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HomeMy WebLinkAbout03-02-2016 Operations Committee Agenda Packet Orange County Sanitation District Wednesday, March 2, 2016 Regular Meeting of the 5:00 P.M. OPERATIONS COMMITTEE Administration Building Board Room 10844 Ellis Avenue Fountain Valley, CA 92708 4 (714) 593-7433 AGENDA CALL TO ORDER PLEDGE OF ALLEGIANCE DECLARATION OF QUORUM: Clerk of the Board PUBLIC COMMENTS: If you wish to address the Board of Directors on any item, please complete a Speaker's Form (located at the table outside of the Board Room) and submit it to the Clerk of the Board or notify the Clerk of the Board the item number on which you want to speak. Speakers will be recognized by the Chairman and are requested to limit comments to three minutes. REPORTS: The Committee Chair and the General Manager may present verbal reports on miscellaneous matters of general interest to the Committee Members. These reports are for information only and require no action by the Committee. CONSENT CALENDAR: The Consent Calendar Items are considered to be routine and will be enacted, by the Committee, after one motion, without discussion. Any items withdrawn from the Consent Calendar for separate discussion will be considered in the regular order of business. 1. APPROVAL OF MINUTES (Clerk of the Board) RECOMMENDATION: Approve Minutes of the January 6, 2016, Operations Committee Meeting. 2. NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT, PROJECT NO. 2-72 (Rob Thompson) A. Approve a Professional Construction Services Agreement with Lee R Ro, Inc., to provide construction support services for Newhope-Placentia Trunk Sewer Replacement, Project No. 2-72, for a total amount not to exceed $3,253,946; and B. Approve a contingency of$325,394 (10%). 03/02/2016 Operations Committee Agenda Page 1 of 3 3. QUARTERLY ODOR COMPLAINT REPORT (Ed Torres) RECOMMENDATION: Receive and file the Fiscal Year 2015/16 Second Quarter Odor Complaint Summary. NON-CONSENT CALENDAR: 4. CAPITAL IMPROVEMENT PROGRAM OVERVIEW (Rob Thompson) RECOMMENDATION: Information Only. 5. SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES, CONTRACT NO. PSA-2015-100 (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: Approve a Professional Services Agreement with Jacobs Project Management Co. to provide supplemental engineering and support staff services, Contract No. PSA-2015-100, commencing July 1, 2016 through June 30, 2020, with three one-year renewal options, for a total amount not to exceed $41,000,000 over the period of up to seven years. INFORMATION ITEMS: 6. ENVIRONMENTAL SERVICES DEPARTMENT OVERVIEW (Bob Ghirelli) 7. ENERGY EFFICIENCY AUDIT FINDINGS (Ed Torres) DEPARTMENT HEAD REPORTS: OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: 03/02/2016 Operations Committee Agenda Page 2 of 3 ADJOURNMENT: The next Operations Committee meeting is scheduled for Wednesday, April 6, 2016, at 5:00 p.m. Accommodations for the Disabled: Meeting Rooms are wheelchair accessible. If you require any special disability related accommodations, please contact the Orange County Sanitation District Clerk of the Board's office at (714) 593-7433 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested. Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2,this agenda has been posted outside the main gate of the Sanitation District's Administration Building located at 10844 Ellis Avenue, Fountain Valley,Cafdomia,not less than 72 hours prior to the meeting date and Ume above. All public records relating to each agenda item,including any public records distributed less than 72 hours prior to the meeting to all,or a majority of the Board of Directors,are available for public inspection in the office of the Clerk of the Board. Aaenda Description: The agenda provides a brief general description of each item of business to be considered or discussed. The recommended action does not indicate what action will be taken. The Board of Directors may take any action which is deemed appropriate. NOTICE TO DIRECTORS: To place items on the agenda for the Committee Meeting,items must be submitted to the Clerk of the Board 14 days before the meeting. Kelly A. Lore Clerk of the Board (714)593-7433 klomaocsd.com For any questions on the agenda,Committee members may contact staff at: General Manager Jim Herberg (714)593-7300 iherberg(tpocsd.com Assistant General Manager Bob Ghirelli (714)593-7400 mhirelli(docsd.com Director of Engineering Rob Thompson (714)593-7310 rthompson(Ceoasd.com Director of Facilities Support Services Nick Amontes (714)593-7210 narhontesfg ocsd.com Director of Operations&Maintenance Ed Torres 714 593-7080 etorres ocsd.com 03/02/2016 Operations Committee Agenda Page 3 of 3 ITEM NO. 1 MINUTES OF THE OPERATIONS COMMITTEE Orange County Sanitation District Wednesday, January 6, 2016, 5:00 p.m. A regular meeting of the Operations Committee was called to order by Committee Chair Withers on Wednesday, January 6, 2016 at 5:01 p.m. in the Administration Building. Vice-Chair Seboum led the Flag Salute. A quorum was declared present, as follows: COMMITTEE MEMBERS PRESENT: STAFF PRESENT: John Withers, Chair Jim Herberg, General Manager David Shawver, Vice-Chair Bob Ghirelli, Assistant General Manager Lisa Bartlett Nick Arhontes, Director of Facility Support Services Tom Beamish Celia Chandler, Director of Human Resources Ellery Deaton Rob Thompson, Director of Engineering Steve Jones Ed Torres, Director of Operations and Maintenance Robert Kiley Lorenzo Tyner, Director of Finance & Richard Murphy Administrative Services Steve Nagel Kelly Lore, Clerk of the Board Fred Smith Cindi Ambrose Chad Wanke Jennifer Cabral Mariellen Yarc Jim Colston John Nielsen, Board Chair Mark Esquer Greg Seboum, Board Vice-Chair Dean Fisher Norbert Gaia COMMITTEE MEMBERS ABSENT: At Garcia None. Kathy Millea Jeff Mohr Julian Sabri Chris Stacklin OTHERS PRESENT: Brad Hogin, General Counsel Michael Beverage, Alternate Director YLWD Bob Ooten, Alternate Director, CMSD PUBLIC COMMENTS: None. 01/06/2016 Opeations Committee Minutes Page 1 of 6 REPORT OF COMMITTEE CHAIR: Committee Chair Withers did not provide a report. REPORT OF GENERAL MANAGER: General Manager, Jim Herberg notified the Committee that the Legislative and Public Affairs Committee and the Administration Committee are dark this month; GWRS Steering Committee will meet on January 11; Steering and Board Meetings will be held on January 27; and announced that ACC-OC will be touring OCSD and OCWD on January 28. He further stated that in conjunction with the Utility Branding effort, a new Agenda Report format is now in place which should increase transparency, show relevant standards, and should provide a more user friendly content. CONSENT CALENDAR: 1. APPROVAL OF MINUTES (Clerk of the Board) MOVED. SECONDED. and DULY CARRIED TO: Approve Minutes of the December 2, 2015, Operations Committee Meeting. AYES: Beamish, Deaton, Kiley, Nagel, Nielsen, Murphy, Sebourn, Shawver, Smith, F., Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: Bartlett, Jones, and Wanke 2. UNIFORMS AND JANITORIAL ARTICLES RENTAL SERVICE, SPECIFICATION NO. S-2015-675BD-R (Lorenzo Tyner) MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of Directors to: A. Award Purchase Order Contract to Prudential Overall Supply for Uniform and Janitorial Articles Rental Service, Specification No. S-2015-675BD-R, for one 3-year period (04/0112016 — 03/31/2019) for an amount not to exceed $493,370.28 with one 3-year renewal option; and B. Approve a contingency of$49,337 (10%). AYES: Beamish, Deaton, Kiley, Nagel, Nielsen, Murphy, Sebourn, Shawver, Smith, F., Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: Bartlett, Jones, and Wanke 01/06/2016 Operations Committee Minutes Page 2 of 6 3. PLANT 1 POTABLE WATER SYSTEM IMPROVEMENTS, PROJECT NO. FE09-04 (Rob Thompson) MOVED, SECONDED. and DULY CARRIED TO: Recommend to the Board of Directors to: Approve a construction contingency increase of$25,275 (15%)to the construction contract with ODC Engineering and Technology for the Plant 1 Potable Water System Improvements, Project FE09-04, for a total construction contingency of $50,550 (30%). AYES: Beamish, Deaton, Kiley, Nagel, Nielsen, Murphy, Sebourn, Shawver, Smith, F., Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: Bartlett, Jones, and Wanks 4. SCADA SYSTEM AND NETWORK UPGRADES, PROJECT NO. P2-107 (Rob Thompson) MOVED. SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Professional Design Services Agreement with Brown & Caldwell to provide engineering design services for the SCADA System and Network Upgrade, Project No. P2-107,for an amount not to exceed $2,818,197; and B. Approve a contingency of$281,820 (10%). AYES: Beamish, Deaton, Kiley, Nagel, Nielsen, Murphy, Sebourn, Shawver, Smith, F., Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: Bartlett, Jones, and Wanks 5. CHANGE ORDER TO BRENNTAG PACIFIC CAUSTIC SODA SPECIFICATION NO. C-2013-560 (Ed Torres) MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Change Order for an additional amount of $184,800 for 25% Caustic Soda (Sodium Hydroxide), Purchase Order Specification No. C-2013-560 with Brenntag Pacific for chemical scrubbers at both Plant No. 1 and Plant No. 2, for the period of July 1, 2015 through 01/06/2016 Operations Committee Minutes Page 3 of 6 June 30, 2016, for a unit price of $560.52 per dry ton (delivery and applicable sales tax included) for a total estimated annual amount of $280,000 with one remaining year of renewal; and B. Approve a (10%) unit price contingency. AYES: Beamish, Deaton, Kiley, Nagel, Nielsen, Murphy, Sebourn, Shawver, Smith, F., Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: Bartlett, Jones, and Wanks Director Jones arrived at 5:06 p.m. Director Wanke arrived at 5:13 p.m. Director Bartlett arrived at 5:21 p.m. NON-CONSENT CALENDAR: Director of Engineering Rob Thompson provided an informative PowerPoint presentation regarding Item No. 6 which provided: project locations; traffic flow challenges; capacity and condition issues; consultant selection; scheduling and coordination with local cities and agencies. 6. REHABILITATION OF WESTERN REGIONAL SEWERS, PROJECT NO. 3-64 (Rob Thompson) MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve an increase in the project budget from $112,222,000 to $125,000,000; B. Approve a Professional Design Services Agreement with AECOM Technical Services, Inc., to provide engineering services for Rehabilitation of Western Regional Sewers, Project No. 3-64,for an amount not to exceed $17,639,250; and C. Approve a contingency of$1,763,925 (10%). AYES: Beamish, Deaton, Jones, Kiley, Nagel, Nielsen, Murphy, Seboum, Shawver, Smith, F., Wanks, Withers, and Yarc NOES: None ABSTENTIONS: Bartlett (Levine Act) ABSENT: None 01/06/2016 Operations Committee Minutes Page 4 of 6 Jason Dadakis, OCWD Director of Health & Regulatory Affairs spoke In support of Item 7. Environmental Compliance Manager, Jim Colston introduced Item No. 7 and provided a PowerPoint Presentation which highlighted the major changes to the Ordinance. He stated that agency partners and permittees had been notified and were given the opportunity to participate in a workshop and comment on the proposed changes. Mr. Colston then answered questioned from the Committee regarding: written appeal process to the Steering Committee; waste hauler sampling; due process restrictions; and emergency suspension processes. General Counsel, Brad Hogin stated that a few changes will be made to the proposed Ordinance, prior to first reading, which will be provided by a reclined version to the Board. 7. PROPOSED ADOPTION OF WASTEWATER DISCHARGE REGULATIONS, ORDINANCE NO. OCSD-XX (Rob Thompson) MOVED. SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: A. Introduce Ordinance No. OCSD-XX, entitled "An Ordinance of the Board of Directors of Orange County Sanitation District Establishing Wastewater Discharge Regulations, Revising Articles 1 through 8, and repealing Ordinance No. OCSD-39" for first reading at the January 27, 2016 Board meeting'; and B. Motion to read Ordinance No. OCSD-XX by title only and waive reading of said entire Ordinance on January 27, 2016; and C. Set February 24, 2016, as the date for the second reading and adoption of Ordinance No. OCSD-XX; and D. Direct the Clerk of the Board to publish summaries of the Ordinance as required by law. AYES: Bartlett, Beamish, Deaton, Jones, Kiley, Nagel, Nielsen, Murphy, Sebourn, Shawver, Smith, F., Wanke,Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: None INFORMATION ITEMS: None. 01/06/2016 Operations Committee Minutes Page 5 of 6 DEPARTMENT HEAD REPORTS: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. ADJOURNMENT At 5:58 p.m., Committee Chair Withers declared the meeting adjourned to the next scheduled meeting of Wednesday, February 3, 2016 at 5:00 p.m. Submitted by, Kelly A. Lore Clerk of the Board 01/06/2016 Operations Committee Minutes Page 6 of 6 OPERATIONS COMMITTEE NeetlOgDate TOBd 0/1Dir. 03/021 03/23/16 AGENDA REPORT Item Number Item Number z Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Director of Engineering SUBJECT: NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT, PROJECT NO. 2-72 GENERAL MANAGER'S RECOMMENDATION A. Approve a Professional Construction Services Agreement with Lee & Ro, Inc., to provide construction support services for Newhope-Placentia Trunk Sewer Replacement, Project No. 2-72, for a total amount not to exceed $3,253,946; and B. Approve a contingency of$325,394 (10%). SUMMARY BACKGROUND The upper reaches of the Newhope-Placentia Trunk and the Rolling Hills Sub-Trunk carry flow from portions of the Cities of Brea, Fullerton, and Anaheim to Plant No. 1 for reclamation. Because the Newhope-Placentia Trunk has limited capacity, approximately S mgd is diverted away from the Newhope-Placentia Trunk into the SARI line at three flow diversion structures and the Yorba Linda Pump Station. Because the SARI Line includes nonreclaimable wastes, all of its flow is diverted to Plant No. 2 and not reclaimed. The Newhope-Placentia Trunk was constructed in 1959, and the Rolling Hills Subtrunk was constructed in 1966. The Yorba Linda Pump Station was constructed in 1974. RELEVANT STANDARDS • Meet or exceed sanitary sewer overflow regulations. • Maintain collaborative and cooperative relationships with neighboring agencies. • Use all practical and effective means for recovering wastewater for reuse. • CA Government Code 4526: Select the "best qualified firm" and "negotiate fair and equitable fees'. Page 1 of 4 PROBLEM Previous modeling efforts completed under the Sanitation District's 1999 and 2006 Strategic Plan Update, and 2009 Facilities Master Plan identified capacity deficiencies in the upper reaches of the Newhope-Placentia Trunk and Rolling Hills Subtrunk. The electrical and mechanical equipment in the Yorba Linda Pump Station is nearing the end of its useful life and would require extensive rehabilitation if it were to remain in service. PROPOSED SOLUTION The Newhope-Placentia Trunk Sewer Replacement project, Project No. 2-72 will increase the capacity of the Newhope-Placentia Trunk and Rolling Hills Subtrunk to satisfy current and future flows, allow abandonment of Yorba Linda Pump Station and associated force main piping, and add flexibility to the collections system to divert reclaimable flows to Plant No. 1. This project also provides capacity for future development, minimizing the risk of sewer spills in the future. A subsequent project will abandon the Yorba Linda Pump Station and associated force main. The project has been divided into three packages to facilitate bidding and construction. Package A, includes the Newhope-Placentia Trunk on Yorba Linda Boulevard from Campus Drive to State College Boulevard, and on State College Boulevard from Yorba Linda Boulevard to just south of the 91 Freeway. Package B will continue south on State College Boulevard from the 91 Freeway to Orangewood Avenue. Package C will address the Rolling Hills Subtrunk. This agenda report requests engineering support services needed during construction to provide continuity through the completion of each of the three construction packages. The proposed services will be provided on an as-needed basis and include reviewing submittals, answering Contractor's requests for information, reviewing contract document modifications, design changes, and construction change orders, participating in construction workshops and progress meetings with Cities of Fullerton and Anaheim, Caltrans, Contractor, site visits, assisting with claims avoidance and dispute resolution, participating in the final inspection, preparing record drawings, and assisting in closeout of the project. Specialty services to be provided also include comprehensive public outreach services; coordination, review of construction submittals, and field engineering/inspection for all trenchless crossings; support services for review, response, interpretation, modification and generation of new or modified traffic control drawings, and advice on project issues related to traffic control conditions; geotechnical services for review, response, interpretation and advice on project issues related to geotechnical conditions, geotechnical baseline report, geotechnical logs, and data reports; and environmental services to provide support for review, response, interpretation and advice on project issues related to environmental conditions and the Sanitation District's Program Environmental Impact Report (PEIR) requirements. Page 2 of 4 TIMING CONCERNS Package A was advertised for construction in December 2015, bids were opened on January 21, 2016, and the construction contract awarded on February24, 2016. Engineering support services will be needed with the start of construction of Package A. RAMIFICATIONS OF NOT TAKING ACTION Engineering support services needed to facilitate and review construction activities will not be available. PRIOR COMMITTEE/BOARD ACTIONS October, 2014 - Approved a Professional Design Services Agreement with Lee & Ro, Inc. to provide engineering design services for Newhope-Placentia Trunk Replacement, Project No. 2-72, for an amount not to exceed $8,468,232 and approved a contingency of$846,823 (10%). February, 2016 - Awarded a Construction Contract to Trautwein Construction Inc. for Newhope-Placentia Trunk Sewer Replacement (Fullerton/Anaheim Segment "A"), Contract No. 2-72A, for a total amount not to exceed $21,134,650. ADDITIONAL INFORMATION Lee & Ro, Inc., has successfully furnished engineering services for the design of Project No. 2-72 and their engineering support services during construction will provide continuity through the completion of the project. Staff negotiated with Lee & Ro, Inc. for these support services in accordance with the Sanitation District's adopted policies and procedures. A review of the proposed price was conducted using estimated quantities of Requests for Information, submittals, meetings, site visits, change order review, and design revisions, as well as the level of effort for preparing record drawings. Based on this review, staff determined the negotiated fee to be fair and reasonable for these services. Staff recommends awarding a Professional Consultant Services Agreement with Lee & Ro, Inc. for an amount not to exceed $3,253,946, and approve a contingency of$325,394 (100/%). CEQA The Sanitation District, as lead agency, prepared a Program Environment Impact Report (PEIR) entitled 1999 OCSD Strategic Plan. The Board certified the PEIR on October 27, 1999. The Sanitation District Tiled a Notice of Determination on October 29, 1999. The Board filed an Addendum to the 1999 OCSD Strategic Plan Program Environmental Impact Report for additional project analysis for the Newhope- Placentia Trunk Sewer Replacement (Fullerton/Anaheim Segment "A") on February 24, 2016. Page 3 of 4 FINANCIAL CONSIDERATIONS This request complies with authority levels of the Sanitation District's Purchasing Ordinance. This item has been budgeted (Line item: Budget Update FY2015-16 Section 8, Page 23). Date of Aooroval Contract Amount Contingency 03/23/16 $3,253,946 10 ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (wwwocsd.corn with the complete agenda package: Professional Consultant Services Agreement RC:dm:gc Page 4 of 4 PROFESSIONAL CONSTRUCTION SERVICES AGREEMENT THIS AGREEMENT, is made and entered into to be effective the 23'd day of March, 2016 by and between the ORANGE COUNTY SANITATION DISTRICT, hereinafter referred to as "SANITATION DISTRICT", and LEE & RO, INC., for purposes of this Agreement hereinafter referred to as "CONSULTANT. WITNESSETH: WHEREAS, the SANITATION DISTRICT desires to engage a CONSULTANT to provide Construction Support Services for Newhope-Placentia Trunk Sewer Replacement, Project No. 2.72; and, WHEREAS, CONSULTANT is qualified to provide the necessary services for Construction Support Services in connection with these requirements; and, WHEREAS, the SANITATION DISTRICT has adopted procedures in accordance with the SANITATION DISTRICT Board of Directors' Ordinance No. OCSD-47 Section 4.03(B)for the continuation of services and has proceeded in accordance with said procedures to perform this work; and, WHEREAS, at its regular meeting on March 23, 2016 the Board of Directors, by Minute Order, accepted the recommendation of the Operations Committee to approve this Agreement between the SANITATION DISTRICT and CONSULTANT. NOW, THEREFORE, in consideration of the promises and mutual benefits, which will result to the parties in carrying out the terms of this Agreement, it is mutually agreed as follows: 1. SCOPE OF WORK CONSULTANT agrees to furnish necessary professional and technical services to accomplish those project elements outlined in the Scope of Work attached hereto as "Attachment A", and by this reference made a part of this Agreement. A. The CONSULTANT shall be responsible for the professional quality, technical accuracy, completeness, and coordination of all design, drawings, specifications, and other services furnished by the CONSULTANT under this Agreement, including the work performed by its Subconsultants. Where approval by the SANITATION DISTRICT is indicated, it is understood to be conceptual approval only and does not relieve the CONSULTANT of responsibility for complying with all laws, codes, industry standards and liability for damages caused by errors, omissions, noncompliance with industry standards, and/or negligence on the part of the CONSULTANT or its Subconsultants. B. CONSULTANT is responsible for the quality of work prepared under this Agreement and shall ensure that all work is performed to the standards of best engineering practice for clarity, uniformity, and completeness. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 1 of 18 C. In the event that work is not performed to the satisfaction of the SANITATION DISTRICT and does not conform to the requirements of this Agreement or any applicable industry standards, the CONSULTANT shall, without additional compensation, promptly correct or revise any errors or deficiencies in its designs, drawings, specifications, or other services within the timeframe specified by the Project Engineer/Project Manager. The SANITATION DISTRICT may charge to CONSULTANT all costs, expenses and damages associated with any such corrections or revisions. D. All CADD drawings, figures, and other work shall be produced by CONSULTANTS and Subconsultants using the SANITATION DISTRICT standard software. Conversion of CADD work from any other non-standard CADD format to the SANITATION DISTRICT format shall not be acceptable in lieu of this requirement. Electronic files shall be subject to an acceptance period of thirty (30)calendar days during which the SANITATION DISTRICT shall perform appropriate acceptance tests. CONSULTANT shall correct any discrepancies or errors detected and reported within the acceptance period at no additional cost to the SANITATION DISTRICT. E. All professional services performed by the CONSULTANT, including but not limited to all drafts, data, correspondence, proposals, reports, and estimates compiled or composed by the CONSULTANT, pursuant to this Agreement, are for the sole use of the SANITATION DISTRICT, its agents and employees. Neither the documents nor their contents shall be released to any third parry without the prior written consent of the SANITATION DISTRICT. This provision does not apply to information that (a)was publicly known, or otherwise known to the CONSULTANT, at the time that it was disclosed to the CONSULTANT by the SANITATION DISTRICT, (b)subsequently becomes publicly known to the CONSULTANT other than through disclosure by the SANITATION DISTRICT. 2. COMPENSATION Total compensation shall be paid to CONSULTANT for services in accordance with the following provisions: A. Total Compensation Total compensation shall be in an amount not to exceed Three Million Two Hundred Fifty-Three Thousand and Nine Hundred Forty-Six Dollars ($3,253,946). Total compensation to CONSULTANT including burdened labor (salaries plus benefits), overhead, profit, direct costs, and Subconsultant(s)fees and costs shall not exceed the sum set forth in Attachment"E" - Fee Proposal. B. Labor As a portion of the total compensation to be paid to CONSULTANT, the SANITATION DISTRICT shall pay to CONSULTANT a sum equal to the burdened salaries (salaries plus benefits)actually paid by CONSULTANT PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 2 of 18 charged on an hourly-rate basis to this project and paid to the personnel of CONSULTANT. Upon request of the SANITATION DISTRICT, CONSULTANT shall provide the SANITATION DISTRICT with certified payroll records of all employees' work that is charged to this project. C. Overhead As a portion of the total compensation to be paid to CONSULTANT, the SANITATION DISTRICT shall compensate CONSULTANT and Subconsultants for overhead at the rate equal to the percentage of burdened labor as specified in Attachment"E"- Fee Proposal. D. Profit Profit for CONSULTANT and Subconsultants shall be a percentage of consulting services fees (Burdened Labor and Overhead). When the consulting or subconsulting services amount is $250,000 or less, the maximum Profit shall be 10%. Between $250,000 and $2,500,000, the maximum Profit shall be limited by a straight declining percentage between 10% and 5%. For consulting or subconsulting services fees with a value greater than $2,500,000, the maximum Profit shall be 5%. Addenda shall be governed by the same maximum Profit percentage after adding consulting services fees. As a portion of the total compensation to be paid to CONSULTANT and Subconsultants, the SANITATION DISTRICT shall pay profit for all services rendered by CONSULTANT and Subconsultants for this project according to Attachment"E"- Fee Proposal. E. Subconsultants For any Subconsultant whose fees for services are greater than or equal to $100,000 (excluding out-of-pocket costs), CONSULTANT shall pay to Subconsultant total compensation in accordance with the Subconsultant amount specified in Attachment"E"- Fee Proposal. For any Subconsultant whose fees for services are less than $100,000, CONSULTANT may pay to Suboonsultant total compensation on an hourly-rate basis per the attached hourly rate Schedule and as specified in the Scope of Work. The SANITATION DISTRICT shall pay to CONSULTANT the actual costs of Subconsultant fees and charges in an amount not to exceed the sum set forth in Attachment"E"- Fee Proposal. F. Direct Costs The SANITATION DISTRICT shall pay to CONSULTANT and Subconsultants the actual costs of permits and associated fees, travel and licenses for an amount not to exceed the sum set forth in Attachment"E"- Fee Proposal. The SANITATION DISTRICT shall also pay to CONSULTANT actual costs for equipment rentals, leases or purchases with prior approval of the SANITATION DISTRICT. Upon request, CONSULTANT shall provide to the SANITATION PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 3 of 18 DISTRICT receipts and other documentary records to support CONSULTANT's request for reimbursement of these amounts, see Attachment"D"—Allowable Direct Costs. All incidental expenses shall be included in overhead pursuant to Section 2 -COMPENSATION above. G. Reimbursable Direct Costs The SANITATION DISTRICT will reimburse the CONSULTANT for reasonable travel and business expenses as described in this section and further described in Attachment"D"-Allowable Direct Costs to this Agreement. The reimbursement of the above mentioned expenses will be based on an "accountable plan" as considered by Internal Revenue Service (IRS). The plan includes a combination of reimbursements based upon receipts and a "per diem" component approved by IRS. The most recent schedule of the per diem rates utilized by the SANITATION DISTRICT can be found on the U.S. General Service Administration website at http://www.gsa.gov/portal/category/l 04711#. The CONSULTANT shall be responsible for the most economical and practical means of management of reimbursable costs inclusive but not limited to travel, lodging and meals arrangements. The SANITATION DISTRICT shall apply the most economic and practical method of reimbursement which may include reimbursements based upon receipts and/or"per diem" as deemed the most practical. CONSULTANT shall be responsible for returning to the SANITATION DISTRICT any excess reimbursements after the reimbursement has been paid by the SANITATION DISTRICT. Travel and travel arrangements—Any travel involving airfare, overnight stays or multiple day attendance must be approved by the SANITATION DISTRICT in advance. Local Travel is considered travel by the CONSULTANT within the SANITATION DISTRICT general geographical area which includes Orange, Los Angeles, Ventura, San Bernardino, Riverside, San Diego, Imperial and Kern Counties. Automobile mileage is reimbursable if CONSULTANT is required to utilize personal vehicle for local travel. Lodging—Overnight stays will not be approved by the SANITATION DISTRICT for local travel. However, under certain circumstances overnight stay may be allowed at the discretion of the SANITATION DISTRICT based on reasonableness of meeting schedules and the amount of time required for travel by the CONSULTANT. Such determination will be made on a case-by-case basis and at the discretion of the SANITATION DISTRICT. Travel Meals— Per-diem rates as approved by IRS shall be utilized for travel meals reimbursements. Per diem rates shall be applied to meals that are appropriate for travel times. Receipts are not required for the approved meals. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 4 of 18 Additional details related to the reimbursement of the allowable direct costs are provided in the Attachment"D"-Allowable Direct Costs of this Agreement. H. Limitation of Costs If, at any time, CONSULTANT estimates the cost of performing the services described in CONSULTANT's Proposal will exceed the not-to-exceed amount of the Agreement, including approved additional compensation, CONSULTANT shall notify the SANITATION DISTRICT immediately, and in writing. This written notice shall indicate the additional amount necessary to complete the services. Any cost incurred in excess of the approved not-to-exceed amount, without the express written consent of the SANITATION DISTRICT's authorized representative shall be at CONSULTANT's own risk. This written notice shall be provided separately from, and in addition to any notification requirements contained in the CONSULTANT's invoice and monthly progress report. Failure to notify the SANITATION DISTRICT that the services cannot be completed within the authorized not-to-exceed amount is a material breach of this Agreement. 3. REALLOCATION OF TOTAL COMPENSATION The SANITATION DISTRICT, by its Director of Engineering, shall have the right to approve a reallocation of the incremental amounts constituting the total compensation, provided that the total compensation is not increased. 4. PAYMENT A. Monthly Invoice: CONSULTANT shall include in its monthly invoice, a detailed breakdown of costs associated with the performance of any corrections or revisions of the work for that invoicing period. CONSULTANT shall allocate costs in the same manner as it would for payment requests as described in this Section of the Agreement. CONSULTANT shall warrant and certify the accuracy of these costs and understand that submitted costs are subject to Section 11 -AUDIT PROVISIONS. B. CONSULTANT may submit monthly or periodic statements requesting payment for those items included in Section 2- COMPENSATION hereof in the format as required by the SANITATION DISTRICT. Such requests shall be based upon the amount and value of the work and services performed by CONSULTANT under this Agreement and shall be prepared by CONSULTANT and accompanied by such supporting data, including a detailed breakdown of all costs incurred and project element work performed during the period covered by the statement, as may be required by the SANITATION DISTRICT. Upon approval of such payment request by the SANITATION DISTRICT, payment shall be made to CONSULTANT as soon as practicable of one hundred percent (100%)of the invoiced amount on a per-project-element basis. If the SANITATION DISTRICT determines that the work under this Agreement or any specified project element hereunder, is incomplete and that the amount of payment is in excess of: PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 5 of 18 i. The amount considered by the SANITATION DISTRICT's Director of Engineering to be adequate for the protection of the SANITATION DISTRICT; or ii. The percentage of the work accomplished for each project element. He may, at his discretion, retain an amount equal to that which insures that the total amount paid to that date does not exceed the percentage of the completed work for each project element or the project in its entirety. C. CONSULTANT may submit periodic payment requests for each 30-day period of this Agreement for the profit as set forth in Section 2 -COMPENSATION above. Said profit payment request shall be proportionate to the work actually accomplished to date on a per-project-element basis. In the event the SANITATION DISTRICT's Director of Engineering determines that no satisfactory progress has been made since the prior payment, or in the event of a delay in the work progress for any reason, the SANITATION DISTRICT shall have the right to withhold any scheduled proportionate profit payment. D. Upon satisfactory completion by CONSULTANT of the work called for under the terms of this Agreement, and upon acceptance of such work by the SANITATION DISTRICT, CONSULTANT will be paid the unpaid balance of any money due for such work, including any retained percentages relating to this portion of the work. E. Upon satisfactory completion of the work performed hereunder and prior to final payment under this Agreement for such work, or prior settlement upon termination of this Agreement, and as a condition precedent thereto, CONSULTANT shall execute and deliver to the SANITATION DISTRICT a release of all claims against the SANITATION DISTRICT arising under or by virtue of this Agreement other than such claims, if any, as may be specifically exempted by CONSULTANT from the operation of the release in stated amounts to be set forth therein. F. Pursuant to the California False Claims Act(Government Code Sections 12650- 12655), any CONSULTANT that knowingly submits a false claim to the SANITATION DISTRICT for compensation under the terms of this Agreement may be held liable for treble damages and up to a ten thousand dollars ($10,000) civil penalty for each false claim submitted. This Section shall also be binding on all Subconsultants. A CONSULTANT or Subconsultant shall be deemed to have submitted a false claim when the CONSULTANT or Subconsultant: a) knowingly presents or causes to be presented to an officer or employee of the SANITATION DISTRICT a false claim or request for payment or approval; b) knowingly makes, uses, or causes to be made or used a false record or statement to get a false claim paid or approved by the SANITATION DISTRICT; c)conspires to defraud the SANITATION DISTRICT by getting a false claim allowed or paid by the SANITATION DISTRICT; d) knowingly makes, uses, or causes to be made or used a false record or statement to conceal, avoid, or decrease an obligation to the SANITATION DISTRICT; or e) is a beneficiary of an inadvertent submission of a false claim to the SANITATION DISTRICT, and fails to disclose the false PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 6 of 18 claim to the SANITATION DISTRICT within a reasonable time after discovery of the false claim. S. CALIFORNIA DEPARTMENT OF INDUSTRIAL RELATIONS (DIR) REGISTRATION AND RECORD OF WAGES A. To the extent CONSULTANT's employees and/or Subconsultants who will perform Work during the design and preconstruction phases of a construction contract for which Prevailing Wage Determinations have been issued by the DIR and as more specifically defined under Labor Code Section 1720 at seq, CONSULTANT and Subconsultants shall comply with the registration requirements of Labor Code Section 1725.5. Pursuant to Labor Code Section 1771.4, the Work is subject to compliance monitoring and enforcement by the DIR. B. The CONSULTANT and Subconsultants shall maintain accurate payroll records and shall comply with all the provisions of Labor Code Section 1776, and shall submit payroll records to the Labor Commissioner pursuant to Labor Code Section 1771.4(a) (3). Penalties for non-compliance with the requirements of Section 1776 may be deducted from progress payments per Section 1776. C. Pursuant to Labor Code Section 1776, the CONSULTANT and Subconsultants shall furnish a copy of all certified payroll records to SANITATION DISTRICT and/or general public upon request, provided the public request is made through SANITATION DISTRICT, the Division of Apprenticeship Standards or the Division of Labor Enforcement of the Department of Industrial Relations. D. The CONSULTANT and Subconsultants shall comply with the job site notices posting requirements established by the Labor Commissioner per Title 8, California Code of Regulation Section 16461(e). 6. DOCUMENT OWNERSHIP —SUBSEQUENT CHANGES TO PLANS AND SPECIFICATIONS A. Ownership of Documents for the Professional Services performed. All documents, including but not limited to, original plans, studies, sketches, drawings, computer printouts and disk files, and specifications prepared in connection with or related to the Scope of Work or Professional Services, shall be the property of the SANITATION DISTRICT. The SANITATION DISTRICT's ownership of these documents includes use of, reproduction or reuse of and all incidental rights, whether or not the work for which they were prepared has been performed. The SANITATION DISTRICT ownership entitlement arises upon payment or any partial payment for work performed and includes ownership of any and all work product completed prior to that payment. This Section shall apply whether the CONSULTANT's Professional Services are terminated: a) by the completion of the Agreement, or b) in accordance with other provisions of this Agreement. Notwithstanding any other provision of this paragraph or Agreement, the CONSULTANT shall have the right to make copies of all such plans, studies, sketches, drawings, computer printouts and disk files, and specifications. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 7 of 18 B. CONSULTANT shall not be responsible for damage caused by subsequent changes to or uses of the plans or specifications, where the subsequent changes or uses are not authorized or approved by CONSULTANT, provided that the service rendered by CONSULTANT was not a proximate cause of the damage. 7. INSURANCE A. General i. Insurance shall be issued and underwritten by insurance companies acceptable to the SANITATION DISTRICT. ii. Insurers must have an "A-" Policyholder's Rating, or better, and Financial Rating of at least Class Vill, or better, in accordance with the most current A.M. Best's Guide Rating. However, the SANITATION DISTRICT will accept State Compensation Insurance Fund, for the required policy of Workers Compensation Insurance subject to the SANITATION DISTRICT's option to require a change in insurer in the event the State Fund financial rating is decreased below"B". Further, the SANITATION DISTRICT will require CONSULTANT to substitute any insurer whose rating drops below the levels herein specified. Said substitution shall occur within twenty (20) days of written notice to CONSULTANT, by the SANITATION DISTRICT or its agent. iii. Coverage shall be in effect prior to the commencement of any work under this Agreement. B. General Liability The CONSULTANT shall maintain during the life of this Agreement, including the period of warranty, Commercial General Liability Insurance written on an occurrence basis providing the following minimum limits of liability coverage: Two Million Dollars ($2,000,000) per occurrence with Two Million Dollars ($2,000,000) aggregate. Said insurance shall include coverage for the following hazards: Premises-Operations, blanket contractual liability (for this Agreement), products liability/completed operations (including any product manufactured or assembled), broad form property damage, blanket contractual liability, independent contractors liability, personal and advertising injury, mobile equipment, owners and contractors protective liability, and cross liability and severability of interest clauses. A statement on an insurance certificate will not be accepted in lieu of the actual additional insured endorsement(s). If requested by SANITATION DISTRICT and applicable, XCU coverage (Explosion, Collapse and Underground) and Riggers/On Hook Liability must be included in the General Liability policy and coverage must be reflected on the submitted Certificate of Insurance. C. Umbrella Excess Liability The minimum limits of general liability and Automotive Liability Insurance required, as set forth herein, shall be provided for through either a single policy of primary insurance or a combination of policies of primary and umbrella excess PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 8 of 18 coverage. Umbrella excess liability coverage shall be issued with limits of liability which, when combined with the primary insurance, will equal the minimum limits for general liability and automotive liability. D. AutomotiveNehicle liability Insurance The CONSULTANT shall maintain a policy of Automotive Liability Insurance on a comprehensive form covering all owned, non-owned, and hired automobiles, trucks, and other vehicles providing the following minimum limits of liability coverage: Combined single limit of Two Million Dollars ($2,000,000) or alternatively, Two Million Dollars ($2,000,000) per person for bodily injury and One Million Dollars ($1,000,000) per accident for property damage. A statement on an insurance certificate will not be accepted in lieu of the actual additional insured endorsement. E. Worker's Compensation Insurance The CONSULTANT shall provide such Workers' Compensation Insurance as required by the Labor Code of the State of California in the amount of the statutory limit, including Employer's Liability Insurance with a minimum limit of One Million Dollars ($1,000,000) per occurrence. Such Worker's Compensation Insurance shall be endorsed to provide for a waiver of subrogation in favor of the SANITATION DISTRICT. A statement on an insurance certificate will not be accepted in lieu of the actual endorsements unless the insurance carrier is State of California Insurance Fund and the identifier"SCIF" and endorsement numbers 2570 and 2065 are referenced on the certificate of insurance. If an exposure to Jones Act liability may exist, the insurance required herein shall include coverage for Jones Act claims. F. Errors and Omissions/Professional Liability CONSULTANT shall maintain in full force and effect, throughout the term of this Agreement, standard industry form professional negligence errors and omissions insurance coverage in an amount of not less than Ten Million Dollars ($10,000,000) with limits in accordance with the provisions of this Paragraph. If the policy of insurance is written on a "claims made" basis, said policy shall be continued in full force and effect at all times during the term of this Agreement, and for a period of five (5)years from the date of the completion of the services hereunder. In the event of termination of said policy during this period, CONSULTANT shall obtain continuing insurance coverage for the prior acts or omissions of CONSULTANT during the course of performing services under the term of this Agreement. Said coverage shall be evidenced by either a new policy evidencing no gap in coverage or by separate extended "tail" coverage with the present or new carrier. In the event the present policy of insurance is written on an "occurrence" basis, said policy shall be continued in full force and effect during the term of this Agreement or until completion of the services provided for in this Agreement, whichever is later. In the event of termination of said policy during this period, PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 9 of 18 new coverage shall be obtained for the required period to insure for the prior acts of CONSULTANT during the course of performing services under the term of this Agreement. CONSULTANT shall provide to the SANITATION DISTRICT a certificate of insurance in a form acceptable to the SANITATION DISTRICT indicating the deductible or self-retention amounts and the expiration date of said policy, and shall provide renewal certificates not less than ten (10)days prior to the expiration of each policy term. G. Proof of Coverage The CONSULTANT shall furnish the SANITATION DISTRICT with original certificates and amendatory endorsements effecting coverage. Said policies and endorsements shall conform to the requirements herein stated.All certificates and endorsements are to be received and approved by the SANITATION DISTRICT before work commences. The SANITATION DISTRICT reserves the right to require complete, certified copies of all required insurance policies, including endorsements, effecting the coverage required, at any time. The following are approved forms that must be submitted as proof of coverage: • Certificate of Insurance ACORD Form 25 (5/2010)or equivalent. • Additional Insurance (ISO Form) CG2010 11 85 or (General Liability) The combination of(ISO Forms) CG 2010 1001 and CG 2037 1001 All other Additional Insured endorsements must be submitted for approval by the SANITATION DISTRICT, and the SANITATION DISTRICT may reject alternatives that provide different or less coverage to the SANITATION DISTRICT. • Additional Insured Submit endorsement provided by carrier for the (Auto Liability) SANITATION DISTRICT approval. • Waiver of Subrogation State Compensation Insurance Fund Endorsement No. 2570 or equivalent. • Cancellation Notice State Compensation Insurance Fund Endorsement No. 2065 or equivalent. H. Cancellation Notice Each insurance policy required herein shall be endorsed to state that coverage shall not be cancelled by either party, except after thirty (30)days' prior written notice. The Cancellation Section of ACORD Form 25 (5/2010)shall state the required thirty (30) days' written notification. The policy shall not terminate, nor shall it be cancelled, nor the coverage reduced until thirty(30) days after written PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 10 of 18 notice is given to the SANITATION DISTRICT except for nonpayment of premium, which shall require not less than ten (10) days written notice to the SANITATION DISTRICT. Should there be changes in coverage or an increase in deductible or SIR amounts, the CONSULTANT and its insurance broker/agent shall send to the SANITATION DISTRICT a certified letter which includes a description of the changes in coverage and/or any increase in deductible or SIR amounts. The certified letter must be sent to the attention of Risk Management, Div. 260, and shall be received by the SANITATION DISTRICT not less than thirty (30)days prior to the effective date of the change(s) if the change would reduce coverage or increase deductibles or SIR amounts or otherwise reduce or limit the scope of insurance coverage provided to the SANITATION DISTRICT. I. Primary Insurance All liability policies shall contain a Primary and Non Contributory Clause. Any other insurance maintained by the SANITATION DISTRICT shall be excess and not contributing with the insurance provided by CONSULTANT. J. Separation of Insured All liability policies shall contain a "Separation of Insureds" clause. K. Non-Limiting (if applicable) Nothing in this document shall be construed as limiting in any way, nor shall it limit the indemnification provision contained in this Agreement, or the extent to which CONSULTANT may be held responsible for payment of damages to persons or property. L. Deductibles and Self-Insured Retentions Any deductible and/or self-insured retention must be declared to the SANITATION DISTRICT on the Certificate of Insurance. All deductibles and/or self-insured retentions require approval by the SANITATION DISTRICT. At the option of the SANITATION DISTRICT, either: the insurer shall reduce or eliminate such deductible or self-insured retention as respects the SANITATION DISTRICT; or the CONSULTANT shall provide a financial guarantee satisfactory to the SANITATION DISTRICT guaranteeing payment of losses and related investigations, claim administration and defense expenses. M. Defense Costs Liability policies shall have a provision that defense costs for all insureds and additional insureds are paid in addition to and do not deplete any policy limits. N. Subconsultants The CONSULTANT shall be responsible to establish insurance requirements for any Subconsultant hired by the CONSULTANT. The insurance shall be in amounts and types reasonably sufficient to deal with the risk of loss involving the Subconsultant's operations and work. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 11 of 18 O. Limits Are Minimums If the CONSULTANT maintains higher limits than any minimums shown above, then SANITATION DISTRICT requires and shall be entitled to coverage for the higher limits maintained by CONSULTANT. 8. SCOPE CHANGES In the event of a change in the Scope of Work, requested by SANITATION DISTRICT, the parties hereto shall execute an amendment to this Agreement setting forth with particularity all terms of the new Agreement, including but not limited to any additional CONSULTANT's fees. 9. PROJECT TEAM AND SUBCONSULTANTS CONSULTANT shall provide to SANITATION DISTRICT, prior to execution of this Agreement, the names and full description of all Subconsultants and CONSULTANT's project team members anticipated to be used on this project by CONSULTANT. CONSULTANT shall include a description of the scope of work to be done by each Subconsultant and each CONSULTANT's project team member. CONSULTANT shall include the respective compensation amounts for CONSULTANT and each Subconsultant on a per-project-element basis, broken down as indicated in Section 2- COMPENSATION. There shall be no substitution of the listed Subconsultants and CONSULTANT's project team members without prior written approval by the SANITATION DISTRICT. 10. ENGINEERING REGISTRATION The CONSULTANT's personnel are comprised of registered engineers and a staff of specialists and draftsmen in each department. The firm itself is not a registered engineer but represents and agrees that wherever in the performance of this Agreement requires the services of a registered engineer. Such services hereunder will be performed under the direct supervision of registered engineers. 11. AUDIT PROVISIONS A. SANITATION DISTRICT retains the reasonable right to access, review, examine, and audit, any and all books, records, documents and any other evidence of procedures and practices that the SANITATION DISTRICT determines are necessary to discover and verify that the CONSULTANT is in compliance with all requirements under this Agreement. The CONSULTANT shall include the SANITATION DISTRICT's right as described above, in any and all of their subcontracts, and shall ensure that these rights are binding upon all Subconsultants. B. SANITATION DISTRICT retains the right to examine CONSULTANT's books, records, documents and any other evidence of procedures and practices that the SANITATION DISTRICT determines are necessary to discover and verify all PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 12 of 18 direct and indirect costs, of whatever nature, which are claimed to have been incurred, or anticipated to be incurred or to ensure CONSULTANT's compliance with all requirements under this Agreement during the term of this Agreement and for a period of three (3)years after its termination. C. CONSULTANT shall maintain complete and accurate records in accordance with generally accepted industry standard practices and the SANITATION DISTRICT's policy. The CONSULTANT shall make available to the SANITATION DISTRICT for review and audit, all project related accounting records and documents, and any other financial data within 15 days after receipt of notice from the SANITATION DISTRICT. Upon SANITATION DISTRICT's request, the CONSULTANT shall submit exact duplicates of originals of all requested records to the SANITATION DISTRICT. If an audit is performed, CONSULTANT shall ensure that a qualified employee of the CONSULTANT will be available to assist SANITATION DISTRICT's auditor in obtaining all project related accounting records and documents, and any other financial data. 12. LEGAL RELATIONSHIP BETWEEN PARTIES The legal relationship between the parties hereto is that of an independent contractor and nothing herein shall be deemed to make CONSULTANT an employee of the SANITATION DISTRICT. 13. NOTICES All notices hereunder and communications regarding the interpretation of the terms of this Agreement, or changes thereto, shall be effected by delivery of said notices in person or by depositing said notices in the U.S. mail, registered or certified mail, return receipt requested, postage prepaid. Notices shall be mailed to the SANITATION DISTRICT at: ORANGE COUNTY SANITATION DISTRICT 10844 Ellis Avenue Fountain Valley, CA 92708-7018 Attention: Gary V. Prater, Principal Contracts Administrator Copy: Adam A. Nazaroff, Project Manager Notices shall be mailed to CONSULTANT at: LEE & RO, INC. 1199 S. Fullerton Road City of Industry, CA 91748 Attention: Sal Calderon, P.E. All communication regarding the Scope of Work, will be addressed to the Project Manager. Direction from other SANITATION DISTRICT's staff must be approved in writing by the SANITATION DISTRICT's Project Manager prior to action from the CONSULTANT. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 13 of 18 14. TERMINATION The SANITATION DISTRICT may terminate this Agreement at any time, without cause, upon giving thirty(30) days written notice to CONSULTANT. In the event of such termination, CONSULTANT shall be entitled to compensation for work performed on a prorated basis through and including the effective date of termination. CONSULTANT shall be permitted to terminate this Agreement upon thirty (30)days written notice only if CONSULTANT is not compensated for billed amounts in accordance with the provisions of this Agreement, when the same are due. Notice of termination shall be mailed to the SANITATION DISTRICT and/or CONSULTANT in accordance with Section 13- NOTICES. 15. DOCUMENTS AND STUDY MATERIALS The documents and study materials for this project shall become the property of the SANITATION DISTRICT upon the termination or completion of the work. CONSULTANT agrees to furnish to the SANITATION DISTRICT copies of all memoranda, correspondence, computation and study materials in its files pertaining to the work described in this Agreement, which is requested in writing by the SANITATION DISTRICT. 16. COMPLIANCE CONSULTANT certifies by the execution of this Agreement that it pays employees not less than the minimum wage as defined by law, and that it does not discriminate in its employment with regard to race, color, religion, sex or national origin; that it is in compliance with all federal, state and local directives and executive orders regarding non-discrimination in employment; and that it agrees to demonstrate positively and aggressively the principle of equal opportunity in employment. 17. AGREEMENT EXECUTION AUTHORIZATION Both the SANITATION DISTRICT and CONSULTANT do covenant that each individual executing this document by and on behalf of each party is a person duly authorized to execute agreements for that party. 18. DISPUTE RESOLUTION In the event of a dispute arising between the parties regarding performance or interpretation of this Agreement, the dispute shall be resolved by binding arbitration under the auspices of the Judicial Arbitration and Mediation Service ("JAMS"), or similar organization or entity conducting alternate dispute resolution services. 19. ATTORNEY'S FEES, COSTS AND NECESSARY DISBURSEMENTS If any action at law or in equity or if any proceeding in the form of an Alternative Dispute Resolution (ADR) is necessary to enforce or interpret the terms of this Agreement, the prevailing party shall be entitled to reasonable attorney's fees, costs and necessary disbursements in addition to any other relief to which it may be entitled. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 14 of 18 20. PROGRESS REPORTS Monthly progress reports shall be submitted for review by the tenth day of the following month and must include as a minimum: 1) current activities, 2)future activities, 3) potential items that are not included in the Scope of Work, 4) concerns and possible delays, 5) percentage of completion, and 6) budget status. 21. WARRANTY CONSULTANT shall perform its services in accordance with generally accepted industry and professional standards. If, within the 12-month period following completion of its services, the SANITATION DISTRICT informs CONSULTANT that any part of the services fails to meet those standards, CONSULTANT shall, within the time prescribed by the SANITATION DISTRICT, take all such actions as are necessary to correct or complete the noted deficiency(ies). 22. INDEMNIFICATION To the fullest extent permitted by law, CONSULTANT shall indemnify, defend (al CONSULTANT's sole cost and expense and with legal counsel approved by the SANITATION DISTRICT, which approval shall not be unreasonably withheld), protect and hold harmless the SANITATION DISTRICT and all of SANITATION DISTRICT's officers, directors, employees, consultants, and agents (collectively the "Indemnified Parties"), from and against any and all claims, damages, liabilities, causes of action, suits, arbitration awards, losses,judgments, fines, penalties, costs and expenses including without limitation, attorneys'fees, disbursements and court costs, and all other professional, expert or consultants fees and costs and the SANITATION DISTRICT's general and administrative expenses (individually, a "Claim", or collectively, "Claims") which may arise from or are in any manner related, directly or indirectly, to any work performed, or any operations, activities, or services provided by CONSULTANT in carrying out its obligations under this Agreement to the extent of the negligent, recklessness and/or willful misconduct of CONSULTANT, its principals, officers, agents, employees, CONSULTANT's suppliers, consultants, subconsultants, subcontractors, and/or anyone employed directly or indirectly by any of them, regardless of any contributing negligence or strict liability of an Indemnified Party. Notwithstanding the foregoing, nothing herein shall be construed to require CONSULTANT to indemnify the Indemnified Parties from any Claim arising from: (A)the sole or active negligence or willful misconduct of the Indemnified Parties; or (B)a natural disaster or other act of God, such as an earthquake; or (C)the independent action of a third party who is neither one of the Indemnified Parties nor the CONSULTANT, nor its principal, officer, agent, employee, nor CONSULTANT's supplier, consultant, subconsultant, subcontractor, nor anyone employed directly or indirectly by any of them. Exceptions (A)through (B) above shall not apply, and CONSULTANT shall, to the fullest extent permitted by law, indemnify the Indemnified Parties, from Claims arising from more than one cause if any such cause taken alone would otherwise result in the obligation to indemnify hereunder. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 15 of 18 CONSULTANT's liability for indemnification hereunder is in addition to any liability CONSULTANT may have to the SANITATION DISTRICT for a breach by CONSULTANT of any of the provisions of this Agreement. Under no circumstances shall the insurance requirements and limits set forth in this Agreement be construed to limit CONSULTANT's indemnification obligation or other liability hereunder. The terms of this Agreement are contractual and the result of negotiation between the parties hereto. Accordingly, any rule of construction of contracts (including, without limitation, California Civil Code Section 1654)that ambiguities are to be construed against the drafting party, shall not be employed in the interpretation of this Agreement. 23. DUTY TO DEFEND The duty to defend hereunder is wholly independent of and separate from the duty to indemnify and such duty to defend shall exist regardless of any ultimate liability of CONSULTANT and shall be consistent with Civil Code Section 2782.8. Such defense obligation shall arise immediately upon presentation of a Claim by any person if, without regard to the merit of the Claim, such Claim could potentially result in an obligation to indemnify one or more Indemnified Parties, and upon written notice of such Claim being provided to CONSULTANT. Payment to CONSULTANT by any Indemnified Party or the payment or advance of defense costs by any Indemnified Party shall not be a condition precedent to enforcing such Indemnified Party's rights to indemnification hereunder. In the event a final judgment, arbitration, award, order, settlement, or other final resolution expressly determines that the claim did not arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the CONSULTANT, to any extent, then the DISTRICT will reimburse CONSULTANT for the reasonable costs of defending the Indemnified Parties against such claims. CONSULTANT's indemnification obligation hereunder shall survive the expiration or earlier termination of this Agreement until such time as action against the Indemnified Parties for such matter indemnified hereunder is fully and finally barred by the applicable statute of limitations. 24. CONSULTANT PERFORMANCE The CONSULTANT's performance shall be evaluated by the SANITATION DISTRICT. A copy of the evaluation shall be sent to the CONSULTANT for comment. The evaluation, together with the comments, shall be retained by the SANITATION DISTRICT and may be considered in future CONSULTANT selection processes. 25. CLOSEOUT When the SANITATION DISTRICT determines that all Work authorized under the Agreement is fully complete and that the SANITATION DISTRICT requires no further work from CONSULTANT, or the Agreement is otherwise terminated or expires in accordance with the terms of the Agreement, the SANITATION DISTRICT shall give the Consultant written notice that the Agreement will be closed out. CONSULTANT shall submit all outstanding billings, work submittals, deliverables, reports or similarly related documents as required under the Agreement within thirty (30)days of receipt of notice of Agreement closeout. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 16 of 18 Upon receipt of CONSULTANT's submittals, the SANITATION DISTRICT shall commence a closeout audit of the Agreement and will either: i. Give the CONSULTANT a final Agreement Acceptance: or ii. Advise the CONSULTANT in writing of any outstanding item or items which must be furnished, completed, or corrected at the CONSULTANT's cost. CONSULTANT shall be required to provide adequate resources to fully support any administrative closeout efforts identified in this Agreement. Such support must be provided within the timeframe requested by the SANITATION DISTRICT. Notwithstanding the final Agreement Acceptance the CONSULTANT will not be relieved of its obligations hereunder, nor will the CONSULTANT be relieved of its obligations to complete any portions of the work, the non-completion of which were not disclosed to the SANITATION DISTRICT (regardless of whether such nondisclosures were fraudulent, negligent, or otherwise); and the CONSULTANT shall remain obligated under all those provisions of the Agreement which expressly or by their nature extend beyond and survive final Agreement Acceptance. Any failure by the SANITATION DISTRICT to reject the work or to reject the CONSULTANT's request for final Agreement Acceptance as set forth above shall not be deemed to be acceptance of the work by the SANITATION DISTRICT for any purpose nor imply acceptance of, or agreement with, the CONSULTANT's request for final Agreement Acceptance. 26. ENTIRE AGREEMENT This Agreement constitutes the entire understanding and agreement between the Parties and supersedes all previous negotiations between them pertaining to the subject matter thereof. PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 17 of 18 IN WITNESS WHEREOF, this Agreement has been executed in the name of the SANITATION DISTRICT, by its officers thereunto duly authorized, and CONSULTANT as of the day and year first above written. CONSULTANT: LEE & RO, INC. By Date Printed Name &Title ORANGE COUNTY SANITATION DISTRICT By Chair, Board of Directors Date By Kelly Lore Clerk of the Board Date By Marc Dubois Date Contracts, Purchasing and Materials Management Division Manager Attachments: Attachment"A"—Scope of Work Attachment"B"—Labor Hour&Cost Matrix Attachment"C"— Not Used Attachment"D"—Allowable Direct Costs Attachment"E"—Fee Proposal Attachment"F"— Not Used Attachment"G"— Not Attached GVP:yp PCSA PROJECT NO. 2-72 Revised 052715 NEWHOPE-PLACENTIA TRUNK SEWER REPLACEMENT Page 18 of 18 OPERATIONS COMMITTEE Meeting Date To ad.of DV 03/02,16 — AGENDA REPORT Item Number Item Number 3 — Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Ed Torres, Director of Operations and Maintenance SUBJECT: QUARTERLY ODOR COMPLAINT REPORT GENERAL MANAGER'S RECOMMENDATION Receive and file the Fiscal Year 2015/16 Second Quarter Odor Complaint Summary. SUMMARY BACKGROUND During the second quarter of FY 2015/16 Plant No. 1 had 48 odor complaints, Plant No. 2 had 8 odor complaints and the collections system had 15 odor complaints attributable to OCSD. A brief summary of the odor complaints with a table tracking the history is included as an attachment. RELEVANT STANDARDS • Zero odor incidents/events under normal operating conditions for both Plants • Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting PROBLEM N/A PROPOSED SOLUTION N/A ATTACHMENT The following attachment(s)are included in hard copy and may also be viewed on-line at the OCSD website (www.ocsd.coml with the complete agenda package: Fiscal Year 2015/16 Second Quarter Odor Complaint Summary Page 1 of 1 Orange County Sanitation District Odor Complaint Report Fiscal Year 2015/16 — 2"1 Quarter 1. Plant No. 1 Treatment Facility Odor Complaint Summary During the 2"d quarter, Plant No. 1 received forty eight (48) attributable odor complaints. Over half of these complaints were made by one local resident. The majority of the complaints received this quarter resulted from the elevated hydrogen sulfide levels in the Plant treatments due to the upstream chemical dosing reduction associated with optimization studies. OCSD staff worked closely with the local resident and invited them in for a plant tour and a"sniff'test to help us identify odor(s)they were experiencing. With the help of this resident, OCSD staff identified the trickling filters as the primary odor source at which some process adjustments were made to minimize trickling filter odors. Staff remain in communications with the concerned resident to ensure nuance odors are minimized. The number of odor complaints from the resident subsided after process adjustments and chemicals were reintroduced into the collections system in the second week of October. 2. Plant No. 2 Treatment Facility Odor Complaint Summary Plant No. 2 received eight (8) attributable odor complaints during the 20d quarter, the majority of complaints were in October and attributable to upstream chemicals dosing optimization studies. The trunkline chemicals were reintroduced into the collections system during the second week of October at which time odor complaints subsided. 3. Collection Facilities Odor Complaints— 1*1 Quarter FY 2015/16 OCSD received fifteen (15) attributable odor complaints from the collection system. 4. All Odor Complaints Tracking 2n°Qtr 1-Qtr Cumulative Oct.2015 to Dec.2015 FY FY 15/16 15/16 15/16 All Public Complaints Collections Pt P2 Total Total Total Attributable to 15 48 8 71 17 88 OCSD Not Attributable to OCSD 13 2 2 17 13 30 Total Public Complaints 28 50 10 88 30 118 Received: OPERATIONS COMMITTEE Meeting Date To ad.of Dir. 03/02,16 — AGENDA REPORT Item Number Item Number a — Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Direction of Engineering SUBJECT: CAPITAL IMPROVEMENT PROGRAM OVERVIEW GENERAL MANAGER'S RECOMMENDATION Information Only. SUMMARY BACKGROUND The Orange County Sanitation District's Capital Improvement Program involves planning, design, construction, commissioning, and closeout for a variety of construction projects that include replacement and rehabilitation of existing facilities, improving levels of service, and expanding capacity. Staff will present an informational overview on the CIP. The presentation will include a review of major active and upcoming projects, and review the performance of the program. RELEVANT STANDARDS • Ensure that the public's money is wisely spent • Long-term view that appropriately funds capital improvement programs • Make compelling cases for investment PRIOR COMMITTEE/BOARD ACTIONS N/A ATTACHMENT The following attachments) may be viewed on-line at the OCSD website (www.ocsd.coml with the complete agenda package: N/A JM:dm:gc Page 1 of 1 OPERATIONS COMMITTEE Melting D310 TOBE.Of Dir. 03/02/16 03/23/16 AGENDA REPORT ItemNumber Item Number s Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Direction of Engineering SUBJECT: SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES, CONTRACT NO. PSA-2015-100 GENERAL MANAGER'S RECOMMENDATION Approve a Professional Services Agreement with Jacobs Project Management Co. to provide supplemental engineering and support staff services, Contract No. PSA-2015-100, commencing July 1, 2016 through June 30, 2020, with three one-year renewal options, for a total amount not to exceed $41,000,000 over the period of up to seven years. SUMMARY BACKGROUND The Orange County Sanitation District (Sanitation District) anticipates a capital improvement program (CIP)of approximately$1.6 billion from July 2016 through June 2023. This value will be more precisely estimated in the proposed budget for Fiscal Years 2016-2017 and 2017-2018 to be presented to the Board in June 2016. Planning, executing, managing, and monitoring this work will require the equivalent of 128 full-time staff members, primarily in the Engineering Department. Some of the roles that staff provide on these projects include project managers, project engineers, resident engineers, inspectors, and various administrative and engineering support positions. There are 97 currently authorized staff positions working on the capital improvement program. To ensure that capital projects are successfully completed on time and within budget, the Sanitation District has in the past augmented staff using supplemental engineering and support staff professional services agreements. The benefits provided from this staff augmentation approach, as opposed to hiring full-time staff or limited-term employees, include rapid mobilization of highly skilled/technical staff, flexibility to change the mix of staff positions on an immediate and as-needed basis, the ability to reduce staff as workloads decrease, access to technical experts to support special tasks, and access to staff with wastewater project experience. The current staff augmentation agreement with Jacobs expires on June 30, 2016 after five years. Page 1 of 4 RELEVANT STANDARDS 1, 5, 20 year planning horizons. • Highly qualified, well trained, motivated, and diverse workforce. PROBLEM Average staffing levels required to deliver the anticipated capital improvement program over the next eight fiscal years exceed current staffing levels by an equivalent of 31 full-time positions. If this gap in staffing levels were not addressed, the capital improvement projects to maintain regulatory compliance, levels of services, and integrity of facilities would be delayed, or the cost effectiveness and quality of the projects degrade. PROPOSED SOLUTION Staff requested proposals from qualified engineering and construction management firms and selected the most qualified firm. Staff then negotiated a professional services agreement for supplement engineering and support staff services with Jacobs to augment Sanitation District staff, primarily for capital improvement projects. The agreement will extend through June 30, 2020, with three one-year renewal options. Each person assigned to work on Sanitation District projects will be approved by Sanitation District management with respect to education, experience, and salary. Adjustments to the fee structure will be made annually based on the changes in the Employment Cost Index for the Los Angeles Metropolitan Area published by the U.S. Department of Labor, but capped at no more than 3% per year. TIMING CONCERNS The supplement staffing services will enable the Sanitation District to control the proposed Capital Improvement Program over the next seven years. RAMIFICATIONS OF NOT TAKING ACTION Without the supplement staffing services, projects will have to be delayed, and certain specialty services will need to be separately procured as needed, resulting in delays and additional administrative costs. PRIOR COMMITTEE/BOARD ACTIONS N/A Page 2 of 4 ADDITIONAL INFORMATION Request for Proposal: A Request for Proposal for supplemental engineering and support staff services was advertised on September 3, 2015. Proposals were received on October 22, 2015 from Arcadis U.S., Inc.; Butier Engineering, Inc.; Capo Projects Group; and Jacobs. A Staff Evaluation Committee consisting of five representatives from the Engineering Department reviewed and ranked each of the proposals in accordance with the evaluation process set forth in the Orange County Sanitation District (Sanitation District) Board of Directors' Ordinance No. OCSD-47. A representative from the Contracts Administration Division participated in the evaluation process as a non-voting member. The proposals were evaluated according to understanding and approach; related experience; and team and staff qualifications. After reviewing and scoring the proposals, the Evaluation Committee interviewed the three top-ranked firms to meet the proposed key team and further evaluate the firms' qualifications. Based on their review of the proposals and the interviews, the Evaluation Committee unanimously ranked Jacobs as the most qualified firm as shown in Table 1. TABLE 1 CONSULTANT EVALUATION* Consultant Evaluator Arcadis, ButlerU.S., Inc. Engineering, Jacobs Inc. Reviewer A 2 3 1 Reviewer B 2 3 1 Reviewer C 2 3 1 Reviewer D 2 3 1 Reviewer E 2 3 1 Overall Ranking 2 3 1 *Based on scores after interview Review of Fee Proposal and Negotiations: Proposals were accompanied by sealed fee proposals. In accordance with Sanitation District Ordinance No. OCSD-47, the fee proposal of only the highest ranked firm was opened after approval by the Director of Engineering of the Evaluation Committee's recommendation. Staff conducted negotiations with Jacobs clarifying scope of work, assumptions, contract multipliers, and payment terms. Staff has reviewed the proposed positions, rates, and terms and believe that the proposed fee is fair and reasonable. Contract profit is 5%, which is based on the Sanitation District's standard design agreements. Page 3 of 4 CEQA N/A FINANCIAL CONSIDERATIONS This request complies with authority levels of the Sanitation District's Purchasing Ordinance. The budgeted cost for the proposed staffing contract is contained within the approved CIP project budgets and no additional funding is necessary. Date of Approval Contract Amount Continaencv 03/23/16 $41,000,000 N/A ATTACHMENT The following attechment(s) maybe viewed on-line at the OCSD website (Mm w.ocsd.com) with the complete agenda package: Professional Services Agreement JM:dm:gc Page 4 of 4 PROFESSIONAL SERVICES AGREEMENT THIS AGREEMENT, is made and entered into to be effective the 20d day of May, 2016, by and between the ORANGE COUNTY SANITATION DISTRICT, hereinafter referred to as "SANITATION DISTRICT", and JACOBS PROJECT MANAGEMENT COMPANY, for purposes of this AGREEMENT hereinafter referred to as "CONSULTANT'. The SANITATION DISTRICT and CONSULTANT are referred to herein collectively as the "Parties" or individually as a "Party." WITNESSETH: WHEREAS, the SANITATION DISTRICT desires to engage a consultant for Supplemental Engineering and Support Staff Services, Contract No. PSA-2015-100 to provide qualified staff as described in Attachment"A", Scope of Work; and, WHEREAS, CONSULTANT is qualified to provide the necessary services in connection with these requirements and has agreed to provide the requisite personnel and experience, and is capable of performing such services; and, WHEREAS, the SANITATION DISTRICT has adopted procedures for the selection of professional services and has proceeded in accordance with said procedures to select CONSULTANT to perform this work; and, WHEREAS, at its regular meeting on March 23, 2016 the Board of Directors, by Minute Order, accepted the recommendation of the Operations Committee to approve this AGREEMENT between the SANITATION DISTRICT and CONSULTANT pursuant to Ordinance No. OCSD-47. NOW, THEREFORE, in consideration of the promises and mutual benefits, which will result to the Parties in carrying out the terms of this AGREEMENT, it is mutually agreed as follows: 1. SCOPE OF WORK CONSULTANT agrees to furnish necessary qualified staff to accomplish the Scope of Work attached hereto as Attachment"A". Attachment "A" is hereby incorporated into this AGREEMENT. In the event of a conflict between the Scope of Work and this AGREEMENT, the terms of this AGREEMENT shall prevail. 2. COMPENSATION A. Time and Material: Not to Exceed Aggregate Amount The SANITATION DISTRICT shall compensate CONSULTANT for services performed under this AGREEMENT on a time and materials basis, not to exceed a maximum aggregate amount of Forty-One Million Dollars ($41,000,000) ("Total Compensation") during the term of the AGREEMENT. PSA CONTRACT NO. PSA-2015-100 01/27/15 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 1 of 19 B. Hourly Rates As a portion of the total compensation to be paid to CONSULTANT, the SANITATION DISTRICT shall pay to CONSULTANT a sum equal to the burdened salaries (salaries plus benefits, overhead, and profit) actually paid by CONSULTANT charged on an hourly-rate basis and paid to the personnel of CONSULTANT per Attachment"E". Attachment "E" is hereby incorporated by reference. Upon request of the SANITATION DISTRICT, CONSULTANT shall provide the SANITATION DISTRICT with certified payroll records of all employees' work that is charged to this AGREEMENT. C. Overhead Rates i. "Field Staff' are defined as project-assigned staff by CONSULTANT, working at SANITATION DISTRICT's facilities for a project-assigned period exceeding ninety (90) continuous calendar days. The overhead rates for Field Office Staff are included in Attachment"E". ii. "Home Office Staff" are defined as staff assigned by CONSULTANT, supporting the project-assigned work, either by working at CONSULTANT's or Subconsultant's offices or at SANITATION DISTRICT's site for periods less than ninety (90) continuous calendar days. The overhead rates for Home Office Staff are included in Attachment "E". D. Profit Profit for CONSULTANT and Subconsultants shall be five percent(5%). Addenda shall be governed by the same maximum Profit percentage. As a portion of the total compensation to be paid to CONSULTANT and Subconsultants, the SANITATION DISTRICT shall pay profit for all services rendered by CONSULTANT and Subconsultants for this AGREEMENT. E. Subconsultants For all Subconsultants, CONSULTANT may pay to Subconsultants total compensation on an hourly-rate basis per Attachment"E"—Fee Proposal Form and as specified in the Scope of Work. The SANITATION DISTRICT shall pay to CONSULTANT the actual costs of Subconsultants, without markup. F. Escalation For purposes of calculating hourly rates, salaries of CONSULTANT employees and any Suboonsultant employees performing services under this AGREEMENT shall be adjusted annually based on the Employment Cost Index (ECI)of Los Angeles-Long Beach-Riverside, California as of July 1 of each year. This rate is from the United States Department of Labor Bureau of Labor Statistics. The annual salary figures used in calculating hourly rates shall not otherwise be adjusted, regardless of whether any CONSULTANT employees may have PSA CONTRACT NO. PSA-2015-100 01w/15 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 2 of 19 received a salary increase form CONSULTANT that exceeds the increase in ECI without prior written authorization from the SANITATION DISTRICT on a case- by-case basis. The annual adjustments shall not exceed three percent (3%). The first hourly rate escalation will occur July 1, 2017. G. Reimbursable Direct Costs The SANITATION DISTRICT will reimburse the CONSULTANT for reasonable travel and business expenses as described in this section and further described in Attachment "D" -Allowable Direct Costs to this AGREEMENT. The reimbursement of the above mentioned expenses will be based on an "accountable plan' as considered by Internal Revenue Service (IRS). The plan includes a combination of reimbursements based upon receipts and a "per diem' component approved by IRS. The most recent schedule of the per diem rates utilized by the SANITATION DISTRICT can be found on the United States General Service Administration website at http://www.gsa.gov/portal/category/104711#. The CONSULTANT shall be responsible for the most economical and practical means or management of reimbursable costs inclusive but not limited to travel, lodging and meals arrangements. The SANITATION DISTRICT shall apply the most economic and practical method of reimbursement which may include reimbursements based upon receipts and/or"per diem' as deemed the most practical. CONSULTANT shall be responsible for returning to the SANITATION DISTRICT any excess reimbursements after the reimbursement has been paid by the SANITATION DISTRICT. Travel and travel arrangements—Any travel involving airfare, overnight stays or multiple day attendance must be approved by the SANITATION DISTRICT in advance. Local Travel is considered travel by the CONSULTANT within the SANITATION DISTRICT geographical area which includes Orange, Los Angeles, Ventura, San Bernardino, Riverside, San Diego, Imperial and Kern Counties. Automobile mileage is reimbursable if CONSULTANT is required to utilize personal vehicles for local travel. Lodging—Overnight stays will not be approved by the SANITATION DISTRICT for local travel. However, under certain circumstances overnight stay may be allowed at the discretion of the SANITATION DISTRICT based on reasonableness of meeting schedules and the amount of time required for travel by the CONSULTANT. Such determination will be made on a case-by-case basis and at the discretion of the SANITATION DISTRICT. Travel Meals— Per-diem rates as approved by IRS shall be utilized for travel meals reimbursements. Per Diem rates shall be applied to meals that are appropriate for travel times. Receipts are not required for the approved meals. PSA CONTRACT NO. PSA-2015-100 01/27115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 3 of 19 Additional details related to the reimbursement of the allowable direct costs are provided in the Attachment "D" -Allowable Direct Costs to this AGREEMENT. The SANITATION DISTRICT shall also pay to CONSULTANT actual costs for equipment rentals, leases or purchases with prior approval of the SANITATION DISTRICT. The SANITATION DISTRICT will not pay per diem for Field Office Staff nor will it pay for any relocation of staff to be assigned under this AGREEMENT. H. Limitation of Costs If, at any time, CONSULTANT estimates the cost of performing the services described in any of CONSULTANT's Task Authorizations will exceed seventy- five percent (75%) of the not to exceed amount of the Task Authorization, CONSULTANT shall notify the SANITATION DISTRICT immediately, and in writing. This written notice shall indicate the additional amount necessary to complete the services. Any cost incurred in excess of the approved not to exceed amount, without the express written consent of the SANITATION DISTRICT's authorized representative shall be at CONSULTANT's own risk. This written notice shall be provided separately from, and in addition to any notification requirements contained in the CONSULTANT's invoice and monthly progress report. Failure to notify the SANITATION DISTRICT that the services cannot be completed within the authorized not to exceed amount is a material breach of this AGREEMENT. 3. REALLOCATION OF TOTAL COMPENSATION The SANITATION DISTRICT, by its Director of Engineering, shall have the right to approve a reallocation of the incremental amounts constituting the Total Compensation, provided that the Total Compensation is not increased. 4. KEY POSITIONS CONSULTANT shall not remove or replace any key CONSULTANT employees performing services under this AGREEMENT. Positions considered to be Key Positions are Point of Contact, and any field office staff working under the AGREEMENT. Should a CONSULTANT employee within one of these categories become no longer available to the SANITATION DISTRICT, CONSULTANT shall submit the resume and qualifications of the proposed replacement to the SANITATION DISTRICT for approval as soon as possible, but in no event later than seven (7) calendar days prior to the departure of the incumbent Key Position unless CONSULTANT is not provided with such notice by the departing staff. SANITATION DISTRICT shall respond to CONSULTANT within seven (7) calendar days following receipt of these qualifications concerning acceptance of the candidate for replacement. PSA CONTRACT NO. PSA-2015-100 01/27n5 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 4 of 19 5. PAYMENT A. Monthly Invoice: CONSULTANT shall include in its monthly invoice, a detailed breakdown of costs associated with the performance of any work for that invoicing period, in a format acceptable to the SANITATION DISTRICT. CONSULTANT shall warrant and certify the accuracy of these costs and provide all supporting documentation required by the SANITATION DISTRICT. CONSULTANT understands that submitted costs are subject to Section 16 Audit Provisions herein. B. Upon receipt of a properly prepared invoivice, as described above, payment shall be made by the SANITATION DISTRICT to CONSULTANT within sixty(60) calendar days. C. Upon satisfactory completion of the work performed hereunder and prior to final payment under this AGREEMENT for such work, or prior settlement upon termination of this AGREEMENT, and as a condition precedent thereto, CONSULTANT shall execute and deliver to the SANITATION DISTRICT a release of all claims against the SANITATION DISTRICT arising under or by virtue of this AGREEMENT other than such claims, if any, as may be specifically exempted by CONSULTANT from the operation of the release in stated amounts to be set forth therein. D. Pursuant to the California False Claims Ad(Government Code sections 12650- 12655), any CONSULTANT that knowingly submits a false claim to the SANITATION DISTRICT for compensation under the terms of this AGREEMENT may be held liable for treble damages and up to a $10,000 civil penalty for each false claim submitted. This section shall also be binding on all Subconsultants. A CONSULTANT or Subconsultant shall be deemed to have submitted a false claim when the CONSULTANT or Subconsultant: (a) knowingly presents or causes to be presented to an officer or employee of the SANITATION DISTRICT a false claim or request for payment or approval; (b) knowingly makes, uses, or causes to be made or used a false record or statement to get a false claim paid or approved by the SANITATION DISTRICT; (c)conspires to defraud the SANITATION DISTRICT by getting a false claim allowed or paid by the SANITATION DISTRICT; (d) knowingly makes, uses, or causes to be made or used a false record or statement to conceal, avoid, or decrease an obligation to the SANITATION DISTRICT; or(a) is a beneficiary of an inadvertent submission of a false claim to the SANITATION DISTRICT, and fails to disclose the false claim to the SANITATION DISTRICT within a reasonable time after discovery of the false claim. 6. TERM This AGREEMENT shall commence upon the effective date first written above, and shall continue in full force and effect through June 30, 2020, ('Initial Term') unless earlier terminated or extended as provided in the AGREEMENT. SANITATION DISTRICT, at its sole discretion, may elect to extend the term of this AGREEMENT up to an additional twelve (12) months, commencing July 1, 2020, and continuing through June 30, 2021, PSA CONTRACT NO. PSA-2015-100 01/27n5 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 5 of 19 ("Option Tenn 1"), and thereupon require CONSULTANT to continue to provide services, and otherwise perform, in accordance with Attachment"A", entitled "Scope of Work". SANITATION DISTRICT, at its sole discretion, may elect to extend the term of this AGREEMENT up to an additional twelve (12) months, commencing July 1, 2021, and continuing through June 30, 2022, ("Option Term 2"), and thereupon require CONSULTANT to continue to provide services, and otherwise perform, in accordance with Attachment"A", entitled "Scope of Work", SANITATION DISTRICT, at its sole discretion, may elect to extend the term of this AGREEMENT up to an additional twelve (12) months, commencing July 1, 2022, and continuing through June 30, 2023, ("Option Term 3"), and thereupon require CONSULTANT to continue to provide services, and otherwise perform, in accordance with Attachment"A", entitled "Scope of Work". The SANITATION DISTRICT's election to extend the AGREEMENT beyond the Initial Term shall not diminish its right to terminate the AGREEMENT for SANITATION DISTRICT's convenience or CONSULTANT's default as provided elsewhere in this AGREEMENT. The "maximum term" of this AGREEMENT shall be from the effective date first written above through June 30, 2023, which period encompasses the Initial Term and three (3) Option Terms. 7. PREVAILING WAGES To the extent CONSULTANT intends to utilize employees who will perform work during the AGREEMENT, as more specifically defined under Labor Code Section 1720, CONSULTANT shall be subject to prevailing wage requirements with respect to such employees. 8. CALIFORNIA DEPARTMENT OF INDUSTRIAL RELATIONS (DIR) REGISTRATION AND RECORD OF WAGES A. To the extent CONSULTANT's employees and/or Subconsultants who will perform work during the design and preconstruction phases of a construction contract for which Prevailing Wage Determinations have been issued by the DIR and as more specifically defined under Labor Code Section 1720 at seq, CONSULTANT and Subconsultants shall comply with the registration requirements of Labor Code Section 1725.5. Pursuant to Labor Code Section 1771.4, the work is subject to compliance monitoring and enforcement by the DIR. B. The CONSULTANT and Subconsultants shall maintain accurate payroll records and shall comply with all the provisions of Labor Code Section 1776, and shall submit payroll records to the Labor Commissioner pursuant to Labor Code Section 1771.4(a)(3). Penalties for non-compliance with the requirements of Section 1776 may be deducted from progress payments per Section 1776. C. Pursuant to Labor Code Section 1776, the CONSULTANT and Subconsultants shall furnish a copy of all certified payroll records to SANITATION DISTRICT and/or general public upon request, provided the public request is made through PSA CONTRACT NO. PSA-2015-100 01/27115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 6 of 19 SANITATION DISTRICT, the Division of Apprenticeship Standards or the Division of Labor Standards Enforcement of the Department of Industrial Relations. D. The CONSULTANT and Subconsultants shall comply with the job site notices posting requirements established by the Labor Commissioner per Title 8, California Code of Regulations Section 16461(e). 9. COMPLIANCE WITH LAWS; EQUAL OPPORTUNITY CONSULTANT certifies by the execution of the AGREEMENT that it pays staff not less than the minimum wage as defined by law, and that it does not discriminate in its employment with regard to race, color, religion, sex, or national origin; that it is compliant with all Federal, State, and local directives and executive orders regarding non- discrimination in employment; and that it agrees to demonstrate positively and aggressively the principal of equal opportunity in employment 10. CONFLICT OF INTEREST CODE The SANITATION DISTRICT may designate some or all of the individuals performing services under the AGREEMENT as "designated employees" subject to the SANITATION DISTRICT's Conflict of Interest Code. Designated employees must comply with certain requirements under the Political Reform Act. Designated employees must file an annual report identifying some or all of their financial interests such as sources of income, sources of gifts received from special sources of income and sources of gifts. Currently the limit is $420 per year from any one source. CONSULTANT and all its employees, staff, or personnel designed by the SANITATON DISTRICT as a designated employee shall comply with the Political Reform Act and related reporting requirements and gift limitation. 11. DOCUMENT OWNERSHIP—CONSULTANT PERFORMANCE A. Ownership of Documents for the Professional Services Performed. All documents in all forms (electronic, paper, etc.), including, but not limited to, studies, sketches, drawings, computer printouts, disk files, and electronic copies prepared in connection with or related to the Scope of Work or Professional Services, shall be the property of the SANITATION DISTRICT. The SANITATION DISTRICT's ownership of these documents includes use of, reproduction or reuse of and all incidental rights, whether or not the work for which they were prepared has been performed. The SANITATION DISTRICT ownership entitlement arises upon payment or any partial payment for work performed and includes ownership of any and all work product completed prior to that payment. This section shall apply whether the CONSULTANT's Professional Services are terminated: a) by the completion of the AGREEMENT, or b) in accordance with other provisions of this AGREEMENT. Notwithstanding any other provision of this paragraph or AGREEMENT, the CONSULTANT shall have the right to make copies of all such plans, studies, sketches, drawings, computer printouts and disk files, and specifications. The SANITATION DISTRICT acknowledges that documents prepared through Professional Services must be revised and sealed PSA CONTRACT NO. PSA-2015-100 01/27115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 7 of 19 by a professional engineer prior to their reuse on another project. The SANTIATION DISTRICT acknowledges that it assumes all risk associated with reuse of such documents, which are not undertaken by CONSULTANT. B. CONSULTANT shall not be responsible for damage caused by subsequent changes to or uses of the study or deliverable where the subsequent changes or uses are not authorized or approved by CONSULTANT, provided that the service rendered by CONSULTANT was not a proximate cause of the damage. 12. INSURANCE A. General i. Insurance shall be issued and underwritten by insurance companies acceptable to the SANITATION DISTRICT. ii. Insurers must have an "A-" Policyholder's Rating, or better, and Financial Rating of at least Class Vill, or better, in accordance with the most current A.M. Best's Guide Rating. However, the SANITATION DISTRICT will accept State Compensation Insurance Fund, for the required policy of Worker's Compensation Insurance subject to the SANITATION DISTRICT's option to require a change in insurer in the event the State Fund financial rating is decreased below"B". Further, the SANITATION DISTRICT will require CONSULTANT to substitute any insurer whose rating drops below the levels herein specified. Said substitution shall occur within twenty (20)days of written notice to CONSULTANT, by the SANITATION DISTRICT or its agent. III. Coverage shall be in effect prior to the commencement of any work under this AGREEMENT. B. General Liability The CONSULTANT shall maintain during the life of this AGREEMENT, including the period of warranty, Commercial General Liability Insurance written on an occurrence basis providing the following limits of liability coverage: Two Million Dollars ($2,000,000) per occurrence with Two Million Dollars ($2,000,000) aggregate. Said insurance shall include coverage for the following hazards: Premises-Operations, blanket contractual liability(for this AGREEMENT), products liability/completed operations (including any product manufactured or assembled), broad form property damage, blanket contractual liability, independent contractors liability, personal and advertising injury, mobile equipment, owners and contractors protective liability, and cross liability and severability of interest clauses. A statement on an insurance certificate will not be accepted in lieu of the actual additional insured endorsement(s). If requested by SANITATION DISTRICT and applicable, XCU coverage (Explosion, Collapse and Underground) must be included in the General Liability policy and coverage must be reflected on the submitted Certificate of Insurance. PSA CONTRACT NO. PSA-2015-100 01/27115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 8 of 19 C. Umbrella Excess Liability The limits of General Liability and Automotive Liability Insurance required, as set forth herein, shall be provided for through either a single policy of primary insurance or a combination of policies of primary and umbrella excess coverage. Umbrella excess liability coverage shall be issued with limits of liability which, when combined with the primary insurance, will equal the limits for General Liability and Automotive Liability. D. AutomotiveNehicle Liability Insurance The CONSULTANT shall maintain a policy of Automotive Liability Insurance on a comprehensive form covering all owned, non-owned, and hired automobiles, trucks, and other vehicles providing the following limits of liability coverage: Combined single limit of Two Million Dollars ($2,000,000) or alternatively, Two Million Dollars ($2,000,000) per person for bodily injury and One Million Dollars ($1,000,000) per accident for property damage. A statement on an insurance certificate will not be accepted in lieu of the actual additional insured endorsement. E. Workers Compensation Insurance The CONSULTANT shall provide such Workers' Compensation Insurance as required by the Labor Code of the State of California in the amount of the statutory limit, including Employer's Liability Insurance with a minimum limit of One Million Dollars ($1,000,000) per occurrence. Such Worker's Compensation Insurance shall be endorsed to provide for a waiver of subrogation in favor of the SANITATION DISTRICT. A statement on an insurance certificate will not be accepted in lieu of the actual endorsements unless the insurance carrier is State of California Insurance Fund and the identifier"SCIF" and endorsement numbers 2570 and 2065 are referenced on the certificate of insurance. If an exposure to Jones Act liability may exist, the insurance required herein shall include coverage for Jones Act claims. F. Errors and Omissions/Professional Liability CONSULTANT shall maintain in full force and effect, throughout the term of this AGREEMENT, standard industry form Professional Negligence Errors and Omissions Insurance coverage in an amount of Seven Million Dollars ($7,000,000)with limits in accordance with the provisions of this paragraph. If the policy of insurance is written on a "claims made" basis, said policy shall be continued in full force and effect at all times during the term of this AGREEMENT, and for a period of five (5) years from the date of the completion of the services hereunder. In the event of termination of said policy during this period, CONSULTANT shall obtain continuing insurance coverage for the prior acts or omissions of CONSULTANT during the course of performing services under the term of this AGREEMENT. Said coverage shall be evidenced by either a new policy PSA CONTRACT NO. PSA-2015-100 01/27n5 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 9 of 19 evidencing no gap in coverage or by separate extended "tail" coverage with the present or new carrier. In the event the present policy of insurance is written on an "occurrence" basis, said policy shall be continued in full force and effect during the term of this AGREEMENT or until completion of the services provided for in this AGREEMENT, whichever is later. In the event of termination of said policy during this period, new coverage shall be obtained for the required period to insure for the prior acts of CONSULTANT during the course of performing services under the term of this AGREEMENT. CONSULTANT shall provide to the SANITATION DISTRICT a certificate of insurance in a form acceptable to the SANITATION DISTRICT indicating the deductible or self-retention amounts and the expiration date of said policy, and shall provide renewal certificates not less than ten (10)days prior to the expiration of each policy term. G. Proof of Coverage The CONSULTANT shall furnish the SANITATION DISTRICT with original certificates and amendatory endorsements effecting coverage. Said policies and endorsements shall conform to the requirements herein stated. All certificates and endorsements are to be received and approved by the SANITATION DISTRICT before work commences. The SANITATION DISTRICT reserves the right to review at CONSULTANT's corporate office complete, certified copies of all required insurance policies, including endorsements, effecting the coverage required, at any time. The following are approved forms that must be submitted as proof of coverage: • Certificate of Insurance ACORD Form 25 (5/2010)or equivalent. • Additional Insurance (ISO Forth) CG2010 11 85 or (General Liability) The combination of(ISO Forms) CG 2010 10 01 and CG 2037 10 01 All other Additional Insured endorsements must be submitted for approval by the SANITATION DISTRICT, and the SANITATION DISTRICT may reject alternatives that provide different or less coverage to the SANITATION DISTRICT. • Additional Insured Submit endorsement provided by carrier for the (Auto Liability) SANITATION DISTRICT approval. • Waiver of Subrogation State Compensation Insurance Fund Endorsement No. 2570 or equivalent. • Cancellation Notice State Compensation Insurance Fund Endorsement No. 2065 or equivalent. PSA CONTRACT NO. PSA-2015-100 01/27/15 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 10 of 19 H. Cancellation Notice Each insurance policy required herein shall be endorsed to state that coverage shall not be cancelled by either party, except after thirty (30)days prior written notice. The policy shall not terminate, nor shall it be cancelled, nor the coverage reduced until thirty(30) days after written notice is given to the SANITATION DISTRICT except for nonpayment of premium, which shall require not less than ten (10)days written notice to the SANITATION DISTRICT. Should there be changes in coverage or an increase in deductible or SIR amounts, the CONSULTANT and its insurance broker/agent shall send to the SANITATION DISTRICT a certified letter which includes a description of the changes in coverage and/or any increase in deductible or SIR amounts. The certified letter must be sent to the attention of Risk Management Division, and shall be received by the SANITATION DISTRICT not less than thirty (30)days prior to the effective date of the change(s) if the change would reduce coverage or increase deductibles or SIR amounts or otherwise reduce or limit the scope of insurance coverage provided to the SANITATION DISTRICT. I. Primary Insurance General Liability and Auto policies shall contain a Primary and Non Contributory Clause. Any other insurance maintained by the SANITATION DISTRICT shall be excess and not contributing with the insurance provided by CONSULTANT. J. Separation of Insured General Liability and Auto policies shall contain a "Separation of Insureds" clause. K. Non-Limiting (if applicable) Nothing in this document shall be construed as limiting in any way, nor shall it limit the indemnification provision contained in this AGREEMENT, or the extent to which CONSULTANT may be held responsible for payment of damages to persons or property. L. Deductibles and Self-Insured Retentions Any deductible and/or self-insured retention must be declared to the SANITATION DISTRICT on the Certificate of Insurance. All deductibles and/or self-insured retentions require approval by the SANITATION DISTRICT. At the option of the SANITATION DISTRICT, either: the insurer shall reduce or eliminate such deductible or self-insured retention as respects the SANITATION DISTRICT; or the CONSULTANT shall provide a financial guarantee satisfactory to the SANITATION DISTRICT guaranteeing payment of losses and related investigations, claim administration and defense expenses. PSA CONTRACT NO. PSA-2015-100 01/27115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 11 of 19 M. Defense Costs Liability policies shall have a provision that defense costs for all insureds and additional insureds are paid in addition to and do not deplete any policy limits. N. Subconsultants The CONSULTANT shall be responsible to establish insurance requirements for any Subconsultant hired by the CONSULTANT. The insurance shall be in amounts and types reasonably sufficient to deal with the risk of loss involving the Subconsultant's operations and work. O. Limits Are Minimums If the CONSULTANT maintains higher limits than any minimums shown above, then SANITATION DISTRICT requires and shall be entitled to coverage for the higher limits maintained by CONSULTANT. 13. CHANGES In the event of a change in the Scope of Work or a change in Key Personnel, or change in hourly rates, as requested by the SANITATION DISTRICT, the Parties hereto shall execute an Amendment to this AGREEMENT setting forth with particularity all terms of the new AGREEMENT. CONSULTANT's compensation for additional services authorized and performed in accordance with this AGREEMENT shall be agreed to by the SANITATION DISTRICT and CONSULTANT in writing prior to the time that the additional services are authorized. An Amendment shall be executed to document the change. 14. PROJECT TEAM AND SUBCONSULTANTS Neither this AGREEMENT nor any interest herein nor claim hereunder may be assigned by CONSULTANT either voluntarily or by operation of law, nor may all or any part of the AGREEMENT be subcontracted by CONSULTANT, without the prior written consent of the SANITATION DISTRICT. Consent by SANITATION DISTRICT shall not be deemed to relieve CONSULTANT of its obligation to comply fully with all terms and conditions of this AGREEMENT. CONSULTANT shall provide to SANITATION DISTRICT, prior to execution of this AGREEMENT, the names and full description of all Subconsultants and CONSULTANT's project team members anticipated to be used under this AGREEMENT. CONSULTANT shall include a description of the work and services to be done by each Subconsultant and each of CONSULTANT's team member. CONSULTANT shall include the respective compensation amounts for CONSULTANT and each Subconsultant, broken down as indicated in Section 2- Compensation. There shall be no substitution of the listed Subconsultants and CONSULTANT's team members without prior written approval by the SANITATION DISTRICT. PSA CONTRACT NO. PSA-2015-100 01/27/15 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 12 of 19 15. ENGINEERING REGISTRATION The CONSULTANT's personnel and Subconsultants are comprised of registered engineers and a staff of specialists and draftsmen in each department. The CONSULTANT itself is not a registered engineer but represents and agrees that wherever, in the performance of this AGREEMENT, the services of a registered engineer is required, such services hereunder will be performed under the direct supervision of registered engineers who are licensed in the State of California. 16. AUDIT PROVISIONS. A. SANITATION DISTRICT retains the reasonable right to access, review, examine, and audit, any and all books, records, documents and any other evidence of procedures and practices that the SANITATION DISTRICT determines are necessary to discover and verify that the CONSULTANT is in compliance with all requirements under this AGREEMENT. The CONSULTANT shall include the SANITATION DISTRICT's right as described above, in any and all of their subcontracts, and shall ensure that these rights are binding upon all Subconsultants. B. SANITATION DISTRICT retains the right to examine CONSULTANT's books, records, documents and any other evidence of procedures and practices that the SANITATION DISTRICT determines are necessary to discover and verify all direct and indirect costs, of whatever nature, which are claimed to have been incurred, or anticipated to be incurred or to ensure CONSULTANT's compliance with all requirements under this AGREEMENT during the term of this AGREEMENT and for a period of three (3)years after its termination. C. CONSULTANT shall maintain complete and accurate records in accordance with generally accepted industry standard practices and the SANITATION DISTRICT's policy. The CONSULTANT shall make available to the SANITATION DISTRICT for review and audit, all project related accounting records and documents, and any other financial data within fifteen (15) days after receipt of notice from the SANITATION DISTRICT. Upon SANITATION DISTRICT's request, the CONSULTANT shall submit exact duplicates of originals of all requested records to the SANITATION DISTRICT. If an audit is performed, CONSULTANT shall ensure that a qualified employee of the CONSULTANT will be available to assist SANITATION DISTRICT's auditor in obtaining all accounting records and documents, and any other financial data related to this AGREEMENT. 17. LEGAL RELATIONSHIP BETWEEN PARTIES The legal relationship between the Parties hereto is that of an independent contractor and nothing herein shall be deemed to transform CONSULTANT, its staff, independent contractors, or Subconsultants into employees of the SANITATION DISTRICT. CONSULTANT's staff performing services under the AGREEMENT shall at all times be employees and/or independent contractors of CONSULTANT. CONSULTANT shall monitor and control its staff and pay wages, salaries, and other amounts due directly to its staff in connection with the AGREEMENT. CONSULTANT shall be responsible for PSA CONTRACT NO. PSA-2015-100 01/27/15 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 13 of 19 hiring, review, and termination of its staff and shall be accountable for all reports and obligations respecting them, such as social security, income tax withholding, unemployment compensation, workers' compensation and similar matters. 18. NOTICES All notices hereunder and communications regarding the interpretation of the terms of this AGREEMENT, or changes thereto, shall be effected by delivery of said notices in person or by depositing said notices in the United States mail, registered or certified mail, return receipt requested, postage prepaid and addressed as follows: ORANGE COUNTY SANITATION DISTRICT 10844 Ellis Avenue Fountain Valley, CA 92708-7018 Attention: Larry Roberson, Senior Contracts Administrator Copy: Jeffrey Mohr, Engineering Manager JACOBS PROJECT MANAGEMENT COMPANY 3161 Michelson Drive, Suite 500 Irvine, CA 92612 Attention: Allan Tanjuaquio, Principal-in-Charge Copy: Peter M. Magallones, Vice President All communication regarding the Scope of Work, will be addressed to the Engineering Manager. Direction from other SANITATION DISTRICT staff must be approved in writing by the SANITATION DISTRICT's Engineering Manager prior to any action by the CONSULTANT. 19. TERMINATION The SANITATION DISTRICT may terminate this AGREEMENT at any time, without cause, upon giving thirty(30) days written notice to CONSULTANT. In the event of such termination, CONSULTANT shall be entitled to compensation for work performed on a prorated basis through and including the effective date of termination. CONSULTANT shall be permitted to terminate this AGREEMENT upon thirty (30)days written notice only if CONSULTANT is not compensated for billed amounts in accordance with the provisions of this AGREEMENT, when the same are due. Notice of termination shall be mailed to the SANITATION DISTRICT at the address listed in Section 18 - Notices. 20. DOCUMENTS AND STUDY MATERIALS The documents and study materials for this AGREEMENT shall become the property of the SANITATION DISTRICT upon the termination or completion of the work. CONSULTANT agrees to furnish to the SANITATION DISTRICT copies of all memoranda, correspondence, electronic materials, computation and study materials in its files pertaining to the work described in this AGREEMENT, which is requested in writing by the SANITATION DISTRICT. PSA CONTRACT NO. PSA-2015-100 01/27/15 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 14 of 19 21. COMPLIANCE CONSULTANT certifies by the execution of this AGREEMENT that it pays employees not less than the minimum wage as defined by law, and that it does not discriminate in its employment with regard to race, color, religion, sex or national origin; that it is in compliance with all Federal, State and local directives and executive orders regarding non-discrimination in employment; and that it agrees to demonstrate positively and aggressively the principle of equal opportunity in employment. 22. AGREEMENT EXECUTION AUTHORIZATION Both the SANITATION DISTRICT and CONSULTANT do covenant that each individual executing this document by and on behalf of each Party is a person duly authorized to execute this AGREEMENT for that Party. 23. DISPUTE RESOLUTION In the event of a dispute arising between the Parties regarding performance or interpretation of this AGREEMENT, the dispute shall be resolved by binding arbitration under the auspices of the Judicial Arbitration and Mediation Service ("JAMS"), or similar organization or entity conducting alternate dispute resolution services. 24. ATTORNEYS FEES, COSTS AND NECESSARY DISBURSEMENTS If any action at law or in equity or if any proceeding in the form of an Alternative Dispute Resolution (ADR) is necessary to enforce or interpret the terms of this AGREEMENT, the prevailing Party shall be entitled to reasonable attorney's fees, costs and necessary disbursements in addition to any other relief to which it may be entitled. 25. INDEMNIFICATION To the fullest extent permitted by law, CONSULTANT shall indemnify, defend (at CONSULTANT's sole cost and expense and with legal counsel approved by the SANITATION DISTRICT, which approval shall not be unreasonably withheld), protect and hold harmless the SANITATION DISTRICT and all of SANITATION DISTRICT's officers, directors, employees, CONSULTANT's, and agents (collectively the "Indemnified Parties"), from and against any and all claims, damages, liabilities, causes of action, suits, arbitration awards, losses,judgments, fines, penalties, costs and expenses (including, without limitation, attorneys' fees, disbursements and court costs, and all other professional, expert or CONSULTANT's fees and costs and the SANITATION DISTRICT's general and administrative expenses; individually, a "Claim"; collectively, "Claims")which may arise from or are in any manner related, directly or indirectly, to any work performed, or any operations, activities, or services provided by CONSULTANT in carrying out its obligations under this AGREEMENT to the extent of the negligent, recklessness and/or willful misconduct of CONSULTANT, its principals, officers, agents, employees, suppliers, Subconsultants, subcontractors, and/or anyone employed directly or indirectly by any of them, regardless of any contributing negligence or strict liability of an Indemnified Party. Notwithstanding the foregoing, nothing herein shall be construed to require CONSULTANT to indemnify the Indemnified Parties from any Claim arising solely from: PSA CONTRACT NO. PSA-2015-100 01/27115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 15 of 19 (A)the active negligence or willful misconduct of the Indemnified Parties; or (B)a natural disaster or other act of God, such as an earthquake; or (C)the independent action of a third party who is neither one of the Indemnified Parties nor the CONSULTANT, nor its principal, officer, agent, employee, supplier, Subconsultant, subcontractor, nor anyone employed directly or indirectly by any of them. Exceptions (A)through (B) above shall not apply, and CONSULTANT shall, to the fullest extent permitted by law, indemnify the Indemnified Parties, from Claims arising from more than one cause if any such cause taken alone would otherwise result in the obligation to indemnify hereunder. CONSULTANT's liability for indemnification hereunder is in addition to any liability CONSULTANT may have to the SANITATION DISTRICT for a breach by CONSULTANT of any of the provisions of this AGREEMENT. Under no circumstances shall the insurance requirements and limits set forth in this AGREEMENT be construed to limit CONSULTANT's indemnification obligation or other liability hereunder. The terms of this AGREEMENT are contractual and the result of negotiation between the Parties hereto. Accordingly, any rule of construction of contracts (including, without limitation, California Civil Code Section 1654)that ambiguities are to be construed against the drafting party, shall not be employed in the interpretation of this AGREEMENT. CONSULTANT is indemnified in the SANITATION DISTRICT's construction contracts as specified in the General Conditions. 26. DUTY TO DEFEND The duty to defend hereunder is wholly independent of and separate from the duty to indemnify and such duty to defend shall exist regardless of any ultimate liability of CONSULTANT and shall be consistent with Civil Code section 2782.8. Such defense obligation shall arise immediately upon presentation of a Claim by any person if, without regard to the merit of the Claim, such Claim could potentially result in an obligation to indemnify one or more Indemnified Parties, and upon written notice of such Claim being provided to CONSULTANT. Payment to CONSULTANT by any Indemnified Party or the payment or advance of defense costs by any Indemnified Party shall not be a condition precedent to enforcing such Indemnified Party's rights to indemnification hereunder. In the event a final judgment, arbitration, award, order, settlement, or other final resolution expressly determines that the claim did not arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the CONSULTANT, to any extent, then the SANITATION DISTRICT will reimburse CONSULTANT for the reasonable costs of defending the Indemnified Parties against such claims. CONSULTANT'S indemnification obligation hereunder shall survive the expiration or earlier termination of this AGREEMENT until such time as action against the Indemnified Parties for such matter indemnified hereunder is fully and finally barred by the applicable statute of limitations. PSA CONTRACT NO. PSA-2015-100 01/27/15 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 16 of 19 27. COMPLIANCE WITH SANITATION DISTRICT POLICIES AND PROCEDURES CONSULTANT shall be required to comply with all SANITATION DISTRICT policies and procedures including the OCSD Safety Standards, as applicable, all of which may be amended from time to time. 28. CLOSEOUT When the SANITATION DISTRICT determines that all work authorized under the AGREEMENT is fully complete and that the SANITATION DISTRICT requires no further work from CONSULTANT, or the AGREEMENT is otherwise terminated or expires in accordance with the terms of the AGREEMENT, the SANITATION DISTRICT shall give the CONSULTANT written notice that the AGREEMENT will be closedout. CONSULTANT shall submit all outstanding billings, work submittals, deliverables, reports or similarly related documents as required under the AGREEMENT within thirty (30)days of receipt of notice of AGREEMENT closeout. Upon receipt of CONSULTANT's submittals, the SANITATION DISTRICT shall commence a closeout audit of the AGREEMENT and will either: i. Give the CONSULTANT a final AGREEMENT Acceptance: or ii. Advise the CONSULTANT in writing of any outstanding item or items which must be furnished, completed, or corrected at the CONSULTANT's cost. CONSULTANT shall be required to provide adequate resources to fully support any administrative closeout efforts identified in the AGREEMENT. Such support must be provided within the timeframe requested by the SANITATION DISTRICT. Notwithstanding the final AGREEMENT Acceptance, the CONSULTANT will not be relieved of its obligations hereunder, nor will the CONSULTANT be relieved of its obligations to complete any portions of the work, the non-completion of which were not disclosed to the SANITATION DISTRICT(regardless of whether such nondisclosures were fraudulent, negligent, or otherwise), and the CONSULTANT shall remain obligated under all those provisions of the AGREEMENT which expressly or by their nature extend beyond and survive final AGREEMENT Acceptance. Any failure by the SANITATION DISTRICT to reject the work or to reject the CONSULTANT's request for final AGREEMENT Acceptance as set forth above shall not be deemed to be acceptance of the work by the SANITATION DISTRICT for any purpose nor imply acceptance of, or agreement with, the CONSULTANT's request for final AGREEMENT Acceptance. 29. PROHIBITION CONSULTANT is advised that it and each and every one of its Subconsultants are precluded from proposing on any engineering, technical services, construction or any other work that will be advertised by the SANITATION DISTRICT during the term of this AGREEMENT. PSA CONTRACT NO. PSA-2015-100 01/27115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 17 of 19 Per SANITATION DISTRICT's Policy Number 1.4, Recruitment and Selection, no former SANITATION DISTRICT employee shall bill any hours or perform any work at the SANITATION DISTRICT within one (1)year of leaving the SANITATION DISTRICT. 30. ENTIRE AGREEMENT This AGREEMENT constitutes the entire understanding and agreement between the Parties and supersedes all previous negotiations between them pertaining to the subject matter thereof. PSA CONTRACT NO. PSA-2015-100 01/27115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 18 of 19 IN WITNESS WHEREOF, this AGREEMENT has been executed in the name of the SANITATION DISTRICT, by its officers thereunto duly authorized, and CONSULTANT as of the day and year first above written. JACOBS PROJECT MANAGEMENT COMPANY By Date Printed Name &Title ORANGE COUNTY SANITATION DISTRICT By Chair, Board of Directors Date By Clerk of the Board Date By Contracts/Purchasing Manager Date Attachments: Attachment"A" Scope of Work Attachment"B" Not Used Attachment"C" Not Attached Attachment"D" Allowable Direct Costs Attachment"E" Fee Proposal Attachment"E-1" Maximum Hourly Rates Attachment"F" Not Attached Attachment"G" Not Used Attachment"H" Not Attached Attachment"I" Not Attached Attachment"J" Not Used Attachment"K" OCSD Safety Standards LDR PSA CONTRACT NO. PSA-2015.100 01/ 7115 SUPPLEMENTAL ENGINEERING AND SUPPORT STAFF SERVICES Page 19 of 19 OPERATIONS COMMITTEE Neebng pate To ad.of Di, 03,02/16 -- AGENDA REPORT Item Number Item Number 6 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Bob Ghirelli, Assistant General Manager SUBJECT: ENVIRONMENTAL SERVICES DEPARTMENT OVERVIEW GENERAL MANAGER'S RECOMMENDATION Information Only. SUMMARY BACKGROUND Each month staff provides an informational presentation on topics of interest to the Board of Directors. This month's topic is an overview of the newly created Environmental Services Department. RELEVANT STANDARDS • Maintain a culture of improving efficiency • Build brand, trust, and support with policy makers and community leaders • Anticipate and plan for future regulations and legal requirements PRIOR COMMITTEE/BOARD ACTIONS N/A ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (m1w.ocsd.conn with the complete agenda package: N/A Page 1 of 1 OPERATIONS COMMITTEE Neebng pate TO ad.of W. 03,02/16 -- AGENDA REPORTItem Number Item Number Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Ed Torres, Director of Operations and Maintenance SUBJECT: ENERGY EFFICIENCY AUDIT FINDINGS GENERAL MANAGER'S RECOMMENDATION Information Only. SUMMARY BACKGROUND Staff will present an informational report on the findings of the Energy Efficiency Audit performed by The Energy Network. RELEVANT STANDARDS • Efficiency efforts reduce the cost to provide the current service level or standard. • Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting. • Provide a safe and collegial workplace. PROBLEM N/A TIMING CONCERNS N/A RAMIFICATIONS OF NOT TAKING ACTION N/A PRIOR COMMITTEE/BOARD ACTIONS N/A Page 1 of 2 ADDITIONAL INFORMATION This item is in the General Manager's Work Plan under Operational Optimization. "Energy Efficiency — Evaluate the energy savings opportunities identified by The Energy Network (TEN). Present findings and implementation recommendations to the Board of Directors by March 2016." The consulting services were provided to OCSD at no cost through the California Public Utilities Commission (CPUC) and Southern California Edison (SCE). The consulting team is known as 'The Energy Network (TEN), and includes project managers, technical experts, construction management, and contractors. The team originally identified over 50 potential energy saving measures for consideration. The measures focused primarily on energy intensive processes, such as pumping and secondary treatment, and included efficiency upgrades of existing equipment as well as process changes. From the initial list, five items were selected for preliminary evaluation, and from that group, three items received detailed evaluation. The measure with the most promising efficiency improvement involves the replacement of existing lighting with LED lights. In addition to energy savings, this measure has the potential to reduce maintenance costs, and to improve worker safety. CEQA N/A BUDGET/ PURCHASING ORDINANCE COMPLIANCE N/A ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.coml with the complete agenda package: N/A Page 2 of 2 ORANGE COUNTY SANITATION DISTRICT Agenda Terminology Glossary Glossary of Terms and Abbreviations AQMD Air Quality Management District ASCE American Society of Civil Engineers BOD Biochemical Oxygen Demand CARB California Air Resources Board CASA California Association of Sanitation Agencies CCTV Closed Circuit Television CEQA California Environmental Quality Act CRWQCB California Regional Water Quality Control Board CWA Clean Water Act CWEA California Water Environment Association EIR Environmental Impact Report EMT Executive Management Team EPA U.S. Environmental Protection Agency FOG Fats, Oils, and Grease FSSD Facilities Support Services Department gpd Gallons per day GWR System Groundwater Replenishment System (also called GWRS) ICS Incident Command System IERP Integrated Emergency Control Plan LOS Level of Service MGD Million gallons per day NACWA National Association of Clean Water Agencies NPDES National Pollutant Discharge Elimination System NWRI National Water Research Institute O&M Operations and Maintenance OCCOG Orange County Council of Governments OCHCA Orange County Health Care Agency OCSD Orange County Sanitation District OCWD Orange County Water District GOBS Ocean Outfall Booster Station OSHA Occupational Safety and Health Administration PCSA Professional Consultant Services Agreement POTW Publicly Owned Treatment Works ppm Parts per million PSA Professional Services Agreement RFP Request For Proposal Glossary of Terms and Abbreviations RWQCB Regional Water Quality Control Board SARFPA Santa Ana River Flood Protection Agency SARI Santa Ana River Inceptor SARWQCB Santa Ana Regional Water Quality Control Board SAW PA Santa Ana Watershed Project Authority SCADA Supervisory Control and Data Acquisition system SCAP Southern California Alliance of Publicly Owned Treatment Works SCAQMD South Coast Air Quality Management District SOCWA South Orange County Wastewater Authority SSMP Sanitary Sewer Management Plan SSO Sanitary Sewer Overflow SWRCB State Water Resources Control Board TDS Total Dissolved Solids TMDL Total Maximum Daily Load TSS Total Suspended Solids WDR Waste Discharge Requirements WEF Water Environment Federation WERF Water Environment Research Foundation Activated-sludge process — A secondary biological wastewater treatment process where bacteria reproduce at a high rate with the introduction of excess air or oxygen, and consume dissolved nutrients in the wastewater. Benthos — The community of organisms, such as sea stars, worms and shrimp, which live on, in, or near the seabed, also know as the benthic zone. Biochemical Oxygen Demand (BOD)—The amount of oxygen used when organic matter undergoes decomposition by microorganisms. Testing for BOD is done to assess the amount of organic matter in water. Biosolids — Biosolids are nutrient rich organic and highly treated solid materials produced by the wastewater treatment process. This high-quality product can be recycled as a soil amendment on farm land or further processed as an earth-like product for commercial and home gardens to improve and maintain fertile soil and stimulate plant growth. Capital Improvement Program (CIP) — Projects for repair, rehabilitation, and replacement of assets. Also includes treatment improvements, additional capacity, and projects for the support facilities. Coliform bacteria—A group of bacteria found in the intestines of humans and other animals, but also occasionally found elsewhere used as indicators of sewage pollution. E. coli are the most common bacteria in wastewater. Collections system — In wastewater, it is the system of typically underground pipes that receive and convey sanitary wastewater or storm water. Glossary of Terms and Abbreviations Certificate of Participation (COP) -A type of financing where an investor purchases a share of the lease revenues of a program rather than the bond being secured by those revenues. Contaminants of Potential Concern (CPC) - Pharmaceuticals, hormones, and other organic wastewater contaminants. Dilution to Threshold (D!f) - the dilution at which the majority of the people detect the odor becomes the D(f for that air sample. Greenhouse gases - In the order of relative abundance water vapor, carbon dioxide, methane, nitrous oxide, and ozone gases that are considered the cause of global warming ("greenhouse effect"). Groundwater Replenishment (GWR) System - A joint water reclamation project that proactively responds to Southern California's current and future water needs. This joint project between the Orange County Water District and the Orange County Sanitation District provides 70 million gallons a day of drinking quality water to replenish the local groundwater supply. Levels of Service (LOS)-Goals to support environmental and public expectations for performance. NOMA- N-Nitrosodimethylamine is an N-nitrosoamine suspected cancer-causing agent. It has been found in the Groundwater Replenishment System process and is eliminated using hydrogen peroxide with extra ultra-violet treatment. National Biosolids Partnership (NBP) - An alliance of the National Association of Clean Water Agencies (NACWA) and Water Environment Federation (WEF), with advisory support from the U.S. Environmental Protection Agency (EPA). NBP is committed to developing and advancing environmentally sound and sustainable biosolids management practices that go beyond regulatory compliance and promote public participation in order to enhance the credibility of local agency biosolids programs and improved communications that lead to public acceptance. Plume-A visible or measurable concentration of discharge from a stationary source or fixed facility. Publicly-owned Treatment Works (POTW)- Municipal wastewater treatment plant. Santa Ana River Interceptor (SARI) Line - A regional brine line designed to convey 30 million gallons per day (MGD) of non-reclaimable wastewater from the upper Santa Ana River basin to the ocean for disposal, after treatment. Sanitary sewer - Separate sewer systems specifically for the carrying of domestic and industrial wastewater. Combined sewers carry both wastewater and urban run-off. South Coast Air Quality Management District (SCAQMD) - Regional regulatory agency that develops plans and regulations designed to achieve public health standards by reducing emissions from business and industry. Secondary treatment - Biological wastewater treatment, particularly the activated-sludge process, where bacteria and other microorganisms consume dissolved nutrients in wastewater. Sludge - Untreated solid material created by the treatment of wastewater. Total suspended solids (TSS)-The amount of solids floating and in suspension in wastewater. Glossary of Terms and Abbreviations Trickling filter — A biological secondary treatment process in which bacteria and other microorganisms, growing as slime on the surface of rocks or plastic media, consume nutrients in wastewater as it trickles over them. Urban runoff — Water from city streets and domestic properties that carry pollutants into the storm drains, rivers, lakes, and oceans. Wastewater—Any water that enters the sanitary sewer. Watershed —A land area from which water drains to a particular water body. OCSD's service area is in the Santa Ana River Watershed.