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Eureka delays moving to phase 2 of flood control project amid approval delays and $3 million repayment risk
Summary
City staff recommended halting progress to phase 2 of a federally backed flood control project because missing required approvals could require Eureka to repay an estimated $3,000,000; phase 1 is roughly 90% complete and staff will circulate contract documents for council review.
At its Oct. 14 work meeting, the Eureka City Council heard staff recommend that the city not move into phase 2 of a federally supported flood control project because delays obtaining regulatory approvals could leave the city liable for roughly $3,000,000.
"Ithink with the timeline constraints and the inability to get the extensions done in a timely matter, we're not in a position financially to continue to move to the phase 2 of the flood control project," Council member Kimberly Clements said, and added, "I'm going to recommend that we do not put ourselves in that financial position to pay back $3,000,000." The recommendation was made citing a conversation with Miranda Miller, the state post-disaster mitigation coordinator, who expressed doubt that required approvals would arrive quickly enough.
Staff said Eureka was awarded a grant for phase 1 and that JUB was the engineer/contractor on the work; phase 1 is about 90% complete. Phase 2 would include road work and pipeline rerouting. Council was told approvals are still outstanding from the Environmental Protection Agency, UDOT and the state division of water quality, and that the entire project (phase 1 and phase 2) must be completed by 2027. A prior extension was difficult to secure; staff warned FEMA could deny or significantly delay any further extension.
Council asked staff to circulate the draft phase-2 contract (which JUB had prepared) so members could review any notice obligations or contractual commitments before the city signs. Staff also said they would schedule a follow-up Zoom with JUB to clarify timelines and contract terms.
The council did not record a formal vote on a course of action in the meeting minutes; staff indicated next steps would be contractual review and a follow-up meeting with the contractor and state staff.
