Consolidation Update:
Moving Forward with Bracken Brae and Forest Springs
June 21, 2022
Mark Dolson
Highlights:
Bracken Brae and Forest Springs sign Letters of Intent
Engineering design work underway.
Big Basin discussions continuing.
Full Report:
The San Lorenzo Valley Water District (SLVWD) is continuing to move forward on two separate consolidation initiatives involving three small independent water companies north of Boulder Creek, all of which suffered catastrophic damage in the August 2020 CZU Fire.
The first of these initiatives is now well under way. Both Bracken Brae (25 homes) and Forest Springs (125 homes) recently signed Letters of Intent which are legal precursors to the formal Consolidation Agreements anticipated this fall. In addition, preliminary engineering work is now in progress. The goal of this work (being performed by Sandis) is to develop a full design package for the new pipeline, hydrants, etc. that will be needed to incorporate Bracken Brae and Forest Springs into the SLVWD distribution system. This package will become the basis for a construction plan that can potentially go out for bids this fall.
An important question that remains to be resolved is exactly how much the construction will cost and how SLVWD will be fully reimbursed for this. The District has a grant from the State, and it is using this grant to fund the current design work by Sandis (via monthly State payments for expenses incurred). However, the total amount of the State grant is less than the District’s initial construction cost estimate (from November 2021), and this estimate is less than the preliminary estimate provided by Sandis. The ultimate cost will be determined by the construction bids received this fall, and it remains to be seen how the Department of Water Resources will adjust the size of its grant in response.
In parallel with the current design work, the District is developing an RFP for the environmental permitting that will be required by CEQA for the actual construction. The District is hoping, at worst, for a Mitigated Negative Declaration (which will mean that only limited environmental impacts have been identified, and that appropriate mitigations have been devised).
The second initiative, involving Big Basin Water Company (500 homes), remains in the early discussion stage. A consolidation still seems likely at some future date, but this initiative is proceeding much more slowly than the Bracken Brae and Forest Springs consolidations and is entirely independent (except that it would rely upon an extension of the main pipeline currently being designed to connect SLVWD with Bracken Brae and Forest Springs).