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HomeMy WebLinkAbout05-01-2019 Operations Committee Meeting Agenda Packet Orange County Sanitation District Wednesday, May 1, 2019 SPECIAL Meeting of the - 4:00 P.M. OPERATIONS COMMITTEE PLANT NO. 2 OPERATIONS CENTER Operations & Training Conf. Room 22212 Brookhurst Street Huntington Beach, California 92646 714 593-7433 AGENDA CALL TO ORDER Members of the Operations Committee will take a one-hour tour of Plant No. 2 beginning at 4:00 p.m., with the business meeting reconvening thereafter at 5:00 p.m. RECESS — PLANT NO. 2 TOUR RECONVENE 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 Any items withdrawn from the Consent Calendar for separate discussion will be considered in the regular order of business. 1.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 Regular meeting of the Operations Committee held on April 3, 2019. 05/01/2019 Operations Committee SPECIAL Meeting Agenda Page 1 of 4 2. REHABILITATION OF WESTERN REGIONAL SEWERS, PROJECT NO. 3-64 (Kathy Milled) RECOMMENDATION: Recommend to the Board of Directors to: Approve a Cost Sharing Agreement between the Orange County Sanitation District and the City of Anaheim for traffic signal construction in conjunction with the Orange-Western Sub-Trunk Rehabilitation, Contract No. 3-64A, for an amount not to exceed $220,000. 3. CAPITAL IMPROVEMENT PROGRAM CONTRACT PERFORMANCE REPORT (Kathy Milled) RECOMMENDATION: Recommend to the Board of Directors to: Receive and file the Capital Improvement Program Contract Performance Report for the period ending March 31, 2019, 4, PLANT NO. 2 CENTRAL GENERATION STEAM TURBINE REHABILITATION, PROJECT NO. MP-105 (Kathy Millea) RECOMMENDATION: Recommend to the Board of Directors to: Approve renegotiated Purchase Order terms and conditions with Dresser-Rand for the assessment and standard overhaul of Plant No. 2 Central Generation Steam Turbine Rehabilitation, Project No. MP-105. 5, QUARTERLY ODOR COMPLAINT REPORT (Rob Thompson) Receive and file the Fiscal Year 2018119 Third Quarter Odor Complaint Report. NON-CONSENT: 6. FERRIC CHLORIDE PURCHASE (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: A. Approve a Purchase Order Agreement with Pencco, Inc. for the purchase of liquid ferric chloride, Specification No. C-2019-1037BD, for the period beginning July 1, 2019 through June 30, 2020, for a unit price of$597 per dry ton delivered, for an estimated annual amount of $1,791,000 (plus applicable sales tax) with four (4) one-year renewal options. B. Approve a Purchase Order Agreement with Kemira Water Solutions, Inc. for the purchase of liquid ferric chloride, Specification No. C-2019-1037BD, for the period beginning July 1, 2019 through June 30, 2020, for a unit price of $630 per dry ton delivered, for an estimated annual amount of $3,150,000 (plus applicable sales tax) with four (4) one-year renewal options; and C. Approve a unit price contingency of 10% per agreement. 05/01/2019 Operation Committee SPECIAL Meeting Agenda Page 2 of 4 7. REGIONAL ODOR AND CORROSION CONTROL SERVICES (ROCCS) PROGRAM, SPECIFICATION NO. C-2017.899BD — CONTINGENCY INCREASE (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: Approve a unit price contingency increase of $116.39{dry ton (11,91%) to the Ferrous Chloride Chemical Agreement with Hill Brothers Chemical Company for the Regional Odor and Corrosion Control Services Program, Specification No. C-2017-899BD, for the period beginning July 1, 2019 through June 30, 2020, for a new total contingency amount not to exceed $136.931dryton (26.91%); an estimated total amount of$2,583,000. INFORMATION ITEMS: 8. CAPITAL IMPROVEMENT PROGRAM PROPOSED BUDGET FOR FY 2019-20 (Kathy Millea) Each month, staff provides an informational presentation on topics of interest to the Board of Directors. This month's topic: Orange County Sanitation District Capital Improvement Program Proposed Budget for FY 2019-20. 9. FY 2019-20 BUDGET UPDATE (Lorenzo Tyner) Staff will provide an update on the revenue and expenditure details of the FY 2019-20 Budget. DEPARTMENT HEAD REPORTS: CLOSED SESSION: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS IF ANY: BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: At this time Board members may request staff to place an item on a future agenda. ADJOURNMENT: The next Regular Meeting of the Operations Committee meeting is scheduled for June 5, 2019 at 5:00 p.m. 05/01/2019 Operation Committee SPECIAL Meeting Agenda Page 3 of 4 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, MMC Clerk of the Board (714)593-7433 r 'x ;'csd -^n For any questions on the agenda,Committee members may contact staff at: General Manager Jim Hearing (714)593-7300 /qrt c:m Assistant General Manager Rob Thompson (714)593-7310 ^Fcn c:m Assistant General Manager Lorenzo Tyner (714)593-7550 c-1 Director of Engineering KathyMillen 714 593-7365 mnal 05/01/2019 Operations Committee SPECIAL Meeting Agenda Page 4 of 4 ITEM NO. 1 MINUTES OF THE OPERATIONS COMMITTEE Orange County Sanitation District Wednesday, April 3, 2019, 5:00 p.m. A meeting of the Operations Committee was called to order by Committee Chair Robert Collacott on Wednesday, April 3, 2019 at 5:03 p.m. in the Administration Building. Director Brad Avery led the Flag Salute. A quorum was declared present, as follows: COMMITTEE MEMBERS PRESENT: STAFF PRESENT: Robert Collacott, Chair Jim Herberg, General Manager Mariellen Yarc, Vice-Chair Rob Thompson, Assistant General Manager Brad Avery Lorenzo Tyner, Assistant General Manager Tom Beamish (Alternate) Celia Chandler, Director of Human Resources Allan Bernstein Kathy Millea, Director of Engineering Doug Chaffee Kelly Lore, Clerk of the Board Brooke Jones (Alternate) Bob Bell Lucille Kring Don Cutler Sandra Massa-Lavitt Martin Dix Fred Smith Mike Dorman Dave Shawver, Board Chair Dean Fisher John Withers, Board Vice-Chair Alfredo Garcia Larry Johnson COMMITTEE MEMBERS ABSENT: Cortney Light Steve Jones Rebecca Long Jesus J. Silva Jeff Mohr Riaz Moinuddin Adam Nazaroff Tyler Ramirez Wally Ritchie Don Stokes Eros Yong OTHERS PRESENT: Brad Hogin, General Counsel Bob Ooten, Alternate Director (CMSD) Austin Melia (Supervisor Chaffee's office) PUBLIC COMMENTS: None. 04/0312019 operation Committee Minotes Page 1 of 4 REPORT OF GENERAL MANAGER: General Manager Jim Herberg announced that next month's meeting will be held at Plant No. 2 and will begin at 4:00 p.m. with a tour of the Plant. Alternate Directors are encouraged to attend. REPORT OF COMMITTEE CHAIR: Committee Chair Collacott 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 Regular meeting of the Operations Committee held on March 6, 2019. AYES: Avery, Beamish (Alternate), Bernstein, Chaffee, Collacott, Kring, Shawver, F. Smith, Withers, and Yarc NOES: None ABSTENTIONS: B. Jones (Alternate) and Massa-Lavitt ABSENT: S. Jones and Silva Item pulled and heard separately. 2. PLANT NOS. 1 AND 2 CENTRAL GENERATION ENGINE OVERHAULS (Rob Thompson) Assistant General Manager Rob Thompson provided an informative PowerPoint presentation with an overview of the required engine overhaul of the Central Generation Engines. Mr. Thompson provided a history of the prior bids and the reasons associated with the lack thereof. MOVED SECONDED AND DULY CARRIED TO: Recommend to the Board of Directors to: Authorize the General Manager to commence negotiations with identified firms for the overhaul of two central generation engines located at Plant No. 1 and Plant No. 2 Central Generation Facilities. AYES: Avery, Beamish (Alternate), Bernstein, Chaffee, Collacott, B. Jones (Alternate), Kring, Massa-Lavitt, Shawver, F. Smith, Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: S. Jones and Silva 0 410 312 01 9 Operations Committee Minutes Page 2 0 4 NON-CONSENT: 3. 65-75 TON AIT CRANE REPLACEMENT (Rob Thompson) Mr. Thompson provided a PowerPoint presentation and overview of the proposed purchase of the Sany Crane replacement. Mr. Thompson stated the various uses of the crane and the unreliability of the crane that this will replace. Mr. Thompson responded to questions and concerns from the Committee regarding the legal recourse against the dealer and manufacturer, warranty information, and alternate solutions. The Committee requested additional information regarding these items be included in the item moving to the Board of Directors. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Approve a Purchase Order to Western Pacific Crane & Equipment for the purchase of a 70-ton rough terrain crane using Sourcewell (formerly National Joint Powers Alliance) Cooperative Contract #032515-GUS, for a total amount not to exceed $679,413; and B. Approve a contingency of$33,971 (5%) to accommodate for fluctuations in pricing/freight costs. AYES: Avery, Beamish (Alternate), Bernstein, Chaffee, Collacott, B. Jones (Alternate), Kring, Massa-Lavitt, Shawver, F. Smith, Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: S. Jones and Silva 4. SITE ACCESS AND LICENSE AGREEMENT—2899 MENDOZA DRIVE, COSTA MESA (Rob Thompson) Mr. Thompson provided a brief report on this item. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Approve a Site Access and License agreement with Costa Mesa Sanitary District (CMSD) and the City of Costa Mesa, to allow mobilization of an odor control chemical dosing station and injection of chemicals into the Baker-Main Interceptor at 2899 Mendoza Drive in the city of Costa Mesa, in a form approved by General Counsel. AYES: Avery, Beamish (Alternate), Bernstein, Chaffee, Collacott, B. Jones (Alternate), Kring, Massa-Lavitt, Shawver, F. Smith, Withers, and Yarc NOES: None ABSTENTIONS: None ABSENT: S. Jones and Silva 0 410 312 01 9 Operations Committee Minutes Page 3 0 4 INFORMATION ITEMS: 5. CAPITAL IMPROVEMENT PROGRAM PERFORMANCE UPDATE FOR FY 2018-19 (Kathy Millea) Engineering Manager Jeff Mohr provided an informative PowerPoint presentation on Orange County Sanitation District Capital Improvement Program performance that included: Capital Project Life Cycle; CIP outlays; Planning Studies; CEQA Facilities Master Plan Project No. PSI 7-08; Collections Capacity Evaluation Study Project No. PS15-08; Design and Construction Accomplishments; performance indicators; and factors affecting non-construction cost and change order rates. DEPARTMENT HEAD REPORTS: None. CLOSED SESSION: None. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. ADJOURNMENT Chair Collacott declared the meeting adjourned at 6:01 p.m. to the meeting to be held on Wednesday, May 1, 2019 at4:00 p.m. to be held at Plant No. 2 in Huntington Beach, CA. Submitted by, Kelly A. Lore, MMC Clerk of the Board 0 410 312 01 9 Operations Committee Minutes Page 4 0 4 OPERATIONS COMMITTEE Meeting Date To Bd.of Dn. 05/01/19 05J22119 AGENDA REPORT Item Number Item Number 2 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Kathy Millea, Director of Engineering SUBJECT: REHABILITATION OF WESTERN REGIONAL SEWERS, PROJECT NO. 3-64 GENERAL MANAGER'S RECOMMENDATION Approve a Cost Sharing Agreement between the Orange County Sanitation District and the City of Anaheim for traffic signal construction in conjunction with the Orange-Western Sub-Trunk Rehabilitation, Contract No. 3-64A, for an amount not to exceed $220,000. BACKGROUND Orange-Western Sub-Trunk Rehabilitation, Contract No. 3-64A, the most north easterly section of the Rehabilitation of the Western Regional Sewers, Project No. 3-64, rehabilitates approximately 2.6 miles of existing 21-inch sewers along Orange Avenue and Western Avenue within the Cities of Anaheim, Cypress, and Buena Park. Three intersections and two school pedestrian crossings within the City of Anaheim (City) will be impacted by the project. RELEVANT STANDARDS • Maintain collaborative and cooperative relationships with regulators, stakeholders, and neighboring communities • Ensure the public's money is wisely spent PROBLEM Construction of the project will damage traffic sensor loops and variable signal timers at three intersections and two school pedestrian crossings in the City. Normally, the Orange County Sanitation District (Sanitation District) would replace the traffic loops after construction. In this case, the City would also require compensation for labor to manually change signal timing twice per day until the work is completed. PROPOSED SOLUTION The City intends to replace in-ground traffic loops with networked cameras for bettertraffic management. The City has proposed to replace the impacted traffic loops with cameras prior to construction of the Orange-Western Sub-Trunk Rehabilitation, Contract No. 3-64A, which would eliminate the need for the Sanitation District to replace the loops Page 1 of 2 and the need for the City to manually change signal timing. In return for a negotiated fee of $220,000, the City would waive any work required for the traffic loops, signal timing, and public-works related inspection fees. TIMING CONCERNS The agreement requires approval so the detection cameras can be installed prior to construction, currently scheduled to start in November 2019. RAMIFICATIONS OF NOT TAKING ACTION Without the Cooperative Agreement, the impacted intersections would cause traffic impacts to the traveling public throughout the construction phase. The Sanitation District would have to reinstall the magnetic loops after the project is completed and the streets are repaved. Staff estimates more than $300,000 of additional costs would be incurred for loop replacement, charges for the City's costs to manually change signal timing, inspection and permit fees, and less favorable work hours than those the City has accepted in association with this agreement. PRIOR COMMITTEE/BOARD ACTIONS NIA ADDITIONAL INFORMATION N/A CEQA The Sanitation District prepared an Environmental Impact Report (EIR) entitled, Final Environmental Impact Report for The Rehabilitation of Western Regional Sewers, Project No. 3-64. The Board certified the EIR on March 22, 2017. The Sanitation District filed a Notice of Determination on March 23, 2017. FINANCIAL CONSIDERATIONS This request complies with authority levels of the Sanitation Dis-mcts Purchasing Ordinance. This item has been budgeted. (FY2018-19 Budget Update, Appendix, Section 8, Page 24, Project No. 3-64). The expense of this agreement will be offset by the savings in the cost of the construction contract. ATTACHMENTS The following attachment(s)are included in hard copy and may also be viewed on-line at the OCSD website with the complete agenda package: • Cooperative Agreement with City of Anaheim HKAm:gc Page 2 of 2 COST SHARING AGREEMENT BETWEEN THE ORANGE COUNTY SANITATION DISTRICT AND THE CITY OF ANAHEIM FOR CONSTRUCTION OF CITY FACILITIES IN CONJUNCTION WITH THE REHABILITATION OF WESTERN REGIONAL SEWERS PROJECT NO. 3-64 THIS AGREEMENT ("Agreement'), is made and entered into on this day of May, 2019, by and between the: ORANGE COUNTY SANITATION DISTRICT, a County Sanitation District, hereinafter referred to as "OCSD"; AND CITY OF ANAHEIM, California, a Municipal Corporation, hereinafter referred to as "City." OCSD and City are sometimes hereinafter individually referred to as "Party" and collectively reterred to as"Parties." RECITALS WHEREAS,OCSD is a duly organized County Sanitation District existing pursuant to the County Sanitation District Act, California Health and Safety Code section 4700, at seq., providing for the ownership, operation, and maintenance of waste collection, treatment, and disposal facilities within Orange County, California; and WHEREAS, City is a charter city and municipal corporation duly organized and validly existing under the laws of the State of California and its charter, with the power to carry on its business as it is now being conducted under the statutes of the State of California; and WHEREAS, OCSD owns, operates and maintains a sewer main within the City located beneath streets called Orange Avenue and Western Avenue("Sewer Facility"); and WHEREAS,this Sewer Facility currently consists of one 21-inch diameter sewer pipeline which OCSD intends to rehabilitate as part of a project known as Orange-Western Sub-Trunk Rehabilitation,Project 3-64A ("Project 3-64A"); and WHEREAS, the construction of Project 3-64A will damage certain traffic loops located in the vicinity of the Sewer Facility that are owned and operated by City; and WHEREAS, it is mutually advantageous for City to install certain fiber communication networks mid equipment within the Project 3-64A corridor before construction of Project 3-64A to provide uninterrupted traffic management during and after construction ofProject 3-64A; and 1 399455,2 WHEREAS, within the Project 3-64A corridor, the City would like to install fiber communication network, traffic cameras and associated equipment prior to the start of Project 3- 64A construction for the following intersections:Orange Avenue at Knott Avenue,Orange Avenue at Western Avenue, Orange Avenue at the Pedestrian Crossing signal west of Knott Avenue, Western Avenue at Lincoln Avenue, and Western Avenue at the Pedestrian Crossing signal south of Lincoln Avenue (hereinafter, collectively, these projects shall be referred to as the "Traffic Signal Construction'); and WHEREAS, the City requires the Traffic Signal Construction work to be performed by the City and their Contractors; and WHEREAS, it is advantageous to both Parties for the Traffic Signal Construction to occur prior to construction of Project 3-64A to minimize the impacts to the environment,the public, and the surrounding homeowners; and WHEREAS, the City agrees to procure and install all equipment necessary for the Traffic Signal Construction; and WHEREAS, the Parties agree that the Traffic Signal Construction will allow OCSD to forego the replacement or repair of any traffic loops that are damaged or removed due to construction of Project 3-64A; and WHEREAS, OCSD agrees to pay to City one lump-sum payment of TWO HUNDRED AND TWENTY THOUSAND DOLLARS AND N0/100 CENTS (5220,000.00) for costs associated with the procurement, installation and commissioning of the Traffic Signal Construction, including,but not limited to, City permit fees, and City construction inspection fees; and WHEREAS, the Parties agree to enter into this Agreement for the sharing of costs associated with the procurement, installation and commissioning of Traffic Signal Construction and related City permit fees and City construction inspection fees in a manner agreeable to both Parties and subject to the terms and conditions set forth below. NOW,THEREFORE, in consideration of the mutual promises set forth herein,the Parties hereto agree as follows: Section l: Recitals. The Recitals above are deemed true and correct, are hereby incorporated in this Section as though fully set forth herein, and each Party to this Agreement acknowledges and agrees that they are bound by the same. Section 2: Elements of Agreement. OCSD and City will work cooperatively in order to perform the Tragic Signal Construction in a manner that minimizes the costs and impacts to the public. The specific terms and conditions governing the elements ofthis Agreement are set forth herein. 2 399455,2 Section3: OCSD's Specific Obligations. A. OCSD will be responsible for modifying the Project 3-64A plans and specifications to account for the changes involving the Traffic Signal Construction. B. OCSD shall provide to City the modified Project 3-64A plans and specifications for review. C. OCSD shall make one lump-sum payment to City for costs associated with the Traffic Signal Construction in accordance with Section 5 of this Agreement. Section 4: City's Specific Obligations. A. City shall make reasonable efforts to complete all procurement, installation, construction and commissioning activities associated with the Traffic Signal Construction prior to November 21, 2019, The affected locations are identified in the table depicted in Section 5 below. B. City shall consider all Public Works permit and Inspection Fees that may apply to OCSD due to construction of Project 3-64A to be included in the lump sum payment for Traffic Signal Construction. City shall not impose or assess any additional or separate Public Works permit and Inspection Fees against OCSD due to construction of Project 3-64A. C. City shall be responsible for compliance with the California Environmental Quality Act ("CEQA") (Pub. Resources Code § 21000, et seq.) with respect to the Traffic Signal Construction and related activities. City shall serve as lead agency for Traffic Signal Construction for purposes of CEQA and will supply OCSD with copies of City-approved environmental documents, if any, for OCSD's files. D. City shall provide OCSD with monthly updates regarding Traffic Signal Construction activities, and City shall promptly notify OCSD upon completion of Traffic Signal Construction. E. City shall be responsible for ensuring that the Traffic Signal Construction and related activities comply with all applicable federal, state, and local laws,rules and regulations. Section 5: Traffic Construction Locations and Total Costs. The table below provides a tabular account of the locations for Traffic Signal Construction 3 399455,2 No. Traffic Signal Construction Locations I Orange Avenue at Knott Avenue 2 Orange Avenue at Western Avenue 3 *Orange Avenue at Pedestrian Crossing signal west of Knott Avenue 4 Western Avenue at Lincoln Avenue 5 Western Avenue at Pedestrian Crossing signal south of Lincoln Avenue A. OCSD shall not be responsible for any costs associated with any design modification necessary to accommodate the Traffic Signal Construction performed by City at the locations identified in the table above and as further described herein. B. OCSD shall make a single lump-sum payment ofTWO HUNDRED AND TWENTY THOUSAND DOLLARS AND NO/]00 CENTS (5220,000.00) to City for costs associated with the procurement, installation, and commissioning of the Traffic Signal Construction. OCSD shall have no obligation to reimburse City for any costs associated with the Traffic Signal Construction, including City permit fees and City construction inspections tees, in excess of TWO HUNDRED AND TWENTY THOUSAND DOLLARS AND NO/100 CENTS (S220,000.00). Section 6: Timing of Pay men OCSD shall make the single lump-sum payment of TWO HUNDRED AND TWENTY THOUSAND DOLLARS AND NO/100 CENTS (S220,000.00) to City within thirty (30) days of OCSD's approval and execution of this Agreement. Section 7: Indemnification. A. OCSD will indemnify, defend mid hold City, its officers, agents, employees, and consultants harmless from any and all actions, suits, claims, liability or expense for death, injury, loss, or damage to persons or property which may arise or is claimed to have arisen as a result of any work or action pertbnncd by or on behalf of OCSD, its officers,agents,employees,count zetoas or consultants, save and except in those instances where such expense, liability or claim is solely caused by any act, omission, or negligence of City, its officers, agents, employees or consultants. B. City will indemnify, defend and hold OCSD, its elected and appointed officials, officers, agents, employees, and consultants, harmless from any and all actions, suits, claims, liability or expense for death, injury, loss or damage to persons or property which may wise or is claimed to have arisen as a result of any act performed by City, its officers, agents, employees, contractors, or consultants, with respect to the Traffic Signal Construction, save and except in those instances where such expense, liability or claim is solely caused by any act, omission or negligence of OCSD, its officers, agents, employees or consultants. City will also indemnify, defend and hold OCSD, its elected and appointed officials, officers, agents, employees, and consultants, harmless from any and all actions, suits, claims,liability, cost or expense which may else or is claimed to have aisen as a result of City's denial of any change order or part thereof. 4 399455,2 Section 8: Term. This Agreement will remain in fill force and effect until the specified obligations of both Parties have been fulfilled. Notwithstanding the foregoing, either Patty may terminate this Agreement with or without cause upon giving the other Party one hundred (100) calendar days prior written notice. If this Agreement is terminated, City will be paid for those reimbursable costs incurred up to the date of termination, in accordance with Section 5. Section 9: Agents, Any contractor or subcontractor performing work in connection with the work described herein on behalf of either Party will be conclusively deemed to be the servant and agent of each respective Party employing said contractor or subcontractors hereof, acting on behalf and within the scope of such contractor and subcontractor employment for said Party. Section 10: Notices. All notices or other communications required or permitted hereunder will be in writing and will be personally delivered or sent by registered or certified mail, postage prepaid, return receipt requested, delivered or sent by electronic transmission, and will be deemed received upon the earlier of: (i) the date of delivery to the address of the person to receive such notice if delivered personally or by messenger or overnight courier; (ii) three (3) business days after the date of posting by the United States Post Of ice if by mail; or (fit) when sent if given by electronic transmission. Any notice, request, demand, direction, or other communication sent by electronic transmission must be confirmed within 72 hours by letter mailed or delivered. Notices or other communications will be addressed as follows: To OCSD: Orange County Sanitation District I0844 His Avenue Fountain Valley, CA 92708 Attention: Kelly Lore, Clerk of the Board Facsimile: (714) 962-0356 To City: City of Anaheim - Public Works Department 200 South Anaheim Boulevard Anaheim, CA 92805 Attention: Rudy Emami, Director of Public Works Facsimile: (7t4) 7I4-765-5I76 Section 11: Jurisdiction. In the event of a dispute regarding performance or interpretation of this Agreement, the venue for any action to enforce or interpret this Agreement will lie in the Superior Court of California for Orange County. Section 12: No Third Party Beneficiaries. This Agreement is entered into by and for City and OCSD, and nothing herein is intended to establish rights or interests in individuals m entities not a party hereto. Section 13: Force Majeure. Except for the payment of money, neither Party will be liable for any delays or other non-performance resulting from circumstances or causes beyond its reasonable control, including without limitation, fire or other casualty, act of God, strike or labor dispute, war or other violence, acts of third parties, or any law, order, or requirement of any governmental agency or authority. 5 399415,2 Section 14: Governing Law. This Agreement will be governed by the laws of the State of California. Section 15: Entire Agreement. This Agreement constitutes the entire understanding and agreement between the Parties and supersedes all previous negotiations and agreements between the Parties pertaining to the subject matter hereof. Section 16: Waiver. A waiver of a breach of the covenants, conditions, or obligations under this Agreement by either Party will not be construed as a waiver of any succeeding breach of the same or other covenants, conditions, m obligations of this Agreement. Section 17: Modification. Alteration, change, or modification of this Agreement will be in the form of a written amendment, which will be signed by both Parties. Section I8: Severability. If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement will continue in full force and effect. Section 19. Agreement Execution and Authorization. Each of the undersigned represents and warrants that they are duly authorized to execute and deliver this Agreement and that such execution is binding upon the entity on whose behalf they are executing this Agreement. This Agreement may be executed by two or more counterparts, each of which shall be deemed an original, but which together shall constitute a single Agreement. [SIGNATURES ON THE NEXT PAGE] 6 399455,2 IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed as of the day and year first above written. ORANGE COUNTY SANITATION DISTRICT By: David John Shawvcr, Chair, Board of Directors APPROVED AS TO FORM: GENERAL COUNSEL ATTEST: By: By: Bradley R. Hogin, Kelly Lore, Orange County Sanitation District Clerk of the Board, Board of Directors CITY OF ANAHEIM By: Hairy Sidhu, Mayor APPROVED AS TO FORM: ATTEST: ANAHEIM CITY ATTORNEY By: By: Bryn M. Morley, Theresa Bass, City Clerk Deputy City Attorney 7 399455,2 OPERATIONS COMMITTEE Meetmg Date To ea.of Dn. 05/01/19 05/22/19 AGENDA REPORT Item Number Item Number 3 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Kathy Millea, Director of Engineering SUBJECT: CAPITAL IMPROVEMENT PROGRAM CONTRACT PERFORMANCE REPORT GENERAL MANAGER'S RECOMMENDATION Receive and file the Capital Improvement Program Contract Performance Report for the period ending March 31, 2019. BACKGROUND The Capital Improvement Program involves awarding and managing many construction and consulting contracts. In 2008, the Orange County Sanitation District (Sanitation District) Board of Directors began awarding contingencies along with construction and consulting contracts. The contingencies allow the General Manager to approve change orders for construction contracts and amendments for consulting contracts up to the amount of the approved contingency. This practice reduces administrative costs, expedites resolution of project issues that arise, helps avoid Contractor delay claims, and facilitates efficient management of many contracts. The Capital Improvement Program Contract Performance Report summarizes construction and consulting contract performance and activities for the quarter ending March 31, 2019. This report is updated quarterly. RELEVANT STANDARDS • Ensure the public's money is wisely spent ATTACHMENT The following attachment(s)are included in hard copy and may also be viewed on-line at the OCSD website ( r tasc_. .;n) with the complete agenda package: • Capital Improvement Program Contract Performance Report for the period ending March 31, 2019 JMAnn:gc Page 1 of 1 ORANGE COUNTY SANITATION DISTRICT Capital Improvement Program Contract Performance Report 1i For the period ending March 31, 2019 DATE: April 22, 2019 TO: Orange County Sanitation District Board of Directors FROM: James D. Herberg, General Manager Through: Kathy Millea, Director of Engineering This report summarizes the status, activities, and performance of public works construction contracts and consultant agreements. This report also identifies the names and status of projects being performed under master budgets for planning studies, research, small construction projects, O&M capital projects, and information technology projects. PART 1 - CONSTRUCTION CONTRACTS When the Orange County Sanitation District (Sanitation District) Board awards a construction contract, a contingency is also approved which allows the General Manager to approve contract change orders up to the amount of the contingency. One of the purposes of this report is to document how that contingency is managed and how much of the contingency is utilized. A project's change order rate can only be documented when the work is complete. As such, the change order performance charts in this report are based only on projects closed since the Board began approving contingencies in 2008. Activity in Last Quarter FE14-05 Plant No. 1 Fleet Services UST Leak Contract Award 23-Jan-19 Remediation P2-98B B(C-Side Primary Clarifiers Interim Contract Award 23-Jan-19 Repair at Plant 2 J-126C NFPA 820 Improvements at Plant Contract Award 27-Mar-19 No. 1 and Plant No. 2 Page 1 of 5 ORANGE COUNTY SANITATION DISTRICT Capital Improvement Program Contract Performance Report For the period ending March 31, 2019 Anticipated Activity in Next Quarter P2-92A Truck Loading Bay Odor Control at Final Completion 13-May-19 Plant 2 FE17-05 Plant 1 ICS Network Extension Contract Award 22-May-19 6-17 District 6 Trunk Sewer Relief Final Completion 30-Apr-19 J-126L Various Final Completion 14-Jun-19 PART 2 — DESIGN CONSULTANT AGREEMENTS The Sanitation District engages design consultants through Professional Design Services Agreements (PDSAs), Professional Consultant Services Agreements (PCSAs), and Master Professional Services Agreements (Master Agreements). PDSAs are used to obtain design engineering services, and PCSAs are a subsequent agreement with the design consultant to provide support services during construction. Activity in Last Quarter PS17-02 Guidelines for Development in the Final Study 15-Jan-19 Area of OCSD Facilities Received PS17-08 CEQA - Facilities Master Plan PSA Award 27-Feb-19 J-117B Ocean Outfall System Rehabilitation PSA Award 27-Mar-19 PS17-03 Active Fault Location Study at Plant PSA Award 27-Mar-19 No. 2 Page 2 of 5 ORANGE COUNTY SANITATION DISTRICT Capital Improvement Program Contract Performance Report For the period ending March 31, 2019 Anticipated Activity in Next Quarter P1-133 Primary Sedimentation Basis 6-31 RFP 30-Apr-19 Reliability Improvements at Plant No. 1 Advertisement P1-132 Uninterruptable Power Supply RFP 06-May-19 Improvements at Plant 1 Advertisement 7-66 Sunflower and Red Hill Interceptor RFP 14-May-19 Repairs Advertisement J-98 Electrical Power Distribution System RFP 20-May-19 Improvements Advertisement 5-68 Newport Beach Pump Station Odor RFP 28-May-19 Control Improvements Advertisement PS15-06 Seismic Evaluation of Structures at Final Study 04-Jun-19 Plant Nos. 1 and 2 Received 3-67 Seal Beach Pump Station Replacement RFP 21-Jun-19 Advertisement Master Agreements are issued to a pool of pre-qualified consultants for smaller projects. On those smaller projects, the Sanitation District solicits task order proposals from three or four of the firms, and awards a task order to the most qualified consultant. There are currently seven sets of Master Agreements. 2009 Master Design Agreements (expired) • 2012 Master Design Agreements (expired) • 2015 Master Design Agreements (expired) 2018 Master Design Agreements • 2017 Master Agreements for CEQA Studies 2017 Master Agreements for Collection Planning Studies • 2017 Master Agreements for Wastewater Treatment Planning Studies Page 3 of 5 ORANGE COUNTY SANITATION DISTRICT Capital Improvement Program Contract Performance Report 1i For the period ending March 31, 2019 The three Master Design Agreements from 2009, 2012, and 2015 have expired, meaning no new task orders can be issued under them, but previously-issued task orders remain active until completed. Task Orders are limited by Sanitation District Ordinance No. OCSD-52 $300,000 per task order. PART 3 — MASTER BUDGET PROJECTS The Board-adopted budget for Fiscal Years 2018-19 and 2019-20 includes master program budgets that allow staff to more quickly initiate, execute, and manage smaller projects that fit within the scope of a particular program. The projects chartered under these program budgets are referred to as sub-projects, and are managed to the same standards as projects specifically listed in the adopted budget. A status table for each of these programs listing the sub-projects is attached. Master Program Title Status Table Planning Studies Program Table 3.1 Research Program Table 3.2 Small Construction Projects Program Table 3.3 Information Technology Capital Program Table 3.4 Operations & Maintenance Capital Program Table 3.5 PART 4— STAFF AUGMENTATION CONTRACT In May 2016, the Sanitation District Board of Directors approved a $41 million professional services agreement with Jacobs Project Management Co. to provide supplemental engineering and support staff services for a four-year term with the option of three one-year renewals. The benefits of using staff augmentation, as opposed to hiring full-time staff or limited-term employees, include rapid mobilization of highly skilled/technical staff, flexibility to change the mix of staff positions on an immediate and as-needed basis, the ability to reduce staff as workloads decrease, access to technical experts to support special tasks, and access to staff with wastewater project experience. CHARTS AND TABLES Chart 1.1 — Program Overview Chart 1.2 — Change Order Rates Over Time— All Closed Projects Chart 1.3 — Change Order Rates Over Time — Collections Projects Chart 1.4 — Change Order Rates Over Time — Plant Projects Page 4 of 5 ORANGE COUNTY SANITATION DISTRICT Capital Improvement Program Contract Performance Report 1i For the period ending March 31, 2019 Table 1.1 — Summary of Closed Construction Contracts by Category Table 1.2 —Contract Performance —Active Construction Contracts Table 1.3 —Active Construction Contracts by Contractor Table 2.1 —Active Design Consultant Contracts by Consultant Table 2.2 — Activity Report for 2012 Master Professional Design Services Agreements Table 2.3—Activity Report for 2015 Master Professional Design Services Agreements Table 2.4 —Activity Report for 2018 Master Professional Design Services Agreements Table 2.5 —Activity Report for 2017 Master Agreements for CEQA Studies Table 2.6—Activity Report for 2017 Master Agreements for Collection Planning Studies Table 2.7 — Activity Report for 2017 Master Agreements for Wastewater Treatment Studies Table 3.1 — Planning Studies Status Report Table 3.2 — Research Program Status Report Table 3.3— Small Construction Project Program Status Report Table 3.4 — Information Technology Capital Program Status Report Table 3.5 — Operations & Maintenance Capital Program Status Report Table 4.1 — Staff Augmentation Contract Status Table 4.2 — Staff Augmentation Labor Summary Page 5 of 5 Chart 1.1 Program Overview CUMULATIVE DATA THROUGH QUARTER ENDING MARCH 31,2019 3 QTR FY18/19 qw = Ift 0' = CLOSED PROJECTS-DISTRIBUTION BY CATEGORY* ACTIVE PROJECTS-DISTRIBUTION BY CATEGORY Total Base Contract Value $ 1,254,226,489 Total Base Contract Value $ 386,555,900 Collections $ 312,548,525 25.0% Collections $ 66,139,383 17.1% Plant Projects $ 941,677,964 75.0% Plant Projects $ 320,416,517 82.9% Total Base#of Contracts 76 Total Base#of Contracts 22 Collections 31 Collections 4 Plant Projects 45 Plant Projects 18 *Projects closed since 2 QTR FY07/08 Chart L2 Change Order Rates Over Time All Closed Projects ocs. ess;c;< Y 0.7% �% -48°% A]% 0.A%6.A%4 A% O% 9b% 3AY� 4.60,o 3.8'M 3.8% 3.8% 3$% 3.5" 3.5%- 1_p(sb No Contracts closed in the last quarter oo�q ,. - .. Chart 1.3 Change Order Rates over Time Closed Collections Projects 1235% 2 C2d 11.19% 10.00% 9.53% 8.91% 9.08% 8Sf5; 7.14% 7.14% 7.14&14%7.10% 6.77% 619% 5.85% 5.81% GAO o 552% 5.51% 534% 5.51% &51% No Contracts closed in the last quarter zoom 0 00% r n o, `r n o, c n o, `r n . `r n . `r n c r n r n o, `r n Chart 1A Change Order Fates Over Time Closed Plant Projects oe 73% A43 % 4.29 436%419% 4.18% 4.11% 420%3.8 4.04% 311% 2.88% 2.90% 2.901/1 2.7n% 2.59% No Contracts closed In the last quarter 0.00% v i t Table 1.1 Summary of Closed Construction Contracts by Category MEMEMMEMMEMEMEW COLLECTIONS $312,548,525 $28,378,795 $340,927,320 9.08% 6,50% PLANT PROJECTS $941,677,964 $38,019,650 $979,697,614 4.04% 2.75% Total $1,254,226,489 $ 66,398,445 $1,320,624,934 5.29% 5.00% Table 1.2 Contract Performance - Active Construction Contracts a a m Collections 2-72B 24% $ 58,242,000 $ - $ 58,242,000 2-41-8 0% $ 28,090,802 $ - $ 2,809,082 6-17 95% $ 3,699,301 $ 409,174 $ 4,108,475 FE15-10 100% $ 1,389,000 $ - $ 1,389,000 Plant Projects FE14-05 0% $ 648,675 $ - $ 648,675 FE75-07 75% $ 1,790,000 $ 23,562 $ 1,813,562 FE16-10 100% $ 529,350 $ 43,696 $ 573,046 J-117A 99% $ 12,609,012 $ 635,038 $ 13,244,050 J-117B 2% $ 90,200,000 $ - $ 90,200,000 J-126AH 77% $ 452,757 $ - $ 452,757 J-126BFG 58% $ 557,759 $ - $ 557,759 1-126E 100% $ 418,000 $ - $ 418,000 J-1261 0% $ 881,800 $ - $ 881,800 J-1261K 0% $ 3,637,601 $ - $ 3,637,601 J-126L 43% $ 212,700 $ - $ 212,700 J-126PQ 0% $ 786,000 $ - $ 786,000 Pi-101 99% $ 126,908,300 $ 11,024,152 $ 137,932,452 Pl-115B 65% $ 2,235,563 $ 59,634 $ 2,295,197 P2-110 78% $ 16,730,000 $ 1,095,746 $ 17,825,746 P2-92 93% $ 49,850,000 $ 1,400,093 $ 51,250,093 P2-92A 98% $ 3,304,000 $ 224,179 $ 3,528,179 P2-98B 0% $ 8,665,000 $ - $ 8,665,000 Table 1.3 Active Construction Contracts by Contractor Contractor/Project Number Project Name Current Contract Value Access Pacific J-126E Roof Fall Protection and Skylights $ 418,000 Amick Construction J-126AH Hot Surfaces Insulation P1/P2/Bay Bridge PS/Slater PS $ 452,757 J-126BFG Lights, Ladder and Walkway Hazards $ 557,759 Charles King Company, Inc. 6-17 District 6 Trunk Sewer Relief $ 3,699,301 FE75-10 East Lido Force Main Rehabilitation $ 1,389,000 Engineering/Remediation Resources Group, Inc. FE14-05 Plant No. 1 Fleet Services UST Leak Remediation $ 648,675 Filanc FE15-09 CenGen Hot Water Pipe Bracing at Plant 1 $ 94,784 Flatiron West Inc P2-110 Consolidated Demolition and Utility Improvements at Plant 2 $ 16,730,000 Griffith Company 2-41-8 SARI Rock Stabilizers Removal $ 2,809,082 Helix Electric, Inc J-126I Exit Signs Exit Lights Electrical Disconnects Gas Detection $ 881,800 FE15-07 Secondary Treatment and Plant Water VFD Replacement at Plant 1 $ 1,797,000 ICA Construction J-126L Various $ 212,700 Kiewit Infrastructure West Co. P2-92A Truck Loading Bay Odor Control at Plant 2 $ 3,304,000 Myers &Sons Construction, LLC P2-98B B/C-Side Primary Clarifiers Interim Repair at Plant 2 $ 8,665,000 CDC Engineering and Technology P1-115B Rehabilitation of Fleet Services Building, Building 8 and Paving Area $ 2,235,563 Oisson Construction, Inc. Table 1.3 Active Construction Contracts by Contractor Contractor/Project Number Project Name Current Contract Value J-126JK Stairs, Hatches, Walkway Hazards, Ladders, Guardrails, Roof Fall Protection $3,637,601 OHL USA 2-728 Newhope-Placentia Trunk Replacement, Segment 8 $ 58,242,000 Shimmick Construction Co., Inc. J-117A Interplant Effluent Pipeline Rehabilitation $ 12,609,012 1-1178 Outfall Low Flow Pump Station $ 90,200,000 P2-92 Sludge Dewatering and Odor Control at Plant 2 $ 49,850,000 Tharsos, Inc. J-126PQ Ladders, Hatches, Roof Fall Protection $ 786,000 WM Lyles Company P1-101 Sludge Dewatering and Odor Control at Plant 1 $ 126,908,300 Table 2.1 Active Design Consultant Contracts by Consultant Project Agreement Original Number of Amendments Number Project Name Type Value Amendments To Date AECOM Technical Services,Inc. $ 20,923,626 8 $ 748,273 3-64 Rehabilitation of Western Regional Sewers PDSA $ 17,639,250 7 $ 721,258 P1-100 Digester Rehabilitation at Plant 1 PCSA $ 2,761,337 0 $ - Pi-129 Return Activated Sludge Piping Replacement at Activated Sludge Plant No.L PDSA $ 523,039 1 $ 27,015 Arcadis $ 8,677,000 3 $ 1,795,434 5-67 Bay Bridge Pump Station Replacement PDSA $ 7,137,000 2 $ 295,434 1-126 Safety Improvements Program PDSA $ 1,540,000 1 $ 1,500,000 Black&Veatch $ 18,690,957 5 $ 1,279,488 P2-98 Primary Treatment Rehabilitation at Plant 2 PDSA $ 18,141,423 5 $ 1,279,488 P2-98B B/C-Side Primary Clarifiers Interim Repair at Plant 2 PCSA $ 549,534 0 $ Brown and Caldwell $ 28,485,832 5 $ 951,881 5-60 Newport Force Main Rehabilitation PCSA $ 2,231,925 4 $ 839,714 1-117A Interplant Effluent Pipeline Rehabilitation PCSA $ 1,121,666 1 $ 112,167 1-124 Digester Gas Facilities Rehabilitation PDSA $ 11,770,000 0 $ - P2.92 Sludge Dewatering and Odor Control at Plant 2 PCSA $ 4,798,328 0 $ - J-1178 Outfall Low Flow Pump Station PCSA $ 8,563,913 0 $ - Carollo Engineers $ 21,317,792 9 $ 7,868,103 PI-105 Headworks Rehabilitation and Expansion at Plant 1 PDSA $ 17,529,957 4 $ 7,659,692 PS15.10 2017 Facilities Master Plan PSA $ 3,132,052 5 $ 208,411 RE17-02 Biogas Scrubber Evaluation PSA $ 656,783 0 $ - CDM Smith $ 5,319,930 0 $ - P2-122 Headworks Modifications at Plant 2 for GWRS Final Expansion PDSA $ 5,319,930 0 $ - Dudek&Associates,Inc. $ 912,709 0 $ - PS17-08 CEQA-Facilities Master Plan PSA $ 812,709 0 $ - GeosyntecConsultants $ 2,578,028 2 $ 132,425 PS15-06 Seismic Evaluation of Structures at Plant Nos.1 and 2 PSA $ 2,579,028 2 $ 132,425 Hazen and Sawyer $ 697,952 0 $ - SP-152 Climate Change Impact Study PSA $ 697,952 0 $ - HDR Engineering,Inc. $ 19,057,648 7 $ 3,251,999 FE16-11 Lane Channel Crossing PDCSSA $ 131,939 0 $ - P1.101 Sludge Dewatering and Odor Control at Plant 1 PCSA $ 7,140,000 3 5 2,096,303 PS-128 Headquarters Complex,Site and Security,and Entrance Realignment Program PDSA $ 11,785,709 4 $ 1,165,696 Kennedy/Jenks Consultants $ 695,000 0 $ - P2-124 Interim Food Waste Receiving Facility PDSA $ 695,000 0 $ - Lee&Ro $ 11,722,178 5 $ 434,974 2-72 Newhope-Placentia Trunk Replacement PDSA $ 8,468,232 4 $ 434,974 2-72 Newhope-Placentia Trunk Replacement PCSA $ 3,253,946 1 $ - Table 2.1 Active Design Consultant Contracts by Consultant Project Agreement Original Number of Amendments Number Project Name Type Value Amendments To Date Lockwood,Andrews&Newnam,Inc(LAN) $ 505,042 0 $ - PS15-02 Edinger Pump Station Rehabilitation Study PSA $ 505,042 0 $ - LSAASSOCIATESINC $ 420,927 1 $ Pi-128 Headquarters Complex,Site and Security,and Entrance Realignment Program PSA $ 420,927 1 $ - MICHAEL BAKER INTERNATIONAL,INC. $ 930,429 1 $ 54,839 2-41-8 SARI Rock Stabilizers Removal PCSA $ 215,129 0 $ - PSI6-01 Stormwater Master Plan PSA $ 715,300 1 $ 54,839 PM Web Inc $ 1,022,500 2 $ 79,525 J-128 Project Management Information System PSA $ 1,022,500 2 $ 79,525 Schweitzer Engineering Laboratories(SELL $ 1,096,074 0 $ - J-1178 Outfall Low Flow Pump Station PSA $ 1,096,074 0 $ - StanteCConsultingServices,Inc. $ 9,815,880 5 $ (697,689) 3-62 Westminster Blvd Force Main Replacement PDSA $ 6,917,175 5 $ (697,689) P2-110 Consolidated Demolition and Utility Improvements at Plant 2 PCSA $ 1,499,339 0 $ - SP-196 Process Control Systems Upgrades Study PSA $ 1,398,866 0 $THE AUSTIN COMPANY $ 606,622 0 $ - P1-115 Title 24 Access Compliance and Building Rehabilitation Project PCSA $ 606,622 0 $ - Woodard&Curran $ 3,092,675 3 $ 19,372 6-17 District 6 Trunk Sewer Relief PCSA $ 290,000 1 $ - PSiS-08 Collections Capacity Evaluation Study PSA $ 2,802,675 2 $ 19,372 Table 2.2 Activity Report for 2012 Master Professional Design Services Agreements Finn Task Order Status PROJECT TITLE/DESCRIPTION FE13-02, Repairs to Bar Screen at D Headworks at $ 27,980.00 12-00-01-01 Closed P2 FE13-02 Amendment No. 1 $ 9,200.00 FE13-02 Amendment No.2 $ 6,770,00 FR12-035,Edinger Pump Station Record Drawing $ 42,511.00 LEE&RO, INC 12-00-01-02 Closed Preparation PO#104615-OB FR12-035 Amendment No. 1 $ 10,455,00 Contract No.FE12-00-01 12-00-01-03 Closed FE13-01,(5-60)Newport Force Main Rehabilitation $ 74,600,00 FE13-01 5-60 Amendment No. 1 $ 24,943,00 FR13-020, Plant No. 2 Gas Compressor Building $ 68,917,00 12-00-01-04 Open Piping Replacement FR13-020 Amendment No. 1 $ 30,568.00 FR13-020 Amendment No.2 $ 25,896.00 CUMULATIVE 12-00-02-01 Closed FE12-06,84-inch P2 PI Line for Dist Box B Rehab. $ 64 095,00 and Flow Meter Structure Aban.CLOSED DUDEK&ASSOCIATES, INC. FE09-04, Pl Potable Water System Improvements $ 50,472,00 PO#104616-OB 12-00-02-02 Closed Contract No.FE12-00-02 FE09-04 Amendment No. 1 $ 13,320.00 12-00-02-03 Closed FE14-04, Primary Influent Channels Repair at Plant 1 $71,841,00 CUMULATIVE FR12-003,Warner Avenue Manholes Structural $ 42,081,00 RMC WATER AND ENVIRONMENT 12-00-03-OS Closed Repair Project PO#104611-OB FR12-003Amendment No. 1 $ 24,739,00 Contract No.FE12-00-03 12-00-03-02 Closed FR13-012,Santa Ana River Interceptor i i $ 56,404,00 CUMULATIVE Table 2.2 Activity Report for 2012 Master Professional Design Services Agreements Finn Task Order Status PROJECT TITLEDESCRIPTION TRAN CONSULTING ENGINEERS 12-00-04-01 Closed FR12-012,Slater Ave VFD Replacement $ 39,963.00 PO#104617-OB Contract No.FE12-00-04 FR12-012 Amendment No. 1 $ 26,968,00 CUMULATIVE FE10-19, Landscaping and Miscellaneous $ 74,957,00 REIF CONSULTING 12-00-05-01 Closed Improvements Along Ellis Avenue PO#104626-OB FE10-19 Amendment No.1 $ 12,295,00 Contract No.FE12-00-03 FE10-19 Amendment No.2 $ 5,876.00 CUMULATIVE 12-00-06-01 Closed FR12-030,P2 Solids Loading Station Truck Loading $ 15935,00 Auger Access IDS GROUP FE12-05, 15th St, Rocky Point and Bitter Point Pump $ 40,575,00 PO#104614-OB 12-00-06-02 Closed Station Fall Protection Improvements Contract No.FE12-00-06 FE12-05 Amendment No. 1 $ 2,330,00 12-00-06-03 Closed FE12-10, IT Server Room Cooling Improvements $ 43,470,00 12-00-06-04 Closed FE14-01, Plant 1 Primary Sludge Handling $6,200,00 Modifications CUMULATIVE PSOMAS 12-0407-01 Closed FE12-02, P1 Hazardous Waste Storage Relocation $ 51,400.00 PO#104610-OB Contract No.FE12-00-07 CUMULATIVE Table 2.2 Activity Report for 2012 Master Professional Design Services Agreements Finn Task Order Status PROJECT TITLEDESCRIPTION FE10-21,Area 02 Craig Regional Park Manhole $ 58,440.00 12 00-08-01 Open Improvements FE10-21 Amendment No. 1 $ 18,780,00 FE10-21 Amendment No.2 $ 22.780.00 GHD 12-00-08-02 Closed FE12-07, Upgrade PLC Panels at P1 and P2- $ 69,840,00 PO#104612-OB FE13-04, Plant 2 Trickling Filter Odor Control System Contract No.FE12-00-08 Upgrade $ 74,910.00 12-00-08-03 Open FE13-04 Amendment No.1 $ 9.635.00 FE13-04 Amendment No. 2 $ 14,455.00 FE13-04 Amendment No.3 $ 24.235.00 FE13-04 Amendment No.4 $ 11,095,00 CUMULATIVE RMS ENGINEERING&DESIGN, INC. 12-00-09-01 Closed FE12-08, P2 TF/SC Blower Insultation Modifications $ 57,351,00 PO#104625-OB Contract No.FE12-00-09 FE12-08 Amendment No. 1 $ 27,390.00 CUMULATIVE HARRIS AND ASSOCIATES PO#104613-OB Contract No.FE12-00-10 CUMULATIVE TOTAL=615,004�00 .00 $ 337 752.00 Table 2.3 Activity Report for 2015 Master Professional Design Services Agreements Firm Task Order Status Project Title/Description FY15-16 FY16-17 FY17-18 FE14-05, Plant No. 1 Fleet Services UST Leak $86,116.00 FE15-00-01-01 Open Renunciation DUDEK FE14-05 Amendment No. 1 $53,137.00 Purchase Order No. 1054350E FE14-05 Amendment No. 1 $20,000.00 Contract No. FE15-00-01 FE15-00-01-02 Open FE15-09, CenGen Hot Water Pipe Bracing at P1 $146,516.00 FE15-00-01-03 Open FE16-14, Slater Pump Station Valve Replacements $175,500,00 FISCAL YEAR TOTAL $159 253.00 $146 516.00 $175 500.00 LEE&RO,INC. No task orders issued Purchase Order No. 1054360E Contract No. FE15.00-02 FISCAL YEAR TOTAL $0.00 $0,00 $0.00 GHD, INC. No task orders issued Purchase Order No. 105469OB Contract No. FE15-00-03 FISCAL YEAR TOTAL $0.00 $0.00 $0.00 FE15-00-04-01 Open 17" 2 ui a ines for Development in the Area o $93,186.61 AECOM OCSD Facilities Purchase Order No. 105440OB Contract No. FE15-00-04 FISCAL YEAR TOTAL $0.00 $0.00 $93,186.61 No task orders issued HAZEN AND SAWYER Purchase Order No. 1054510E Contract No. FE15-00-05 FISCAL YEAR TOTAq $0.00 1 $0,00 $0.00 Table 2.3 Activity Report for 2015 Master Professional Design Services Agreements Firm Task Order Status Project Title/Description FY15-16 FY16-17 FY17-18 RMC WATER AND ENVIRONMENT FE15-00-06-01 Open PS16-04, Rectangular Primary Clarifier Reliability $156,518.00 Study at Plant 1 Purchase Order No. 10544108 Contract No. FE15-00-06 FISCAL YEAR TOTAL $0.00 $0.00 $156 518.00 PROJECTLINE TECHNICAL FE15-00-07-01 Closed FE15-02, Plant No. 2 Control Center Server Room $83,624.00 SERVICES, INC. HVAC Upgrade Purchase Order No. 105452OB Contract No. FE15-00-07 FISCAL YEAR TOTAL $83,624.00 $0,00 $0.00 TAIT&ASSOCIATES, INC. No task orders issued Purchase Order No. 1054490E Contract No. FE15-00-08 FISCAL YEAR TOTAL $0.00 $0.00 $0.00 BEYAZ&PATEL,INC. No task orders issued Purchase Order No. 1054450E Contract No. FE15-00-09 FISCAL YEAR TOTAL $0.00 $0,00 $0.00 IDS GROUP,INC. No task orders issued Purchase Order No. 1054370E Contract No. FE15-00-10 FISCAL YEAR TOTAL $0.00 1 $0,00 $0.00 KLEINFELDER, INC. No task orders issued Purchase Order No. 1054330E Contract No. FE15-00-11 FISCAL YEAR TOTAL $0.00 $0.00 $0.00 Table 2.3 Activity Report for 2015 Master Professional Design Services Agreements Finn Task Order Status Project Title/Description FY15-16 FY16-17 FY17-18 RMS ENGINEERING 8, FE15-00-12-01 Open FE16-10, East Basin Distribution Box Repair $79,990.00 DESIGN, INC. Purchase Order No. 105439OB Contract No. FE15-00-12 FISCAL YEAR TOTAL $0.00 $79,990.00 $0.00 TOTAL $242,877.00 $226,506.00 $425,204.61 Table 2.4 Activity Report for 2018 Master Professional Design Services Agreements Firm Task Order Status Project Title/Description FY18-19 FY19-20 FY20-21 No Task Orders Issued to Date AECOM Contract No. FE18-00-01 FISCAL YEAR TOTAL $0 $0 $0 2-01 Active J-127, Natural Gas Pipelines Replacement at Plant $271 964,000 Black&Veatch Nos. 1 and 2 Contract No. FE18.00-02 FISCAL YEAR TOTAL $271 964 000 $0 $0 No Task Orders Issued to Date Dudek Contract No. FE18-00-03 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date GHD Contract No. FE18-00-04 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date HDR Engineering Contract No. FE18-00-05 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date IDS Group Contract No. FE18-00-06 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date Infrastructure Engineering Contract No. FE18-00-07 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date Michael Baker International Contract No. FE18-00-08 FISCAL YEAR TOTAL $0 $0 $0 TOTAL $271,964,000 $0 $0 Table 2.5 Activity Report for 2017 Master Agreements for CEQA Studies Firm Task Order Status Project Title/Description FY18-19 FY19-20 FY20-21 No Task Orders Issued to Date HDR Engineering CEQA PLAN2017-01 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date Michael Baker International CEQA PLAN2017-02 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date Helix Environmental CEQA PLAN2017-03 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date ESA CEQA PLAN2017-04 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date AECOM CEQA PLAN2017-05 FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date LSA CEQA PLAN2017-06 FISCAL YEAR TOTAL $0 $0 $0 TOTAL $0 $0 $0 Table 2.6 Activity Report for 2017 Master Agreements for Collection Planning Studies Firm Task Order Status Project Title/Description FY17.18 FY18.19 FY19.20 No Task Orders Issued to Date Brown and Caldwell PLAN2017-01 (Collections) FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date AECOM PLAN2017-02(Collections) FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date HDR Engineering PLAN2017-03(Collections) FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date Dudek PLAN2017-04(Collections) FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date Woodard and Curran PLAN2017-05(Collections) FISCAL YEAR TOTAL $0 $0 $0 TOTAL $0 $0 $0 Table 2.7 Activity Report for 2017 Master Agreements for Wastewater Treatment Studies Firm Task Order Status I Project Title/Description FY18-19 FY19-20 FY20-21 01-01 Active Root Cause Analysis of Malfunctioning Process $24,783 Brown and Caldwell 1 Units at TFSC Facility at Plant No. 2 PLAN2017-01 (Wastewater) FISCAL YEAR TOTAL $0 $24,783 $0 Spill Prevention, Control,and Countermeasure Plan $28,216 AECOM 02-01 Open for Sludge Dewatering and Odor Control at Plant 1 PLAN2017-02(Wastewater) Amendment No. 1 $10,935 FISCAL YEAR TOTAL $39 151 $0 $0 No Task Orders Issued to Date HDR Engineering PLAN2017-03(Wastewater) FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date Dudek PLAN2017-04(Wastewater) FISCAL YEAR TOTAL $0 $0 $0 No Task Orders Issued to Date Woodard and Curran PLAN2017-05(Wastewater) FISCAL YEAR TOTAL $0 $0 $0 TOTAL $39,151 $24,783 $0 Table 3.1 Planning Studies Status Report Project Number Project Name Status Allocated Budget PS15-01 PS15-01 Biosolids Master Plan Closed $ 3,496,985 PS15-02 PS15-02 Edinger Pump Station Rehabilitation Study Active $ 971,000 P515-06 PS15-06 Seismic Evaluation of Structures at Plant Nos. 1 and 2 Active $ 3,860,000 PS15-07 PSIS-07 Pressurization and Odor Control Study at Newport Beach Closed $ 344,145 PS15-08 PS15-08 Collections Capacity Evaluation Study Active $ 3,682,000 P515-10 PS15-10 2017 Facilities Master Plan Closeout $ 4,150,000 PS16-01 PS16-01 Stormwater Master Plan Active $ 1,415,700 PS16-02 PS16-02 SCE Feed Reliability Improvements Study Active $ 293,000 P516-04 PS16-04 Rectangular Primary Clarifier Reliability Study at Plant No. 1 Closeout $ 420,000 PS17-01 PS17-01 Fire Flow Testing at Plant No. 1 Cancelled $ 28,043 P517-02 P517-02 Guidelines for Development in the Area of OCSD Facilities Closeout $ 176,000 PS17-03 PS17-03 Active Fault Location Study at Plant No. 2 Active $ 1,121,000 PS17-04 PS17-04 Office Workspace Study for Plant No 1 and 2 Closeout $ 110,000 PS17-08 PS17-08 CEQA- Facilities Master Plan Active $ 1,170,000 PS17-09 PS17-09 Calibration of Plant 1/Plant 2lnfoWorks Hydraulic Model Closed $ 51,996 PS17-10 PS17-10 Emergency Overflow Weirs,Wing Wall Structural and Geotechnical Inver Active $ 357,000 PS18-01 PS18-01 Asset Management Plan Development Active $ 420,000 PS18-02 PS18-02 Bushard Diversion Structure Rehabilitation Study Active $ 96,000 P518-04 PS18-04 Easements Assessment Cancelled $ - PS18-05 PS18-05 Plant No.2 Future Site Plan Development Active $ 193,000 PS18-06 PS18-06 Go/No-Go Lights and Slgnage Active $ 495,000 P518-07 PS19-07 ASCE Review of CIP Program Active $ 50,000 PS18-08 PS18-08 Plant 2 Cen Gen Engine Exhaust Oxidizer Catalyst Cracking Root Cause Ar Cancelled $ - PS18-09 PS18-09 Ocean Outfall Condition Assessment and Sc eng Study Active $ 1,850,000 P518-10 PS18-10 Root Cause Analysis of Malfunctioning Process Units at TFSC Facility at PI Active $ 41,000 Grant Total $ 24,791,869 Total Chartered Project 25 Board Approved Program Budget $ 28,652,000 Remaining Unallocated Budget $ 3,860,131 Table 3.2 Research Program Status Report Project Number Project Name Status Allocated Budget RE17-01 RE17-01 Operational Research Technical Support FY18-19 Active $ 650,000 RE17-02 RE17-02 Biogas Scrubber Evaluation Active $ 865,000 RE17-03 RE17-03 Reliant Wet Well Wizard Test Active $ 74,000 RE17-04 RE17-04 AquaNereda Aerobic Granular Sludge Process Active $ 242,000 RE17-05 RE17-05 Organics FCR Process On-Hold $ 242,000 RE17-06 RE17-06 TWAS Pump Reliability Improvement Trials at Plant No. 2 Closed $ 8,392 RE17-07 RE17-07 Super Oxygenation System Research at Seal Beach Pump Station On-Hold $ 80,000 RE18-01 RE18-01 Trickling Filter Bleach Test at Plant No. 1 Active $ 125,000 Grand Total $ 2,286,392 Total Chartered Project 8 Board Approved Program Budget $ 8,500,000 Remaining Unallocated Budget $ 6,213,609 Table 3.3 Small Construction Projects Program-Status Report Project Number Project Name Status Allocated Budget FE10-21 FE10 21 Area 02 Craig Regional Park Manhole Improvements Design $ 1,359,000 FE12-10 FE12-10 IT Server Room Cooling Improvements Closed $ 956,086 FE13 04 FE13 04 Plant No.2 Trickling Filter Chemical Odor Control Close Out $ 4,830,000 FE14 03 FE14 03 Rehabilitation of Digester Mixing Pumps at P2 Digesters E,H,R,S,and T Close Out $ 1,360,000 FE14 05 FE14 05 Plant No.I Fleet Services UST Leak Remedfation Design $ 1,487,311 FE15 01 FE15 01 Fullerton Creek Channel Crossing Closed $ 84,640 FE15 06 FE15 06 Gas Compressor Building Piping Replacement at Plant 2 Close Out $ 3,924,000 FE15 07 FE15 07 Secondary Treatment and Plant Water VFD Replacement at Plant 1 Construction $ 3,319,600 FE15-09 FE35-09 CenGen Hot Water Pipe Bracing at Plant 1 Close Out $ 425,000 FE15-SO FE35-10 East Lido Force Main Rehabilitation Construction $ 2,628,000 FE16 01FE16 01Big Canyon Nature Park improvements Closed $ 29,915 FE16 02 FE16 02 Jamboree Sewer Realignment at Big Canyon Closed $ 54,434 FE16 05 FE16 05 Burled Water Valve Support Upgrades at Plant 2 Construction $ 500,000 FE16 06 FE16 06 Fuel Cell Facilities Demolition Design $ 810,000 FE16-08 FE36-08 Carbon Canyon Clay Pipe Repairs Closed $ 649,756 FE16-SO FE36-10 East Basin Distribution Box Repair Construction $ 1,021,960 FE16-11 FE36-11 Lane Channel Crossing Construction $ 500,000 FE16-12 FE36-12 Garfield Road Perimeter Security Fence Closed $ 39,410 FE16-13 FE36-13 Collections Infrastructure Relocation at Plant 2,Phase 1B Close Out $ 120,000 FE16-14 FE36-14 Slater Pump Station Valve Replacements Construction $ 1,050,000 FE17 01 FE17 01 Carbon Canyon Pipeline Sag Repairs Design $ 783,000 FE17 03 FE17 03 Battery Storage System at Plant No,1 Project Develop. $ 571,000 FE17 04 FE17NStorm Water Compliance Improvements at 3 Pump Stations Cancelled $ 9,929 FE17 05 FE17 05 Plant 1 ICS Network Extension Design $ 950,000 FE17 06 FE17 06 Tustin Ave Manhole and Pipe Repair Project Develop. $ 273,000 FE17 07 FE17 07 Fruit Street Trunk Sewer Relocation-OC Streetcar Project Develop. $ 334,000 FE1708 FE1708 Big Canyon Trunk Sewer Realignment-BCCC Maintenance Yard Project Develop. $ 130,000 FE18 01 FE19 01 Interim Relocation to 18350 Mt.Langley Project Develop. $ 665,000 FE1802 FE19 02 Jamboree Sewer Transfer Closed $ 300,000 FE1803 FE19 03 Building 6 Staff Consolidation Cancelled $ - FE18 04 FE19 04 Activated Sludge Basin Lighting Repair at Plant No,2 Design $ 1,600,000 FE1808 FE1908 West Trunk Bypass Sewer Realignment Project Develop. $ 98,000 FE18-10 FE18-10 Mt Langley HVAC Replacement and Upgrades Project Develop. $ 560,000 Grand Total $ 31,419,041 Total Chartered Project 38 Board Approved Program Budget $ 55,000,000 Remaining Unallocated Budget $ 23,580,959 Table 3.4 Information Technology Capital Program Status Report Project Number Project Name Status Allocated Budget IT16-03 IT16-03 Plant 2 Internet Connection Active $ 50,000 IT16-05 IT16-05 Plant Radio Repeater Upgrade Active $ 35,000 IT16-06 IT16-06 Network Equipment 2016-17 Active $ 44,302 IT16-07 IT16-07 Server Replacement and Obsolescence Active $ 337,332 IT16-08 IT16-08 IT Security 2016-17 Active $ 162,000 IT16-09 IT16-09 iPACS Enhancements Active $ 85,000 IT16-10 IT16-10 LIMS Compliance Improv,Project Active $ 754,800 IT16-11 IT16-11 Business Continuity Plan Active $ 140,000 IT17-01 IT17-01 VMWare Active $ 800,000 IT17-02 IT27-02 Upgrade Active Directory Directory to 2016 Active $ 56,000 IT17-03 IT17-03 Upgrade ShoreTel System Server Active $ 190,000 IT17-04 IT17-04 PCI Improvements Active $ 131,093 IT17-05 IT17-05 Conference Room Monitor Upgrade Active $ 75,686 IT17-06 IT17-06 Printer Obsolescence Active $ 350,000 IT17-07 IT17-07 Safety Management Suite Active $ 106,000 IT17-08 IT17-08 Perimeter Physical Security Im Active $ 170,077 IT17-09 IT17-09 MYOCSD Redesign Active $ 170,077 IT17-10 IT17-10 Electronic Operator Round Form Active $ 45,000 IT17-11 IT17-11 P2 Radio Repeater Active $ 170,077 IT17-12 IT17-12 Sever/Network Power Improvements Active $ 90,000 IT17-13 IT17-13 Graphric Workstations for PAO Active $ 15,000 IT17-14 IT17-14 Specialized Application Programing&Support Active $ 600,000 IT17-15 IT17-15 Data Storage Replac/Obsolescens Active $ 600,000 Grand Total $ 5,177,444 Total Chartered Project 23 Board Approved Program Budget $ 10,000,000 Remaining Unallocated Budget $ 4,822,556 Table 3.5 Operations& Maintenance Capital Program Status Report Project Number Project Name Status Allocated Budget FR00001 SAILS Mdrostal Pump Open $ 250,000 FR00002 New Chopper Pump at Digester P,Plant Cancelled $ 200,000 FR00003 Rehab Clarifiers 4&5 at Plant Open $ 450,000 FR00006 PEPS No.4 Submersible Replacement Open $ 30,000 FR00007 Pl,M&D Structure:Concrete&Behar Repairs to 2 Existing Aimase Sluice Gates Cancelled $ 180,000 FR00008 flag Bin Ramp Retrofit Open $ 20,000 FR00009 P2 Remove&Replace Dlsgester Mixing Pumps at Digesters R,S,T,E if H Cancelled $ 950,000 FR00010 Toshiba Breaker Replacement Open $ 190,000 FR00011 Westslde PS Impeller&Liner Replacement Open $ 75,000 FR00012 P2 Primary Scum Pumps Cancelled $ 58,360 FYE Small Cap FYE 14/15 Small Cap Replac(Ops charges to CIP) Closed $ 1,398,500 Replac SC15-01 Replace Intercom at P2 Main Gate Cancelled $ 12,000 SC15-02 SACS vibration Monitoring Server Closed $ 17,000 SC15 03 Installing Card Readers In Men's locker Rooms Cancelled $ 40,000 SC15-04 Replace COGS(emissions monitoring)System Closed $ 54,057 SC16-01 Maintenance Storage Area Tool Cage P2 Open $ 9,572 SC17-01 CenGen pl Elevator Rehabilitation Open $ 180,000 SC17 02 P1 CenGen Plant Water Piping Rehabilitation Open $ 250,000 SC17-03 PI P2 CenGen Oil tube Platform Open $ 61,000 SC17-04 P1 CenGen 12KV Circuit Breaker Replacement Open $ 220,000 SC17-05 Hidrostal Pump-TEFC Close Coupled Motor#2(Pump for SALE) Open $ 261,260 SC17 06 P1 Lab UPS System Replacement Open $ 290,294 SC18-01 Pl Primary Clarifier Fall Protection Improvements Open $ 50,000 SC18-02 Joint Cho Gen Oil Centrifuge Heater&Controls Rehabilitation(MP-18) Open $ 120,000 SC18-03 PI SAILS Main Duty Pump&Motor&Installation-Remaining 2(MP-524) Open $ 500,000 SC18 04 Edinger UPS Replacement(MP 444) Open $ 15,000 SC18-05 Improvements to PS Laboratory Boilers-New Bmners(MP-485) Open $ 311,000 SCSS-06 Pump Station Bypass Parts-Procurement IMP-426) Open $ 500,000 SC18-07 Power Building 512kv Switchgear Replacement Pending $ 1,000,000 SC1808 MacArthur Pump Station-FM Valve Replacement Open $ 55,109 SC18-09 Admin Bldg UPS System Replacement Open $ 185,000 Grand Total $ 7,933,152 Total Chartered Project 31 Board Approved Program Budget $ 15,622,000 Remaining Unallocated Budget $ 7,688,849 Table 4.1 Staff Augmentation Contract Status Total Fees Time Contract $41,000,000 86 months ai Actuals to Date $15,108,591 37% 35 months 41% Remaining $25,891,409 63% 51 months 59% Assuming three 1-year extensions Table 4.2 Staff Augmentation Labor Summary This Quarter Inception to Date Labor Hours 9,976 112,334 Full Time Equivalents 22.2 21.4 Labor Costs(no expenses) $1,325,679 $14,744,736 Average Hourly Rate $133 $131 OPERATIONS COMMITTEE Meeting Date To Bd.of Dn. 05/01/19 05/22I19 AGENDA REPORT Item Number Item Number 4 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Kathy Millea, Director of Engineering SUBJECT: PLANT NO. 2 CENTRAL GENERATION STEAM TURBINE REHABILITATION, PROJECT NO. MP-105 GENERAL MANAGER'S RECOMMENDATION Approve renegotiated Purchase Order terms and conditions with Dresser-Rand for the assessment and standard overhaul of Plant No. 2 Central Generation Steam Turbine Rehabilitation, Project No. MP-105. BACKGROUND Orange County Sanitation District (Sanitation District) operates eight Central Generation (Can Gen) engines at its two treatment plants. The engines generate approximately two-thirds of the electric demand for the Sanitation District and the majority of the process heat demand for sludge digestion. Plant No. 2 includes a steam turbine to convert the waste heat into electrical energy. The Plant No. 2 steam turbine has been in operation for approximately 175,000 hours, with 70,000 hours (approximately 8 years) since the last overhaul. A thorough assessment of the steam turbine and supporting safety systems is needed to identify, address, and rehabilitate any deficiencies accordingly. RELEVANT STANDARDS • Maintain a proactive asset management program • Use all practical and effective means for resource recovery PROBLEM In March 2018, the Board approved a sole-source purchase order with Dresser-Rand, the successor company to the original steam turbine manufacturer for $245,424 with a $49,085 contingency to complete a major overhaul. Following receipt of the Sanitation District's Purchase Order Terms and Conditions, Dresser-Rand requested changes related to ownership of intellectual property rights. The Sanitation District and Dresser-Rand then negotiated changes which the Board approved in December 2018. In March 2019, Dresser-Rand noted inconsistencies between the provisions of Section 4 (Records) and Section 9 (Confidentiality) of the Purchase Order Terms and Conditions. Page 1 of 3 In reviewing the terms and conditions, staff worked with General Counsel to resolve the inconsistencies. These revised terms and conditions now require Board approval. PROPOSED SOLUTION Approve revised Terms and Conditions for this purchase order. The proposed revisions do not change the project cost, do not significantly modify the terms and conditions previously approved in December 2018, and are necessary to retain Dresser-Rand's services for this purchase order. Approval will allow Dresser-Rand to begin the assessment and overhaul of the steam turbine. The proposed revisions ensure Section 4 (Records) is consistent with Section 9 (Confidentiality) of the Purchase Order Terms and Conditions, which was the subject of prior negotiations between Sanitation District and Dresser-Rand in 2018. The 2018 revisions clarified that the Sanitation District may use the work product provided by Dresser-Rand for operating/repairing/maintaining the steam turbine, but the Sanitation District would have no intellectual property rights to any of the background information used to prepare the work, including steam turbine design and manufacturing methods. TIMING CONCERNS Without approval of the revised terms and conditions, the assessment and overhaul will be delayed indefinitely. RAMIFICATIONS OF NOT TAKING ACTION Failure to take action will reduce the recovery of waste heat for electricity, 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 December 2018 - Approved negotiated Purchase Order Terms and Conditions following negotiations with Dresser-Rand. March 2018 - Approved 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 a contingency of $49,085 (20%). ADDITIONAL INFORMATION N/A Page 2&3 CEQA The project is exempt from CEQA under the Class 1 categorical exemptions set forth in California Code of Regulations sections 15301. Section 15301 (Class 1) exempts from CEQA "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" 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 is exempt because it involves repairs and minor replacement of existing facilities involving no expansion of use or capacity. FINANCIAL CONSIDERATIONS The requested modifications to the terms and conditions do not alter the amount of the sole source purchase order approved by the Board in March last year. ATTACHMENT The following attachment(s)are included in hard copy and may also be viewed on-line at the OCSD website (,i,,v v.ocstY.co;r) with the complete agenda package: • Revised/Redlined Orange County Sanitation District - Purchase Order Terms and Conditions ML:dm:gc Page 3 of 3 ORANGE COUNTY SANITATION DISTRICT (OCSD) - PURCHASE ORDER TERMS AND CONDITIONS 1. CONTRACTTERMS. 1.1 Forms/Acceptance. Except as otherwise provided in subsection 1.2 below, the complete agreement the ("Agreement") between OCSD and Contractor (collectively, the "Parties') consists of, in order of precedence: (1) the agreed plans and specifications of the Purchase Order, (2) the Purchase Order signed by OCSD's Purchasing Manager and Contractor (the "Purchase Order"), (3) these terms and conditions (the"Terms and Conditions"), and (5) Contractor's bid/proposal, if any, as though fully set forth herein. To the extent of any inconsistency between the provisions of any of the foregoing, the order of precedence shall dictate the result. Except for any section or subsection OCSD has marked "WAIVED", each provision of the Terms and Conditions applies to the Agreement. Contractor's shipment of goods/performance of services shall constitute acceptance of these Terms and Conditions. 1.2 Additional Terms Any other terms, conditions,or limitations suggested by Contractor or Incorporated in Contractor's invoice,or other correspondence, shall not form a part of the Agreement unless expressly accepted in writing by OCSD's Purchasing Manager. 2. PAYMENT TERMS. 2.1 Standard: Net 30 days unless otherwise stated on the Purchase Order. 2.2 Price. Except as may otherwise be included in the Purchase Order,Contractor shall not charge for transportation, packing,containers, storage, or any similar charge unless pre-approved by OCSD. COED is exempt from the payment of federal excise tax, which shall be excluded from the purchase price.The total purchase price quoted in the Purchase Order also excludes applicable California,county and municipal sales and use taxes or similar taxes now or hereafter applicable to, measured by, or imposed upon or with respect to the goods, its or their sale, their value or their use, or any services performed in connection therewith. OCSD agrees to pay or reimburse Contractor for any such taxes which Contractor or its subcontractors are required to pay. 2.31nvoices.Contractor shall submit invoices to APstaff@ocsd.com or in duplicate to the Orange County Sanitation District,Attn:Accounts Payable, 10844 Ellis Ave., Fountain Valley, CA 92708. Each invoice must show OCSD's purchase order number, description of goods and services, unit price, quantities billed, extended totals, and shall cover only goods delivered or shipped/services performed. OCSD shall pay for goods/services after receipt of a conforming invoice and confirmation by OCSD of its accuracy. 24: 3. DELIVERY PERFORMANCE INSPECTION AND RISK OF LOSS. 3.1 Deliver,/Performance. Contractor shall reasonably endeavor to deliver the goods/perform the services according to the schedule in the Agreement, with numbers of days meaning calendar days, unless otherwise stated, and to the locations specified by OCSD. All goods shall be delivered to COED in accordance with the applicable delivery terms set forth in the Purchase Order (INCOTERMS 2010). All pre-approved transportation and delivery charges must be prepaid in full to destination, and the prepaid freight bill must be submitted to OCSD with the invoice. Goods shall not be accepted if shipped C.O.D. Subject to OCSD's right of rejection, title to goods shall pass to OCSD upon delivery at 22212 Brookhurst Street, Huntington Beach, CA 92646. 3.2 Inspection. OCSD shall have the right to inspect the goods within a reasonable amount of time prior to acceptance. If,on inspection, OCSD reasonably determines that the goods do not meet the Agreement requirements, OCSD may reject nonconforming goods until such nonconformance has been rectified to the reasonable satisfaction of OCSD. Prior to shipment, Contractor, if requested by OCSD, will inform COED of those tests and procedures which can be witnessed. Should OCSD elect to witness specific tests, OCSD must so specify such requirement in ample time to permit Contractor to include said witness tests in the schedule. Contractor, if requested,will advise OCSD of the schedule of such tests. However, no rescheduling of tests or delays in manufacturing or shipment will be made to accommodate such inspection. OCSD shall have the right to inspect services within a reasonable amount of time prior to acceptance and payment. If OCSD does not Inspect the services within a reasonable time not to exceed seven (7) business days after receipt of notice from Contractor that the services have been completed, the services shall be deemed accepted by COED. If services do not conform to the Agreement requirements,OCSD shall have the right to withhold payment or enforce any other remedy provided for in the Agreement until the services conform to the Agreement requirements. 3.3 Risk of Loss. Risk of loss of the goods/materials passes to OCSD upon delivery in accordance with the applicable Incoterm delivery term. 4. PERFORMANCE OF SERVICESICQNTRACIQR COVENANTS. 4.1 Personnel/Compliance with Law All services shall be performed: (a) by competent and qualified personnel, who shall be paid at least the prevailing rate of per diem wages, as determined by the Director of the Department of Industrial Relations, applicable to the work to be done for the locality in which the work is to be performed, unless exempted, and (b) In conformance with applicable federal, state and local laws. Contractor certifies that it is registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5 and shall obtain and maintain valid,permits, licenses,certificates,authorizations and other documents as required by federal, state or local laws or regulations to be held in in Contractor's name.The persons performing services under this Agreement on behalf of Contractor, if any, shall at all times be under Contractor's exclusive direction and control. Neither OCSD nor any of its ORANGE COUNTY SANITATION DISTRICT (OCSD) - PURCHASE ORDER TERMS AND CONDITIONS officers, employees, or agents shall have control over the conduct of Contractor or any of Its officers, employees, or agents, except as set forth in the Agreement. 4.2 Status of Contractor.The legal relationship between the parties hereto is that of an independent contractor, and nothing herein shall be deemed to make Contractor or any subcontractor(s) an OCSD employee. During the performance of this Agreement,Contractor and its officers, employees,and agents shall act in an independent capacity and shall not act as OCSD's officers,employees, or agents. 4.3 Taxes. Contractor shall pay and/or withhold all applicable sales, use, income, employment, or other taxes arising out of the performance of the Agreement. Contractor shall pay all wages,salaries, and other amounts due its employees, agents or Independent contractors in connection with this Agreement and shall be responsible for all reports and obligations respecting them, including but not limited to unemployment compensation,workers'compensation, and other similar matters. +,,I-, Records. Contractor shall keep and maintain full and complete documentation and accounting records concerning all services performed that are compensable on a time and material basis under the Agreement and shall make such documents and records available to OCSD for inspection at any reasonable time to determine any amounts due for such work and/or to enable OCSD to comply with all federal, State, and local laws and administrative actions. Contractor shall maintain such records for a period of 3 years following completion of the work under the Agreement. All written product, data, findings, or information in any form preparerl assembled by, or provided to Contractor under this Agreement are the property of OCSD, including all copyrights or intellectual property rights inherent in them or their preparation. To the extent permitted by law, it is the intent of the Parties that deliverable written products to be produced, if any, by Contractor, under this Agreement-are conclusively+jeemed words made for hire" within the meaning ef the Cruted-States Cels Hdj;t Act will become the.property of OCSD, and that OC&D the Conti actor will =,e remain the sole copyright owner of the deliverables,data,findings,or information,and of all aspects,elements and components of them in which copyright can subsist, and of all rights in connection with such copyright. Upor dr iv.r, o Of5D a` s,y dr verahle wnf cn yrccw is' ,,r(,pc ed ..rd,� il-v Rgmrmr-f, OCSD shall, ror„s:eni ,+ fh Swcfior i of to r Ad ,emen% obtain a license to use such materials », e,<,errc xe w f,Sce'k -9 0c tan-Ar. r�nror iht tar purpose.of op , aims- rr ,.i-ng .,nd.oi mei fair mu I ic deriuratr c„i,x u,,A ane asro u.d eq,igrrrrt All c."net ur.,kue is pecp.r,d b, e t ,it'^rior e;roan is , .7tth 6'ns-A, a: ancdaoy.md t&intellectual property rights arising from their creation of tie n..etan e untie^ 4rcructs p epared b/ Cc.i�actgr r :*sect on w th this =3reemert, including, but not limited to, all copyrights and other proprietary rights, shall be and remain the property of OESD-Conti actorcroh fut S. WARRANTIES. S.1 Warranty of Ttle Contractor warrants that it has title to the goods, and to the materials and equipment used in the performance of services under the Agreement, and that none of the foregoing is subject to any security interest, lien,or other encumbrance. 5.2 Warranties for GoodslServices. Contractor warrants that: (a) the goods, and any materials and equipment supplied, will: p) be new unless otherwise specified, (ii) conform to OCSD's plans, specifications, and/or descriptions, as mutually agreed by the parties and fill) Contractor's goods be of first-class material and workmanship and free from defect until the earlier of eighteen (18) months after the delivery of such goods or twelve(12) months from the date of first use of the item of the goods(the"Goods Warranty Period"); and (b) all services will be: (I) of good quality, free from defect, and In conformance with the Agreement, and Qi) performed to the standard of care that reflects competent professional knowledge and judgment, beginning with the start of the item of services and ending one (1) year after completion of said item of services by Contractor (the"Services Warranty" Period). Contractor shall transfer to OCSD all of Contractor's rights to and interest in the manufacturer's warranty or guarantee for each item delivered or installed, if applicable. All manufacturers' warranties and guarantees shall be in addition to Contractor's warranty under the Agreement. In the event of a breach of Warranty, and upon written notice from OCSD, Contractor, at its option, shall repair or replace the goods, materials and equipment and remedy any defects in workmanship, without charge and within a reasonable period of time after receipt of OCSD's request. If Contractor does not do so and fails to perform as required under the Goods Warranty,OCSD shall be entitled to remedy any defects itself and to collect the reasonable and verifiable cost of the same from Contractor. If during the Services Warranty Period, Contractor is notified in writing that any portion of the Services fails to conform to the Services Warranty, Contractor will promptly re-perform such nonconforming portion of the Services to the reasonable satisfaction of OCSD. If re-performance is impracticable Contractor will refund the amount of the compensation paid to Contractor for such nonconforming portion of the Services, and will reimburse OCSD for its reasonable and verifiable costs to complete the services up to twenty percent (20%) of the total price paid to Contractor under the Agreement. OCSD's inspection,acceptance,and/or payment shall not relieve Contractor of liability under this warranty.The remedies in this subsection are in addition to those described in Section 6, below. 5.3 The warranties and remedies set forth in this section are conditioned upon(A)OCSD's receipt,handling,storage,installation,testing, operation and maintenance, including tasks incident thereto, of the Goods in accordance with the recommendations of Contractor to the extent applicable or,in the absence of such recommendations or to the extent not applicable,in in such a manner that reflects competent professional knowledge and judgment. In addition,such goods shall not have been operated in excess of limitations specified in writing by Contractor and not have been subjected to accident, alteration,abuse or misuse. For all warranty work, where equipment unrelated ORANGE COUNTY SANITATION DISTRICT (OCSD) - PURCHASE ORDER TERMS AND CONDITIONS to this Agreement may obstruct access to goods, materials, and structures OCSD shall make reasonable efforts to provide Contractor with access to the nonconformity, by disassembling, removing, replacing and relnstaliing any goods, materials or structures to the extent necessary to permit Contractor to perform its warranty obligations. 5.4 THE WARRANTIES SET FORTH IN THIS ARTICLE ARE EXCLUSIVE AND ARE IN LIEU OF ALL OTHER WARRANTIES, WHETHER STATUTORY, EXPRESS, OR IMPLIED (INCLUDING ALL WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE,AND ALL WARRANTIES ARISING FROM COURSE OF DEALING OR USAGE OF TRADE). 6.EXPORT CONTROL.OCSD acknowledges that Contractor is required to comply with all applicable export laws and regulations relating to the sale, exportation, transfer, assignment, disposal and usage of goods provided under this agreement, including any export license requirements. OCSD agrees that such goods shall not at any time directly or indirectly be used, exported, sold,transferred, assigned or otherwise disposed of in a manner which will result in non-compliance with such applicable export laws and regulations. It shall be a condition of the continuing performance of Contractor and of its obligations hereunder that compliance with such export laws and regulations be maintained at all times. 7. DELAY LIQUIDATED DAMAGES. In the event that delivery of any goods is delayed more than twenty-one (21) calendar days beyond the agreed date of delivery as set forth in the Purchase Order, OCSD may assess liquidated damages for Contractor's delivery delay. Such damages will be limited to a rate specified in each Purchase Order. ("Delay Liquidated Damages"). Contractor's exclusive liability and OCSD's sole and exclusive remedy for delay in delivery of the goods caused by Contractor shall be the payment of Delay Liquidated Damages as set forth herein, and no other remedies of any kind whatsoever shall apply whether based in contract, in tort (including negligence and strict liability) or any other theory of recovery. It is agreed by both parties that the aforementioned damages for delivery would be difficult to quantify as such the parties have fairly agreed that these damages are a reasonable estimate and do not constitute a penalty. There are no guarantees relating to the completion date of any services unless specifically set forth in the Purchase Order. In the event any performance guarantees are provided in the Purchase Order,OCSD's sole and exclusive remedy and Contractor's sole and exclusive liability for any unexcused failure of the Contractor to complete the services beyond the agreed date of completion as set forth in the Purchase Order,any theory of recovery,shall be the liquidated damages specified in such Purchase Order up to the limit specified therein. It is agreed by both parties that the aforementioned damages for completion of the services would be difficult to quantify, and as such, the parties have fairly agreed that these damages are a reasonable estimate and do not constitute a penalty. 8. CONTRACTOR'S REMEDIES. If OCSD defaults under the Agreement, Contractor may file a claim with OCSD, in accordance with applicable provisions of law. 9. CONFIDENTIALITY.Contractor may have a proprietary interest in information that may be furnished pursuant to this agreement. To the extent permitted by law, OCSD will keep In confidence and will not disclose any such Information which Is specifically designated as confidential to Contractor or use any such information for other than the purpose for which it is supplied without the prior written permission of Contractor. The provisions of this paragraph shall not apply to information, notwithstanding any confidential designation thereof, which is known to COED without any restriction as to disclosure or use at the time it is furnished,which is or becomes generally available to the public without breach of any confidentiality obligation of OCSD,which is received from a third party without limitation or restriction on said third party or OCSD at the time of disclosure. Additionally,OCSD's rights to any confidential or proprietary information shall be limited solely to the use in operation, repair and/or maintenance of the designated project.At no time will any permanent transfer of title be created for any technical drawings or intellectual property,nor shall any of this specifically designated information be disclosed other than for the above stated purposes.Contractor acknowledges that OCSD is a public agency subject to compliance with the California Public Records Act. Should OCSD receive a California Public Records Act request that pertains to documents related to this agreement, OCSD will notify Contractor who may then choose to intercede to prevent disclosure of confidential Information not otherwise protected by the California Public Records Act. IO.TERMINATION FOR CONVENIENCE AND DEFAULT 108.1.Termination for Convenience. OCSD, in its sole and absolute discretion, may terminate the Agreement, in whole or in part, at any time, without cause, by providing thirty (30) days'written notice to Contractor. In such case, Contractor shall immediately discontinue all work (unless the notice directs otherwise). Further, should the work be delayed for a period in excess of 180 days for any reason attributable to force majeure,the Agreement may be deemed to have been terminated at the option of either Party. Should either Party opt to terminate the Agreement, Contractor shall be entitled only to payment for such goods, materials and equipment delivered and services performed, and reasonable, documented costs related to termination as may be demonstrated by Contractor,including but not ORANGE COUNTY SANITATION DISTRICT (OCSD) - PURCHASE ORDER TERMS AND CONDITIONS limited to manufacturing costs for materials and/or components that cannot be used for another reasonably foreseeable purpose or otherwise returned. 8G.2. Termination for Default. (A) OCSD may terminate the Agreement based on the Contractor's default. If Contractor (i) materially breaches any provision of this Agreement and if such breach is not commenced to be cured within fifteen(15)days after receiving written notice from OCSD specifying such breach in reasonable detail, or (ii) in the event of an act of insolvency or bankruptcy by Contractor then (ICED shall have the right to terminate the Agreement by giving written notice to Contractor at which time termination shall be effective immediately. Upon termination for default, OCSD may exclude Contractor from all OCSD sites; take possession of all materials, equipment, tools, and equipment and machinery owned by the Contractor and remaining on OCSD sites; accept assignment of any subcontracts that OCSD desires to keep and complete the work by whatever reasonable method it deems expedient. In the event the Agreement is terminated for default,(ICED is entitled to recover excess re-procurement costs and delay damages,among other remedies. Contractor may also terminate the Agreement for cause in the event of a material breach of the Agreement by OCSD which OCSD fails to commence to cure within fifteen(15)days after notice thereof from Contractor and fails to diligently pursue thereafter. In such event, Contractor shall be entitled only to payment for such goods, materials and equipment delivered and services performed, and reasonable, documented costs related to termination as may be demonstrated by Contractor, including but not limited to manufacturing costs for materials and/or components that cannot be used for another reasonably foreseeable purpose or otherwise returned. 11.INDEMNIFICATION/DUTY TO DEFEND. Contractor shall assume all responsibility for damages to third party property and/or injuries to persons, including accidental death, to the extent such damages, injuries, or death are caused by Contractor in the performance of services under this Agreement, or by its subcontractor or by anyone directly or indirectly employed by Contractor, and whether such damage or injury shall accrue or be discovered before or after the termination of the Agreement. Contractor shall indemnify, protect, defend and hold harmless OCSD, its elected and appointed officials, officers, agents and employees, from and against any and all claims, liabilities, damages or expenses of any nature, including attorneys'fees: (a)for injury to or death of any person or damage to third parry property or interference with the use of such third party property to the extent such damages injuries or death are caused by the negligent acts or omissions of Contractor; and/or(b)on account of any goods and services provided under this Agreement,Contractor will,at its own expense,defend or at its option settle any suit or proceeding brought against OCSD so far as based on an allegation that any services, or use thereof for their Intended purpose, constitutes an Infringement of any United States patent or copyright or misappropriation of a trade secret. In case the services, or any part thereof, as a result of any suit or proceeding so defended is held to constitute infringement of any such United States patent, copyright or trade secret, or its use by OCSD is enjoined, Contractor will, at its option and its own expense, either: (i) procure for OCSD the right to continue using said services; (ii) replace the work with substantially equivalent non-Infringing work;or(iii)modify the work so it becomes non-infringing. Contractor will pay the damages and costs awarded in any suit or proceeding so defended. Contractor will not be responsible for any settlement of such suit or proceeding made without its prior written consent. This indemnification provision shall apply to any acts or omissions, willful misconduct, or negligent misconduct, whether active or passive, on the part of Contractor or anyone employed by or working under Contractor. If Contractor is promptly given information, and assistance in a timely manner for the defense of any suit or proceeding, Contractor agrees to provide this defense immediately upon written notice from OCSD, and with well qualified, adequately insured, and experienced legal counsel.This section shall survive the expiration or early termination of the Agreement. 12. GENERAL PROVISIONS. 12.1 Notice. Notice shall be given by certified mall, return receipt requested, facsimile or other electronic telecommunications transmission with a date and time receipt acknowledgment,or personal delivery. Notice shall be effective on receipt. 12.2 Nondiscrimination. Contractor shall comply with all applicable federal, state, and local laws, rules, and regulations in regard to nondiscrimination in employment because of race, color,ancestry, national origin, religion, sex, marital status,age, medical condition, pregnancy,disability,or other prohibited basis. All nondiscrimination rules or regulations required by law to be included in the Agreement are incorporated by this reference. 12.3 Force Majeure Neither party shall be liable for any delay or failure in the performance of the Agreement to the extent the delay or failure is caused by circumstances beyond the reasonable control of the parties, including but not limited to labor disputes, strikes, war, riots, insurrection, civil commotion, fire, flood,accident,storm or any Act of God. 12.4 Assignment. Except with respect to any of Contractor's affiliates, neither party may assign a right under or an interest in the Agreement nor delegate or subcontract an obligation under the Agreement, without the written consent of the other party (consent of which shall not be unreasonably withheld).Any attempted assignment, delegation or subcontract,without such written consent, shall be void. 12.5 No Waiver or Excuse. No provision of the Agreement shall be deemed waived and no breach shall be deemed excused, unless such waiver or excuse is in writing and signed by the party making the waiver or excusing the breach. No such waiver or excuse shall constitute a waiver of another provision, or an excuse of another breach. 12.6 Applicable law/Venue/Attorneys' Fees The Agreement shall be governed by, and construed in accordance with, the laws of the State of California. Any action or proceeding for dispute resolution arising out of the Agreement shall be brought and tried in the ORANGE COUNTY SANITATION DISTRICT (OCSD) - PURCHASE ORDER TERMS AND CONDITIONS County of Orange, State of California, and the prevailing party shall be entitled to reasonable attorneys' fees, costs and expenses. The parties shall attempt In good faith to resolve such dispute promptly by negotiations between executives who have authority to settle the dispute, subject to approval by OCSD's Board of Directors. Any trial of any dispute not so settled will be resolved by a judge sitting without a jury and EACH PARTY EXPRESSLY WAIVES ITS RIGHT TO A JURY TRIAL. 12.7 Construction and Severabil'ty. To the fullest extent allowed by law, the provisions of the Agreement shall be construed in a manner that avoids any violation of statute, ordinance, regulation, or law. If a court of competent jurisdiction holds any provision of the Agreement to be void, the remaining provisions shall continue in full force and effect. 12.8 Chan e Order OCSD may request change orders within the scope of the Agreement and, if accepted by Contractor,the price, performance, schedule and other pertinent provisions of the Agreement will be adjusted by mutual agreement of the parties prior to Implementation of the change. Expenses Incurred by Contractor due to (p delays, other than delays which are deemed to be within the reasonable control of the Contractor, and(ii)changes in applicable laws, regulations and technical codes and standards or the imposition of new laws, regulations and/or technical codes and standards after the execution of this Agreement will be treated as changes to the scope of work and the Agreement will be adjusted as set forth above. 12.8 Hazardous Materials Contractor shall have no responsibility or liability with regard to any hazardous material which It does not know or have reason to know of its existence in the performance of the work and OCSD shall be responsible for all pollution and environmental impairment arising from the property,the equipment and the services other than for any such hazardous materials which Contractor may have brought onsite which it may suddenly and accidently release. In the event that any such hazardous materials, including any asbestos materials, are discovered at the site, Contractor shall have the right to suspend the work in progress, without consequence, until such time as the hazard has been safely remediated or contained by OCSD. 13. INSURANCE AND BOND REQUIREMENTS. Before beginning work under the Agreement, Contractor shall accept the terms provided In OCSD's Acknowledgement of Insurance Requirements and shall provide OCSD with: 13.1 Such bonds, insurance and certificates of insurance, as set forth in 13.2. 13.2 If not described in 11.1, (1) Certificates of commercial general liability, automobile liability, employer's liability and workers compensation insurance in the following amounts: COL($10,000,000 each occurrence and in the aggregate), Automobile ($10,000,000 combined single limit bodily Injury and property damage), Employer's Liability ($1,000,000 each accident and In the aggregate, and $1,000,000 disease each employee), Worker's Compensation (Statutory amount); (2)Insurance policy endorsements showing additional insured coverage for OCSD (for general and automobile liability), as well as waivers of subrogation in favor of OUSD with regard to all policies described above provided, however, that such additional insured status shall apply to the extent of Contractor's indemnity obligations under Article 11. Subject to a change order for the additional costs of any bond,DUST) may request that Contractor procure labor and materials bonds, reasonably satisfactory to OCSD. All such insurance and bonds must remain in effect throughout the performance of the Agreement. In addition, all bonds must be issued by a qualified corporate surety licensed to do business in the State of California and all insurance carriers must have an A- (A minus),or better, policy holder's rating and a financial rating of Class VIIL or better, in accordance with the most current AM Best rating.All sureties and insurers must have agents for service of process in California. 14. SAFETY AND HUMAN RESOURCES POLICIES: Contractors who perform work for OCSD must comply with OCSD Safety Standards. A digital version of OCSD's Safety Standards is available on the OCSD website at www.ocsd.com. A printed version of the Safety Standards will be made available only upon request. 15. LIMITATION OF LIABILITY: NOTWITHSTANDING ANY OTHER PROVISION OF THE AGREEMENT, OCSD EXPRESSLY AGREES THAT NEITHER CONTRACTOR NOR ITS SUBCONTRACTORS WILL UNDER ANY CIRCUMSTANCES BE LIABLE UNDER ANY THEORY OF RECOVERY, WHETHER BASED IN CONTRACT, IN TORT (INCLUDING NEGLIGENCE AND STRICT LIABILITY), UNDER WARRANTY, OR OTHERWISE,FOR ANY SPECIAL,INDIRECT,INCIDENTAL OR CONSEQUENTIAL LOSS OR DAMAGE WHATSOEVER; DAMAGE TO OR LOSS OF ANY PROPERTY OR EQUIPMENT; LOSS OF PROFITS OR REVENUE OR LOSS OF USE THEREOF; LOSS OF USE OF OCSD'S MATERIAL, EQUIPMENT OR POWER SYSTEM; COST OF CAPITAL: COST OF FUEL; COST OF PURCHASED OR REPLACEMENT POWER; INCREASED COSTS OF ANY KIND; OR ANY CLAIMS OF CUSTOMERS OF OCSD. OCSD EXPRESSLY AGREES THAT THE REMEDIES PROVIDED IT IN THE AGREEMENT ARE EXCLUSIVE, AND THAT NOTWITHSTANDING ANY OTHER PROVISION OF THE AGREEMENT, EXCEPT FOR CONTRACTOR'S OBLIGATIONS UNDER ARTICLES 9., 11. a) AND 11(b) HEREIN,UNDER NO CIRCUMSTANCES SHALL THE TOTAL AGGREGATE LIABILITY OF CONTRACTOR UNDER ANY THEORY OF RECOVERY, WHETHER BASED IN CONTRACT, IN TORT (INCLUDING NEGLIGENCE AND STRICT LIABILITY), UNDER WARRANTY, OR OTHERWISE, EXCEED THE FOLLOWING AMOUNTS: Order Value Liability Amount Up to$300,000 Three times the Purchase Order amount $300,001 -$500,000 Two times the Purchase Order amount ORANGE COUNTY SANITATION DISTRICT (OCSD) - PURCHASE ORDER TERMS AND CONDITIONS $500,001 -and above The Order amount ALL LIABILITY OF CONTRACTOR AND ITS SUBCONTRACTORS UNDER THIS AGREEMENT SHALL TERMINATE NO LATER THAN TWELVE (12) MONTHS AFTER THE EXPIRATION OF THE WARRANTY PERIOD. THE PROVISIONS OF THIS ARTICLE SHALL PREVAIL OVER ANY CONFLICTING OR INCONSISTENT PROVISIONS SET FORTH ELSEWHERE IN THE AGREEMENT. IN 4bTNF„`vTrRF0F, IlreFa't esn[rewhan=cxsuiei [err,&tone bens as of'hc Dxew Ibeow_ CONTRACTOR: 00513: Dresser-Rand Orange County Sanitation District a public agency By;.. By: Name: Name: David John Shawver Title: Title: Board Chairman Date: Date: By;.. AT ZEST;. Name;._ By;... Kelly t.ore Title _ Clerk of the Board Date: Rate: ARPROVFD AS TO FORM: By: Bradley R._[login General Counsel Date: OPERATIONS COMMITTEE McA,rg Date To ea.otDr. 05/01/19 -- AGENDA REPORT Item Number Item Number 5 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: QUARTERLY ODOR COMPLAINT REPORT GENERAL MANAGER'S RECOMMENDATION Receive and file the Fiscal Year 2018/19 Third Quarter Odor Complaint Report. BACKGROUND During the 3r1 quarter of FY 2018/19, the Orange County Sanitation District had the following attributable odor complaints: Plant No. 1 had no odor complaints, Plant No. 2 had no odor complaints, and the collections system had no odor complaints. A summary of the odor complaints with a table tracking the history is included as an attachment. RELEVANT STANDARDS • Zero odor incidents/events under normal operating conditions for Plant Nos. 1 and 2 • Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting • 12 or fewer odor complaints per year under normal operating conditions in the collections system ATTACHMENT The following attachment is included in hard copy and may also be viewed on-line at the OCSD website {f 'x.rc with the complete agenda package: • Fiscal Year 2018/19 3rd Quarter Odor Complaint Report RS:cf:gc Page 1 of 1 Orange County Sanitation District Odor Complaint Report Fiscal Year 2018/19 — 31d Quarter 1. Plant No. 1 Treatment Facility Odor Complaint Summa Plant No. 1 received no attributable odor complaints during the 31' quarter. 2. Plant No. 2 Treatment Facility Odor Complaint Summer Plant No. 2 received no attributable odor complaints during the 3'd quarter. 3. Collections Facilities Odor Complaint Summary The collections system received no attributable odor complaints during the V quarter. All Odor Complaints Tracking 1�' Qtr 2"d Qtr 3'd Qtr 41' Qtr Cumulative Jan. 2019 to March. 2019 FY FY FY FY 18/19 18/19 13/19 18/19 18/19 FY All Public Collections P1 P2 Total Total Total Total Total Complaints Attributable 0 0 0 4 2 0 6 to OCSD Not Attributable 6 3 0 10* 6 9 25* to OCSD Total Public Complaints 6 3 0 14 8 9 31 Received: (') On Sep. 30' and October I", OCSD received 12 non-attributable complaints related to offshore activities, and we grouped them as one odor complaint. OPERATIONS COMMITTEE Meeting Date To Bd.of Dn. 05/01/19 05/22I19 AGENDA REPORT Item Number Item Number 6 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: FERRIC CHLORIDE PURCHASE GENERAL MANAGER'S RECOMMENDATION A. Approve a Purchase Order Agreement with Pencco, Inc. for the purchase of liquid ferric chloride, Specification No. C-2019-10376D, for the period beginning July 1, 2019 through June 30, 2020, for a unit price of $597 per dry ton delivered, for an estimated annual amount of $1,791,000 (plus applicable sales tax) with four (4) one-year renewal options; B. Approve a Purchase Order Agreement with Kemira Water Solutions, Inc. for the purchase of liquid ferric chloride, Specification No. C-2019-103713D, for the period beginning July 1, 2019 through June 30, 2020, for a unit price of$630 per dry ton delivered, for an estimated annual amount of $3,150,000 (plus applicable sales tax) with four (4) one-year renewal options; and C. Approve a unit price contingency of 10% per agreement. BACKGROUND Ferric chloride is the coagulant of choice for wastewater treatment process performance due to its high efficiency and effectiveness in clarification, enhanced solid removal, and cost effectiveness compared to other chemicals (i.e., ferric sulfate, alum, or lime). For the 2019-2020 fiscal year, it is estimated that the Orange County Sanitation District (Sanitation District)will use 1.2 million gallons of ferric chloride at a cost of approximately $4.7M. Ferric chloride is used in the United States primarily for wastewater and water treatment. There are a limited number of suppliers, and it is important for the Sanitation District to maintain a reliable supply chain that encourages competitive pricing and chemical availability/sustainability. Prior to July 2013, the Sanitation District utilized a single supplier for 15 years. The 2010 Chemical Sustainability Study identified ferric chloride as one of the most critical chemicals for plant operation. It also highlighted the potential supply disruption and price escalation risks associated with this single-supplier system. As a result, the Sanitation District developed a multiple-vendor supply chain that has been in place since that time. The Sanitation District currently purchases ferric chloride through two vendors whose Agreements are scheduled to expire on June 30, 2019. The current agreements can be extended through June 30, 2020; however, at a dry ton rate of $692 which exceeds our current purchase contingency. Page 1 of 3 RELEVANT STANDARDS • 24/7/365 treatment plant reliability • Meet volume and water quality needs for the GWRS Ensure the public's money is wisely spent PROBLEM The chemical cost has increased beyond the approved contingency amount. PROPOSED SOLUTION Staff recommends approval of the unit price increase to ensure that the supply and delivery of ferric chloride chemical to Plant Nos. 1 and 2 are not disrupted. TIMING CONCERNS NIA RAMIFICATIONS OF NOT TAKING ACTION The Sanitation District will continue to purchase ferric chloride under the existing agreements at a unit price amount of $692 per dry tons. PRIOR COMMITTEE/BOARD ACTIONS April 2016 -Awarded current ferric chloride Purchase Order Agreements to two vendors, Specification No. C-2016-7556D. ADDITIONAL INFORMATION A Request for Proposal was issued, and three proposals were received. Prices were provided for increments of 1,000 dry tons, up to 8,000 dry tons annually. The estimated cost of various scenarios was calculated based on the unit prices. The award recommendation includes a minimum of two vendors and is the best value option that staff believes will provide adequate supply chain reliability. The bid prices are shown below. Applicable sales tax was not included with these values because there is a tax differential between Plant No.1 and Plant No. 2. Tax applies to the product price but does not apply to the freight charge. Page 2 of 3 Proposal Unit Prices (including Freight, but excluding Sales Tax) Quantity Dr TonsNr. Kemira Pencco CWT 1,000 $750.00 - $645.00 V7,000 00 $720.00 - - 00 $690.00 $597.00 - 00 $660.00 $597,00 - 00 $630.00 $597.00 00 $600.00 $597.00 $600.00 $597.00 00 $600,00 $597.00 - Recommended Agreement Awards The table below does not include sales tax. Tax is charged separately, so tax is not part of the award amount. Also, the quantity below is the quantity that the Sanitation District is negotiating with each vendor, which is the estimated usage. Quantity Unit Vendor (Dry Tons/Yr. Price Agreement Amount Pencco 3000 $597.00 $1,791,000 Kemira 5000 $630,00 $3,150,000 Total 8000 $4,941.000 CEQA NIA FINANCIAL CONSIDERATIONS This request complies with authority levels of the Samtaiian Disincts Purchases Ordlmance. This item has been budgeted in the FY18-19 and FY19-20 Division 830 and 840 operating budgets (Line item: Supplies, Section 6, Pages 84 & 88). Date of Approval Contract Amount Contingency 05/22/2019 $4,941,000 $494,100 (10%)(Unit Price) ATTACHMENT The following aHachment(s) may be viewed on-line at the OCSD website (un-vw.oesd.corr.) with the complete agenda package: • CWT Cost Proposal • Pencco Cost Proposal • Kemira Cost Proposal MPV:cf:gc Page 3 of 3 ATTACHMENT B COST PROPOSAL FORM Purchase of Liquid Ferric Chloride (FeC13) 6. Specification No. C-2019-1037BD Due Date for Submittal:April 4,2019, at 2:00 P.M. Any additions,substitutions,conditions or alarnater,inserted by Proposer 10 the proposal will be considered irregularities and maybe cause for rejection of the proposal. Erasures of"sfirikwouts"must be initiated by the Proposer. The undersigned does hereby propose to provide goods or services in accordance with all provisions of the Request for Proposal and the Specifications for the following price. Incomplete submittal of requested information as called out in the proposal specification requirements may deem the proposal as non-responsive. Submit total amount as follows: Contract may be awarded to multiple proposers. Total estimated OCSD product demand is 6000 dry tons/year, no guaranteed usage. Completely fill out each and every unit quantity Proposer proposes to supply. Individual consideration will be made only for the quantities for which unit Prices are provided. 1 2 3 4 Quantity Dry tons Product Unit Freight Cost Product Shipped Via Total Unit Price peryear Price$/Dry Ton $/Dry Ton Common Company Carrier owned Track -- 4�6— 1000 575.00 / DT- , 70 00 / ITT X 5.00 / DT 2000 No bid No bid No bid 3000 No bid No bid No bid 4000 No bid No b 5000 o bid No bid 6000 No bid No 'bid No bid 7000 No bid 8000 No bid No bid No bid Provide yourbid—--­p­rovIdo—unit —Check one boxper -Product Unit—Price(Col 2) Nigeria) freight cost quantity bid Dq to +Freight Cost(Col.3) Notes excluding freight indicate the mode of andtaxes product shipping corresponding to the Dry tonslyear California Water Technologies, LLC Craig Mikkelson Name of Firm Authorized Agent(Printed or Typed) Signature bids@pvschemicals.com 313-571-1100 April 1, 2019 Email Telephone No, Date COST PROPOSAL FORM Page 1 of 1 SpeeffiCation No. C-2019-1037BD Attachment B COSTPROPOSALFORM For Purchase of Liquid Ferric Chloride (FeC13) All Proposers must upload the Cost Proposal Form at the time of bid submission. ATTACHMENT B Specification No. C-2010-1037BD ATTACHMENT B COST PROPOSAL FORM Purchase of Liquid Ferric Chloride (FeC13) Specification No. C-2019-1037BD Do. Date for Submittal-Bpjjrj00 P.M. Any seditious, substitutions,conditions or alternates inserted by Proposer to the proposal will be considered lrrequiarlties and maybe cause for rejection of the proposal Fminassof"strike nuts- flat be initialed be the Proposer The undersigned does hereby propose to they its goods or services in accordance with air provisions of the Request for Proposal and the Specifications for the edichamia price loco...plate sulbr,"Ital of requested information as pulled out in the proposal spe,ffli-aharn onjuirihmarlso.v d,,,,,,the proposal sil...pension Suli total amount as follows Contract may be awarded to multiple proposers. Total estimated 0CaD product demand is 6000 dry tonsonoto no guaranteed usage Completely fill out each and decry unit quantity Proposer proposes to supply. Individual consideration will be made only for the quantities for which unit prices are preauldni 1 2 3 4 Quantity Dry tons Product unit Freight Cast Product t Stopped Via Total Unit Price Partner Does$10,y Ton SIDry,Ton Iman's Compary _ Corner Owned Truck No Bid No Bid 3000 X $501 Do $9600 X $597.00 T— X $59700 103 $5,01 00 $9600 —x cc 'Led 13 00 —---L 7000 $561 00 $9600 X $597 00 600 31 E10)00 IiO9 $5 h)1 00 ji�96'00 511971 Go Provide — Pm vide ydid,bid CV1de unit Check one box per Product Unit Price{Cot.2) anuregid firoquir cost quantity bid (X)to Freight Cost(Col.3) inimi.od"luddin indicate the those of Notes and ..a product shipping corresponding to the Dry tonstyear Pencco, Inc. Sarah Duffy Name of Firm AuchonVool Agent(Printed or Typed) slignearre saraholdencconcorin 979-81815-0005 04/01/2019 Plural Telephone No. Date COST PROPOSAL FORM Page 1 of 1 Specification NO C-201-9-10376D s Attachment B COST PROPOSAL FORM For Purchase of Liquid Ferric Chloride (FeC13) All Proposers must upload the Cost Proposal Form at the time of bid submission. ATTACHMENT B Specification No. C-2019-1037BD ATTACHMENT B 6. COST PROPOSAL FORM Purchase of Liquid Ferric Chloride (FeCl3)Specification No. C-2019-1037BD Due Date for Submittal:April 4,2019.at 2c0 P.M. A7y arl"bstrutens,conditions or alsmates nse'did dy Pmnotrer m the proposal will be considered i^egutari5es and may be cause b--aection of the proposal Erasures of smkemUbymust be -selard by the Proposer. The undersigned does hereby propose to provide goods or sero,besrn a-cmdamat ndh all dm,'sio-s w the rtequest-or Proposal sop he Specficatfons for the dtfloslng dince Incomplete submittal of roquested(nformatlonas lied o-d i-the id,�idsal sideeffitradon req,,remarts may deem the proposal as nen-responsive. SubmAtotal amount as m1fluos Contract may be awarded to multiple proposers. Total estimated CCSD product demand is 6000 dry tonslyear, no guaranteed needs. Completely fill out each and every unit quantity Proposer proposes to supply. individual consideration will be made only�for tthe 'a 'Chun, Prices quantities for which unit Prices are provided. 'a 'tied 1 2 3 4 5 t d S Vs T I Quantity Dry uses Product Unit Freight Cost Product Shipped Via Total Unit Price Story parses, PriceSIDryTon Story Ton C....s Company C.m" Owned Truck 000 6000 70000 BoX Provide Year bid Provide unit Check one box per Product Unit Pride(Col.2) price($) freight test quantity bid(X)to Freight Cost(Col.3) excluding freight indicate the mode of Notes and taxes product shipping corresponding to the Dry tonslyear Kernira Water Solutions, Inc, Name or F rrt A,t-d-zed Agent{Panted or Typed) &mna-.ue E,@,: Telephone N_ Dale COST PROPOSAL FORM Page 1 of 1 specification No. C-2019-1027BD OPERATIONS COMMITTEE Meeting Date To Bd.of on. 05/01/19 05/22I19 AGENDA REPORT Item Number Item Number 7 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: REGIONAL ODOR AND CORROSION CONTROL SERVICES (ROCCS) PROGRAM, SPECIFICATION NO. C-2017-899BD — CONTINGENCY INCREASE GENERAL MANAGER'S RECOMMENDATION Approve a unit price contingency increase of $116.39/dry ton (11,91%) to the Ferrous Chloride Chemical Agreement with Hill Brothers Chemical Company for the Regional Odor and Corrosion Control Services Program, Specification No. C-2017-899BD, for the period beginning July 1, 2019 through June 30, 2020, for a new total contingency amount not to exceed $136.93/dry ton (26.91%); an estimated total amount of$2,583,000. BACKGROUND In April, 2018, the Orange County Sanitation District's (Sanitation District) Board of Directors awarded an agreement to Hill Brothers Chemical Company (the Supplier) for the Regional Odor and Corrosion Control Services (ROCCS) Program, Specification No. C-2017-89913D, for the supply, delivery, and dosing services of Ferrous Chloride at the unit price of $508.82/dry ton delivered (plus applicable sales tax); with Application Services at a unit price of $25 per site per day and Field Services at a unit price of $25 per site per day for an estimated total annual amount of $2,001,263, for the period July 1, 2018 through June 30, 2019, with four (4) one-year renewal options, and an annual unit price and program price contingency of 15% per Agreement. Also, the supplier provides all necessary equipment including tanks, containment, pumps, piping, secure fencing, and equipment monitoring to determine tank levels, leaks, and pump rates. In summary, the unit cost will be $645.75/dry ton delivered plus application and field service fees. The Sanitation District's ROCCS program currently operates nine continuous chemical dosing sites located in nine member-agency cities. When staff initiated the agreement renewal process with the Supplier, the Supplier notified staff that there will be an increase in the unit price for ferrous chloride. Some of the reasons cited for the unit price increase are related to (a)trucking and rail freight costs increase, (b) scrap metal rose 12%, and (c) U.S. Tariffs on steel. Furthermore, when looking for comparison in the iron-based chemical market, staff found that the proposed increase in unit price for ferrous chloride compare to ferric chloride ranges between 33-51%. Page 1 of 3 RELEVANT STANDARDS • 12 or fewer odor complaints per year under normal operating conditions in the collections system • Zero odor incidents/events under normal operating conditions for Plant Nos. 1 and 2 • Operate and maintain facilities to minimize impacts on surrounding communities, including odor, noise, and lighting PROBLEM The chemical unit cost has increased beyond the approved contingency amount. PROPOSED SOLUTION Staff recommends approval of the unit price increase. TIMING CONCERNS If no action is taken, then a lapse in service for odor control will occur. RAMIFICATIONS OF NOT TAKING ACTION Without action, ferrous chloride addition in the collection system will cease. Normal biological action in the sewer system will produce hydrogen sulfide which causes odor and corrosion problems in the collection system. PRIOR COMMITTEE/BOARD ACTIONS April 2018 -Awarded an Agreement to Hill Brothers Chemical Company for the ROCCS Program, Specification No. C-2017-899BD, for ferrous chloride chemical supply and dosing services for the period July 1, 2018 through June 30, 2019,with four(4)one-year renewal options, for the: for the: Supply and delivery of Ferrous Chloride at the unit price of$508.82/dry ton delivered (plus applicable sales tax); with Application Services at a unit price of $25/per site per day and Field Services at a unit price of $25/per site per day for an estimated total annual amount of$2,001,263; and approved an annual unit price and program price contingency of 15%, per agreement. ADDITIONAL INFORMATION Reasons cited for market increase in ferrous chloride: • China curtailing production of ferrous chloride • US Tariffs on steel imports used in producing ferrous chloride • Oil and gas fracturing competing for hydrochloric acid used in producing ferrous chloride • Trucking and rail freight cost increases have been substantial in 2018 Page 2 of 3 • Scrap metal rose 12% from 2017-2018 • Chlorine costs have risen 5 to 10% Staff evaluated the cost benefits of changing the chemicals used to prevent hydrogen sulfide formation. Magnesium hydroxide or calcium nitrate are alternatives. The cost for the alternative options will be higher compared to ferrous chloride. To replace ferrous chloride with magnesium hydroxide, the cost would be estimated at$7,226,000, and with calcium nitrate, the cost would be estimated at $6,834,000. Also, the treatment plants will lose the benefit of the residual iron received from upstream treatment. For Fiscal Year 2020-21, staff intends to bid out the contract. For comparative purposes, this Supplier also supplies and delivers magnesium hydroxide under the ROCCS Program. During negotiation, the Supplier agreed to hold the unit price for the magnesium hydroxide chemical and their program pricing. FINANCIAL CONSIDERATIONS This complies with authority levels of the San Cation Dis-,nci s Purchasing O,dinance. This item has been budgeted in the FY 17-18 Budget, Division 820 (Line item: Supplies, Section 6, page 76). Date of Approval Contract Amount Contingency 05/22/2019 $2,583,000 (Total) $337,450 (15%) (Program and Unit Price) 04/25/2018 $2,001,263 $300,189 (15%) (Program and Unit Price ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (1. r + _or;D with the complete agenda package: N/A MPV:cf:gc Page 3 of 3 OPERATIONS COMMITTEE Meeting Date To ed.of Dn. 05/01/19 -- AGENDA REPORT Item Number Item Number s Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Kathy Millea, Director of Engineering SUBJECT: CAPITAL IMPROVEMENT PROGRAM PROPOSED BUDGET FOR FY 2019-20 GENERAL MANAGER'S RECOMMENDATION Information Only. BACKGROUND Staff will present the proposed Capital Improvement Program (CIP) budget to be included in the upcoming FY 2019-20 Budget recommendation. RELEVANT STANDARDS • Protect Orange County Sanitation District assets • Ensure the public's money is wisely spent ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (wwmocsd.coml with the complete agenda package: N/A KM:sa:gc Page 1 of 1 OPERATIONS COMMITTEE Meeting Date To Bd.of Dn. 05/01/19 -- AGENDA REPORT Item Number Item Number 9 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Lorenzo Tyner, Assistant General Manager SUBJECT: FY 2019-20 BUDGET UPDATE GENERAL MANAGER'S RECOMMENDATION Information Only. BACKGROUND Staff will provide an update and overview of the FY 2019-20 Proposed Budget including Revenues, Operating Expenditures, and Capital Improvement Program. Staff will make a brief presentation at the Committee meeting. The Budget Update, effective July 1 of this year, will be presented for re-adoption at the June 26, 2019 Board meeting. RELEVANT STANDARDS • Produce Operating and CIP budgets every two years, with annual update PRIOR COMMITTEE/BOARD ACTIONS The FY 2018-19 and 2019-20 biennium budget was adopted on June 27, 2018. FINANCIAL CONSIDERATIONS The FY 2019-20 Budget Update being proposed for re-adoption on June 26, 2019 is to operate and maintain the Orange County Sanitation District facilities in a fiscally responsible manner. ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD webslte (p +: ;,-„) with the complete agenda package: NIA Page 1 of 1 ORANGE COUNTY SANITATION DISTRICT COMMON ACRONYMS Association of California Local Agency Formation Regional Water Quality ACWA Water Agencies LAFCO Commission RWQCB Control Board APWA American Public Works LOS Level Of Service SARFPA Santa Ana River Flood Association Protection Agency AOMD Air Quality Management MGD Million Gallons Per Day SARI Santa Ana River DistrictInterceptor ASCE American Society of Civil MOD Memorandum of SARWQCB Santa Ana Regional Water Engineers Understanding Quality Control Board BOD Biochemical Oxygen Demand NACWA National Association of Clean SAWPA Santa Ana Watershed Water Agencies Project Authority CARB California Air Resources NEPA National Environmental SCADA Supervisory Control And Board Policy Act Data Acquisition California Association of Non-Governmental Southern California CASA Sanitation Agencies NGOs Organizations SCAR Alliance of Publicly Owned Treatment Works CCTV Closed Circuit Television NPDES National Pollutant Discharge SCAQMD South Coast Air Quality Elimination System Management District CEQA California Environmental NWRI National Water Research SOCWA South Orange County Quality Act Institute Wastewater Authority CIP Capital Improvement O&M Operations&Maintenance SRF Clean Water State Program Revolving Fund California Regional Water Orange County Council of SSMP Sewer System CRWQCB Quality Control Board OCCOG Governments Management Plan CWA Clean Water Act OCHCA Orange County Health Care SSO Sanitary Sewer Overflow Agency CWEA California Water Environment OCSD Orange County Sanitation SWRCB State Water Resources Association District Control Board EIR Environmental Impact Report OCWD Orange County Water District TDS Total Dissolved Solids EMT Executive Management Team OOBS Ocean Outfail Booster Station TMDL Total Maximum Daily Load EPA US Environmental Protection OSHA Occupational Safety and TSS Total Suspended Solids Agency Health Administration Professional Waste Discharge FOG Fats,Oils,and Grease PCSA Consul tanUConstruction WDR Requirements Services Agreement gpd gallons per day PDSA Professional Design Services WEE Water Environment Agreement Federation GWRS Groundwater Replenishment ROTW Publicly Owned Treatment WERE Water Environment& System Works Reuse Foundation ICS Incident Command System ppm parts per million WIFIA Water Infrastructure Finance and Innovation Act Integrated Emergency Professional Services Water Infrastructure IERP Response Plan RSA Agreement WIIN improvements for the Nation Act JPA Joint Powers Authority RFP Request For Proposal WRDA Water Resources Development Act ORANGE COUNTY SANITATION DISTRICT GLOSSARY OF TERMS 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. 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 (DIT)—The dilution at which the majority of people detect the odor becomes the D(f 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)—Ajoint 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. LEVEL 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. 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 bath 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.