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CC SR 20220405 J - Local Match Fund Commitment Letter - Hazard Mitigation Grant Program CITY COUNCIL MEETING DATE: 04/05/2022 AGENDA REPORT AGENDA HEADING: Consent Calendar AGENDA TITLE: Consideration and possible action to commit matching funds supporting the City’s application for Hazard Mitigation Grant Funding from the Federal Emergency Management Agency (FEMA). RECOMMENDED COUNCIL ACTION: (1) Authorize the Mayor to sign letters of matching funds commitment for the Hazard Mitigation Grant Program (HMGP) sub-applications for the two accepted Notice of Interests (NOIs) to California Governor’s Office of Emergency Services (CalOES). FISCAL IMPACT: The fiscal impact for the grant application is approximately $5,000. However, should FEMA approve the HMGP grants, a 25% match, up to $1,287,500 may be required. Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Jesse Villalpando, Emergency Services Coordinator REVIEWED BY: Karina Bañales, Deputy City Manager APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Local Match Fund Commitment Letters (page A-1) BACKGROUND: The Federal Emergency Management Agency’s (FEMA) Hazard Mitigation Grant Program (HMGP) provides funding to state, local, tribal and territorial governments to reduce or mitigate future disaster losses in their communities. When a Federal Disaster Declaration is issued in the State of California, a percentage of dollars is set aside to provide funding for hazard mitigation projects through the HMGP. The federal funding for the HMGP is provided under the authority of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (Stafford Act). The HMGP for California is administered through the California Governor's Office of Emergency Services (Cal OES). Cal OES is responsible for identifying HMGP priorities, reviewing applications, and forwarding 1 CITYOF RANCHO PALOS VERDES t T. v. recommendations for funding to FEMA, which has the final approval on funding an eligible activity or project. DISCUSSION: On January 27, 2022, the City submitted a Notice of Interest (NOI) to Cal OES seeking HMGP funds for two projects; the undergrounding of one mile of overhead electrical utility lines to prevent wildfires, and for the implementation of an early wildfire detection system. Cal OES recently notified Staff that the two proposed projects are eligible HMGP activities and formally invited the City to submit a full sub-application for consideration of funding. The grant application is due April 8, 2022. The submitted proposed HMGP projects are as follows: HMGP #1 – Undergrounding of Utility Lines to Prevent Wildfires The proposed project aims to reduce the threat of a fire hazard proximately caused by downed or damaged overhead utility lines through the undergrounding of one mile of above-ground utility lines within the City’s open space areas. Overhead electrical wires and associated hardware are vulnerable to damage caused by natural conditions (such as high winds, lightning, and tree growth) and human -caused conditions (such as automobile accidents), creating power outages and, in some cases, igniting a wildfire if severed or broken. Burying power cables, or "undergrounding,” protects overhead utility lines from wind and fire damage and is the most comprehensive and effective method of reducing the risk of significant disasters caused by a down or damaged powerlines. In addition, should a wildfire disaster take place, the wires would be located underground, and residents would be far less likely to lose essential electric and communications services. This project is consistent with the FY 2021-22 City Council Goal No. 6C - Electric Utilities: Reduce the threat of a fire hazard proximately caused by downed or damaged overhead power lines through the undergrounding of one mile of utility lines within the City’s open space areas. HMGP #2 – Early Wildfire Detection Services The second proposed mitigation project is to secure funding for the development and implementation of a 24-hour early wildfire detection system that utilizes artificial intelligence and intuitive software technology to detect, locate, confirm and communicate wildfire ignitions in strategic locations identified as wildfire-prone areas throughout the City. This system would involve the deployment of an adequate number of wildfire detection sensors/technologies and associated equipment to monitor, verify and provide detection of fires in the City's canyons and open space areas, assisting firefighters and the general public in spotting fire ignitions before they become full-fledged wildfires. 2 The majority of wildfires in Los Angeles County are reported by the general public. Unlike wildland urban interface (WUI) fires, which typically begin in remote areas and have the potential to grow to a significant size before being spotted or reported to authorities, fi res that ignite in urban and suburban areas (including the P alos Verdes Peninsula) are typically reported to authorities via a 9-1-1 call by the general public. However, it is important to note that due to the unique geography of the Peninsula’s open space areas, which includes numerous deep canyons, an "unwitnessed" fire can start in the middle of the night or early morning in a remote deep canyon location and remain undetected for several minutes, if not hours. Completion of the project will enable emergency personnel to send life-saving evacuation warnings to residents and mobilize firefighting resources to critical locations to fight, contain, and stop the fire’s spread. Additionally it should be noted that securing fund ing for the development and implementation of a 24-hour early wildfire detection system would be a significant step toward completion of the Emergency Preparedness Committee’s FY 2021-22 Work Plan Goal No. 1: Incorporating key Lessons Learned from Woolsey After Action Report (AAR) regarding Emergency Communications, Emergency Playbook, Resources, and Drills/Training into RPV Emergency Planning. HMGP Matching Fund Requirement FEMA’s HMGP is a cost-share program that requires a non-federal match to the funding that is awarded. The current cost-ratio for HMGP grants is 75:25, meaning that the HMGP covers 75% of an approved project’s cost, and if awarded, the City is required to fund 25% of the cost of the project using non-federal sources. The proposed project amounts are as follows: • HMGP #1 - Undergrounding of Utility Lines to Prevent Wildfires The total project cost submitted is $4.5 million, of which the City’s share (25%) would be $1,125,000. • HMGP #2 – Early Wildfire Detection Services: The total project cost submitted is $650,000 of which the City’s share (25%) would be $162,500. A non-federal match requirement will apply to the City only if FEMA approves the City's sub-application. If the City receives both grants, the City would receive $3,862,500 in grant funds. If this were to occur, the City’s 25% total grant matching cost-share responsibility would be $1,287,500. A portion of the required local match could be met through a combination of non-federal funding sources, including staff/consultant time dedicated to program management and donated resources of in-kind materials and services. Furthermore, staff has confirmed with the Cal OES staff that funds from the American Rescue Plan Act (ARPA) may be used for non-federal match funding. As a reminder, the City Council approved allocating $125,000 of the City's ARPA funding for the implementation of Early Wildfire Detection Services for the City on October 5, 2021. 3 Moreover, staff anticipates that the fiscal impact for preparing these grants will be minimal, as staff will prepare the sub-application for HMGP #2 – Early Wildfire Detection Services in-house. However, for the HMGP #1 – Undergrounding of Utility Lines to Prevent Wildfires Project, staff plans to work collaboratively with the City's grant management firm, Blais & Associates, to revise a previously drafted version of this application. Due to the competitive nature of the grant, Staff believes that Blais & Associates’ successful grant writing skills will enhance the City’s chances of obtaining this grant. The estimated cost of preparation is approximately $5,000 which is within the Council-approved contract amount. This proposal, which includes the scope of work for Blais & Associates, is forthcoming and will be provided to the City Council as Late Correspondence. HMGP Local Match Fund Commitment Letter FEMA’s HMGP requires the City to provide a letter affirming that the City will commit 25% of project costs as matching funds to the federal grant (Attachment A). This letter simply tells Cal OES that the City understands there is a 25% commitment and that if the project is approved, the City is willing to contribute that 25% amount of the funding (including in- kind materials and services). Should the application be approved, Staff will return to the City Council to accept the grant funding and to determine if there are any concerning strings attached. Since grant funds are typically appropriated by the City and reimbursed by the grant source, Staff would also request an appropriation of the grant funds at the same time as requesting acceptance of the grant. The full details of the project scope would be provided at that time. CONCLUSION: Staff recommends the City Council authorize the Mayor to sign letters of commitment for the HMGP for the two accepted NOIs. This would enable Staff to proceed with submission of the two sub-applications and potentially secure funding for these two wildfire hazard mitigation projects. ALTERNATIVES: In addition to the Staff recommendation, the following alternative actions are available for the City Council’s consideration: 1. Do not authorize the Mayor to sign the letters of commitment, thereby not authorizing the submittal of the sub-applications. 2. Take other action, as deemed appropriate. 4 LOCAL MATCH FUND COMMITMENT LETTER April 5, 2022 California Governor’s Office of Emergency Services Hazard Mitigation Grants Program Unit Attn: HMGP 3650 Schriever Avenue Mather, CA 95655 SUBJECT: Sub-application Funding Match Commitment Letter for the Undergrounding Utility Line Project Dear State Hazard Mitigation Officer: As part of the Hazard Mitigation Grant Program process, a local funding match of at least 25% is required. This letter serves as City of Rancho Palos Verdes’ commitment to meet the local match fund requirements for the Hazard Mitigation Grant Program. PROJECT TITLE: UNDERGROUNDING OF UTILITY LINES TO PREVENT WILDFIRES SOURCE OF NON-FEDERAL FUNDS: LOCAL AGENCY FUNDING OTHER AGENCY FUNDING PRIVATE NON- PROFIT FUNDING STATE AGENCY FUNDING NAME OF FUNDING SOURCE: General Fund FUNDS AVAILABILITY DATE: April 5, 2022 PROVIDE EXACT MONTH/DATE/YEAR OF AVAILABILITY OF FUNDS FEDERAL SHARE AMOUNT REQUESTED: $3,375,000 MUST MATCH $ AMOUNT PROVIDED IN SUBAPPLICATION LOCAL SHARE AMOUNT MATCH: $ 1,125,000 MUST EQUAL A MINIMUM OF THE 25% FEDERAL SHARE REQUESTED FUNDING TYPE: Combination of cash, agency personnel and donated resources. EXAMPLES: ADMINISTRATION, CASH, CONSULTING FEES, ENGINEERING FEES, FORCE ACCOUNT LABOR, AGENCY PERSONNEL, PROGRAM INCOME, ETC. If additional federal funds are requested, an additional local match fund commitment letter will be required. Please contact Jesse Villalpando, Senior Administrative Analyst at Jvillalpando@rpvca.gov or (310) 544-5209 with any questions. Sincerely, David L. Bradley Mayor, City of Rancho Palos Verdes A-1 ~ □ □ □ LOCAL MATCH FUND COMMITMENT LETTER April 5, 2022 California Governor’s Office of Emergency Services Hazard Mitigation Grants Program Unit Attn: HMGP 3650 Schriever Avenue Mather, CA 95655 SUBJECT: Sub-application Funding Match Commitment Letter for the Early Wildfire Detection System Dear State Hazard Mitigation Officer: As part of the Hazard Mitigation Grant Program process, a local funding match of at least 25% is required. This letter serves as City of Rancho Palos Verdes’ commitment to meet the local match fund requirements for the Hazard Mitigation Grant Program. PROJECT TITLE: EARLY WILDFIRE DETECTION SYSTEM SOURCE OF NON-FEDERAL FUNDS: LOCAL AGENCY FUNDING OTHER AGENCY FUNDING PRIVATE NON- PROFIT FUNDING STATE AGENCY FUNDING NAME OF FUNDING SOURCE: General Fund FUNDS AVAILABILITY DATE: April 5, 2022 PROVIDE EXACT MONTH/DATE/YEAR OF AVAILABILITY OF FUNDS FEDERAL SHARE AMOUNT REQUESTED: $487,500 MUST MATCH $ AMOUNT PROVIDED IN SUBAPPLICATION LOCAL SHARE AMOUNT MATCH: $162,500 MUST EQUAL A MINIMUM OF THE 25% FEDERAL SHARE REQUESTED FUNDING TYPE: Combination of cash, agency personnel and donated resources. EXAMPLES: ADMINISTRATION, CASH, CONSULTING FEES, ENGINEERING FEES, FORCE ACCOUNT LABOR, AGENCY PERSONNEL, PROGRAM INCOME, ETC. If additional federal funds are requested, an additional local match fund commitment letter will be required. Please contact Jesse Villalpando, Senior Administrative Analyst at Jvillalpando@rpvca.gov or (310) 544-5209 with any questions. Sincerely, David L. Bradley Mayor, City of Rancho Palos Verdes A-2 ~ □ □ □