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To authorize the Chief Administrative Officer, for and on behalf of the City of Richmond, to execute a Financing Agreement between the City of Richmond and the Virginia Resources Authority for the purpose of funding the Almond Creek Interceptor Creek Crossing and Stream Stabilization project.
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THE CITY OF RICHMOND HEREBY ORDAINS:
§ 1. That the Chief Administrative Officer, for and on behalf of the City of Richmond, be and is hereby authorized to execute a Financing Agreement between the City of Richmond and the Virginia Resources Authority for the purpose of funding the Almond Creek Interceptor Creek Crossing and Stream Stabilization project. The Financing Agreement shall be approved as to form by the City Attorney and shall be substantially in the form of the document attached to this ordinance.
§ 2. This ordinance shall be in force and effect upon adoption.
City of Richmond
Intracity Correspondence
DATE: April 22, 2025 EDITION: 1
TO: The Honorable Members of City Council
THROUGH: The Honorable Danny Avula, Mayor
THROUGH: Sabrina Joy-Hogg, Interim Chief Administrative Officer
THROUGH: Sheila White, Director Finance
THROUGH: Meghan Brown, Acting Director Budget
THROUGH: Scott Morris, Director, DPU
FROM: Billy Vaughan, Deputy Department Director, Senior, DPU
Eric Whitehurst, Deputy Department Director, Senior, DPU
RE: Virginia Clean Water Revolving Loan Fund (“VCWRLF”); Financial and Construction Assistance Program; Almond Creek Interceptor Creek Crossing and Stream Stabilization
Loan Award #: C-515625 (LOAN)
ORD. OR RES. No. ______________
PURPOSE: To authorize the Chief Administrative Officer to execute the attached Financing Agreement with Virginia Resources Authority (VRA), as administrator of the Virginia Clean Water Supply Revolving Fund (VCWRLF). This Agreement is valued at $4,092,126.00, at 0% interest, and a payment term of up to 20 years. The financing will be used to fund the Almond Creek Interceptor Creek Crossing and Stream Stabilization Project.
BACKGROUND:
The City's wastewater collection system is comprised of combined sewer and separated sanitary sewer service areas and serves the City of Richmond, parts of Chesterfield County and small areas of Henrico County. There are also several areas of the City that contribute to the wastewater collection systems in Chesterfield and Henrico counties. The combined sewers serve about one-third of the City in the older central core, including Downtown Richmond and Church Hill.
The Almond Creek Interceptor (ACI) is a combined sewer interceptor that ties into the Goodes Creek Interceptor (GCI) via three Siphons under the James River. The ACI is concrete with diameters ranging from 15-inches to 30-inches. The Siphon consists of 3 pipes: 36-inch reinforced concrete pipe (RCP), 16-inch ductile iron (DI) and 30-inch RCP, with the Almond Creek River Crossing Inlet Chamber along the upstream end (east of the James River) and the River Crossing Outlet Chamber at the downstream end (west side of the James River). Each pipe of the Siphon is approximately 770 feet in length. Portions of the ACI are located on Vulcan Quarries property along both the east and west side of the James River. ACI ties into the Goodes Creek Interceptor (GCI) at a Junction Chamber on the west side of the James River.
This construction project includes abandonment and replacement of 1,050 LF of sewer and will lower the pipe at the creek crossing. The new alignment would parallel the existing alignment before tying into the existing alignment near the existing Inlet Chamber. The new alignment would be shifted to the south approximately 10 feet, keeping the sewer within the existing City sewer easement. A reinforced concrete beam supported from wing walls will encase a 30-inch ductile iron pipe. The encased pipe will be self-supporting from the wing walls which will be buried in the bank of the creek. The pipe will be designed to be below the existing grade.
COMMUNITY OUTREACH: None.
STRATEGIC INITIATIVES AND OTHER GOVERNMENTAL: None.
FISCAL IMPACT: Reduction of interest expense of approximately $320,000. Debt service on this loan will follow DPU’s standard fiscal policy.
DESIRED EFFECTIVE DATE: Upon adoption.
REQUESTED INTRODUCTION DATE: May 27, 2025
CITY COUNCIL PUBLIC HEARING DATE: June 23, 2025
REQUESTED AGENDA: Consent
RECOMMENDED COUNCIL COMMITTEE: Finance and Economic Development Standing Committee (June 18, 2025)
AFFECTED AGENCIES: Department of Public Utilities, Department of Budget and Strategic Planning, Department of Finance
RELATIONSHIP TO EXISTING ORD. OR RES.: None.
ATTACHMENTS: Loan Authorization: DEQ Award No. C-515625
STAFF: Billy Vaughan, DPU, 804-646-5232
Eric Whitehurst, DPU, 804-646-3780
E-COPIES: Susan Hamilton, Program and Operations Manager