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Montero board authorizes up to $200,000 to design Valimar utility relocation project

Montero Water Exemption District Board of Directors · July 10, 2026
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Summary

The Montero Water Exemption District board voted 4-0 to authorize the general manager to seek additional funding and extend a collaborative design agreement with the San Mateo Resource Conservation District for the Valimar utility relocation project, with expenditures not to exceed $200,000 to complete design and environmental permitting work.

The Montero Water Exemption District Board of Directors voted unanimously July 9 to authorize up to $200,000 for design and permitting of the Valimar utility relocation project, a coastal-infrastructure effort intended to protect aging water and sewer pipelines at risk from erosion.

Chair opened the discussion by pointing to two letters in the packet that contextualize the district's planning work and emphasized continuity of service during recent emergency measures. District staff described the Valimar proposal as a collaborative effort with the San Mateo Resource Conservation District to develop shovel-ready designs so the project can compete for implementation grants.

Sewer engineer Pitman outlined technical drivers: a congested Valimar Street corridor with multiple utilities, an abandoned force main the district proposes to revitalize to improve conveyance between south and north service areas, and a primary water crossing near Sierra and Ethel Dorr that needs relocation to meet current standards. Pitman said design work will include pipe relocations, encasement and structural protections (steel beam and double containment) where lines approach ocean-front bluffs.

Board members asked about contingency plans in the event implementation grants are not awarded. Pitman said the project is intentionally phased so components can be completed incrementally under multiple capital cycles, noting that phasing would extend overall schedule but reduce immediate funding risk.

After discussion, a motion to authorize the general manager to pursue additional funding and to extend a collaborative design agreement with the San Mateo RCD, with the district's contribution not to exceed $200,000, was moved and seconded. The board approved the motion by roll call, 4-0.

The authorization covers design completion, environmental-permitting support with the RCD and associated project management/reimbursement tasks; staff said implementation funding still must be secured for construction and that phasing is a likely approach if full funding is not available. The board directed staff to continue seeking grants and to coordinate with Caltrans and other regional partners on timing and permitting.

The board discussion closed with thanks to staff and partner agencies for advancing the project to a point where it can pursue implementation funding.

What happens next: staff will proceed with design and permitting contracts under the authorized funding cap and continue outreach to potential funding sources. The project remains contingent on receiving construction-phase grants or alternate capital allocations.