Title
Staff Report for a Resolution of the City Council for the City of San Leandro to Approve a $170,000 Surrendered and Abandoned Vessel Exchange (SAVE-18) Grant Agreement Between the City of San Leandro and the State of California, Department of Parks and Recreation, Division of Boating and Waterways for Abatement of Surrendered and Abandoned Watercraft at the San Leandro Marina and the San Leandro Shoreline
Staffreport
As required by the provisions of Senate Bill 172, Chapter 930, Statutes of 1997, the Division of Boating and Waterways implemented the Abandoned Watercraft Abatement Fund (AWAF) program to address the problem of abandoned watercraft. The purpose of the program is to provide funds to local public agencies to remove, store, and dispose of abandoned, wrecked, or dismantled watercraft or any other partially submerged objects that pose a substantial hazard to maritime navigation.
Staff recommends that the City Council adopt a resolution approving the Surrendered and Abandoned Vessel Exchange (SAVE-18) Grant Agreement, between the City and the State of California, Department of Parks and Recreation, Division of Boating and Waterways.
BACKGROUND
From 2004 through 2010 an average of two vessels per year were destroyed and disposed at city cost. The City has been awarded three State grants since 2014. Using the awarded AWAF grant #C7701015 in the amount of $49,000 for the period of 1/14 - 1/16, the City of San Leandro Marina removed and destroyed 11 boats at a cost of $46,975.11, not including the in-kind cost of $10,950.11. With the second Vessel Turn In Program (VTIP) grant #C7702116 in the amount of $9,400 for the period of 10/14 - 10/16 the City of San Leandro Marina removed and destroyed 7 boats at a cost of $9,142.44, not including the in-kind cost of $3,861.73. With the third grant, SAVE #C15S0614 in the amount of $81,000 for the period of 10/15 - 09/17, the City of San Leandro Marina removed and destroyed 22 boats at a cost of $19,694.38, not including the in-kind cost of $4,055.23. With the excess funds, and at the request of the State, the City assisted the Sacramento County Sheriff’s Department and the San Mateo County Harbor District. Grant funds expended and reimbursed totaled $73,041.24. (Summary Table attached)
Due to the fact that no monies have been identified for on-going dredging operations and siltation continues to accumulate within the harbor, and with the Marina Decommissioning project scheduled for next fiscal year, it is anticipated that many boats will be abandoned or submitted to the City for the vessel turn-in program over the next two years. The City does not have the funds in the budget to pay for destruction and disposal of vessels.
The City applied for a $170,000 SAVE-18 grant for 2018-19and 2019-20 on April 30, 2018, based on previous grant use and expected need over the next few years. On July 30, 2018 the State approved a $170,000 SAVE-18 grant and the grant agreement documents were received for review by staff and approval by the City Council.
Analysis
Under California Harbors and Navigation Code §527, a 10% local matching contribution is required for the Surrendered and Abandoned Vessel Exchange Grant. At the discretion of the State Department of Boating and Waterways, the City’s contribution may be rendered in cash, or through in-kind contributions that must be verified and approved. The local matching contribution could include, but is not limited to, administrative costs, personnel hours, and removal and/or storage costs. For this grant, the City will contribute the 10% local matching contribution in administrative costs and personnel hours to oversee the contracts and prepare the watercraft for towing, removal, and disposal.
If the grant is not approved the Shoreline Fund will bear the cost without reimbursement.
Applicable General Plan Policies
• General Plan, Chapter 3.3H. San Leandro Marina
• General Plan, Goal 9
Legal Analysis
The City Attorney reviewed the grant agreement and approved it as to form.
Fiscal Impacts
The Surrendered and Abandoned Vessel Exchange (SAVE-18) grant is a sum not to exceed $170,000.00 submitted to the City of San Leandro via reimbursement. Ten percent matching contribution is required and the City intends to make the match through administrative costs and personnel hours.
Budget Authority
An expenditure account (597-57-177) was established and will require a $170,000 appropriation from the Shoreline Fund available cash. A revenue account (597-3607) was established to receive reimbursements from the State for the Surrendered and Abandoned Vessel Exchange (SAVE-18) Grant. Although the Shoreline Fund has a negative fund balance primarily due to debt service obligations, there is sufficient cash available to cover expenses until the grant proceeds are received.
PREPARED BY: Delmarie Snodgrass, Marina Manager, Public Works