elementary School Project (SCH No. 2018031007), which contemplated approval of an extraterritorial service agreement between the Clovis Unified School District and the City of Fresno, in order to facilitate the City’s provision of sewer and water facilities to the school site.
Pursuant to CEQA Guidelines Section 15096, the City, as Responsible Agency, has considered the prior MND approved by CUSD and has completed an analysis pursuant to CEQA Guidelines Section 15162 to determine if a subsequent Environmental Impact Report (EIR) or MND is required. As a result of this analysis, staff has concluded the following:
None of the conditions described in Section 15162 of the CEQA Guidelines calling for preparation of a subsequent EIR or Mitigated Negative Declaration have occurred:
a. The Extraterritorial Water and Sewer Service and Offsite Infrastructure Agreement between Clovis Unified School District and the City of Fresno does not propose changes to the Shields-Locan Elementary School Project, and is instead an approval that implements a portion of that project;
b. There is no substantial evidence in the record that the Extraterritorial Water and Sewer Service and Offsite Infrastructure Agreement between Clovis Unified School District and the City of Fresno may have additional significant effects on the environment that were not identified in the Shields-Locan Elementary MND, and that all applicable mitigation measures of the prior MND have been applied to the project;
c. In addition, pursuant to Public Resources Code, Section 21157.6(b)(1), Council finds that no substantial changes have occurred with respect to the circumstances under which the prior MND was adopted; and, that no new information, which was not known and could not have been known at the time that the prior MND has become available. Accordingly, a subsequent EIR or MND is not required.
LOCAL PREFERENCE
Local preference was not implemented because this Extraterritorial Water and Sewer Services and Offsite Infrastructure Agreement does not include a bid, an award of a construction contract, or approval of a services contract.
FISCAL IMPACT
Approval of this Agreement will not impact the General Fund. Future extraterritorial customers will agree to pay all required water and sewer fees as determined by the City prior to connecting to the City’s public water and sewer systems.
Attachments:
Attachment 1 - Resolution Adopting CEQA Findings
Attachment 2 - Extraterritorial Water and Sewer Service and Offsite Infrastructure Agreement