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HomeMy WebLinkAbout1996-10-15 City Council (23)City City of Palo Alto Manager’s Report 5 TO:HONORABLE CITY COUNCIL FROM:CITY MANAGER DEPARTMENT: Public Works DATE:OCTOBER 15, 1996 CMR:427:96 SUBJECT:PALO ALTO HARBOR-MARSH RESTORATION COOPERATIVE AGREEMENT WITH SAN FRANCISCO INTERNATIONAL AIRPORT -BUDGET AMENDMENT ORDINANCE. REQUEST This is a request for approval of a cooperative agreement with San Francisco International Airport for funding marsh restoration at Palo Alto’s Harbor Point. It also recommends approval of a Budget Amendment Ordinance for receipt of funds from the Airport. RECOMMENDATIONS Staff recommends that Council: o Approve and authorize the Mayor to execute the attached agreement with the Airports Commission of the City and County of San Francisco (Commission) for the creation of 7.2 acres of wetland habitat at Harbor Point in substantially the form set forth in the attached agreement. Authorize the City Manager or her designee to negotiate and amend the agreement. Approve the attached Budget Amendment Ordinance for receipt of funds from the Commission. POLICY IMPLICATIONS Approval of this agreement is consistent with the Council’s direction to proceed with obtaining funds from other agencies or private parties to reduce or eliminate the City’s cost for Phase II of the marsh restoration at Harbor Point. CMR:427:96 Page 1 of 4 EXECUTIVE SI JMMARY In 1981, the San Francisco Bay.Conservation and Development Commission (BCDC), issued a permit to the City to perform a final marina dredging in the Palo Alto Harbor. The permit required the City to develop four acres of marsh and seven acres of public access improvements to mitigate the dredging. In 1992, BCDC amended the City’s original 1981 permit, to provide the City with the option of developing the remaining seven acres of Harbor Point as marsh rather than public access improvements. The four acre marsh was completed in 1993. On March 6, 1995, staff discussed the project timing and cost with the Finance Committee. Staff indicated to the Committee that an additional one-year time extension was being requested from BCDC to implement the remaining seven acres of marsh restoration. This would allow time to pursue obtaining funds from a developer or agency, thereby reducing or eliminating the City’s cost for the work. Since then, BCDC has granted a time extension and staff was able to pursue several possible funding sources. One such source, the San Francisco International Airport, proved to be the most viable option due to the timing and type of project involved. San Francisco International Airport is currently embarking on a major expansion of its international airport to meet growing aviation transportation demands. In order to implement the airport’s master plan, the Airport Commission must fill approximately 17 acres of wetlands to provide for runway safety zones, taxiway alignments, road widening, new detention pond and public parking. The Army Corps of Engineers requires landowners to mitigate for wetland fills by creating compensatory wetlands in other locations. Staff has held several conversations with airport representatives over the last two months about the City’s project. These discussions resulted in a memorandum of understanding (MOU) outlining the Commission’s participation in Palo Alto’s marsh restoration at Harbor Point for satisfying their Army Corps of Engineers requirements. The attached agreement represents the terms of the MOU and includes the following points: The Commission agrees to pay the City the sum of $96,268 to fully cover the City’s past and future administrative, design, monitoring and engineering costs. Payments for the costs will be made within four weeks of execution of the agreement. The City agrees to provide all necessary design and engineering for the project. The Commission agrees to pay for the cost of construction based on the lowest responsible bid, plus a 15 percent construction contingency and 10 percent bidding CMR:427:96 Page 2 of 4 contingency. The current estimate for the work is $664,789 including the contingencies. 3.The City a~;ees to manage the project. The City agrees to be responsible for any expense incurred in the investigation and appropriate remediation of any pre-existing contamination at the site. (The soil has been tested and was found to be suitable as cover material for a local landfill site). The City agrees to provide the Commission’s project manager with a copy of the plans .and specifications and any required change orders for review and approval. o The City agrees to hold the Commission harmless for any damage or liability occurring in connection with any work; and the agreement also provides for defense and indemnity for all claims, suits or actions. The City’s and the Commission’s project managers agree to consult with each other to determine the next appropriate steps if the lowest bid exceeds the estimated cost for the project. Because of conflicting agenda dates and the need to meet Palo Alto’s project and permit schedules, it will not be possible for the City to obtain a pre-signed agreement as part of this action. Both parties have instead agreed to respectively request approval on the basis that the agreement has been approved by authorized Commission and City staff. (See attached Commission letter) The City Attorney has reviewed the agreement. FISCAL IMPACT Funds for the past and future administrative, design, monitoring and engineering costs will be paid by the Commission to Palo Alto within four weeks of execution of this project. The City will pay for all construction costs from CIP 18918 and will be reimbursed by the Commission on a monthly basis, based on the contractor’s work progress. The attached Budget Amendment Ordinance provides for receipt of funds anticipated from the Commission for FY 1996-97. Staff will budget for expected reimbursement for FY 1997- 98 in the 1997-98 budget. ENVIRONMENTAL ASSESSMENT The project will have no significant environmental effect for the purpose of the California Environmental Quality Act, as shown in the mitigated negative declaration for the project CMR:427:96 Page 3 of 4 approved by the Council on March 18, 1991 (Negative Declaration No. 91-EIA-1) No further review is necessary. STEPS FOLLOWING APPROVAL Staff will return in the fall of 1996 with a request to approve a contract with a general contractor to construct the seven acre marsh restoration project. Work is expected to be completed next year. ATTACHMENTS Commission letter Agreement Budget Amendment Ordinance PREPARED BY: DEPARTMENT HEAD REVIEW: George Bagdon, Assistant Director of Public Works GLENN S. ROBERTS Director of Public Works CITY MANAGER APPROVAL: FLEMING Manager CMR:427:96 Page 4 of 4 Airports Commission C,ty and County cf San Francisco Wiliie L. Brown, Jr. Mayor Henry E. Berman President Marie K. BrooV, s Vice President Michael S Strunsky Roland A. Quan Larry Mazzola JOHN L. MARTIN Director of Airporls San Francisco Internatio~ al Airport O,~TEWAY TO THE PACIFIC October 8, 1996 Jim Harrington Public Works Department City of Palo Alto Civic Center 250 Hamilton Avenue Palo Alto, CA 94301 Subject: Approval of Cooperative Agreement Dear Jim: I am separately transmitting to you the hard copy of the Cooperative Agreement between the San Francisco International Airport (SFIA) and the City of Palo Alto (Palo Alto) regarding the Harbor Point Wetland Restoration Project. SFIA staff are in full concurrence with the agreement and it will be presented to the Airports Commission for its approval at the meeting of November 5, 1996. Please return the signed copy to me as soon as it is executed by the City. We look forward to the mutual benefits that will result from this project. Very truly yours, T. Calerdine Environmental Planning Manager John Costas BPE Chron BPE B.06.15 X:LL52q~,WETLANDS’ffLARRIN G. LTR(10/8/96) SAt.,’, FR&HCiSO0 IHTERI’i~TiON&L A!R’~ORT P0 BO× 8097 SAH FRAHCISCO CALIFORNia, 94128. TELEPHONE (415} 794-5008 F:=.)t415 794-5~05 Cooperative Agreement COOPERATIVE AGREEMENT This AGREEMENT, entered into on , is between THE CITY AND COUNTY OF SAN FRANCISCO through its AIRPORT COMMISSION (COMMISSION), and the CITY OF PALO ALTO, (PALO ALTO), a municipal corporation in the County of Santa Clara, California. RECITALS (1) PALO ALTO proposes to create 7.2 acres of wetland habitat on property within and owned by PALO ALTO at Harbor Point for purposes of environmental enhancement (PROJECT). Harbor Point is a former boat harbor that PALO ALTO is restoring as a tidal wetland. The location of the property is shown in Attachment 1. (2) COMMISSION proposes to fill 17.2 acres of wetlands and other waters of the United States at the San Francisco International Airport (SFIA) in order to implement its Master Plan of landside improvements. (3) The fill of such wetlands by COMMISSION will require the approval of the U.S. ARMY CORPS OF ENGINEERS (CORPS) under Section 404 of the Clean Water Act, and a permit application is presently pending before the CORPS. (4) The CORPS requires landowners to mitigate for wetland fills by creating compensatory wetlands in other locations. (5) COMMISSION has applied for a Section 404 permit from the CORPS for placement of fill at SFIA, and has identified the PROJECT as a proposed mitigation site (additional mitigation sites will also be required). The CORPS has circulated a Public Notice describing the proposed wetland fill at SFIA and identifying PROJECT as proposed partial mitigation. Approval of the permit by CORPS is anticipated by COMMISSION in December, 1996. Approval will also be required from the California Regional Water Quality Contro! Board (RWQCB) and potentially the California Department of Fish and Game. (6) COMMISSION and PALO ALTO desire COMMISSION to fund the construction of PROJECT in exchange for COMMISSION receipt of mitigation credits that result from such construction. Such credits will be used by COMMISSION to partially offset the impacts of wetland fills by the COMMISSION, as required by CORPS. (7) PALO ALTO has prepared a cost estimate for the PROJECT of $761,057, identified in Section II, including a 15% construction contingency. X:kLYN~WETLANDSkAGREE.WPD(10/8196) Cooperative Agreement (8) PALO ALTO and COMMISSION intend to define herein the terms and conditions under which PROJECT is to be developed, designed and financed. (9) This AGREEMENT supercedes any provisions of the prior Memorandum of Understanding relating to the PROJECT where said provisions conflict with this AGREEMENT. TERMS OF AGREEMENT PALO ALTO and COMMISSION do hereby agree as follows: I. TRANSFER OF MITIGATION CREDITS Within one month after the award of a construction contract for the PROJECT, PALO ALTO will inform the CORPS and other such agencies that may have jurisdiction over wetlands and waters of the United States that 7.2 acres of wetlands created by PROJECT may be utilized by COMMISSION as mitigation for wetland impacts resulting from construction projects at SFIA. II.ESTABLISHMENT OF BUDGET In exchange for mitigation credits provided to COMMISSION by Palo Alto, COMMISSION will fund PALO ALTO’s design and engineering, construction, monitoring per the requirements of the San Francisco Bay Conservation and Development Commission (BCDC), maintenance and administrative costs up to the maximum budget established below: Design and Engineering $ (including environmental review and permitting) Construction $ Construction Bid Potential Over-$ run (10%) Construction Contingency (15%)$ Mitigation Monitoring and Main-$ tenance Administrative Costs $ Total $ 59,439 525,526 52,552 86,711 22,685 14,144 761,057 X :kLYN~W ETL ANDSL~.GREE .WPD(10/8/96)2 Cooperative Agreement Any expenditures in excess of the total budget listed above will require approval by the COMMISSION. III.PRIg-CONSTRUCTION ACTIVITIES COMMISSION and PALO ALTO shall each appoint a Project Manager for the duration of the PROJECT construction. The Project Managers shall be the single point of contact for construction administration and PROJECT related activities on behalf of each agency. Formal written notice shall be given to the addresses listed below of any change in Project Manager by either agency. COMMISSION shall seek approval from CORPS and other regulatory bodies with jurisdiction over wetland fills to utilize the PROJECT as mitigation for proposed wetland fills at SFIA. PALO ALTO shall provide all necessary design and engineering for PROJECT, including the preparation of PROJECT plans, specifications and estimates (PS&E), utility identification and location, and preparation of contract documents, and will obtain all necessary permits and environmental review for the PROJECT. The final PROJECT PS&E shall include, as a separate item, a construction contingency (15% of estimated construction amount) and the costs for landscape maintenance of the PROJECT for at least three months. o At its own expense, PALO ALTO shall perform the identification and investigation of all hazardous materials on the site and shall comply with all remediation standards and requirements imposed by applicable laws and regulatory agencies. o At least two weeks prior to PROJECT advertisement for bidding, PALO ALTO will provide COMMISSION’s Project Manager with a copy of the PROJECT PS&E for review and approval. The COMMISSION’s Project Manager shall review PROJECT PS&E within two weeks of the submittal of the PROJECT plans by PALO ALTO, and shall indicate, in writing, its acceptance or rejection of the PROJECT PS&E. The COMMISSION’s acceptance or rejection of the PROJECT PS&E shall be based solely on whether the final cost estimate and construction contingency amount exceeds the limits set forth in Section II above. If the COMMISSION’s Project Manager does not approve the final PROJECT PS&E, then PALO ALTO and COMMISSION shall work in good faith to resolve the dispute as follows: PALO ALTO and COMMISSION shall use best efforts to agree to design changes to meet the COMMISSION’s concerns. X:kLYNkWETLANDSkAGREE.WPD(10/8/96) b) c) Cooperative Agreement PALO ALTO and COMMISSION shall use best efforts to agree to other reasonable and prudent steps, such as partial or phased construction, to facilitate development of the PROJECT as they may deem appropriate at the time. Any such actions which have the effect of reducing wetland creation credits to the COMMISSION or increasing the PROJECT’s budget will require the separate approval of the COMMISSION. COMMISSION can withdraw from the PROJECT funding and terminate the AGREEMENT, at which time PALO ALTO will inform the CORPS that the AGREEMENT has been terminated and that no mitigation credits should be granted to COMMISSION as a result of this PROJECT. IV. BIDDING AND CONTRACT AWARD ACTIVITIES Upon approval of the PROJECT PS&E by COMMISSION’s Project Manager, PALO ALTO will proceed to advertise the PROJECT for bids using normal PALO ALTO bidding procedures. Upon receipt of bids, PALO ALTO will review all bids received with the COMMIS- SION’s Project Manager. o PALO ALTO will determine the lowest responsible bidder for the PROJECT in accordance with PALO ALTO’s contract awarding procedures. PALO ALTO will award the contract to the lowest.responsible bidder if the low bid is less than or equal 110% of the construction budget listed in Section II above (excluding construction contingencies). PALO ALTO will consult with COMMISSION’s Project Manager to determine the next appropriate steps if the low bid exceeds 110% of the construction budget adopted in Section II above, as follows: PALO ALTO and COMMISSION agree to rebid the PROJECT with or without design changes to reduce the PROJECT’s cost. b)The COMMISSION’s Project Manger can recommend to the COMMISSION to proceed with the PROJECT based upon the low bid price. It is understood that a decision to proceed to construct the PROJECT at a cost in excess of 110% of the COMMISSION approved budget will require approval by the COMMISSION. If the COMMISSION determines not to approve the increase in budget for the PROJECT then one of the following steps will be taken: X:’~LYN~WETLAND SkAGRE E. WPD(10/8/96)4 Cooperative Agreement (i)ALO ALTO and COMMISSION will take prudent steps, including redesign of the PROJECT as appropriate, to bring it within the adopted budget, and rebid the PROJECT; or (ii)PALO ALTO and COMMISSION can mutually agree to other reasonable and prudent steps, such as partial or phased construction, to facilitate development of the PROJECT. Any such actions which have the effect of reducing wetland creation credits to the COMMIS- SION or increasing the PROJECT’s budget will require the separate approval of the COMMISSION. (iii)COMMISSION can withdraw from the PROJECT funding and terminate the AGREEMENT, at which time PALO ALTO will inform the CORPS that the AGREEMENT has been terminated and that no mitigation .credits should be granted to COMMISSION. V. CONSTRUCTION ACTIVITIES Upon written concurrence of the parties that the PROJECT bid price is consistent with the terms of this AGREEMENT, PALO ALTO will authorize the construction to commence on PROJECT. o PALO ALTO’s contractor will provide the management, labor, materials, tools and equipment to build the PROJECT, and to cause it to be constructed in accordance with the construction documents approved by the COMMISSION as part of its PROJECT PS&E approval. o PALO ALTO will report progress on the construction of the PROJECT to the COMMISSION on a monthly basis, or as requested by COMMISSION. If, during the course of construction, PALO ALTO determines that a contract change order is appropriate for additional work by the contractor, then PALO ALTO shall seek the written approval of the COMMISSION’s Project Manager prior to approval of the contract change. The COMMISSION’s Project Manager shall review the proposed change in good faith to determine if development of the mitigation PROJECT requires the approval of the change order; such approval shall not be tmreasonably withheld. If the COMMISSION’s Project Manager approves the change, and the cumulative total cost of such changes is within the approved construction contingency (15% of the awarded contract amount), then PALO ALTO shall pay the contractor for the change with the funds allocated for construction contingencies. If COMMISSION determines, in good faith, that the requested change is not necessary for the implementation of the PROJECT, then COMMISSION shall not be obligated X:kLYI~W ETLAN DSL~.GRE E .WPD(10/8/96) Cooperative Agreement to authorize payment for the change; however, PALO ALTO may proceed with the change at its own cost. In no case shall the cumulative cost of such change orders exceed the budget listed in Section II above for construction contingencies without the prior written approval of the COMMISSION. VI.PAYMENT AND BILLING PROCEDURES Any payment by COMMISSION to PALO ALTO for construction of PROJECT shall be based upon approval by CORPS of PROJECT as 7.2 acres of partial mitigation for COMMISSION’s proposed wetland fill. Payment shall also be contingent upon same approvals by other agencies as may have jurisdiction over the proposed wetland fill at SFIA (i.e., California Regional Water Quality Control Board and potentially the California Department ofFish and Game). Within four weeks of the award of the construction contact, and subject to approval of PROJECT as mitigation site by the CORPS and other regulatory agencies with jurisdiction, COMMISSION shall pay PALO ALTO for PALO ALTO’s past and current administrative, design, and monitoring costs incurred in connection with the PROJECT. PALO ALTO shall provide documentation to COMMISSION to substantiate such costs. The combined total of the administrative, design and monitoring costs shall not exceed the budget for such items adopted in Section II without the separate approval of the COMMISSION. o PALO ALTO shall invoice the COMMISSION on a monthly basis for work performed by the general contractor to cover progress payments to the general contractor matching the payment schedule contained in the bid documents of the general contractor. Invoice’s shall be directed to the attention of the COMMISSION’s Project Manger. Invoices may also include ongoing administrative costs incurred during the billing period (within the budget for such expenses). Invoices shall, as a minimum, (i) be mechanically accurate, (ii) include vouchers or invoices from the general contractor that are properly supported with satisfactory backup documentation approved by COMMISSION’s Project Manager; and (iii) be in a form acceptable to PALO ALTO’s Manager of Accounting and the Controller for the City and County of San Francisco. All amounts paid by the City and County of San Francisco to PALO ALTO shall be subject to audit by the City. o Upon completion of the PROJECT, PALO ALTO will provide COMMISSION with a detailed statement of accounting for actual costs of construction. COMMISSION will have the right to reasonable review of all PROJECT-related costs. o Any obligation of COMMISSION to pay invoices for the PROJECT is subject to the underlying costs meeting the following requirements: X:kLYI~WETLAND S’,.AGRE E.WPD (10/8/96)6 Cooperative Agreement a)conform with the awarded scope of work and all other terms of this AGREEMENT; b)are, in the reasonable judgment of PALO ALTO, necessary in order to accomplish the scope of work and reasonable for the services provided; and c)are actual net costs to PALO ALTO (i.e., the price paid minus any refunds, rebates, or other items of value received by PALO ALTO that have the effect of reducing the costs actually incurred). PALO ALTO or its consultants will maintain all books, documents, papers, accounting records, and other evidence pertaining to this AGREEMENT, including but not limited to, all costs, completion dates and schedules, and the costs of administering this AGREEMENT, for a period of at least five (5) years following termination or completion of the PROJECT under this AGREEMENT. PALO ALTO’s books, records, and documents that are pertinent to the AGREEMENT shall be made available to the COMMISSION as may be required for audit and examination purposes. Monthly records ofPALO ALTO’s consultants’ personnel costs, consultant costs, and reimbursable expenses shall be kept by PALO ALTO’s consultants on a generally recognized accounting basis. These documents and records shall be available to COMMrSSION upon request at reasonable times and places. PALO ALTO may, at its own risk, proceed to prepare plans and/or construct PROJECT prior to approval .of PROJECT as mitigation site by CORPS and other regulatory agencies with jurisdiction. In such case, payments to PALO ALTO by COMMISSION will not be made until the PROJECT is approved as mitigation by the CORPS and other agencies. Upon approval of PROJECT as mitigation by CORPS and agencies, PALO ALTO will then invoice COMMISSION for expenses incurred to date as described above. No payments wil! be made if CORPS or other regulatory agencies do not approve PROJECT as mitigation. POST-CONSTRUCTION ACTIVITIES Following completion of the PROJECT, PALO ALTO will maintain the property as a restored wetland for the period of time specified by the CORPS in their permitting of the PROJECT. PALO ALTO shall provide a ten year monitoring program of the 7.2 acre site in accordance with BCDC permit condition H.5, which is incorporated herein by reference. X ALYN~WETLANDSkAGREE.WPD(10/8196)7 o Cooperative Agreement At the completion of construction, PALO ALTO shall invoice the COMMISSION in a single lump sum amount for all future monitoring activities. Monitoring costs shall be equal to or less than the budget adopted in Section II above. Any changes in subsequent monitoring costs (positive or negative) shall be absorbed by PALO ALTO. VIII. PALO ALTO AND COMMISSION MUTUALLY AGREE: All obligations of COMMISSION under the terms of this AGREEMENT are subject to the budget and fiscal provisions of the Charter of the City and County of San Francisco and any required approvals by the City and County of San Francisco Board of Supervisors. Charges will accrue only after prior written authorization by the Controller, and the amount of the City’s obligation hereunder will not at any time exceed the amount certified for this purpose and period stated in such advance certification. o Except as otherwise provided by this AGREEMENT, the PROJECT site shall remain under the ownership of PALO ALTO and PALO ALTO shall retain all the rights and responsibilities of the property owner. This AGREEMENT may be terminated or provisions contained herein may be altered, changed or amended by the mutual consent of the parties thereto. 4.PALO ALTO shall defend, indemnify and hold harmless the COMMISSION, the City and County of San Francisco Board of Supervisors, its officers, agents and employees from all claims, demands, suits, loss damages, injury and liability, direct or indirect, incurred by reason of any act, failure to act, error or omission of PALO ALTO, its officers, agents, employees, or consultants, or any of them arising out of or in conjunction with the PROJECT under this AGREEMENT; andPALO ALTO agrees at its own cost expense and risk to defend any and all claims, actions, suits, or other legal proceedings brought or instituted against COMMISSION, the City and County of San Francisco Board of Supervisors, its officers, agents and employees, or any of them, arising out of or in conjunction with the PROJECT under this AGREEMENT and pay and satisfy any resulting judgements. Except as otherwise provided for above, this AGREEMENT shall terminate on the completion of the monitoring period for the PROJECT as required by BCDC, or on December 31, 2007, whichever is earlier in time. All notices hereunder shall be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: X:kLYN~WETLANDSkAGREE.WPD (October 2, 1996)8 To PALO ALTO:(Sffice of the City Clerk City of Palo Alto P.O. Box 10250 Palo Alto CA 94301 Cooperative Agreement Copy to:James M. Harrington Public Works Department City of Palo Alto P.O. Box 10250 Palo Alto CA 94301 To COMMISSION: Copy To: John L. Martin Director of Airports San Francisco International Airport P.O. Box 8097 San Francisco, CA 94114 John Costas Deputy Director, Planning and Environmental Affairs San Francisco International Airport P.O. Box 8097 San Francisco, CA 94114 X:kLYN~WETLANDSLAGREE.WPD (October 2, 1996)9 Cooperative Agreement AIRPORT COMMISSION OF THE CITY AND COUNTY OF SAN FRANCISCO JOHN L. MARTIN, MRPORT DIRECTOR CITY COUNCIL OF THE CITY OF PALO ALTO, CALIFORNIA By By Director of Airports Approved as to form Louise H. Renne City Attorney Mayor Attest: Melba Yee Deputy City Attorney Airport Commission Approved as to Form Senior Assistant Attorney Approved City Manager Deputy City Manager (Administrative Services) Director of Public Works Attachment 1 : X:kLYN~WETLANDS~AGREE.WPD (October 2, 1996)10 Attachment 1 PROJECT SITE MIN. VIEW PURPOSE: PROVIDE PUBLIC ACCESS, CREATE WETLANDS AND CREATE SAILING STATION DATUM: NGVD ADJACENT PROPERTY OWNERS: CITY OF-PALO ALTO STREET MAP ~C.~L£ PALO ALTO HARBOR IMPROVEMENTS IN: MAYFIELD SLOUGH COUNTY: SANTA CLARA STATE: CALIFORNIA APPLICATION BY: CITY OF PALO ALTO SHEET 2 OF 5. DATE 1-24-95 ORDINANCE NO. ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING THE BUDGET FOR THE FISCAL YEAR 1996-97 TO ALLOCATE REVENUE FROM THE AIRPORTS COMMISSION OF THE CITY AND COUNTY OF SAN FRANCISCO TO BE USED FOR MARSH RESTORATION AT HARBOR POINT WHEREAS, pursuant to the provisions of Section 12 of Article III of the Charter of the City of Palo Alto, the Council on June 24, 1996 did adopt a budget for fiscal year 1996-97; and WHEREAS, Capital Improvement~ Project 18918, Harbor Improvements, has been funded through prior and current year appropriations from the Budget Stabilization Reserve; and WHEREAS, the Harbor Improvements CIP (Number 18918) was established pursuant to an agreement with the San Francisco Bay Conservation and Development Commission (BCDC) to develop marsh at Harbor Point; and WHEREAS, the Airports Commission of the City and County of San Francisco (Commission) has a master plan to expand the San Francisco International Airport which will require them to develop new wetlands; and WHEREAS, BCDC and US Army Corps of Engineers has allowed the Commission’s Marsh requirements to be fulfilled by funding part of the Harbor CIP 18918; and WHEREAS, in order to meet its requirement to develop new wetlands, the Commission has agreed to a one-time payment of $96,268 to fully cover the City’s past and future administrative, design, monitoring and engineering costs; and WHEREAS, in addition, the Commission has a~reed to reimburse the City for the costs of construction, on a monthly basis, for a total of $612,237, $306,119 to be received in 1996-97 and $306,118 to be received in 1997-98; and WHEREAS, City Council authorization is needed to amend the 1996-97 budget as hereinafter set forth. NOW, THEREFORE ORDAIN as fol!ows: the Counci! of the City of Palo Alto does SECTION i. The sum of Four Hundred Two Thousand Three Hundred Eighty Six ($402,386 is hereby added to revenue in the Public Works Department budget in the Genera! Fund and the General Fund Budget Stabilization Reserve is corresponding increased. SECTION 2. This transaction will increase the Stabilization Reserve from $16,111,391 to $16,513,777. Budget SECTION 3. The City Council certified a mitigated negative declaration (91-EIA-I) on March 18, 1991, for the project. No further review is necessary. SECTION 4. As provided in Section 2.04.350 of the Palo Alto Municipal Code, this ordinance shal! become effective upon adoption. INTRODUCED AND PASSED: AYES: NOES: ABSTENTIONS: ABSENT: ATTEST:APPROVED: City Clerk Mayor APPROVED AS TO FORM:City Manage~ Senior Asst. City Attorney Deputy City Administrative Department Manager, Services Director of Public Works