ITEM:		CONSENT CALENDAR
4.	CONSIDER EXPENDITURE OF BUDGETED MATCHING FUNDS FOR THE INTEGRATED REGIONAL WATER MANAGEMENT PLAN, PLANNING GRANT
Meeting Date:			January 27, 2011	Budgeted:	Partial
From:			Darby Fuerst, General Manager	Program/	Computer Equipment and Software
Prepared By:			Eric Sandoval	Cost Estimate:	$41,200
General Counsel Review: N/A
Committee Recommendation: The Administrative Committee reviewed this item on January 19, 2011 and recommended approval.
CEQA Compliance: N/A

SUMMARY: The Department of Water Resources (DWR) is proposing an award of approximately $250 million statewide in Fiscal Year 2010-11 under two separate grant programs funded through Proposition 84 (The Safe Drinking Water, Water Quality and Supply, Flood Control, River and Coast Protection Bond Act of 2006). At its July 19, 2010 meeting, the Board approved Resolution 2010-11 authorizing staff to apply for planning grant funds with a 25% local match consisting of cash expenditures and in-kind services. In September 2010, the District applied for $995,000 from Round 1 Prop. 84 Planning Grant funds to update the existing Integrated Regional Water Management Plan (IRWM Plan) for the Monterey Peninsula, Carmel Bay and Southern Monterey Bay planning region in partnership with nine other project sponsors. The total value of tasks associated with the grant is $1.71 million with the District directly responsible for completing just over $800,000 worth of work with grant funds, in-kind services, and cash contributions over a two-year period. The remainder of the tasks will be carried out either cooperatively or by other agencies in the Region. A recent preliminary decision by DWR recommended that the District and the other project sponsors be awarded the requested grant funding.

Pending final authorization from DWR for grant funding, staff is requesting authorization to expend a portion of the required 25% local match for District-sponsored projects to cover tasks that need to be completed over the next several months. Actual purchases will not be made until a final letter of authorization is received from DWR and requests can be made for grant reimbursement. Authorization for the remaining matching fund expenditures will be requested at a future Board meeting. This request for expenditure of partial matching funds is required to keep the grant funded projects on schedule and maintain District commitments as outlined in the IRWM grant guidelines.

At this time, staff seeks authorization to purchase certain hardware and software and expend funds for contract services to begin implementation of two of the tasks associated with the grant for an update of the Data Management and Geographic Information System. The total for these tasks is approximately $170,900 and made up of MPWMD cash contributions of $42,300, State grant funds of $58,900 and MPWMD in-kind services of $69,700. These costs will be incurred over a two-year period.

The equipment to be purchased at this time consists of software and other peripherals that will be used by staff in their daily functions, and as proposed in the IRWM grant proposal. With the current Information Technology Manager vacancy, the budgeted funds for this staff position will be used to hire consultants to install and deploy hardware and software systems. Specifically, staff is requesting authorization to expend up to $16,100 for consultant services and $25,100 to purchase hardware and software to begin the IRWM Grant Projects as detailed on the following table. The total not-to-exceed amount expended at this time would be $41,200, of which $27,500 would be reimbursable from the grant. The $13,700 difference would be applied towards the District’s 25% match requirement.

TYPE	ESTIMATED TOTAL COST	REQUESTED AMOUNT	GRANT REIMBURSEMENT
SOFTWARE
GeoCortex	23,300	23,300	18,000
HARDWARE
Network Switch	500	500	500
Firewall	600	600	600
Misc Cables, Tools, etc	700	700	700
CONSULTANTS
.NET ASP Programmer	30,000	7,700	7,700
CTO Replacement	18,000	8,400
TOTAL MATERIALS COST		25,100	19,800
TOTAL CONSULTANTS		16,100	7,700
OVERALL COST		41,200	27,500

RECOMMENDATION: Staff recommends approval of expenditures not-to-exceed $41,200 (of which $27,500 is to be reimbursed by the grant) to purchase the items to begin implementation of projects related to the $995,000 IRWM plan grant from DWR.

IMPACT ON STAFF/RESOURCES: Project work and deliverables of Prop 84 Implementation Grant will be completed by the District’s Administrative Services Department staff with assistance from the Planning and Engineering Department staff and consultants to be retained. Larry Hampson, Senior Water Resources Engineer, is the District’s Prop. 84 grant application coordinator. Minimal direct costs may be incurred to obtain relevant documents and information from other agencies. As part of the accepted grant application, staff time will be required to coordinate with other agencies, develop systems and to administer the grant. Some system development tasks will be contracted to appropriate consultants.

BACKGROUND: The District is currently the only agency in the Monterey Peninsula, Carmel Bay and Southern Monterey Bay planning region eligible to submit a Round 1 Implementation Grant application to DWR (the District was the only local agency to adopt the IRWM Plan prior to September 30, 2008, which was the date of the legislation authorizing expenditure of IRWM grant funds). In future rounds, or for other Proposition 84 grant fund programs, there will be several other local agencies that are eligible to submit applications.

At its July 19, 2010 meeting, the Board approved Resolution 2010-11 authorizing staff to apply for grant funds with 25% local matches consisting of cash and in-kind services. In addition, the resolution authorized the General Manager to enter into sub-grantee agreements to disburse funds for several projects proposed to be completed with IRWM grant funds. The District is responsible for grant administration as well as some project deliverables. Grant administration would include quarterly reports, accounting services, grant reimbursements, project monitoring, and acting as a facilitator between project sponsors and DWR. Portions of the project work will be contracted out to consultant services. Grant administration and project work will continue until all projects are complete and a final report is submitted to DWR. All work must be completed within two years of execution of an agreement between MPWMD and DWR.

Staff applied to DWR for a planning grant of $995,000 for eight projects including a request for funds for (a) Update to the Canyon Del Rey Drainage Plan, (b) Development of a salt and nutrient management plan for the Seaside Groundwater Basin, (c) Assessment of steelhead passage barriers in the Carmel River watershed, (d) Geographic Information Systems Internet Mapping Site Development and Data Management System Development, (f) Inter-Regional Coordination, (g) An assessment for San Jose Creek watershed, (h) ASBS alternative analysis, and (i) Hydrologic Modeling for the Carmel Valley Alluvial Aquifer. Project sponsors and partners include the District, Big Sur Land Trust, California American Water, Carmel River Watershed Conservancy, Coastal Watershed Council, Monterey County Water Resources Agency, Monterey County Public Works Department, City of Pacific Grove, City of Monterey, and the City of Seaside.

EXHIBITS

4-A Resolution No. 2010-11

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