HomeMy WebLinkAbout03-21-12 EO&WR Committee PacketOTAY WATER DISTRICT
ENGINEERING, OPERATIONS & WATER RESOURCES COMMITIEE MEETING
and
SPECIAL MEETING OF THE BOARD OF DIRECTORS
2554 SWEETWATER SPRINGS BOULEVARD
SPRING VALLEY, CALIFORNIA
Board Room
WEDNESDAY
March 21, 2012
11:30 A.M.
This is a District Committee meeting. This meeting is being posted as a special meeting
in order to comply with the Brown Act (Government Code Section §54954.2) in the event that
a quorum of the Board is present. Items will be deliberated, however, no formal board actions
will be taken at this meeting. The committee makes recommendations
to the full board for its consideration and formal action.
AGENDA
1. ROLL CALL
2. PUBLIC PARTICIPATION-OPPORTUNITY FOR MEMBERS OF THE PUBLIC TO
SPEAK TO THE BOARD ON ANY SUBJECT MATIER WITHIN THE BOARD'S JU-
RISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA
DISCUSSION ITEMS
3. ADOPT ORDINANCE NO. 532 REVISING SECTION 72, PENAL TIES AND DAMAG-
ES , OF THE DISTRICT'S CODE OF ORDINANCES RELATED TO REQUESTS
FROM CUSTOMERS FOR AN ADMINISTRATIVE REVIEW (GRANGER) [10 minutes]
4. APPROVE THE FUNDING FOR THE PURCHASE AND INSTALLATION OF A CON-
FINED SPACE TRAINING PROP AT THE HEARTLAND REGIONAL FIRE AND PUB-
LIC SAFETY TRAINING FACILITY LOCATED ON THE DISTRICT'S REGULATORY
SITE IN THE AMOUNT OF $80,000 (COBURN-BOYD) [5 minutes]
5. APPROVE A REIMBURSEMENT AGREEMENT WITH INTERNATIONAL INDUSTRI-
AL PARK, INC., A CALIFORNIA CORPORATION, FOR THE CONSTRUCTION OF A
24-INCH RECYCLED WATER PIPELINE ON ALTA ROAD, NORTH OF LONE STAR
ROAD, FOR A PORTION OF THE CAPITAL IMPROVEMENT PROGRAM PROJECT,
RecPL-24-INCH 860 ZONE, ALTA ROAD/AIRWAY ROAD (R2077), IN THE AMOUNT
OF $930,962.16 (KENNEDY) [5 minutes]
6. SAN DIEGO COUNTY WATER AUTHORITY UPDATE (WATION) [10 minutes]
7. ADJOURNMENT
BOARD MEMBERS ATIENDING:
Gary Croucher, Chair
Jose Lopez
All items appearing on this agenda, whether or not expressly listed for action, may be delibe-
rated and may be subject to action by the Board.
The Agenda, and any attachments containing written information, are available at the Dis-
trict's website at www.otaywater.gov. Written changes to any items to be considered at the
open meeting, or to any attachments, will be posted on the District's website. Copies of the
Agenda and all attachments are also available through the District Secretary by contacting
her at (619) 670-2280.
If you have any disability that would require accommodation in order to enable you to partici-
pate in this meeting, please call the District Secretary at 670-2280 at least 24 hours prior to
the meeting.
Certification of Posting
I certify that on March 16, 2012 I posted a copy of the foregoing agenda near the regu-
lar meeting place of the Board of Directors of Otay Water District, said time being at least 24
hours in advance of the meeting of the Board of Directors (Government Code Section
§54954.2).
Executed at Spring Valley, California on March 16 , 2012.
/s/ Susan Cruz. District Secretary
2
AGENDA ITEM 3
STAFF REPORT
TYPE MEETING: Regular Board MEETINGDATE: April 4, 2012
PROJECT: Various DIV. NO. ALL
SUBMITIED BY: William Granger
Water Conservation Manager
APPROVED BY: [8:1 Rom Sarno, Chief of Administrative Services
[8:1 German Alvarez, Assistant General Manager
[8:1 Mark Watton , General Manager
SUBJECT: ADOPTION OF ORDINANCE NO . 532 , REVISING SECTION 72 OF THE OTAY
WATER DISTRICT'S CODE OF ORDINANCES RELATED TO A CUSTOMER 'S
REQUEST FOR ADMINISTRATIVE REVIEW
GENERAL MANAGER'S RECOMMENDATION:
That the Board adopt Ordinance No . 532 approving the revisions to
Section 72 of the District's Code of Ordinances, related to a
customer's request for an administrative review .
COMMITTEE ACTION:
Please see "Attachment A."
PURPOSE:
To adopt Ordinance No. 532 which revises Section 72 of the District's
Code of Ordinances, related to a customer's request for
administrative review upon receipt of a "Notice of Administrative
Fine ."
ANALYSIS:
District staff periodically reviews District policies , procedures and
the Code of Ordinances to ensure these documents are consistent with
current practices and updated as to current changes in the applicable
laws and regulations .
Currently the District's Code of Ordinances provides for a cust omer
who has received an administrative fine to request review and
consideration by the Board of Directors .
The proposed changes , made primarily in Section 72 .05 G of the Code,
are intended to streamline the procedure in handling requests from
customers for review and consideration of administrative fines
resulting from violations of the District Code of Ordinances. This
change would allow the General Manager or designee to make the final
determination of imposing an administrative fine .
In addition to such procedural changes, further revisions were made
for clarity and to ensure compliance with Government Code Section
53069 .4 .
FISCAL IMPACT : ~ Joe Beachem, Chief Financial Officer
n/a
STRATEGIC GOAL:
Improve business functionality by constantly improving the eff iciency
and effectiveness of important business processes .
LEGAL IMPACT :
n/a
Attachments : Attachment A -Committee Action
Attachment B -Presentation
Exhibit 1 to Attachment B -Revised Section 72
2
ATTACHMENT A
ADOPTION OF ORDINANCE NO . 532 , REVISING SECTION 72 OF THE
SUBJECT/PROJECT: OTAY WATER DISTRICT 'S CODE OF ORDINANCES RELATED TO A
CUSTOMER 'S REQUEST FOR ADMINISTRATIVE REVIEW
COMMITTEE ACTION:
The Finance , Administration and Communications and the Engineering,
Operations and Water Resources Committees met on March 19 and March
21, 2012, respectively to review this item . The Committee supports
presentation to the full Board for their consideration .
NOTE:
The "Committee Action" is written in anticipation of the Committee
moving the i tern forward for Board approval . This report will be sent
to the Board as a committee approved item, or modified to reflect any
discussion or changes as directed from the committee prior to
presentation to the full Board.
ORDINANCE NO . 532
AN ORDINANCE OF THE BOARD OF DIRECTORS
OF THE OTAY WATER DISTRICT
AMENDING SECTION 72 , PENALTIES AND DAMAGES ,
OF THE DISTRICT'S CODE OF ORDINANCES
Attachment B
BE IT ORDAINED by the Board of Directors of Otay Water
District that the District's Code of Ordinances , Section 72 ,
Penalties and Damages , be amended as per Exhibit 1 to this
Ordinance .
NOW, THEREFORE , BE IT RESOLVED that the new proposed
Section 72 of the Code of Ordinances shall become effective upon
adoption by the District's Board of Directors .
PASSED , APPROVED AND ADOPTED by the Board of Directors of
the Otay Water District at a regular meeting duly held this 4th
day of April, 2012 , by the following vote :
AYES :
NOES :
ABSENT :
ABSTAIN :
President
ATTEST :
District Secretary
1
Exhibit 1
SECTION 72 PENAL TIES AND DAMAGES
72.01 GENERAL
A. User and Owner Responsibility. Each person receiving service or that
owns a property that receives service, agrees to pay the District any applicable fees and
charges. Such persons are also responsible for all costs and damages in connection with
any violation ofthis Code relating to their service.
B. District Not Liable. The District shall bear no liability for any cost,
damage, claim or expense (incurred by District or any responsible party or third party)
arising from or related to any violation, including but not limited to costs, damages,
claims or expenses arising from any corrective action of the District, including but not
limited to the removal, confiscation, disposition or use of any device, equipment,
improvement or material encroaching on any District property or used in connection with
any other violation.
C. District Obligation to Collect Damages. Pursuant to Government Code
Section 53069.6, the District shall take all practical and reasonable steps, including
appropriate legal action, if necessary, to recover civil damages for the negligent, willful,
or unlawful damaging or taking of property of the District.
D. Assessment of Damages. Actual damages resulting from any violation,
including late payment or failure or refusal to pay for service and any interest thereon,
may be assessed and collected as part of a customer's monthly bill to the extent allowed
by Jaw. The District will separately invoice any actual damages not assessed on a
monthly bill, including any damages assessed against any responsible person who is not a
customer.
E. Unpaid or Partially Paid Bills. Bills issued by the District are due, in full,
as provided in such bills. Failure to timely pay bills in full may lead to a reduction,
suspension or termination of service, as provided in the paragraph below, in Section 34 of
this Code or pursuant to other provisions of this Code or applicable law. In addition, if
bills remain unpaid, in full or in part, the District may lien the delinquent real property
and may assess damages and penalties established by District or otherwise authorized by
Jaw.
F. Notice of Violation. Notice and a reasonable period of time to correct a
violation will be given prior to the termination, reduction or suspension of service or the
imposition of any administrative fine. However, the District may, without notice, correct
any condition or violation that endangers the health or safety or impairs any District
service, facility or property or is otherwise determined by the District to require
immediate action.
1. Investigative Procedures. If a possible violation is identified,
observed or reported, the District will contact the allegedly responsible party to
investigate. If the violation is in fact occurring, the District staff will issue a notice of
violation or otherwise inform the responsible party that corrective actions must be taken
within a period of time deemed reasonable by the District, taking into consideration the
nature of the violation and the potential damage that can arise if the violation continues.
2. Content of Notice of Violation. The notice will describe the
violation, indicate the actions that must be taken, and indicate the date by which those
actions must be taken. Unless immediate action is required, the notice will provide a
reasonable time for the violation to be corrected. The notice will also specify the amount
of any delinquency, actual damages or other amounts due the District, if any, and the
telephone number of a representative of the District who can provide additional
information.
3. No Notice Required; District Action. If the District determines
that immediate or prompt correction of the violation is necessary to prevent waste or to
maintain the integrity of the water supply, systems or facilities of District or for the
immediate protection of the health, safety or welfare of persons or property, or for any
other compelling reason, the District will take any action deemed necessary (including
suspension, reduction or termination of service; locking or removal of meters; or repairs
of any improvements) and a notice will be left at the affected parcel specifying any
further corrective actions required. Any costs incurred by District will be the
responsibility of the responsible party.
4. Notice; Failure to Comply. The responsible party will be given an
opportunity to correct the violation and to provide verbal, written and pictorial
exculpatory evidence. If such evidence does not exonerate the responsible parties and if
the violation(s) are not corrected to the satisfaction of the District within the time
provided, the District may assess cost and penalties, administrative fines and may take
any other action or pursue any other remedy available. Furthermore, if the violation
concerns any service requirement or facility, or to prevent waste or protect the integrity
of the system or the health and safety of the public, the District may suspend, reduce or
terminate service to the extent permitted by law.
G. Service Termination, Suspension or Reduction; Removing or Locking
Meters. Service may be reduced, suspended or terminated for failure to pay for service or
in connection with a violation of this Code or applicable law. Termination, suspension or
reduction of service will be as follows:
1. Notice Prior to Termination, Suspension or Reduction of Service.
Except as provided in Paragraph F, above, or in other provisions of this Code or
applicable law, not less than ten (1 0) days notice will be given prior to the date service is
reduced, suspended or terminated; provided that, where service is terminated due to
failure to comply with the terms of an amortization agreement, under Section 34 of this
Code, only forty-eight ( 48) hours prior notice is required. The notice will be delivered to
the affected parcel and, if the owner of record does not reside in the affected parcel, a
copy ofthe notice will be forwarded to the owner's address on record with the assessor's
office via any available means, such as personal delivery, certified mail return receipt
requested, email, fax or fed-ex.
2. Termination for failure to pay for service. The district may
discontinue any or all service due to failure to pay the whole or any part of a bill issued
by the District. In connection with termination of water service, the provisions of Section
60373 of the Government Code, or any other appropriate provision of Jaw, or as set forth
in Section 34 of this Code of Ordinance, will be followed. In connection with sewer,
Section 71672 of the California Water Code or other applicable requirements will be
followed.
H. Reconnection or Reinstatement of Service, Unlocking or Reinstalling
Meters. If service is reduced, suspended or terminated for any reason, each of the
following conditions applicable to the situation must be satisfied or arrangements
satisfactory to the General Manager or a designee must be made before service is
reinstated:
1. Outstanding amounts for service bills, including any service
charges for benefits derived from the violation, must be paid;
2. All required deposits (including any security deposits), actual
damages, fines, costs, charges and penalties must be paid;
3. Any amounts due for the removal, locking, servtcmg, repair or
replacement of meters or other facilities required for service, must be paid at the rates in
effect at the time of reinstatement, as set forth on Appendix A to this Code or other
schedule of fees then in effect;
4. All violations and related damages or conditions must have been
corrected and or repaired and evidence satisfactory to the District to that effect and
demonstrating that it is safe to reinstate service, must have been provided to and
approved by the District; and
5. If the service was originally in the name of a tenant, the District
may require the owner of the parcel to request the service account under his or her name
and responsibility.
I. Owner Responsibility for Account. Owners may be required to deliver to
the District a form of acknowledgement or authorization for service to a tenant. In
addition, if a tenant engages in any violation or if the District has reduced, suspended or
terminated any service to a tenant three (3) times within any twenty-four (24) month
period or the tenant fias---fails or refuses to comply with the terms of payment
arrangements with the District four ( 4) times, the District reserves the right to demand
that the property owner take responsibility for services to the tenant-occupied parcel. The
General Manager or a designee shall develop procedures to implement these
requirements.
J. Right of Access to Customer's Premises; Interference. If any person
refuses to consent to an investigation of a possible violation, or prevents or refuses to
allow access to District staff or authorized representatives to any premises or facility
during an investigation or in connection with any termination, reduction or suspension of
service, the District may seek an injunction or a warrant, as provided in Section 71601 of
the Water Code.
K. Other Remedies. In addition to the actions contemplated in this Section,
the District may seek other remedies authorized or required by any applicable law,
including imposing an administrative fine, pursuant to Section 72.05, or pursuing other
available civil or criminal remedies.
72.02 CERTAIN SPECIFIC OPERATIONAL VIOLATIONS
A. Unauthorized Connections. The District shall bear no cost or liability for
any unauthorized connection. In addition to other remedies, the District may demand that
the unauthorized connection be immediately disconnected. In the alternative, or if the
customer refuses to take immediate action, the District may immediately disconnect,
remove, destroy or dispose of any parts installed or used for the unauthorized connection,
all at the expense of the customer and any other responsible party. To the extent allowed
by law, the District may also, immediately or as otherwise deemed advisable by District,
terminate service to any parcel and any person that allows, uses or benefits from such
unauthorized connection.
B. Water waste. No customer shall knowingly permit leaks or other wastes
of water, including but not limited to allowing runoff on any portion of his or her
property, engaging in non-permitted uses of water, or failing to take corrective action
after notice of any leaks or water waste is given. If the District determines that water
waste is occurring, the District may:
1. Without prior notice, repair or replace any District controlled
facilities, at the cost ofthe person identified as the responsible party, if any.
2. If the water waste is due to a condition within the customer's
property or facilities, the District may (i) require the customer to repair or replace the
affected facilities, immediately or within a reasonable time, depending on the situation; or
(ii) if necessary to prevent further waste, adjust, lock or remove the meter. If any repair
or replacement required is not timely completed, the District may perform the repair or
replacement at the cost of the customer or may terminate service without further notice.
C. Meter Tampering. In addition to other remedies, tampering may be
prosecuted as a crime under Section 498 of the California Penal Code, as set forth in
Section 73.01 of this Code.
D. Fire Service Violation. Such service is subject to compliance with all
provisions ofthis Code and the law concerning water service and failure to comply with
such provisions may result in the reduction, suspension, termination or disconnection of
water service for fire protection, without any liability to District. Furthermore, illegal
connections or other violations relating to fire service may result in steep fines and may
be prosecuted as crimes.
E. Backflow prevention, screens and other safety devices. If service
requirements include the installation, testing and maintenance of backflow prevention
devices (Section 23 .04 of this Code), screens or other safety operational items, in addition
to , or in lieu of, other remedies provided herein, the District may apply any of the
remedies under Section VI and VII of the District's Ordinance No. 386, as amended or
renumbered. Furthermore, violations relating to backflow testing may be prosecuted as
set forth in Section 73.01 of this Code.
F. Violation Concerning Recycled Water Service. In addition to any fine,
revocation, suspension or penalty imposed under Section 26 in connection with any
violation of said Section, including permit suspension or revocation under Section
26.07.C, the District may (i) suspend or terminate water and or sewer service to the
property, the owner and/or the operator; (ii) require payment by the owner for any
damage to the District facilities, reimbursement to District of costs and expenses, or fines
imposed on the District in connection with such violation; or (iii) prosecute the
responsible party under any applicable provision of this Code, the Water Code or the
Penal Code.
G. Violation Concerning Sewer Service. In addition to any other remedy,
fine or penalty, failure to comply with any requirements of sewer service, including
requirements for the preservation of public health, safety and welfare and including but
not limited to the requirements established under Article II, Chapter 2, Sections 50 to
56.04 of this Code, as hereafter amended or as supplemented by other District Rules and
Regulations for Sewer Service, the California Health and Safety Code, the California
Code of Regulations, Titles 17 and 22, and Water Agency Standards. Furthermore, may
be prosecuted as set forth in Section 73.01 of this Code.
72.03 VIOLATIONS OF CONSERVATION OR OTHER WATER USE
RESTRICTION PROVISIONS
The District has established and published conservation measures set forth in
Section 39 ofthe Code. Commencing with declared Level 2 conditions, the District may
assess water shortage rates and charges previously adopted. In addition, after notice of
the declared water shortage level is given as required by law, any person who uses,
causes to be used, or permits the use of water in violation of such requirements (other
than a person who qualifies for an applicable exemption, if any) may be assessed
damages, penalties and fines.
A. Additional provisions concerning use restriction violations. In addition to
payment of actual damages, the following may apply to a violation of any water
conservation or water use restriction measure:
1. A change on the account holder shall not cause the account to
revert to pre-violation status unless the new account holder provides evidence that
it is not related to the violator and had no responsibility for the prior account.
2. The District may reduce, suspend or terminate service to any
parcel immediately and without further notice if the violation involves or results
in water waste.
3. Willful violations of mandatory conservation measures described
in Section 39 of this Code may be enforced by terminating service to the property
at which the violation occurs, as provided by Section 356 of the California Water
Code.
B. Prosecution for violations of conservation measures. Pursuant to Section
377 and 71644 of the California Water Code, each violation of the District's
Conservation Ordinance, set fort in Section 39 of this Code, may be prosecuted as a
misdemeanor, punishable by imprisonment in the County jail for no more than thirty (30)
days or by a fine, as set forth in Section 72.05, below.
72.04 VIOLATIONS INVOLVING DISTRJCT REAL PROPERTY
A. Removal, Disposition and Costs. The District has absolute discretion to
determine the corrective action required in connection with any violation involving
District property, including requiring the owner of any unauthorized encroachment or
improvement to remove it or taking action to remove it immediately and without notice.
Any improvements or uses placed within or on any District property or right of way are
subject to the following:
1. Costs and Damages. All costs and damages shall be the
responsibility of the customer and any other responsible party. Furthermore, the District
shall not be liable for costs to repair or replace any unauthorized encroachment or
improvement, or any property, improvement or thing used in connection with, supported
by or attached thereto.
2. Burden of proof. The burden shall be on the user to prove to the
District's satisfaction, the authority, scope and extent of any right to access, improve or
use the District's property. Only written evidence in the form of an agreement, deed,
statute, recorded or official map or plat, governmental regulation or other right may be
used to establish such claim of right.
B. Notice. In connection with any improvement or use that does not
constitute a health hazard and does not interfere with the District's use of its property, the
District will give written notice of up to sixty (60) days, at the discretion of the General
Manager, to cease, terminate, eliminate or remove the offending improvement, structure
or use. Any written notice will be given to the responsible party or posted at the property
where the trespass or encroachment occurs. If the responsible party is not the owner of
any real property affected by the violation, the District will also give notice to the owner
of record at the address on record with the assessor's office via personal delivery,
certified mail return receipt requested or via fed-ex.
C. No notice. In connection with any improvement that constitutes a health
hazard or interferes with the District's use of any District property, the District will take
any immediate action deemed necessary by the General Manager.
D. Fines. In addition to all other remedies provided under this Article or
under applicable law, the District may impose a fine as provided in Section 72.05.
E. Separate violation. A separate violation will accrue for each day after the
deadline to cease, terminate, eliminate or remove the trespass or encroachment, as set
forth on the notice.
72.05 ADMINISTRATIVE FINES
Any administrative fines established herein shall be in the nature of civil penalties
and shall be additional and cumulative to any other admiRistratiYe fines, damages or any
other charges established by the District and are also separate from and cumulative to any
other civil or criminal penalty, fine or remedy. In connection with each violation, the
District may assess a fine up to the amount specified in the schedule of fines for the type
offine being imposed.
Each day during which a violation is in effect constitutes a separate violation and
violations are cumulative while the account is in the name of the original violator or any
person that participated in or benefited from the violation. Except where the violation
creates an immediate danger to health or safety, the person responsible for the continuing
violation will be provided a reasonable period of time to correct or otherwise remedy the
violation(s) prior to the imposition of administrative fines.
A. Assessment of Fines for Violations of Conservation or Water Use
Restriction Provisions. Any responsible party who fails to comply with any conservation
or use restriction measure is subject to the assessment of an administrative Type I fine,
added to account.
B. Assessment of Fines for Technical Violations of Other Code Provisions.
Any person who engages in a violation of any provision of this Code is subject to the
assessment of a separate administrative Type I fine.
C. Assessment of Fines for Other Violations. If a higher limit is not
otherwise specified in this Code or allowed by law, any act or omission with respect to
any District service, system, facility or property, is subject to the following administrative
fines:
1. A Type I or Type II fine, at the option of the District, for a
violation involving theft, fraud or misappropriation of District water, services or
property;
2. A Type II or Type III fine, at the option of the District, for a
violation concerning sewer service;
3. Up to Type II or Type IV fine, at the option of the District, for a
violation concerning recycled water service; and
4. Up to the amount specified on any sign or a Type I or Type II fine,
at the option of the Di strict, in connection with any trespass on District property
in violation of a sign prohibiting trespassing.
Nothing in this code or the limits specified per violation shall prevent the
imposition of separate fines for each separate violation committed during a single act.
For example, in connection with a violation concerning sewer service that involves a
trespass on any portion of the District's real property, separate fines may be assessed for
the trespass, the damage to District personal property, the damage to District real
property; the damage to the sewer system and the activity resulting on all the damages.
D. Types of Fines. The amount for each type of fine specified below may
increase automatically to reflect any higher amount authorized by law or regulation. The
District has determined to establish four types of fines based on the nature of the
violation, as follows:
1. Type I Fine. Any violation that does not have the potential to
endanger the health or safety of the public. The fine will not exceed the amount
specified in the California Government Code, Section 36900(B) or Appendix A
for a first, second, third or each additional violation of that same ordinance or
requirement within a twelve-month period.
2. Type II Fine. Any violation that has the potential to endanger the
health or safety, including illegal connections or water theft. The fine will not
exceed the amount specified on Appendix A per each day the violation is
identified or continues.
3. Type III Fine. Pursuant to Section 5411 of the Health and Safety
Code, any person who without a discharge permit, or in violation thereof, causes
or permits a discharge of sewage or other waste in a manner resulting in
contamination, pollution or nuisance, and fails to immediately notify the local
health officer of the discharge, is subject to a fine up to the amount specified on
Appendix A per each day the violation is identified or continues.
4. Type IV Fine. Pursuant to Section 116820 of the Health and
Safety Code, a person who violates a backflow requirement, or knowingly files a
false statement or report required by a local health officer, is subject to a fine up
to the amount specified on Appendix A per each day the violation is identified or
continues.
E. Collection of Fines. Any fines assessed by the District are payable
directly to the District, are due upon issuance, or as otherwise indicated on the notice or
bill, and are delinquent 30 calendar days from the due date.
F. Notice of Administrative Fine; Content. Notice of an administrative fine
pursuant to this section will contain the following information: (i) a brief description of
the violation(s); (ii) the date and location of the violation(s); (iii) a brief description of
corrective action(s) required, as appropriate; (iv) a statement explaining that each day the
violation continues constitutes a new violation; (v) in the case of violations creating an
immediate danger to health or safety, the amount of civil penalty assessed or, in all other
cases, the amount of civil penalty to be assessed if the violation(s) are not corrected
within the time provided by the notice; (vi) a statement of the procedure for payment and
the consequences of failure to pay; (vii) contact information for the District employee
that should be contacted to discuss the notice and provide evidence of compliance; and
(viii) a brief statement describing the responsible party's right to request an
evaluatioAeoAsideFatioAAdministrative Review, pursuant to subsection (G), below.
G. Option for Administrative Revie~1o Request BoaFd CoAsideFatioA.
Persons recetvmg a Notice of Administrative Fine may request -Beafd
eoAsideFatioAadministrative review by the General Manager of the District or his/her
designee. The request for BoaFd eoAsideFatioAadministrative review must be in writing,
must be received by the District Secretary within ten (1 0) calendar days from the date of
the notice and must include contact information, an explanation of the basis for the
request, whether or not a meeting is requested, and any supporting documentation said
person(s} wish to provide to the -BeafdGeneral Manager or his/her designee for review
and consideration. Where a meeting is requested, t+he District will provide notice of the
date, time and place for BoaFd consideration by the General Manager or his/her designee
by electronic means, facsimile or first class mail sent to the return addressee indicated on
the written request. The General Manager or his/her designee may request a meeting if
he /she deems a meeting is required.
Any fines assessed pursuant to the Notice of Administrative Fines must be timely
paid notwithstanding the filing of a request for BefH'd administrative review.
At the time of BoaFd consideration by the General Manager or his/her designee,
the petitioner may present witnesses, documents or other evidence to show good cause
why the fine should not be imposed. In accordance with the provisions of Government
Code Section 53069.4, the BoaFd 's General Manager's, or his/her designee's,
determination shall be final and conclusive, and shall be deemed confirmed, if not
appealed within 20 calendar days to the Superior Court of the County of San Diego.
AGENDA ITEM 4
TYPE MEETING:
SUBMITTED BY:
STAFF REPORT
Regular Board MEETING DATE:
Lisa Coburn-Boyd PROJECT:
Environmental Compliance
Specialist
Ron Ripperger
Engineering Manager
APPROVED BY: l:gj Rod Posada, Chief of Engineering
l:gj German Alvarez, Asst . General Manager
l:gj Mark Watton , General Manager
April 4 ' 2012
P2382-DIV. NO. 5
001000
SUWECT: Purchase of a Confined Space Training Prop for the Heartland
Regional Fire and Public Safety Training Facility for Joint
Use by Otay Water District and Fire District Personnel
GENERAL MANAGER 'S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
authorize the funds for the purchase and installation of a Confined
Space Training Prop at the Heartland Regional Fire and Public Safety
Training Facility (Heartland Training Facility) located on the
District's Regulatory Site in the amount of $80,000 (See Exhibit A
for location of the Training Facility).
COMMITTEE ACTION:
See Attachment A.
PURPOSE :
To obtain Board authorization for the funds , in the amount of
$80,000 , to purchase and install a confined space training prop at
the Heartland Training Facility. This prop will be available for
training of District employees and Fire District and Emergency
Services personnel .
ANALYSIS:
On December 21 , 2007 , San Miguel Fire District (San Miguel) entered
into a Ground Lease and Joint Use Agreement with the District.
According to this Agreement, San Miguel was to construct a state-of-
the-art regional training facility at the District's Regulatory site .
Construction of the facility began in May 2011 . Also, in May 2011,
San Miguel entered into an agreement with the Heartland Fire Training
Facility Authority for the operation of the training facility now
known as the Heartland Regional Fire and Public Safety Training
Facility.
The construction of the training facility is being done in two phases
because of funding constraints . Phase One construction is underway
and includes site grading, walls , installation of all utilities , and
the construction and/or installation of several training props . The
props to be installed in Phase One include the bridge prop, the
trench training prop, an electrical vault training prop (provided and
to be installed by SDG&E) and a confined space training prop. The
confined space prop will provide valuable training opportunities for
District personnel at an easily accessible site. At the present
time , District staff must arrange for confined space training at
Helix Water District. Exhibit B shows the location of the various
props and buildings within the training facility site and the phase
in which they will be constructed . Exhibit C is a photograph of a
similar confined space prop at the Escondido Fire Training Facility .
FISCAL IMPACT: ~ Joe Beachem, Chief Financial Officer
The funding for the Confined Space training prop will be taken from
P2382 -Safety and Security Improvements . The total budget for
P2382 , as approved in the FY2012 budget is $3 ,397 ,000 . Total
expenditures , plus outstanding commitments to date, including the
funding of this training prop , are approximately $1 ,795 ,657 . See
Attachment B for budget detail .
Based on a review of the financial budget , the Project Manager
anticipates that the budget for CIP P2382 will be sufficient to
support this Project .
Finance has determined that 40% of the funding is available from the
Expansion fund and 60 % of the funding is available from the
Betterment Fund .
2
STRATEGIC GOAL:
This project supports the District's Mission statement , "To provide
customers with the best quality water, wastewater and recycled water
service in a professional, effective , and efficient manner ."
LEGAL IMPACT:
None .
LCB/RR :jf
P:\WORKING\CIP P2382 -Safety and Security Irnprovements\Staff Reports\BD 04-04-12, Staff Reports, Confined Space Prop, (LCB-RR) .docx
Attachments : Attachment
Attachment
Exhibit A
Exhibit B
Exhibit C
A -Committee Action
B -Budget Detail
Location Map
-Training Facility Site Plan
-Confined Space Prop Photograph
3
SUBJECT/PROJECT:
P2382-001000
ATTACHMENT A
Purchase of a Confined Space Training Prop for the
Heartland Regional Fire and Public Safety Training Facility
for Joint Use by Otay Water District and Fire District
Personnel
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee reviewed
this item at a meeting held on March 21 , 2012 . The Committee supported
Staff's recommendation.
NOTE:
The "Committee Action" is written in anticipation of the Committee
moving the item forward for Board approval . This report will be sent
to the Board as a Committee approved item, or modified to reflect any
discussion or changes as directed from the Committee prior to
presentation to the full Board .
•
ATTACHMENT B
SUBJECT/PROJECT:
P2382-001000
Purchase of a
Regional Fire
by Otay Water
Confined Space Training Prop for the Heartland
Training Facility for Joint Use
District Personnel
and Public Safety
District and Fire
Budget Com milled
3,397,000
Safety/Security Upgrades
Addl subprojects
Expenditures
Outst•ndlng
Commllment&
Forec•61
Projected Fln•J
Cost Vendor/Comments
-·---~~;-;-p-;~~-A~d·S~t;;;·riptl~;,;···-· __ .!.?.~~~-·-·-----··-··-··-~-~~~~ -·-··-.. ····------:·-.. ----·------1~t-uNIO'N .. TRiBUNEPUBUSHING-60-------··-----·-·
96 96 96 SAN DIEGO DAILY TRANSCRIPT
Annual Support Maintenance For Softwa 38,322 3,333 34,989 38,322 HENRY BROS ELECTRONICS INC
Consultant Contracts
625 625 625 PEXIS CORPORATION
Computer Training 17 17 17 PETTY CASH CUSTODlAN
Safety Training 1,000 1,000 1,000 JB SAFETY & RESCUE SERVICES
562 562 562 UNITED RENTALS NORTHWEST INC
Gas Detectors
Infrastructure Equipment & Supplies
7,156 7,156 7,156 UNITED RENTALS NORTHWEST INC
1,012 1,012 1,012 CALOLYMPIC SAFETY
-·~~~structure Equipment ~-~!!!'rials --· _, __ 2::~:.::=:'::..;1. --·---2~:~~ -·--··--·:--------27,394 EMCOM ELECTRONICS SYSTEMS INC
2,091 WESCO DISTRIBUTION INC
34,989 34,989 34,989 HENRY BROS ELECTRONICS INC
Security Services 574 574 574 CALOLYMPIC SAFETY
970 970 -970 ALCEM FENCE COMPANY INC --·····------------····-··-··-··-·--·----· ----s98':92'0 ...... ·-----·-5-98:920" ---·-·-·-.. ··-··:·----............ _598-,9-20---S-TA-NOARiJE_CE_c_T_R_o_N_ICs-·-·--.. -··--------··-·
354 354 354 MARWEST ACCESS CONTROLS
6,346 6,346 6,346 ADVANCED ELECTRONIC SOLUTIONS2
3,875 3,875 3,875 PEXIS CORPORATION
4,875 4,875 4,875 ADVANCED COMMUNICATIONS
1,215 1,215 1,215 GRAYBAR ELECTRIC CO INC
20,490 20,490 20,490 PRIME ELECTRICAL SERVICES INC
5,973 5,973 5, 973 SPECIALTY DOORS AND AUTOMATION
14,109 14,109 14,109 BRAULT INC
4,476 4,476 4,476 NEAL ELECTRIC CORP
Service Contracts 3,995 3,995 3,995 MSA SYSTEMS INC
97,354 62,365 34,989 97,354 HENRY BROS ELECTRONICS INC
2,300 2,300 2,300 ADVANCED COMMUNICATIONS
1,980 1,980 1,980 SAN DIEGO CONSTRUCTION WELDING
459 459 459 SPECIALTY DOORS AND AUTOMATION
Safety Equipment M ise Materials 135 135 135 MARWEST ACCESS CONTROLS
2,365 2,365 2,365 STONEHOUSE SIGNS INC
824 824 824 IDENTICARO SYSTEMS
2,516 2,516 2,516 CALOLYMPIC SAFETY
Building And Grounds Materials
721 721 721 C W MCGRATH INC
1,698 1,698 1,698 T M PEMBERTON
120 120 120 CONSTRUCTION RESIDUE RECYCLING
6,200 6,200 6,200 FRANK & SON PAVING INC
578 578 578 US BANK CORPORATE PAYMENT
14,599 14,599 14,599 ENTERPRISE SECURITY INC
16,913 16,913 16,913 ACCESS SECURITY CONTROLS
For Ops Only -Contracted Services 4,484 4,484 4,484 ACCESS SECURITY CONTROLS
450 450 450 WALTCOMM
8,775 8,775 8,775 ADVANCED COMMUNICATIONS
Security Vulnerability Study 92,008 92,008 92,008 EMA, INC.
Onslte Training 18 18 18 GREYSTONE ENVIRONMENTAL
Reimbursement from EPA (115,000) (115,000) (115,000)
x30074 208,843 208,843 208,843
Construction Contract 30,000 30,000 30,000 ADVANCED INDUSTRIAL SERVICES
Confined Space Prop 80,000 80,000 80,000 EC CONSTRUCTORS
Total Safety/S ecurity Upgrades 1,792,840 1,524,299 268,541 1,792,840
Fire Protection
Labor 191 191 191
For Ops Only-Contracted Services 2,626 2,626 2,626 AZTEC FIRE & SAFETY
Total Fire Protection 2,817 2,816 2,816
Grand Total 1,795,657 1,527,116 268,541 1,795,657
NTS
OTAY WATER DISTRICT
HEARTLAND REGIONAL FIRE AND PUBLIC SAFETY TRAINING FACILITY
LOCATION MAP CIP P2382
EXHIBIT A
~ 0
"' . iii :;:
X ... I N
I ...,
N I
"' "' ~ a. w 0:
... ...
~ II) / ,_ t-:J u
"" ... ..., z z <i
f!:
~
"" ~
(Phose 1) ~ ,
CONFINED S~~~E \ _ I {ROofl
TRAINING p ~ 1 ~
• (Phose 2)
(Phose 2)
FIRST RESPONDER
TRAINING AREA
D (Phose 1)
SDG&E
VAULT PROP
(Phose 2)
0 COLLAPSED
WALL PROP
(Phose 2)
TRAINING
TOWER
RESERVE
APPARATUS
BUILDING
(Phose 2)
(Phose 2)
(Phose 2)
~ g FLAMABLE
LIQUID PROP (Phose 1) PUMP
TRENCH HOUSE (Phose 1)
OVERPASS
BRIDGE
SIMULATION
RESCUE BLDG.
PROP I I
~o_....
-o
7 I
S'C' ~~
BALANCE OF SITE PAVING: (Phose 2)
et-------------~------------------------------------------------------------------------------------------~
0:
~ w ~ N a. OT A Y WATER DISTRICT
HEARTLAND REGIONAL FIRE AND PUBLIC SAFETY TRAINING FACILITY
SITE PLAN
CIP #P2382
EXHIBIT 8
~ "/ N u
-~ .c ~ w -;;; t: 0
" ~~--------------------------------------------------------_, !!! ~
6 z ;;:: "' ~
OTAY WATER DISTRICT
HEARTLAND REGIONAL FIRE AND PUBLIC SAFETY TRAINING FACILITY
CIP P2382
~~--------------------------------------------------------~ EXHIBIT C
AGENDA ITEM 5
STAFF REPORT
MEETING DATE: April 4 , 2012 TYPE MEETING: Regular Board
SUBMITIED BY: Bob Kennedy PROJECT NO./ DIV. NO. 2
Sr . Civil Engineer SUBPROJECT: R2 07 7-001103
APPROVED BY: (8J Rod Posada, Chief, Engineering
[8J German Alvarez , Asst . General Manager
[8J Mark Watton, General Manager
SUBJECT: Reimbursement Agreement with International Industrial Park,
Inc ., a California Corporation, Project location Alta Road &
Lone Star Road, for a Portion of the Capital Improvement
Program Project, RecPL-24-Inch 860 Zone, Alta Road/Airway Road
(R2077)
GENERAL MANAGER'S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
approves the request for the General Manager to execute a
Reimbursement Agreement with International Industrial Park, Inc ., a
California Corporation, Project location Alta Road & Lone Star Road,
for the construction of a 24-inch recycled water pipeline on Alta
Road, north of Lone Star Road, for a portion of the Capital
Improvement Program Project, RecPL-24-Inch 860 Zone , Alta Road/Airway
Road (R2077), in an amount of $930 ,962 .16 (see Exhibit A-1 within the
Reimbursement Agreement for Project location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board authorization for the General Manager to enter into a
Reimbursement Agreement (see Attachment C) with International
Industrial Park, Inc., a California Corporation, for reimbursement of
construction costs for a 24-inch recycled water pipeline on Alta Road
North, north of Lone Star Road, for a portion of the Capital
Improvement Program Project, RecPL-24 -Inch 860 Zone, Alta Road/Airway
Road (R2077), in an amount of $930,962 .16.
ANALYSIS:
International Industrial Park, Inc ., as part of its CG 4754 Project,
is widening portions of Alta Road , north of Lone Star Road . As part
of these improvements, the Developer has agreed to install
approximately 1 ,510 lineal-feet of 24-inch steel recycled pipe and be
reimbursed by the District .
Since the Developer is currently required to improve Alta Road, north
of Lone Star Road , the Developer has agreed to install a portion of
the 24-inch steel recycled water pipeline adjacent to its MUP 98-001 -
W1 Phase 2B project and enter into a Reimbursement Agreement
(Agreement) per Policy No . 26 (see Exhibit B within the Agreement)
with the District . Staff negotiated with the Developer to provide
the Developer with cathodic design and welding inspection .
Additionally , the District has agreed to use actual costs rather than
the 5% and to reimburse the Developer via progress payments on a
monthly basis . See Exhibit A-2 within the Agreement which depicts
the total of $930 ,962 .16 corresponding to the maximum construction
and estimated soft costs for this Project. The soft costs to be
reimbursed to the Developer are $29 ,470 or 3% of the total Project
cost .
The District will have Valley Construction Management (VCM) monitor
the contractors work and facilitate the coordination and cooperation
between District, Contractor , and Developer .
In compliance with Policy No. 26 , the Developer has received three
responsive bids for the pipeline construction and submitted copies to
the District . Staff evaluated and certified that the bids are in
compliance with Policy No . 26 requirement . They are as follows :
CONTRACTOR BID AMOUNT
Basile Construction $886 ,492 .16
TC Construction $921 ,183 .50
CCL Contracting $1 ,012 ,119 .00
Bert W. Salas $1 ,044 ,852 .00
Cass Construction $1 ,351,806 .00
FISCAL IMPACT: ~ Joe Beachem, Chief Financial Officer
The approved total budget for CIP R2077 , as approved in the Fi scal
Year 2012 budget, is $4 ,500 ,000 . Expenditures to date are
$1 ,976,409 . Total commitments to date , including this Agreement are
approximately $2 ,911 ,590 . (See Attachment B for budget detail.)
The Project Manager anticipates that , based on the attached financial
analysis , the budget will be sufficient to support this Project .
Finance has determined that 100% of the funding is available from the
Expansion Fund .
2
STRATEGIC GOAL:
This Project supports the District 's Mission Statement , "To provide
the best quality of water and wastewater service to the customers of
the Otay Water District in a professional , effective, and efficient
manner," and the District 's strategic goal , "To satisfy current and
future water needs for potable , recycled, and wastewater services."
LEGAL IMPACT:
None .
BK/RP :jf
P:\Public-s\Staff Reports\2011\BD 4-4-12, Staff Report, International Indust rial Park, Inc Reimbursement
Attachments : Attachment A -Committee Action
Attachment B -Budget Detail
Attachment C -Reimbursement Agreement w/Exhibits
Exhibit A-1 -Location Map
Exhibit A-2 -Construction and Soft
Costs Reimbursable Estimate
Exhibit B -District Code of Ordinances
Policy No. 2 6
Exhibits C-1 & C-2 -Description of CIP
R2077
3
SUBJECT/PROJECT:
R2077 -001103
ATTACHMENT A
Reimbursement Agreement with International Industrial Park,
Inc , a California Corporation, Project location Alta Rd &
Lone Star Road, for a Portion of the Capital Improvement
Program Project, RecPL-24-Inch 860 Zone, Alta Road/Airway
Road (R2077)
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee reviewed
this item at a meeting held on March 21 , 2012 . The Committee
supported Staff 's recommendation .
NOTE:
The "Committee Action" is written in anticipation of the Committee
moving the item forward for Board approval . This report will be sent
to the Board as a Committee approved item, or modified to reflect any
discussion or changes as directed from the Committee prior to
presentation to the full Board .
ATTACHMENT B
Otay Water District Date Updated: March 07,2012
RecPL-24-lnch, 860 Zone, Alta Road-Alta Gate/Airway
Outstanding Projected Final Budget Committed Expt~nditures Commitment& Vendor/Comments
4,500,000 Fomcast Cost
Plannina
Labor 85,034 85,034 85,034
Professional Legal Fees 1,737 1,737 -1,737 GARCIA CALDERON & RUIZ LLP
Other Agency Fees 46 46 -46 DEPARTMENT OF PUBLIC HEALTH
Consuttant Contracts 38,003 38,003 -38,003 LEE & RO INC
67,553 67,553 -67,553 JONES & STOKES ASSOCIATES INC
Service Contracts 1,182 1,182 -1,182 UNION TRIBUNE PUBLISHING CO
Contracted Services 360 360 -360 KIRK PAVING INC
Total Planning 193,916 193,916 -193,916
Design
Labor 429,327 429,327 429,327
Mileage Reimbursement 21 21 -21 PETTY CASH CUSTODIAN
Office Supplies 64 64 -64 PETTY CASH CUSTODIAN
Professional Legal Fees 104 104 -104 GARCIA CALDERON & RUIZ LLP
481 481 -481 STUTZ ARTIANO SHINOFF
Regulatory Agency Fees 6,667 6,667 -6,667 CITY TREASURER
156 156 -156 STATE WATER RESOURCES
6,783 6,783 -6,783 COUNTY OF SAN DIEGO
Other Agency Fees 6 6 -6 PETTY CASH CUSTODIAN
Consultant Contracts 50,584 50,584 -50,584 SOUTHERN CALIFORNIA SOIL
49,380 49,380 -49,380 DARNELL & ASSOCIATES INC
27,738 27,738 -27,738 HDR ENGINEERING INC
23,139 23,139 -23,139 AEGIS ENGINEERING MGMT INC
8,000 8,000 -8,000 SAN-LO AERIAL SURVEYS
4,140 4,140 -4,140 CPM PARTNERS INC
2,275 2,275 -2,275 MWH CONSTRUCTORS INC
640 640 -640 SWINERTON MANAGEMENT
Service Contracts 6,680 2,462 4,218 6,680 REPROHAUS CORP
1,800 1,800 -1,800 SAN-LO AERIAL SURVEYS
138 138 -138 UNION TRIBUNE PUBLISHING CO
Total Design 618,122 613,904 4,218 618,122
Construction
Labor 92,634 92,634 92,634
Meals and Incidentals 16 16 -16 PETTY CASH CUSTODIAN
Professional Legal Fees 83 83 -83 STUTZ ARTIANO SHINOFF
Materials 822 822 -822 WESTBURNE SUPPLY INC
47 47 -47 CW MCGRATH INC
Inventory 1,938 1,938 -1,938 INVENTORY
Outside Services 3,180 3,180 -3,180 ALCEM FENCE COMPANY INC
50 50 -50 CW MCGRATH INC
Consultant Contracts 21,808 21 ,808 -21,808 JC HEDEN AND ASSOCIATES INC
4,930 4,930 -4,930 VALLEY CONSTRUCTION MANAGEMENT
4,653 4,653 -4,653 RBF CONSULTING
926 926 -926 CPM PARTNERS INC
700 700 -700 HDR ENGINEERING INC
Construction Contracts 870 870 -870 VALLEY CONSTRUCTION MANAGEMENT
1,029,489 1,029,489 -1,029,489 RANCHO VISTA DEL MAR
930,962 -930,962 930,962 INTERNATIONAL INDUSTRIAL PARK INC
548 548 -548 CLARKSON LAB & SUPPLY INC
Service Contracts 21 21 -21 SAN DIEGO DAILY TRANSCRIPT
Infrastructure Equipment & Mate 127 127 -127 HANSON AGGREGATES INC
178 178 -178 UNITED RENTALS NORTHWEST INC
490 490 -490 FERGUSON WATERWORKS# 1083
1,938 1,938 -1,938 COUNTY OF SAN DIEGO-DPW
Contracted Services 400 400 -400 PENHALL COMPANY
2,742 2,742 2,742 KIRK PAVING INC
Total Construction 2,099,552 1,168,589 930,962 2,099,552
Grand Total 2,911,590 1,976,409 935,180 2,911,590
ATTACHMENT C
REIMBURSEMENT AGREEMENT
RE~BURSEMENTAGREEMENT
FOR
CAPITAL ~PROVEMENT PROGRAM WATER FACILITIES
ASSOCIATED WITH R2077 RECPL-24-INCH, 860 ALTA RD-ALTA GATE/AIRWAY RD
FOR 1510 LF OF 24-INCH STEEL RECYCLED PIPELINE,
DEVELOPER PROJECT ON ALTA RD & LONE STAR ROAD (PASEO DE LA FUENTE)
FOR MUP 98-001-W1
This Reimbursement Agreement ("Agreement'') is entered into as of this __ day of
_____ , 2012, by and between the Otay Water District, a Municipal Water District formed under
the Municipal Water District Act of 1911 (''District'') and International Industrial Park, Inc., a
California Corporation, with an address at 5440 Morehouse Dr., Suite 4000 San Diego, Califumia,
92121 (''Developer''), in view ofthe following facts and for the foUowing purposes:
RECITALS
A. District's Board of Directors has adopted a Master Plan and approved a Capital
Improvement Program ("CIP'') for aU regional water facilities ("Planned CIP Facilities'') throughout
District. There are a number of Planned CfP Facilities within and adjacent to the Alta Road and Lone
Star Road (Paseo De La Fuente) Improvements fur MUP 98-001-W1 (the ''Development''), which
Developer will construct within District's service area in Otay Mesa, California.
B. lH soAAestioA w4h the Dtweloprmmt aAd the Fasilities, De'ieloper was reql:lifed to
soR~plete a SHbarea Master PlaA (the "SAMP'') HpoA whish the PlaAAed CJP Fasilities are ideAtified . If
reqHired, tRe SAMP has beeR soFApleted, is eAtitled " dated
aAd is iAsorporated hereiA by refereAse. DeYeloper will somplete tR:e PlaAAed CIP
Fasilities as ideAtified iA the SM4P, if a~·, orlaAd as depisted or dessribed iA Ex,.J....ibit attashed
~
C. Developer intends to develop its property, which will include substantial public
improvements, including the construction of certain of the Planned CfP Facilities within the
Development ("Required CIP Facilities'') as more fuUy depicted or described in Exhibits A-1 for
project location and A-2 for reimbursable estimate.
D. Developer recognizes that District will need to construct regional facilities to support this
development, typically in advance ofthe Developer paying aU capacity rees.
E. Developer shall conform to, and comply with, all of the conditions set forth in District's
current Policy 26, attached hereto as Exhibit B, with the exception ofitem numbers 6, 7, 8, and 10.
F. Developer shall comply with aU terms and conditions in the current District's Code of
Ordinances and in the District's Standard Specifications.
G. Developer agrees to encourage participation by Emerging Business Enterprises on
construction contracts related to this agreement.
H. In coordination with this Agreement, Developer and District have entered into that
certain Agreement fur Construction of a Water System dated ("Construction
Agreement') wherein Developer's obligations regarding the construction and completion of the
Required CIP Facilities are more fully set furth. The Parties acknowledge that where the terms and
conditions of this agreement conflict with the Construction Agreement on matters pertaining to
construction and completion of the Required CIP Facilities, the Construction Agreement will control.
Similarly, where the terms and conditions of the Construction Agreement conflict with this Agreement
on matters pertaining to the reimbursement of Developer by District, this Agreement will control.
OPERATIVE PROVISIONS
NOW, THEREFORE, in consideration of the above Recitals and of the promises and
agreements contained herein, and for other good and valuable consideration, the receipt and
adequacy of which is hereby acknowledged, District and the Developer do hereby promise and
agree as follows:
1. Project Cost
Developer shall design and construct, install and complete a portion of the Required CIP
facilities described in Exhibits C-1 (CIP) and C-2 (CIP) in the manner more fully set forth in the
Construction Agreement, and shall provide all funds needed for the design, construction, installation and
completion of the Required CIP Facilities with the exception of construction management and District's
direct costs including, but not limited to, District inspections and construction water. In order to remain
eligible for reimbursement as provided under this Agreement, the Required CIP Facilities must be
constructed and completed within the time provided in the Construction Agreement. Furthermore, to
remain eligible for reimbursement, Developer must construct the Required CIP Facilities in compliance
with all applicable laws, rules and regulations.
2. Reimbursement
Developer shall be entitled to reimbursement for the cost and expense of constructing and
completing the Required CJP Facilities consistent with District's Policy No. 26, with the exception of
items 6, 7, 8 and 10, and consistent with any Construction Agreement in form and function satisfactory
to District. Except as provided in Policy 26, the District will pay 100% of the reimbursement cost via
progress payments after the Board approves the request for reimbursement.
Developer shall submit a request for reimbursement in writing to District and shall attach
all documents necessary to demonstrate, to the satisfaction of District, that the work has been completed
and accepted and the costs and expenses have been actually and reasonably incurred. The necessary
documents shall include CD copies of bid documents, (ii) invoices, (iii) unconditional lien releases, and
(iv) any other documentation as requested by the District.
3. Termination
If not otherwise earlier terminated, this agreement shall terminate on the earlier of CO the
date on which the reimbursements contemplated herein have been paid, or (ii) five (5) calendar years
from the date first set forth above, which shall be the date of Board approval; provided that all
Developer's warranties and indemnifications shall remain in e:trect until terminated in accordance with
their respective terms. District may terminate this Agreement and its obligations if the General
Manager determines that Developer has failed to comply with its obligations hereunder or under the
Construction Agreement.
4. Plan Removal
Developer shall be required to adhere to District's process for submittal of improvement
plans, which includes its contractor bonding fur all facilities to be constructed, construction agreements
and project acceptance.
5. Record Keeping
Developer shall keep an accurate record of the actual cost to construct the Required CIP
Facilities fur which reimbursement is requested, in accordance with generally accepted accounting
procedures. Developer shall allow an authorized District representative, during Developer's regular
business hours and upon reasonable notice, to examine and duplicate any records relevant to verifYing
the actual cost to construct the Required CIP Facilities, including, without limitation, all contract bids
and invoices. Any changes occurring during construction shall be properly documented. Back-up
documentation shall be kept by Developer for three (3) years after the completion of the facilities and be
provided to District for its review upon its request.
6. Change Orders
No change orders will be permitted unless the change order results from an unforeseen
sub-surface condition or from a change in the work, design or specifications initiated by the District, or
other governmental agency, during the construction of the Required CIP Facilities.
7. General Provisions
a. Incorporation of Recitals and Exhibits. The recitals set forth above and all
exhibits referenced in this Agreement are hereby incorporated by reference into this Agreement
to be given the same furce and effuct as if :fully set furth herein.
b. Amendments. No amendment, modification, supplement, termination or waiver of
any provision of this Agreement shall be effuctive unless executed in writing by both parties and
then only in the specified instance and for the specific purpose given.
c. Notices. Any demand upon or notice required or permitted to be given by one
party to the other party shall be in writing. Except as otherwise provided by law, any demand
upon or notice required or permitted to be given by one party to the other party in connection
with this Agreement shall be effuctive (0 on the date a personal delivery is accepted, (it) on the
date a facsimile of the notice is sent, or on the next business day if the fax is sent after 5:00 p.m.
or on a Saturday, Sunday or holiday; provided that receipt and confirmation of the facsimile
transmission is attached to a copy of the faxed notice, (iii) on the second business day after
mailing by certified or registered United States mail, return receipt requested, or (iv) on the
succeeding business day after mailing by Express Mail or after deposit with a private delivery
service of general use (e.g., Federal Express), postage or fee prepaid as appropriate, addressed to
the party at the address shown below:
If to District:
If to Developer:
Otay Water District
2554 Sweetwater Springs Boulevard
Spring Valley, California 91978-2004
Attn: General Manager
Mr. David Wick
International Industrial Park, Inc
A California Corporation
5440 Morehouse Dr., Suite 4000
San Diego, California 92121
Telephone: (858) 623-9000 x700
Facsimile: (858) 623-9009
Notice of change of address shaD be given by written notice in the manner set furth in this
paragraph.
d. Indemnity. Developer agrees to defend, indemnifY, protect, and hold harmless
District and its governing boards, agents, officers and employees from and against any and aU
claims asserted or liability established fur damages or if1iuries to any person or property,
including injury to employees, agents or officers, which arise from or are connected with or are
caused or claimed to be caused by the negligent acts or omissions or willful misconduct of
Developer or its agents, officers or employees, in performing the Work, or any part thereo( and
aU expenses of investigation and defending against same; provided, however, that Developer's
duty to defend, indemnifY and hold harmless shaD not include any claims or liability arising from
the negligent acts or omissions or willful misconduct of District or its governing board, agents,
officers or employees. District and Developer agree that in the event of any joint or concurrent
negligence, they will apportion any established or agreed upon liability proportionate to their
respective degree of fuult.
e. Applicable Law and Venue. This Agreement and each proviSIOn herein shaD be
interpreted in accordance with the laws of the State of California. The Parties agree that the
proper venue for the resolution of any disputes under this Agreement shaD be with the Superior
Court ofthe County ofSan Diego.
f Successors in Interest. The Agreement and aU rights and obligations contained
herein shaD be in effuct whether or not any or aU parties to the Agreement have been succeeded
by another entity, and aU rights and obligations of the parties signatory to this Agreement shaD
be vested and binding on their successors in interest.
g. Counterparts. This Agreement may be executed in muhiple counterparts, each or
which counterpart, if fully executed, shaD be deemed an original. No counterpart shaD be
deemed to be an original or presumed delivered unless and until the counterpart executed by the
other party to this Agreement is in the physical possession of the party seeking enforcement
thereof
h. E:ffuctive Date. This Agreement shall not bind the parties and become effuctive
until such time as the authorized representative of Developer has executed the Agreement, and
District has approved and the authorized representative ofDistrict has executed this Agreement.
L Corporate Authority. The persons executing this Agreement on behalf of the
parties hereto represent and warrant that: CD such party is duly organized and existing; (ii) they
are duly authorized to execute and deliver this Agreement on behalf of said party; (iii) by so
executing this Agreement, such party is formally bound to the provisions of any other Agreement
to which said is bound.
IN WITNESS WHEREOF, this Agreement is executed by District and by Developer as of the
date first above written.
OTAY WATER DISTRICT
A Califurnia Municipal Water District
By:
General Manager
Date: ----------' 2012
Approved as to Form:
_____________________________ Attorney
INTERNATIONAL INDUSTRIAL PARK, INC.
A California Corporation
By:
Date:
David Wick
Vice-President
---------' 2012
OTAY WATER DISTRICT
ALTA ROAD-LONE STAR ROAD TO CALZADA DE LA FUENTE
LOCATION MAP
CIP R2077
EXHIBIT A -1
Exhibit A-2
Project Name: Alta Road North of Lone Star Road
Location: Alta Road , County of San Diego
Project Engineer: Bartolome J. Pastor
OWD CIP Project No. R2077
Date: March 2, 2012
Project No. CG-4754 24-lnch Steel CML&C Recycled Water Pipeline
Item No. Description Cost
1 Alta Consultants: Engineering design, $ 21 ,745.00
construction, administration, and job closeout
2 JT Kruer & Company $ 3 000.00
3 Engineering Contingency $ 4 725.00
4 Basile Construction $ 886 492.16
5 Unknown Utility Allowance $ 15,000.00
Total $ 930,962.16
Reimbursement Estimate Amount: $ 930,962.16
EXHIBIT B
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
Subject Policy Date Date
Number Adopted Revised
DISTRICT ADMINISTRATION OF REIMBURSEMENT 26 2/10/93 7/05/06
AGREEMENTS
PURPOSE
This policy establishes guidelines for how the District will
administer reimbursement agreements for facilities , both Master Plan
and Non-Master Plan. It also describes when and how the District will
participate in the cost of such facilities .
BACKGROUND
Policy 25 requires that development which creates the need for new
facilities must bear all costs to construct and finance the on-site ,
in-tract and off-site water, wastewater , and recycled water systems .
"On-site" facilities are defined as those pipelines , pump stations and
reservoirs required within a developer's project boundaries . "Off-
site" facilities are those facilities located outside a project 's
boundary that are required to serve the project . "In-tract"
facilities are defined as those non-regional facilities that serve
only the project being constructed . These facilities are typically 6
inch through 12 inch pipelines . In-tract facilities are the sole
responsibility of the developer/property owner until the facilities
and all required property easements are dedicated to , and accepted by,
the District pursuant to authority granted by the Board to the General
Manager .
The District 's Master Plan includes all regional on-site and off-site
facilities anticipated to be necessary to provide service throughout
the District . The District 's capacity fees have been calculated to
pay for the cost of all the regional facilities identified in the
Master Plan including the developer/property owner portion of such
facilities . The District does not subsidize development but it does
undertake responsibility to insure that those regional facilities
necessary to serve a particular development are constructed and that
the costs associated with the construction of said facilities is
fairly distributed among all users .
POLICY
A. Master Plan Facilities-Reimbursement by the District: For
facilities identified in the Master Plan, both on-site and off-site,
the District may reimburse the developer for construction and design
costs if the project meets the following guidelines :
EXHIBIT B
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
Subject Policy Date Date
Number Adopted Revised
DISTRICT ADMINISTRATION OF REIMBURSEMENT 26 2/10/93 7/05/06
AGREEMENTS
1 . The project must be in the District's approved five-year Capital
Improvement Program (CIP) at the time of the request, and shall
not exceed the CIP budget amount without prior Board approval .
2 . The District has approved a Sub-Area Master Plan (SAMP) and any
required maps , upon which the facilities are clearly described.
3 . The developer makes an irrevocable offer to dedicate the
facilities and any easements required for the operation and
maintenance of the facilities to the District, which offer is
accepted by the General Manager and all applicable language and
documentation of the dedication(s) is prepared and recorded, all
in the manner authorized by the Board.
4 . The developer enters into an Agreement for Construction of a
Water System with the District .
5 . The developer/property owner obtains bids from qualified
contractors and provides copies of the bids to the District . The
developer/property owner is responsible for selecting the lowest
responsive responsible bidder . The developer/property owner will
be reimbursed for the CIP portions of the project based on the
unit prices submitted with the lowest responsive responsible bid .
6 . The cost of addressing environmental issues , such as burying a
reservoir , shall not be reimbursable unless they are currently
addressed in the District 's Master Environmental Impact Report
and CIP .
7 . All soft costs , such as engineering, inspection, bonds , etc .,
will be included in the reimbursement cost at five percent of the
construction costs .
8 . Except as provided below, the District will pay 100 percent of
the reimbursement cost after the General Manager accepts the
project .
9 . The District may elect to finance the facilities by borrowing if,
after analysis by the Finance Department, it is determined that
the borrowing fits into the District 's financial plan as outlined
in Policy 25 .
10 . If for any reason reimbursement funds are not vailable at the
time the project is operationally complete , the District may
elect to defer or a portion of the reimbursement the District
determines is due the developer until the General Manager accepts
Page 2 of 7
EXHIBIT 8
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
Subject Policy Date Date
Number Adopted Revised
DISTRICT ADMINISTRATION OF REIMBURSEMENT 26 2/10/93 7/05/06
AGREEMENTS
the dedication of the project and until all liens , claims and/or
bonds, as applicable, have been released in the manner provided
under the Agreement for Construction of a Water System .
11 . Funds for reimbursement shall be carried as a CIP until the
reimbursement is made .
12 . Each reimbursement agreement requires approval by the Board. A
Staff Report will be prepared and reviewed with the Finance
Department prior to presentation to the Board for approval .
13. This type of reimbursement agreement ends five (5) years after
Board's original approval . The reimbursement agreement may be
terminated prior to said (5) year term by the General Manager
upon a determination that the developer has failed to comply with
its obligations under the Reimbursement Agreement or the
Agreement for Construction of a Water System .
14 . If the reimbursement agreement expires prior to the facilities by
the District or prior to payment of reimbursement , the Developer
shall no longer be entitled to reimbursement. The Developer may
submit new documentation andrequest that the District enter into
a new reimbursement agreement . If the District agrees to enter
into a new reimbursement agreement for the facilities , however ,
the District may revise the terms and amounts of reimbursement at
its discretion based on information available at the time of the
request .
15 . All reimbursement requests shall be submitted to the Board for
consideration and shall not be processed without prior Board
approval .
B. Non-Master Plan Facilities-Reimbursement to Developer by Future
Users : Occasionally, a developer/property owner requests the District
to administer a reimbursement agreement to collect money from future
customers who connect to the facility built by the developer/property
owner . If the District agrees, the District collects the
reimbursement amount from each customer connecting to the facility,
together with any other District connection fees . The reimbursement
portion of the customer's payment is forwarded by the District to the
developer/property owner as reimbursement .
The District may administer this type of reimbursement agreement if
the developer/property owner 's project meets the foll owing criteria
and guidelines :
Page 3 of 7
EXHIBIT 8
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
Subject Policy Date Date
Number Adopted Revised
DISTRICT ADMINISTRATION OF REIMBURSEMENT 26 2/10/93 7/05/06
AGREEMENTS
1 . The developer/property owner demonstrates the facilities to be
constructed have adequate capacity to serve future customers .
2 . The developer/property owner requests and executes a
reimbursement agreement , which is presented to the Board for
approval in conjunction with the presentation of an agreement to
construct .
3 . The property owner deposits with the District the estimated cost
for District staff to prepare a nexus study and obtain Board
approval for the reimbursement agreement. District staff will
provide a written estimate of the required deposit to the
property owner within 15 days of the property owner's request .
4 . The property owner provides three (3) bids from qualified
contractors for the purpose of establishing the cost of the
facilities and the portion of the reimbursement amount which is
to be allocated to future connections .
5 . A nexus study shall be performed by District staff to identify
those who may benefit from the construction of the proposed
facility and the amount they shall reimburse the
developer/property owner who constructed the facility .
6 . Prior to the public notice being sent to those property owners
affected by the reimbursement agreement, an informational staff
report will be presented to the Board.
7 . The District shall notice all those property owners that will be
subject to the reimbursement charge . These property owners will
then be responsible to pay their fair share of the cost of the
facilities at such time as they connect to the system. The fair
share will be based on their Assigned Service Unit/Equivalent
Dwelling Unit (ASU/EDU ) contribution to the total projected
ASU/EDU to use the system . The reimbursement charge will be in
addition to any other fees a property owner would pay to the
District to obtain service .
8 . Each reimbursement agreement requires approval by the Board .
Prior to presenting a reimbursement agreement to the Board, staff
must obtain two originals signed by an authorized representative
of the developer/property owner . A Staff Report must then be
prepared and reviewed with the Finance Department prior to
presentation to the Board for approval.
Page 4 of 7
EXHIBIT B
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
Subject Policy Date Date
Number Adopted Revised
DISTRICT ADMINISTRATION OF REIMBURSEMENT 26 2/10/93 7/05/06
AGREEMENTS
9 . This type of reimbursement agreement shall be valid for 10 years
from the date of Board approval . After the 10 year period has
lapsed the collection of the reimbursement amount by the District
shall cease .
10 . Concurrently with submission of a signed reimbursement agreement ,
the developer/property owner must pay an administrative fee to
the District to defray costs related to the review of the request
and the negotiation and execution of the reimbursement agreement .
The amount of the administrative fee will be calculated at the
staff rate existing at the time of said submissi on .
11 . In addition, concurrently with payment of the fee described
above, developer must pay a fee to defray costs estimated to be
incurred per each connection to be established during the term of
the reimbursement agreement . The amount of this fee will be
calculated based on an estimated 6 man hours per connection . The
staff rate in existence at the time the reimbursement agreement
is executed will be used as a base and it will be projected to
change each year to account for changes in the COLA , as
determined by the District's finance department .
12 . The District will not distribute any reimbursement funds to the
developer/property owner until the project has been accepted by
the Board . The distribution of reimbursement funds will occur as
the District collects the funds from new customers who connect to
the facility , but not more frequently than once per year .
13 . District staff shall collect the reimbursement amount due at the
same time the standard District capacity fees for the new service
are collected .
14 . I f the reimbursement agreement expires prior to the faciliti es by
the Distri ct or prior to payment of reimbursement , the Devel oper
shall no longer be entitled to reimbursement . The Developer may
submit new documentation andrequest that the District enter into
a new reimbursement agreement . If the District agrees to e nter
into a new reimbursement agreement for the faciliti es , however,
the Distri ct may revi se the terms and amounts of reimbursement at
its discreti on based on information avai lable at the time o f the
request .
15 . All reimbursement requests shall be submitted to the Board f or
consideration and shal l not be processed without prior Boar d
approval .
Page 5 of 7
EXHIBIT 8
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
Subject Policy Date Date
Number Adopted Revised
DISTRICT ADMINISTRATION OF REIMBURSEMENT 26 2/10/93 7/05/06
AGREEMENTS
C. Non-Master Plan Facilities-Reimbursement to Developer by the
District : Normally the District would not participate in the cost of
facilities which are not identified in the Master Plan . These
facilities are of benefit only to the adjoining property and should
ordinarily be financed solely by the developer/property owner
proposing the new facility. Nonetheless , there may be circumstances
where the General Manager determines that it is appropriate for the
District to participate in the cost of a non-Master Plan facility .
Typical reasons would be in order to accommodate future growth or
betterment of the system. In these instances, the District may
establish special fees to recover the reimbursement costs from
benefiting property owners as they connect to the system .
The District may reimburse the developer/property owner for
construction costs if the project meets the following criteria and
guidelines :
1 . The General Manager has determined that it is appropriate for the
District 's customers to participate in the construction of the
project .
2 . The developer/property owner shall obtain three (3) bids from
qualified contractors and provide copies of the initial bids to
the District . The developer/property owner is responsible for
selecting the lowest responsive bidder. The developer/property
owner will be reimbursed for the CIP portions of the project
based on the unit prices submitted with the lowest responsive
bid.
3 . A nexus study will be performed by the District to identify those
property owners who may benefit from the construction of the
proposed facility.
4 . Prior to the public notice being sent to those property owners
affected by the reimbursement agreement, an informational Staff
Report shall be presented to the Board .
5 . The District shall notice all those property owners which will be
subject to the reimbursement charge . These properties will then
be responsible to pay their fair share of the cost of the
facilities , plus interest, at such time as they connect to the
system .
6 . The developer/property owner shall request and execute the
reimbursement agreement with the District prior to awarding any
contracts for construction .
Page 6 of 7
EXHIBIT B
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
Subject Policy Date Date
Number Adopted Revised
DISTRICT ADMINISTRATION OF REIMBURSEMENT 26 2/10/93 7/05/06
AGREEMENTS
7 . Each reimbursement agreement requires approval by the Board . A
Staff Report shall be prepared and reviewed with the Finance
Department prior to presentation to the Board for approval .
8 . Except as provided below, the District will pay 100 percent of
the reimbursement cost after the General Manager accepts the
project .
9 . The District may elect to finance the facilities by borrowing , if
it is determined that borrowing is in the best interest of the
District 's customers .
10. If for any reason reimbursement funds are not available at the
time the project is operationally complete , the District may
elect to defer the reimbursement until the General Manager
determines that it is appropriate to make payments .
11 . Funds for reimbursement shall be carried as a CIP until the
reimbursement has been made .
12 . This type of reimbursement agreement contains no end date for the
collection by the District of its contributed share of the cost,
and shall be the responsibility of all current and subsequent
property owners .
13 . District staff shall collect the reimbursement amount due at the
same time the standard District capacity fees for the new service
are collected.
14 . If the reimbursement agreement expires prior to the facilities by
the District or prior to payment of reimbursement, the Developer
shall no longer be entitled to reimbursement . The Developer may
submit new documentation andrequest that the District enter into
a new reimbursement agreement . If the District agrees to enter
into a new reimbursement agreement for the facilities , however,
the District may revise the terms and amounts of reimbursement at
its discretion based on information available at the time of the
request .
15 . All reimbursement requests shall be submitted to the Board for
consideration and shall not be processed without prior Board
approval .
Page 7 of 7
OTA Y WATER DISTRICT
CAPITAL IMPROVEMENT PROGRAM !EXHIBIT C-1
CIP Number: R2077
PROJECT TITLE: RecPL -24-lnch, 860 Zone, Alta Road -Alta Gate/Airway
WORK ORDER NO: n/a DIRECTOR DIVISION: 2
PROJECT MANAGER: Kennedy I.D. LOCATION: 7
ORIGINAL APPROVED DATE:
RELATED CIP PROJECTS:
5/23/2006 PRIORITY
R2048, R2058, R2087, BUDGET AMOUNT:
1
$4,500,000
R2088
DESCRIPTION OF PROJECT
Construction of approximately 9,300 feet 24-inch pipeline within the 860 Pressure Zone in Alta Road
from the Alta Gate location to Airway Road. This project will be constructed as part of the Otay
Mesa recycled water system.
JUSTIFICATION OF PROJECT:
This project will provide transmission capacity for development of Otay Mesa and link the planned
860-1 Reservoir with the recycled water transmission system in Otay Mesa.
COMMENTS:
Funding opportunity is the United States Bureau of Reclamation Water Reclamation and Reuse
Program, Title XVI of P.L. 102-575.
FUND DETAIL:
FUNDING SOURCE: Expansion
Recycled 100%
TOTAL 100%
EXPENDITURE SCHEDULE (X $1000):
PRIOR YEARS:
TOTAL
$624
FY FY
2011 2012
$1 ,750 $2,121
Betterment Replacement Total
FY
2013
$5
FY
2014
FY
2015
100%
100%
FY
2016 TOTAL
$4,500
OTA Y WATER DISTRICT
CAPITAL IMPROVEMENT PROGRAM
!EXHIBIT C-2
CIP Number: R2077
PROJECT SCHEDULE:
PROJECT
PHASE:
PLANNING:
DESIGN:
CONSTRUCTION:
ESTIMATED
START DATE:
07/01
01/10
07/11
ESTIMATED
FINISH DATE:
12/09
06/11
06/13
PROJECTED INCREMENTAL OPERATION EXPENDITURES SCHEDULE($):
FY
2011
FY
2012
FY FY
2013 2014
$3,200
FY
2015
$3,300
PROJECT LOCATION: Thomas Bros. Map: 1332
Submitted By: Bob Kennedy Date:
FY
2016
$3,400
OWD Map Book: 39
2/19/2010