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  Consent-General Government   # 13.       
Board of Supervisors County Administrator  
Meeting Date: 07/23/2019  
Brief Title:    Approve funding agreement with Granite Construction and accept in fee title real property known as the Woodland Reiff property
From: Patrick Blacklock, County Administrator, County Administrator's Office
Staff Contact: Elisa Sabatini, Manager of Natural Resources, County Administrator's Office, x5773
Supervisorial District Impact:

Subject
Consider approval of a funding agreement with Granite Construction in the amount of $136,500, accept in fee title 121.94 acres of real property known as the "Woodland Reiff" property (APN#025-350-035-000), and affirm that conveyance of the parcel satisfies Zone File# 2007-071 ("Granite Esparto Mining and Reclamation Project") Condition of Approval #44 and Mitigation Measure 4.5-1c. (No general fund impact) (Blacklock/Sabatini)
Recommended Action
  1. Approve the funding agreement with Granite Construction in the amount of $136,500;
     
  2. Accept in fee title 121.94 acres of real property known as the "Woodland Reiff" property (APN#025-350-035-000); and
     
  3. Affirm that Zone File# 2007-071 ("Granite Esparto Mining and Reclamation Project") Condition of Approval #44 and Mitigation Measure 4.5-1c are satisfied by conveyance of the parcel to the County.
Strategic Plan Goal(s)
Operational Excellence
Sustainable Environment
Flourishing Agriculture
Reason for Recommended Action/Background
Background
Granite Construction Company is required to mitigate for the loss of Swainson’s hawk foraging habitat for each of its mining projects. This obligation is stated as Condition #44 in the Conditions of Approval for the Granite Esparto Mining and Reclamation Project (No. ZF #2007-071) and Mitigation Measure 4.5-1c in the Environmental Impact Report for the Granite Esparto Mining and Reclamation Project (SCH# 2009022036). Exact language for these provisions can be found below:
 
Condition of Approval #44
The Applicant shall mitigate for loss of Swainson’s hawk foraging habitat in accordance with the provisions in the NHP JPA interim management agreement to which both the County and the California Department of Fish and Game are signatories.
 
The Applicant shall provide 1 acre of Swainson’s hawk foraging habitat for every 1 acre of foraging habitat that is lost to the project. The mitigation requirement for the Granite Esparto mining project is 202.88 acres. Applicant may transfer fee simple title or a conservation easement over of Swainson’s hawk foraging habitat, along with appropriate enhancement and management funds. As acceptable to the JPA, the mitigation may be phased to reflect timing of actual acreage impacted and reclaimed. In addition, the easements may be structured to reflect the term of the impact (e.g. permanent easements for mitigation of permanent loss and termed easements for interim loss).
 
Mitigation Measure 4.5-1c
The Applicant shall either 1) pay a Swainson’s hawk mitigation fee for the area disturbed by development, which is currently estimated at $8,660/acre or 2) implement another project specific mitigation plan which is deemed appropriate to the California Department of Fish and Game. As of January 9, 2006, projects that exceed 40 acres in area are no longer eligible to pay the fee, but are required to dedicate suitable conservation easements as determined by the Yolo HCP/NCCP Joint Powers Agency (JPA) and the California Department of Fish and Game. In the event that the final HCP/NCCP is adopted before development occurs, the developer shall participate in the Final HCP/NCCP to mitigate for the loss of Swainson’s hawk habitat.
 
The Memorandum of Understanding (MOU) between CDFG and Yolo County states that the Applicant shall mitigate directly because the project is over 40 acres (Wong, pers. comm. 2009). The Applicant shall provide 1 acre of Swainson’s hawk foraging habitat for every 1 acre of foraging habitat that is lost to the project. The Applicant may transfer fee simple title or a conservation easement over Swainson’s hawk foraging habitat, along with appropriate enhancement and management funds, in lieu of paying the acreage based mitigation fee.
 
To fulfill these obligations in coordination with the County, on November 3, 2014, Granite recorded an Irrevocable Offer of Dedication (IOD) of fee interest to the County for 115.52 acres of real property located along the lower portion of Cache Creek in an area designated as the Hoppin Reach, approximately 2.5 miles northwest of the City of Woodland within the unincorporated area of Yolo County, California, also known as the Woodland Reiff Property (Attachment A). The Property possesses wildlife and habitat values of great importance, including high quality habitat for Swainson’s hawk (Buteo swainsoni), a State-listed threatened species, and contains grassland, valley foothill riparian, and riverine natural communities.

Staff recommends that the County accept the IOD to acquire the property and take all remaining steps necessary to record a suitable habitat conservation easement.  Additionally, Granite intends to provide appropriate funds for the maintenance and management of the Property through the Woodland Reiff Property Funding Agreement (Attachment B), in which Granite unconditionally promises to contribute to the County, by January 31, 2020, One Hundred Thirty-Six Thousand Five Hundred Dollars ($136,500.00). By executing the Funding Agreement and committing to record a conservation easement on the property, the County acknowledges that Granite has satisfied its obligations to mitigate for the loss of Swainson’s hawk foraging habitat as required by Granite’s Conditions of Approval for Mining Permit and Reclamation No. ZF #2007-071, Condition No. 44 and Environmental Impact Report for the Granite Esparto Mining and Reclamation Project Mitigation Measure 4.5-1c.

Current Request
At the November 21, 2017 Board of Supervisors Meeting (Minute Order provided as Attachment C to this staff report) the Board authorized staff to work with Granite Construction on a joint mitigation endeavor to satisfy Granite's mitigation requirements, as described above, as well as the County's Swainson's hawk mitigation requirement for the Tuli Mem Park and Aquatic Center (Esparto Pool).  The County has a mitigation obligation of 8.7 acres of Swainson's hawk habitat related to satisfy the Mitigation and Monitoring Report approved with the Initial Study / Mitigated Negative Declaration for the "Esparto Community Park and Aquatic Recreation Center" (now known as Tuli Mem Park), Zone File #2010-004, dated December 2016. 

As the subject parcel is required to be conveyed to the County by Granite's development agreement for permanent conservation through subsequent recordation of a suitable conservation easement, satisfied by Granite's 2014 Irrevocable Offer of Dedication (Attachment A), and the parcel contained more acres than Granite is required to mitigate for their impacts related to the Esparto Mining permits, the County approached Granite about a joint endeavor to put the entire parcel under a habitat conservation easement so as to satisfy the mitigation requirements of both the County (Tuli Mem Park) and Granite (Esparto Mining permit). 

Both Granite and the County have agreed to contribute $1,500 per acre (pro-rated as to each parties mitigation obligation) to a permanent endowment fund that will fund the monitoring and reporting requirements under State law and the County's adopted policies. The attached agreement documents Granite's commitment to provide their fair share of the funding in 2020.  The County has budgeted funding from the Esparto Development Impact Fee for the purpose of providing its fair share of the endowment funding. 

The subject parcel was offered to the County by recording of the IOD in 2014 by Granite Construction  (Attachment A), though the County agreed to defer formal (i.e. Board of Supervisors) acceptance of the property until the Swainson's hawk mitigation collaboration was finalized. The subject parcel has been inspected by three separate biologists: one biologist hired by Granite, one hired by the County, and a third to review the biological memos independently and provide concurrence and/or recommendations to assure adequate habitat is provided as mitigation. All three biologists concurred that the subject site is adequate habitat for both nesting and foraging for the Swainson's hawk.

Next Steps
Should the Board approve this request the property will be formally accepted by the County.  The County has been working diligently with the Cache Creek Conservancy and its counsel to formalize a habitat conservation easement that would be held by the Cache Creek Conservancy. The Conservancy would provide monitoring and reporting services, as required by State law and County policy, and would recoup the staff time costs from interest earned from the endowment fund established for such purposes. An agreement with the Cache Creek Conservancy as well as a formal easement document will return to the Board for further review and approval.  The parcel will be part of the County's property inventory and the Cache Creek Parkway upon acceptance.
Collaborations (including Board advisory groups and external partner agencies)
Staff has collaborated with County Counsel, Granite Construction, and the Cache Creek Conservancy.
Competitive Bid Process
Not applicable.

Fiscal Impact
Potential fiscal impact (see notes in explanation section below)
Fiscal Impact (Expenditure)
Total cost of recommended action:    $  
Amount budgeted for expenditure:    $   0
Additional expenditure authority needed:    $   0
One-time commitment     Yes
Source of Funds for this Expenditure
$0
Explanation (Expenditure and/or Revenue)
Further explanation as needed:
Approval of this agreement will result in a temporary increased revenue of $136,500 to the Cache Creek Resource Management Fund. Upon completion of an agreement with the Cache Creek Conservancy staff will transfer Granite's $136,500 plus an additional $13,500 from the Esparto Development Impact fee fund (for a total of $150,000) into an endowment fund or similar restricted interest bearing account for the express purpose of satisfying the conditions of the habitat conservation easement. 
The agreement with the Cache Creek Conservancy and associated funding requests will return to the Board for future consideration and approval.
Attachments
Att. A. Recorded IOD
Att. B. Granite Funding Agreement
Att. C. November 21, 2017 Minute Order


    

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