Loading...
HomeMy WebLinkAboutDay, Etiwanda and San Sevaine Creek Funding MechanismsAd FUNDING MECHANISMS FOR THE DAY, ETIWANDA AND SAN SEVAINE CREEK SYSTEM DRAINAGE PLAN di By Bill Mann & Associates 1814 Commercenter West, Suite A San Bernardino, CA 92408 March, 1983 R TABLE OF CONTENTS SECTION I. INTRODUCTION AND SCOPE SECTION II. FINANCING MECHANISMS FOR FUNDING FLOOD CONTROL PROJECTS SECTION III. DISTRIBUTION OF CONSTRUCTION COSTS APPENDIX - 1. CONSTRUCTION COST ESTIMATES Page 1 5 10 i 0 a SECTION I INTRODUCTION AND SCOPE err A. GENERAL DISCUSSION In November of 1981, Phase I of the Drainage Plan for the Day, Etiwanda and San Sevaine Creek System was completed. Phase I was an overview of the drainage and flood problems associated rr with the Day, Etiwanda and San Sevaine Creek watershed, and recommended methodology and the institutional framework for i developing a Drainage Plan to resolve the drainage and flood �* problems. The Phase I Report reviewed alternate methods of a improvement for the main channels, methods of financing con- struction of the systems, water conservation, and established a Technical Committee and Steering Committee to guide the development of the Drainage Plan. In February of 1982, Phase II of the Drainage Plan was initiated under an agreement involving the San Bernardino County Flood Wr Control District and the Cities of Ontario, Rancho Cucamonga and Fontana. The Riverside County Flood Control District assisted in coordinating the development of the hydrology criteria and developed that portion of the Drainage Plan for San Sevaine Creek in Riverside County. The drainage plan for the Day Creek System ties to and was coordinated with the River- side County Flood Control District's drainage plan for Day Creek at Riverside Drive, below the Pomona Freeway. Private 3 developer interests in San Bernardino County also had a major role in the development of the Drainage Plan and participated q in both the Technical and Steering Committees. 1 4 Phase II of the Drainage'Plan is now complete, and Volume I (Report Text) and Volume II (Preliminary Plans) have been for- warded to the San Bernardino County Flood Control District for distribution. Task 5 of the Phase II Study included the re- search of various means of financing flood control facilities and a preliminary financial report outlining the various methods, cost per acre, and jurisdictional breakdown of facility costs for the various systems. This report is a summary of•possible funding mechanisms, the construction costs of the Drainage Plan as proposed, and the cost per acre based on the estimated construction costs. B. CONSTRUCTION COST ESTIMATES The construction cost estimates are provided in Section VI of Volume I of the Day, Etiwanda and San Sevaine Creek Drainage Plan Report, and is included in the Appendix of this report in " its entirety. The total estimated cost of the Day and San Sevaine Creek Systems is $79,175,000. The Day Creek Channel System is esti- mated at $38,300,000 and the San Sevaine Creek System is esti- mated at $40,875,000. The Upper Etiwanda Creek is included in the San Sevaine Creek System and Lower Etiwanda Creek is included in the Day Creek System. C. DISTRIBUTION OF CONSTRUCTION COSTS AND COST PER ACRE Throughout the development of the Drainage Plan, the Technical Committee met on a monthly basis. During the meetings, one of 2 the major topics was the construction costs and possible methods " of funding and distributing the costs. Section III provides the estimated cost per acre for both systems, the approximate dis- tribution of costs on a jurisdictional basis, and the approxi- mate area of each jurisdiction within the drainage areas. While oil there was no formal agreement to the method of allocating costs .w to each jurisdiction, and the method of funding the overall flood control facilities was not defined, there was a general consensus on the breakdown of costs within each jurisdiction. 4W D. SUMMARY OR rrr This report provides a preliminary summary of possible methods of financing the flood control and water conservation facilities and attempts to outline past discussions and decisions made by. the Technical Committee. A financial analysis will have to be provided for each system once it is decided which method or methods of financing will be pursued. The necessary financial analysis is going on, in part, by actions taken by the various cities in forming redevelopment projects and reviewing possible *■! assessment districts. Additionally, as outlined in.Section II, �+ funding by the U. S. Bureau of Reclamation for the Day Creek Channel System is presently being pursued. The Technical Committee recommended the distribution of costs by jurisdiction based on gross areas within the drainage areas. This is discussed in,Section III. Based on gross acres, the approximate cost per acre for funding the Day Creek Channel System is-$3,500/acre, and the cost per acre for funding the San Sevaine Channel System is $1,310 /acre. The large difference in cost per acre between the two systems is due to the San Sevaine Creek drainage area being approximately three times the Day Creek drainage area. 0 3 .r di 7 ar rr r .�r di rw di The cost per jurisdiction provided in Section III provides a negotiating point by which the various agencies can begin to discuss an appropriate cost distribution and funding methods. 4 .ft aw SECTION II FINANCING MECHANISMS FOR FUNDING FLOOD CONTROL PROJECTS .r An essential requirement of the implementation of any drainage and flood control plan is the financing program. A major task in the implementation of the Day, Etiwanda and San Sevaine Creek Drainage Plan is to determine and establish a funding mechanism or combina- tion of mechanisms to fund construction. �+ Generally, it has been the practice and responsibility of Flood Control Districts to plan and construct major flood control facili- ties. However, in recent years, Flood Control District funds have been drastically reduced. Recognizing this, other methods have had to be explored to fund the major systems. During the Phase I and Phase II periods of the Drainage Plan development, a considerable amount of effort has been put forth in reviewing possible methods of funding the Day, Etiwanda and San Sevaine Creek Systems or parts thereof. The Technical Committee has reviewed and discussed the merits of several possible funding .ri mechanism combinations. 6r These possible sources of funding are summarized below, not neces- sarily.in order of importance. I A. DRAINAGE FEES Under the provisions of Section 66483 of the Government Code (Subdivision Map Act) of the State of California, a local govern- mental agency may adopt a program for the collection of drainage art fees. The Subdivision Map Act enables agencies to enact the drainage fee program after certain prerequisites have been satisfied. The requirements for the drainage fee program, in part, include: 1. Adoption of a master drainage plan for each local drainage area. 2. Certification of the master drainage plan by the legisla- aw five body of the City, County and /or Special District " having a City -wide, County -wide and /or District -wide drainage plan. am .. w 3. Adoption of a fee structure based on the cost of the re- quired facilities for each drainage area and equitably proportioned to all affected properties. OR 4. Establishment of a "planned local drainage facilities fund ". Following adoption of appropriate local ordinances, drainage fees can be collected from the developers as a condition of •o approval of subdivision of acreage to be developed. Funds are di then deposited in the appropriate "local drainage facilities fund ". They may then be expended for engineering, administra- tive, and construction costs of drainage facilities to be con - structed within a particular drainage area. B. SPECIAL ASSESSMENT PROCEEDINGS The basis of the power of special assessment is the special benefit that the public improvement confers upon the assessed lands. Most public works which improve the use or occupation PI i 0 of lands result in special benefit. Curbs, gutters, sidewalks, paving, waterlines and sewers usually present clear cases of benefit. However, in the case of drainage and flood control +� projects, there is not always a clear, definable benefit. The commonly used assessment acts applicable to drainage control projects are the 1911 and 1913 Acts. The common bond acts are the-1911 Act and the 1915 Act. C. ASSEMBLY BILL 549 Under Assembly Bill 549 passed in 1979, flood control districts are authorized to levy benefit assessments to help finance their operations. AB 549 provides that the assessments be proportionate 0 F In the interest of clarity, "assessment acts" should be dis- t:inguished from "bond acts ". An assessment act specifies a procedure for the formation of a district, the ordering and making of an acquisition or improvement, and the levy and con- �r firmation of an assessment secured by liens on land. It is not necessary for such acts to contain detailed bond provisions and most do not. A bond act provides a procedure for the issuance of.bonds to represent liens resulting from proceedings taken under an assessment act. The Improvement Act of 1911 is both an act for the creation of a lien against property and an act which provides for the issuance of bonds. It contains all the necessary provisions for initiating the proceedings, acquiring jurisdiction, letting contracts for the work, assessing bene- fited properties, collecting assessments, and issuing bonds secured by unpaid assessments. All other commonly used acts provide either for making the assessment or issuing the bonds, *� but not both. The commonly used assessment acts applicable to drainage control projects are the 1911 and 1913 Acts. The common bond acts are the-1911 Act and the 1915 Act. C. ASSEMBLY BILL 549 Under Assembly Bill 549 passed in 1979, flood control districts are authorized to levy benefit assessments to help finance their operations. AB 549 provides that the assessments be proportionate 0 F to the runoff.from each parcel of property and that the levy of such assessments be approved by a vote of the people being assessed. The levying of a benefit assessment for flood con �** trol services is authorized by Chapter 10 (commencing with + Section 60400), Division 2, Title 6, California Government Code. The original bill has been.modified several times. The most recent is Assembly Bill 630. The Cities of Rancho Cucamonga and Ontario, and perhaps others, are presently pursuing a benefit assessment program for drainage facilities. am "" D. REDEVELOPMENT PROJECT AND TAX INCREMENT FINANCING ., Assuming the legal requirements could be satisfied, certain r areas within the overall Drainage Plan area could be designated as a redevelopment project to make use of tax increment finan- cing. In enacting the law (Community Development Law), the Legislature found and declared that there exists in many com- munities throughout the State "blighted areas" which constitute either physical, social, or economic liabilities requiring re- development in the interest of the health, safety, and general dw welfare of the people of such communities. The Cities of Ontario, Rancho Cucamonga and Fontana have estab- lished "Redevelopment Projects ". A certain portion of the tax increment has been allocated to construction of portions of the Day Creek and San Sevaine Creek Systems. Refer to the various City Planning Departments for the boundaries and financial plans of the redevelopment projects. w n err E. BUREAU OF RECLAMATION GRANT /LOAN UNDER THE SMALL RECLAMATION PROJECTS ACT of The County of San Bernardino, in conjunction with the Cities of Rancho Cucamonga and Ontario, and private developer inter- ests, has filed a Notice of Intent with the Bureau of Reclama- tion for long term loan and grant financing. The project filed is the Day Creek Channel System from the proposed debris dam to and including Riverside Basin. The project application report and environmental statement are presently being prepared by �+ Bill Mann and Associates. F. OTHER POSSIBLE FINANCING METHODS 1. Lease - Leaseback Financing (Joint Powers Authority) 2. Lease - Leaseback Financing (Non - Profit Corporation) 3. Mello -Roos Community Facilities Act of 1982 - AB 3564/SB 2001 IF 9 IN In In general, a small project under the subject act may be a multi- purpose water resource project. In the case of the Day Creek project, it is for flood control and water conservation purposes. The maximum loan and /or grant that may be obtained is limited to two - thirds of the maximum allowable estimated total project cost. The maximum estimated total project cost is indexed to 1971, and for this fiscal year is approximately $35,000,000. F. OTHER POSSIBLE FINANCING METHODS 1. Lease - Leaseback Financing (Joint Powers Authority) 2. Lease - Leaseback Financing (Non - Profit Corporation) 3. Mello -Roos Community Facilities Act of 1982 - AB 3564/SB 2001 IF 9 IN F SECTION III DISTRIBUTION OF CONSTRUCTION COSTS 1 _ A. GENERAL DISCUSSION The final construction cost estimate for the Day, Etiwanda and San Sevaine Creek Drainage Plan is included in the Appendix of this report for ready reference. The discussion of the various reaches and construction costs are provided in detail in Volume I of the Drainage Plan Report. The Day Creek Channel, Lower Etiwanda Creek Channel and appurtenant facilities are designated as the Day Creek Channel Systems. San Sevaine Creek, Upper Etiwanda Creek and appurtenant facilities are known as the San Sevaine Creek System. The gross areas within each jurisdiction are provided below in Tables I, II and III. It was decided at the Technical Committee meeting on December 14, 1982, that the cost distribution per jurisdiction within the drainage area would be computed on a gross area basis rather than a net developable basis. The construction costs of each system are summarized below in Table IV. Based on the construction costs and the gross acres in each jurisdiction, the cost per acre for each system is com- puted. The cost per acre is provided for the Day Creek Channel System and the San Sevaine Channel System separately and the two systems combined. The Technical Committee determined the financial, mechanisms and cost per acre for each system should be reviewed and funded separately. This was due to the unique differences inherent in each system and the size of the total drainage area. 10 CI Although the Technical Committee recommended the costs per acre be analyzed on a gross basis, the net developable acreage in each jurisdiction and each drainage area are given below for reference purposes. The percentages are based on prior information provided by the Cities, the County, and various consultants involved in the study area. B. SYSTEM COST PER GROSS ACRE 1. General The cost'per gross acre for each system is provided and the cost per jurisdiction for each system is also provided. err k�' J 11 d The gross areas within each jurisdiction is summarized below in Tables I, II and III. The gross areas within each jurisdiction were computed from the drainage plan base map. Refer to the base drainage map for the juris- dictional area within the overall drainage area and within each drainage system. The cost'per gross acre for each system is provided and the cost per jurisdiction for each system is also provided. err k�' J 11 d TABLE I Gross Areas Within Day Creek System Jurisdiction Acres Percentage Unincorporated Area 950 9.9 Rancho Cucamonga 4,930 51.1 Ontario 3,760 39.0 Fontana 0 0 TOTAL 9,640 100.0 TABLE II Gross Areas Within San Sevaine Creek System IN Jurisdiction Acres Percentage Unincorporated Area 12,470 39.8 Fontana 15,850 50.5 Rancho Cucamonga 3,040 9. Ontario 0 0 TOTAL 31,360 100.0 12 TABLE III Gross Areas Within the Day Creek and San Sevaine Creek Systems Jurisdiction Acres Percentage Unincorporated Area 13,420 32.7 Rancho Cucamonga 7,970 19.4 Ontario 3,760 9.2 Fontana 15,850 38.7 TOTAL 41,000 100.0 a 13 .r� .r rr di I" '■r an no am TABLE IV Cost of Day and San Sevaine Creek Systems Dav Creek System Debris Dam $ 2,375,000 Channel System 19,200,000 Day Creek Spreading Grounds 1,100,000 Day Creek Basin 2,500,000 Wineville Basin 2,650,000 Riverside Basin 5,850,000 Subtotal $33,675,000 San Sevaine Creek System Etiwanda Creek Debris Dam $ 1,950,000 San Sevaine Basin and Lower San Sevaine Basin 9,950,000 Jurupa Basin 5,950,000 Channel System 23,025,000 Subtotal $40,875,000 TOTAL $74,550,000 14 2. Cost per Gross Acre a) Day Creek System $33,675,000/ 9,640 acre = $ 3,493 /acre USE 3,500 /acre b) San Sevaine Creek System $40,875,000/31,360 acre = 1,304 /acre USE 1,310 /acre c) Day and San Sevaine Creek Systems $74,550,000/41,000 acre = 1,818 /acre USE 1,825 /acre 3. Cost per Jurisdiction a) Day Creek System Ontario $33,675,000 x 0.39 Rancho Cucamonga $33,675,000 x 0.511 Unincorporated Area $33,675,000 x 0.099 13,133,250 17,207,925 3,333,825 TOTAL = 33,675,000 15 b) San Sevaine Creek System Fontana $40,875,000 x 0.505 = $20,641,875 Rancho Cucamonga $40,875,000 x 0.097 = 3,964,875 Unincorporated Area $40,875,000 x 0.398 = 16,268,250 TOTAL = 40,875,000 4. Net Developable Areas The net developable area (percentages) are provided below for reference purposes. The developable area in the City of Ontario was estimated at 75 %. The developable area in the City of Fontana was estimated at 75% also. The developable area in the City of Rancho Cucamonga was estimated at 75% in the Day Creek watershed and 60% in the San Sevaine Creek watershed. The developable area in the unincorporated area was estimated at 100% in the Day Creek watershed and 45% in the San Sevaine Creek watershed. The net developable areas can be obtained by applying the above percentages by areas (acres) provided in Tables I, II and III. 16 1- rb N c � E W l.� � O H U 2 � W O P4 •� w +� � u o U 1- SECTION VI CONSTRUCTION COST ESTIMATES 1. GENERAL The cost estimates provided below are separated into the two basic channel systems. The Day Creek Channel System includes Lower Etiwanda Creek, and the San Sevaine Creek Channel System includes Upper Etiwanda Creek. The cost estimate is broken down into reaches within each system, corresponding to the reaches shown on the hydrology map and described in Section V on plan discussion. The unit prices used in the construction cost estimates are listed below. The unit prices are based on best information derived from recent or present ongoing construction projects, including Corps of Engineers' projects and Flood Control District projects. Table VI -1 Cost Estimate Unit Prices Debris Dams Clear site and remove obstructions (LS) $200,000 Excavation 2.50 /CY Embankment 2.50 /CY Spillways (LS) 250,000 Miscellaneous (LS) 50,000 20% construction contingency - Geotechnical and soils investigation 35,000 Construction design (ASCE Curve) - Day Creek 150,000 Construction design (ASCE Curve) - Etiwanda Creek 107,000 Channel Construction Clearing and removal 14,000 /MI Channel excavation 2.25/CY Channel concrete (slope paving) 120 /CY Channel concrete (rectangular channel) 225/CY Reinforcement steel 0.40 /LB Channel cutoff wall (longitudinal) 4.00 /LF 7.00 /LF Chain link fence Bridges, RCB's, Transitions, etc. Class "A" concrete 225/CY Structure excavation 7.50 /CY Structure backfill 10 /CY 86 A. Day Creek Channel System 1) Day Creek Debris Basin (Height = 55') * Subtotal 20% Contingency Subtotal Geotechnical /Soils Investigation & Report Engineering,Inspection & Administration Estimated Total U §E 87 $ 1,827,655 365.531 2,193,186 35,000 150.000 2,378,186 2,375,000 0 The unit prices and estimates are based on November, 1982 prices when the ENR Index was 4533. To update them, multiply by the ratio of the current ENR Index to 4533. The construction con - tingency factor used for concrete lined channel and structure construction was 10 %. The contingency factor includes such items as necessary utility relocations, side drain connections, necessary subdrainage facilities, minor paving and earthwork at �. the channel crossings, and other miscellaneous or unknown items. 6W The cost estimates include channel fencing with a 6 -foot chain link fence with appropriate gating. A construction contingency factor of 20% was used in estimating the cost of the debris dams. The construction design estimate for the debris dams was based on the ASCE Curves. The geotechnical and soils investigation cost estimate for the debris dams was based on an analysis and estimate by a reputable geotechnical- engineering firm. A. Day Creek Channel System 1) Day Creek Debris Basin (Height = 55') * Subtotal 20% Contingency Subtotal Geotechnical /Soils Investigation & Report Engineering,Inspection & Administration Estimated Total U §E 87 $ 1,827,655 365.531 2,193,186 35,000 150.000 2,378,186 2,375,000 0 2) Debris Basin to Highland Avenue (L = 14,400') a� Subtotal $ 5,009,742 5% Contingency 250,487 Subtotal 5,260,229 " 15% Engineering, Inspection & Administration 789,034 + Estimated Total 6,049,263 USE 6,050,000 * Includes Inspection & Administration of debris basin construction. 3) Highland Avenue to Arrow Route (L = 13,400') ++� Subtotal $ 2,525,383 10% Contingency 252,538 Subtotal 2,777,921 15% Engineering, Inspection & Administration 416,688 Estimated Total 3,194,609 do USE 3,200,000 4) Arrow Route to San Bernardino Freeway (L = 11,280') �+± Subtotal $ 2,302,738 10% Contingency 230,274 Subtotal 2,533,012 .r 15% Engineering, Inspection & Administration 379,952 Estimated Total 2,912,964 USE 2,925,000 5) San Bernardino Freeway to Wineville Basin (L = 8,515') Subtotal $ 2,513,468 10% Contingency 251,347 Subtotal 2,764,815 15% Engineering, Inspection & Administration 414,722 Estimated Total 3,179,537 USE 3,200,000 88 �i 6) Wineville Basin to Riverside Basin (L = 2,620') Subtotal $ 694,082 10% Contingency 69,408 Subtotal 763,490 15% Engineering,Inspection & Administration 114,523 Estimated Total 878,014 USE 875,000 7) Riverside Basin to Riverside Avenue (L = 6,555') Subtotal $ 3,640,516 10% Contingency 364,052 Subtotal 4,004,568 15% Engineering,Inspection & Administration 600,685 Estimated Total 4,605,253 USE 4,625,000 8) Etiwanda Creek Channel - Wineville Basin to S an Bernardino Freeway - , Subtotal $ 2,317,394 10% Contingency 231,739 Subtotal 2,549,133 15% Engineering,Inspection & Administration 382,370 Estimated Total 2,931,503 USE 2,950,000 9) Day Creek Spreading Grounds Subtotal $ 1,000,001 5% Construction Contingency 50,000 5% Engineering, Inspection & Administration 52,500 Estimated Total 1,102,501 USE 1,100,000 89 10) Day Creek Basin Subtotal $ 2,264,000 5% Construction Contingency 113,200 5% Engineering, Inspection & Administration 118,860 Estimated Total 2,496,060 USE 2,500,000 11.) Wineville Basin Subtotal $ 2,395,573 5% Construction Contingency 119,779 5% Engineering, Inspection & Administration 125,768 Estimated Total 2,641,121 USE 2,650,000 12) Riverside Basin Subtotal $ 5,309,793 5% Construction Contingency 265,490 5% Engineering, Inspection & Administration 278,764 Estimated Total 5,854,047 USE 5,850,000 DAY CREEK SYSTEM TOTAL $38,300,000 C. San Sevaine Channel System 1) Upstream End to Summit Avenue (L = 6,105') Subtotal $ 1,120,017 5% Contingency 56,001 Subtotal 1,176,018 15% Engineering,Inspection & Administration 176,403 Estimated Total 1,352,421 USE 1,350,000 W 0 2) Devore Freeway to Baseline (L = 2,085') Subtotal $ 881,202 10% Contingency 88,120 Subtotal 969,322 15% Engineering,Inspection & Administration 145,398 Estimated Total 1,114,720 USE 1,125,000 3) Baseline to West Fontana Channel (L = 11,346') Subtotal 10% Contingency Subtotal 15% Engineering,Inspection & Administration Estimated Total USE 4) West Fontana Channel to San Bernardino Freeway kL = , Subtotal 10% Contingency Subtotal 15% Engineering,Inspection & Administration Estimated Total USE $ 4,272,734 427.273 4,700,007 705.001 5,405,008 5,425,000 $ 3,780,779 378.078 4,158,857 623.828 4,782,685 4,800,000 5) San Bernardino Freeway to Jurupa Basin (L = 4,275') Subtotal $ 1,741,782' 10% Contingency 174,178 Subtotal 1,915,960 15% Engineering,Inspection & Administration 287,394 Estimated Total 2,203,354 USE 2,200,000 91 6) Juru a Basin to Riverside -San Bernardino County Line L = , 9) Etiwanda Creek Channel - Summit Avenue to Devore Freeway -L = , Subtotal $ 1,113,942 10% Contingency 111,394 Subtotal 1,225,336 15% Engineering,Inspection & Administration 183,800 Estimated Total 1,409,137 USE 1,425,000 92 Subtotal $ 3,028,8 di 10% Contingency 302,882 *� Subtotal 3,331,698 15% Engineering,Inspection & Administration 499,754 Estimated Total 3,831,452 USE 3,850,000 7) Etiwanda Creek Debris Dam (Height = 45' ) Subtotal $ 1,498,993 20%. Contingency 299,799 Subtotal 1,798,792 ' Geotechnical /Soils Investigation & Report 35,000 Engineering, Inspection & Administration 107,000 Estimated Total 1,940,791 USE 1,950,000 8) Etiwanda Creek - Debris Dam to Summit Avenue (L = 7,775') f Subtotal $ 2 10% Contingency 224,548 Subtotal 2,470,023 15% Engineering,Inspection & Administration _370,503 Estimated Total 2,840,526 USE 2,850,000 9) Etiwanda Creek Channel - Summit Avenue to Devore Freeway -L = , Subtotal $ 1,113,942 10% Contingency 111,394 Subtotal 1,225,336 15% Engineering,Inspection & Administration 183,800 Estimated Total 1,409,137 USE 1,425,000 92 3 10) San Sevaine Basins 1 thru 4 and Lower San Sevai.ne Basin Subtotal $ 9,010,800 5% Construction Contingency 450,540 5% Engineering, Inspection & Administration 473,067 Estimated Total 9,934,407 USE 9,950,000 11) Jurupa Basin Subtotal $ 5,380,270 5% Construction Contingency 269,014 5% Engineering, Inspection & Administration 282,464 Estimated Total 5,931,749 USE 5,950,000 SAN SEVAINE SYSTEM TOTAL DAY CREEK SYSTEM TOTAL GRAND TOTAL $40,875,000 38,300,000 $79,175,000 93