REPORT TO THE CITY COUNCIL
FROM: JENNIFER CLARK, Director
Planning and Development Department
BY: DAVID DENSLEY, Projects Administrator
Planning and Development Department
SUBJECT
Title
*** RESOLUTION - Authorizing the submission of a grant application and the acceptance of funds totaling up to $500,000 from the U.S. Environmental Protection Agency FY25 Brownfield Community-Wide Assessment Grant to fund the assessment of Brownfields and authorizing the City Manager or designee to sign all necessary implementing documents (Subject to Mayor’s Veto)
Body
RECOMMENDATION
Staff recommends City Council approve a Resolution authorizing the submission of a grant application and the acceptance of funds from the U.S. Environmental Protection Agency (EPA) FY25 Brownfield Community-Wide Assessment Grant to fund the assessment of Brownfields and authorizing the City Manager or designee to sign all necessary implementing documents.
EXECUTIVE SUMMARY
On August 6, 2024, the EPA3 announced the availability of $232 million in grant funding through EPA’s Brownfields Assessment, Revolving Loan Fund, and Cleanup (ARC) program. This is the fourth wave of funding to assess and clean up polluted brownfield sites across the country. The new grants will advance environmental justice and help transform once-polluted, vacant, and abandoned properties into community assets while spurring economic revitalization in underserved communities.
The Bipartisan Infrastructure Law (BIL) provides $1.5 billion to EPA’s Brownfields Program. This funding has supercharged the Brownfields Program to support economic development in more communities across the country. EPA anticipates awarding approximately 200 grants nationwide this cycle at amounts ranging from $500,000 to $4 million per award.
As an eligible entity, the City intends to apply for FY25 Brownfield Assessment Grant (Community-Wide Assessment [CWA]) for the purpose of assessing and investigating known or suspected Brownfields in key areas of the City. This effort will inform developers and non-profit organizations to reduce uncertainty and supports revitalization.
Staff requests authorization to finalize and submit to the EPA, a FY25 Brownfield CWA Grant application for funding in an amount up to $500,000 to assess Brownfields in Downtown Fresno, Chinatown Fresno, Southwest Fresno, and Elm Avenue planning areas.
BACKGROUND
The US EPA’s Brownfields Program began in 1995 and has provided nearly $2.7 billion in Brownfield Grants to assess and clean up contaminated properties and return blighted properties to productive reuse. Prior to the BIL, this program made approximately $60 million in grant funding available each year. Through the BIL, the EPA increased that yearly investment nearly four times over.
The BIL provides $1.5 billion to EPA’s Brownfields Program. This funding has supercharged the Brownfields Program to support economic development in more communities across the country. EPA anticipates awarding approximately 200 grants nationwide this cycle at amounts ranging from $500,000 to $4 million per award.
On August 6, 2024, the U.S. EPA announced the availability of $232 million in grant funding through EPA’s Brownfields Assessment, Revolving Loan Fund, and Cleanup (ARC) program. Of that total amount, the US EPA anticipates awarding an estimated 92 CWA Grants for an estimated total of $46 million, subject to the quality of applications received, availability of funds, and other applicable considerations.
The submission of a U.S. EPA, a FY25 Brownfield Assessment Grant (Community-Wide Assessment) application requests funding in an amount up to $500,000 to assess known and suspected Brownfields in the Target Area (TA) of Downtown Fresno, Chinatown Fresno, Southwest Fresno, and Elm Avenue planning areas.
If awarded, Brownfield CWA funding will directly support the City’s objective to revitalize the City’s downtown commercial district, old downtown districts, and informed by four distinct planning efforts including the Fulton Corridor Specific Plan, the High-Speed Rail Station Area Master Plan, the SW Fresno Specific Plan, and the EPA-funded Elm Avenue Corridor Area-Wide Revitalization Plan (AWP).
The EPA CWA Grant, if awarded, will enable the City and its project partners to continue the ongoing inventory, outreach, reuse planning for this these neighborhoods and additional locations to further conduct needed assessment activities for these neighborhoods. There remains a demonstrable need assess, cleanup, and redevelop high priority brownfield sites and this grant enables the City to continue with this important work.
The City is requesting the grant’s ceiling amount of $500,000 of EPA Brownfield CWA Grant funding to assess and plan the cleanup/reuse of priority brownfields within the TA. The scope of work is organized into five tasks.
Task 1 - Grant Management and Reporting
The City will manage all aspects of the project including coordination with EPA, project partners and the Qualified Environmental Professional. Reporting will include Quarterly Progress Reports, property profiles/ACRES updates, annual Minority/ Women-Owned Business Enterprise & Federal Financial Reports, and preparation of a final performance report documenting outputs, outcomes & accomplishments. The City will meet regularly with the EPA Project Officer and up to two City staff will attend up to two national or state brownfield training conferences during the grant term.
Task 2 - Community Engagement
City staff will continue to engage with stakeholders throughout the project, including establishing a Brownfield Advisory Committee (BAC) that will include representatives from the project partners. BACs will meet every 3-4 months to discuss the grant project and to assist in prioritization of sites. The City has solicited commitments from its current coalition partners to participate in engagement activities and provide support in BAC meetings. Detailed community engagement plans include updating fact sheets and creating a project webpage, effectively utilizing social media and other existing channels to communicate progress/solicit input and facilitating other stakeholder activities.
Task 3 - Phase I/II Environmental Site Assessments (ESAs)
This task includes completion of eligibility determination forms for up to 12 sites, completion of Phase I ESAs for up to 12 sites (in accordance with AAI Final Rule/ASTM E1527-21 Standard), preparation of an EPA approved Master Quality Assurance Project Plan, execution of access agreements, if needed, for work on sites not owned by the City, preparation of EPA approved Sampling and Analysis Plans for 5 sites, including Health & Safety Plans, completion of Phase II ESAs at 5 sites, and completion of National Historic Preservation Act §106 and Endangered Species Act §7(a)(2) consultations as required.
Task 4 - Inventory Updates and Remedial/Reuse Planning
This task includes completion of Analysis of Brownfield Cleanup Alternatives or site-specific cleanup plans for up to four sites, completion of site-specific reuse plans or market feasibility studies for two sites, and completion of one area-wide reuse plan.
The combination of these tasks essentially creates four complimentary actions which will facilitate identification, assessment, and planning to inform revitalization. Brownfield efforts strategically leverage resources, infrastructure, and congruent planning efforts to then reduce/remove revitalization obstacles.
Providing authorization to finalize and submit to U.S. Environmental Protection Agency, a FY25 Brownfield CWA Assessment Grant application for funding in an amount up to $500,000 will enable the City to assess Brownfields in Downtown Fresno, Chinatown Fresno, Southwest Fresno, and Elm Avenue planning areas. This assessment will support revitalization, promote redevelopment opportunities, and infrastructure improvements, which may be complicated by known or suspected contamination.
Providing authorization to finalize and submit a U.S. Environmental Protection Agency, a FY25 Brownfield CWA Grant application for grant funding in an amount up to $500,000 will support the assessment and remedial/reuse planning efforts within the TA and additional City properties. The activities outlined in the City’s CWA grant application aim to reduce environmental uncertainty in these neighborhoods. They will build on the progress made with the 2019 Brownfield Assessment Grant and link with the funding from the 2020 and 2022 Brownfield Revolving Loan Fund grants.
Securing a U.S. Environmental Protection Agency, FY25 CWA Grant will provide essential gap funding for the program and will increase internal capacity, enabling the City to make significant strides to address Brownfields. The grant funding will allow the City to implement these activities between October 2025 and September 2029, delivering immediate and long-term assessment and planning results for the TA. The funds will not only assist in revitalization of properties within Fresno, will also support the advancing Environmental Justice goals and will promote equitable and positive change.
ENVIRONMENTAL FINDINGS
This item is not considered a project pursuant to California Environmental Quality Act Guidelines Section 15378(b)(4). The proposed action to apply for, accept, and administer grants are the “creation of government funding mechanisms or other government fiscal activities, which do not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment.”
In addition, as the application, grant award acceptance, and administration are related to “environmental and other studies, resource identification and the development of plans and strategies” and “administrative and management activities” the proposed action is exempt from NEPA in accordance with 24 C.F.R. §§ 58.34 (a)(1) and (a)(3).
Appropriate CEQA and NEPA environmental documents will be prepared for the individual activities implemented during the City’s administration of any awarded US EPA Brownfield grant.
LOCAL PREFERENCE
Local preference is not applicable because this item does not involve public contracting or bidding.
FISCAL IMPACT
There is no impact on the City’s General Fund as a result of this action and there is no match requirement for this grant.
Attachment:
Resolution