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Public Works Agency <br />www.santa-ana.org/public-works <br />Item # 25 <br />City of Santa Ana <br />20 Civic Center Plaza, Santa Ana, CA 92701 <br /> Staff Report <br />December 19, 2023 <br />TOPIC: Water Well 32 Project <br />AGENDA TITLE <br />Adopt a Reimbursement Resolution Approving an Updated Construction Installment <br />Sale Agreement with the California State Water Resources Control Board for Financing <br />of the Well 32 Nitrate Treatment Project (Non-General Fund) <br />RECOMMENDED ACTION <br />Adopt a Reimbursement Resolution with the California State Water Resources Control <br />Board for financing of the Well 32 Nitrate Treatment Project, in an amount up to <br />$13,761,712. <br />RESOLUTION NO. 2023-XXX entitled A RESOLUTION OF THE CITY COUNCIL OF <br />THE CITY OF SANTA ANA AUTHORIZING THE REIMBURSEMENT OF FUNDING <br />FOR THE WELL 32 NITRATE TREATMENT AND REHABILITATION PROJECT FROM <br />THE STATE WATER RESOURCES CONTROL BOARD <br />GOVERNMENT CODE §84308 APPLIES: No <br />DISCUSSION <br />The Public Works Agency’s Water Resources Division (Water Resources Division) <br />oversees and maintains the daily operations of the City’s water and sanitary sewer <br />systems. In an effort to find cost-effective solutions to maintain and improve the City’s <br />water system infrastructure, the Water Resources Division has sought out funding <br />mechanisms such as the California State Water Resources Control Board’s (SWRCB) <br />Drinking Water State Revolving Fund (SRF). The SRF assists public water systems in <br />financing the cost of drinking water infrastructure projects needed to achieve or maintain <br />compliance with Safe Drinking Water Act (SDWA) requirements. The City was originally <br />awarded a SRF loan in the amount of $5,290,000 to complete the Well 32 Nitrate <br />Treatment Project (Project). <br />The Well 32 Nitrate Treatment Project will rehabilitate Well 32, located in Morrison Park, <br />which has been inactive for over 15 years due to low operating efficiencies and nitrate <br />levels above the state threshold. The Project will construct approximately 3,600 feet of <br />new pipeline to convey the well’s flow to the Garthe Reservoir where the water will be <br />blended with other water sources to reduce the nitrate levels to well below the state