HomeMy WebLinkAbout12-10-12 EO&WR Committee PacketOTAY WATER DISTRICT
ENGINEERING, OPERATIONS & WATER RESOURCES COMMITTEE MEETING
and
SPECIAL MEETING OF THE BOARD OF DIRECTORS
2554 SWEETWATER SPRINGS BOULEVARD
SPRING VALLEY, CALIFORNIA
Board Room
MONDAY
December 10, 2012
12:00 P.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 MATTER WITHIN THE BOARD'S JU-
RISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA
DISCUSSION ITEMS
3. APPROVE CHANGE ORDER NO. 2 TO THE EXISTING CONTRACT WITH GARCIA
JUAREZ CONSTRUCTION, INC. IN THE AMOUNT OF $22,460 FOR THE CALAVO
GARDENS SEWER REHABILITATION PROJECT (MARTIN) [5 minutes]
4. AWARD A CONSTRUCTION CONTRACT TO BASILE CONSTRUCTION, INC. FOR
THE 12-INCH POTABLE WATER PIPELINE IN ORANGE AVENUE, I-805 CROSS-
ING IN AN AMOUNT NOT-TO-EXCEED $872,000 (CAMERON) [5 minutes]
5. INFORMATIONAL UPDATE ON THE RANCHO DEL REY GROUNDWATER WELL
DEVELOPMENT PROJECT (MARCHIORO) [5 minutes]
6. INFORMATIONAL REPORT REGARDING THE USE OF AS-NEEDED SERVICES TO
SUPPORT THE DELIVERY OF THE DISTRICT’S CAPITAL IMPROVEMENT PRO-
GRAM (MARTIN) [5 minutes]
7. STATUS REPORT ON THE FIRST QUARTER OF FISCAL YEAR 2013 CAPITAL IM-
PROVEMENT PROGRAM (MARTIN) [10 minutes]
8. SAN DIEGO COUNTY WATER AUTHORITY UPDATE (WATTON) [10 minutes]
2
9. ADJOURNMENT
BOARD MEMBERS ATTENDING:
Gary Croucher, Chair
David Gonzalez
All items appearing on this agenda, whether or not expressly listed for action, may be delib-
erated 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 December 7, 2012 I posted a copy of the foregoing agenda near the
regular 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 December 7, 2012.
______/s/_ Susan Cruz, District Secretary _____
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: January 8, 2013
SUBMITTED BY:
Dan Martin
Engineering Manager
PROJECT: S2019-001103
S2020-001103
S2022-001103
S2026-001103
DIV. NO. 3
APPROVED BY:
Rod Posada, Chief, Engineering
German Alvarez, Assistant General Manager
Mark Watton, General Manager
SUBJECT: Change Order No. 2 to the Contract with Garcia Juarez
Construction Inc. for the Calavo Gardens Sewer Rehabilitation
Project
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
approve Change Order No. 2 to the existing contract with Garcia
Juarez Construction, Inc. (GJC) in the amount of $22,460.00 for the
Calavo Gardens Sewer Rehabilitation Project (see Exhibit A for
Project location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board authorization for the General Manager to execute
Change Order No. 2 in the amount of $22,460.00 to the contract with
GJC for the Calavo Gardens Sewer Rehabilitation Project.
ANALYSIS:
At the February 1, 2012 Board Meeting, the Board awarded a
construction contract in an amount of $2,316,275.00 to GJC for the
Calavo Gardens Sewer Rehabilitation Project.
AGENDA ITEM 3
2
Subsequently at the November 7, 2012 Board Meeting, the Board
approved a Credit Change Order in the amount of <$22,040.00> to the
contract for a new construction contract value of $2,294,235.00.
The Project consists of the replacement and capacity upgrades of
approximately 4,500 linear feet of 8-inch and 10-inch sewer in the
streets of Avocado Boulevard, Calavo Drive, Louisa Drive, Challenge
Boulevard, and Hidden Mesa Drive in the Rancho San Diego area. The
Project also includes a new flow control and diversion vault
structure for the Calavo Sewer Lift Station.
GJC has completed the sewer replacement in the streets of Calavo
Drive, Louisa Drive, Challenge Boulevard, Hidden Mesa Drive, and most
of Avocado Boulevard. GJC is approximately 60% complete overall with
the Project.
Change Order No. 2 (Exhibit B) includes a variety of items related to
a storm drain conflict that was discovered during construction and
required a redesign of the sewer main. The sewer line in question
was originally designed to be installed parallel with Avocado
Boulevard. However, the vertical location of the existing box
culvert storm drain prevented the contractor from installing the
sewer per plan. Therefore, the sewer was re-routed across Avocado to
allow for proper gravity flow. The costs associated with the
construction of this new sewer line re-routed line across Avocado are
$85,790.00.
The change order will also delete the original sewer line
installation in favor of the redesigned sewer main described above.
This deletion results in a credit of <$73,180.00>.
Lastly, Change Order No. 2 includes a redesign of the sewer main
located on the east side of Avocado Boulevard due to a conflict with
existing electrical lines. The redesign involved moving a planned
manhole, additional sewer pipe to support the new manhole location,
and provisions for a siphon to support the construction. The costs
associated with the construction of these items are $9,850.00
The following is a table summarizing the items in Change Order No. 2.
A more detailed description of each item is provided in Exhibit B.
The items below are located at Site 1 as shown in Exhibit A:
Item Description Amount
1 Re-route sewer line across Avocado Boulevard $85,790.00
2 Delete original sewer line work in Avocado
Boulevard
<$73,180.00>
3 Re-route sewer line due to electrical line $9,850.00
$22,460.00
3
In summary, the net increase to the Project for Change Order No. 2 is
$22,460.00.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
Funding for the overall Project comes from four CIP projects - S2019,
S2020, S2022, and S2026. The total budget is $3,335,000.
The total budget for CIP S2019, as approved in the FY 2013 budget, is
$2,275,000. Total expenditures, plus outstanding commitments and
forecast, is $2,189,065. See Attachment B-1 for budget detail.
The total budget for CIP S2020, as approved in the FY 2013 budget, is
$600,000. Total expenditures, plus outstanding commitments and
forecast, is $595,576. See Attachment B-2 for budget detail.
The total budget for CIP S2022, as approved in the FY 2013 budget, is
$180,000. Total expenditures, plus outstanding commitments and
forecast, is $179,265. See Attachment B-3 for budget detail.
The total budget for CIP S2026, as approved in the FY 2013 budget, is
$280,000. Total expenditures, plus outstanding commitments and
forecast, is $279,279. See Attachment B-4 for budget detail.
Based on a review of the financial budget, the Project Manager
anticipates that these budgets will be sufficient to support the
Project.
Finance has determined that 100% of the funding is available from the
Betterment Fund for CIPs S2019 and S2022 and 100% of the funding is
available from the Replacement Fund for CIPs S2020 and S2026.
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To provide
high value water and wastewater services to the customers of the Otay
Water District in a professional, effective, and efficient manner”
and the General Manager’s Vision, “A District that is at the
forefront in innovations to provide water services at affordable
rates, with a reputation for outstanding customer service.”
LEGAL IMPACT:
None.
4
DM:jf
P:\WORKING\CIP S2019, S2020, S2022 Avocado Sewer\Staff Reports\Change Order No. 2 to GJC\BD 01-08-2013, Change Order No 2 to Garcia Juarez Construction, (DM).docx
Attachments: Attachment A – Committee Action
Attachment B-1 – S2019 Budget Detail
Attachment B-2 – S2020 Budget Detail
Attachment B-3 – S2022 Budget Detail
Attachment B-4 – S2026 Budget Detail
Exhibit A – Location Map
Exhibit B – Change Order No. 2
ATTACHMENT A
SUBJECT/PROJECT:
S2019-001103
S2020-001103
S2022-001103
S2026-001103
Change Order No. 2 to the Contract with Garcia Juarez
Construction Inc. for the Calavo Gardens Sewer
Rehabilitation Project
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee (Committee)
reviewed this item at a meeting held on December 10, 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-1 – Budget Detail
SUBJECT/PROJECT:
S2019-001103
S2020-001103
S2022-001103
S2026-001103
Change Order No. 2 to the Contract with Garcia Juarez
Construction Inc. for the Calavo Gardens Sewer
Rehabilitation Project
Date Updated: November 15, 2012
Budget
2,275,000
Planning 001101
Labor 23,026 23,026 - 23,026
Settlements 2,100 2,100 - 2,100 GARY THOMAS JALATY
Office Supplies 14 14 - 14 PETTY CASH CUSTODIAN
Consultant Contracts 11,287 11,287 - 11,287 LEE & RO INC
Total Planning 36,427 36,427 - 36,427
Design 001102
Labor 149,522 149,522 149,522
Settlements 5,500 5,500 - 5,500 JUAN NAVARRO
Settlements 5,900 5,900 - 5,900 LN REAL ESTATE LLC
Professional Legal Fees 2,632 2,632 - 2,632 STUTZ ARTIANO SHINOFF
Other Agency Fees 27 27 - 27 PETTY CASH CUSTODIAN
Other Agency Fees 3,460 3,460 - 3,460 COUNTY OF SAN DIEGO
Consultant Contracts 4,900 4,900 - 4,900 SAN-LO AERIAL SURVEYS
Consultant Contracts 1,550 1,550 - 1,550 AFFORDABLE DRAIN SERVICE INC
Consultant Contracts 1,947 1,947 - 1,947 CPM PARTNERS INC
Consultant Contracts 60,264 60,264 - 60,264 LEE & RO INC
Consultant Contracts 13,000 13,000 - 13,000 MICHAEL D KEAGY REAL ESTATE
Consultant Contracts 8,830 8,830 - 8,830 DARNELL & ASSOCIATES INC
Consultant Contracts 8,204 8,204 - 8,204 SOUTHERN CALIFORNIA SOIL
Consultant Contracts 525 525 - 525 MWH CONSTRUCTORS INC
Construction Contracts 17,933 17,933 - 17,933 LEE & RO INC
Service Contracts 672 672 - 672 UNION TRIBUNE PUBLISHING CO
Total Design 284,866 284,866 - 284,866
Construction 001103
Labor 200,000 88,350 111,650 200,000
Settlements 5,000 5,000 - 5,000 KIM-THOA THI HOANG
Other Agency Fees 248 248 - 248 COUNTY OF SAN DIEGO - DPW
Consultant Contracts 120,000 108,048 11,952 120,000 VALLEY CONSTRUCTION MANAGEMENT
Consultant Contracts 6,030 6,030 - 6,030 MTGL INC
Consultant Contracts 5,806 5,806 - 5,806 LEE & RO INC
Consultant Contracts 4,000 4,000 - 4,000 RBF CONSULTING
Consultant Contracts 2,685 2,685 - 2,685 DARNELL & ASSOCIATES INC
Consultant Contracts 3,955 3,955 - 3,955 ALTA LAND SURVEYING INC
Consultant Contracts 926 926 - 926 CPM PARTNERS INC
Consultant Contracts 157 157 - 157 SOUTHERN CALIFORNIA SOIL
Construction Contracts 1,438,537 722,675 715,862 1,438,537 GARCIA JUAREZ CONSTRUCTION INC
(22,040) (22,040) - (22,040) Change Order No. 1
22,460 22,460 - 22,460 Change Order No. 2
Construction Contracts 2,979 2,979 - 2,979 CLARKSON LAB & SUPPLY INC
Construction Contracts 76,507 37,241 39,265 76,507 COMMUNITY BANK
Service Contracts 522 522 - 522 FAVELA PRINTING INC
Total Construction 1,867,772 989,042 878,729 1,867,772
Grand Total 2,189,065 1,310,335 878,729 2,189,065
Vendor/Comments
Otay Water District
S2019 - Avocado Boulevard 8-inch Sewer Main Impr
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
ATTACHMENT B-2 – Budget Detail
SUBJECT/PROJECT:
S2019-001103
S2020-001103
S2022-001103
S2026-001103
Change Order No. 1 to the Contract with Garcia Juarez
Construction Inc. for the Calavo Gardens Sewer
Rehabilitation Project
Date Updated: November 15, 2012
Budget
600,000
Planning 001101
Labor 5,352 5,352 - 5,352
Consultant Contracts 2,185 2,185 - 2,185 LEE & RO INC
Total Planning 7,537 7,537 - 7,537
Design 001102
Labor 24,159 24,159 - 24,159
Other Agency Fees 3,460 3,460 - 3,460 COUNTY OF SAN DIEGO
Consultant Contracts 8,000 8,000 - 8,000 DARNELL & ASSOCIATES INC
Consultant Contracts 4,430 4,430 - 4,430 MTGL INC
Consultant Contracts 21,588 21,588 - 21,588 LEE & RO INC
Supplier Contracts 188 188 - 188 US BANK CORPORATE PAYMENT
Service Contracts 145 145 - 145 US BANK CORPORATE PAYMENT
Total Design 61,970 61,970 - 61,970
Construction 001103
Labor 45,000 37,576 7,424 45,000
Consultant Contracts 18,240 18,240 - 18,240 VALLEY CONSTRUCTION MANAGEMENT
Consultant Contracts 1,250 1,250 - 1,250 ALTA LAND SURVEYING INC
Consultant Contracts 400 400 - 400 LEE & RO INC
Construction Contracts 433,271 170,172 263,099 433,271 GARCIA JUAREZ CONSTRUCTION INC
Construction Contracts 22,804 8,956 13,847 22,804 COMMUNITY BANK
Construction Contracts 1,865 1,865 - 1,865 HELIX WATER DISTRICT
Service Contracts 967 967 - 967 MAYER REPROGRAPHICS INC
Service Contracts 735 735 - 735 AFFORDABLE DRAIN SERVICE INC
Service Contracts 1,505 1,505 - 1,505 HELIX WATER DISTRICT
Service Contracts 32 32 - 32 US BANK CORPORATE PAYMENT
Service Contracts - - - - MAIL MANAGEMENT GROUP INC
Total Construction 526,069 241,699 284,370 526,069
Grand Total 595,576 311,206 284,370 595,576
Vendor/Comments
Otay Water District
S2020 - Calavo Drive 8-inch Sewer Main Replacement
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
ATTACHMENT B-3 – Budget Detail
SUBJECT/PROJECT:
S2019-001103
S2020-001103
S2022-001103
S2026-001103
Change Order No. 1 to the Contract with Garcia Juarez
Construction Inc. for the Calavo Gardens Sewer
Rehabilitation Project
Date Updated: November 15, 2012
Budget
180,000
Planning 001101
Labor 1,321 1,321 - 1,321
Total Planning 1,321 1,321 - 1,321
Design 001102
Labor 22,637 22,637 - 22,637
Other Agency Fees 3,460 3,460 - 3,460 COUNTY OF SAN DIEGO
Consultant Contracts 4,989 4,989 - 4,989 LEE & RO INC
Consultant Contracts 6,000 6,000 - 6,000 DARNELL & ASSOCIATES INC
Total Design 37,087 37,087 - 37,087
Construction 001103
Labor 29,000 28,381 619 29,000
Consultant Contracts 403 403 - 403 LEE & RO INC
Consultant Contracts 400 400 - 400 ALTA LAND SURVEYING INC
Construction Contracts 104,522 103,571 951 104,522 GARCIA JUAREZ CONSTRUCTION INC
Construction Contracts 5,501 5,451 50 5,501 COMMUNITY BANK
Service Contracts 1,000 1,000 - 1,000 MAYER REPROGRAPHICS INC
Service Contracts 32 32 - 32 US BANK CORPORATE PAYMENT
Total Construction 140,858 139,238 1,620 140,858
Grand Total 179,265 177,645 1,620 179,265
Vendor/Comments
Otay Water District
S2022 - Hidden Mesa Drive 8-inch Sewer Main Rehabiliation
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
ATTACHMENT B-4 – Budget Detail
SUBJECT/PROJECT:
S2019-001103
S2020-001103
S2022-001103
S2026-001103
Change Order No. 1 to the Contract with Garcia Juarez
Construction Inc. for the Calavo Gardens Sewer
Rehabilitation Project
Date Updated: November 15, 2012
Budget
280,000
Planning 001101
Labor 1,371 1,371 - 1,371
Total Planning 1,371 1,371 - 1,371
Design 001102
Labor 7,718 7,718 - 7,718
Other Agency Fees 3,460 3,460 - 3,460 COUNTY OF SAN DIEGO
Consultant Contracts 9,581 9,581 - 9,581 LEE & RO INC
Consultant Contracts 4,800 4,800 - 4,800 DARNELL & ASSOCIATES INC
Consultant Contracts 4,000 4,000 - 4,000 MTGL INC
Total Design 29,560 29,560 - 29,560
Construction 001103
Labor 27,000 24,131 2,869 27,000
Consultant Contracts 270 270 - 270 ALTA LAND SURVEYING INC
Construction Contracts 209,044 198,592 10,452 209,044 GARCIA JUAREZ CONSTRUCTION INC
Construction Contracts 11,002 10,452 550 11,002 COMMUNITY BANK
Service Contracts 1,000 1,000 - 1,000 MAYER REPROGRAPHICS INC
Service Contracts 32 32 - 32 US BANK CORPORATE PAYMENT
Total Construction 248,348 234,477 13,871 248,348
Grand Total 279,279 265,408 13,871 279,279
Vendor/Comments
Otay Water District
S2026 - Challenge Blvd 8-Inch Sewer Main Repl
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
VICINITY MAP
IMPERIAL
CORONADO
CHULA
VISTA
EL CAJON
BEACH
LA MESA
PROJECT
SITES
CIP Title - Calavo Gardens Sewer Rehabilitation Project: S2019/S2020/S2022/S2026
Consultant/Contractor:Garcia Juarez Construction Subproject: 001103
APPROVED
C.O.AMOUNT BY DATE DESCRIPTION TYPE C.O.
1 ($22,040.00)Board 11/7/2012
Eight Items: Open Cut in lieu of jack & bore, delete MH
refurbishment, modify MH replacements, T&M settlement,
revised alignment, street light relocation, additional paving,
and unknown utilities
Owner
2 $22,460.00 Board
Nine Items: 8-inch siphon, 30LF of additional 8-inch sewer,
delete 164LF of 8-inch sewer, delete 33LF of steel casing,
add an additional manhole, additional potholing, casing
credit back to contractor, and additional cost for new 8-inch
sewer alignment.
Owner
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
3435
Total C.O.'s To Date: $420.00 0.0%
Original Contract Amount:$2,316,275.00
Current Contract Amount:$2,316,695.00
Month Net C.O.$Limit Authorization Absolute C.O.$ C.O. %
12/12 $22,460.00 $2,000 Insp 0.0%
$10,000 PM/Sr. Engr.0.0%
$20,000 DivM 0.0%
$25,000 Chief 0.0%
$35,000 AGM 0.0%
$50,000 GM 0.0%
>$50000 Board $22,460.00 1.0%
CHANGE ORDER LOG
P:\WORKING\CIP S2019, S2020, S2022 Avocado Sewer\Staff Reports\Change Order No. 2 to GJC\COLOG-No 2.xls1 12/5/2012
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: January 8, 2013
SUBMITTED BY:
Kevin Cameron
Assistant Civil Engineer
Ron Ripperger
Engineering Manager
PROJECT: P2513-
001103
DIV. NO. 2
APPROVED BY:
Rod Posada, Chief, Engineering
German Alvarez, Asst. General Manager
Mark Watton, General Manager
SUBJECT: Increase the CIP Budget for CIP P2513 in an amount of $100,000
and Award of a Construction Contract to Basile Construction,
Inc. for the 12-Inch Potable Water Pipeline in Orange Avenue,
I-805 Crossing
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
authorize the increase in the CIP budget P2513 of $100,000 to an
overall budget of $1,300,000 and award a construction contract to
Basile Construction, Inc. (Basile) for the 12-Inch Potable Water
Pipeline in Orange Avenue, I-805 Crossing (Project) in an amount not-
to-exceed $872,000 (see Exhibit A for Project location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board approval to increase the budget for CIP P2513 in an
amount not-to-exceed $100,000 and to obtain Board authorization for
the General Manager to enter into a construction contract with Basile
in an amount not-to-exceed $872,000.00 for the Project.
AGENDA ITEM 4
2
ANALYSIS:
The District operates two (2) pipelines that cross Interstate 805 (I-
805) freeway; a 10-inch pipeline within the East Palomar Overpass,
and a 12-inch pipeline that runs under the freeway approximately 1300
feet south of East Palomar. These pipelines feed approximately 850
meters west of the freeway in the 458 pressure zone (see Exhibit B
for service area). Caltrans has prior rights for the Palomar
crossing which was installed in the bridge in 1998.
In November 2010, Caltrans notified the District about plans to
demolish and reconstruct the East Palomar Bridge Overpass. Caltrans
is planning to construct a Direct Access Route (DAR) carpool lane
that would begin at the East Palomar Bridge, then run north to the I-
805/I-15 interchange. The Palomar Bridge project is scheduled to
begin in Spring 2013. Caltrans and the City of Chula Vista (City)
elected to completely demolish the bridge in an effort to speed up
construction and reduce traffic concerns. With the bridge out, the
10-inch pipeline would also be out of service. Using hydraulic
analysis, Staff evaluated the District’s ability to meet projected
demands and fire flow requirements with only the 12-inch pipeline in
service. The results revealed that fire flow requirements would not
be met using only the 12-inch pipeline and a second source would be
required.
Staff and the District’s As-Needed Design Engineer, Lee & Ro, Inc.
(Lee & Ro), evaluated multiple options to meet the required demands.
Staff, along with input from Caltrans, decided that the easiest and
most cost effective solution would be to construct a permanent
pipeline across the East Orange Ave/Olympic Parkway Overpass. The
Orange Bridge has an existing empty utility corridor reserved for
future use. This third crossing would provide redundancy to the
service area and allow future maintenance on any one of the crossings
without interruption of service.
Lee & Ro provided the engineering design plans and the District’s As-
Needed Traffic Engineer, Darnell & Associates (Darnell), provided the
traffic control plans. The traffic control was especially
challenging since the pipeline alignment would cross the northbound
on-ramp and the southbound off-ramp of I-805 which would require
extensive detour routes and the plans would have to be approved by
both Caltrans and the City. During the plan review, both the City
and Caltrans required night work for the construction of the
pipeline. This would allow maximum working hours and minimal traffic
delays.
3
The District submitted the Project to Caltrans for review on
March 27, 2012. The initial design called for 12-inch steel pipe
within the bridge and PVC pipe in Caltrans’ Right-of-Way (ROW) and
the City’s ROW. However, late in the design review process and after
the budget had been approved for FY 2013, Caltrans requested that
steel pipe be used throughout their ROW. This design requirement
replaced approximately 800 feet of pipe from PVC to steel, and added
$220,000 to the construction cost.
The Project was advertised for bid on November 6, 2012. A Pre-Bid
Meeting was held on November 15, 2012 with eight (8) contractors in
attendance. Three (3) addenda were sent out to all plan holders and
plan houses to address contractors' questions asked during the
bidding period. Staff contacted several contractors during the bid
process to encourage them to submit a bid for the Project.
Seven (7) bids were received on November 29, 2012. The table below
provides the bid results:
CONTRACTOR
TOTAL BID
AMOUNT
CORRECTED BID
AMOUNT
1. Basile Construction, Inc. $ 872,000.00
2. TC Construction Company $ 916,570.00
3. Schilling Paradise Corporation $ 898,111.00 $ 918,111.00
4. Arrieta Construction, Inc. $ 977,119.00
5. Burtech Pipeline, Inc. $1,026,674.00
6. GRFCO, Inc. $1,172,700.00
7. CCL Contracting, Inc. $1,185,650.00
The Engineer's Estimate is $960,000.
The evaluation process included reviewing all bids submitted for
conformance to the contract documents. The lowest bidder, Basile,
submitted a responsible bid and holds a Class A Contractor’s license
which expires on April 30, 2013. Staff checked the references
provided with Basile’s bid, and the reference checks indicated a good
performance record by Basile on similar past projects.
Staff has verified that the bid bond provided by Western Surety
Company is valid. Once Basile signs the contract, they will furnish
the performance bond and labor and materials bond. Staff will verify
both bonds prior to executing the contract.
4
The budget increase is due to the added cost of steel pipe versus PVC
pipe in Caltrans’ ROW which was requested after the budget cycle was
approved. Caltrans also requested other miscellaneous design changes
which added minor costs to the project. The $100,000 increase
amounts to an 8.3% increase in the Project budget.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
The total budget for CIP P2513, as approved in the FY 2013 budget, is
$1,200,000. Total expenditures, plus outstanding commitments and
forecast, are $1,299,817.13. See Attachment B for budget detail.
Based on a review of the financial budgets, the Project Manager
anticipates that with a budget increase of $100,000 the Project will
be completed within the new budget amount of $1,300,000.
As a part of the 2013 budget process, the reserve where this CIP is
funded from, Replacement Fund, will be assessed and will be allocated
the necessary funds at that time. It is anticipated that the actual
overall CIP expenditures will be well below the overall CIP budget
making sufficient reserves available to fund this budget increase.
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To provide
high value water and wastewater services to the customers of the Otay
Water District in a professional, effective, and efficient manner”
and the General Manager’s Vision, “A District that is at the
forefront in innovations to provide water services at affordable
rates, with a reputation for outstanding customer service.”
LEGAL IMPACT:
None.
KC/RR:jf
P:\WORKING\CIP P2513 East Orange Ave I-805 Overcrossing\Staff Reports\BD 01-08-2013, Staff Report, Award of a Construction Contract to
Basile Const, (KC-RR).docx
Attachments: Attachment A – Committee Action
Attachment B – Budget Detail
Exhibit A – Location Map
Exhibit B – Service Area Map
ATTACHMENT A
SUBJECT/PROJECT:
P2513-001103
Increase the CIP Budget for CIP P2513 in an amount of
$100,000 and Award of a Construction Contract to Basile
Construction, Inc. for the 12-Inch Potable Water Pipeline
in Orange Avenue, I-805 Crossing
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee
(Committee) reviewed this item at a meeting held on December 10,
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:
P2513-001103
Increase the CIP Budget for CIP P2513 in an amount of
$100,000 and Award of a Construction Contract to Basile
Construction, Inc. for the 12-Inch Potable Water Pipeline
in Orange Avenue, I-805 Crossing
I-805 S
I-805 N
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U S AUSA
M E X I C OMEXICO
P:\WORKING\CIP P2513 East Orange Ave I-805 Overcrossing\Staff Reports\Exhibit A.mxd
OTAY WATER DISTRICT12-INCH POTABLE WATER PIPELINE INORANGE AVENUE, I-805 CROSSINGEXHIBIT A
PROJECT SITE
VICINITY MAP NTS
DIV. 5
DIV. 2
DIV. 1
DIV. 3
DIV. 4
5
8
8
805
11
9454
94
125
905
125
905
125
NEW 12-INCHPOTABLE WATERPIPELINE
EASTPALOMAROVERPASSO
W
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I-805 S
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M E X I C OMEXICO
P:\WORKING\CIP P2513 East Orange Ave I-805 Overcrossing\Staff Reports\Exhibit A.mxd
OTAY WATER DISTRICT12-INCH POTABLE WATER PIPELINE INORANGE AVENUE, I-805 CROSSINGEXHIBIT B
PROJECT SITE
VICINITY MAP NTS
DIV. 5
DIV. 2
DIV. 1
DIV. 3
DIV. 4
5
8
8
805
11
9454
94
125
905
125
905
125
NEW 12-INCHPOTABLE WATERPIPELINE
EAST PALOMAROVERPASS10-INCH PIPELINETO BE TEMPORARILYOUT OF SERVICE
O W D B O U N D A R Y
12-INCH PIPELINEUNDER I-805
Service Area Affected byCaltrans Work in the458 Pressure Zone
SWEETWATERAUTHORITY O W D B O U N D A R Y
Potable Pipelines458 Pressure Zone
0 1,000500Feet
458-1 & 458-2TANKS
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: January 8, 2013
SUBMITTED BY: Jeff Marchioro
Senior Civil Engineer
Ron Ripperger
Engineering Manager
CIP./G.F. NO: P2434-
001102
DIV. NO. 2
APPROVED BY:
Rod Posada, Chief, Engineering
German Alvarez, Asst. General Manager
Mark Watton, General Manager
SUBJECT: Informational Update for the Rancho del Rey Groundwater Well
Development Project
GENERAL MANAGER’S RECOMMENDATION:
No recommendation. This is an informational item only.
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To update the Otay Water District (District) Board of Directors
(Board) on the progress of the Rancho del Rey Groundwater Well
Development Project (Project).
ANALYSIS:
In 1997, the District purchased property along Rancho del Rey
Parkway within the City of Chula Vista with an existing brackish
groundwater production well on site (see Exhibit A for Project
location).
In 1999, the District split the property and sold the excess
land. The property modification was approved through the City
of Chula Vista planning process that included preparing a tract
map with plans for a developer to build a childcare facility
(Childtime) and a common driveway to serve Childtime’s and the
District’s sites. The District acquired an access easement from
Childtime in 2001.
AGENDA ITEM 5
2
At the time the property was purchased, the Project was
considered economically unfeasible. Consequently, the Project
was suspended until the cost of imported water began to escalate
in recent years.
In 2010, a new production well was constructed by AECOM
Technical Services, Inc. (AECOM). After development of the
well, AECOM recommended that 450 gallons per minute (725 acre-
feet per year) maximum safe yield pumping rate be used for
design purposes. Subsequently, staff contracted with Separation
Processes, Inc. (SPI), a well-known membrane treatment firm, to
conduct a feasibility study for the Project.
In April 2011, the Board awarded a professional services
contract to Tetra Tech, Inc. (Tetra Tech) to design the
treatment plant facility. To date, Tetra Tech has completed the
90% design submittal. Tetra Tech is currently proceeding to the
100% design level. In parallel with Tetra Tech’s ongoing design
effort, staff has been working on the following components of
the overall Project:
1. Sewer: Waste will be transported through the City of Chula
Vista’s (Chula Vista) existing sewer collection system, the
County of San Diego’s (County) existing Spring Valley
Outfall, and the Metropolitan Wastewater Joint Powers
Authority’s (Metro) sewage system for treatment. The
District will utilize existing sewer capacity rights in the
County’s Spring Valley Outfall and in Metro’s South Metro
Interceptor and Point Loma Wastewater Treatment Plant. The
District will be invoiced by Chula Vista, the County, and
Metro for Project sewer discharges separately.
Staff is working with Chula Vista to develop a new sewer
agreement to discharge brine to the sewer. Staff is also
working with the City of San Diego to obtain a new Metro
Industrial User Discharge Permit. The overall cost for the
sewer connection including Chula Vista, County, and Metro
fees is anticipated to be roughly $200/acre-foot.
2. Storm Drain: Staff is working with the City of Chula Vista
and the Regional Water Quality Control Board to obtain
coverage under existing National Pollutant Discharge
Elimination System (NPDES) Permit for discharge of non-spec
potable water to the storm drain.
3. Hazardous Materials Storage/Handling: Staff met with the
City of Chula Vista Fire Department in December 2011 to
3
review the draft design. A County Hazardous Materials
Business Plan application was submitted to the County in
April 2012.
4. Operation Options: Staff is currently considering three
options for operation of the facility including: a)
operation by a private company, b) operation by District
in-house staff, and c) operation by the Sweetwater
Authority.
5. San Diego Gas & Electric (SDG&E) Power Supply:
Coordination with SDG&E has been completed for the design
phase. Staff is working with SDG&E to gain a better
understanding of future changes in electricity rates.
6. Funding: District staff is working on a Bureau of
Reclamation funding application for up to 25% of the cost
of the Project ($2.18M in initial cost savings, which is
equivalent to a $223/acre-foot savings). Funding through
the San Diego County Water Authority’s (SDCWA) Local Water
Supply Development (LWSD) Program (up to $200/acre-foot)
and the Metropolitan Water District of Southern California
(up to $250/acre-foot) is currently unavailable.
7. Design: Tetra Tech has designed the treatment facility to
the 90% design level and is currently proceeding to the
100% design level.
Staff considers it prudent at this time to complete the
following items:
Design phase
Lock in the City of Chula Vista sewer agreement
Permit the storm drain connection
Continue Agency coordination regarding hazardous
materials
Obtain a better understanding of future changes in
electricity rates
Secure available funding
However, once the design has been completed, the Project
construction phase should be put on hold due to the uncertainty
of the items summarized in the table below:
4
Assumption: Economic Impact: Reliability Impact:
SDCWA/Poseidon
Resources current
draft water
purchase agreement
moves forward
Increase in SDCWA
Rates would
increase Project
appeal
No change - regional
treated water supply
would increase; however,
the Project would remain
the sole non-SDCWA source
SDCWA and
Metropolitan Water
District of
Southern California
treated water rate
increases long-term
Increase in SDCWA
Rates would
increase Project
appeal Not applicable
Rosarito
Desalination
project moves
forward
Unknown
The additional non-SDCWA
source would decrease
Project appeal
SDG&E rate
increases per
November 7, 2012
District Staff
Report
Increase in
electricity cost
would decrease
Project appeal
Not applicable
Once staff has a better understanding of when the SDCWA all-
inclusive treated rate will approach the projected Project unit
cost (currently estimated at $2,000/acre-foot) continuing with
the construction phase could be re-evaluated (see presentation
attached as Exhibit B).
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
No fiscal impact. The total budget for CIP P2434, as approved
in the FY 2013 budget, is $8,700,000. CIP expenditures prior to
FY 2009 (prior to commencing the SPI feasibility study and prior
to drilling the new production well) were $551,303. CIP
expenditures to date (through October 24, 2012) were $3,481,978.
Total CIP expenditures, plus outstanding commitments and
forecast, are approximately $8,694,729. See Attachment B for
budget detail.
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To
provide high value water and wastewater services to the
customers of the Otay Water District in a professional,
effective, and efficient manner” and the General Manager’s
5
Vision, “A District that is at the forefront in innovations to
provide water services at affordable rates, with a reputation
for outstanding customer service.”
LEGAL IMPACT:
None.
JM/RR:jf
P:\WORKING\CIP P2434 - RDR Well\Staff Reports\BD 01-08-13, Staff Report, Project Update Info Item, (JM-RR).doc
Attachments: Attachment A – Committee Action
Attachment B – Budget Detail
Exhibit A – Location Map
Exhibit B – Presentation
ATTACHMENT A
SUBJECT/PROJECT:
P2434-001102
Informational Update for the Rancho del Rey Groundwater
Well Development Project
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee
(Committee) reviewed this item at a meeting held on December 10,
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:
P2434-001102
Informational Update for the Rancho del Rey Groundwater
Well Development Project
Date Updated: October 24, 2012
Budget 8,700,000
Planning 001101
Labor 352,285 352,285 - 352,285
Land 326,092 326,092 - 326,092
Permits 125 125 - 125 CITY OF CHULA VISTA-DEPT. OF
Materials 1,348 1,348 - 1,348 VARIOUSRental159 159 - 159 PENHALL COMPANYConstruction Costs 26,154 26,154 - 26,154 CHILDTIME CHILDCARE, INC.
Professional Legal Fees 5,619 5,619 - 5,619 GARCIA CALDERON & RUIZ LLP
Outreach Materials 1,876 1,876 - 1,876 MARSTON+MARSTON INC
Regulatory Agency Fees 50 50 - 50 PETTY CASH CUSTODIAN
Consultant Contracts 19,871 19,871 - 19,871 JONES & STOKES ASSOCIATES INC
Consultant Contracts 13,825 13,825 - 13,825 MWH CONSTRUCTORS INC
Consultant Contracts 1,100 1,100 - 1,100 SOUTHWESTERN COLLEGE
Consultant Contracts 3,065 3,065 - 3,065 SOUTHERN CALIFORNIA SOILConsultant Contracts 14,993 14,993 - 14,993 SEPARATION PROCESSES INC
Consultant Contracts 6,930 6,930 - 6,930 VALLEY CONSTRUCTION MANAGEMENT
Consultant Contracts 1,718,505 1,718,505 - 1,718,505 AECOM TECHNICAL SERVICES INC
Service Contracts 5,100 5,100 - 5,100 S R BRADLEY & ASSOCIATES INC
Service Contracts 257 257 - 257 SAN DIEGO DAILY TRANSCRIPT
Service Contracts 245 245 - 245 SAN DIEGO UNION-TRIBUNE LLC
Service Contracts 2,500 2,500 - 2,500 FIRST AMERICAN TITLE CO
Service Contracts 624 624 - 624 UNION TRIBUNE PUBLISHING COService Contracts 399 399 - 399 REPROHAUS CORPService Contracts 440 440 - 440 URBINA'S MASTER SWEEPING INC
COUNTY OF SAN DIEGO 6 6 - 6 COUNTY OF SAN DIEGO
COURIER EXPRESS, INC.134 134 - 134 COURIER EXPRESS, INC.
USA SIGN CO.205 205 - 205 USA SIGN CO.
QUALITY ASSURANCE LABORATORY 3,226 3,226 - 3,226 QUALITY ASSURANCE LABORATORY
MULTI WATER SYSTEMS 7,108 7,108 - 7,108 MULTI WATER SYSTEMS
BARRETT CONSULTING GROUP 1,955 1,955 - 1,955 BARRETT CONSULTING GROUP
EARTH TECH 5,665 5,665 - 5,665 EARTH TECHCITY OF CHULA VISTA 3,344 3,344 - 3,344 CITY OF CHULA VISTA
BOYLE ENGINEERING CORPORATION 16,714 16,714 - 16,714 BOYLE ENGINEERING CORPORATION
MONTGOMERY WATSON LABORATORIES 112 112 - 112 MONTGOMERY WATSON LABORATORIES
ANDREW A. SMITH COMPANY 2,500 2,500 - 2,500 ANDREW A. SMITH COMPANY
ENARTEC ENGINEERING PLANNING 2,000 2,000 - 2,000 ENARTEC ENGINEERING PLANNING
ALCEM FENCE COMPANY INC.35,200 35,200 - 35,200 ALCEM FENCE COMPANY INC.
Total Planning 2,579,729 2,579,729 - 2,579,729
Design 001102 002102
Labor 390,736 390,736 40,000 430,736
Professional Legal Fees 5,118 5,118 - 5,118 STUTZ ARTIANO SHINOFF
Consultant Contracts 646,457 404,445 242,011 646,457 TETRA TECH INC
Consultant Contracts 7,847 7,847 - 7,847 PBS&J
Consultant Contracts 11,940 11,940 - 11,940 ATKINSConsultant Contracts 6,130 6,130 - 6,130 MTGL INCConsultant Contracts 3,200 3,200 - 3,200 ALTA LAND SURVEYING INC
Consultant Contracts 8,154 8,154 - 8,154 V & A CONSULTING ENGINEERS
Consultant Contracts 4,500 4,500 - 4,500 ENGINEERING PARTNERS INC, THE
Consultant Contracts 1,980 1,980 - 1,980 HERNDON SOLUTIONS GROUP
Consultant Contracts 79,472 42,717 36,754 79,472 ARCADIS US INC
Service Contracts 294 294 - 294 REPROHAUS CORP
Service Contracts 130 130 - 130 SAN DIEGO DAILY TRANSCRIPT
Service Contracts 343 343 - 343 SAN DIEGO UNION-TRIBUNE LLC- 20,000 20,000 Planset Reproduction/Distribution
Total Design 1,166,300 887,534 318,766 1,206,300
Construction 001103
Labor 14,715 14,715 200,000 214,715
101,786 101,786 101,786 TETRA TECH INC3,814,900 3,814,900 Treatment Plant Construction
350,000 350,000 Construction Management
407,300 407,300 Chula Vista Sewer Connection
Total Construction 116,500 14,715 4,873,986 4,888,700
Grand Total 3,862,529 3,481,978 5,212,751 8,694,729
Vendor/Comments
Otay Water District
P2434 - Rancho Del Rey Well Development
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
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OTAY WATER DISTRICTRANCHO DEL REY WELL PROJECTLOCATION MAP
EXHIBIT A CIP P2434
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DIV. 5
DIV. 2
DIV. 3
DIV. 1
DIV. 4
F
Rancho del Rey
Groundwater Well
Development Project
Informational Update for:
January 8, 2013
Exhibit B
Presentation Outline
1.Project Overview
2.Recent Efforts
3.Costs
4.Schedule
2
Project Overview
New Potable Water Source (600 AFY):
Production well (900’ deep, 450 gpm)
Nested Monitoring Well (5 sub-monitoring wells)
RO Treatment Facility (80-90% recovery)
Discharge Brine to Sewer
3
4
5
Old Well
New Well
6
Childtime
7
Architectural Elevations
8
Tetra Tech 100% Design
•90% reviewed by District staff, CDPH, and Value
engineering and constructability consultant (Arcadis)
Sewer
•City of Chula Vista
•County
•Metro
Recent Efforts
9
Sewer Connection
10
City of Chula Vista
•New Agreement
•$406K in initial costs (pipeline capacity, shared sewer system
improvement costs, CCTV) and $11k+/- quarterly for conveyance
•Possible additional costs (scale removal, manhole relining)
County
•Utilize existing agreement & existing pipeline capacity in the County’s
Spring Valley Outfall
Metro
•Utilize existing agreement & existing pipeline and treatment capacity in
Metro’s South Metro Interceptor and Point Loma Wastewater
Treatment Plant
•Industrial User Discharge Permit
Sewer Connection
11
Storm Drain connection and NPDES Permit
Hazardous Materials Storage/Handling
•County Hazardous Materials Business Plan
•Chula Vista Fire Department
Operation Options
•Private Company (Veolia, Cal Am, United Water, Degremont, IDE)
•In-House (District hire two T3 Operators)
•Sweetwater Authority
Recent Efforts (continued)
12
SDG&E Power Supply
•Agreement
•Possible Rate Increases
Funding
•United States Bureau of Reclamation grant request
Recent Efforts (continued)
13
Initial (CIP Budget) $8.7M
•Treatment Facility $3.8M
•Expenditures to Date $3.8M
•Other (e.g., Admin, Construction Mgt.) $1.0M
•City of CV Sewer Connection $0.4M
Annual $650K/year
Cost of Water $2,000/AF
Current Cost Model
14
Preliminary Design Report Oct 2011 (complete)
90% Design May 2012 (complete)
90% Design Review Aug 2012 (complete)
Final Design Mar 2013
Project Schedule
15
SDCWA/Poseidon Resources draft water purchase
agreement
Long-term SDCWA and Metropolitan Water District
of Southern California treated water rates
Rosarito Desalination project
Future SDG&E rate increases
Drivers for Placing Project on Hold
(after completion of design)
16
Questions?
17
STAFF REPORT
TYPE MEETING: Engineering, Operations, and
Water Resources Committee
MEETING DATE: January 8, 2013
SUBMITTED BY: Dan Martin
Engineering Manager
PROJECT: Various DIV. NO. ALL
APPROVED BY:
Rod Posada, Chief, Engineering
German Alvarez, Asst. General Manager
Mark Watton, General Manager
SUBJECT: Informational Item – As-Needed Services to support the
delivery of the Capital Improvement Program
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
receive as an informational item a report that presents information
on the use of As-Needed Services to support the delivery of the
District’s Capital Improvement Program.
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To provide information to the Board on the role that As-Needed
Services play in the delivery of the District’s Capital Improvement
Program and how these Services contribute to attaining the District’s
Strategic Goals and Objectives.
ANALYSIS:
Background
During the October 9, 2012 District Board meeting, items were
presented by staff to award an As-Needed Construction Management and
AGENDA ITEM 6
2
Inspection Services (CMIS) contract for Fiscal Year (FY) 2013 through
FY 2015 and an As-Needed Engineering Design contract for FY 2013 and
FY 2014. During the presentations, Board members asked staff various
questions related to the use of As-Needed Services to support the
delivery of the District’s Capital Improvement Program and how these
services contribute to attaining the District’s Strategic Goals and
Objectives. The Board directed staff to present findings to the Otay
Water District Engineering, Operations & Water Resources Committee.
The following report provides an overview on why the District
contracts out for As-Needed Services, presents information on the
benefits to “bundling” the District’s engineering consultant service
needs into larger contracts with longer terms, and describes how
these services support the District’s Strategic Plan efforts.
Why do we contract out services for engineering, construction
management, and inspection services?
From FY 2006 to FY 2012, the Capital Improvement Program (CIP)
expenditures have ranged from $36.3 million in FY 2006 to $18.7
million in FY 2012. During this time the District has taken steps to
assure that the required level of resources are available to deliver
the CIP by using a combination of Full Time Employees (FTE) and
Consultants. Over the same period of time, the Engineering FTE
totals have gone from 28 positions to 21. The Engineering FTE total
included in the approved budget for FY 2013 is 19. The District has
taken care to effectively manage the number of Engineering FTE to
assure that the level of District staff is aligned with the program
need. The District’s Engineering staff focuses on the core business
of developing and delivering the CIP aligned with the District’s
Mission and Values. The District uses consultants to augment staff.
This practice has demonstrated the following benefits in the delivery
of the program:
Provides a resource to manage the workload peaks and valleys
that occur while delivering the CIP, while assuring that the
level of Engineering FTE is appropriate from one fiscal year to
another
Supplies additional professional expertise to the District’s
projects to complement the existing areas of expertise possessed
by staff
Provides a more diverse set of experience to successfully
deliver the CIP
Allows the District’s Engineering staff to concentrate on the
District’s core business of developing, managing, and delivering
the Six-Year CIP by tasking a portion of the technical
deliverables to consultants.
3
The District strikes a balance between levels of Engineering FTE and
consultants needed to deliver the Six-Year CIP. The District
contracts with consultants to provide the services and resources
needed to deliver the District’s program. Staff manages Consultant
costs and deliverables to assure that the District is getting high
value in the delivery of the District’s projects. In addition, the
District assures an appropriate level of FTE Staff to preserve
organizational knowledge to plan for the future. The result is an
effective, efficient program that provides savings to the District in
the form of hiring less FTE’s.
What are the benefits to “bundling” the District’s engineering
consultant service needs into larger contracts with longer terms?
The District has experienced several benefits to “bundling” the
District’s contracting needs including, but not limited to, the
following:
Contracts advertised with larger contract amounts generate a
greater interest by the professional consultant community. This
translates to a larger pool of potential professional
consultants who possess a greater degree of experience for the
District to choose from.
Rates from consultants potentially differ by length of
engagement. Short-term engagements will usually command a
higher hourly rate when compared to long-term work in order to
cover the direct fixed costs of running their respective
business. Long-term work represents less risk and thus lowers
the consultant’s expenses that influence their rates. The
District has taken a balanced approach to mitigate the potential
for rates influenced by short-term engagements by providing one
and two-year As-Needed Services contracts.
The estimated cost to complete procurement for a professional
consultant such as CMIS in accordance with the District’s Policy
Number 21 ranges from $4,500 to $9,000 depending on the value of
the procurement. By building an estimate of the District’s
consultant engineering service needs based on the CIP over a
two-year horizon and “bundling” these needs into a single
procurement the overall number of procurements performed by
staff is reduced which results in a savings to the District.
This was demonstrated on the recent CMIS procurement where nine
projects were bundled into a single procurement. The savings
associated with bundling these nine projects into a single
procurement in lieu of nine separate procurements is estimated
to be $36,000.
4
This “bundling” approach to contracting for services is balanced by
the use of As-Needed Services on a task order basis which assures
that the District only pays for consultant services when these
services are rendered to actively complete projects. In addition,
the length of a contract is limited to a one or two-year duration to
assure that the District is getting high value by receiving the
benefit of a competitive procurement on a planned strategic basis.
How do we measure if we are being successful using consultants?
While staff has not specifically developed a measurement strategy
related to the use of consultants, the use of consultants is a widely
employed industry practice due to the benefits described above. The
District realizes these benefits at the program level. Consultants
serve as an extension of District staff in the delivery of the CIP.
Through task orders issued by District staff, consultants are
responsible for delivering a variety of activities that move the
District’s projects forward to completion. These activities include,
but are not limited to, design engineering, construction management,
inspection, plan review for recycled water, development of master
plans, environmental support, survey, and utility mark-outs. These
activities and deliverables are represented as a component in the
District’s Strategic Plan Objectives and Performance Measures
including the following established for Engineering:
Plan Objectives
ID No. Description
3.1.1.1 Prepare and implement a Waste Water Management Plan
3.1.1.5 Work with the District’s largest potable water
customers to convert landscape and interior water use
to recycled water where fiscally feasible and safe
Performance Measures
ID No. Description
2.2.200 CIP Project Expenditures vs. Budget
2.2.201 Construction Change Order Incidence (without
allowances)
2.2.202 Mark-out Accuracy
2.2.203 Project Closeout Time
The performance of these Plan Objectives and Performance Measures is
reported to the Board each fiscal year on a quarterly basis. Staff
is responsible for the management of the consultants to achieve the
established measurement strategy or respective target.
5
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
No fiscal impact as this is an informational item only.
STRATEGIC GOAL:
This report supports the District’s Mission Statement, “To provide
high value water and wastewater services to the customers of the Otay
Water District in a professional, effective, and efficient manner”
and the General Manager’s Vision, “A District that is at the
forefront in innovations to provide water services at affordable
rates, with a reputation for outstanding customer service.”
LEGAL IMPACT:
None.
DM/RP:jf
P:\WORKING\As Needed Services\BD 01-08-13, Staff Report, Informational Item - As Needed Services for CIPs, (DM-RP).docx
Attachment: Attachment A – Committee Action
ATTACHMENT A
SUBJECT/PROJECT:
Various
Informational Item – As-Needed Services to support the
delivery of the Capital Improvement Program
COMMITTEE ACTION:
The Otay Water District Engineering, Operations, and Water Resources
Committee (Committee) reviewed this item at a meeting held on
December 10, 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.
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: January 8, 2013
SUBMITTED BY:
Dan Martin
Engineering Manager
PROJECT: Various DIV. NO. ALL
APPROVED BY:
Rod Posada, Chief of Engineering
German Alvarez, Asst. General Manager
Mark Watton, General Manager
SUBJECT: Informational Item – First Quarter Fiscal Year 2013 Capital
Improvement Program Report
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
accept the First Quarter Fiscal Year 2013 Capital Improvement Program
(CIP) Report for review and receives a summary via PowerPoint
presentation.
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To update the Board about the status of all CIP project expenditures
and to highlight significant issues, progress, and milestones on
major projects.
ANALYSIS:
To keep up with growth and to meet our ratepayers' expectations to
adequately deliver safe, reliable, cost-effective, and quality water,
each year the District staff prepares a Six-Year CIP Plan that
identifies the District’s infrastructure needs. The CIP is comprised
of four categories consisting of backbone capital facilities,
replacement/renewal projects, developer's reimbursement projects, and
capital purchases.
AGENDA ITEM 7
The First Quarter Fiscal Year 2013 update is intended to provide a
detailed analysis of progress in completing these projects within the
allotted time and budget of $18 million. Expenditures through the
First Quarter totaled approximately $2.7 million. Approximately 15%
of the Fiscal Year 2013 expenditure budget was spent.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
No fiscal impact as this is an informational item only.
STRATEGIC GOAL:
The Capital Improvement Program supports the District’s Mission
statement, “To provide high value water and wastewater services to
the customers of the Otay Water District, in a professional,
effective, and efficient manner” and the General Manager’s Vision, “A
District that is at the forefront in innovations to provide water
services at affordable rates, with a reputation for outstanding
customer service.”
LEGAL IMPACT:
None.
DM/RP:jf
P:\CIP\CIP Quarterly Reports\2013\Q1\Staff Report\BD 01-08-13, Staff Report, First Quarter FY 2013 CIP Report, (DM-RP).docx
Attachments: Attachment A – Committee Action
Attachment B - Fiscal Year 2013 First Quarter CIP
Expense Report
Attachment C – Presentation
ATTACHMENT A
SUBJECT/PROJECT:
Various
Informational Item – First Quarter Fiscal Year 2013 Capital
Improvement Program Report
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee (Committee)
reviewed this item at a Committee Meeting held on December 10, 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.
Otay Water District
Capital Improvement Program
Fiscal Year 2013
First Quarter
(through September 30, 2012)
Calavo Gardens Sewer Rehabilitation
08/13/12
Attachment C
Background
The approved CIP Budget for Fiscal Year 2013 consists of
70 projects that total $18 million. These projects are
broken down into four categories.
1.Capital Facilities $ 7.6 million
2.Replacement/Renewal $ 9.6 million
3.Capital Purchases $ .8 million
4.Developer Reimbursement $ 0.0 million
Overall expenditures through the First Quarter Fiscal
Year 2013 totaled $2.7 million, which is 15% of the Fiscal
Year budget.
2
Fiscal Year 2013
First Quarter Update
($1,000)
CIP
CAT Description FY 2013
Budget
FY 2013
Expenditures
%
FY 2013
Budget
Spent
Total Life-to-
Date Budget
Total
Life-to-Date
Expenditures
%
Life-to-
Date
Budget
Spent
1 Capital
Facilities $7,588 $1,069 14% $111,138 $40,127 36%
2 Replacement/
Renewal $9,559 $1,433 15% $59,506 $26,741 45%
3 Capital
Purchases $794 $236 30% $14,222 $8,796 62%
4 Developer
Reimbursement $53 $0 0% $6,513 $1 0%
Total:
$17,994 $2,738 15% $191,379 $75,665 40%
3
Fiscal Year 2013
First Quarter
CIP Budget Forecast vs. Expenditures
4
$17,994,000
$-
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
$16,000,000
$18,000,000
$20,000,000
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
FISCAL YEAR PERIOD IN MONTHS
Expenditure Forecast
FY 2013 Expenditures
District Map of Major CIP Projects
5 5
CIP Projects in Construction
Phase I of 944-1R Recycled Water Pump Station Improvements (R2091)
Installation of New Pump
New Instrumentation
New Suction Header Piping
Three (3) New Pressure Reducing Stations
$1.88M Budget
Start: June 2011
Substantially Complete: 8/3/12
Above: New Pump No. 3 and Suction Header Piping at 944 Pump Station
6
07/02/12
CIP Projects in Construction
RWCRWF Upgrades (R2096)
New Aeration System, Blower System, and Electrical Instrumentation
$4.95M Budget
Start: July 2011
Substantially Complete: 7/31/12
Refurbished Aeration Basin under operation
06/28/12
7
CIP Projects in Construction
La Presa System
Improvements (P2370)
Demolition of 850-1 and
657-1 Pump Stations and
Forebay Reservoir
Multiple
interconnections
throughout Spring Valley
Demolition of
Dorchester Reservoir
and Pressure Reducing
Station
$1.43M Budget
Start: November 2011
Substantial Completion:
8/16/12
Completed PRV Station at La Presa Site
8
07/19/12
CIP Projects in Construction
Calavo Gardens Sewer Rehabilitation (S2019, S2020, S2022, S2026)
Replacement of 4,500 Linear Feet of Sewer
Manhole Rehabilitation/Replacement
Capacity Upgrades
New Flow Control and Diversion Vault for Calavo Lift Station
$3.35M Budget
Start: February 2012
Estimated Completion: May 2013
Compacting Trench in Avocado Boulevard
9
08/14/12
CIP Projects in Construction
10
Hunte Parkway 30-Inch Potable Pipeline (P2514)
Installation of 2,250 LF of Polyurethane Coated Steel Pipe
$1.55M Budget
Start: April 2012
Estimated Completion: January 2013
Dry grinding the road
11
Construction Contract Status
PROJECT
TOTAL %
R2091
944-1R
RecycledPump
Station Upgrade &
System
Enhancments
Sepulveda $1,099,423 $1,162,423 $0 0.0%
R2096 RWCWRF Upgrades Newest $3,349,000 $3,499,000 $72,807 2.2%
P2370 La Presa System
Improvements TC Construction $938,995 $978,995 $82,548 8.8%
S2019/S
2020/S2
022/S20
26
Calavo Gardens
Sewer Rehabilitation
Garcia Juarez
Construction $2,232,275 $2,316,275 $0 0.0%
P2491 850-3 Reservoir
Coating
Advanced Industrial
Services $273,300 $293,300 $400 0.1%
P2514
30-Inch Potable
Pipeline in Hunte
Parkway
Sepulveda $1,172,257 $1,212,257 $0 0.0%
TOTALS:$9,065,250 $9,462,250 $155,755 1.7%
*NET CHANGE ORDERS DO NOT INCLUDE ALLOWANCE ITEM CREDITS. IT'S A TRUE CHANGE ORDER PERCENTAGE FOR THE PROJECT
CIP NO.PROJECT TITLE CONTRACTOR BASE BID AMOUNT
CONTRACT
AMOUNT W/
ALLOWANCES
NET CHANGE
ORDERS LTD*
Consultant Contract Status
12
Consultant Contract Status
13
QUESTIONS?
14