Capitola City Leaders met on Sunday to declare a state of emergency in the city, a day after more flooding occurred in Capitola Village. A ruptured drain pipe underneath Bay Avenue at Noble Gulch Creek sent an estimated 3-feet of water gushing through the streets, causing damage to businesses and residences. Damage estimates are still being tallied, however replacing the drain pipe is expected to cost 1-million dollars alone. City officials have contracted with Granite Construction for that project, and hope to have a new pipe installed by the end of the week. The emergency declaration also eased some parking restrictions in Capitola Village for those doing clean-up. The city is also preparing to file for Federal Emergency Aid.