Loading...
HomeMy WebLinkAbout03-07-2018 Operations Committee Meeting Agenda Packet Orange County Sanitation District Jp�1 SANir,,o Wednesday, March 7, 2018 Regular Meeting of the r"o^ 5:00 P.M. OPERATIONS COMMITTEE e 9 Administration Building Board Room 10844 Ellis Avenue 9of°r"� THE EH�P Fountain Valley, CA 92708 (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 Committee 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 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 Any items withdrawn from the Consent Calendar for separate discussion will be considered in the regular order of business. 1.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 February 7, 2018 Operations Committee Meeting. 2. RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2, PROJECT NO. P2-123 (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: A. Approve a Professional Design Services Agreement with Spec Services, Inc. for the Return Activated Sludge Piping Replacement at Plant No. 2, Project No. P2-123, for an amount not to exceed $668,217; and B. Approve a contingency of $66,822 (10%). 03/07/2018 Operations Committee Agenda Page 1 of 5 3. SLUDGE DEWATERING AND ODOR CONTROL AT PLANT NO. 1, PROJECT NO. P1-101 (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: Approve a contingency increase of $856,800 (12%) to the Professional Consultant Services Agreement with HDR Engineering, Inc. to provide construction support services for Sludge Dewatering and Odor Control at Plant No. 1, Project No. P1-101, for a total contingency amount of $2,142,000 (30%). 4. NEWHOPE-PLACENTIA TRUNK REPLACEMENT, PROJECT NO. 2-72 (Rob Thompson) RECOMMENDATION: Authorize the General Manager to execute a Cooperative Agreement between the Orange County Sanitation District and the City of Anaheim for traffic signal improvements on State College Boulevard along portions of the Newhope-Placentia Trunk Replacement, Segment B, Project No. 2-72B, for an estimated amount of $175,000, in a form approved by General Counsel. 5. EAST BASIN DISTRIBUTION BOX REPAIR, PROJECT NO. FE16-10 (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: A. Award a construction contract to Howard Ridley Company, Inc. for the East Basin Distribution Box Repair, Project No. FE16-10, for a total amount not to exceed $529,350; and B. Approve a contingency of $52,935 (10%). 6. PURCHASE OF LATHE FROM REPUBLIC LAGUN MACHINE TOOL COMPANY, TO REPLACE ACRA FEL-31200 LATHE (Ed Torres) RECOMMENDATION: A. Approve the purchase of an American Turnmaster Power One, 40 series lathe from Republic Lagun Machine Tool Co., Specification E-2017-904, for an amount not to exceed $145,559; and B. Approve a contingency of $4,370 (3%). 03/07/2018 Operations Committee Agenda Page 2 of 5 7. PLANT NO. 2 CENTRAL GENERATION STEAM TURBINE REHABILITATION (Ed Torres) RECOMMENDATION: Recommend to the Board of Directors to: A. Approve a Sole Source Purchase Order to Dresser-Rand for the assessment and standard overhaul of the Steam Turbine at Plant No. 2, for an amount not to exceed $245,424, including applicable tax and freight; and B. Approve a contingency of $49,085 (20%). 8. SITE ACCESS AND LICENSE AGREEMENT — BREA DOSING STATION (Ed Torres) RECOMMENDATION: Recommend to the Board of Directors to: A. Approve a new Site Access and License agreement with Pacific Quality Partners to lease property for the purpose of installing, maintaining, and operating a chemical dosing station at 1355 West Imperial Highway in the city of Brea, for a term of 36 months, at the following lease terms, in a form approved by General Counsel: • April 22, 2018 through April 21, 2019, $2,500 per month • April 22, 2019 through April 21, 2020, $2,560 per month • April 22, 2020 through April 21, 2021, $2,620 per month; and B. Authorize the General Manager or designee to negotiate and subsequently award an option for an additional 36-month lease renewal period beginning April 22, 2021. NON-CONSENT: 9. SCADA SYSTEM AND NETWORK UPGRADES, PROJECT NO. P2-107 (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: Approve a contingency increase of $211,365 (7.5%) to the Professional Design Services Agreement with Brown and Caldwell for SCADA System and Network Upgrades, Project No. P2-107, for a total contingency amount of $493,185 (17.5%). 10. OCEAN OUTFALL SYSTEM REHABILITATION, PROJECT NO. J-117 AND SCADA SYSTEM AND NETWORK UPGRADES, PROJECT NO. P2-107 (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: A. Approve a budget increase of $19,000,000 for Ocean Outfall System Rehabilitation, Project No. J-117, for a total budget amount of $166,000,000; and 03/07/2018 Operations Committee Agenda Page 3 of 5 B. Approve a budget reduction of $19,100,000 for SCADA System and Network Upgrades, Project No. P2-107, for a total budget amount of $5,000,000. 11. SOLE SOURCE LOAD SHEDDING AND PROTECTIVE RELAY SYSTEM (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: A. Authorize staff to specify Schweitzer Engineering Laboratories as the sole source provider for current and future projects equipment, materials, and services for electrical power system protective relays and load-shedding systems at Plant Nos. 1 and 2; B. Authorize staff to negotiate service agreements for services related to protective relays and load-shedding systems for current and future projects, and for on-going operations and maintenance at Plant Nos. 1 and 2; and C. Ratify the addition of Schweitzer Engineering Laboratories to the list of pre-approved Original Equipment Manufacturers for procurements under $100,000 for equipment, materials, and services for electrical power system protective relays and load-shedding systems. INFORMATION ITEMS: 12. SEAL BEACH PUMP STATION REHABILITATION, PROJECT NO. 3-62, AND REHABILITATION OF THE WESTERN REGIONAL SEWERS, PROJECT NO. 3-64 (Rob Thompson) DEPARTMENT HEAD REPORTS: CLOSED SESSION: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: ADJOURNMENT: The next Operations Committee meeting is scheduled for Wednesday, April 4, 2018 at 5:00 p.m. 03/07/2018 Operations Committee Agenda Page 4 of 5 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, California, not less than 72 hours prior to the meeting date and time 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. Agenda 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 klore(a)ocsd.com For any questions on the agenda, Committee members may contact staff at: General Manager Jim Herberg (714)593-7300 Iherberg(@ocsd.com Assistant General Manager Bob Ghirelli (714)593-7400 rghirelli ocsd.com Assistant General Manager Rob Thompson (714)593-7310 rthomPson(@msd.com Director of Environmental Jim Colston (714)593-7450 Icolston(cDocsd.com Services Director of Operations& Ed Torres (714)593-7080 etorres(a)ocsd.com Maintenance 03/07/2018 Operations Committee Agenda Page 5 of 5 ITEM NO. 1 MINUTES OF THE OPERATIONS COMMITTEE Orange County Sanitation District Wednesday, February 7, 2018, 5:00 p.m. A regular meeting of the Operations Committee was called to order by Committee Chair Withers on Wednesday, February 7, 2018 at 5:00 p.m. in the Administration Building. Director Bernstein led the Flag Salute. A quorum was declared present, as follows: COMMITTEE MEMBERS PRESENT: STAFF PRESENT: John Withers, Chair Jim Herberg, General Manager Ellery Deaton, Vice-Chair Bob Ghirelli, Assistant General Manager Denise Barnes Celia Chandler, Director of Human Resources Allan Bernstein Rob Thompson, Director of Engineering Stacy Berry (Alternate) Ed Torres, Director of Operations & Maintenance Robert Collacott Lorenzo Tyner, Director of Finance & Phil Hawkins Administrative Services Steve Jones Kelly Lore, Clerk of the Board Richard Murphy Cindi Ambrose Tim Shaw Jennifer Cabral Fred Smith Ron Coss Greg Sebourn, Board Chair Mike Dorman David Shawver, Board Vice-Chair Mark Esquer Dean Fisher COMMITTEE MEMBERS ABSENT: Alfredo Garcia Michelle Steel Tom Grant Kathy Millea Jeff Mohr Ddaze Phuong Tyler Ramirez Roya Sohanaki Jim Spears OTHERS PRESENT: Brad Hogin, General Counsel Bob Ooten, Alternate Director (CMSD) PUBLIC COMMENTS: None. Late Communication was provided by Clerk of the Board Kelly Lore regarding the addition of the Specification No. in the staff recommendation of Item No. 6. 02/07/2018 Operations Committee Minutes Page 1 of 7 REPORT OF COMMITTEE CHAIR: Committee Chair Withers did not provide a report. REPORT OF GENERAL MANAGER: General Manager Jim Herberg did not provide a report. CONSENT CALENDAR: 1. APPROVAL OF MINUTES (Clerk of the Board) MOVED, SECONDED, and DULY CARRIED TO: Approve Minutes of the December 6, 2017 Operations Committee Meeting. AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 2. QUARTERLY ODOR COMPLAINT REPORT (Ed Torres) MOVED, SECONDED, and DULY CARRIED TO: Receive and file the Fiscal Year 2017/18 Second Quarter Odor Complaint Summary. AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 3. ANNUAL MANHOLE REHABILITATION SERVICES CONTRACT (Ed Torres) MOVED, SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: A. Award a Service Contract for Specification No. S-2017-895BD, annual manhole rehabilitation services, to Ayala Engineering, for a total amount not to exceed $266,945 for the period beginning April 1, 2018 through March 31, 2019, with four one-year renewal options; and B. Approve a contingency of $40,042 (15%). 02/07/2018 Operations Committee Minutes Page 2 of 7 AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 4. PLANT NO. 1 ACTIVATED SLUDGE AERATION DIFFUSER MEMBRANE REPLACEMENT REPAIR (Ed Torres) MOVED, SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Purchase Order Contract to IQA Construction Inc. to provide rehabilitation services for up to six (6) Aeration Basins at Plant No. 1, Specification No. S-2017-87513D, for a total amount not to exceed $232,001; B. Approve a contingency of $46,400 (20%); and C. Approve a Sole Source Purchase Order to DC Frost Associates Inc. (exclusive representative for Xylem Sanitaire) for the required mechanical parts for three (3) Aeration Basins at Plant No. 1, for a total amount not to exceed $106,098. AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 5. INCREASE TO PURCHASE ORDER FOR ACCESS WAY MAINTENANCE & REPAIR, SPECIFICATION NO. S-2017-857 (Ed Torres) MOVED, SECONDED, and DULY CARRIED TO: Approve an increase with Excel Door & Gate Company for preventative and corrective maintenance repairs, Specification No. S-2017-857, for the period July 1, 2017 through June 30, 2018, for an additional amount of $50,000, increasing the total amount not to exceed $140,000. AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 02/07/2018 Operations Committee Minutes Page 3 of 7 6. HOSE REEL TRAILER FOR TEN-INCH PUMPS (Ed Torres) MOVED, SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: A. Award the purchase of 2,640 feet of twelve-inch lay flat sewer hose with mobile hose reel trailer to West Coast Safety Supply, Specification No. E-2017-910BD for a total cost of $295,704; and B. Approve a contingency amount of $29,570 (10%). AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 7. CAPITAL IMPROVEMENT PROGRAM CONTRACT PERFORMANCE REPORT (Rob Thompson) MOVED, SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: Receive and file the Capital Improvement Program Contract Performance Report for the period ending December 31 , 2017. AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 8. SECOND AMENDMENT TO THE 1972 WASTEWATER INTERCEPTOR CAPACITY AGREEMENT DATED APRIL 12, 1972 TO MODIFY THE COST-SHARING REACH DEFINITIONS FOR THE NEW PIPING SEGMENTS (Rob Thompson) MOVED, SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: Approve a Second Amendment to the Wastewater Interceptor Capacity Agreement dated April 12, 1972, between Orange County Sanitation District and Santa Ana Watershed Project Authority to modify the cost-sharing reach designations for the newly installed pipe and metering station. AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 02/07/2018 Operations Committee Minutes Page 4 of 7 9. CONTRACTING AQUATIC BIOASSAY & CONSULTING LABORATORIES, INC. FOR TAXONOMIC SERVICES (Jim Colston) MOVED, SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: A. Award a service contract to Aquatic Bioassay & Consulting Laboratories, Inc., Specification No. S-2017-881, to provide taxonomic services, specifically infauna sample sorting and echinoderm (e.g., sea stars) taxonomic identification, for a total amount not to exceed $190,630, for the period March 1, 2018 through February 28, 2019, with four (4) one-year renewal options; and B. Approve a contingency of $19,063 (10%). AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel NON-CONSENT CALENDAR: 10. SECONDARY TREATMENT AND PLANT WATER VFD REPLACEMENT AT PLANT NO. 1, PROJECT NO. FE15-07 (Rob Thompson) Engineering Manager Mike Dorman provided a PowerPoint and brief overview of the project. MOVED, SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: A. Award a construction contract to Helix Electrical, Inc. for Secondary Treatment and Plant Water VFD Replacement at Plant No. 1, Project No. FE15-07, for a total amount not to exceed $1,797,000; and B. Approve a contingency of $179,700 (10%). AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Sebourn, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Steel 02/07/2018 Operations Committee Minutes Page 5 of 7 Board Chairman Sebourn stated a recusal and left the room during discussion and the vote of Item No. 11. 11. PROCESS CONTROL SYSTEMS UPGRADES STUDY, PROJECT NO. SP-196 (Rob Thompson) Engineering Manager Mike Dorman provided an informative PowerPoint and overview of the project. MOVED, SECONDED, and DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Professional Services Agreement with Stantec Consulting Services, Inc. to provide engineering services for the Process Control Systems Upgrades Study, Project No. SP-196, for an amount not to exceed $1,398,866; and B. Approve a contingency of $139,887 (10%). AYES: Barnes, Bernstein, Berry (Alternate), Collacott, Deaton, Hawkins, S. Jones, Murphy, Shaw, Shawver, F. Smith, and Withers NOES: None ABSTENTIONS: None ABSENT: Sebourn (recusal) and Steel INFORMATION ITEMS: 12. BATTERY STORAGE SYSTEM AT PLANT NO. 1, PROJECT NO. FE17-03 (Rob Thompson) Engineering Manager Mike Dorman provided an informative PowerPoint regarding the Battery Energy Storage System including: Summer peak demand, LCR and future Super-Peak Operations, Plant Loads Modifications, and key procurement dates. Mr. Dorman also responded to questions from the Committee. DEPARTMENT HEAD REPORTS: Mr. Herberg reminded the Committee of the upcoming GWRS 10th Anniversary event to be held on Friday, February 16th from 3:30 — 6:30 p.m. and encouraged everyone to attend. He also stated that the OCSD administrative offices will be closed in observance of the Presidents' birthdays on Feb. 12 & 19. Mr. Herberg stated that the Ordinances for the rate increases will be brought to the February Administration Committee and will be introduced to the full board on February 28. He also stated the Proposition 218 notices will be mailed on Friday, February 9. 02/07/2018 Operations Committee Minutes Page 6 of 7 Director of Engineering Rob Thompson reported the successful completion of the pipe bursting project in Newport Beach, which therefore will not require the use of the approved contingency. Mr. Thompson stated that OCSD staff is currently working with agency staff in the cities of Seal Beach, Cypress, Los Alamitos, La Palma, Buena Park, Anaheim, and OCTA in coordination of Project 3-64; and will hold a partnering meeting on February 22 at the Cypress Community Center to provide information and a better understanding of the project; and to ensure that the needs of all will be met. Board Chair Sebourn also encouraged the Committee to register and attend the GWRS 10t" Anniversary Winterfest this Thursday for the kickoff event and the all-day events on Friday. CLOSED SESSION: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. ADJOURNMENT Committee Chair Withers declared the meeting adjourned at 5:45 p.m. to the next scheduled meeting of Wednesday, March 7, 2018 at 5:00 p.m. Submitted by, Kelly A. Lore, MMC Clerk of the Board 02/07/2018 Operations Committee Minutes Page 7 of 7 OPERATIONS COMMITTEE Meeting Date To Dir. 03/07/18 03/3/28/18 AGENDA REPORT Item Number Item Number z Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2, PROJECT NO. P2-123 GENERAL MANAGER'S RECOMMENDATION A. Approve a Professional Design Services Agreement with Spec Services, Inc. for the Return Activated Sludge Piping Replacement at Plant No. 2, Project No. P2-123, for an amount not to exceed $668,217; and B. Approve a contingency of $66,822 (10%). BACKGROUND Orange County Sanitation District (Sanitation District) Plant No. 2 has two biological secondary treatment facilities, one of which is the High Purity Oxygen Activated Sludge Plant, with a rated capacity of 90 million gallons per day, which is approximately 60% of the Plant No. 2 rated capacity. This Plant was built in the mid-1980s and includes 1 ,800 feet of sludge return piping and appurtenances ranging in size from 4 inches to 36 inches. RELEVANT STANDARDS • Protection of Orange County Sanitation District assets • 24/7/365 treatment plant reliability PROBLEM The return activated sludge piping system is severely corroded and has had numerous corrosion-related leaks resulting in process interruptions and the expenditure of staff time for repairs. The corrosion is significant enough that a sudden leak could be a safety issue in the tunnel system. PROPOSED SOLUTION Replace the return activated sludge piping and valves. The services of a design consulting firm are required to complete this work. Page 1 of 4 TIMING CONCERNS A sudden pipeline rupture could present a safety issue for Operations staff. The loss of a section of piping could also lead to a short-term loss of operational flexibility in the aeration basin facilities. RAMIFICATIONS OF NOT TAKING ACTION Reliability of the treatment process will suffer and Maintenance staff will be required to make inefficient, unplanned repairs to maintain the full operational ability of the aeration basin facilities. A sudden pipeline rupture is a risk to staff and equipment in the tunnel system. PRIOR COMMITTEE/BOARD ACTIONS April 2017 - The Board established a project for Return Activated Sludge Piping Replacement at Plant No. 2, Project No. P2-123, and a budget of $15,000,000. ADDITIONAL INFORMATION Consultant Selection: The Sanitation District requested and advertised for proposals for Return Activated Sludge Piping Replacement at Activated Sludge Plant No. 2, Project No. P2-123, on October 31, 2017. The following evaluation criterion were described in the Request for Proposals (RFP) and used to determine the most qualified Consultant. CRITERION WEIGHT Project Understanding and Approach 20% Related Project Experience 40% Project Team and Staff Qualifications 40% Six proposals were received on November 30, 2017 and evaluated in accordance with the evaluation process set forth in the Sanitation District's Purchasing Ordinance, by a pre-selected Evaluation Team consisting of the following Sanitation District's staff. Don Stokes Maintenance Superintendent William Cassidy Engineering Supervisor Rich Leon Project Manager The Evaluation Team also included one non-voting technical advisor from Sanitation District staff and one non-voting representative from the Contracts Administration Division. Following scoring by the Evaluation Team, four consultants were shortlisted for interviews on December 14, 2017. Following the interview, each member of the Evaluation Team Page 2 of 4 ranked the consultants based on both the proposal and interviews using the evaluation criteria and weighting described above. Based on the ranking shown below, Spec Services, Inc. was selected as the most qualified Consultant. AECOM Consultant Technical Atkins North CDM Smith, Spec Evaluator Services Inc. America, Inc. Inc. Services Inc. Evaluator 1 4 2 3 1 Evaluator 2 4 2 3 1 Evaluator 3 3 2 4 1 Combined 4 2 3 1 Ranking Spec Services, Inc. was selected based on the strength of their team experience and their ability to identify and focus on important Sanitation District concerns of the project. Review of Fee Proposal and Negotiations: Proposals were accompanied by sealed fee proposals. In accordance with the Sanitation District's Purchasing Ordinance, the fee proposal of only the highest-ranked firm was opened after approval by the Director of Engineering of the Evaluation Team's recommendation. Staff conducted negotiations with Spec Services, Inc. to clarify the requirements of the Scope of Work, the assumptions used for the estimated level of effort, and the proposed approach to meet the goals and objectives for the project. A total of two meetings were held with the top-ranked proposer, Spec Services, Inc., to review, in detail, each project element, the assumptions regarding the project elements, the requirements of each task in the scope, and the basis for estimating the associated level of effort. Sanitation District staff clarified the Sanitation District's standards for construction documents. The clarification resulted in a significant reduction in the number of design documents and the level of detail contained within each document. Original Fee Proposal Negotiated Fee Total Hours 6,991 3,970 Total Fee $1,207,468 $668,217 The Consultant's fringe and overhead costs, which factor into the billing rate, have been substantiated. The contract profit is 9.36%, which is based on an established formula based on the Sanitation District's standard design agreements. Page 3 of 4 Based on the above, staff has determined that the final negotiated fee is fair and reasonable for the level of effort required for this project and recommends award of the Professional Design Services Agreement to Spec Services, Inc. CEQA The project is exempt from CEQA under the Class 1 categorical exemptions set forth in CEQA Guidelines (14 California Code of Regulations) Sections 15301. Section 15301 (Class 1) exempts from CEQA projects involving "the operation, repair, maintenance, permitting, leasing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination." This exemption includes, but is not limited to, projects involving "[b] Existing facilities of both investor and publicly-owned utilities used to provide electric power, natural gas, sewerage, or other public utility services." The project is exempt because it involves repairs and minor replacement of existing facilities involving no expansion of use or capacity. FINANCIAL CONSIDERATIONS This request complies with authority levels of the Sanitation District's Purchasing Ordinance. This item has been budgeted (Budget Update FY2017-18, Page A-14) and the budget is sufficient for the recommended action. ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: • Draft Professional Design Services Agreement RL:dm:gc Page 4 of 4 PROFESSIONAL DESIGN SERVICES AGREEMENT THIS AGREEMENT, is made and entered into to be effective the oEffectiveDate)) day of ((Effective Month)), <(EffectiveMonth)) by and between the ORANGE COUNTY SANITATION DISTRICT, hereinafter referred to as "SANITATION DISTRICT", and «Company», for purposes of this Agreement hereinafter referred to as "CONSULTANT". WITNESSETH: WHEREAS, the SANITATION DISTRICT desires to engage a CONSULTANT for Return Activated Sludge Piping Replacement at Plant No. 2, Project No. P2-123; and to provide Design services for analyzing the existing Return Activated Sludge (RAS) piping system and preparaing drawings to span the limits of the work to show the demolition and replacement of the piping and appurtenances; and, WHEREAS, CONSULTANT is qualified to provide the necessary services in connection with these requirements and has agreed to provide the necessary professional 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 a CONSULTANT to perform this work; and, WHEREAS, at its regular meeting on «Board Meeting Date)) the Board of Directors, by Minute Order, accepted the recommendation of the Operations Committee pursuant to SANITATION DISTRICT Ordinance No. OCSD-47 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. CONSULTANT PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 1 of 20 shall respond to all comments, suggestions, and recommendations on the SANITATION DISTRICT's review comment sheets (i.e. DS1, DS2 and DS3). All comments shall be incorporated into the design prior to the next submittal deadline or addressed, in writing, as to why the comment has not been incorporated. CONSULTANT shall ensure that each submittal is one hundred percent (100%) accurate for the level of work submitted (i.e. correct references, terms, capitalization or equal status, spelling, punctuation, etc.) 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 CAD drawings, figures, and other work shall be produced by CONSULTANTS and Subconsultants using the SANITATION DISTRICT CAD Manual. Conversion of CAD work from any other non-standard CAD format to the SANITATION DISTRICT format shall not be acceptable in lieu of this requirement. Electronic files shall conform to the SANITATION DISTRICT specifications. Any changes to these specifications by the CONSULTANT are subject to review and approval of the SANITATION DISTRICT. Electronic files shall be subject to an acceptance period of twenty-five (25) calendar days during which the SANITATION DISTRICT shall perform appropriate reviews and including CAD Manual compliance. CONSULTANT shall correct any discrepancies or errors detected and reported within the acceptance period at no additional cost to the SANITATION DISTRICT. E. The CONSULTANT shall ensure that all plans and specifications prepared, or recommended under this Agreement allow for competitive bidding. The CONSULTANT shall design such plans or specifications so that procurement of services, labor or materials are not available from only one (1) source, and shall not design plans and specifications around a single or specific product, piece of major equipment or machinery, a specific patented design or a proprietary process, unless required by principles of sound engineering practice and supported by a written justification that has been approved in writing by the SANITATION DISTRICT. The CONSULTANT shall submit this written justification to the SANITATION DISTRICT prior to beginning work on such plans and specifications. Whenever the CONSULTANT recommends a specific product or equipment for competitive procurement, such recommendation shall include at least two (2) brand names of products that are capable of meeting the functional requirements applicable to the project. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 2 of 20 F. 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 party 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 «ConsultantTotalDollar» Dollars ($«ConsultantTotalDollar»). 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 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 ten percent (10%). Between $250,000 and $2,500,000, the maximum Profit shall be limited by a straight declining percentage between ten percent (10%) and five percent (5%). For consulting or subconsulting services fees with a value greater than $2,500,000, the maximum Profit shall be five percent (5%). Addenda shall PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 3 of 20 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 Subconsultant 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 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. Other Direct Costs Other Direct Costs incurred by CONSULTANT and its Contractor due to modifications to the Scope of Work resulting from field investigations and field work required by Contract. These items may include special equipment, test equipment and tooling and other materials and services not previously identified. Refer to Attachment "D" Allowable Direct Costs for payment information. H. 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 "Y - 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 PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 4 of 20 the IRS. The most recent schedule of the per diem rates utilized by the SANITATION DISTRICT can be found on the U.S. General Services Administration's website at http://www.gsa.gov/portal/category/l04711#. 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 the 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. Additional details related to the reimbursement of the allowable direct costs are provided in the Attachment "D" -Allowable Direct Costs of this Agreement. I. Limitation of Costs If, at any time, CONSULTANT estimates the cost of performing the services described in CONSULTANT's Proposal will exceed seventy-five percent (75%) of 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 PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 5 of 20 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: 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. The SANITATION DISTRICT's Director of Engineering may, at his or her 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. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 6 of 20 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 claim to the SANITATION DISTRICT within a reasonable time after discovery of the false claim. 5. 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 et seq, PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 7 of 20 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 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 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. 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. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 8 of 20 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 VIII, 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 minimum limits of liability coverage: One Million Dollars ($1,000,000) per occurrence with One Million Dollars ($1,000,000) 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 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. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 9 of 20 D. Automotive/Vehicle 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 One Million Dollars ($1,000,000) or alternatively, One Million Dollars ($1,000,000) 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 Two Million Dollars ($2,000,000) 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, 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. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 10 of 20 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 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 PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 11 of 20 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 the SANITATION DISTRICT's 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 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. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 12 of 20 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 direct and indirect costs, of whatever nature, which are claimed to have been PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 13 of 20 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 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: Larry Roberson, Senior Contracts Administrator Copy: Richard Leon, Project Manager Notices shall be mailed to CONSULTANT at: ((CONSULTANT COMPANY)) «Street Address» «City, State Zip» Attention: (<CONSULTANT's Representative)) All communication regarding the Scope of Work, will be addressed to the Project Manager. Direction from other SANITATION DISTRICT staff must be approved in writing by the SANITATION DISTRICT's Project Manager prior to action from the CONSULTANT. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 14 of 20 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 PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 15 of 20 disbursements in addition to any other relief to which it may be entitled. 20. PROGRESS REPORTS Monthly progress reports shall be submitted for review by the tenth (10t") 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 (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, CONSULTANT's suppliers, CONSULTANT, 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: (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, nor CONSULTANT's supplier, CONSULTANT, Subconsultant, subcontractor, nor anyone employed directly or indirectly by any of them. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 16 of 20 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. 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 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. 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. COMPLIANCE WITH OCSD POLICIES AND PROCEDURES CONSULTANT shall be required to comply with all OCSD policies and procedures including the OCSD Safety Standards, as applicable, all of which may be amended from time to time. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 17 of 20 26. 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. 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. 27. 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. PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 18 of 20 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: COMPANY NAME By Date Printed Name & Title ORANGE COUNTY SANITATION DISTRICT By Gregory C. Sebourn, PLS Date Chair, Board of Directors By Kelly A. Lore Date Clerk of the Board By Marc Dubois Date Contracts, Purchasing and Materials Management Manager [Note: List of Attachments below in the "Sample PDSA" for RFP package] Attachments: Attachment "A" — Scope of Work Attachment "B" — Labor Hour Matrix Attachment "C"— Conflict of Interest Disclaimer Attachment "D"—Allowable Direct Costs Attachment "E" — Fee Proposal Attachment "F"— Professional Design Services Agreement (PDSA) Attachment "G" —Acknowledgement of PDSA/PCSA Attachment "H"— Professional Construction Services Agreement (PCSA) Attachment "I" — Cost Matrix and Summary Attachment "J"—Acknowledgement of Addenda Receipt Attachment "K" — Hourly Rate Schedule for Minor Subconsultant Attachment "L" — OCSD Safety Standards PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 19 of 20 [Note: List of Attachments below in the "Final PDSA"] Attachments: Attachment "A" — Scope of Work Attachment "B" — Labor Hour Matrix Attachment "C"— Not Used (or Not Attached) Attachment "D"—Allowable Direct Costs Attachment "E" — Fee Proposal Attachment T" — Not Used (or Not Attached) Attachment "G" — Not Used (or Not Attached) Attachment "H"— Not Used (or Not Attached) Attachment "I" — Cost Matrix & Summary Attachment "T— Not Used (or Not Attached) Attachment "K" — Hourly Rate Schedule for Minor Subconsultant Attachment "L" — OCSD Safety Standards LDR:xx PDSA PROJECT NO. P2-123 Revised 091217 RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2 Page 20 of 20 OPERATIONS COMMITTEE Meeting Date To Dir. 03/07/18 03/3/28/18 AGENDA REPORT Item Number Item Number 3 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: SLUDGE DEWATERING AND ODOR CONTROL AT PLANT NO. 1, PROJECT NO. P1-101 GENERAL MANAGER'S RECOMMENDATION Approve a contingency increase of $856,800 (12%) to the Professional Consultant Services Agreement with HDR Engineering, Inc. to provide construction support services for Sludge Dewatering and Odor Control at Plant No. 1, Project No. P1-101 , for a total contingency amount of $2,142,000 (30%). BACKGROUND Sludge Dewatering and Odor Control at Plant No. 1, Project No. P1-101, replaces existing solids dewatering, sludge thickening, and odor control systems at the Orange County Sanitation District (Sanitation District) Plant No. 1 . The objectives of the project include the following: 1. Additional solids handling capacity to support expansion of the Ground Water Replenishment System (GWRS). 2. Replacement of aging sludge dewatering facilities built in the late 1970s and early 1980s. 3. Lowering biosolids management costs by $3.6 milion per year by reducing water content. 4. Improving sludge thickening to avoid the need to construct new digesters. HDR Engineering, Inc. was awarded a Professional Consultant Services Agreement for engineering support services during construction, including reviewing contractor submittals, responding to requests for information, preparing design modifications, and providing other services needed of the original design firm. This support is essential for successful completion of the project. In April 2017, the Board approved a Consultant contingency increase related to construction delays and unexpected complexities which resulted in significantly more requests for information and design changes. This increase was based on the expectation at the time that construction would be finishing and commissioning beginning in September 2017. Now, commissioning is expected to begin in earnest in late March 2018. Consultant costs are being incurred proportionally with the delay. Page 1 of 3 At the time, the Professional Consultant Services Agreement was negotiated, the expectation was that operational expertise and engineering support during commissioning could be provided by Sanitation District staff. In the following years, staff has concluded that commissioning and startup will be more complex than originally envisioned, and that those activities involve substantial risks such as delays and claims, operational impacts, and unsustainable demands on operational staff. For this reason, staff recommends utilizing commissioning support from the Consultant's process startup specialist during the commissioning phase of the project. This specialist has a proven track record with the Sanitation District. RELEVANT STANDARDS • Sound engineering and accounting practices, complying with local, state and federal laws PROBLEM There is insufficient Consultant contract contingency to fund the engineering support services through the construction phase of the project and for the commissioning specialist support during commissioning. PROPOSED SOLUTION Increase the Consultant contract contingency. TIMING CONCERNS Construction is nearing completion and commissioning activities are ramping up. To complete all remaining work and address any unknown conditions that arise, the additional consultant services are needed such that design clarifications can be addressed timely, commissioning can progress as scheduled without delay to the project, and the new facilities can be commissioned successfully. RAMIFICATIONS OF NOT TAKING ACTION The current contingency is insufficient to cover the projected costs for Consultant support needed to complete the project. Without the additional funds, construction and commissioning activities would be severely hampered and project delays would be incurred. PRIOR COMMITTEE/BOARD ACTIONS February 2017 - Approved a contingency increase of$714,000 (10%) to the Professional Consultant Services Agreement with HDR Engineering, Inc. to provide construction support services for Sludge Dewatering and Odor Control at Plant No. 1, Project No. P1-101 , for a total contingency amount of $1,285,200 (18%). Page 2 of 3 April 2012 - Approved a Professional Consultant Services Agreement with HDR Engineering, Inc. to provide bid and construction support services for Sludge Dewatering and Odor Control at Plant No. 1, Project No. P1-101, for an amount not to exceed $7,140,000, and approved a contingency of $571,200 (8%). November 2011 -Authorized the General Manager to negotiate a Professional Consultant Services Agreement with HDR Engineering, Inc. for engineering support services during construction of Project No. P1-101, Sludge Dewatering and Odor Control at Plant No. 1. ADDITIONAL INFORMATION N/A CEQA Construction of this project is within the scope of the Subsequent Environmental Impact Report for the Secondary Treatment and Plan Improvement Project dated March 2005. The Subsequent Environmental Impact Report for the Secondary Treatment and Plan Improvement Project, supplementing the Sanitation District's Strategic Plan Program Environmental Impact Report (PEIR), was certified in October 1999. Pursuant to CEQA Guidelines section 15168(c)(4), the Sanitation District has used a written checklist to document its evaluation of the project and has determined that the project is still within the scope of program EIR. In addition, the project was determined to be eligible for a categorical exclusion under the National Environmental Pollution Act (NEPA) in June 2006. FINANCIAL CONSIDERATIONS This request complies with authority levels of the Sanitation District's Purchasing Ordinance. This item has been budgeted (FY2016-17 and 2017-18), Section 8, Page 50, and the budget is sufficient for this action. Staff is currently evaluating the likely cost to complete the project including additional staff costs, potential additional construction costs, and this request. Based on that evaluation, staff will request the appropriate budget adjustment as part of the annual budget development and approval process. Date of Approval Contract Amount Contingency 04/25/12 $7,140,000 $ 571,200 (8%) 02/22/17 $ 714,000 (10%) 03/28/18 $ 856,800 (12%) $ 2,142,000 (30%) ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: N/A AL:JM:dm:gc Page 3 of 3 OPERATIONS COMMITTEE Meeting Date To Bd. of Dir. 03/07/18 -- AGENDA REPORT Item Number Item Number 4 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: NEWHOPE-PLACENTIA TRUNK REPLACEMENT, PROJECT NO. 2-72 GENERAL MANAGER'S RECOMMENDATION Authorize the General Manager to execute a Cooperative Agreement between the Orange County Sanitation District and the City of Anaheim for traffic signal improvements on State College Boulevard along portions of the Newhope-Placentia Trunk Replacement, Segment B, Project No. 2-72B, for an estimated amount of $175,000, in a form approved by General Counsel. BACKGROUND Newhope-Placentia Trunk Replacement, Segment B, Project No. 2-72B, replaces the Newhope-Placentia Trunk with a larger sewer in State College Boulevard from the 91 Freeway to Orangewood Avenue, Anaheim. The project is currently within the bid phase. There are 19 intersections within this corridor where traffic operations will be disrupted because the Contractor will be digging through the in-pavement magnetic loops that detect the presence of cars at intersections. The City of Anaheim (City) has recommended that vehicle detection cameras be mounted on traffic signals so traffic operations will not be disrupted during the magnetic loop removal and reinstallation. The City and Orange County Sanitation District (Sanitation District) are developing a cooperative agreement that allows the improvements to be installed by the City and reimbursed by the Sanitation District for an approximate cost of $175,000. The cost for the Sanitation District to remove and reinstall the magnetic loops is estimated at $264,000. The installation of the traffic detection cameras eliminates the need to reinstall the magnetic loops, thus resulting in a cost savings of approximately $89,000. RELEVANT STANDARDS • Maintain collaborative and cooperative relationships with neighboring agencies • Ensure the public's money is wisely spent Page 1 of 3 PROBLEM Installation of vehicle detection cameras must be done by the City, who requires reimbursement for their expenses. PROPOSED SOLUTION Execute an agreement with the City in which the Sanitation District reimburses the City for the cost of the cameras, and the City waives the requirement to reinstall magnetic loops. TIMING CONCERNS The agreement requires approval so the detection cameras can be installed prior to construction. This project is out for bidding and scheduled to be awarded by the Sanitation District Board of Directors in April or May 2018. RAMIFICATIONS OF NOT TAKING ACTION Without the Cooperative Agreement, the impacted intersections will cause traffic impacts to the traveling public. The Sanitation District will have to reinstall the magnetic loops and not take advantage of an estimated $89,000 cost savings. PRIOR COMMITTEE/BOARD ACTIONS November 2017 - Approved Cooperative Agreement between the Sanitation District and the City of Anaheim for paving, landscaping, and sewer improvements. March 2017 - Approved Cooperative Agreement between the Sanitation District and the City of Anaheim for water line replacements. ADDITIONAL INFORMATION N/A CEQA The Sanitation District, as lead agency, prepared a Program Environmental Impact Report (PEIR) entitled 1999 OCSD Strategic Plan. The Board certified the PEIR on October 27, 1999. The Sanitation District filed a Notice of Determination on October 29, 1999. In February 2016, the Sanitation District received and filed an Addendum to the PEIR. The Sanitation District filed a Notice of Determination on February 29, 2016. Page 2 of 3 FINANCIAL CONSIDERATIONS This request complies with authority levels of the Sanitation District's Purchasing Ordinance. This item has been budgeted. (FY2017-18 Budget Update, Appendix, Page A-7, Project No. 2-72). The expense of this agreement will be offset by the savings in the cost of the construction contract. ATTACHMENTS The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: N/A AN:dm:gc Page 3 of 3 OPERATIONS COMMITTEE Meeting Date To Dir. 03/07/18 03/3/28/18 AGENDA REPORT Item Number Item Number 5 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: EAST BASIN DISTRIBUTION BOX REPAIR, PROJECT NO. FE16-10 GENERAL MANAGER'S RECOMMENDATION A. Award a construction contract to Howard Ridley Company, Inc. for the East Basin Distribution Box Repair, Project No. FE16-10, for a total amount not to exceed $529,350; and B. Approve a contingency of $52,935 (10%). BACKGROUND Orange County Sanitation District's (Sanitation District) Plant No. 1 includes two parallel trains of primary clarifiers; one set of circular clarifiers built in 1959 and one set of rectangular clarifiers built in 1992 and expanded in 2003. A recent concept report determined that the circular clarifiers are in very poor condition and should be replaced rather than rehabilitated. Replacement of these clarifiers will be performed as part of the Primary Clarifier Replacement and Improvements at Plant No. 1, Project No. P1-126, which is currently scheduled to start construction in December 2023. The East Basin Distribution Box (EBDB) is used to distribute flow to the circular clarifiers. A recent condition assessment of this structure concluded that the upper interior wall surfaces and top deck are deteriorated, creating an unsafe environment for operating and maintaining the diversion gates. As a result, the circular clarifiers have been removed from service indefinitely. RELEVANT STANDARDS • Protection of Orange County Sanitation District assets • 24/7/365 treatment plant reliability PROBLEM The deteriorated condition of the EBDB creates an unsafe environment and no longer supports operation of Primary Clarifier Nos. 3, 4, and 5. As a result, this treatment train is removed from normal service. Page 1 of 3 PROPOSED SOLUTION The East Basin Distribution Box Repair, Project No. FE16-10, will repair the distribution box by removing and replacing the deteriorated concrete, stop plate guides, weir troughs, and fiberglass reinforced plastic covers. These repairs will restore the EBDB to a condition that will allow the circular clarifiers to be placed back into service. TIMING CONCERNS Operation of the circular primary clarifiers will allow up to 36-mgd of wastewater flow to be diverted from the rectangular clarifiers. This is critical to support operation and maintenance of the rectangular clarifiers and to maintain hydraulic capacity of Plant No. 1 . It is recommended this work occur during the dry-weather season between April 1, 2018 and October 1, 2018, prior to the next wet weather season. RAMIFICATIONS OF NOT TAKING ACTION Not performing these repairs to the EBDB will prevent the Sanitation District from placing Primary Clarifier Nos. 3, 4, and 5 in service. This could ultimately impact the ability to perform routine maintenance in the rectangular clarifiers and create risk in high-flow situations. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION The Sanitation District advertised for bids on December 6, 2017, and two sealed bids were received on January 25, 2018. A summary of the bid opening with one additive bid item follows: Engineer's Estimate $500,000 Bidder Amount of Bid Howard Ridley Company, Inc. $529,980 Interlog HYM Engineering $541,200 The bids were evaluated in accordance with the Sanitation District's policies and procedures. A notice was sent to all the bidders on February 8, 2018, informing them of the intent of Sanitation District staff to recommend award of the Construction Contract to Howard Ridley Company. Staff recommends awarding a construction contract to the lowest responsive bidder, Howard Ridley Company, Inc., for East Basin Distribution Box Repair, Project No. FE16-10, for a total amount not to exceed $529,350. Page 2 of 3 The difference between the engineer's estimate and low bid price is less than 6% and staff believes that the bid was reasonable for the work involved. CEQA This project is exempt from CEQA under the Class 1 categorical exemptions set forth in California Code of Regulations Section 15301. Section 15301 (Class 1) exempts from CEQA "the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination," including "(b) Existing facilities of both investor and publicly-owned utilities used to provide electric power, natural gas, sewerage, or other public utility services." The project consists of repairing a corroded portion of a concrete box. The corroded concrete will be removed by chipping and sandblasting, and will be patched with epoxy grout. The project will not increase the capacity of the use of the concrete box. Section 15301(b) specifically contemplates the exemption of repairs, maintenance, or minor alterations to existing sewerage facilities, and therefore applies to the project. A Notice of Exemption will be filed with the County Clerk Recorder office following award of this agreement by the Board. FINANCIAL CONSIDERATIONS This request complies with authority levels of the Sanitation District's Purchasing Ordinance. This item has been budgeted under the Facilities Engineering Program - Plant (Budget FY2017-18 Update, Appendix, Page A-9, M-FE-PLANT) and the budget is sufficient for the recommended action. ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: • Construction Contract JK:dm:gc Page 3 of 3 PART A CONTRACT AGREEMENT C-CA-090817 TABLE OF CONTENTS CONTRACT AGREEMENT SECTION - 1 GENERAL CONDITIONS............................................................................................1 SECTION - 2 MATERIALS AND LABOR ..........................................................................................4 SECTION - 3 PROJECT....................................................................................................................4 SECTION -4 PLANS AND SPECIFICATONS..................................................................................5 SECTION - 5 TIME OF COMMENCEMENT AND COMPLETION....................................................5 SECTION - 6 TIME IS OF THE ESSENCE .......................................................................................5 SECTION - 7 EXCUSABLE DELAYS................................................................................................6 SECTION - 8 EXTRA WORK ............................................................................................................6 SECTION - 9 CHANGES IN PROJECT ............................................................................................7 SECTION - 10 LIQUIDATED DAMAGES FOR DELAY.......................................................................7 SECTION - 11 CONTRACT PRICE AND METHOD OF PAYMENT...................................................7 SECTION - 12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF FUNDS.................9 SECTION - 13 COMPLETION...........................................................................................................10 SECTION - 14 CONTRACTOR'S EMPLOYEES COMPENSATION.................................................10 SECTION - 15 SURETY BONDS......................................................................................................12 SECTION - 16 INSURANCE .............................................................................................................13 SECTION - 17 RISK AND INDEMNIFICATION.................................................................................22 SECTION - 18 TERMINATION..........................................................................................................22 SECTION - 19 WARRANTY..............................................................................................................23 SECTION - 20 ASSIGNMENT...........................................................................................................24 SECTION - 21 RESOLUTION OF DISPUTES ..................................................................................24 SECTION - 22 SAFETY & HEALTH..................................................................................................24 SECTION - 23 NOTICES ..................................................................................................................25 C-CA-090817 CONTRACT AGREEMENT ORANGE COUNTY SANITATION DISTRICT PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR THIS AGREEMENT is made and entered into, to be effective, this March 28, 2018, by and between Howard Ridley Co., Inc., hereinafter referred to as "CONTRACTOR" and the Orange County Sanitation District, hereinafter referred to as "OCSD". WITNESSETH That for and in consideration of the promises and agreements hereinafter made and exchanged, OCSD and CONTRACTOR agree as follows: SECTION — 1 GENERAL CONDITIONS CONTRACTOR certifies and agrees that all the terms, conditions and obligations of the Contract Documents as hereinafter defined, the location of the job site, and the conditions under which the Work is to be performed have been thoroughly reviewed, and enters into this Contract based upon CONTRACTOR's investigation of all such matters and is in no way relying upon any opinions or representations of OCSD. It is agreed that this Contract represents the entire agreement. It is further agreed that the Contract Documents are each incorporated into this Contract by reference, with the same force and effect as if the same were set forth at length herein, and that CONTRACTOR and its Subcontractors, if any, will be and are bound by any and all of said Contract Documents insofar as they relate in any part or in any way, directly or indirectly, to the Work covered by this Contract. A. Contract Documents Order of Precedence "Contract Documents" refers to those documents identified in the definition of"Contract Documents" in the General Conditions— Definitions. CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 1 of 26 1. In the event of a conflict between one Contract Document and any of the other Contract Documents, the provisions in the document highest in precedence shall be controlling. The order of precedence of the Contract Documents is as follows: a. Supplemental Agreements—the last in time being the first in precedence b. Addenda issued prior to opening of Bids —the last in time being the first in precedence c. Contract Agreement d. Permits and other regulatory requirements e. Special Provisions f. General Conditions (GC) g. Notice Inviting Bids and Instruction to Bidders h. Geotechnical Baseline Report (GBR), if attached as a Contract Document i. Plans and Specifications — in these documents the order of precedence shall be: i. Specifications (Divisions 01-17) ii. Plans iii. General Requirements (GR) iv. Standard Drawings and Typical Details j. CONTRACTOR's Bid 2. In the event of a conflict between terms within an individual Contract Document, the conflict shall be resolved by applying the following principles as appears applicable: a. Figured dimensions on the Contract Documents shall govern. Dimensions not specified shall be as directed by the ENGINEER. Details not shown or specified shall be the same as similar parts that are shown or specified, or as directed. Full-size details shall take precedence over scale Drawings as to C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 2 of 26 shape and details of construction. Specifications shall govern as to material and workmanship. b. The Contract Documents calling for the higher quality material or workmanship shall prevail. Materials or Work described in words, which so applied, have a well known technical or trade meaning shall be deemed to refer to such recognized standards. In the event of any discrepancy between any Drawings and the figures thereon, the figures shall be taken as correct. C. Scale Drawings, full-size details, and Specifications are intended to be fully complementary and to agree. Should any discrepancy between Contract Documents come to the CONTRACTOR's attention, or should an error occur in the efforts of others, which affect the Work, the CONTRACTOR shall notify the ENGINEER, in writing, at once. In the event any doubts or questions arise with respect to the true meaning of the Contract Documents, reference shall be made to the ENGINEER whose written decision shall be final. If the CONTRACTOR proceeds with the Work affected without written instructions from the ENGINEER, the CONTRACTOR shall be fully responsible for any resultant damage or defect. d. Anything mentioned in the Specifications and not indicated in the Plans, or indicated in the Plans and not mentioned in the Specifications, shall be of like effect as if indicated and mentioned in both. In case of discrepancy in the Plans or Specifications, the matter shall be immediately submitted to OCSD's ENGINEER, without whose decision CONTRACTOR shall not adjust said discrepancy save only at CONTRACTOR's own risk and expense. The decision of the ENGINEER shall be final. CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 3 of 26 In all matters relating to the acceptability of material, machinery or plant equipment; classifications of material or Work; the proper execution, progress or sequence of the Work; and quantities interpretation of the Contract Documents, the decision of the ENGINEER shall be final and binding, and shall be a condition precedent to any payment under the Contract, unless otherwise ordered by the Board of Directors. B. Definitions Capitalized terms used in this Contract are defined in the General Conditions, Definitions. Additional terms may be defined in the Special Provisions. SECTION — 2 MATERIALS AND LABOR CONTRACTOR shall furnish, under the conditions expressed in the Plans and Specifications, at CONTRACTOR'S own expense, all labor and materials necessary, except such as are mentioned in the Specifications to be furnished by OCSD, to construct and complete the Project, in good workmanlike and substantial order. If CONTRACTOR fails to pay for labor or materials when due, OCSD may settle such claims by making demand upon the Surety to this Contract. In the event of the failure or refusal of the Surety to satisfy said claims, OCSD may settle them directly and deduct the amount of payments from the Contract Price and any amounts due to CONTRACTOR. In the event OCSD receives a stop payment notice from any laborer or material supplier alleging non-payment by CONTRACTOR, OCSD shall be entitled to deduct all of its costs and expenses incurred relating thereto, including but not limited to administrative and legal fees. SECTION — 3 PROJECT The Project is described as: PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 4 of 26 SECTION —4 PLANS AND SPECIFICATONS The Work to be done is shown in a set of Plans and Specifications entitled: PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Said Plans and Specifications and any revision, amendments and addenda thereto are attached hereto and incorporated herein as part of this Contract and referred to by reference. SECTION — 5 TIME OF COMMENCEMENT AND COMPLETION CONTRACTOR agrees to commence the Project within 15 calendar days from the date set forth in the "Notice to Proceed" sent by OCSD, unless otherwise specified therein and shall diligently prosecute the Work to completion within one hundred fifty-seven (157) calendar days from the date of the "Notice to Proceed" issued by OCSD, excluding delays caused or authorized by OCSD as set forth in Sections 7, 8, and 9 hereof, and applicable provisions in the General Conditions. The time for completion includes five (5) calendar days determined by OCSD likely to be inclement weather when CONTRACTOR will be unable to work. SECTION — 6 TIME IS OF THE ESSENCE Time is of the essence of this Contract. As required by the Contract Documents, CONTRACTOR shall prepare and obtain approval of all shop drawings, details and samples, and do all other things necessary and incidental to the prosecution of CONTRACTOR's Work in conformance with an approved construction progress schedule. CONTRACTOR shall coordinate the Work covered by this Contract with that of all other contractors, subcontractors and of OCSD, in a manner that will facilitate the efficient completion of the entire Work and accomplish the required milestone(s), if any, by the applicable deadline(s) in accordance with Section 5 herein. OCSD shall have the right to assert complete control of the premises on which the Work is to be performed and shall have the right to decide the time or order in which CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 5 of 26 the various portions of the Work shall be installed or the priority of the work of subcontractors, and, in general, all matters representing the timely and orderly conduct of the Work of CONTRACTOR on the premises. SECTION — 7 EXCUSABLE DELAYS CONTRACTOR shall only be excused for any delay in the prosecution or completion of the Project as specifically provided in General Conditions, "Extensions for Delay", and the General Requirements, "By CONTRACTOR or Others — Unknown Utilities during Contract Work". Extensions of time and extra compensation arising from such excusable delays will be determined in accordance with the General Conditions, "Extension of Time for Delay" and "Contract Price Adjustments and Payments", and extensions of time and extra compensation as a result of incurring undisclosed utilities will be determined in accordance with General Requirements, "By CONTRACTOR or Others — Unknown Utilities during Contract Work". OCSD's decision will be conclusive on all parties to this Contract. SECTION — 8 EXTRA WORK The Contract Price as set forth in Section 11, includes compensation for all Work performed by CONTRACTOR, unless CONTRACTOR obtains a Change Order signed by a designated representative of OCSD specifying the exact nature of the Extra Work and the amount of extra compensation to be paid all as more particularly set forth in Section 9 hereof and the General Conditions, "Request for Change (Changes at CONTRACTOR's Request)", "OWNER Initiated Changes", and "Contract Price Adjustments and Payments". In the event a Change Order is issued by OCSD pursuant to the Contract Documents, OCSD shall extend the time fixed in Section 5 for completion of the Project by the number of days, if any, reasonably required for CONTRACTOR to perform the Extra Work, as determined by OCSD's ENGINEER. The decision of the ENGINEER shall be final. C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 6 of 26 SECTION — 9 CHANGES IN PROJECT OCSD may at any time, without notice to any Surety, by Change Order, make any changes in the Work within the general scope of the Contract Document, including but not limited to changes: 1. In the Specifications (including Drawings and designs); 2. In the time, method or manner of performance of the Work; 3. In OCSD-furnished facilities, equipment, materials, services or site; or 4. Directing acceleration in the performance of the Work. No change of period of performance or Contract Price, or any other change in the Contract Documents, shall be binding until the Contract is modified by a fully executed Change Order. All Change Orders shall be issued in accordance with the requirements set forth in the General Conditions, "Request for Change (Changes at CONTRACTOR's Request)" and "OWNER Initiated Changes". SECTION — 10 LIQUIDATED DAMAGES FOR DELAY Liquidated Damages shall be payable in the amounts and upon the occurrence of such events or failure to meet such requirements or deadlines as provided in the Special Provisions, "Liquidated Damages and Incentives." SECTION — 11 CONTRACT PRICE AND METHOD OF PAYMENT A. OCSD agrees to pay and the CONTRACTOR agrees to accept as full consideration for the faithful performance of this Contract, subject to any additions or deductions as provided in approved Change Orders, the sum of Five Hundred Twenty-Nine Thousand Three Hundred Fifty Dollars ($529,350) as itemized on the Attached Exhibit "A". CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 7 of 26 Upon satisfaction of the conditions precedent to payment set forth in the General Requirements, Additional General Requirements and General Conditions (including but not limited to Sections entitled "Mobilization Payment Requirements" and "Payment Itemized Breakdown of Contract Lump Sum Prices"), there shall be paid to the CONTRACTOR an initial Net Progress Payment for mobilization. OCSD shall issue at the commencement of the job a schedule which shows: 1. A minimum of one payment to be made to the CONTRACTOR for each successive four (4) week period as the Work progresses, and 2. The due dates for the CONTRACTOR to submit requests for payment to meet the payment schedule. After the initial Net Progress Payment, and provided the CONTRACTOR submits the request for payment prior to the end of the day required to meet the payment schedule, the CONTRACTOR shall be paid a Net Progress Payment on the corresponding monthly payment date set forth in the schedule. Payments shall be made on demands drawn in the manner required by law, accompanied by a certificate signed by the ENGINEER, stating that the Work for which payment is demanded has been performed in accordance with the terms of the Contract Documents, and that the amount stated in the certificate is due under the terms of the Contract. Payment applications shall also be accompanied with all documentation, records, and releases as required by the Contract, Exhibit A, Schedule of Prices, and General Conditions, "Payment for Work— General". The Total amount of Progress Payments shall not exceed the actual value of the Work completed as certified by OCSD's ENGINEER. The processing of payments shall not be considered as an acceptance of any part of the Work. C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 8 of 26 B. As used in this Section, the following defined terms shall have the following meanings: 1. "Net Progress Payment" means a sum equal to the Progress Payment less the Retention Amount and other qualified deductions (Liquidated Damages, stop payment notices, etc.). 2. "Progress Payment" means a sum equal to: a. the value of the actual Work completed since the commencement of the Work as determined by OCSD; b. plus the value of material suitably stored at the worksite, treatment plant or approved storage yards subject to or under the control of OCSD since the commencement of the Work as determined by OCSD; C. less all previous Net Progress Payments; d. less all amounts of previously qualified deductions; e. less all amounts previously retained as Retention Amounts. 3. "Retention Amount" for each Progress Payment means the percentage of each Progress Payment to be retained by OCSD to assure satisfactory completion of the Contract. The amount to be retained from each Progress Payment shall be determined as provided in the General Conditions—"Retained Funds; Substitution of Securities." SECTION — 12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF FUNDS Pursuant to Public Contract Code Section 22300 et seq., the CONTRACTOR may, at its sole expense, substitute securities as provided in General Conditions — "Retained Funds; Substitution of Securities." CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 9 of 26 SECTION — 13 COMPLETION Final Completion and Final Acceptance shall occur at the time and in the manner specified in the General Conditions, "Final Acceptance and Final Completion", "Final Payment" and Exhibit A- Schedule of Prices. Upon receipt of all documentation, records, and releases as required by the Contract from the CONTRACTOR, OCSD shall proceed with the Final Acceptance as specified in General Conditions. SECTION — 14 CONTRACTOR'S EMPLOYEES COMPENSATION A. Davis-Bacon Act: CONTRACTOR will pay and will require all Subcontractors to pay all employees on said Project a salary or wage at least equal to the prevailing rate of per diem wages as determined by the Secretary of Labor in accordance with the Davis-Bacon Act for each craft or type of worker needed to perform the Contract. The provisions of the Davis-Bacon Act shall apply only if the Contract is in excess of Two Thousand Dollars ($2,000.00) and when twenty-five percent (25%) or more of the Contract is funded by federal assistance. If the aforesaid conditions are met, a copy of the provisions of the Davis-Bacon Act to be complied with are incorporated herein as a part of this Contract and referred to by reference. B. General Prevailing Rate: OCSD has been advised by the State of California Director of Industrial Relations of its determination of the general prevailing rate of per diem wages and the general prevailing rate for legal holiday and overtime Work in the locality in which the Work is to be performed for each craft or type of Work needed to execute this Contract, and copies of the same are on file in the Office of the ENGINEER of OCSD. The CONTRACTOR C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 10 of 26 agrees that not less than said prevailing rates shall be paid to workers employed on this public works Contract as required by Labor Code Section 1774 of the State of California. Per California Labor Code 1773.2, OCSD will have on file copies of the prevailing rate of per diem wages at its principal office and at each job site, which shall be made available to any interested party upon request. C. Forfeiture for Violation: CONTRACTOR shall, as a penalty to OCSD, forfeit Two Hundred Dollars ($200.00) for each calendar day or portion thereof for each worker paid (either by the CONTRACTOR or any Subcontractor under it) less than the prevailing rate of per diem wages as set by the Director of Industrial Relations, in accordance with Sections 1770-1780 of the California Labor Code for the Work provided for in this Contract, all in accordance with Section 1775 of the Labor Code of the State of California. D. Apprentices: Sections 1777.5, 1777.6, 1777.7 of the Labor Code of the State of California, regarding the employment of apprentices are applicable to this Contract and the CONTRACTOR shall comply therewith if the prime contract involves Thirty Thousand Dollars ($30,000.00) or more. E. Workday: In the performance of this Contract, not more than eight (8) hours shall constitute a day's work, and the CONTRACTOR shall not require more than eight (8) hours of labor in a day from any person employed by him hereunder except as provided in paragraph (B) above. CONTRACTOR shall conform to Article 3, Chapter 1, Part 7 (Section 1810 et seq.) of the Labor Code of the State of California and shall forfeit to OCSD as a penalty, the sum of Twenty-five Dollars ($25.00) for each worker employed in the execution of this Contract by CONTRACTOR or any Subcontractor for each calendar day during which any worker is CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 11 of 26 required or permitted to labor more than eight (8) hours in any one calendar day and forty (40) hours in any one week in violation of said Article. CONTRACTOR shall keep an accurate record showing the name and actual hours worked each calendar day and each calendar week by each worker employed by CONTRACTOR in connection with the Project. F. Registration; Record of Wages; Inspection: CONTRACTOR 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 by the California Department of Industrial Relations. CONTRACTOR shall maintain accurate payroll records 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. CONTRACTOR shall comply with the job site notices posting requirements established by the Labor Commissioner per Title 8, California Code of Regulations Section 16461(e). SECTION — 15 SURETY BONDS CONTRACTOR shall, before entering upon the performance of this Contract, furnish Bonds approved by OCSD's General Counsel — one in the amount of one hundred percent (100%) of the Contract amount, to guarantee the faithful performance of the Work, and the other in the amount of one hundred percent (100%) of the Contract amount to guarantee payment of all claims for labor and materials furnished. As changes to the Contract occur via approved Change Orders, the CONTRACTOR shall assure that the amounts of the Bonds are adjusted to maintain 100% of the Contract Price. This Contract shall not become effective until such Bonds are supplied to and approved by OCSD. Bonds must be issued by a Surety authorized by the State Insurance Commissioner to do business in California. The Performance Bond shall remain in full force and effect through the warranty period, as specified in Section 19 below. All C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 12 of 26 Bonds required to be submitted relating to this Contract must comply with California Code of Civil Procedure Section 995.630. Each Bond shall be executed in the name of the Surety insurer under penalty of perjury, or the fact of execution of each Bond shall be duly acknowledged before an officer authorized to take and certify acknowledgments, and either one of the following conditions shall be satisfied: A. A copy of the transcript or record of the unrevoked appointment, power of attorney, by- laws, or other instrument, duly certified by the proper authority and attested by the seal of the insurer entitling or authorizing the person who executed the Bond to do so for and on behalf of the insurer, is on file in the Office of the County Clerk of the County of Orange; or B. A copy of a valid power of attorney is attached to the Bond. SECTION — 16 INSURANCE CONTRACTOR shall purchase and maintain, for the duration of the Contract, insurance against claims for injuries to persons, or damages to property which may arise from or in connection with the performance of the Work hereunder, and the results of that Work by CONTRACTOR, its agents, representatives, employees, or Subcontractors, in amounts equal to the requirements set forth below. CONTRACTOR shall not commence Work under this Contract until all insurance required under this Section is obtained in a form acceptable to OCSD, nor shall CONTRACTOR allow any Subcontractor to commence Work on a subcontract until all insurance required of the Subcontractor has been obtained. CONTRACTOR shall maintain all of the foregoing insurance coverages in force through the point at which the Work under this Contract is fully completed and accepted by OCSD pursuant to the provisions of the General Conditions, "Final Acceptance and Final Completion". Furthermore, CONTRACTOR shall maintain all of the foregoing insurance coverages in full force and effect throughout the warranty period, commencing on the date of Final Acceptance. The requirement for carrying the foregoing insurance shall not derogate from the provisions for indemnification of OCSD by CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 13 of 26 CONTRACTOR under Section 17 of this Contract. Notwithstanding nor diminishing the obligations of CONTRACTOR with respect to the foregoing, CONTRACTOR shall subscribe for and maintain in full force and effect during the life of this Contract, inclusive of all changes to the Contract Documents made in accordance with the provisions of the General Conditions, "Request for Change (Changes at CONTRACTOR's Request)" and/or"OWNER Initiated Changes", the following insurance in amounts not less than the amounts specified. OCSD reserves the right to amend the required limits of insurance commensurate with the CONTRACTOR's risk at any time during the course of the Project. No vehicles may enter OCSD premises/worksite without possessing the required insurance coverage. CONTRACTOR's insurance shall also comply with all insurance requirements prescribed by agencies from whom permits shall be obtained for the Work and any other third parties from whom third party agreements are necessary to perform the Work (collectively, the "Third Parties"), The Special Provisions may list such requirements and sample forms and requirements from such Third Parties may be included in an attachment to the General Requirements. CONTRACTOR bears the responsibility to discover and comply with all requirements of Third Parties, including meeting specific insurance requirements, that are necessary for the complete performance of the Work. To the extent there is a conflict between the Third Parties' insurance requirements and those set forth by OCSD herein, the requirement(s) providing the more protective coverage for both OSCD and the Third Parties shall control and be purchased and maintained by CONTRACTOR. A. Limits of Insurance 1. General Liability: Three Million Dollars ($3,000,000) per occurrence and a general aggregate limit of Three Million Dollars ($3,000,000) for bodily injury, personal injury and property damage. Coverage shall include each of the following: a. Premises-Operations. C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 14 of 26 b. Products and Completed Operations, with limits of at least Three Million Dollars ($3,000,000) per occurrence and a general aggregate limit of Three Million Dollars ($3,000,000) which shall be in effect at all times during the warranty period set forth in the Warranty section herein, and as set forth in the General Conditions, "Warranty (CONTRACTOR's Guarantee)", plus any additional extension or continuation of time to said warranty period that may be required or authorized by said provisions. C. Broad Form Property Damage, expressly including damage arising out of explosion, collapse, or underground damage. d. Contractual Liability, expressly including the indemnity provisions assumed under this Contract. e. Separation of Insured Clause, providing that coverage applies separately to each insured, except with respect to the limits of liability. f. Independent CONTRACTOR's Liability. To the extent first dollar coverage, including defense of any claim, is not available to OCSD or any other additional insured because of any SIR, deductible, or any other form of self insurance, CONTRACTOR is obligated to assume responsibility of insurer until the deductible, SIR or other condition of insurer assuming its defense and/or indemnity has been satisfied. CONTRACTOR shall be responsible to pay any deductible or SIR. g. If a crane will be used, the General Liability insurance will be endorsed to add Riggers Liability coverage or its equivalent to cover the usage of the crane and exposures with regard to the crane operators, riggers and others involved in using the crane. CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 15 of 26 h. If divers will be used, the General Liability insurance will be endorsed to cover marine liability or its equivalent to cover the usage of divers. 2. Automobile Liabilitv: The CONTRACTOR shall maintain a policy of Automobile 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: Either (1) a combined single limit of Two Million Dollars ($2,000,000) and a general aggregate limit of Two Million Dollars ($2,000,000) for bodily injury, personal injury and property damage; Or alternatively, (2) Two Million Dollars ($2,000,000) per person for bodily injury and Two Million Dollars ($2,000,000) per accident for property damage. 3. Umbrella Excess Liability: The minimum limits of general liability and automobile liability insurance required, as set forth above, shall be provided for either in a single policy of primary insurance or a combination of policies of primary and umbrella excess coverage. 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 automobile liability. 4. Drone Liability Insurance: If a drone will be used, drone liability insurance must be maintained by CONTRACTOR in the amount of One Million Dollars ($1,000,000) in a form acceptable by OCSD. 5. Worker's Compensation/Employer's Liability: CONTRACTOR shall provide such Worker's Compensation Insurance as required by the Labor Code of the State of California, including employer's liability with a minimum limit of One Million Dollars ($1,000,000) per accident for bodily injury or disease. If an exposure to Jones Act C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 16 of 26 liability may exist, the insurance required herein shall include coverage with regard to Jones Act claims. Where permitted by law, CONTRACTOR hereby waives all rights of recovery by subrogation because of deductible clauses, inadequacy of limits of any insurance policy, limitations or exclusions of coverage, or any other reason against OCSD, its or their officers, agents, or employees, and any other contractor or subcontractor performing Work or rendering services on behalf of OCSD in connection with the planning, development and construction of the Project. In all its insurance coverages related to the Work, CONTRACTOR shall include clauses providing that each insurer shall waive all of its rights of recovery by subrogation against OCSD, its or their officers, agents, or employees, or any other contractor or subcontractor performing Work or rendering services at the Project. Where permitted by law, CONTRACTOR shall require similar written express waivers and insurance clauses from each of its Subcontractors of every tier. A waiver of subrogation shall be effective as to any individual or entity, even if such individual or entity (a) would otherwise have a duty of indemnification, contractual or otherwise, (b) did not pay the insurance premium, directly or indirectly, and (c) whether or not such individual or entity has an insurable interest in the property damaged. 6. Pollution Liability Insurance: CONTRACTOR shall purchase and maintain insurance for pollution liability covering bodily injury, property damage (including loss of use of damaged property or property that has not been physically injured or destroyed), cleanup costs, and defense costs (including costs and expenses for investigation, defense, or settlement of claims). Coverage shall carry limits of at least One Million Dollars ($1,000,000) and shall apply to sudden and non-sudden pollution conditions CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 17 of 26 (including sewage spills), both at the site or needed due to migration of pollutants from the site, resulting from the escape or release of smoke, vapors, fumes, acids, alkalis, toxic chemicals, liquids or gases, waste materials, or other irritants, contaminants or pollutants. If CONTRACTOR provides coverage written on a claims-made basis, OCSD has the right to approve or reject such coverage in its own discretion. If written on a claims- made basis, the CONTRACTOR warrants that any retroactive date applicable to coverage under the policy precedes the effective date of this Contract, and that continuous coverage will be maintained, or an extended discovery period will be exercised, for a period of two years beginning from the time that the Project under this Contract is completed. 7. Limits are Minimums: If CONTRACTOR maintains higher limits than the minimums shown in this Section, OCSD requires and shall be entitled to coverage for the higher limits maintained by the CONTRACTOR. B. Deductibles and Self-Insured Retentions Any deductibles or self-insured retentions must be declared to and approved by OCSD. At the option of OCSD, either: the Insurer shall reduce or eliminate such deductibles or self- insured retentions as respects OCSD, its Directors, officers, agents, CONSULTANTS, and employees; or CONTRACTOR shall provide a financial guarantee satisfactory to OCSD guaranteeing payment of losses and related investigations, claim administration, and defense expenses. C. Other Insurance Provisions 1. Each such policy of General Liability Insurance and Automobile Liability Insurance shall be endorsed to contain, the following provisions: C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 18 of 26 a. OCSD, its Directors, officers, agents, CONSULTANTS, and employees, and all public agencies from whom permits will be obtained, and their Directors, officers, agents, and employees are hereby declared to be additional insureds under the terms of this policy, but only with respect to the operations of CONTRACTOR at or from any of the sites of OCSD in connection with this Contract, or acts and omissions of the additional insured in connection with its general supervision or inspection of said operations related to this Contract. b. Insurance afforded by the additional insured endorsement shall apply as primary insurance, and other insurance maintained by OCSD shall be excess only and not contributing with insurance provided under this policy. 2. 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 by certified mail, return receipt requested, and that coverage shall not be cancelled for non-payment of premium except after ten (10) days prior written notice by certified mail, return receipt requested. Should there be changes in coverage or an increase in deductible or SIR amounts, CONTRACTOR undertakes to procure a manuscript endorsement from its insurer giving 30 days prior notice of such an event to OCSD, or to have its insurance broker/agent send to OCSD a certified letter describing the changes in coverage and any increase in deductible or SIR amounts. The certified letter must be sent Attention: Risk Management and shall be received not less than twenty (20) days prior to the effective date of the change(s). The letter must be signed by a Director or Officer of the broker/agent and must be on company letterhead, and may be sent via e-mail in pdf format. CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 19 of 26 3. Coverage shall not extend to any indemnity coverage for the active negligence of any additional insured in any case where an agreement to indemnify the additional insured would be invalid under California Civil Code Section 2782(b). 4. If required by a public agency from whom permit(s) will be obtained, each policy of General Liability Insurance and Automobile Liability Insurance shall be endorsed to specify by name the public agency and its legislative members, officers, agents, CONSULTANTS, and employees, to be additional insureds. D. Acceptability of Insurers Insurers must have an "A2, or better, Policyholder's Rating, and a Financial Rating of at least Class VIII, or better, in accordance with the most current A.M. Best Rating Guide. OCSD recognizes that State Compensation Insurance Fund has withdrawn from participation in the A.M. Best Rating Guide process. Nevertheless, OCSD will accept State Compensation Insurance Fund for the required policy of worker's compensation insurance, subject to OCSD's option, at any time during the term of this Contract, to require a change in insurer upon twenty (20) days written notice. Further, OCSD will require CONTRACTOR to substitute any insurer whose rating drops below the levels herein specified. Said substitution shall occur within twenty (20) days of written notice to CONTRACTOR by OCSD or its agent. E. Verification of Coverage CONTRACTOR shall furnish OCSD with original certificates and mandatory endorsements affecting coverage. Said policies and endorsements shall conform to the requirements herein stated. All certificates and endorsements are to be received and approved by OCSD before Work commences. OCSD reserves the right to require complete, certified copies of all required insurance policies, including endorsements, affecting the coverage required by these Specifications at any time. C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 20 of 26 F. Subcontractors CONTRACTOR shall be responsible to establish insurance requirements for any Subcontractors hired by CONTRACTOR. The insurance shall be in amounts and types reasonably sufficient to deal with the risk of loss involving the Subcontractor's operations and work. OCSD and any public agency issuing permits for the Project must be named as "Additional Insured" on any General Liability or Automobile Liability policy obtained by a Subcontractor. The CONTRACTOR must obtain copies and maintain current versions of all Subcontractors' policies, Certificate of Liability and mandatory endorsements effecting coverage. Upon request, CONTRACTOR must furnish OCSD with the above referenced required documents. G. Required Forms and Endorsements 1. Required ACORD Form a. Certificate of Liability Form 25 2. Required Insurance Services Office, Inc. Endorsements (when alternative forms are shown, they are listed in order of preference) In the event any of the following forms are cancelled by Insurance Services Office, Inc. (ISO), or are updated, the ISO replacement form or equivalent must be supplied. a. Commercial General Liability Form CG-0001 10 01 b. Additional Insured Including Form CG-2010 10 01 and Products-Completed Operations Form CG-2037 10 01 C. Waiver of Transfer of Rights of Form CG-2404 11 85; or Recovery Against Others to Us/ Form CG-2404 10 93 Waiver of Subrogation 3. Required State Compensation Insurance Fund Endorsements a. Waiver of Subrogation Endorsement No. 2570 b. Cancellation Notice Endorsement No. 2065 CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 21 of 26 4. Additional Required Endorsements a. Notice of Policy Termination Manuscript Endorsement 5. Pollution Liability Endorsements There shall be a Separation of Insured Clause or endorsement, providing that coverage applies separately to each insured, except with respect to the limits of liability. There shall also be an endorsement or policy language containing a waiver of subrogation rights on the part of the insurer. OCSD, its directors, officers, agents, CONSULTANTS and employees and all public agencies from whom permits will be obtained as well as their directors, officers, agents, and employees shall be included as insureds under the policy. Any additional insured endorsement shall contain language at least as broad as the coverage language contained in ISO form CG 20 10 11 85 or alternatively in both CG 20 10 10 01 and CG 20 37 10 01 together. SECTION — 17 RISK AND INDEMNIFICATION All Work covered by this Contract done at the site of construction or in preparing or delivering materials to the site shall be at the risk of CONTRACTOR alone. CONTRACTOR shall save, indemnify, defend, and keep OCSD and others harmless as more specifically set forth in General Conditions, "General Indemnification". SECTION — 18 TERMINATION This Contract may be terminated in whole or in part in writing by OCSD in the event of substantial failure by the CONTRACTOR to fulfill its obligations under this Agreement, or it may be terminated by OCSD for its convenience provided that such termination is effectuated in a manner and upon such conditions set forth more particularly in General Conditions, "Termination for Default" and/or "Termination for Convenience", provided that no termination may be effected unless proper notice is provided to CONTRACTOR at the time and in the C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 22 of 26 manner provided in said General Conditions. If termination for default or convenience is effected by OCSD, an equitable adjustment in the price provided for in this Contract shall be made at the time and in the manner provided in the General Conditions, "Termination for Default" and "Termination for Convenience". SECTION — 19 WARRANTY The CONTRACTOR agrees to perform all Work under this Contract in accordance with the Contract Documents, including OCSD's designs, Drawings and Specifications. The CONTRACTOR guarantees for a period of at least one (1) year from the date of Final Acceptance of the Work, pursuant to the General Conditions, "Final Acceptance and Final Completion" that the completed Work is free from all defects due to faulty materials, equipment or workmanship and that it shall promptly make whatever adjustments or corrections which may be necessary to cure any defects, including repairs of any damage to other parts of the system resulting from such defects. OCSD shall promptly give notice to the CONTRACTOR of observed defects. In the event that the CONTRACTOR fails to make adjustments, repairs, corrections or other work made necessary by such defects, OCSD may do so and charge the CONTRACTOR the cost incurred. The CONTRACTOR's warranty shall continue as to any corrected deficiency until the later of(1) the remainder of the original one-year warranty period; or (2) one year after acceptance by OCSD of the corrected Work. The Performance Bond and the Payment Bond shall remain in full force and effect through the guarantee period. The CONTRACTOR's obligations under this clause are in addition to the CONTRACTOR's other express or implied assurances under this Contract, including but not limited to specific manufacturer or other extended warranties specified in the Plans and Specifications, or state law and in no way diminish any other rights that OCSD may have against the CONTRACTOR for faulty materials, equipment or Work. CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 23 of 26 SECTION — 20 ASSIGNMENT No assignment by the CONTRACTOR of this Contract or any part hereof, or of funds to be received hereunder, will be recognized by OCSD unless such assignment has had prior written approval and consent of OCSD and the Surety. SECTION — 21 RESOLUTION OF DISPUTES OCSD and the CONTRACTOR shall comply with the provisions of California Public Contract Code Section 20104 et. seq., regarding resolution of construction claims for any Claims which arise between the CONTRACTOR and OCSD, as well as all applicable dispute and Claims provisions as set forth in the General Conditions and as otherwise required by law. SECTION — 22 SAFETY & HEALTH CONTRACTOR shall comply with all applicable safety and health requirements mandated by federal, state, city and/or public agency codes, permits, ordinances, regulations, and laws, as well as these Contract Documents, including but not limited to the General Requirements, Section entitled "Safety" and Exhibit B OCSD Safety Standards. C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 24 of 26 SECTION — 23 NOTICES Any notice required or permitted under this Contract may be given by ordinary mail at the address set forth below. Any party whose address changes shall notify the other party in writing. TO OCSD: Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, California 92708-7018 Attn: Clerk of the Board Copy to: Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, California 92708-7018 Attn: Construction Manager Bradley R. Hogin, Esquire Woodruff, Spradlin & Smart 555 Anton Boulevard Suite 1200 Costa Mesa, California 92626 TO CONTRACTOR: Howard Ridley Co., Inc. 3936 Chino Avenue Chino, CA 91710 Copy to: Thomas Ridley, Corporate Secretary Howard Ridley Co., Inc. 3936 Chino Avenue Chino, CA 91710 CONFORMED C-CA-090817 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 25 of 26 IN WITNESS WHEREOF, the parties hereto have executed this Contract Agreement as the date first hereinabove written. CONTRACTOR: Howard Ridley Co., Inc. 3936 Chino Avenue Chino, CA 91710 By Printed Name Its CONTRACTOR's State License No. 304198 (Expiration Date — 7/31/2018) OCSD: Orange County Sanitation District By Gregory C. Sebourn, PLS Chair, Board of Directors By Kelly A. Lore Clerk of the Board By Marc Dubois Contracts, Purchasing and Materials Management Manager C-CA-090817 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 26 of 26 EXHIBIT A SCHEDULE OF PRICES C-EXA-080414 TABLE OF CONTENTS EXHIBIT A SCHEDULE OF PRICES EXA-1 BASIS OF COMPENSATION ...........................................................................1 EXA-2 PROGRESS PAYMENTS.................................................................................1 EXA-3 RETENTION AND ESCROW ACCOUNTS.......................................................1 EXA-4 STOP PAYMENT NOTICE ...............................................................................3 EXA-5 PAYMENT TO SUBCONTRACTORS...............................................................3 EXA-6 PAYMENT OF TAXES......................................................................................3 EXA-7 FINAL PAYMENT .............................................................................................4 EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT....5 ATTACHMENT 1 - CERTIFICATION FOR REQUEST FOR PAYMENT.........................7 ATTACHMENT 2 - SCHEDULE OF PRICES..................................................................8 C-EXA-080414 EXHIBIT A SCHEDULE OF PRICES EXA-1 BASIS OF COMPENSATION CONTRACTOR will be paid the Contract Price according to the Schedule of Prices, and all other applicable terms and conditions of the Contract Documents. EXA-2 PROGRESS PAYMENTS Progress payments will be made in accordance with all applicable terms and conditions of the Contract Documents, including, but not limited to: 1. Contract Agreement— Section 11 — "Contract Price and Method of Payment;" 2. General Conditions—"Payment— General"; 3. General Conditions—"Payment—Applications for Payment"; 4. General Conditions—"Payment— Mobilization Payment Requirements;" 5. General Conditions—"Payment— Itemized Breakdown of Contract Lump Sum Prices"; 6. General Conditions— "Contract Price Adjustments and Payments"; 7. General Conditions—"Suspension of Payments"; 8. General Conditions—"OCSD's Right to Withhold Certain Amounts and Make Application Thereof"; and 9. General Conditions—"Final Payment." EXA-3 RETENTION AND ESCROW ACCOUNTS A. Retention: OCSD shall retain a percentage of each progress payment to assure satisfactory completion of the Work. The amount to be retained from each progress payment shall be determined as provided in General Conditions— "Retained Funds; Substitution of Securities". In all contracts between CONTRACTOR and its Subcontractors and/or Suppliers, the retention may not exceed the percentage specified in the Contract Documents. CONFORMED C-EXA-080414 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 1 of 8 B. Substitution of Securities: CONTRACTOR may, at its sole expense, substitute securities as provided in General Conditions—"Retained Funds; Substitution of Securities." Payment of Escrow Agent: In lieu of substitution of securities as provided above, the CONTRACTOR may request and OCSD shall make payment of retention earned directly to the escrow agent at the expense of the CONTRACTOR. At the expense of the CONTRACTOR, the CONTRACTOR may direct the investment of the payments into securities consistent with Government Code §16430 and the CONTRACTOR shall receive the interest earned on the investments upon the same terms provided for in this article for securities deposited by the CONTRACTOR. Upon satisfactory completion of the Contract, the CONTRACTOR shall receive from the escrow agent all securities, interest and payments received by the escrow agent from OCSD, pursuant to the terms of this article. The CONTRACTOR shall pay to each Subcontractor, not later than twenty (20) calendar days after receipt of the payment, the respective amount of interest earned, net of costs attributed to retention withheld from each Subcontractor, on the amount of retention withheld to ensure the performance of the Subcontractor. The escrow agreement used by the escrow agent pursuant to this article shall be substantially similar to the form set forth in §22300 of the California Public Contract Code. C. Release of Retention: Upon Final Acceptance of the Work, the CONTRACTOR shall submit an invoice for release of retention in accordance with the terms of the Contract. D. Additional Deductibles: In addition to the retentions described above, OCSD may deduct from each progress payment any or all of the following: 1. Liquidated Damages that have occurred as of the date of the application for progress payment; 2. Deductions from previous progress payments already paid, due to OCSD's discovery of deficiencies in the Work or non-compliance with the Specifications or any other requirement of the Contract; 3. Sums expended by OCSD in performing any of the CONTRACTOR'S obligations under the Contract that the CONTRACTOR has failed to perform, and; 4. Other sums that OCSD is entitled to recover from the CONTRACTOR under the terms of the Contract, including without limitation insurance deductibles and assessments. C-EXA-080414 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 2 of 8 The failure of OCSD to deduct any of the above-identified sums from a progress payment shall not constitute a waiver of OCSD's right to such sums or to deduct them from a later progress payment. EXA-4 STOP PAYMENT NOTICE In addition to other amounts properly withheld under this article or under other provisions of the Contract, OCSD shall retain from progress payments otherwise due the CONTRACTOR an amount equal to one hundred twenty-five percent (125%) of the amount claimed under any stop payment notice under Civil Code §9350 et. seq. or other lien filed against the CONTRACTOR for labor, materials, supplies, equipment, and any other thing of value claimed to have been furnished to and/or incorporated into the Work; or for any other alleged contribution thereto. In addition to the foregoing and in accordance with Civil Code §9358 OCSD may also satisfy its duty to withhold funds for stop payment notices by refusing to release funds held in escrow pursuant to public receipt of a release of stop payment notice executed by a stop payment notice claimant, a stop payment notice release bond, an order of a court of competent jurisdiction, or other evidence satisfactory to OCSD that the CONTRACTOR has resolved such claim by settlement. EXA-5 PAYMENT TO SUBCONTRACTORS Requirements 1. The CONTRACTOR shall pay all Subcontractors for and on account of Work performed by such Subcontractors, not later than seven (7) days after receipt of each progress payment as required by the California Business and Professions Code §7108.5. Such payments to Subcontractors shall be based on the measurements and estimates made pursuant to article progress payments provided herein. 2. Except as specifically provided by law, the CONTRACTOR shall pay all Subcontractors any and all retention due and owing for and on account of Work performed by such Subcontractors not later than seven (7) days after CONTRACTOR'S receipt of said retention proceeds from OCSD as required by the California Public Contract Code §7107. EXA-6 PAYMENT OF TAXES Unless otherwise specifically provided in this Contract, the Contract Price includes full compensation to the CONTRACTOR for all taxes. The CONTRACTOR shall pay all federal, state, and local taxes, and duties applicable to and assessable against any Work, including but not limited to retail sales and use, transportation, export, import, business, and special taxes. The CONTRACTOR shall ascertain and pay the taxes when due. The CONTRACTOR will maintain auditable records, subject to OCSD reviews, confirming that tax payments are current at all times. CONFORMED C-EXA-080414 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 3 of 8 EXA-7 FINAL PAYMENT After Final Acceptance of the Work, as more particularly set forth in the General Conditions, "Final Acceptance and Final Completion", and after Resolution of the Board authorizing final payment and satisfaction of the requirements as more particularly set forth in General Conditions — "Final Payment", a final payment will be made as follows: 1. Prior to Final Acceptance, the CONTRACTOR shall prepare and submit an application for Final Payment to OCSD, including: a. The proposed total amount due the CONTRACTOR, segregated by items on the payment schedule, amendments, Change Orders, and other bases for payment; b. Deductions for prior progress payments; c. Amounts retained; d. A conditional waiver and release on final payment for each Subcontractor (per Civil Code Section 8136); e. A conditional waiver and release on final payment on behalf of the CONTRACTOR (per Civil Code Section 8136); f. List of Claims the CONTRACTOR intends to file at that time or a statement that no Claims will be filed, g. List of pending unsettled claims, stating claimed amounts, and copies of any and all complaints and/or demands for arbitration received by the CONTRACTOR; and h. For each and every claim that resulted in litigation or arbitration which the CONTRACTOR has settled, a conformed copy of the Request for Dismissal with prejudice or other satisfactory evidence the arbitration is resolved. 2. The application for Final Payment shall include complete and legally effective releases or waivers of liens and stop payment notices satisfactory to OCSD, arising out of or filed in connection with the Work. Prior progress payments shall be subject to correction in OCSD's review of the application for Final Payment. Claims filed with the application for Final Payment must be otherwise timely under the Contract and applicable law. 3. Within a reasonable time, OCSD will review the CONTRACTOR'S application for Final Payment. Any recommended changes or corrections will then be forwarded to the CONTRACTOR. Within ten (10) calendar days after receipt of recommended changes from OCSD, the CONTRACTOR will make the changes, or list Claims that will be filed as a result of the changes, and shall submit the revised application for Final Payment. Upon C-EXA-080414 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 4 of 8 acceptance by OCSD, the revised application for Final Payment will become the approved application for Final Payment. 4. If no Claims have been filed with the initial or any revised application for Final Payment, and no Claims remain unsettled within thirty-five (35) calendar days after Final Acceptance of the Work by OCSD, and agreements are reached on all issues regarding the application for Final Payment, OCSD, in exchange for an executed release, satisfactory in form and substance to OCSD, will pay the entire sum found due on the approved application for Final Payment, including the amount, if any, allowed on settled Claims. 5. The release from the CONTRACTOR shall be from any and all Claims arising under the Contract, except for Claims that with the concurrence of OCSD are specifically reserved, and shall release and waive all unreserved Claims against OCSD and its officers, directors, employees and authorized representatives. The release shall be accompanied by a certification by the CONTRACTOR that: a. It has resolved all Subcontractors, Suppliers and other Claims that are related to the settled Claims included in the Final Payment; b. It has no reason to believe that any party has a valid claim against the CONTRACTOR or OCSD which has not been communicated in writing by the CONTRACTOR to OCSD as of the date of the certificate; c. All warranties are in full force and effect, and; d. The releases and the warranties shall survive Final Payment. 6. If any claims remain open, OCSD may make Final Payment subject to resolution of those claims. OCSD may withhold from the Final Payment an amount not to exceed one hundred fifty percent (150%) of the sum of the amounts of the open claims, and one hundred twenty-five percent (125%) of the amounts of open stop payment notices referred to in article entitled stop payment notices herein. 7. The CONTRACTOR shall provide an unconditional waiver and release on final payment from each Subcontractor and Supplier providing Work under the Contract (per Civil Code Section 8138) and an unconditional waiver and release on final payment on behalf of the CONTRACTOR (per Civil Code Section 8138) within thirty (30) days of receipt of Final Payment. EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT Notwithstanding OCSD's acceptance of the application for Final Payment and irrespective of whether it is before or after Final Payment has been made, OCSD shall not be precluded from subsequently showing that: 1. The true and correct amount payable for the Work is different from that previously accepted; CONFORMED C-EXA-080414 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 5 of 8 2. The previously-accepted Work did not in fact conform to the Contract requirements, or; 3. A previous payment or portion thereof for Work was improperly made. OCSD also shall not be stopped from demanding and recovering damages from the CONTRACTOR, as appropriate, under any of the foregoing circumstances as permitted under the Contract or applicable law. C-EXA-080414 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 6 of 8 ATTACHMENT 1 — CERTIFICATION FOR REQUEST FOR PAYMENT I hereby certify under penalty of perjury as follows: That the claim for payment is in all respects true, correct; that the services mentioned herein were actually rendered and/or supplies delivered to OCSD in accordance with the Contract. I understand that it is a violation of both the federal and California False Claims Acts to knowingly present or cause to be presented to OCSD a false claim for payment or approval. A claim includes a demand or request for money. It is also a violation of the False Claims Acts to knowingly make use of a false record or statement to get a false claim paid. The term "knowingly" includes either actual knowledge of the information, deliberate ignorance of the truth or falsity of the information, or reckless disregard for the truth or falsity of the information. Proof of specific intent to defraud is not necessary under the False Claims Acts. I understand that the penalties under the Federal False Claims Act and State of California False Claims Act are non-exclusive, and are in addition to any other remedies which OCSD may have either under contract or law. I hereby further certify, to the best of my knowledge and belief, that: 1. The amounts requested are only for performance in accordance with the Specifications, terms, and conditions of the Contract; 2. Payments to Subcontractors and Suppliers have been made from previous payments received under the Contract, and timely payments will be made from the proceeds of the payment covered by this certification; 3. This request for progress payments does not include any amounts which the prime CONTRACTOR intends to withhold or retain from a Subcontractor or Supplier in accordance with the terms and conditions of the subcontract; and 4. This certification is not to be construed as Final Acceptance of a Subcontractor's performance. Name Title Date CONFORMED C-EXA-080414 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 7 of 8 ATTACHMENT 2 — SCHEDULE OF PRICES See next pages from the Bid Submittal Forms (Howard Ridley Co., Inc.): BF-14 Schedule of Prices C-EXA-080414 CONFORMED PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 8 of 8 Bid Submitted By: }coward Ridley Co.. Inc. (Name of Firm) BF-14 SCHEDULE OF PRICES INSTRUCTIONS A. General For Unit Prices, it is understood that the following quantities are approximate only and are solely for the purpose of estimating the comparison of Bids, and that the actual value of Work will be computed based upon the actual quantities in the completed Work, whether they be more or less than those shown. CONTRACTOR's compensation for the Work under the Contract Documents will be computed based upon the lump sum amount of the Contract at time of award, plus any additional or deleted costs approved by OCSD via approved Change Orders, pursuant to the Contract Documents. Bidder shall separately price and accurately reflect costs associated with each line item, leaving no blanks. Any and all modifications to the Bid must be initialed by an authorized representative of the Bidder in accordance with the Instructions to Bidders, Preparation of Bid. Bidders are reminded of Instruction to Bidders, Discrepancy in Bid Items, which, in summary, provides that the total price for each item shall be based on the Unit Price listed for each item multiplied by the quantity; and the correct Total Price for each item shall be totaled to determine the Total Amount of Bid. All applicable costs including overhead and profit shall be reflected in the respective unit costs and the TOTAL AMOUNT OF BID. The Bid price shall include all costs to complete the Work, includinq profit, overhead, etc., unless otherwise specified in the Contract Documents All applicable sales taxes, state and/or federal, and any other special taxes, patent rights or royalties shall be included in the prices quoted in this Bid. B. Basis of Award AWARD OF THE CONTRACT WILL BE MADE ON THE BASIS OF THE LOWEST RESPONSIVE AND RESPONSIBLE BID. THE LOWEST BID IS DEFINED AS THE"TOTAL AMOUNT OF BID" LISTED IN THIS BID, UNLESS OTHERWISE SPECIFIED BELOW. Note 1: Base Bid. Includes all costs necessary to furnish all labor, materials, equipment and services for the construction of the Project per the Contract Documents. Note 2: The Additive Bid Item will be used to determine the lowest Responsive, Responsible Bidder. Additive items will not be included as part of the initial award amount. In the event that OCSD elects to add the Additive Bid Item, it will do so via change order(s). Refer to Part C— SPECIAL PROVISIONS. All Work in the Contract Documents shall be included in Base Bid Items. The Additive Bid Item is for Work either not specifically shown or in excess of quantities shown in the Contract Documents. The Contractor shall provide a unit price and extended total price for each Additive Bid Item. Bidders shall accurately reflect the cost to perform the Work. OCSD may reject unbalanced Bids. Refer to Part 2—INSTRUCTIONS TO BIDDERS. BF-14 SCHEDULE OF PRICES C-BF-050517 ADDENDUM NO. 1 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 2 of 4 B. Bid Item 2—Construction of East Basin Distribution Box Repair 1. Description: This Item includes all labor, materials and equipment necessary for the completion of the Contract Work for The Eastside Basin Distribution Box Repair, in conformance with the Contract Documents. 2. Measurement and Payment:The lump sum payment for this Item will be apportioned each billing cycle according to actual percentage of completion, and will be full compensation for providing all Work complete as indicated in the Contract Documents. 3. In addition, CONTRACTOR's attention is directed to the specific construction requirements, which include but are not limited to thefollowing: a. Remove and disposes of odor control cover and supportframing. b. Protect in place or temporarily remove all the existing pipe, handrail, foul air duct, utilities and etc. C. Remove and dispose of deteriorated interior concrete, embedded steel stop plate guides, weir trough. d. Repair concrete, install new stop plate guide, install new weir trough, and install new FRP cover. e. Reconnect and restore all the existing pipe, valves, wiring, handrail, utilitiesand etc. f. Assist OCSD for startup activities. 1.4 ADDITIVE BID ITEMS The Bid Form includes Additive Bid Items which provide unit prices for F:hAwn An items as shown on the Contract Documents.This item will be paid on a unit basis based on actual quantity of work performed as verified by theENGINEER. PART 1 - PRODUCTS(NOT USED) PART 2- EXECUTION (NOT USED) EAST BASIN DISTRIBUTION BOX REPAIR MEASUREMENT AND PAYMENT Project No. FE16-10 Addendum No.1 01155-3 Bid Submitted By: Howard Ridley Co.. Inc. (Name of Firm) EXHIBIT A SCHEDULE OF PRICES BASE BID ITEMS (Refer to Note 1 in the Instructions): Item Description Unit of Extended Price No. Measurement Mobilization, initial progress payment for all fees, labor, materials and equipment required for mobilization, 1 1 staging area, and surety bonds, and other activities in conformance with the Contract Documents, not to Lump Sum $ c� `�d exceed four percent(4%) of the contract amount, for the lump sum price of ... r/ I 2. Furnish all labor, materials and equipment necessary for the completion of the Contract Work, except for the Lump Sum $ (� Work specified for Bid Item 1, in conformance with the Contract Documents, for a lump sum price of: `J G ) SUBTOTAL BASE BID ITEMS NO. 1 AND NO. 2(AWARD AMOUNT) $ �a 9, 3 G 0, � ADDITIVE BID ITEMS (Refer to Note 2 in the Instructions): Item Description Unit of Approx Unit Price Extended Price No. Measurement Qty TT A Repair corroded rebar based on Sheet S5001. Assume for bidding purposes one 60 location, two feet of corroded rebar, and using two rebar couplers. Bid Item pricing EA 1 630• _ $ (o 3 fl• to include concrete removal and replacement as well as rebar repair with couplers. DO SUBTOTAL ADDITIVE BID ITEMS NO. A $ 630, BF-14 SCHEDULE OF PRICES C-BF-050517 ADDENDUM NO. 1 PROJECT NO. FE16-10 EAST BASIN DISTRIBUTION BOX REPAIR Page 3 of 4 IMPORTANT NOTICE TO BIDDERS: Bid Items No. 1 through No. 2 together with Additive Bid Item No. A will be used to determine the lowest, responsive, responsible Bidder. Additive Bid Item No.A will not be included as part of the award amount. In the event OCSD elects to add any of the Additive Bid Item(s), it will do so via Change Order(s). Refer to the SPECIAL PROVISIONS Section entitled ADDITIVE BID ITEMS. All Work in the Contract Documents shall be included in Bid Items No. 1 through No. 2 above. The Additive Bid Item is for Work either not specifically shown or in excess of quantities shown in the Contract Documents. The Contractor shall provide a unit price and extended total price for each Additive Bid Item. 66 TOTAL AMOUNT OF BID (BASIS OF AWARD) C-BF-050517 BFA4 SCHEDULE OF PRICES PROJECT NO. FE16-10 ADDENDUM NO. 1 EAST BASIN DISTRIBUTION BOX REPAIR Page 4 of 4 OPERATIONS COMMITTEE Meeting Date To Bd. of Dir. 03/07/18 -- AGENDA REPORT Item Number Item Number 6 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Ed Torres, Director of Operations and Maintenance SUBJECT: PURCHASE OF LATHE FROM REPUBLIC LAGUN MACHINE TOOL COMPANY, TO REPLACE ACRA FEL-31200 LATHE GENERAL MANAGER'S RECOMMENDATION A. Approve the purchase of an American Turnmaster Power One, 40 series lathe from Republic Lagun Machine Tool Co., Specification E-2017-904, for an amount not to exceed $145,559; and B. Approve a contingency of $4,370 (3%). BACKGROUND The Orange County Sanitation District (Sanitation District) rebuild shop needs to replace its lathe. The existing lathe does not have the turning capacity required to complete many of the large jobs required in the repair of Sanitation District machinery. This results in additional costs for contracted machining work that could reside in-house. Also, due to an OSHA finding regarding a lathe accident at Yale University, guards are now required on the lead/feed screws (used to drive the carriage and cross-slide) to prevent injury to operators during turning operations. Guards were never designed for the Sanitation District's existing lathe. Aftermarket guards cannot be mounted on the lathe without limiting its operation in the most critical area of the lathe bed near the chuck, where most of the large turning operations take place. The American Turnmaster lathe has these guards and many other safety features as standard equipment. This limits the impact of aftermarket guard installation on operations. The American Turnmaster lathe also has increased capacity that will allow the completion of jobs in-house that have normally been sent to outside machine shops. RELEVANT STANDARDS • Consider life-cycle costs in all decisions • Maintain a culture of improving efficiency • Provide a safe and collegial workplace PROBLEM The large lathe currently in the rebuild shop does not have sufficient capacity to complete repairs required to maintain equipment or meet OSHA safety requirements, and cannot be modified without further limiting its capability to meet Sanitation District needs. Page 1 of 3 PROPOSED SOLUTION Purchase a large swing lathe capable of meeting the needs of the Sanitation District with all safeties and safety guards designed into the system, preventing the need for aftermarket modifications that limit use. TIMING CONCERNS The large lathe in the rebuild shop was removed from service by Risk Management based on OSHA concerns, which requires the increased use of outside machine shops to complete required repairs to machinery, increasing cost of rebuild and turnaround time for equipment. RAMIFICATIONS OF NOT TAKING ACTION Since the lathe was removed from service, the rebuild shop has increased outside machine requirements from $34,451 annually, for jobs that were too large for our lathe to support, to $67,591 this year, while also increasing the time required to complete machine repairs by an average of 17 work days. Continued use of outside shops will continue to raise both equipment repair time and the cost of completing these repairs by increasing reliance on external resources. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION This purchase replaces the large lathe in the rebuild shop that does not currently meet the needs of the shop and does not meet OSHA safety requirements. The Sanitation District is also unable to modify the machine to meet the safety requirements without further limiting machine capability. The Sanitation District advertised for bids on December 13, 2017. One bid meeting all requirements of the scope was received on January 16, 2018 by the 2:00 PM bid due time. An additional bid was received after the 2:00 PM due time. This bid is considered non-responsive because it did not meet the due time and the bidder did not submit the bid through the requested method. The bids were evaluated in accordance with the Sanitation District's policies and procedures. Staff recommends awarding the purchase to Republic Lagun Machine Tool Co. Summary information on the bid for lathe purchase is as follows: Bidder Amount of Bid Republic Lagun Machine Tool Co. $145,559 Tornquist Machinery Co. (Considered non-responsive) $149,995 Page 2 of 3 CEQA N/A FINANCIAL CONSIDERATIONS This item has been budgeted in the FY2017-18 Budget Update, (Section: Appendix, Capital Equipment Budget Detail, Line item: Clausing Lathe — Replacement, Page A-21). Date of Approval Contract Amount Contingency 03/07/18 $145,559 $4,370 (3%) ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: N/A Page 3 of 3 OPERATIONS COMMITTEE Meeting Date To Bd. of Dir. 03/07/18 03/28/18 AGENDA REPORT Item Number Item Number 7 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Ed Torres, Director of Operations and Maintenance SUBJECT: PLANT NO. 2 CENTRAL GENERATION STEAM TURBINE REHABILITATION GENERAL MANAGER'S RECOMMENDATION A. Approve a Sole Source Purchase Order to Dresser-Rand for the assessment and standard overhaul of the Steam Turbine at Plant No. 2, for an amount not to exceed $245,424, including applicable tax and freight; and B. Approve a contingency of $49,085 (20%). BACKGROUND Orange County Sanitation District (Sanitation District) operates eight Central Generation (Cen Gen) engines manufactured by Cooper Bessemer at both treatment plants. The engines generate approximately two-thirds of our electric demand and the majority of the process heat demand, which is used in the solids digestion process. At Plant No. 2, a Murray Steam Turbine is employed to take advantage of the exhaust heat generated by the engines to convert the waste heat into electrical energy. Waste heat recovery by the steam turbine is especially important approximately 10 months out of the year due to the reduced heat demand of the plant. The steam turbine unit captures the engine waste heat and uses it to generate electricity for use at Plant No. 2. This amounts to annual savings of approximately $125,000, which otherwise would be incurred as an additional annual cost for electricity purchases. If the steam turbine is not utilized, the excess heat cannot be captured and must be expelled to the environment. RELEVANT STANDARDS • Protection of Orange County Sanitation District assets • Maintain a proactive asset management program • Use all practical and effective means for recovering energy • Provide a safe and collegial workplace PROBLEM The Plant No. 2 steam turbine requires a major overhaul and has been in operation for approximately 175,000 hours, with 70,000 hours (i.e. 8 years) transpiring since the last overhaul. It is pertinent that a thorough assessment of the steam turbine and Page 1 of 2 supporting safety systems is performed to identify, address, and rehabilitate any deficiencies accordingly. PROPOSED SOLUTION Staff recommends Dresser-Rand to perform an assessment and comprehensive overhaul of the steam turbine at Plant No. 2, to ensure safe and reliable operation of the system as a whole. TIMING CONCERNS Without the steam turbine available, consistent steam flow control is hampered for the engine heat recovery system during certain operating conditions resulting in potentially costly repairs to the engine exhaust steam boilers and emissions system components. RAMIFICATIONS OF NOT TAKING ACTION Failure to take action on this repair will inhibit the ability to salvage waste heat for electricity generation, resulting in an annual cost of approximately $125,000 for additional electricity purchases. In addition, the steam turbine helps to balance the steam system, improving the safety and integrity of the steam system as a whole. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION Dresser-Rand acquired the Murray Steam Turbine brand in a 2006 company acquisition. FINANCIAL CONSIDERATIONS This request complies with authority levels of the Sanitation District's Purchasing Ordinance. This item has been budgeted in the FY17/18 Updated Budget (Line item: Repairs and Maintenance, Page 49). Date of Approval Contract Amount Continaencv 03/28/2018 $245,424 $49,085 (20%) ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: N/A Page 2 of 2 OPERATIONS COMMITTEE Meeting Date To Dir. 03/07/18 03/3/28/18 AGENDA REPORT Item Number Item Number 8 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Ed Torres, Director of Operations and Maintenance SUBJECT: SITE ACCESS AND LICENSE AGREEMENT — BREA DOSING STATION GENERAL MANAGER'S RECOMMENDATION A. Approve a new Site Access and License agreement with Pacific Quality Partners to lease property for the purpose of installing, maintaining, and operating a chemical dosing station at 1355 West Imperial Highway in the city of Brea, for a term of 36 months, at the following lease terms, in a form approved by General Counsel: • April 22, 2018 through April 21, 2019, $2,500 per month • April 22, 2019 through April 21, 2020, $2,560 per month • April 22, 2020 through April 21, 2021, $2,620 per month; and B. Authorize the General Manager or designee to negotiate and subsequently award an option for an additional 36 month lease renewal period beginning April 22, 2021. SUMMARY Orange County Sanitation District (Sanitation District) currently uses chemicals for corrosion and odor control in its collection system, which also helps reduce the level of odors at the treatment plants. One of the Sanitation Districts's continuous chemical dosing locations is in the city of Brea, where we have leased property since 2010. The current lease expires in April 2018 and staff recommends renewal of this lease. This Brea chemical dosing site reduces odors in Buena Park, La Habra, La Palma, Anaheim, Stanton, Cypress, Garden Grove, and Westminster as well as reducing the amount of chemical needed further downstream in the Knott Trunk sewer. PRIOR COMMITTEE/BOARD ACTIONS April 2015 - The Board approved a Site Access and License agreement with Pacific Quality Partners, to allow mobilization of a chemical dosing station and injection of chemicals at 1355 West Imperial Highway in the city of Brea, for a term of 36 months, at a total cost of $2,280 per month for the first 12 months, in a form approved by General Counsel; and approved the General Manager, or his designee, to negotiate future monthly license fees, after one year, up to three percent price escalation per year, beginning July 1, 2016 and annually therafter. December 2012 - The Board approved an amendment to the existing lease, a two year (24-month) real property lease and subterranean license agreement, with Brea Imperial Page 1 of 2 Inc. and RV Storage Depot Brea to allow mobilization of chemical dosing equipment and injection of chemicals at 1225 West Imperial Highway in Brea, with an option to extend for up to two additional years with up to a three percent price escalation per year beginning December 31, 2012 and ending December 31, 2014. December 2010 - The Board approved a real property lease, and subterranean license agreement with an option to extend, with Brea Imperial Inc. and RV Storage Depot Brea to allow mobilization of a chemical dosing station and injection of chemicals at 1225 West Imperial Highway in Brea. ADDITIONAL INFORMATION Staff negotiated this 3-year monthly lease fee. This lease fee is approximately 2.5% higher than the current lease term. CEQA The project is exempt from CEQA pursuant to CEQA's Class 3 Exemption for "New Construction or Conversion of Small Structures". BUDGET / PURCHASING ORDINANCE COMPLIANCE This request complies with authority levels of the Sanitation District's Purchasing Ordinance. ATTACHMENT The following attachment is included in hard copy and may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package and attachments: • Site Access and License Agreement MPV:MD:ME:sr Page 2 of 2 SITE ACCESS AND LICENSE AGREEMENT THIS SITE ACCESS AND LICENSE AGREEMENT ("Agreement") is made and entered into as of 2018 ("Effective Date") between PACIFIC QUALITY PARTNERS, a California limited partnership ("PACIFIC"), and ORANGE COUNTY SANITATION DISTRICT, a county sanitation district organized and existing under the County Sanitation District Act, Health & Safety Code §§ 4700 et seq., ("OCSD"). PACIFIC and OCSD are individually or collectively referred to herein as the "Party" or the "Parties." This Agreement is made with reference to the following facts: A. PACIFIC is the fee interest owner of in the real property located at 1355 W. Imperial Highway, in the City of Brea, State of California 92821 ("Property"); and B. OCSD is responsible for safely collecting, treating and disposing of wastewater generated by more than 2.5 million people living and working within the County of Orange, State of California; and C. OCSD desires to operate a chemical dosing site on the Property, which will add ferrous chloride and/or calcium nitrate and/or magnesium hydroxide to the sewer lines existing adjacent to the Property for delivery within OCSD's facilities downstream of the Property("Dosing Site"); and D. OCSD has identified a City of Brea sewer manhole immediately adjacent to the Property ("Manhole") as an ideal location for dosing into the adjacent sewer lines. E. PACIFIC desires to assist OCSD in establishing and operating the Dosing Site by allowing OCSD to access, and enter into and upon the Property. NOW, THEREFORE, in consideration of the mutual obligations, representations, and promises contained in this Agreement, the Parties hereby agree as follows: 1. Grant of Access. PACIFIC hereby grants to OCSD, its employees, consultants, representatives,contractors, subcontractors and/or agents ("Authorized Personnel") the right to use, access and enter into and upon the portion of the Property set forth in the Site Plan, attached hereto as Attachment "A" and incorporated herein by reference ("Access Area") for the purpose of establishing and operating the Dosing Site, to access the sewer line through said Manhole,to install conduit through the Manhole and into the sewer line, and to transport ferrous chloride and/or calcium nitrate and/or magnesium hydroxide for delivery within OCSD's lines downstream of the Property. 2. Dosing Site Improvements. The Dosing Site will consist of no more than two above-ground storage tanks, and a double-wall pipe through which OCSD will transport the following chemicals: ferrous chloride and/or calcium nitrate and/or magnesium hydroxide for injection into the City of Brea's local sewer system adjacent of the Property and eventual discharge into OCSD's sewer system. OCSD represents that no ferrous chloride and/or calcium nitrate and/or magnesium hydroxide will be allowed to escape the facilities, tanks or piping into the surrounding environment. The Dosing Site layout is presented in the Plan Views, attached hereto as Attachment "B" and incorporated herein by reference. OCSD may utilize other products, chemicals, or 1297953.1 Page 1 technologies if mutually agreed upon by the Parties. 3. Cooperation. PACIFIC will cooperate with OCSD to provide access to the Property and Access Area as may be reasonably necessary to allow OCSD to operate the Dosing Site, so long as the same does not unreasonably interfere with PACIFIC's operations, or cause an undue inconvenience to PACIFIC's employees, guests, customers, tenants, occupants and invitees. 4. Term. This Agreement shall expire thirty-six (36) months from the Effective Date ("Initial Term"). OCSD may exercise an option to renew the Agreement for an additional thirty-six (36) month term if mutually agreed upon terms can be negotiated. Upon expiration of the Initial Term, this Agreement shall automatically extend and continue in full force and effect on a month-to-month basis unless and until terminated in writing by either Party. 5. Utilities. Pacific shall be responsible for providing to OCSD a source, of electricity and water on the Property. OCSD shall be responsible, at its sole cost, for routing electricity and water to the Dosing Site,and for routing discharge from the Dosing Site. 6. OCSD Promise to Pay -License. PACIFIC will bill OCSD on a monthly basis f or a license fee at the following lease terms: • April 22,2018 through April 21,2019, $2,500 per month • April 22,2019 through April 21,2020, $2,560 per month • April 22,2020 through April 21,2021, $2,620 per month The sum of the monthly license fee shall include compensation for all utilities used by OCSD in connection with the dosing site. 7. Machinery&Equipment. PACIFIC authorizes OCSD,and its Authorized Personnel, to bring onto the Property such equipment and/or machinery as may be reasonably necessary to establish and operate the Dosing Site, so long as such activity is consistent with the terms and conditions stated herein. 8. Unreasonable Interference; Prior Notice. In operating the Dosing Site, OCSD shall not unreasonably interfere with PACIFIC's operations. OCSD shall give PACIFIC no less than three (3) business days' notice prior to its first entry upon the Access Area and the commencement of Dosing Site activities. PACIFIC and its employees and agents shall not interfere with, or obstruct, the Dosing Site or such entry by OCSD's Authorized Personnel, and PACIFIC shall not cause, or permit others to cause, any such interference or obstruction. 9. Restoring Condition of Access Area and the Property. OCSD agrees: (1) to minimize, to the extent practicable, interference with the activities of PACIFIC 's employees,guests, customers, tenants, occupants and invitees on, and ingress to, and egress from, the Access Area; (2) to maintain its machinery, equipment, and other materials in an orderly manner while located on the Property; and (3) within 30 days following the expiration of the term of this Agreement, to remove from the Access Area and the Property all debris, trash, machinery, equipment and other materials and items used by OCSD or caused by it to be on the Access Area or on the Property. Additionally, OCSD agrees that at the completion of each day OCSD utilizes the Access Area, it shall restore the Access Area to as close to the same condition as existed at the commencement of that day, to the maximum extent possible. Following the expiration of the term of this Agreement, at its sole cost OCSD shall restore the Access Area to as close to the same condition as existed before OCSD's first entry upon and use of the Access 1297953.1 Page 2 Area in connection with the Dosing Site, to the maximum extent possible, and to the reasonable satisfaction of PACIFIC. At its sole cost, OCSD shall be responsible for the proper lawful disposal of all chemicals, compounds, and other products and materials it brings onto, or causes to be on, the Property. 10. Preparatory Activities. At its sole cost, OCSD agrees to assume full responsibility to perform all relevant preparatory work as it deems necessary to establish and operate the Dosing Site. OCSD also agrees to provide appropriate notification to, and to obtain all required permits from, all applicable regulatory authorities in connection therewith. 11. No Nuisance. OCSD agrees that it will not maintain any public or private nuisance on the Property, and will not allow any odors, smoke, noise or objectionable elements to unreasonably affect PACIFIC's employees, agents, customers, visitors, or neighboring real property occupants or visitors. 12. Indemnity. OCSD hereby agrees to indemnify, defend, save and hold PACIFIC, and its owners, partners,agents,officers,members, employees,representatives, and affiliates harmless from, and against, all losses, costs, expenses, claims, causes of action, and damages suffered or incurred by any of them, which may arise from, pertain to, or relate to, the negligent acts or omissions, recklessness, or willful misconduct of OCSD or its Authorized Personnel in connection with the exercise of the rights granted herein. OCSD's obligation to indemnify, defend, save and hold harmless shall not apply to the extent that any such losses, costs, expenses, claims, causes of action or damages are caused by the negligence or willful misconduct of PACIFIC, or its owners, partners, agents, officers, members, employees, representatives or affiliates. 13. Safety and Site Condition. OCSD shall conduct its operations in a safe manner in compliance with all laws, including, but not limited to, environmental laws, and shall cooperate in maintaining the site in a safe, clean and orderly condition. 14. Sole Cost of OCSD. OCSD agrees that any work or activities conducted by OCSD on or beneath the Access Area and Property shall be at the sole cost and expense,of OCSD. OCSD agrees to keep the Property free and clear of all liens by paying off all subcontractors before any debt to the same becomes a matter of a lien of record against the Property. 15. Insurance. During the term of this Agreement, OCSD shall require all contractors or subcontractors, and their employees and agents, to maintain insurance with the following minimum coverage: (i) Workers Compensation with California minimum statutory limits; (ii) Automobile Liability with $1,000,000 single limit, or equivalent; and, (iii) Commercial General Liability, with $2,000,000 single limit, or equivalent During the term of this Agreement, OCSD shall request each such contractor or subcontractor to provide PACIFIC with a Certificate(s) of Insurance reflecting that PACIFIC is named as an "Additional Insured" on each contractor's and each subcontractor's Commercial General Liability, or similar, liability insurance policy. 16. Limited Access. OCSD agrees that entry upon the Access Area shall be limited to the extent necessary, or desirable, for the establishment and operation of the Dosing Site and/or for the purposes expressed in this Agreement. 1297953.1 Page 3 17. Temporary Use. The right to use and access granted herein is intended by the Parties, and shall be construed, as a temporary right to use the Access Area to conduct the Dosing Site upon the Property, and not as a grant of an easement or of any other legal or equitable interest in, or to, the Property. Except as expressly set forth herein, no other rights are created in OCSD by this Agreement. 18. Attorneys' Fees. If it becomes necessary for any Party to engage the services of legal counsel to institute any civil action to enforce or confirm, or to defend against, or to interpret or construe, any of provision(s) of this Agreement, the prevailing Party shall be entitled to recover from the other Party or Parties therein all of such Party's attorneys' fees, expert witness fees, other expenses and court costs as the prevailing party actually incurs in connection therewith. 19. Binding on Successors. This Agreement shall be binding upon the Parties to this Agreement, and upon their respective successors, representatives, heirs and assignees. 20. No Waiver. It is further understood and agreed that no failure or delay in exercising any right, power or privilege hereunder shall operate as a waiver thereof, nor shall any single or partial exercise thereof preclude any other, or further, exercise thereof, or the exercise of any right, power or privilege hereunder. A waiver of any right by any one of the Parties hereunder must be in writing, and signed by the Party granting the waiver. 21. Assignability. OCSD shall not assign, or otherwise transfer, or attempt to transfer, to any other person or entity, any of its rights herein stated, and shall not transfer, or attempt to transfer, to any other person or entity, any of the duties or obligations herein stated,without the prior written consent of PACIFIC, which may be given or withheld in PACIFIC's sole and absolute discretion, and any other attempt to do so shall be void and of no legal force or effect. 22. Choice of Law. The terms of this Agreement shall be interpreted and construed according to the laws, regulations and ordinances of the United States of America, the State of California, the County of Orange, and the City of Brea, as they may apply, from time to time. 23. Further Acts. For the duration of this Agreement,each Party shall, whenever requested to do so by the other Party or Parties, execute, acknowledge and deliver, or cause to be executed, acknowledged or delivered, any and all such further instruments and documents, and do any and all other acts as may be reasonably necessary to accomplish the purpose and intent of this Agreement. 24. Entire Agreement. This Agreement constitutes the entire agreement and understanding between the Parties pertaining to the subject matter addressed herein, and supersedes all prior, or contemporaneous, agreements and understandings, both written and oral, pertaining to such subject matter 25. Interpretation. This Agreement will be interpreted according to the fair meaning of its terms and not strictly for, or against, any Party hereto. 26. Modification. The provisions of this Agreement may only be amended or modified by a written agreement executed by the Parties. 27. Authori . Each person executing this Agreement hereby warrants that he/she has legal authority to bind the Party for whom he/she so executes this Agreement. 1297953.1 Page 4 28. Severability. If any provision of this Agreement is held by any court of law or equity having proper jurisdiction over the matter to be void, invalid or unenforceable for any reason, the remaining provisions of this Agreement overall shall continue in full force and effect without being impaired or invalidated in any way. 29. Notice. All notices or other documents (collectively "notices") given hereunder shall be in writing and shall be addressed to the recipient and sent by personal delivery or by overnight delivery service, such as by United States certified mail, postage prepaid, Federal Express, United Parcel, or the like. Unless and until otherwise notified, the address of each of the Parties for the giving of Notices shall be as follows: If to PACIFIC: Chris Chau, Project Manager Pacific Quality Packaging Corporation 660 660 Neptune Avenue, Brea, CA 92821 If to OCSD: Orange County Sanitation District Attn: Clerk of the Board 10844 Ellis Avenue Fountain Valley, CA 92708 1297953.1 Page 5 IN WITNESS WHEREOF, the parties have executed this Agreement on the date set forth below their respective signatures. ORANGE COUNTY SANITATION DISTRICT Dated: APPROVED AS TO FORM: By: By: Gregory C. Sebourn, PLS Bradley R. Hogin Board Chairman General Counsel ATTEST: By: Kelly A. Lore, MMC Clerk of the Board PACIFIC QUALITY PARTNERS Dated: By: Fred Chau Its: 1297953.1 ATTACHMENT A Titan Way - Parcel 296-122-08 --- Pacific Quality Partners 1355 W Imperial Hwy Brea, CA 92821 Dosi g Manhole: Brea City MH ID 3-14 El Existing building ----------------- . ■ ■ ' 10,000 gallon chemical storage tank Manhole ' Access Arear', f- ' , � OCSD sewer Q � C: City sewer E ' ■ ■ Electrical / water shutoff Ilk : 79 'x c' :W Wi OCSD Sewers Under round Sewer�iversion Imperial Blvd Structure N 0 75 150 300 Feet l i I I ATTACHMENT B PROPERTY LINE_ CHAIN FENCE LINK/ hill) FILTER � ISOLATION VALVE \` CHEMICAL STORAGE PUMP 72" CONTROL SYSTEM 40' FILTER CHEMICAL/ INJECTION LINE SOLATION VALVE FIRM NAME AND ADDRESS SECONDARY HILL BROTHERS CHEMICAL COMPANY CONTAINMENT ENGINEERING DEPARTMENT 15017 E.CLARK AVE. PROPOSE CITY OF INDUSTRY,CA.91745 CHAIN LINK' INJECTION POINT PHONE:1(626)333-7308 LOCATED APPROX. FENCE 35'FROM PUMP SYSTEM STEPOVER y LADDER Idl PROJECT NAME AND ADDRESS BREA RV FIE DOSING SYSTEM EYEWAS4,,, /PACIFIC QP STATION OCSICSD W IMPERIAL HWY BREA CALIFORNIA 35 92821-3706 CHAIN LINK 1T SETBACK FROM FENCE PROPERTY LINE D11C TITLE 110314OCSDBREA DETAIL TANK SECONDARY CONTAINMENT Vertical Straight Side,Flat Top,Single Wall FRP Tank 25'ROUND X 44"HIGH CORRUGATED STEEL DRAWN 10,000 NOMINAL GALLON FIBERGLASS TANK 13400 NOMINAL GALLON Ruben Sosa FERROUS CHLORIDE 32% 30 MIL PE LINER PROPERTY LINE 180 DEGREES F DATE: 12'DIAMETER 11-03-2014 12.5'MAXIMUM SHELL HEIGHT Off, XED BY- PUMP CONTROL SYSTEM Tony Garcia DUAL 1 HP PUMP SYSTEM ROLL TOP HARDCOVER CONTAINMENT UNIT 67.5"W X 41.25"D X 74"H 11-03-2014 NOTE: REVISED: NOT TO SCALE REV 2-02-20-2015 OPERATIONS COMMITTEE Meeting Date To Bd.ofDir. 03/07/18 03/28/18 AGENDA REPORT Item Number Item Number 9 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: SCADA SYSTEM AND NETWORK UPGRADES, PROJECT NO. P2-107 GENERAL MANAGER'S RECOMMENDATION Approve a contingency increase of$211,365 (7.5%) to the Professional Design Services Agreement with Brown and Caldwell for SCADA System and Network Upgrades, Project No. P2-107, for a total contingency amount of $493,185 (17.5%). BACKGROUND The Power Monitoring and Control Systems, Project No. J-33-3, installed a power monitoring and control system at Plant No. 1 that plays a critical part in maintaining power supply by remotely monitoring the plant electrical systems and allowing for remote operation of the electrical distribution circuit breakers to improve safety and response times. The SCADA System and Network Upgrades, Project No. P2-107, will implement a similar power monitoring and control system at Plant No. 2. An extensive network of fiber optic cables has been installed over the years at Plant No. 2 to connect a system of programmable logic controllers (PLC) that are essential for monitoring, control, and maintenance of the plant processes. Without the communications network, operators must directly observe every process, which is not practical with current staffing levels. This project will replace the existing fiber optic network with a series of looped fiber networks and network switches, creating an industrial control system (ICS) that increases the reliability of this critical system. This project will also provide two new server rooms in existing buildings that will contain core switches and other equipment for the process and IT networks. During a loss of Southern California Edison utility power, an electrical load-shedding system will be provided to monitor and automatically shed non-critical loads or loads with standby power from the Central Generation system to maintain water-in/water-out operation. This microprocessor-based control system is similar in design and functionality to those used by larger utilities to maintain electrical service to their customers in the event of power interruption. The opportunity to incorporate a new industrial communication standard called Generic Object-Oriented Substation Event (GOOSE) messaging was not anticipated when the job was originally scoped. This new standard improves the interoperability of the electrical relays for improved resiliency of the power system by isolating and load shedding more quickly and selectively. Page 1 of 3 RELEVANT STANDARDS • Provide a safe and collegial workplace • 24/7/365 treatment plant reliability PROBLEM This project is developing new guidelines for the monitoring and control signals associated power monitoring/control, revising the programmable logic controller standard drawings due to the obsolescence of the existing controllers, adding fire protection to the Centrifuge Building server room,and designing a load-shedding system using microprocessor-based relays. These design improvements are not part of the Consultant's scope of work, requiring an increase to Consultant fees beyond the amount allocated in the original Professional Design Services Agreement (PDSA) contingency. PROPOSED SOLUTION Increase the PDSA contract contingency, allowing staff to negotiate and authorize additional scope and budget changes. TIMING CONCERNS Additional engineering evaluation and design are required to complete the project design, which will be combined with the Outfall Low-Flow Pump Station at Plant No. 2, Project No. J-117B, as one bid package. The J-117B project is currently on the critical path for accommodating the GWRS Final Expansion project. RAMIFICATIONS OF NOT TAKING ACTION Not approving this contingency increase will prevent the design from being completed to the proposed standards. PRIOR COMMITTEE/BOARD ACTIONS January 2016 - Approved 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 approved a contingency of $281,820 (10%). ADDITIONAL INFORMATION N/A CEQA This project is exempt from CEQA under the Class 1 categorical exemptions set forth in California Code of Regulations Section 15301. Section 15301 (Class 1) exempts from Page 2 of 3 CEQA "the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination," including "(b) Existing facilities of both investor and publicly-owned utilities used to provide electric power, natural gas, sewerage, or other public utility services." The project consists of minor alterations to existing public facilities. A Notice of Exemption was filed and recorded with the County of Orange on November 5, 2015. FINANCIAL CONSIDERATIONS This item has been budgeted (FY 2017-18 Update, Page A-8), and the budget is sufficient for the recommended action. Date of Approval Contract Amount Contingency 02/25/15 $2,818,197 $281,820 (10%) 03/28/18 $211,365 (7.5%) ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: N/A DC:dm:gc Page 3 of 3 OPERATIONS COMMITTEE Meeting Date To Dir. 03/07/18 03/3/28/18 AGENDA REPORT Item Number Item Number io Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: OCEAN OUTFALL SYSTEM REHABILITATION, PROJECT NO. J-117 AND SCADA SYSTEM AND NETWORK UPGRADES, PROJECT NO. P2-107 GENERAL MANAGER'S RECOMMENDATION A. Approve a budget increase of $19,000,000 for Ocean Outfall System Rehabilitation, Project No. J-117, for a total budget amount of $166,000,000; and B. Approve a budget reduction of $19,100,000 for SCADA System and Network Upgrades, Project No. P2-107, for a total budget amount of $5,000,000. BACKGROUND Outfall System Rehabilitation, Project No. J-117, includes the Contract No. J-117B which will construct a new Outfall Low Flow Pump Station, a new Plant Water Pump Station, rehabilitation of the existing Ocean Outfall Booster Station, and replacement of existing electrical switchgear in the Plant No. 2 Central Generation system. SCADA System and Network Upgrades, Project No. P2-107, includes implementation at Plant No. 2 of a power monitoring and control system, a new fiber optic process control network, and an interlinked system of protective relays that will better isolate electrical faults and allow coordinated shedding of non-essential power demands on loss of Southern California Edison utility power. The P2-107 project had previously been named Power Monitoring and Control Systems at Plant No. 2, but is now titled SCADA System and Network Upgrades to better reflect the nature of the work. Both projects include power distribution equipment equipped with the interlinked protective relays. The relays from both projects must be connected on the same dedicated, vendor-specific, and vendor-designed network. The relays must also be programmed and tested together. RELEVANT STANDARDS • Ensure the public's money is wisely spent • 24/7/365 treatment plant reliability Page 1 of 3 PROBLEM Installing the interlinked protective relays under separate construction contracts would create significant risk in coordinating the procurement, configuration, and testing of the devices and network. As a result, it would be difficult to assign responsibility to one of the contractors to correct a problem. PROPOSED SOLUTION Construct both projects using a single construction contract, using the budget for Outfall System Rehabilitation, Project No. J-117, which is the larger project. This change involves reducing the budget of the SCADA System and Network Upgrades, Project No. P2-107, to eliminate the construction budget and increasing the budget of Outfall System Rehabilitation, Project No. J-117. The increase in the J-117 budget is less than the decrease in the P2-107 budget due to unrelated savings on both projects and efficiencies of staff time associated with managing only one construction contract. TIMING CONCERNS The construction schedules of the two projects overlap, so combining the work will not delay either project. Combining the work also allows complex schedule constraints to be specified for one contractor. RAMIFICATIONS OF NOT TAKING ACTION Without the additional budget for Project No. J-117, staff will be unable to advertise the work under a single bid package. Construction coordination will be more difficult since two projects are required to execute a complete load-shedding system. Completion of the Outfall Low Flow Pump Station, Contract No. J-117B, is critical for the Orange County Water District's Groundwater Replenishment System's Final Expansion, and delaying advertisement for bids would likely delay that project. PRIOR COMMITTEE/BOARD ACTIONS September 2017 - Adopted Resolution No. OCSD 17-15, making certain findings and adopting the Mitigated Negative Declaration and Mitigation Monitoring and Reporting Program pursuant to the California Environmental Quality Act, and approved a contingency increase of$677,801 (10%) to the Professional Design Services Agreement with Brown and Caldwell for Ocean Outfall System Rehabilitation, Project No. J-117, for a total contingency of $3,727,907 (55%). May 2017 -Approved through the Fiscal Year 2017/2018 Budget Update a project budget of $147,000,000 for Ocean Outfall System Rehabilitation, Project No. J-117. November 2016 - Approved a budget increase of $28,517,000 for Ocean Outfall System Rehabilitation, Project No. J-117, for a total budget amount of$91,000,000, and approved Page 2 of 3 a contingency increase of $2,372,305 (35%) to the Professional Design Services Agreement with Brown and Caldwell for Ocean Outfall System Rehabilitation, Project No. J-117, for a total contingency of$3,050,106 (45%). February 2015 - Approved a Professional Design Services Agreement with Brown & Caldwell to provide engineering design services for the Ocean Outfall System Rehabilitation, Project No. J-117, for an amount not to exceed $6,778,015, and approved a contingency of $677,801 (10%). ADDITIONAL INFORMATION N/A CEQA An Initial Study/Mitigated Negative Declaration and Mitigation Monitoring and Reporting Program for the Outfall Low Flow Pump Station, Contract No. J-117B, was adopted by the Board on September 27, 2017. SCADA System and Network Upgrades, Project No. P2-107, is exempt from CEQA under the Class 1 categorical exemptions set forth in California Code of Regulations Section 15301. Section 15301 (Class 1) exempts from CEQA "the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination," including "(b) Existing facilities of both investor and publicly-owned utilities used to provide electric power, natural gas, sewerage, or other public utility services." The project consists of minor alterations to existing public facilities. A Notice of Exemption was filed and recorded with the County of Orange on November 5, 2015. FINANCIAL CONSIDERATIONS Outfall System Rehabilitation, Project No. J-117, has been budgeted (FY2017-18 Budget Update, Section A-8), but the budget is insufficient for the recommended action. SCADA System and Network Upgrades, Project No. P2-107, has been budgeted (FY2017-18 Budget Update, Section A-8), and the budget is sufficient for the recommended action. The savings from P2-107 will cover the additional cost for J-117. ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: N/A VP:dm:gc Page 3 of 3 OPERATIONS COMMITTEE Meeting Date To 3/ /f Dir. 03/07/18 03/28/18 AGENDA REPORT Item Number Item Number 11 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: SOLE SOURCE LOAD SHEDDING AND PROTECTIVE RELAY SYSTEM GENERAL MANAGER'S RECOMMENDATION A. Authorize staff to specify Schweitzer Engineering Laboratories as the sole source provider for current and future projects equipment, materials, and services for electrical power system protective relays and load-shedding systems at Plant Nos. 1 and 2; B. Authorize staff to negotiate service agreements for services related to protective relays and load-shedding systems for current and future projects, and for on-going operations and maintenance at Plant Nos. 1 and 2; and C. Ratify the addition of Schweitzer Engineering Laboratories to the list of pre-approved Original Equipment Manufacturers for procurements under $100,000 for equipment, materials, and services for electrical power system protective relays and load-shedding systems. BACKGROUND Public Contract Code §3400 allows local agencies to draft bid specifications for public works that call for a designated product if the awarding authority, or its designee, finds that the product is designated "in order to obtain a necessary item that is only available from one source...". An item is available from only one source if there is not an "equal" product, meaning a product that will "function as well, in all essential respects" as the designated product. Electrical power for the Orange County Sanitation District's (Sanitation District) Plant Nos. 1 and 2 is supplied by its own Central Generator System (CenGen) and by Southern California Edison (SCE). In an SCE power outage, the entire plant load is initially supplied only by CenGen until standby diesel generator power starts to feed select loads. If the load exceeds the operating CenGen capacity for a fraction of a second, CenGen will shut down. A centralized, high-speed load-shedding system would maintain plant operations during a SCE power outage by dynamically shifting equipment backed up by standby generators off CenGen and shutting down non-critical equipment. The system utilizes microprocessor-based controllers and relays interconnected with a dedicated high-speed network to monitor plant loads and critical events to immediately shed excess low priority Page 1 of 6 loads. This system also greatly reduces the magnitude of potential arc flash events, which is an important safety concern for power distribution equipment. SCADA System and Network Upgrades at Plant No. 2, Project No. P2-107, was assigned to provide a load-shedding and protective relay system. The original plan was to utilize a less sophisticated system. A detailed evaluation determined that a centralized, high-speed load-shedding and protective relay system would provide the greatest benefit. Staff solicited information from manufacturers capable of providing such systems. Based on an extensive investigation, Sanitation District staff has determined that Schweitzer Engineering Laboratories (SEL) manufactures the only load-shedding system capable of reliably meeting the Sanitation District's needs. The load-shedding system consists of a load-shedding controller, a human-machine interface (HMI), protective relays, and network equipment. RELEVANT STANDARDS • 24/7/365 treatment plant reliability • Maintain a culture of improving efficiency PROBLEM Although there are industry standards for load shedding systems, system vendors only guarantee performance and operation when their own products are connected and operated as a system. As a result, a system installed with different vendors' products would present great difficulty in enforcing performance and interoperability. This is particularly challenging because the system must respond extremely quickly using high-speed networks to timely trip loads. Maintenance of systems and training of staff for multiple systems would also be impractical. PROPOSED SOLUTION Sole source Schweitzer Engineering Laboratories for load-shedding systems and protective relays at both plants. The sole source includes equipment, material, engineering, and startup and commissioning services to be provided on specific capital projects and for operational and maintenance assistance as needed. The estimated cost for the load-shedding system at Plant No. 1 is in the range of$2 million to $3 million. That system will be implemented under Electrical Power Distribution System Improvements, Project No. J-98. The estimated cost for the load-shedding system and protective relays at Plant No. 2 is in the range of$1.5 million to $2.5 million. That system will be implemented under Ocean Outfall System Rehabilitation, Project No. J-117, and SCADA System and Network Upgrades, Project No. P2-107. Page 2 of 6 TIMING CONCERNS The Outfall Low Flow Pump Station, Project No. J 117B, will replace the 12-kV switchgear at Cen Gen and the Ocean Outfall Booster Station. These switchgear line-ups will include microprocessor-based protective relays. The SCADA System and Network Upgrades, Project No. P2-107, will be implementing a load-shedding system and replacing existing, outdated electromechanical protective relays with microprocessor-based protective relays to reduce relay testing and calibration efforts, improve system troubleshooting and diagnostics features, and reduce arc flash levels with improved tolerances. Furthermore, a complete plant-wide fiber network will also be implemented. Implementing the load-shedding system on these projects provides optimal timing and the greatest financial benefit. RAMIFICATIONS OF NOT TAKING ACTION Not selecting SEL as a sole source manufacturer may result in obtaining a load-shedding system that does not use industry standard programming languages, uses a server-based controller that needs periodic security patches versus a microprocessor-based controller, slower load-shedding timing that could reduce the benefits of a contingency-driven load shedding system, proprietary load-shedding devices that cannot communicate with other manufacturer devices, a system with limited installations in the United States, and lack of local customer support for current and future projects. PRIOR COMMITTEE/BOARD ACTIONS December 2016 - Updated authorization and set administrative controls for sole source procurement required to maintain, service, or replace equipment currently in operation at Orange County Sanitation District facilities where the parts and/or service can only be provided by the Original Equipment Manufacturer (OEM) or their designated representative, for purchases under$100,000, per purchase, and authorized the General Manager to ratify additions or deletions to the OEM list on the General Manager's quarterly approved purchases agenda report. ADDITIONAL INFORMATION Load-Shedding System Technology The original Scope of Work for Project No. P2-107 required the implementation of an under-frequency load-shedding system with hardwired controls to trip preselected 12-kV circuit breakers throughout Plant No. 2. During initial project meetings, it was determined that it would be preferred to trip loads based on the actual plant electrical demand (loading) versus a predetermined trip sequence so that the plant could maintain operations during normal flow conditions with minimal impact to staff. Originally, programmable logic controllers (PLCs) matching the plant process PLCs were planned to be used with under-frequency relays. After discussions with microprocessor-based relay manufacturers, it was determined that a proven contingency-driven, high-speed load-shedding system with backup under-frequency load shedding would provide the Page 3 of 6 most reliable and flexible load-shedding operation. It was determined that the load-shedding system should comply with IEC 61850 for power utility automation. Selection Process The Sanitation District performed a market evaluation of vendors who provide high-speed load-shedding systems and obtained technical advice from experts experienced in load-shedding and the IEC 61850 standard. A request for information (RFI)for equipment and services required to implement an IEC 61850 Edition 2-based substation communications, protection, and load shedding control system was sent to the following vendors on August 30, 2017: 1. Asea Brown Boveri (ABB) 2. General Electric (GE) 3. Schneider Electric 4. Schweitzer Engineering Laboratories (SEL) 5. Siemens Submittals were received from four of the five manufacturers and were reviewed by the Sanitation District. Schneider Electric declined to submit. Based on the information provided, the Sanitation District determined that the following evaluation criteria should be used to select the load-shedding system: 1. Protective relays need to comply with the IEC 61850 Edition 1 and/or Edition 2 standard. 2. Load-shedding calculations need to be performed in a microprocessor-based controller versus a Windows-based server. 3. Load-shedding controller shall be programmed using IEC 61131 standard languages, similar to industrial controllers being utilized by the Sanitation District's Process Control Integration (PCI) group. 4. Load-shedding system needs to have a contingency-based load-shedding element with a backup under frequency element. 5. Load-shedding system needs to integrate with other manufacturer's relays. 6. The network needs to have communication redundancy. On November 3, 2017, additional clarification questions were sent to the four vendors to clarify their responses to the original RFI. The Sanitation District reviewed and discussed the manufacturer's responses based on the evaluation criteria. The table below shows the criteria each manufacturer met. Load-Shedding Criteria ABB GE SEL Siemens IEC 61850 (Edition 1 or 2) ✓ ✓ ✓ ✓ Microprocessor-based controller ✓ ✓ ✓ IEC 61131 programming ✓ ✓ ✓ Contingency-driven load shedding ✓ ✓ ✓ ✓ Load shedding works with other mfrs ✓ ✓ ✓ Communication redundancy ✓ ✓ ✓ ✓ Page 4 of 6 Based on this criteria, Asea Brown Boveri (ABB) and SEL were selected to be further evaluated. On January 8, 2018, an additional clarification request was sent to ABB to request answers to the following questions: 1. Locations in the United States where the proposed load-shedding system has been implemented. 2. Offices in the United States with number of staff at each location and expertise and resumes of staff to provide technical support on the different load-shedding components. (Note: Previous RFI response did not provide enough information for the Sanitation District to evaluate). 3. Timing of load shedding system from signal input to breaker trip. (Note: Previous RFI response did not provide enough information for the Sanitation District to evaluate). The following summarizes the responses from ABB and SEL: Criteria ABB SEL Projects in the US 1 7 Offices in the US 1 Texas 14 1 in Irvine Technical Staff in US 2 100 Load Shedding Timing 98 msec 12.24 — 30.46 msec Details of ABB responses: 1. One similar project has been implemented in the United States and two similar projects have been implemented in Canada. Most of ABB's experience is outside the United States. 2. ABB listed eight staff members and provided resumes. Based on the resumes, it appears that only two out of the eight technical staff are located in the United States. The six technical staff located outside of the United States are located in India. The staff in India were used to program and configure the load-shedding system located in the United States. 3. ABB calculated a total load-shedding timing of 98 msec. This matches the timing documented for the ABB project installed in Greece. The load-shedding expert supporting the Sanitation District performed calculations to determine the frequency decays of the power system when a load-shedding event is triggered. These calculations indicate that a load-shedding time faster than ABB's 98 milliseconds is needed in order to provide sufficient timing separation between the contingency-driven load-shedding event and the under-frequency load shedding, and to prevent the power system frequency from dropping below 57 Hz, which could result in damage to the motors over time. The Sanitation District staff plans to train staff to configure, maintain, and troubleshoot the load-shedding and protective relay system. The recommendation is to have the manufacturer's staff program, configure, commission, and test relays installed under Page 5 of 6 future Capital Improvement Program (CIP) projects so that the system is certified after each installation. In summary, SEL is the only manufacturer that responded to the RFIs that meets the required criteria established by the Sanitation District to successfully implement a high- speed load-shedding scheme. Additional SEL Information and Features SEL's equipment costs are sold at a fair market value with no discounts to any customers. SEL also provides a 10-year, no-questions-asked product warranty. The equipment is also designed for an operating temperature of -40 degrees F to +185 degrees F and a service life of over 25 years. In addition, the SEL protective relays can be equipped with overcurrent and arc-flash detection features that reduces fault clearing time and further reduces the arc flash levels in 12kV switchgear. CEQA Pursuant to CEQA Guidelines section 15352, the recommended actions are not approvals requiring environmental review under CEQA because the recommended actions are only to make findings sufficient to allow the Sanitation District to designate specified equipment in construction contracts. The recommended actions do not commit the Sanitation District to a definite course of action to let a contract for bidding, to award a contract, or to authorize any contractor to proceed. FINANCIAL CONSIDERATIONS This request complies with the authority levels in the Sanitation District's Purchasing Ordinance. The required funding will be obtained from the projects where the equipment, material, and services are utilized, or in the appropriate operating budget allocations. ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: N/A MD:ND:dm:gc Page 6 of 6 OPERATIONS COMMITTEE Meeting Date To Bd. of Dir. 03/07/18 -- AGENDA REPORT Item Number Item Number 12 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: SEAL BEACH PUMP STATION REHABILITATION, PROJECT NO. 3-62, AND REHABILITATION OF THE WESTERN REGIONAL SEWERS, PROJECT NO. 3-64 GENERAL MANAGER'S RECOMMENDATION Information Only. BACKGROUND There are two large Orange County Sanitation District (Sanitation District) sewers in Los Alamitos Boulevard/Seal Beach Boulevard south from Katella Avenue to the 405 Freeway. Flow from the deeper sewer is pumped up by the West Side Pump Station to the other sewer to flow by gravity to the Seal Beach Pump Station. Rehabilitation of Western Regional Sewers, Project No. 3-64, currently in design, will rehabilitate these sewers, among others, and is currently scoped to replace the wet well of the West Side Pump Station to address potential concrete corrosion. Seal Beach Pump Station Rehabilitation, Project No. 3-62, also currently in design, is assigned to rehabilitate the Seal Beach Pump Station and its two 3-mile long force mains in Westminster Boulevard. In the course of the preliminary design, the Seal Beach Pump Station design consultant determined that the existing pump station could not be modified to meet Hydraulic Institute design standards, nor to allow movement of foul air through the upstream sewer, which could increase upstream odor complaints. Also, the West Side Pump Station wet-well replacement would only provide a limited extension of the remaining useful life of that pump station and would impact immediate neighbors both during and after construction. Based on the inherent limitations of the current approaches for both pump stations, Staff has been considering a different approach: • The existing Seal Beach Pump Station structure would be replaced with a new deeper structure on-site, rather than just rehabilitated. • The Los Alamitos Sub-Trunk, the deeper of the two sewers in Los Alamitos Boulevard/Seal Beach Boulevard, would be extended one-mile south to the new, deeper Seal Beach Pump Station. Page 1 of 2 • The extension of that sewer would allow the West Side Pump Station to be abandoned, rather than rehabilitated. This approach would address the key problems with the current approach, but involve significantly higher up-front capital cost in the short term. In the longer term, major savings would be realized by not having to replace the two pump stations when they reach the end of their life in approximately 20 years. Staff will present the functional and financial implications of this approach in more detail at the Operations Committee meeting. RELEVANT STANDARDS • Consider life-cycle costs in all decisions • Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting CEQA Project No. 3-62 is exempt from CEQA under Class 3 categorical exemptions set forth in CEQA Guidelines sections 15301-15304. A Notice of Exemption (NOE) was filed with the Orange County Clerk-Recorder on April 11, 2014 for this project. Recent changes to the project resulted in a request for legal analysis last year to determine if the project would still be covered under this NOE. The legal analysis was received on Dec 14, 2017, confirming the NOE filed was still applicable for the project. Project No. 3-64 had an Initial Study performed that was completed in November 2015. It was determined an Environmental Impact Report (EIR) was required for the project. The EIR was carried out, and on March 22, 2017, the Sanitation District Board of Directors adopted Resolution No. OCSD 17-06, entitled: "A Resolution of the Board of Directors of the Sanitation District Certifying the Environmental Impact Report for the Rehabilitation of the Western Regional Sewers, Project No. 3-64; Adopting the Corresponding Statement of Overriding Considerations and the Mitigation Monitoring Program; and Approving the Western Regional Sewers, Project No. 3-64." A Notice of Determination was filed for the EIR with the Orange County Clerk-Recorder on March 23, 2017. The CEQA requirements for the potential approach have not yet been determined. FINANCIAL CONSIDERATIONS This is an information only Agenda Report. The budget requirements for the planned changes would be addressed in the validation process for the upcoming Fiscal Year 2018/2019 and 2019/2020 budget. ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) 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 CIP Capital Improvement Program 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 US Environmental Protection Agency FOG Fats, Oils, and Grease gpd gallons per day GWRS Groundwater Replenishment System ICS Incident Command System IERP Integrated Emergency Response 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 & Maintenance OCCOG Orange County Council of Governments OCHCA Orange County Health Care Agency OCSD Orange County Sanitation District OCWD Orange County Water District OOBS Ocean Outfall Booster Station OSHA Occupational Safety and Health Administration PCSA Professional Consultant/Construction Services Agreement PDSA Professional Design Services Agreement POTW Publicly Owned Treatment Works ppm parts per million PSA Professional Services Agreement RFP Request For Proposal RWQCB Regional Water Quality Control Board Glossary of Terms and Abbreviations SARFPA Santa Ana River Flood Protection Agency SARI Santa Ana River Interceptor SARWQCB Santa Ana Regional Water Quality Control Board SAWPA Santa Ana Watershed Project Authority SCADA Supervisory Control And Data Acquisition SCAP Southern California Alliance of Publicly Owned Treatment Works SCAQMD South Coast Air Quality Management District SOCWA South Orange County Wastewater Authority SRF Clean Water State Revolving Fund SSMP Sewer System 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 & Reuse Foundation WIFIA Water Infrastructure Finance and Innovation Act WIIN Water Infrastructure Improvements for the Nation Act WRDA Water Resources Development Act 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 known 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. Biogas —A gas that is produced by the action of anaerobic bacteria on organic waste matter in a digester tank that can be used as a fuel. 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 farmland or further processed as an earth-like product for commercial and home gardens to improve and maintain fertile soil and stimulate plant growth. Glossary of Terms and Abbreviations 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. 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/T) — The dilution at which the majority of people detect the odor becomes the D/T for that air sample. Greenhouse Gases (GHG) — 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 System (GWRS) — 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 per day of drinking quality water to replenish the local groundwater supply. Levels Of Service (LOS) — Goals to support environmental and public expectations for performance. N-Nitrosodimethylamine (NDMA) — A N-nitrosamine 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 and Water Environment Federation, with advisory support from the US Environmental Protection Agency. NBP is committed to developing and advancing environmentally sound and sustainable biosolids management practices that go beyond regulatory compliance and promote public participation 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. Glossary of Terms and Abbreviations Publicly Owned Treatment Works (POTW) —A municipal wastewater treatment plant. Santa Ana River Interceptor (SARI) Line —A regional brine line designed to convey 30 million gallons per day 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 runoff. 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. 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. The Orange County Sanitation District's service area is in the Santa Ana River Watershed.