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Public Works Agency <br />www.santa-ana.org/pw <br />Item # 7 <br />City of Santa Ana <br />20 Civic Center Plaza, Santa Ana, CA 92701 <br /> Staff Report <br />November 1, 2022 <br />TOPIC: Purchase of Real Property for Future Water Resources and Park Facilities <br />AGENDA TITLE <br />Purchase and Sale Agreement of Real Property at 4404 West First Street for Future <br />Water Resources and Park Facilities (Non-General Fund and Revive Santa Ana Program) <br />RECOMMENDED ACTION <br />1. Authorize the City Manager to execute a purchase and sale agreement with RIF40, <br />LLC, a California limited liability company, for the purchase of real property located <br />at 4404 West First Street (APN 188-021-08), in the amount of $10,500,000, plus <br />normal closing costs and escrow fees, for a total amount not to exceed $10,750,000, <br />subject to non-substantive changes approved by the City Manager and the City <br />Attorney. <br />2. Approve an amendment to the Fiscal Year 2022-23 Capital Improvement Program to <br />include $10,750,000 in construction funds for the West Station Well Project (No. 23- <br />6477). <br />DISCUSSION <br />The City of Santa Ana’s Public Works Agency (PWA)’s Water Resources Division <br />oversees and maintains the daily operations of the City’s water distribution system. The <br />water system is comprised of approximately 480 miles of water main, 21 groundwater <br />wells, 7 pump stations, 10 reservoirs with a storage capacity of 49 million gallons, 4 <br />pressure regulating vaults (PRVs), and 7 connection points with the Metropolitan Water <br />District of Southern California (MWD). <br />The Water Resources Division has been actively seeking to acquire land for the <br />construction of new and replacement water infrastructure. As identified in the City’s 2017 <br />Water Master Plan, the City’s groundwater-pumping infrastructure is robust; however, it <br />is aging and approaching its end of useful life. The replacement plan for these assets is <br />outlined in both the Master Plan and subsequent Water Rate Plan. The location of the <br />subject property (Exhibit 1) is within the vicinity of the City’s West Station located near the <br />intersection of First Street and Newhope Street. The existing groundwater wells at this <br />site are among the oldest in the system (in service since the late 1960s) and have <br />operated beyond the expected lifespan of 50 years.