HomeMy WebLinkAbout01-23-2019 Board Meeting Agenda Packet Orange County Sanitation District Wednesday, January 23, 2019
Regular Meeting of the _ 6:00 P.M.
BOARD OF DIRECTORS Board Room
10844 Ellis Avenue
Fountain Valley, CA 92708
(714)593-7433
AGENDA
CALL TO ORDER (Board Chairman David Shawver)
INVOCATION AND PLEDGE OF ALLEGIANCE (James Ferryman, Costa Mesa Sanitary
District)
ROLL CALL (Clerk of the Board)
1. RECEIVE AND FILE MINUTE EXCERPTS OF MEMBER AGENCIES RELATING
TO APPOINTMENTS TO THE ORANGE COUNTY SANITATION DISTRICT
BOARD OF DIRECTORS (Clerk of the Board)
AGENCY DIRECTOR ALT. DIRECTOR
City of Brea Glenn Parker Steven Vargas
City of Irvine Donald P. Wagner Anthony Kuo
City of Newport Beach Brad Avery Joy Brenner
City of Stanton David Shawver Carol Warren
Costa Mesa Sanitary District James Ferryman Bob Ooten
Yorba Linda Water District Phil Hawkins Brooke Jones
DECLARATION OF QUORUM (Clerk of the Board)
PUBLIC COMMENTS: If you wish to address the Board of Directors on any item, please complete a
Speaker's Form(located at the table outside of the Board Room) and submit it to the Clerk of the Board or
notify the Clerk of the Board the item number on which you wish to speak. Speakers will be recognized by
the Chairperson and are requested to limit comments to three minutes.
SPECIAL PRESENTATIONS:
A) Presentation by CSDA— Chris Palmer
B) Employee Service Awards
C) Board Member Recognition
01/23/2019 OCSD Board&Directors'Agenda Page 1 of 7
REPORTS: The Board Chairperson and the General Manager may present verbal reports on
miscellaneous matters of general interest to the Directors. These reports are for information only and require
no action by the Directors.
CONSENT CALENDAR: Consent Calendar Items are considered to be routine and will be enacted, by
the Board of Directors,after one motion, without discussion. Any items withdrawn from the Consent Calendar
for separate discussion will be considered in the regular order of business.
2. APPROVAL OF MINUTES (Clerk of the Board)
RECOMMENDATION: Approve the minutes of the Regular Meeting of the Board
of Directors held on December 19, 2018.
3. PLANT NO. 1 RECTANGULAR PRIMARY CLARIFIER OVERHAUL
(Rob Thompson)
RECOMMENDATION:
A. Approve a Service Contract to Mehta Mechanical Company Inc., replacing
the December 19, 2018 approval of a Purchase Order, for the mechanical
rehabilitation and overhaul of twenty-four (24) Primary Clarifier Tanks at
Plant No. 1, per Specification No. S-2018-98513D, for a total amount not to
exceed $1,998,000; and
B. Approve a contingency of$199,800 (10%).
4. OCEAN OUTFALL SYSTEM REHABILITATION, PROJECT NO. J-117
(Rob Thompson)
RECOMMENDATION: Authorize staff to purchase Course of Construction
insurance for an amount not to exceed $510,000.
5. RATIFICATION OF PURCHASES UNDER GRAINGER PURCHASE ORDER
NO. 105577-OB (Rob Thompson)
RECOMMENDATION:
Approve an increase of $35,000 to Blanket Purchase Order No. 105577-OB with
W.W. Grainger, Inc. for the ratification of purchases of maintenance tools and
supplies, in accordance with Ordinance No. OCSD-52, Section 2.03(B):
Cooperative Procurement, for the period beginning March 1, 2018 through
February 28, 2019, for a total amount not to exceed $310,000.
01/23/2019 OCSD Bcard of Directors'Agenda Page 2 of 7
RECEIVE AND FILE: These items require no action; and without objection, will be so ordered by the
Board Chair.
6. COMMITTEE MINUTES (Clerk of the Board)
RECOMMENDATION: Receive and file the approved minutes of the following
committees:
A. GWRS Joint Steering Committee Meeting of October 8, 2018
B. Steering Committee Meeting of November 28, 2018
C. Operations Committee Meeting of December 5, 2018
7. REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF
DECEMBER 2018 (Lorenzo Tyner)
RECOMMENDATION: Receive and file the report of the Investment Transactions
for the month of December 2018.
OPERATIONS COMMITTEE:
8. PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION, PROJECT NO.
FE14-05 (Rob Thompson)
RECOMMENDATION:
A. Receive and file Bid Tabulation and Recommendation for
Engineering/Remediation Resources Group, Inc. for the Fleet Services UST
Leak Remediation, Project No. FE-14-05;
B. Award a Construction Contract to Engineering/Remediation Resources
Group, Inc.for the Fleet Services UST Leak Remediation, Project No. FE14-
05, for a total amount not to exceed $648,675; and
C. Approve a contingency of$129,735 (20%).
9. SEWER RELOCATION AGREEMENT WITH SANTA ANA DEVELOPMENT
PARTNERS, LP (Rob Thompson)
RECOMMENDATION:
A. Approve a Sewer Relocation Agreement with Santa Ana Development
Partners, LP for the segment relocation of the Orange County Sanitation
District West Trunk Bypass Sewer within the property located at 2114 East
First Street, Santa Ana; and
B. Authorize the General Manager to execute easement documents per the
Sewer Relocation Agreement in a form approved by General Counsel.
01/23/2019 OCSD Board of Directors'Agenda Page 3 of 7
10. 835 S. BREA DOSING STATION —SITE ACCESS AND LICENSE AGREEMENT,
SEWER LICENSE AND MAINTENANCE AGREEMENT, AND ADDENDUM NO.
5 TO FINAL SUPPLEMENTAL ENVIRONMENTAL IMPACT REPORT (SEIR)
FOR THE FINAL EFFLUENT PUMP STATION ANNEX AND COLLECTION
SYSTEM ODOR & CORROSION CONTROL PROGRAM (Rob Thompson)
RECOMMENDATION:
A. Consider, receive, and file the Orange County Sanitation District's
Addendum No. 5 to the Supplemental Environmental Impact Report for
the Final Effluent Pump Station Annex and Collection System Odor &
Corrosion Control Program, dated December 5, 2018, to add odor and
corrosion control chemical facilities in the City of Brea;
B. Approve a new Site Access and License agreement with Polfit Wellness, Inc.
to lease property for the purpose of installing, maintaining, and operating a
chemical dosing station at 835 South Brea Boulevard, in the City of Brea, for
a term of 36- months, at the following lease terms, in a form approved by
General Counsel:
• February 1, 2019 through January 31, 2020, $2,600 per month
• February 1, 2020 through January 31, 2021, $2,652 per month
• February 1, 2021 through January 31, 2022, $2,705 per month;
C. Approve a new Sewer License and Maintenance Agreement with the City of
Brea to allow the Orange County Sanitation District to access, install, and
operate the Slip Line within the City Sewer; and
D. Authorize the General Manager or designee to negotiate beginning June 1,
2021 and subsequently award an option for an additional 36-month lease
renewal period.
11. PRIMARY TREATMENT REHABILITATION AT PLANT NO. 2, PROJECT
NO. P2-98 (Rob Thompson)
RECOMMENDATION:
A. Approve a Professional Construction Services Agreement with Black &
Veatch Corporation to provide construction support services for B/C-Side
Primary Clarifiers Interim Repair at Plant No. 2, Contract No. P2-98B, for a
total amount not to exceed $549,534; and
B. Approve a contingency of$54,953 (10%).
01/23/2019 OCSD Board of Directors'Agenda Page 4 of 7
12. PRIMARY TREATMENT REHABILITATION AT PLANT NO. 2, PROJECT
NO. P2-98 (Rob Thompson)
RECOMMENDATION:
A. Receive and file Bid Tabulation and Recommendation for B/C-Side Primary
Clarifiers Interim Repair at Plant No. 2, Contract No. P2-98B;
B. Award a Construction Contract to Myers & Sons Construction, LLC for
B/C-Side Primary Clarifiers Interim Repair at Plant No. 2, Contract No. P2-
98B, for a total amount not to exceed $8,665,000; and
C. Approve a contingency of$866,500 (10%).
ADMINISTRATION COMMITTEE:
None.
LEGISLATIVE & PUBLIC AFFAIRS COMMITTEE:
None.
STEERING COMMITTEE:
13. GENERAL MANAGER'S FY 2018-2019 WORK PLAN MID-YEAR UPDATE
(Jim Herberg)
RECOMMENDATION: Receive and file the General Manager's FY 2018-2019
Work Plan Mid-Year Update and Memorandum.
NON-CONSENT:
None.
CLOSED SESSION:
During the course of conducting the business set forth on this agenda as a regular meeting of the Board,
the Chairperson may convene the Board in closed session to consider matters of pending real estate
negotiations,pending or potentiallitigation,orpersonnel matters,pursuant to Government Code Sections
54956.8, 54956.9, 54957 or 54957.6, as noted.
Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation;
(c)employment actions or negotiations with employee representatives;or which are exempt from public
disclosure under the California Public Records Act, may be reviewed by the Board during a permitted
closed session and are not available for public inspection. At such time the Board takes final action on
any of these subjects, the minutes will reflect all required disclosures of information.
CONVENE IN CLOSED SESSION.
01/23/2019 OCSD Board o(Di...tom'Agenda Page 5 of
(1) CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Property: 16001 Springdale Street, Huntington Beach, CA (APN 146-112-25)
Negotiating Party: Springed, LLC
Agency Negotiators: General Manager James Herberg; Assistant General
Manager Robert Thompson; Assistant General Manager Lorenzo Tyner; and
Engineering Manager Kathy Millea
Under Negotiation: Price and terms of payment
Property: Vacant Land, southwest comer of Graham Street and Edinger Avenue,
Huntington Beach, CA
Negotiating Party: Orange County Flood Control District
Agency Negotiators: General Manager James Herberg; Assistant General
Manager Robert Thompson; Assistant General Manager Lorenzo Tyner; and
Engineering Manager Kathy Millea
Under Negotiation: Price and terms of payment
(2) CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION
(Government Code Section 54956.9(d)(4))
Initiation of Litigation pursuant to paragraph (4) of subdivision (d) of Section
54956.9
Number of Potential Cases: 1
Regarding improvements interfering with pipeline easement at 8192 Willow Drive
(APN 262-032-27), 8201 Denni Street (APN No. 262-032-28), 8191 Willow Drive
(APN No. 262-032-37), and 8187 Willow Drive (APN No. 262-032-38), in the city of
Cypress, CA
(3) CONFERENCE WITH LEGAL COUNSEL RE EXISTING LITIGATION
(Government Code Section 54956.9(d)(1))
Number of Cases: 1
Wesley Bauer v. Orange County Sanitation District, Orange County Superior Court,
Central Justice Center, Case No. 30-2017-00956252.
RECONVENE IN REGULAR SESSION.
CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED
SESSION:
01/23/2019 OCSD Boar of Directors'Agenda Page 6 of
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS,
IF ANY:
AB 1234 DISCLOSURE REPORTS: This item allows Board members to provide a brief oral report
regarding the disclosure of outside committees, conferences, training, seminars, etc. attended at the
Agency's expense, per Government Code§53232.3(d).
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS,
IF ANY:
ADJOURNMENT:
Adjourn the Board meeting until the Special Meeting of the Board of Directors
on February 20, 2019 at 3:00 p.m.
Accommodations for the Disabled: Meeting Rooms are wheelchair accessible. If you require any special disability related
accommodations,please contact the Orange County Sanitation Distinct Clerk of the Board's once 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, and on the Sanitation District's website at www.ocsd.com,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 Me 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 a Committee or Board 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
klone0smsd.00m
For any questions on the agenda,Committee members may contact staff at:
General Manager Jim Herberg (714)593-7300 'heibernamsd.com
Assistant General Manager Lorenzo Tyner (714)593-7550 INner(@ocsd.com
Assistant General Manager Rob Thompson (714)593-7310 rthompson(Mocsd.corn
Director of Human Resources Celia Chandler (714)593-7202 cchandler(docsd.com
Director of Engineering VACANT
Director of Environmental Services VACANT
01/23/2019 OCSD Board of Directors'Agenda Page 7 of 7
ITEM NO. 2
Orange County Sanitation District
MINUTES
BOARD MEETING
December 19, 2018
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Administration Building
10844 Ellis Avenue
Fountain Valley, California 92708-7018
1211912018 Minutes of Board Meeting Page 1 of 14
ROLL CALL
A regular meeting of the Board of Directors of the Orange County Sanitation District was
called to order by Board Chairman David Shawver on December 19, 2018, at 6:01 p.m.,
in the Administration Building. Director Collacott delivered the invocation and Director
Ferryman led the Pledge of Allegiance.
Kelly Lore, Clerk of the Board, stated that after the publication of the agenda, she received
late communication regarding Item No. 1, relating to appointments to the Orange County
Sanitation District Board.
1. RECEIVED AND FILE MINUTE EXCERPTS OF MEMBER AGENCIES
RELATING TO APPOINTMENTS TO THE ORANGE COUNTY SANITATION
DISTRICT BOARD OF DIRECTORS WITH ADDITIONS (Clerk of the Board)
AGENCY DIRECTOR ALT. DIRECTOR
City of Anaheim Lucille Kring Denise Barnes
City of Garden Grove Steve Jones John O'Neill
City of Fountain Valley Steve Nagel Patrick Harper
City of Fullerton Jesus Silva Ahmed Zahra
City of Huntington Beach Erik Peterson Michael Posey
City of La Habra Tim Shaw Tom Beamish
City of La Palma Peter Kim Marshall Goodman
City of Los Alamitos Richard Murphy Dean Grose
City of Placentia Chad Wanke Ward Smith
City of Tustin Allan Bernstein Chuck Puckett
Midway Sanitary District Andrew Nguyen Al Krippner
The Clerk of the Board declared a quorum present as follows:
ACTIVE DIRECTORS ALTERNATE DIRECTORS
X David Shawver, Chair Carol Warren
X Allan Bernstein Chuck Puckett
X Robert Collacott Robbie Pitts
X Ellery Deaton Sandra Massa-Lavitt
X James M. Ferryman Bob Ooten
X Phil Hawkins Brooke Jones
A Steven Jones John O'Neill
X Peter Kim Marshall Goodman
X Lucille Kring Denise Barnes
X Richard Murphy Dean Grose
X Steve Nagel Patrick Harper
X Andrew Nguyen Al Krippner
X Glenn Parker Cecilia Hupp
X Erik Peterson Mike Posey
X Tim Shaw Tom Beamish
12/19/2018 Minutes of Board Meeting Page 2 of 14
X Jesus Silva Ahmed Zahra
X Fred Smith VACANT (Buena Park)
A Michelle Steel Shawn Nelson
X Donald Wagner VACANT (Irvine)
X Chad Wanke Ward Smith
X John Withers Douglas Reinhart
X Mariellen Yarc Stacy Berry
VACANT (Newport Beach) X Brad Avery
A VACANT (Orange) Mark Murphy
-- VACANT (Santa Ana) -- VACANT (Santa Ana)
STAFF MEMBERS PRESENT: Jim Herberg, General Manager; Rob Thompson,
Assistant General Manager; Lorenzo Tyner, Assistant General Manager; Celia Chandler,
Directorof Human Resources; Jim Colston, Director of Environmental Services; Ed Torres,
Director of Operations & Maintenance; Kelly Lore, Clerk of the Board; Gilbert Barela;
Jennifer Cabral; Mike Dorman; Dean Fisher; Al Garcia; Mark Kawamoto; Tina Knapp;
Rebecca Long; Laura Maravilla; Kathy Millea; Jeff Mohr; Andrew Nau; Roya Sohanaki;
and Thomas Vu.
OTHERS PRESENT: Brad Hogin (General Counsel); Alternate Director Bob Ooten
(CMSD); former Board Chairman Greg Sebourn and family; former Alternate Directors
Charlie Nguyen, MCSD and Scott Peotter; Cori Williams, TPA; Eric Sapirstein, ENS; and
Dan Bunce, Brown & Caldwell.
PUBLIC COMMENTS:
None.
SPECIAL PRESENTATIONS:
A) Employee Service Awards
General Manager Herberg recognized and presented a certificate of recognition to
Director of Environmental Services, Jim Colston whose last day at the District will
be December 27; and to Director of Operations and Maintenance, Ed Torres whose
last day will January 3. Each of the Directors thanked the Board of Directors and
expressed their parting comments.
B) Board Member Recognition
Chair Shawver recognized outgoing alternate board members Michael Blazey (La
Habra) and Virginia Vaughn (Buena Park); and Board Members Charlie Nguyen
(MCSD), Sal Tinajero (Santa Ana), and Scott Peotter (Newport Beach)
acknowledging the successes of the Board during their tenure. He wished them
the best of luck.
12/19/2018 Minutes of Board Meeting Page 3 of 14
Chair Shawver presented Former Board Chairman Greg Seboum with a Resolution
for his service to OCSD from 2012-2018. He stated that Greg had served as the
Board Chairman from November 2016 - December 2018; and provided leadership
and vision to the OCSD Administration Committee, Steering Committee, Legislative
and Public Affairs Committee, Operations Committee, Groundwater Replenishment
System Steering Committee, Headquarters Complex Ad Hoc Committee, and the
OCSD/Santa Ana Watershed Project Authority Joint Policy Committee.
In addition to OCSD's resolution, Mr. Shawver presented Mr. Sebourn with:
Resolution from Senator Ling Ling Chang;
Certificate of recognition from Assembly Member Tom Daly;
Certificate of recognition Assembly Member Steven Choi;
Certificate of recognition Senator John Moodach; and
Certificate of Commendation from Senator Dianne Feinstein
Mr. Sebourn stated that his six years of service on this Board had truly been the
highlight of his elected service. He provided parting words of wisdom for the Board
Members: leadership requires trust, be responsible, be humble, leave your bags at
the door, never stop learning at OCSD, and leave the infrastructure in better
condition than you found it. Mr. Seboum commended the General Manager, staff,
and the Board and stated that it had been an honor to serve as Chairman.
Chair Shawver presented Greg with a gavel plaque for his extraordinary service
and thanked him again for his leadership.
C) Presentations by OCSD State and Federal Lobbyists
OCSD State Lobbyist representative Cori Williams, Townsend Public Affairs,
provided a PowerPoint presentation including a look back at the success of the past
year, election results, political implications, Governor Newsom's priorities, and the
current legislative proposals and the next steps to be taken to move forward. Ms.
Williams provided further information regarding the 2019 Legislative Plan including
highlighted portions and new policy statements.
OCSD Federal Lobbyist Eric Sapirstein, ENS Resources, Inc., provided a
PowerPoint presentation which included: midterm election results and impacts. He
described the impacts to: Lame Duck Session, Congressional Realignment, and
the Orange County Congressional Delegation and House Democrat and
Republican Leadership. Mr. Sapirstein provided additional information regarding
the 116th Congress priorities and OCSD priorities.
REPORTS
Chair Shawver announced that new Board Member Orientation will be held on
February 20 from 3 — 5 p.m. stating that this is intended for all board members and
alternate board members.
12/19/2018 Minutes of Board Meeting Page 4 of 14
Chair Shawver also announced that if anyone was interested in a Committee or Ad Hoc
Committee appointment, or a change to a current appointment, to speak with either him
or the Clerk of the Board as soon as possible.
ELECTION:
2. NOMINATION & ELECTION OF VICE CHAIRPERSON OF THE BOARD OF
DIRECTORS (Clerk of the Board)
General Counsel Brad Hogin provided instructions and turned over the nomination
and election process to Chair Shawver.
Chair Shawver opened nominations for Vice Chairperson of the Board of Directors.
One nomination was received.
MOVED. SECONDED, AND DULY CARRIED TO: Close nominations for Vice
Chairperson of the Board of Directors.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanks;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
MOVED, SECONDED, AND DULY CARRIED TO: Elect John Withers as Vice
Chairperson of the Board of Directors for the remainder of the 2018/19 term.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
CONSENT CALENDAR:
3. APPROVAL OF MINUTES (Clerk of the Board)
MOVED, SECONDED, AND DULY CARRIED TO: Approve the minutes of the
Regular Meeting of the Board of Directors held on November 28, 2018.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; R. Murphy; Nagel; Nguyen; Parker; Peterson;
Shaw; Shawver; Silva; F. Smith; Wagner; Wanke; Withers and
Yarc
12/19/2018 Minutes of Board Meeting Page 5 of 14
NOES: None
ABSTENTIONS: Kring
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
4. RESOLUTION NO. OCSD 18-21 COMMENDING BOARD CHAIRMAN
GREGORY SEBOURN (Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Adopt Resolution No. OCSD
18-21 entitled: "A Resolution of the Board of Directors of the Orange County
Sanitation District commending Gregory C. Seboum for his outstanding
contributions and dedication to public service as Chairman of the Orange County
Sanitation District's Board of Directors".
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
5. NO-COST EXTENSION FOR FISH TRACKING STUDY SOLE SOURCE
CONTRACT WITH DR. CHRISTOPHER LOWE — CALIFORNIA STATE
UNIVERSITY LONG BEACH (Jim Colston)
MOVED, SECONDED, AND DULY CARRIED TO: Approve Amendment No. 2 to
Sole Source Contract Fish Tracking Study, for a contract extension to Dr.
Christopher Lowe of the California State University Long Beach for the period
November 1, 2018 through June 30, 2019 at no additional cost, for a total contract
cost not to exceed $214,058.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
6. PAYMENT OF ANNUAL OCEAN DISCHARGE PERMIT FEES
(Jim Colston)
MOVED, SECONDED, AND DULY CARRIED TO: Approve payment of $577,091
for annual NPDES (ocean discharge) permit fees.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
12/19/2018 Minutes of Board Meeting Page 6 of 14
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanks;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
RECEIVE AND FILE: These items require no action; and without objection, will be so ordered by the
Board Chair.
7. COMMITTEE MINUTES (Clerk of the Board)
Received and filed the approved minutes of the following committees:
A. Steering Committee Meeting of October 24, 2018
B. Legislative and Public Affairs Meeting of November 5, 2018
C. Operations Committee Meeting of November 7, 2018
D. Administration Committee Meeting of November 14, 2018
E. Headquarters Complex Ad Hoc Committee Meeting of November 14, 2018
8. REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF
NOVEMBER 2018 (Lorenzo Tyner)
Received and filed the report of the Investment Transactions for the month of
November 2018.
OPERATIONS COMMITTEE:
9. RELOCATION INTO 18350 MT. LANGLEY, PROJECT NO. FE18-01
(Rob Thompson)
MOVED, SECONDED, AND DULY CARRIED TO: Authorize the General Manager
to approve a purchase order with GM Business Interiors (GMBI) in an amount not
to exceed $250,000 for procurement of furniture for relocation into 18350 Mt.
Langley, Project No. FE18-01.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
12;19;201E Minutes of Board Meeting Page 7 of 14
10. HOSE REEL FRAME WITH 12-INCH LAY FLAT HOSE (Ed Torres)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Approve a Sole Source Purchase Order to West Coast Safety Supply Co.
for 1,980 feet of 12-inch lay flat sewer hose with mobile hose reel,
Specification No. E-2017-91OBD for a total cost of$220,383; and
B. Approve a contingency of$22,038 (10%)
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
11. ANNUAL SEWER LINE CCTV SERVICE CONTRACT, SPECIFICATION
NO. 5-2018-1001BD (Ed Torres)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Award Service Contracts to two (2) contractors: Houston & Harris PCS, Inc.
(Primary) for $352,940 and Performance Pipeline Technologies
(Secondary), for $60,000 for Annual CCTV Sewer Inspection Services,
Specification No. S-2018-1001 BD for a total amount not to exceed $412,940
for the period beginning February 1, 2019 through January 31, 2020, with
four (4) one-year renewal options; and
B. Approve a contingency of$41,000 (10%).
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
12. DIGESTER CLEANING CONTRACT (Ed Torres)
MOVED, SECONDED, AND DULY CARRIED TO: Approve Amendment No. 1 for
the remaining annual renewals of the service contract with Synagro-WWT for
Digester Cleaning and Disposal, Specification No. 5-2017-82413D, which adds a
provision for a per gallon unit price for processing excess sludge and approve the
excess sludge per gallon unit price of$0.13.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
12/19/2018 Minutes of Board Meeting Page 8 of 14
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
13. PROCURE REMOTE ACTUATORS (Ed Torres)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Approve a sole source purchase order to CBS Aresafe for 204 electrical
power switching actuators and associated equipment for Plant No. 1, Plant
No. 2, and 15 pump stations for a total amount not to exceed $1,001,985;
and
B. Approve a contingency of$50,100 (5%).
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanks;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
14. INCREASE TO JANITORIAL AND FLOOR MAINTENANCE CONTRACT
(Ed Torres)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Approve Amendment No. 1 to Service Agreement with Gamboa Services,
Inc. DBA Corporate Image Maintenance for Janitorial & Floor Maintenance
Service at Plant Nos. 1 and 2, Specification No. S-2015-73013D, for the
period February 1, 2019 through January 31, 2020, for an amount not to
exceed $399,720, including the one (1) year renewal option; and
B. Approve an annual contingency in the amount of$39,972 (10%)aggregately
per year.
C.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
12;19;2018 Minutes of Board Meeting Page 9 of 14
15. PLANT NO. 2 CENTRAL GENERATION STEAM TURBINE REHABILITATION
AGREEMENT WITH DRESSER-RAND (Ed Torres)
MOVED, SECONDED, AND DULY CARRIED TO: Approve negotiated Purchase
Order Terms & Conditions with Dresser-Rand for the assessment and standard
overhaul of the Steam Turbine at Plant No. 2, in a form approved by General
Counsel.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
16. OCEAN OUTFALL SYSTEM REHABILITATION, PROJECT NO. J-117
(Rob Thompson)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Approve a Professional Construction Services Agreement with Brown and
Caldwell to provide construction support services for Ocean Outfall System
Rehabilitation, Project No. J-117, Outfall Low Flow Pump Station, Contract
No. J-117B, for a total amount not to exceed $8,563,913; and
B. Approve a contingency of$856,391 (10%).
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; F. Smith; Wagner; Wanks; Withers
and Yarc
NOES: None
ABSTENTIONS: Silva
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
17. OCEAN OUTFALL SYSTEM REHABILITATION, PROJECT NO. J-117
(Rob Thompson)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Receive and file Bid Tabulation and Recommendation for the Outfall Low
Flow Pump Station, Contract No. J-11713;
B. Receive and file Orange County Sanitation District's Notice of Intent to
Award dated November 21, 2018;
12/19/2018 Minutes of Board Meeting Page 10 of 14
C. Award a Construction Contract to Shimmick Construction Company, Inc. for
the Outfall Low Flow Pump Station, Contract No. J-117B, for a total amount
not to exceed $90,200,000; and
D. Approve a construction contract contingency of$7,216,000 (8%).
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; F. Smith; Wagner; Wanks; Withers
and Yarc
NOES: None
ABSTENTIONS: Silva
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
18. RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2,
PROJECT NO. P2-123 (Rob Thompson)
MOVED, SECONDED, AND DULY CARRIED TO: Approve a budget increase of
$7,250,000 for Return Activated Sludge Piping Replacement at Activated Sludge
Plant No. 2, Project No. P2-123, for a total budget of$20,000,000.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
19. SUNFLOWER AND RED HILL INTERCEPTOR REPAIR, PROJECT NO. 7-66
(Rob Thompson)
MOVED, SECONDED,AND DULY CARRIED TO: Establish a project for Sunflower
and Red Hill Interceptor Repair, Project No. 7-66, with a budget of$5,500,000.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
12;19;2018 Minutes of Board Meeting Page 11 of 14
20. PLANT NO. 1 RECTANGULAR PRIMARY CLARIFIER OVERHAUL
(Ed Torres)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Approve a Purchase Order contract to Mama Mechanical Company Inc. for
the mechanical rehabilitation and overhaul of twenty-four (24) Primary
Clarifier tanks at Plant No. 1, per Specification No. S-2018-98513D,for a total
amount not to exceed $1,998,000; and
B. Approve a contingency of$199,800 (10%).
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
ADMINISTRATION COMMITTEE:
21. RECORDS RETENTION SCHEDULE (Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Adopt Resolution No. OCSD
18-22 entitled: "A Resolution of the Board of Directors of the Orange County
Sanitation District Adopting the Records Management Program Policy and
Procedures & Updated Records Retention Schedule, Authorizing Destruction of
Obsolete Records, and Repealing Resolution No. OCSD 15-16".
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
22. INVEST AND/OR REINVEST DISTRICT'S FUNDS (Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Adopt Resolution No. OCSD
18-23, entitled: "A Resolution of the Board of Directors of the Orange County
Sanitation District, Authorizing the District's Treasurer to Invest and/or Reinvest
District's Funds, Adopting District's Investment Policy Statement and Performance
Benchmarks, and Repealing Resolution No. OCSD 17-17".
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
12/19/2018 Minutes of Board Meeting Page 12 of 14
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanke;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
LEGISLATIVE & PUBLIC AFFAIRS COMMITTEE:
23. 2019 LEGISLATIVE AND REGULATORY PLAN (Jim Herberg)
MOVED, SECONDED, AND DULY CARRIED TO: Approve the Orange County
Sanitation District 2019 Legislative and Regulatory Plan.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanks;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
STEERING COMMITTEE:
24. LABOR RELATIONS— CONTRACT NEGOTIATIONS
(Celia Chandler)
Director of Human Resources Celia Chandler provided a brief update regarding the
proposed agreement.
MOVED. SECONDED, AND DULY CARRIED TO: Authorize the Board Chair to
execute an agreement with Liebert Cassidy Whitmore,the external Chief Negotiator
selected by the Ad Hoc Committee for an amount not to exceed $120,000.
AYES: Avery (Alternate); Bernstein; Collacott; Deaton; Ferryman;
Hawkins; Kim; Kring; R. Murphy; Nagel; Nguyen; Parker;
Peterson; Shaw; Shawver; Silva; F. Smith; Wagner; Wanks;
Withers and Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Jones; M. Murphy(Alternate); Steel; and VACANT (Santa Ana)
NON-CONSENT:
None.
12/1412018 Minutes of Board Meeting Page 13 of 14
AB 1234 DISCLOSURE REPORTS:
Director Ferryman reported on his attendance at the recent OCCOG meeting; and reported
on the upcoming General Assembly meeting.
CLOSED SESSION:
None.
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS,
IF ANY:
Chair Shawver stated he is honored to be the Chairman and wished everyone a very
Happy Holiday!
ADJOURNMENT:
At 7:22 p.m., Chair Shawver adjourned the meeting until the Regular Meeting of the Board
of Directors to be held on January 23, 2019 at 6:00 p.m.
Submitted by:
Kelly A. Lore, MMC
Clerk of the Board
12/19/2018 Minutes of Board Meeting Page 14 of 14
BOARD OF DIRECTORS Meeting Date TOBE.Of Dir.
-- O1/23/19
AGENDA REPORT Item Item
3
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Assistant General Manager
SUBJECT: PLANT NO. 1 RECTANGULAR PRIMARY CLARIFIER OVERHAUL
GENERAL MANAGER'S RECOMMENDATION
A. Approve a Service Contract to Mehta Mechanical Company Inc., replacing the
December 19, 2018 approval of a Purchase Order, for the mechanical
rehabilitation and overhaul of twenty-four (24) Primary Clarifier Tanks at Plant
No. 1, per Specification No. S-2018-985BD, for a total amount not to exceed
$1,998,000; and
B. Approve a contingency of$199,800 (10%).
BACKGROUND
At Orange County Sanitation District's (Sanitation District) Plant No. 1, there are 52
rectangular Primary Clarifier Tanks, which are the workhorse of the wastewater treatment
process, and their reliable operation is critical to meet both effluent treatment standards
and provide quality water to the Orange County Water District (OCWD) for reclamation.
Recently, the Sanitation District experienced breakdowns impacting several rectangular
Primary Clarifier Tanks, affecting the ability to process wastewater efficiently and limiting
treatment flow capacity. In July 2017, the Board of Directors authorized refurbishment of
10 of the 52 Primary Clarifier Tanks. The remaining 42 Primary Clarifier Tanks will be
refurbished over the next several years.
RELEVANT STANDARDS
• 24/7/365 treatment plant reliability
• Meet volume and water quality needs for the GW RS
• Maintain a proactive asset management program
PROBLEM
This work was approved last month as a Purchase Order contract. The item should have
been approved as a Service Contract. The contractual terms of a Service Contract are
more robust and offer more protection to the Sanitation District.
Page 1 of 3
PROPOSED SOLUTION
Staff recommends approval of the Service Contract to refurbish the rectangular primary
Clarifiers at Plant No.1.
TIMING CONCERNS
CIP Project Nos. P1-133 and P2-98, which will begin construction in 2021, will place a
greater emphasis and reliance on the rectangular Primary Clarifier Tanks at Plant No. 1.
Refurbishment of the rectangular Primary Clarifier Tanks should be completed before this
time.
RAMIFICATIONS OF NOT TAKING ACTION
Failure to take action will impact the Sanitation District's readiness to treat primary
treatment flows which will potentially delay or lengthen the duration of upcoming CIP
projects that are dependent on reliable primary treatment capacity during their
construction periods, as well as our ability to support the ability to supply the desired
quantity of effluent water to the GWRS.
PRIOR COMMITTEE/BOARD ACTIONS
December 2018 - Approve a Purchase Order contract to Mehta Mechanical Company
Inc. for the mechanical rehabilitation and overhaul of twenty-four (24) Primary Clarifier
tanks at Plant No. 1, per Specification No. S-2018-98513D,fora total amount notto exceed
$1,998,000.
June 2017 - Approved a Purchase Order to Frost Company for the mechanical
rehabilitation and overhaul of ten (10) Primary Clarifier Tanks at Plant No. 1.
ADDITIONAL INFORMATION
The Sanitation District issued a Notice Inviting Bids on September 27, 2018 for the
mechanical rehabilitation and overhaul of twenty-four(24) Primary Clarifier Tanks at Plant
No. 1, per Specification No. 5-2018-985BD. Four (4) sealed bids were received on
November 13, 2018. The bids were evaluated in accordance with the Sanitation District's
policies and procedures. Summary information of the bids received is as follows:
Bidder Amount
Mehta Mechanical Company Inc. $1,998,000
Tharsos Inc. $2,029,920
Spiess Construction Co. $2,086,400
California Building Evaluation & Construction Inc. $2,708,000
Page 2 d 3
Staff recommends awarding a Service Contract to the lowest responsive and responsible
bidder, Mehta Mechanical Company Inc., for the mechanical rehabilitation and overhaul
of twenty-four (24) Primary Clarifier Tanks.
A contingency of 10% is recommended because of the potential for additional work
required resulting from operating constraints and seasonal wet weather occurrences.
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, licensing, or minor
alteration of existing public or private structures, facilities, mechanical equipment, or
topographical features, involving negligible or no expansion of use beyond that existing
at the time of the lead agency's determination" including "(b) Existing facilities of both
investor and publicly-owned utilities used to provide electric power, natural gas,
sewerage, or other public utility services."
The project is exempt because it involves repairs and minor replacement of existing
facilities involving no expansion of use or capacity. A Notice of Exemption will be filed
with the Orange County Clerk-Recorder office after the Sanitation District Board approves
this agenda report.
FINANCIAL CONSIDERATIONS
This request complies with authority levels of the Sanitation District's Purchasing
Ordinance. This item has been budgeted in the FY18/19 and FY19/20 Operating Budget,
Division 870, Plant No. 1 Maintenance (Section 6, Page 92, Line item: Repairs and
Maintenance).
Date of Approval Contract Amount Contingency
01/23/19 $1,998,000 $199,800 (10%)
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (wwwocsd.com) with the
complete agenda package:
Service Contract
RT:gc
Page 3 of 3
SERVICE CONTRACT
Rehabilitation of Twenty-Four(24) Rectangular
Clarifiers at Plant 1 (MP-462)
Specification No. S-2018.985BD
THIS CONTRACT is made and entered into as of the date fully executed below, by and between
Orange County Sanitation District, with a principal place of business at 10844 Ellis Avenue,
Fountain Valley, CA 92708 (hereinafter referred to as "OCSD") and Mehta Mechanical Company
Inc. with a principal place of business at 5901 Fresca Drive La Palma ,CA, 90623(hereinafter
referred to as "Contractor")collectively referred to as the"Parties".
WITNESSETH
WHEREAS, OCSD desires to temporarily retain the services of Contractor for the Rehabilitation
of Twenty-Four(24) Rectangular Clarifiers at Plant 1 (MP-462) "Services"as described in
Exhibit"A"; and
WHEREAS, OCSD has chosen Contractor to conduct Services in accordance with Ordinance No.
OCSD-52; and
WHEREAS, on December 19, 2018, the Board of Directors of OCSD, by minute order, approved
a Purchase Order contract with the Contractor, and on January 23, 2019 the Board of Directors
of OCSD, by minute order authorized execution of this Service Contract between OCSD and
Contractor in lieu of a Purchase Order Contract; and
WHEREAS, Contractor is qualified by virtue of experience, training, and expertise to accomplish
such Services,
NOW, THEREFORE, in consideration of the mutual promises and mutual benefits exchanged
between the Parties, the Parties mutually agree as follows:
1. Introduction
1.1 This Contract and all exhibits hereto (called the "Contract") is made by OCSD and the
Contractor. The terms and conditions herein exclusively govern the purchase of Services
as described in Exhibit"A".
1.2 Exhibits to this Contract are incorporated by reference and made a part of this Contract as
though fully set forth at length herein.
Exhibit "A" Scope of Work, including all appendices and drawings included with the Notice
Inviting Bid (NIB)as may be modified by addendum, included herewith.
Exhibit 'B" Bid
Exhibit"C" Acknowledgement of Insurance Requirements
Exhibit"D" OCSD Safety Standards
Exhibit "E" Not Used
1.3 In the event of any conflict or inconsistency between the provisions of this Contract and any
of the provisions of the exhibits hereto, the provisions of this Contract shall in all respects
govern and control.
1.4 The provisions of this Contract may be amended or waived only by a writing executed by
Orange County Sanitation District 1 of 9 Specification No. S-2018-9858D
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authorized representatives of both Parties hereto.
1.5 The various headings in this Contract are inserted for convenience only and shall not affect
the meaning or interpretation of this Contract or any paragraph or provision hereof.
1.6 The term "days", when used in the Contract, shall mean calendar days, unless otherwise
noted as business days.
1.7 OCSD holidays (non-working days) are as follows: New Year's Day, Lincoln's Birthday,
Presidents' Day, Memorial Day, Independence Day, Labor Day, Veterans Day,
Thanksgiving Day, Day after Thanksgiving, Christmas Eve, and Christmas Day.
1.8 The term "hours", when used in this Contract, shall be as defined in Exhibit"A".
1.9 Contractor shall provide OCSD with all required premiums and/or overtime work at no
charge beyond the price provided under"Compensation" below.
1.10 Except as expressly provided otherwise, OCSD accepts no liability for any expenses,
losses, or action incurred or undertaken by Contractor as a result of work performed in
anticipation of purchases of said services by OCSD.
2. Compensation Compensation to be paid by OCSD to Contractor for the Services provided
under this Contract shall be a total amount not to exceed one million nine hundred and
ninety-eight thousand dollars ($1,998,000.00).
3. California Department of Industrial Relations(DIR)Registration and Record of Wages
3.1 To the extent Contractor's employees and/or its subcontractors who will perform Work
during the construction contract for which Prevailing Wage Determinations have been
issued by the DIR and as more specifically defined under Labor Code Section 1720 at seq,
Contractor and its subcontractors shall comply with the registration requirements of Labor
Code Section 1725.5. Pursuant to Labor Code Section 1771.4, the work is subject to
compliance monitoring and enforcement by the DIR.
3.2 The Contractor and its subcontractors shall maintain accurate payroll records and shall
comply with all the provisions of Labor Code Section 1776, and shall submit payroll records
to the Labor Commissioner pursuant to Labor Code 1771.4(a)(3). Penalties for non-
compliance with the requirements of Section 1776 may be deducted from progress
payments per Section 1776.
3.3 Pursuant to Labor Code Section 1776, the Contractor and its subcontractors shall furnish a
copy of all certified payroll records to OCSD and/or general public upon request, provided
the public request is made through OCSD, the Division of Apprenticeship Standards or the
Division of Labor Standards Enforcement of the Department of Industrial Relations.
3.4 The Contractor and its subcontractors shall comply with the job site notices posting
requirements established by the Labor Commissioner per Title 8, California Code of
Regulation Section 16461(e).
4. Payments and Invoicing
Contractor shall be paid as required by the bid price form by OCSD upon approval of all
invoices by OCSD's Project Manager or designee, for Services rendered as required in
Exhibit "A". OCSD, at its sole discretion, shall be the determining party as to whether the
Services have been satisfactorily completed.
Orange County Sanitation District 2 of 9 Specification No. S-2018-9858D
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4.1 Invoices shall be emailed by Contractor to OCSD Accounts Payable at
APStaff(pD.00SD.com and "INVOICE"with the Purchase Order Number and S-2018-985BD
shall be referenced in the subject line.
5. Audit Rights Contractor agrees that, during the term of this Contract and for a period of
Three (3) years after its termination, OCSD shall have access to and the right to examine
any directly pertinent books, documents, and records of Contractor relating to the invoices
submitted by Contractor pursuant to this Contract.
6. Scope of Work Subject to the terms of this Contract, Contractor shall perform the Services
identified in Exhibit"A". Contractor shall perform said Services in accordance with generally
accepted industry and professional standards.
7. Modifications to Scope of Work Requests for modifications to the Scope of Work
hereunder can be made by OCSD at any time. All modifications must be made in writing
and signed by both Parties.
6. Contract Term The Services provided under this Contract shall be completed within one
(1) year from the effective date of the Notice to Proceed.
9. Renewals
Not Used.
10. Extensions The term of this Contract may be extended only by written instrument signed
by both Parties.
11. Performance Time is of the essence in the performance of the provisions hereof.
12. Termination
12.1 OCSD reserves the right to terminate this Contract for its convenience, with or without
cause, in whole or in part, at any time, by written notice from OCSD of intent to terminate.
Upon receipt of a termination notice,Contractor shall immediately discontinue all work under
this Contract(unless the notice directs otherwise). OCSD shall thereafter, within thirty(30)
days, pay Contractor for work performed(cost and fee)to the date of termination. Contractor
expressly waives any claim to receive anticipated profits to be earned during the
uncompleted portion of this Contract. Such notice of termination shall terminate this
Contract and release OCSD from any further fee, cost or claim hereunder by Contractor
other than for work performed to the date of termination.
12.2 OCSD reserves the right to terminate this Contract immediately upon OCSD's determination
that Contractor is not complying with the Scope of Work requirements, if the level of service
is inadequate, or any other default of this Contract.
12.3 OCSD may also immediately cancel for default of this Contract in whole or in part by written
notice to Contractor:
• if Contractor becomes insolvent or files a petition under the Bankruptcy Act; or
• if Contractor sells its business; or
• if Contractor breaches any of the terms of this Contract; or
• if total amount of compensation exceeds the amount authorized under this Contract.
12.4 All OCSD property in the possession or control of Contractor shall be returned by Contractor
to OCSD upon demand, or at the termination of this Contract, whichever occurs first.
Orange County Sanitation District 3 of 9 Specification No. S-2018-9858D
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13. Insurance Contractor and all subcontractors shall purchase and maintain, throughout the
life of this Contract and any periods of warranty or extensions, insurance in amounts equal
to the requirements set forth in the signed Acknowledgement of Insurance Requirements
(attached hereto and incorporated herein as Exhibit "C"). Contractor shall not commence
work under this Contract until all required insurance is obtained in a form acceptable to
OCSD, nor shall Contractor allow any subcontractor to commence service pursuant to a
subcontract until all insurance required of the subcontractor has been obtained. Failure to
maintain required insurance coverage shall result in termination of this Contract.
14. Bonds
Not Used.
15. Indemnification and Hold Harmless Provision Contractor shall assume all responsibility
for damages to property and/or injuries to persons, including accidental death, which may
arise out of or be caused by Contractor's services under this Contract, or by its
subcontractor(s) 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
Contract. Except as to the sole active negligence of or willful misconduct of OCSD,
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 property or interference with the use of property, arising
out of or in connection with Contractor's performance under the Contract, and/or (b) on
account of use of any copyrighted or uncopyrighted material, composition, or process, or
any patented or unpatented invention, article or appliance, furnished or used under the
Contract, and/or (c) on account of any goods and services provided under this Contract.
This indemnification provision shall apply to any acts or omissions, willful misconduct, or
negligent misconduct, whether active or passive, on the part of Contractor of or anyone
employed by or working under Contractor. To the maximum extent permitted by law,
Contractor's duty to defend shall apply whether or not such claims, allegations, lawsuits, or
proceedings have merit or are meritless, or which involve claims or allegations that any of
the parties to be defended were actively, passively, or concurrently negligent, or which
otherwise assert that the parties to be defended are responsible, in whole or in part, for any
loss, damage, or injury. Contractor agrees to provide this defense immediately upon written
notice from OCSD, and with well qualified, adequately insured, and experienced legal
counsel acceptable to OCSD.
16. OCSD Safety Standards OCSD requires Contractor and its subcontractor(s)to follow and
ensure their employees follow all Federal, State, and local regulations as well as OCSD
Safety Standards while working at OCSD locations. If during the course of the Contract it is
discovered that OCSD Safely Standards do not comply with Federal, Slate, or local
regulations, then the Contractor is required to follow the most stringent regulatory
requirement at no additional cost to OCSD. Contractor and all of its employees and
subcontractors, shall adhere to all applicable OCSD Safely Standards attached hereto in
Exhibit "D".
17. Warranties In addition to the warranties stated in Exhibit"A", the following shall apply:
17.1 Manufacturer's standard warranty shall apply. All manufacturer warranties shall commence
on the date of acceptance by the OCSD Project Manager or designee of the work as
complete.
17.2 Contractor's Warranty (Guarantee): If within a one (1)year period of completion of all work
as specified in Exhibit "A", OCSD informs Contractor that any portion of the Services
Orange County Sanitation District 4 of 9 Specification No. S-2018-9858D
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provided fails to meet the standards required under this Contract, Contractor shall, within
the time agreed to by OCSD and Contractor, take all such actions as are necessary to
correct or complete the noted deficiency(ies) at Contractor's sole expense.
18. Liquidated Damages
Not Used.
19. Force Majeure Neither party shall be liable for delays caused by accident, Flood, acts of
God, fire, labor trouble, war, acts of government or any other cause beyond its control, but
said party shall use reasonable efforts to minimize the extent of the delay. Work affected
by a Force Majeure condition may be rescheduled by mutual consent or may be eliminated
from the Contract.
20. Freight (F.O.B. Destination) Contractor assumes full responsibility for all transportation,
transportation scheduling, packing, handling, insurance, and other services associated with
delivery of all products deemed necessary under this Contract.
21. Familiarity with Work By executing this Contract, Contractor warrants that: 1) it has
investigated the work to be performed; 2)it has investigated the site of the work and is aware
of all conditions there; and 3) it understands the facilities, difficulties and restrictions of the
work under this Contract. Should Contractor discover any latent or unknown conditions
materially differing from those inherent in the work or as represented by OCSD, it shall
immediately inform OCSD of this and shall not proceed, except at Contractor's risk, until
written instructions are received from OCSD.
22. Regulatory Requirements Contractor shall perform all work under this Contract in strict
conformance with applicable Federal, State, and local regulatory requirements including,
but not limited to, 40 CFR 122, 123, 124, 257, 258, 260, 261, and 503, Title 22, 23, and
California Water Codes Division 2.
23. Licenses, Permits. Ordinances and Reaulations Contractor represents and warrants to
OCSD that it has obtained all licenses, permits, qualifications, and approvals of whatever
nature that are legally required to engage in this work. Any and all fees required by Federal,
State, County, City and/or municipal laws, codes and/or tariffs that pertain to the work
performed under the terms of this Contract will be paid by Contractor.
24. Applicable Laws and Reaulations Contractor shall comply with all applicable Federal,
State, and local laws, rules, and regulations. Contractor also agrees to indemnify and hold
harmless from any and all damages and liabilities assessed against OCSD as a result of
Contractor's noncompliance therewith. Any permission required by law to be included
herein shall be deemed included as a part of this Contract whether or not specifically
referenced.
25. Contractor's Employees Compensation
25.1 Davis-Bacon Act — Contractor will pay and will require all subcontractors to pay all
employees on said project a salary or wage at least equal to the prevailing rate of per diem
wages as determined by the Secretary of Labor in accordance with the Davis-Bacon Act for
each craft or type of worker needed to perform the Contract. The provisions of the Davis-
Bacon Act shall apply only if the Contract is in excess of two thousand dollars ($2,000.00)
and when twenty-five percent (25%) or more of the Contract is funded by Federal
assistance. If the aforesaid conditions are met, a copy of the provisions of the Davis-Bacon
Act to be complied with are incorporated herein as a part of this Contract and referred to by
reference.
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25.2 General Prevailing Rate —OCSD has been advised by the State of California Director of
Industrial Relations of its determination of the general prevailing rate of per diem wages and
the general prevailing rate for legal holiday and overtime work in the locality in which the
work is to be performed for each craft or type of work needed to execute this Contract, and
copies of same are on file in the Engineering Department. The Contractor agrees that not
less than said prevailing rates shall be paid to workers employed on this Contract as required
by Labor Code Section 1774 of the State of California. Per California Labor Code 1773.2,
OCSD will have on file copies of the prevailing rate of per diem wages at its principal office
and at each project site,which shall be made available to any interested party upon request.
25.3 Forfeiture For Violation — Contractor shall, as a penalty to OCSD, forfeit fifty dollars
($50.00) for each calendar day or portion thereof for each worker paid (either by the
Contractor or any subcontractor under it)less than the prevailing rate of per diem wages as
set by the Director of Industrial Relations, in accordance with Sections 1770-1780 of the
California Labor Code for the work provided for in this Contract, all in accordance with
Section 1775 of the Labor Code of the State of California.
25.4 Apprentices—Sections 1777.5, 1777.6, 1777.7 of the Labor Code of the State of California,
regarding the employment of apprentices are applicable to this Contract and the Contractor
shall comply therewith if the prime contract involves thirty thousand dollars ($30,000.00) or
more or twenty(20)working days or more;or if contracts of specialty contractors not bidding
for work through the general or prime Contractor are two thousand dollars ($2,000.00) or
more or five (5)working days or more.
25.5 Workday—In the performance of this Contract, not more than eight(8)hours shall constitute
a day's work, and the Contractor shall not require more than eight(8)hours of labor in a day
from any person employed by it hereunder. Contractor shall conform to Article 3, Chapter
1, Part 7 (Section 1810 at seq.)of the Labor Code of the State of California and shall forfeit
to OCSD as a penalty, the sum of twenty-five dollars ($25.00)for each worker employed in
the execution of this Contract by Contractor or any subcontractor for each calendar day
during which any worker is required or permitted to labor more than eight (8) hours in any
one (1) calendar day and forty (40) hours in any one (1) week in violation of said Article.
Contractor shall keep an accurate record showing the name and actual hours worked each
calendar day and each calendar week by each worker employed by Contractor in connection
with the project.
25.6 Record of Wages; Inspection — Contractor agrees to maintain accurate payroll records
showing the name, address, social security number, work classification, straight-time and
overtime hours worked each day and week, and the actual per diem wages paid to each
journeyman, apprentice, worker or other employee employed by it in connection with the
project and agrees to require that each of its subcontractors do the same. All payroll records
shall be certified as accurate by the applicable Contractor or subcontractor or its agent
having authority over such matters. Contractor further agrees that its payroll records and
those of its subcontractors shall be available to the employee or employee's representative,
the Division of Labor Standards Enforcement, and the Division of Apprenticeship Standards
and shall comply with all of the provisions of Labor Code Section 1776, in general. Penalties
for non-compliance with the requirements of Section 1776 may be deducted from project
payments per the requirements of Section 1776.
26. South Coast Air Quality Management District's (SCAQMD) Reouirements It is
Contractor's responsibility that all equipment furnished and installed be in accordance with
the latest rules and regulations of the South Coast Air Quality Management District
(SCAQMD). All Contract work practices, which may have associated emissions such as
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sandblasting, open field spray painting or demolition of asbestos containing components or
structures, shall comply with the appropriate rules and regulations of the SCAQMD.
27. Governing Law This Contract shall be governed by and interpreted under the laws of the
State of California and the Parties submit to jurisdiction in the County of Orange, in the event
any action is brought in connection with this Contract or the performance thereof.
28. Breach The waiver of either party of any breach or violation of, or default under, any
provision of this Contract, shall not be deemed a continuing waiver by such party of any
other provision or of any subsequent breach or violation of this Contract or default
thereunder. Any breach by Contractor to which OCSD does not object shall not operate as
a waiver of OCSD's rights to seek remedies available to it for any subsequent breach.
29. Remedies In addition to other remedies available in law or equity, if the Contractor fails to
make delivery of the goods or Services or repudiates its obligations under this Contract, or
if OCSD rejects the goods or Services or revokes acceptance of the goods or Services,
OCSD may (1) cancel the Contract; (2) recover whatever amount of the purchase price
OCSD has paid, and/or (3) "cover' by purchasing, or contracting to purchase, substitute
goods or Services for those due from Contractor. In the event OCSD elects to "cover" as
described in (3), OCSD shall be entitled to recover from Contractor as damages the
difference between the cost of the substitute goods or Services and the Contract price,
together with any incidental or consequential damages.
30. Dispute Resolution
30.1 In the event of a dispute as to the construction or interpretation of this Contract, or any rights
or obligations hereunder, the Parties shall first attempt, in good faith, to resolve the dispute
by mediation. The Parties shall mutually select a mediator to facilitate the resolution of the
dispute. If the Parties are unable to agree on a mediator, the mediation shall be conducted
in accordance with the Commercial Mediation Rules of the American Arbitration Agreement,
through the alternate dispute resolution procedures of Judicial Arbitration through Mediation
Services of Orange County ("JAMS"), or any similar organization or entity conducting an
alternate dispute resolution process.
30.2 In the event the Parties are unable to timely resolve the dispute through mediation, the
issues in dispute shall be submitted to arbitration pursuant to California Code of Civil
Procedure, Part 3, Title 9, Sections 1280 at seq. For such purpose, an agreed arbitrator
shall be selected, or in the absence of agreement, each party shall select an arbitrator, and
those two(2)arbitrators shall select a third. Discovery may be conducted in connection with
the arbitration proceeding pursuant to California Code of Civil Procedure Section 1283.05.
The arbitrator, or three (3) arbitrators acting as a board, shall take such evidence and make
such investigation as deemed appropriate and shall render a written decision on the matter
in question. The arbitrator shall decide each and every dispute in accordance with the laws
of the State of California. The arbitrator's decision and award shall be subject to review for
errors of fact or law in the Superior Court for the County of Orange, with a right of appeal
from any judgment issued therein.
31. Attorney's Fees If any action at law or in equity or if any proceeding in the form of an
Alternative Dispute Resolution (ADR) is necessary to enforce or interpret the terms of this
Contract, the prevailing party shall be entitled to reasonable attorney's fees, costs and
necessary disbursements in addition to any other relief to which he may be entitled.
32. Survival The provisions of this Contract dealing with Payment, Warranty, Indemnity, and
Forum for Enforcement, shall survive termination or expiration of this Contract.
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33. Severability If any section, subsection, or provision of this Contract, or any agreement or
instrument contemplated hereby, or the application of such section, subsection, or provision
is held invalid,the remainder of this Contract or instrument in the application of such section,
subsection or provision to persons or circumstances other than those to which it is held
invalid, shall not be affected thereby, unless the effect of such invalidity shall be to
substantially frustrate the expectations of the Parties.
34. Damage to OCSD's Property Any of OCSD's property damaged by Contractor, any
subcontractors or by the personnel of either will be subject to repair or replacement by
Contractor at no cost to OCSD.
35. Disclosure Contractor agrees not to disclose, to any third party, data or information
generated from this project without the prior written consent from OCSD.
36. Independent Contractor The legal relationship between the parties hereto is that of an
independent contractor, and nothing herein shall be deemed to make Contractor an OCSD
employee. During the performance of this Contract, Contractor and its officers, employees,
and agents shall act in an independent capacity and shall not act as OCSD's officers,
employees, or agents. Contractor and its officers, employees, and agents shall obtain no
rights to any benefits which accrue to OCSD's employees.
37. Limitations upon Subcontracting and Assignment Contractor shall not delegate any
duties nor assign any rights under this Contract without the prior written consent of OCSD.
Any such attempted delegation or assignment shall be void.
36. Third Party Rights Nothing in this Contract shall be construed to give any rights or benefits
to anyone other than OCSD and Contractor.
39. Non-Liability of OCSD Officers and Employees No officer or employee of OCSD shall
be personally liable to Contractor, or any successor-in-interest, in the event of any default
or breach by OCSD or for any amount which may become due to Contractor or to its
successor, or for breach of any obligation for the terms of this Contract.
40. Read and Understood By signing this Contract, Contractor represents that he has read
and understood the terms and conditions of the Contract.
41. Authority to Execute The persons executing this Contract on behalf of the Parties warrant
thaI they are duly authorized to execute this Contract and that by executing this Contract,
the Parties are formally bound.
42. Entire Contract This Contract constitutes the entire agreement of the Parties and
supersedes all prior written or oral and all contemporaneous oral agreements,
understandings, and negotiations between the Parties with respect to the subject matter
hereof.
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43. Notices All notices under this Contract must be in writing. Written notice shall be delivered
by personal service or sent by registered or certified mail, postage prepaid, return receipt
requested, or by any other overnight delivery service which delivers to the noticed
destination and provides proof of delivery to the sender. Rejection or other refusal to accept
or the inability to deliver because of changed address for which no notice was given as
provided hereunder shall be deemed to be receipt of the notice, demand or request sent.
All notices shall be effective when first received at the following addresses:
OCSD: Darius Ghazi
Senior Buyer
Orange County Sanitation District
10844 Ellis Avenue
Fountain Valley, CA 92708
Contractor: Jay Mehta
President
Mehta Mechanical Company Inc.
5901 Fresca Drive
La Palma, CA, 90623
Each party shall provide the other party written notice of any change in address as soon as
practicable.
IN WITNESS WHEREOF, intending to be legally bound, the Parties hereto have caused this
Contract to be signed by the duly authorized representatives.
ORANGE COUNTY SANITATION DISTRICT
Dated: By:
David John Shawver
Board Chairman
Dated: By:
Kelly A. Lore
Clerk of the Board
Dated: By:
Marc Dubois
Contracts, Purchasing and Materials
Management Manager
MEHTA MECHANICAL COMPANY INC.
Dated: By:
Print Name and Title of Officer
IRS Employer's I.D. Number
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BOARD OF DIRECTORS Meeting Date TOBE.Or Dir.
-- O1/23/19
AGENDA REPORT ItemNumber IemNumber
a
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Assistant General Manager
SUBJECT: OCEAN OUTFALL SYSTEM REHABILITATION, PROJECT NO. J-117
GENERAL MANAGER'S RECOMMENDATION
Authorize staff to purchase Course of Construction insurance for an amount not to exceed
$510,000.
BACKGROUND
Ocean Outfall System Rehabilitation, Project No. J-117, includes Outfall Low Flow Pump
Station, Contract No. J-117B, which will construct a new Outfall Low Flow Pump Station
and rehabilitate the existing Ocean Ouffall Booster Station. The contract also includes
construction of a new plant water pump station required to separate reclaimable and
non-reclaimable flows to support the Orange County Water District's reclamation of Plant
No. 2 effluent and construction of SCADA System and Network Upgrades. This
construction contract was approved at the December 2018 Board Meeting.
RELEVANT STANDARDS
• Protect Orange County Sanitation District assets
PROBLEM
The Orange County Sanitation District's (Sanitation District) regular property insurance
does not cover facilities being constructed. Course of Construction insurance, also called
Builder's Risk insurance, is used to cover construction of new buildings. The Sanitation
District has an existing insurance policy that provides Course of Construction insurance
for construction contracts that are valued at less than $50 million. The construction
contract for the Outfall Low Flow Pump Station, Contract No. J-117B, is $90,200,000.
PROPOSED SOLUTION
Purchase Course of Construction insurance, including earth movement and flood
coverage, in an amount not to exceed $510,000.
TIMING CONCERNS
Notice to proceed for Outfall Low Flow Pump Station, Contract No. J-117B, is scheduled
for January 24, 2019. Without Course of Construction insurance, the Sanitation District
would be at risk of missing its timeline for the project.
Page 1 d 3
RAMIFICATIONS OF NOT TAKING ACTION
The Sanitation District would be uninsured for a $90 million project.
PRIOR COMMITTEE/BOARD ACTIONS
December 2018 -Awarded a Construction Contract to Shimmick Construction Company,
Inc. for a total amount not to exceed $90,200,000; and approved a construction contract
contingency of$7,216,000 (8%).
ADDITIONAL INFORMATION
Project J-117B is located at Plant No. 2, a property known to have earthquake faults and
borders the Pacific Ocean. The Invitation for Bids for this project included language that
the Sanitation District would purchase Course of Construction insurance at its sole cost
and expense or self-insure builder's risk losses.
Course of Construction insurance is essentially property insurance for new construction
and remodel projects,while they are being built. It must be purchased separate and apart
from the Sanitation District's current property policy since it only covers existing property
and not new construction.
Course of Construction insurance protects both the Sanitation District and the Contractor
from the impact of fires, floods, and other losses (including earth movement, when
purchased) at a construction project.
The proposed builder's risk policy would provide $15,000,000 earth movement coverage
and $15,000,000 flood coverage. Earth movement provides coverage for incidents such
as subsidence, sink holes, and earthquakes.
The Board instructed the Sanitation District to "control coverage, achieve consistency of
coverage, and realize insurance cost savings on construction projects" by creating a
master program of Course of Construction insurance, but that program only covers
projects up to $50 million. The current policy is intended to cover multiple projects, and
the cost of J-117B far exceeds the limits of the policy on its own.
Outfall Low Flow Pump Station, Contract No. J-117B, is a large project with numerous
aspects of construction. The duration of the construction is over five years, and the
project is located on a fault zone bordered by the Pacific Ocean. The contract between
the Sanitation District and the Contractor requires the Sanitation District to either provide
builder's risk coverage or self-insure for any losses.
CEQA
An Initial Study/Mitigated Negative Declaration and Mitigation Monitoring and Reporting
Program for the Outfall Low Flow Pump Station, Contract No. J-117B, was adopted by
Page 2 of 3
the Board on September 27, 2017. The Notice of Determination was filed with the Orange
County Clerk-Recorder on October 2, 2017.
FINANCIAL CONSIDERATIONS
This request complies with authority levels of the Sanitation District's Purchasing
Ordinance. This item has been budgeted (Fiscal Year 2018-19 and 2019-20 Budget,
Section 8, Page 37) and the budget is sufficient for this action.
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.coml with the
complete agenda package:
N/A
JM:dm
Page 3 of 3
BOARD OF DIRECTORS Meeting Date TOBE.Of Dir.
-- O1/23/19
AGENDA REPORT ItemNumber IemNumber
s
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Assistant General Manager
SUBJECT: RATIFICATION OF PURCHASES UNDER GRAINGER PURCHASE
ORDER NO. 105577-OB
GENERAL MANAGER'S RECOMMENDATION
Approve an increase of $35,000 to Blanket Purchase Order No. 105577-OB with W.W.
Grainger, Inc. for the ratification of purchases of maintenance tools and supplies, in
accordance with Ordinance No. OCSD-52, Section 2.03(B): Cooperative Procurement,
for the period beginning March 1, 2018 through February 28, 2019, for a total amount not
to exceed $310,000.
BACKGROUND
The Orange County Sanitation District (Sanitation District) requires parts and supplies,
which may be one-time purchases or purchased infrequently, such that it is not
appropriate to stock them in the Sanitation District's warehouse. The Purchase Order
with W.W. Grainger, Inc. was approved for these one-time purchases. During the current
term however, the approved amount of$275,000 was exceeded.
RELEVANT STANDARDS
Participate in local, state, and national cooperative purchasing programs
Maintain a culture of improving efficiency to reduce the cost to provide the current
service level or standard
PROBLEM
In preparing for the wet weather season, the Grainger Purchase Order was utilized by
staff to a greater amount than in previous months without proper administrative controls
in place to limit total spending. As a result, the total approved amount of the Purchase
Order was reached before actions could be taken to cease orders.
PROPOSED SOLUTION
Staff recommends approving an increase to the Purchase Order of$35,000 for the current
year only. Additionally, staff developed and implemented new administrative controls on
this and similar blanket purchase orders to ensure compliance with approved spending
limits.
Page 1 of 2
TIMING CONCERNS
N/A
RAMIFICATIONS OF NOT TAKING ACTION
If the proposed increase in spending authority is not approved, the Sanitation District will
not be able to fulfill invoices for ordered materials and supplies with W.W. Grainger, Inc.
until the next contract term beginning March 1, 2019.
PRIOR COMMITTEE/BOARD ACTIONS
February 2016 - Approved a Purchase Order with W.W. Grainger, Inc. for the purchase
of maintenance tools and supplies, in accordance with Ordinance No. OCSD47, Section
2.03(B): Cooperative Procurement, for the period beginning March 1, 2016 through
February 28, 2017 with three one-year renewal option years for a total amount not to
exceed $275,000 per year.
ADDITIONAL INFORMATION
N/A
CEQA
N/A
FINANCIAL CONSIDERATIONS
This request complies with authority levels of the Sanitation District's Purchasing
Ordinance. This item has been budgeted in the FY18/19 budget, Operations and
Maintenance, Divisions 870 and 880 (Line item: Repairs and maintenance, Section 6,
Pages 92 and 100).
Date of Approval Contract Amount Contingency
02/24/16 $275,000
01/23/19 $ 35,000
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.coml with the
complete agenda package:
N/A
SL:CL:ab:gc
Page 2 d 2
ITEM NO. 6
MINUTES OF THE MEETING
GROUNDWATER REPLENISHMENT SYSTEM STEERING COMMITTEE
Monday, October 8, 2018
r>r S^ I) rector Sebourn called the Groundwater Replenishment System Steering Committee
i i order in the Boardroom at the District office. Following the Pledge of Allegiance to
,..r ne Secretary called the roll and reported a quorum.
committee Members
k ;`.kh - Chair (absent)
, oournk
r.;iiyman
i.;ieen
'oes (absent)
:....odeau
Alternates
177-1 1. 7agner (absent)
l:r.vans (abs nt)
.I. ..o hllt, (able, iti
,v..b :, rat scot)
"Pit,iker was in attendance.
OCWD Staft OCSD Staff
I ;: in- Torres im Herberg
I+II r':irk ,�, M �I'd I=,1 , i. %:olt Roberts Jennifer Cabral
Vn +:.nal _II i V,s'::i 11 ,tiia Secretary Jim Colston
CONSENT CALENDAR
The Consent Calendar was approved upon motion by Director Green, seconded by Director
Ferryman and carried [5-0-1 as follows.
Yes- Sebourn, Green, Ferryman, Bilodeau, Shaw
1. Minutes of Previous Meeting
The minutes of the GWRS Steering Committee meeting held July 9, 2018 are approved
as presented.
INFORMATIONAL ITEMS
2, GWRS Operations Update
Executive Director Mehul Patel reported the average daily average production for the quarter
July through September 2018 was 62.6 mgd. He advised the lower production rate is due to a
plant outage for noi ma! maintenance during this reporting period as well as for a project to add
a new lining to a portion of the GWRS pipeline. Mr. Patel stated that the GWRS has run at a
reduced production rate of 30 mgd with flow only being sent to the Talbert Seawater Intrusion
Barrier since August 22, 2018 due to the addition of a new lining to a portion of the GWRS
p,pclin.e. I re ad✓ised the GWRS pipeline re-lining project will add an epoxy-based liner to
repair a deterioration of Iihe existing rncrtar lining. He stated it is anticipated that the GWRS
would be able resume normal production after completion of the project scheduled to be
complete by October 3i1.
3. Update on GWRS Final Expansion Project
GWRS Program Manager Sandy Scott-Roberts stated that a revised GWRSFE Project Budget
was recently approved by the OCWD Board of Directors on September 19, 2018. She provided
an overview of the revised budget and advised that the revision was due to the addition of new
treatment equipment required to provide the same level of GWRS treatment with a new water
quality source from OCSD's Plant No. 2. Ms. Scott-Roberts provided an update on the status of
the project elements and reported that the design on all project components is progressing as
anticipated.
4. Quarterly Outreach Report [July- September 20181
Director of Public Affairs Eleanor Torres stated the report is contained in the packet. She noted
OCWD and OCSD received the 2018 Award of Excellence from the Orange County Chapter of
the Public Relations Society of America (OCPRSA) for the agencies' "GWRS Bottled Water
Campaign."
ADJOURNMENT
There being no further business to come before the Committee, the meeting was adjourned at
5:25 p.m.
OCWD Dir to athy Green
2
MINUTES OF THE
STEERING COMMITTEE
Orange County Sanitation District
Wednesday, November 28, 2018 at 5:00 p.m.
A regular meeting of the Steering Committee of the Orange County Sanitation
District was called to order by Board Chairman Greg Seboum on Wednesday,
November 28, 2018 at 5:04 p.m. in the Administration Building of the Orange County
Sanitation District.
A quorum was declared present, as follows:
COMMITTEE MEMBERS PRESENT: STAFF PRESENT:
Greg Sebourn, Board Chair Jim Herberg, General Manager
David Shawver, Board Vice-Chair Rob Thompson, Assistant General
Peter Kim, LaPA Committee Chair Manager
Chad Wanke, Administration Committee Lorenzo Tyner, Assistant General
Chair Manager
Ellery Deaton, Member-At-Large Celia Chandler, Director of Human
Donald Wagner, Member-At-Large Resources
Jim Colston, Director of Environmental
COMMITTEE MEMBERS ABSENT: Services
John Withers, Operations Committee Ed Torres, Director of Operations and
Chair Maintenance
Kelly Lore, Clerk of the Board
Janine Aguilar
Jennifer Cabral
Mike Dorman
Al Garcia
Tina Knapp
Laura Maravilla
Kathy Millea
Andrew Nau
Ddaze Phuong
Tyler Ramirez
OTHERS PRESENT:
Brad Hogin, General Counsel
PUBLIC COMMENTS:
No public comments were provided.
',' 28 20-8 Steering committee Minutes Page f of 5
REPORTS:
Chair Seboum did not provide a report.
General Manager Jim Herberg provided information regarding the organizational
realignment with Operations & Maintenance and Engineering Departments.
Mr. Herberg also announced that Director of Operations & Maintenance Ed Torres
has announced his retirement in early January. He stated that, as a result, staff is
requesting an upgrade to the vacant position to the Director of Engineering on
tonight's agenda. Mr. Herberg went on to say that Assistant General Manager Rob
Thompson will assume the role of Assistant General Manager and Director of
Operations and Maintenance, and an open recruitment for the Director of Engineering
will begin in December.
CONSENT CALENDAR:
1. APPROVAL OF MINUTES (Clerk of the Board)
Clerk of the Board Kelly Lore stated a correction to the minutes.
MOVED. SECONDED, AND DULY CARRIED TO: Approve Minutes of the
Regular Meeting of the Steering Committee held on October 24, 2018.
AYES: Deaton, Kim, Seboum, Wagner and Wanke
NOES: None
ABSTENTIONS: None
ABSENT: Shawver and Withers
NON-CONSENT ITEMS
2. NEW POLICY REGARDING THE DISPOSITION OF EXTERNAL SIGNAGE
ON ORANGE COUNTY SANITATION DISTRICT PROPERTY
(Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board
of Directors to: Adopt Resolution No. OCSD 18-XX entitled: "A Resolution of
The Board of Directors of Orange County Sanitation District Adopting The"Sign
Removal Policy'.
AYES: Deaton, Kim, Sebourn, Wagner and Wanke
NOES: None
ABSTENTIONS: None
ABSENT: Shawver and Withers
1 28 201 B Steering CommiKee Minutes Page 2 of 5
3. REVISED POLICY REGARDING BOARD OF DIRECTORS' EXPENSE
REIMBURSEMENT, MEETING ATTENDANCE AND COMPENSATION
(Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board
of Directors to: Adopt Resolution No. OCSD 18-XX entitled: "A Resolution of
the Board of Directors of the Orange County Sanitation District Adopting a
Revised Policy Regarding Board of Directors' Expense Reimbursement,
Meeting Attendance and Compensation; and Repealing Resolution No. OCSD
15-06."
AYES: Deaton, Kim, Seboum, Wagner and Wanke
NOES: None
ABSTENTIONS: None
ABSENT: Shawver and Withers
Vice-Chair Shawver arrived at the meeting at 5:08 p.m.
4. LABOR RELATIONS — CONTRACT NEGOTIATIONS (Celia Chandler)
MOVED, SECONDED. AND DULY CARRIED TO: Recommend to the Board
of Directors to: Authorize/Direct the Steering Committee to form an Ad Hoc
Committee for the purpose of interviewing and selecting an external Chief
Negotiator for the upcoming contract negotiations with all six (6) bargaining
units at the Orange County Sanitation District.
AYES: Deaton, Kim, Sebourn, Shawver, Wagner and Wanks
NOES: None
ABSTENTIONS: None
ABSENT: Withers
Board Vice-Chair Shawver and Directors Wagner and Kim volunteered to serve on the
Committee.
5. POSITION CHANGE FOR FY 2018-19 AND 2019-20 (Celia Chandler)
Director of Human Resources Celia Chandler provided information regarding
the changes included in this item.
MOVED. SECONDED, AND DULY CARRIED TO: Recommend to the Board
of Directors to: Approve an upgrade of the vacant Director of Finance &
Administrative Services (Salary Grade EM25) position to Director of
Engineering (Salary Grade EM27).
AYES: Deaton, Kim, Seboum, Shawver, Wagner and Wanke
NOES: None
ABSTENTIONS: None
ABSENT: Withers
11/28/2018 Steenng Cm.ittee Minutes Page 3 of 5
6. STRATEGIC PLAN UPDATE (Rob Thompson)
Assistant General Manager Rob Thompson provided a brief report to the
Committee regarding the Strategic Plan Update.
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board
of Directors to:
A. Approve the Strategic Plan 2018-2019 Update; and
B. Direct staff to implement the goals and levels of service contained in the
Plan.
AYES: Deaton, Kim, Sebourn, Shawver, Wagner and Wanke
NOES: None
ABSTENTIONS: None
ABSENT: Withers
CLOSED SESSION
CONVENED IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE
SECTION 54956.9(d)(2):
The Board convened in closed session at 5:22 p.m. to discuss one item. Confidential
minutes of the Closed Session have been prepared in accordance with the above
Government Code Section and are maintained by the Clerk of the Board in the Official
Book of Confidential Minutes of Board and Committee Closed Session Meetings.
RECONVENED IN REGULAR SESSION:
The Board reconvened in regular session at 5:27 p.m.
CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED
SESSION:
General Counsel Brad Hogin did not provide a report.
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA
ITEMS, IF ANY:
None.
ADJOURNMENT:
Chair Sebourn declared the meeting adjourned at 5:29 p.m. to the next Steering
Committee meeting to be held on Wednesday, December 19, 2018 at 5:00 p.m.
11I28M18 Steenng Committee Minutes Page 4 of 5
Submitted by:
Kel;y A. ore, M
Clerk o the and
11/28/201 B Steering Committee Minutes Page 5 of 5
MINUTES OF THE
OPERATIONS COMMITTEE
Orange County Sanitation District
Wednesday, December 5, 2018, 5:00 p.m.
A regular meeting of the Operations Committee was called to order by Committee Chair
Withers on Wednesday, December 5, 2018 at 5:00 p.m. in the Administration Building.
Director Robert Collacott led the Flag Salute.
A quorum was declared present, as follows:
COMMITTEE MEMBERS PRESENT: STAFF PRESENT:
John Withers, Chair Jim Herberg, General Manager
Ellery Deaton, Vice-Chair Rob Thompson, Assistant General Manager
Denise Barnes Lorenzo Tyner, Assistant General Manager
Allan Bernstein Ed Torres, Director of Operations & Maintenance
Robert Collacott Jim Colston, Director of Environmental Services
Steve Jones Kelly Lore, Clerk of the Board
Scott Peotter Bob Bell
Tim Shaw Jennifer Cabral
Jesus Silva (Alternate) Mike Dorman
Fred Smith Natasha Dubrovski
Mariellen Yarc Dean Fisher
David Shawver, Board Vice-Chair Alfredo Garcia
Ted Gerber
COMMITTEE MEMBERS ABSENT: Cortney Light
Phil Hawkins Kathy Millea
Michelle Steel Jeff Mohr
Riaz Moinuddin
Umesh Murthy
Adam Nazaroff
Valerie Ratto
Larry Roberson
Victoria Pilko
Roya Sohanaki
Thomas Vu
OTHERS PRESENT:
Brad Hogin, General Counsel
PUBLIC COMMENTS:
None.
REPORT OF COMMITTEE CHAIR:
Chair Withers did not provide a report.
12952Jr3 Operations Committee Minutes Page t of 9
REPORT OF GENERAL MANAGER:
General Manager Jim Herberg stated that a renewal invoice of$575,000 forthe Sanitation
District's Ocean Discharge Permit was received after the publication of tonight's agenda.
He stated that because of its approaching due date, the item will be moving directly to the
Board for consideration.
CONSENT CALENDAR:
At the request of Director Peotter, General Counsel affirmed that the document in Item
No. 9 was reviewed and approved by his office.
1 APPROVAL OF MINUTES (Clerk of the Board)
MOVED. SECONDED. and DULY CARRIED TO: Approve Minutes of the
November 7, 2018 Operations Committee Meeting.
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
2. RELOCATION INTO 18350 MT. LANGLEY, PROJECT NO. FE18-01
(Rob Thompson)
MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to: Authorize the General Manager to approve a purchase order with
GM Business Interiors (GMBI) in an amount not to exceed $250,000 for
procurement of furniture for relocation into 18350 Mt. Langley, Project No.
FE18-01.
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
3. PLANT NO. 2 DIGESTER FACILITIES REHABILITATION, PROJECT
NO. P2-91-1 (Rob Thompson)
MOVED, SECONDED. and DULY CARRIED TO: Approve a task order increase
of$68,000 to United Riggers and Erectors Inc. for Digester C Tent Removal, Plant
No. 2, Project No. P2-91-1 C, for a total task order of$156,239.
12/05/2018 Operations Committee Minutes Page 2 of 9
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
4. HOSE REEL FRAME WITH 12-INCH LAY FLAT HOSE (Ed Torres)
MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Approve a Sole Source Purchase Order to West Coast Safety Supply Co.
for 1,980 feet of 12-inch lay flat sewer hose with mobile hose reel,
Specification No. E-2017-91 OBD for a total cost of$220,383; and
B. Approve a contingency of $22,038 (10%)
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
5 ANNUAL SEWER LINE CCTV SERVICE CONTRACT, SPECIFICATION
NO. S-2018-1001BD (Ed Torres)
MOVED. SECONDED, and DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Award Service Contracts to two (2) contractors: Houston & Harris PCS, Inc.
(Primary) for $352,940 and Performance Pipeline Technologies
(Secondary), for $60,000 for Annual CCTV Sewer Inspection Services,
Specification No. S-2018-1001BD for a total amount not to exceed
$412,940 for the period beginning February 1, 2019 through January 31,
2020, with four (4) one-year renewal options; and
8 Approve a contingency of$41,000 (10%).
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shaviver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
1 2/0 512 01 8 Operations Committee Minutes Page 3 of 9
6. DIGESTER CLEANING CONTRACT (Ed Torres)
MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to: Approve Amendment No. 1 for the remaining annual renewals of the
service contract with Synagro-WWT for Digester Cleaning and Disposal,
Specification No. S-2017-824BD, which adds a provision for a per gallon unit price
for processing excess sludge and approve the excess sludge per gallon unit price
of$0.13.
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
7. PROCURE REMOTE ACTUATORS (Ed Torres)
MOVED, SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Approve a sole source purchase order to CBS Aresafe for 204 electrical
power switching actuators and associated equipment for Plant No. 1, Plant
No. 2, and 15 pump stations for a total amount not to exceed $1,001,985;
and
B. Approve a contingency of$50,100 (5%).
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
8. INCREASE TO JANITORIAL AND FLOOR MAINTENANCE CONTRACT
(Ed Torres)
MOVED, SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Approve Amendment No. 1 to Service Agreement with Gamboa Services,
Inc. DBA Corporate Image Maintenance for Janitorial & Floor Maintenance
Service at Plant Nos. 1 and 2, Specification No. S-2015-730BD, for the
period February 1, 2019 through January 31, 2020, for an amount not to
exceed $399,720, including the one (1) year renewal option; and
B. Approve an annual contingency in the amount of $39,972 (10%)
aggregately per year.
12/05/2018 Operations Commixee Minutes Page 4 of 9
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
9. PLANT NO. 2 CENTRAL GENERATION STEAM TURBINE REHABILITATION
AGREEMENT WITH DRESSER-RAND (Ed Torres)
MOVED. SECONDED, and DULY CARRIED TO: Recommend to the Board of
Directors to: Approve negotiated Purchase Order Terms & Conditions with
Dresser-Rand for the assessment and standard overhaul of the Steam Turbine at
Plant No. 2, in a form approved by General Counsel.
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
NON-CONSENT:
10. OCEAN OUTFALL SYSTEM REHABILITATION, PROJECT NO. J-117
(Rob Thompson)
Assistant General Manager Rob Thompson provided a PowerPoint Presentation
regarding Item Nos. 10 and 11 with the following information: J-117B Project
Elements including: new outfall low flow pump station, new plant water pump
station, Ocean Outfall Booster Station rehabilitation, CenGen switchgear
replacement, SCADA System upgrades, construction schedule, bid tabulations,
and required Board actions. He stated that two additional items will be coming
forward in the future for this project.
MOVED, SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Approve a Professional Construction Services Agreement with Brown and
Caldwell to provide construction support services for Ocean Outfall System
Rehabilitation, Project No. J-117, Outfall Low Flow Pump Station, Contract
No. J-117B, for a total amount not to exceed $8,563,913; and
B. Approve a contingency of$856,391 (10%).
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, F. Smith, Withers, and Yarc
NOES: None
12/05/2018 Operations Committee Minutes Page 5 er 9
ABSTENTIONS: Silva (Alternate)
ABSENT: Hawkins and Steel
11. OCEAN OUTFALL SYSTEM REHABILITATION, PROJECT NO. J-117
(Rob Thompson)
MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Receive and file Bid Tabulation and Recommendation for the Outfall Low
Flow Pump Station, Contract No. J-11713;
B. Receive and file Orange County Sanitation District's Notice of Intent to
Award dated November 20, 2018;
C. Award a Construction Contract to Shimmick Construction Company, Inc. for
the Outfall Low Flow Pump Station, Contract No. J-117B,for a total amount
not to exceed $90,200,000; and
D. Approve a construction contract contingency of$7,216,000 (8%e).
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, F. Smith, Withers, and Yarc
NOES: None
ABSTENTIONS: Silva (Alternate)
ABSENT: Hawkins and Steel
12. RETURN ACTIVATED SLUDGE PIPING REPLACEMENT AT PLANT NO. 2,
PROJECT NO. 122-123 (Rob Thompson)
Mr. Thompson provided an informative PowerPoint Presentation regarding Item
No. 12 including: project overlaps with two other projects, P2-118 & FE18-04;
project elements; and project objectives. He explained the structural integrity and
the extensive spall and crack repair required. Mr. Thompson explained the
reasons for combining the three projects: overlapping locations, schedule and risk
reduction, and economy of scale; and explained the additional funding required.
Mr. Thompson responded to questions regarding cost sharing light purchase and
project life expectancy.
MOVED. SECONDED, and DULY CARRIED TO: Recommend to the Board of
Directors to: Approve a budget increase of$7,250,000 for Return Activated Sludge
Piping Replacement at Activated Sludge Plant No. 2, Project No. P2-123, for a
total budget of$20,000,000.
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
I V052018 operations Committee Minutes Page 6&9
13, SUNFLOWER AND RED HILL INTERCEPTOR REPAIR, PROJECT NO. 7-66
(Rob Thompson)
Mr. Thompson provided a brief description and overview of the requested project.
MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to: Establish a project for Sunflower and Red Hill Interceptor Repair,
Project No. 7-66, with a budget of$5,500,000.
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
14. PLANT NO. 1 RECTANGULAR PRIMARY CLARIFIER OVERHAUL
(Ed Torres)
Director of Operations and Maintenance Ed Torres introduced Riaz Moinuddin who
provided a PowerPoint Presentation regarding Item No. 14 including: project
goals, overhaul plan of rectangular clarifiers, key issues and challenges of the
project, and coordinated implementation.
MOVED. SECONDED. and DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Approve a Purchase Order contract to Mehta Mechanical Company Inc. for
the mechanical rehabilitation and overhaul of twenty-four (24) Primary
Clarifier tanks at Plant No. 1, per Specification No. S-2018-98513D, for a
total amount not to exceed $1,998,000, and
B. Approve a contingency of$199,800 (10%).
AYES: Barnes, Bernstein, Collacott, Deaton, S. Jones, Peotter,
Shaw, Shawver, Silva (Alternate), F. Smith, Withers, and
Yarc
NOES: None
ABSTENTIONS: None
ABSENT: Hawkins and Steel
INFORMATION ITEMS:
Chair Withers stated that Item No. 16 would be heard out of order.
12105=1 B Operations Committee Minutes Page 7 of 9
16. HEADQUARTERS COMPLEX AD HOC COMMITTEE UPDATE
(Rob Thompson)
Mr. Thompson provided the following update regarding the recent meeting of the
Ad Hoc Committee held on November 14, 2018:
The Committee toured the existing Administration Building and trailers to better
understand the needs and deficiencies of the current facilities. In addition, a tour
of the newly acquired property and site of the Headquarters Complex was taken.
Staff provided building comparisons (cost and size), where OCSD's proposed
design falls about average at $550 per square foot, with the top being $655 and
the low being $412, shared the preliminary design concepts; and the discussion
and considerations leading up to the current layout that was provided.
Mr. Thompson stated that based on the Committee's direction, the next steps will
include:
o Constructability review by a third party, during the preliminary design phase
o Consider hiring a third-party construction management firm to oversee the
project along with a project organization chart with those on the team
o Review of Board Room Concepts and Public Meeting Spaces
o Scheduling of the next Ad Hoc Committee (not yet scheduled)
15. ODOR AND CORROSION CONTROL PRESENTATION (Ed Torres)
Director of Operations & Maintenance Ed Torres introduced Engineering
Supervisor Umesh Murthy who presented an informative PowerPoint Presentation
regarding the odor generation at service areas and both plants. He detailed the
odorants detected at OCSD and explained the methods used for odor and
corrosion control. Mr. Murthy demonstrated several tools used in detecting odors
including: Odor Boss Mobile Platform Nasal Ranger, OdaLog camera used for
remote monitoring, and Optical gas imaging cameras for the detection of various
emissions. He also provided data on the program's success and the Strategic
Goals (Levels of Service) for Odor Control in the future.
Director Jones departed the meeting at 5:54 p.m.
DEPARTMENT HEAD REPORTS:
None.
CLOSED SESSION:
None.
12/052018 Operations Committee Minutes Page 8 of 9
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS,
IF ANY:
Mr. Herberg announced the upcoming retirement of Mr. Torres in January. Chair Withers
wished Mr. Torres the best of luck in the future.
Board Chairman Shawver thanked Director Peotter for his service on the Operations
Committee as this is his last meeting.
General Manager Herberg also welcomed Alternate Director Jesus Silva to the
Committee.
ADJOURNMENT
Chair Withers declared the meeting adjourned at 6:00 p.m. to the special meeting to be
held on Wednesday, January 16, 2019 at 5:00 p.m.
Sub itted by,
Kelly . L
Clerq of NO Board
12/05/2018 Operations Committee Minutes Page 9 of 9
BOARD OF DIRECTORS Meeting Date Te BE.Or Dir.
-- O1/23/19
AGENDA REPORT Item Item
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Lorenzo Tyner, Assistant General Manager
SUBJECT: REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF
DECEMBER 2018
GENERAL MANAGER'S RECOMMENDATION
Receive and file the report of the Investment Transactions for the month of December
2018.
BACKGROUND
The CA Government Code requires that a monthly report of investment transactions be
provided to the legislative body. Attached is the monthly report of investment transactions
for the month ended December 31, 2018.
RELEVANT STANDARDS
• CA Government Code Section 53607
PRIOR COMMITTEE/BOARD ACTIONS
N/A
FINANCIAL CONSIDERATIONS
N/A
ATTACHMENT
The following attachment(s)is included in hard copy and may also be viewed on-line at the OCSD website
(mm w.ocsd.coml with the complete agenda package:
• Report of the Investment Transactions for the month ended December 31, 2018
Page 1 d 1
U.S. Bank
Transaction History
12/01/2018 Thru 12/31/2018
Ent�Date CUSIP Id Explanation Units Pri�o Net C�sh A�t Cost GainlLoss
ACQUISITIONS
12/04/2018 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 5,581.0800 1.000000 -5,581.08 5,581.08 0.00
12/11/2018 06370RQY8 PURCHASED PAR VALUE OF BANK MONTREAL C D 2.860% 6/11119 BMO CAPITAL 2,000,000.0000 1.000000 -2,000,000.00 2,000,000.00 0.00
MARKETS CORP/BONDS/2,000,000 PAR VALUE AT 100%
12/12/2018 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 5,000,000.0000 1.000000 -5,000,000.00 5,000,000.00 0.00
12/13/2018 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 1,000,000.0000 1.000000 -1,000,000.00 1,000,000.00 0.00
12/13/2018 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 9,750.0000 1.000000 -9,750.00 9,750.00 0.00
12/14/2018 96130ABJ6 PURCHASED PAR VALUE OF WESTPAC BIKING C D 2.970% 9/13/19IRBC CAPITAL 1,500,000.0000 1.000000 -1,500,000.00 1,500,000.00 0.00
MARKETS,LLC/1,500,000 PAR VALUE AT 100%
12/19/2018 216876WD9 PURCHASED PAR VALUE OF COOPERATIEVE CENTRAL C P 9/13/19/BOA/LASALLE 2,000,000.0000 0.978932 -1,967,864.44 1,957,864.44 0.00
BANK NA/IPA/2,000,000 PAR VALUE AT 97.893222%
12/19/2018 31846V567 PURCHASED UNITS OF FIRST AM GOVT OB FD CL Z 101.000,000.0000 1.000000 -101,000,000.00 101,000,000.00 0.00
12/20/2018 912828833 PURCHASED PAR VALUE OF U S TREASURY NT 1.500% 1/31/191CITIGROUP 10,000,000.0000 0.998945 -9,989,453.13 9,989,453.13 0.00
GLOBAL MARKETS INC./10,000,000 PAR VALUE AT 99.8945313%
12/21/2018 3133782M2 PURCHASED PAR VALUE OF F H L B DEB 1.500% 3108/19/J.P.MORGAN 1.200,000.0000 0.998020 -1,197,624.00 1,197,624.00 0.00
SECURITIES LLC/1,200,000 PAR VALUE AT 99,802%
12r2l/2018 3133782M2 PURCHASED PAR VALUE OF F H L B DEB 1.500% 3/08/19/PERSHING 3,000,000.0000 0.998020 -2,994,060.00 2,994,060.00 0.00
LLC13,000,000 PAR VALUE AT 99.802%
12121/2018 912828TH3 PURCHASED PAR VALUE OF U S TREASURY NT 0.875% 7/31/19/J.P.MORGAN 10,000,000.0000 0.989844 -9,898,437.50 9,898,437.50 0.00
SECURITIES LLC/10,000,000 PAR VALUE AT 98.984375%
12/24/2018 459052AP1 PURCHASED PAR VALUE OF INTL SK DISC NTS 1114119/GOLDMAN SACHS& 5,000,000.0000 0.998583 4,992,912.50 4,992,912.50 0.00
CO.LLC/5,000,000 PAR VALUE AT 99.85825%
12/24/2018 9128282K5 PURCHASED PAR VALUE OF U S TREASURY NT 1.375% 7/31/19 M.P.MORGAN 10.000,000.0000 0.992852 -9,928,515.63 9,928,515.63 0.00
SECURITIES LLC/10,000,000 PAR VALUE AT 99,2851563%
12/24/2018 9128281333 PURCHASED PAR VALUE OF U S TREASURY NT 1.500% 1/31/19/WELLS FARGO 12,000,000.0000 0.999023 -11,988,281.25 11,988,281.25 0.00
SECURITIES,LLC/12,000,000 PAR VALUE AT 99.90234375%
12/26/2018 69353REX2 PURCHASED PAR VALUE OF PNC BANK MTN 1.450% 7/29119/PERSHING 1,890,000.0000 0.990830 -1,872,668.70 1,872,668.70 0.00
LLC/1,890,000 PAR VALUE AT 99.083%
12/27/2018 313384CC1 PURCHASED PAR VALUE OF F H L B DISC NTS 2120119 NEFFERIES 1,700,000.0000 0.996318 -1,693,740.69 1,693,740.69 0.00
LLC/1,700,000 PAR VALUE AT 99.63180529%
12/27/2018 912796QZ5 PURCHASED PAR VALUE OF U S TREASURY BILL 3/07/19/J.P.MORGAN 20.000,000.0000 0.995450 -19,909,000.00 19,909,000.00 0.00
SECURITIES LLC/20,000,000 PAR VALUE AT 99,545%
12/28/2018 313384CE7 PURCHASED PAR VALUE OF F H L B DISC NTS 2122119/MIZUHO SECURITIES 650,000.0000 0.996239 -647,555.13 647,555.13 0.00
USA FXD INC/650,000 PAR VALUE AT 99.62386615%
12/28/2018 912796UN7 PURCHASED PAR VALUE OF U S TREASURY BILL 2/12/19/J.P.MORGAN 20,000,000.0000 0.996972 -19,939,433.33 19,939,433.33 0.00
SECURITIES LLC/20,000,000 PAR VALUE AT 99.69716665%
12/31/2018 3137EACA5 PURCHASED PAR VALUE OF F H L M C M T N 3.750% 3127119/PERSHING 800,000.0000 1.002970 -802,376.00 $02,376.00 0.00
LLCI800,000 PAR VALUE AT 100.297%
U.S. Bank
Transaction History
12/01/2018 Thru 12/31/2018
Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss
12/31/2018 912796UK3 PURCHASED PAR VALUE OF U S TREASURY BILL 1/22/19/J.P.MORGAN 5,000,000.0000 0.998625 -4,993,125.00 4,993,125.00 000
SECURITIES LLC/5,000,000 PAR VALUE AT 99.8625%
TOTAL ACQUISITIONS 213,755,331.0800 -213,320,378.38 213,320,378.38 0.00
DISPOSITIONS
12/11/2018 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -2.000,000.00001.000000 2,000,000.00 -2,000.000.00 0.00
12/12/2018 313385580 MATURED PAR VALUE OF F H L B DISC NTS 121121185,000,000 PAR VALUE AT -5,000,000.0000 1.000000 4,983,232.64 4,983,232.64 0.00
100%
12/13/2018 24422ESF7 MATURED PAR VALUE OF JOHN DEERE MTN 1.950%12/13/18 1,000,000 PAR -1,000,000.0000 1.000000 1,000,000.00 -997,500.00 2,500.00
VALUE AT 100%
12/14/2018 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -1.500,000.00001.000000 1,500,000.00 -1,500.000.00 0.00
12/19/2018 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -1,957,864.4400 1.000000 1,957,864.44 -1,957,864.44 0.00
12/20/2018 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -10,047,333.5600 1.000000 10,047,333.56 -10,047,333.56 0.00
12/21/2018 31846V567 SOLD UNITS OF FIRST AM GOUT OB FD CL Z -14.142,147.86001.000000 14,142,147.86 -14,142,147.86 0.00
12/24/2018 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z 4,992,912.5000 1.000000 4,992,912.50 -4,992,912.50 0.00
12/24/2018 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -22.042,761.55001.000000 22,042,761.55 -22,042,761.55 0.00
12/26/2018 31846V567 SOLD UNITS OF FIRST AM GOUT OB FD CL Z -1,883,859.0800 1.000000 1,883,859.08 -1,883,859.08 0.00
12/27/2018 31846V567 SOLD UNITS OF FIRST AM GOVr OB FD CL Z -21,602,740.69001.000000 21,602,740.69 -21,602,740.69 0.00
12/28/2018 31946VS67 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -20.586,988.46001.000000 20,586,988.46 -20,586.988.46 0.00
12/31/2018 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z -810,209.33001,000000 810,209.33 -810,209.33 0.00
12/31/2018 31846V567 SOLD UNITS OF FIRST AM GOVT OB FD CL Z 4,993,125.0000 1,000000 4,993,125.00 -4,993,125.00 0.00
TOTAL DISPOSITIONS -112,559,942.4700 112,543,175.11 -112,540,675.11 2,500.00
OTHER TRANSACTIONS
12/03/2018 31846V567 INTEREST EARNED ON FIRST AM GOVT OB FD CL Z UNIT ON 0.0000 SHARES DUE 0.0000 0.000000 5,581.08 0.00 000
11/30/2018 INTEREST FROM 11/1118 TO 11130/18
12/12/2018 313385580 INTEREST EARNED ON F H L B DISC NTS 12/12/18$1 PV ON 5000000.0000 0.0000 0.000000 16,767.36 0.00 0.00
SHARES DUE 12/12/2018 5,000,000 PAR VALUE AT 100%
12/13/2018 24422ESF7 INTEREST EARNED ON JOHN DEERE MTN 1.950%12/13/18$1 PV ON 0.0000 0.000000 9,750.00 0.00 0.00
1000000.0000 SHARES DUE 12/13/2018 ACCRUED INTEREST ON 1 2/1 312 01 8
MATURITY
12/19/2018 CASH RECEIPT INCOMING WIRES RECD BANC OF CALIFORNIA A/C XXXXXX9645 0.0000 0.000000 101,000,000.00 0.00 0.00
12/20/2018 9128281333 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 1.500% 1/31/19 0.0000 0.000000 -57,880.43 0.00 0.00
12/21/2018 3133782M2 PAID ACCRUED INTEREST ON PURCHASE OF F H L B DEB 1.500% 3/08/19 0.0000 0.000000 -12,875.00 0.00 0.00
12/21/2018 3133782M2 PAID ACCRUED INTEREST ON PURCHASE OF F H L B DEB 1.500% 3/08/19 0.0000 0.000000 5,150.00 0.00 0.00
U.S. Bank
Transaction History
12/01/2018 Thru 12/31/2018
Entry Date CUSIP Id Explanation Units Price Net Cash Amt Cost Gain/Loss
12/21/2018 912828TH3 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 0.875% 7/31/19 0.0000 0.000000 -34,001.36 0.00 0,00
12/24/2018 9128282K5 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 1.375% 7131/19 0.0000 0.000000 .54,551.63 0.00 0.00
12/24/2018 912828833 PAID ACCRUED INTEREST ON PURCHASE OF U S TREASURY NT 1.500% 1/31/19 0.0000 0.000000 -71,413.04 0.00 0.00
12/26/2018 69353REX2 PAID ACCRUED INTEREST ON PURCHASE OF PNC BANK MTN 1.450% 7/29119 0.0000 0.000000 -11,190.38 0.00 0.00
12/31/2018 3137EACA5 PAID ACCRUED INTEREST ON PURCHASE OF F H L M C M T N 3.750% 3127119 0.0000 0.000000 -7,833.33 0.00 000
TOTAL OTHER TRANSACTIONS 0.0000 100,771,622.19 0.00 0.00
OPERATIONS COMMITTEE Meeting Date TOBd.of Dir.
01/16/19 O1/23/19
AGENDA REPORT ItemNumber Item Number
z s
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Assistant General Manager
SUBJECT: PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION,
PROJECT NO. FE14-05
GENERAL MANAGER'S RECOMMENDATION
A. Receive and file Bid Tabulation and Recommendation for Engineering/
Remediation Resources Group, Inc. forthe Fleet Services UST Leak Remediation,
Project No. FE-14-05;
B. Award a Construction Contract to Engineering/Remediation Resources Group, Inc.
for the Fleet Services UST Leak Remediation, Project No. FE14-05, for a total
amount not to exceed $648,675; and
C. Approve a contingency of$129,735 (20%).
BACKGROUND
Previously, the Orange County Sanitation District (Sanitation District) stored fuel in an
underground storage tank (UST) near the Fleet Services Building at Plant No. 1. After a
leak was discovered, the tank was removed from service. An evaluation of the site
discovered that the soil was impacted by petroleum fuels and identified the presence of
Methyl Tertiary Butyl Ether (MTBE).
To mitigate the impacts, a corrective action plan using excavation to approximately
20 feet below grade was submitted to and approved by the Orange County Health Care
Agency (OCHCA).
RELEVANT STANDARDS
• Comply with environmental permit requirements
• California Public Contract Code Section 20103.8: Award Construction Contract
to lowest responsive, responsible bidder
PROBLEM
The contaminated soil near the Fleet Services Building at the Sanitation District creates
an unsafe environment and will impact groundwater underneath the building.
Page 1 of 3
PROPOSED SOLUTION
Award a construction contract for Plant No. 1 Fleet Services UST Leak Remediation,
Project No. FE14-05,to mitigate the impacts to subsurface soil and groundwater. Despite
extensive boring and sampling prior to excavation work, there is potential for additional
remediation activities beyond what is currently scoped. Therefore, staff is requesting 20%
contingency.
TIMING CONCERNS
The Sanitation District is legally responsible for mitigation and site remediation per
Orange County Health Care Agency requirements.
RAMIFICATIONS OF NOT TAKING ACTION
Without this project, the contaminant mass will remain, and groundwater will be further
impacted.
PRIOR COMMITTEE/BOARD ACTIONS
June 2018 - Rejected a bid from Engineering/Remediation Resources Group, Inc. as
"Non-Responsive" due to its failure to comply with the Invitation for Bids requirements.
ADDITIONAL INFORMATION
The Sanitation District advertised Project No. FE14-05 for bids on March 20, 2018 and
one sealed bid was received from Engineering/Remediation Resources Group, Inc. on
May 1, 2018. That bid was rejected as non-responsive to the Invitation for Bids
requirements. Staff then revised the bid documents by allowing a different excavation
method. The original excavation method was specified to avoid the need for shoring and
dewatering, but this method limited the pool of potential bidders.
The Sanitation District re-advertised Project No. FE14-05 for bids on October 17, 2018
and three sealed bids were received on December 12, 2018. A summary of the bid
opening follows:
Engineers Estimate $819,000
Bidder Amount of Bid
Engineering/Remediation Resources Group, Inc. $648,675
ODC Engineering & Technology $667,000
OFRS, Inc. $894,766.89
The bids were evaluated in accordance with the Sanitation District's policies and
procedures. A notice was sent to all the bidders on December 21, 2018, informing them
of the intent of Sanitation District staff to recommend award of the construction contract
to Engineering/Remediation Resources Group, Inc.
Page 2 d 3
Staff recommends awarding a construction contract to the lowest responsive bidder,
Engineering/Remediation Resources Group, Inc., for Fleet Services LIST Leak
Remediation, Project No. FE14-05, for a total amount not to exceed $648,675.
CEQA
A NOE will be filed with the OC Clerk-Recorder office after Board approval of this item.
The project is exempt from CEQA under Class 30 categorical exemption set forth in
California Code of Regulations, Title 14, section 15330. Section 15330 (Class 30)
exempts from CEQA "Class 30 consists of any minor cleanup actions taken to prevent,
minimize, stabilize, mitigate, or eliminate the release or threat of release of a hazardous
waste or substance which are small or medium removal actions costing$1 million or less".
This project remediates soil and groundwater petroleum and diesel contamination at the
Sanitation District Plant No. 1 and will cost less than $1 million. Therefore, the project
qualifies as a minor cleanup action as defined under section 15330 (Class 30 categorical
exemption) and no further action is required.
FINANCIAL CONSIDERATIONS
This request complies with authority levels of the Sanitation DistricPs Purchasing
Ordinance. This item has been budgeted under the Small Construction Projects Program
(M-FE), Fiscal Years 2018-19 and 2019-20 budget, and the budget is sufficient for the
recommended action.
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (www.ocsc.com) with the
complete agenda package:
Construction Contract
GR:dm:gc
Page 3 d 3
PART A
CONTRACT AGREEMENT
C-CA-120518
TABLE OF CONTENTS
CONTRACT AGREEMENT
SECTION - 1 GENERAL CONDITIONS..................................................................1
SECTION -2 MATERIALS AND LABOR.................................................................4
SECTION -3 PROJECT..........................................................................................4
SECTION -4 PLANS AND SPECIFICATONS ........................................................5
SECTION -5 TIME OF COMMENCEMENT AND COMPLETION ..........................5
SECTION -6 TIME IS OF THE ESSENCE .............................................................5
SECTION -7 EXCUSABLE DELAYS......................................................................6
SECTION -8 EXTRA WORK...................................................................................6
SECTION -9 CHANGES IN PROJECT...................................................................7
SECTION - 10 LIQUIDATED DAMAGES FOR DELAY.............................................7
SECTION - 11 CONTRACT PRICE AND METHOD OF PAYMENT.........................7
SECTION - 12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF
FUNDS ..............................................................................................9
SECTION - 13 COMPLETION...................................................................................9
SECTION - 14 CONTRACTOR'S EMPLOYEES COMPENSATION.......................10
SECTION - 15 SURETY BONDS ............................................................................12
SECTION - 16 INSURANCE....................................................................................13
SECTION - 17 RISK AND INDEMNIFICATION.......................................................22
SECTION - 18 TERMINATION................................................................................22
SECTION - 19 WARRANTY....................................................................................22
SECTION -20 ASSIGNMENT.................................................................................23
SECTION -21 RESOLUTION OF DISPUTES ........................................................23
SECTION -22 SAFETY& HEALTH ........................................................................24
SECTION -23 NOTICES.........................................................................................24
C-CA-120518
CONTRACT AGREEMENT
ORANGE COUNTY SANITATION DISTRICT
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
THIS AGREEMENT is made and entered into, to be effective, this January 23, 2019, by and
between Engineering/Remediation Resources Group, Inc., hereinafter referred to as
"CONTRACTOR" and the Orange County Sanitation District, hereinafter referred to as "OCSD".
WITNESSETH
That for and in consideration of the promises and agreements hereinafter made and exchanged,
OCSD and CONTRACTOR agree as follows:
SECTION-1 GENERAL CONDITIONS
CONTRACTOR certifies and agrees that all the terms, conditions and obligations of the
Contract Documents as hereinafter defined, the location of the job site, and the conditions under
which the Work is to be performed have been thoroughly reviewed and enters into this Contract
based upon CONTRACTOR's investigation of all such matters and is in no way relying upon
any opinions or representations of OCSD. It is agreed that this Contract represents the entire
agreement. It is further agreed that the Contract Documents are each incorporated into this
Contract by reference, with the same force and effect as if the same were set forth at length
herein, and that CONTRACTOR and its Subcontractors, if any, will be and are bound by any
and all of said Contract Documents insofar as they relate in any part or in any way, directly or
indirectly, to the Work covered by this Contract.
A. Contract Documents Order of Precedence
"Contract Documents" refers to those documents identified in the definition of"Contract
Documents" in the General Conditions—Definitions.
CONFORMED C-CA-120518
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 1 of 25
1. In the event of a conflict between one Contract Document and any of the other
Contract Documents, the provisions in the document highest in precedence shall be
controlling. The order of precedence of the Contract Documents is as follows:
a. Supplemental Agreements—the last in time being the first in precedence
b. Addenda issued prior to opening of Bids—the last in time being the first in
precedence
c. Contract Agreement
d. Permits and other regulatory requirements
e. Special Provisions
f. General Conditions (GC)
g. Notice Inviting Bids and Instruction to Bidders
h. Geotechnical Baseline Report (GBR), if attached as a Contract Document
I. Plans and Specifications—in these documents the order of precedence shall be:
i. Specifications (Divisions 01-17)
ii. Plans
H. General Requirements (GR)
iv. Standard Drawings and Typical Details
j. CONTRACTOR'S Bid
2. In the event of a conflict between terms within an individual Contract Document, the
conflict shall be resolved by applying the following principles as appears applicable:
a. Figured dimensions on the Contract Documents shall govern. Dimensions not
specified shall be as directed by the ENGINEER. Details not shown or
specified shall be the same as similar parts that are shown or specified, or as
directed. Full-size details shall take precedence over scale Drawings as to
C-CA-120518 CONFORMED
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 2 of 25
shape and details of construction. Specifications shall govern as to material
and workmanship.
b. The Contract Documents calling for the higher quality material or workmanship
shall prevail. Materials or Work described in words, which so applied, have a
well known technical or trade meaning shall be deemed to refer to such
recognized standards. In the event of any discrepancy between any Drawings
and the figures thereon, the figures shall be taken as correct.
C. Scale Drawings, full-size details, and Specifications are intended to be fully
complementary and to agree. Should any discrepancy between Contract
Documents come to the CONTRACTOR's attention, or should an error occur in
the efforts of others, which affect the Work, the CONTRACTOR shall notify the
ENGINEER, in writing, at once. In the event any doubts or questions arise with
respect to the true meaning of the Contract Documents, reference shall be
made to the ENGINEER whose written decision shall be final. If the
CONTRACTOR proceeds with the Work affected without written instructions
from the ENGINEER, the CONTRACTOR shall be fully responsible for any
resultant damage or defect.
d. Anything mentioned in the Specifications and not indicated in the Plans, or
indicated in the Plans and not mentioned in the Specifications, shall be of like
effect as if indicated and mentioned in both. In case of discrepancy in the
Plans or Specifications, the matter shall be immediately submitted to OCSD's
ENGINEER, without whose decision CONTRACTOR shall not adjust said
discrepancy save only at CONTRACTOR's own risk and expense. The
decision of the ENGINEER shall be final.
CONFORMED C-CA-120518
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 3 of 25
In all matters relating to the acceptability of material, machinery or plant equipment;
classifications of material or Work; the proper execution, progress or sequence of the
Work; and quantities interpretation of the Contract Documents, the decision of the
ENGINEER shall be final and binding, and shall be a condition precedent to any payment
under the Contract, unless otherwise ordered by the Board of Directors.
B. Definitions
Capitalized terms used in this Contract are defined in the General Conditions, Definitions.
Additional terms may be defined in the Special Provisions.
SECTION—2 MATERIALS AND LABOR
CONTRACTOR shall furnish, under the conditions expressed in the Plans and Specifications, at
CONTRACTOR'S own expense, all labor and materials necessary, except such as are
mentioned in the Specifications to be furnished by OCSD, to construct and complete the
Project, in good workmanlike and substantial order. If CONTRACTOR fails to pay for labor or
materials when due, OCSD may settle such claims by making demand upon the Surety to this
Contract. In the event of the failure or refusal of the Surety to satisfy said claims, OCSD may
settle them directly and deduct the amount of payments from the Contract Price and any
amounts due to CONTRACTOR. In the event OCSD receives a stop payment notice from any
laborer or material supplier alleging non-payment by CONTRACTOR, OCSD shall be entitled to
deduct all of its costs and expenses incurred relating thereto, including but not limited to
administrative and legal fees.
SECTION-3 PROJECT
The Project is described as:
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES DST LEAK REMEDIATION
C-CA-120518 CONFORMED
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 4 of 25
SECTION -4 PLANS AND SPECIFICATONS
The Work to be done is shown in a set of Plans and Specifications entitled:
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Said Plans and Specifications and any revision, amendments and addenda thereto are attached
hereto and incorporated herein as part of this Contract and referred to by reference.
SECTION—5 TIME OF COMMENCEMENT AND COMPLETION
CONTRACTOR agrees to commence the Project within 15 calendar days from the date set forth
in the "Notice to Proceed"sent by OCSD, unless otherwise specified therein and shall diligently
prosecute the Work to completion within three hundred sixty-five (365)calendar days from the
date of the "Notice to Proceed" issued by OCSD, excluding delays caused or authorized by
OCSD as set forth in Sections 7, 8, and 9 hereof, and applicable provisions in the General
Conditions. The time for completion includes five (5)calendar days determined by OCSD likely
to be inclement weather when CONTRACTOR will be unable to work.
SECTION—6 TIME IS OF THE ESSENCE
Time is of the essence of this Contract. As required by the Contract Documents,
CONTRACTOR shall prepare and obtain approval of all shop drawings, details and samples,
and do all other things necessary and incidental to the prosecution of CONTRACTOR's Work in
conformance with an approved construction progress schedule. CONTRACTOR shall
coordinate the Work covered by this Contract with that of all other contractors, subcontractors
and of OCSD, in a manner that will facilitate the efficient completion of the entire Work and
accomplish the required milestone(s), if any, by the applicable deadline(s) in accordance with
Section 5 herein. OCSD shall have the right to assert complete control of the premises on
which the Work is to be performed and shall have the right to decide the time or order in which
CONFORMED C-CA-120518
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 5 of 25
the various portions of the Work shall be installed or the priority of the work of subcontractors,
and, in general, all matters representing the timely and orderly conduct of the Work of
CONTRACTOR on the premises.
SECTION—7 EXCUSABLE DELAYS
CONTRACTOR shall only be excused for any delay in the prosecution or completion of the
Project as specifically provided in General Conditions, "Extensions for Delay", and the General
Requirements, "By CONTRACTOR or Others—Unknown Utilities during Contract Work".
Extensions of time and extra compensation arising from such excusable delays will be
determined in accordance with the General Conditions, "Extension of Time for Delay" and
"Contract Price Adjustments and Payments", and extensions of time and extra compensation as
a result of incurring undisclosed utilities will be determined in accordance with General
Requirements, "By CONTRACTOR or Others— Unknown Utilities during Contract Work".
OCSD's decision will be conclusive on all parties to this Contract.
SECTION—8 EXTRA WORK
The Contract Price as set forth in Section 11, includes compensation for all Work performed by
CONTRACTOR, unless CONTRACTOR obtains a Change Order signed by a designated
representative of OCSD specifying the exact nature of the Extra Work and the amount of extra
compensation to be paid all as more particularly set forth in Section 9 hereof and the General
Conditions, "Request for Change (Changes at CONTRACTOR's Request)", "OWNER Initiated
Changes", and "Contract Price Adjustments and Payments".
In the event a Change Order is issued by OCSD pursuant to the Contract Documents, OCSD
shall extend the time fixed in Section 5 for completion of the Project by the number of days, if
any, reasonably required for CONTRACTOR to perform the Extra Work, as determined by
OCSD's ENGINEER. The decision of the ENGINEER shall be final.
C-CA-120518 CONFORMED
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 6 of 25
SECTION-9 CHANGES IN PROJECT
OCSD may at any time, without notice to any Surety, by Change Order, make any changes in the
Work within the general scope of the Contract Document, including but not limited to changes:
1. In the Specifications (including Drawings and designs);
2. In the time, method or manner of performance of the Work;
3. In OCSD-furnished facilities, equipment, materials, services or site; or
4. Directing acceleration in the performance of the Work.
No change of period of performance or Contract Price, or any other change in the Contract
Documents, shall be binding until the Contract is modified by a fully executed Change Order.
All Change Orders shall be issued in accordance with the requirements set forth in the General
Conditions, "Request for Change (Changes at CONTRACTOR's Request)" and "OWNER
Initiated Changes'.
SECTION — 10 LIQUIDATED DAMAGES FOR DELAY
Liquidated Damages shall be payable in the amounts and upon the occurrence of such events
or failure to meet such requirements or deadlines as provided in the Special Provisions,
"Liquidated Damages and Incentives."
SECTION—11 CONTRACT PRICE AND METHOD OF PAYMENT
A. OCSD agrees to pay and the CONTRACTOR agrees to accept as full consideration for the
faithful performance of this Contract, subject to any additions or deductions as provided in
approved Change Orders, the sum of Six Hundred Forty-Eight Thousand Six Hundred
Seventy-Five Dollars ($648,675)as itemized on the Attached Exhibit"A".
Upon satisfaction of the conditions precedent to payment set forth in the General
Requirements, Additional General Requirements and General Conditions (including but
not limited to Sections entitled "Mobilization Payment Requirements" and "Payment
CONFORMED C-CA-120518
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 7 of 25
Itemized Breakdown of Contract Lump Sum Prices"), there shall be paid to the
CONTRACTOR an initial Net Progress Payment for mobilization. OCSD shall issue at the
commencement of the job a schedule which shows:
1. A minimum of one payment to be made to the CONTRACTOR for each successive
four(4)week period as the Work progresses, and
2. The due dates for the CONTRACTOR to submit requests for payment to meet the
payment schedule.
After the initial Net Progress Payment, and provided the CONTRACTOR submits the
request for payment prior to the end of the day required to meet the payment schedule,
the CONTRACTOR shall be paid a Net Progress Payment on the corresponding monthly
payment date set forth in the schedule.
Payments shall be made on demands drawn in the manner required by law, accompanied
by a certificate signed by the ENGINEER, stating that the Work for which payment is
demanded has been performed in accordance with the terms of the Contract Documents,
and that the amount stated in the certificate is due under the terms of the Contract. Payment
applications shall also be accompanied with all documentation, records, and releases as
required by the Contract, Exhibit A, Schedule of Prices, and General Conditions, "Payment
for Work—General". The Total amount of Progress Payments shall not exceed the actual
value of the Work completed as certified by OCSD's ENGINEER. The processing of
payments shall not be considered as an acceptance of any part of the Work.
B. As used in this Section, the following defined terms shall have the following meanings:
1. "Net Progress Payment" means a sum equal to the Progress Payment less the
Retention Amount and other qualified deductions (Liquidated Damages, stop
payment notices, etc.).
C-CA-120518 CONFORMED
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 8 of 25
2. "Progress Payment" means a sum equal to:
a. the value of the actual Work completed since the commencement of the Work
as determined by OCSD;
b. plus the value of material suitably stored at the worksite, treatment plant or
approved storage yards subject to or under the control of OCSD since the
commencement of the Work as determined by OCSD;
C. less all previous Net Progress Payments;
d. less all amounts of previously qualified deductions;
e. less all amounts previously retained as Retention Amounts.
3. "Retention Amount"for each Progress Payment means the percentage of each
Progress Payment to be retained by OCSD to assure satisfactory completion of the
Contract. The amount to be retained from each Progress Payment shall be determined
as provided in the General Conditions—"Retained Funds; Substitution of Securities."
SECTION—12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF FUNDS
Pursuant to Public Contract Code Section 22300 at seq., the CONTRACTOR may, at its sole
expense, substitute securities as provided in General Conditions—"Retained Funds;
Substitution of Securities."
SECTION-13 COMPLETION
Final Completion and Final Acceptance shall occur at the time and in the manner specified in the
General Conditions, "Final Acceptance and Final Completion", "Final Payment" and Exhibit A-
Schedule of Prices.
Upon receipt of all documentation, records, and releases as required by the Contract from the
CONTRACTOR, OCSD shall proceed with the Final Acceptance as specified in General
Conditions.
CONFORMED C-CA-120518
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 9 of 25
SECTION-14 CONTRACTOR'S EMPLOYEES COMPENSATION
A. Davis-Bacon Act:
CONTRACTOR will pay and will require all Subcontractors to pay all employees on said
Project a salary or wage at least equal to the prevailing rate of per diem wages as
determined by the Secretary of Labor in accordance with the Davis-Bacon Act for each craft
or type of worker needed to perform the Contract. The provisions of the Davis-Bacon Act
shall apply only if the Contract is in excess of Two Thousand Dollars ($2,000.00) and when
twenty-five percent (25%)or more of the Contract is funded by federal assistance. If the
aforesaid conditions are met, a copy of the provisions of the Davis-Bacon Act to be complied
with are incorporated herein as a part of this Contract and referred to by reference.
B. General Prevailing Rate:
OCSD has been advised by the State of California Director of Industrial Relations of its
determination of the general prevailing rate of per diem wages and the general prevailing
rate for legal holiday and overtime Work in the locality in which the Work is to be
performed for each craft or type of Work needed to execute this Contract, and copies of
the same are on file in the Office of the ENGINEER of OCSD. The CONTRACTOR
agrees that not less than said prevailing rates shall be paid to workers employed on this
public works Contract as required by Labor Code Section 1774 of the State of California.
Per California Labor Code 1773.2, OCSD will have on file copies of the prevailing rate of
per diem wages at its principal office and at each job site, which shall be made available to
any interested party upon request.
C. Forfeiture for Violation:
CONTRACTOR shall, as a penalty to OCSD, forfeit Two Hundred Dollars ($200.00)for
each calendar day or portion thereof for each worker paid (either by the CONTRACTOR or
any Subcontractor under it) less than the prevailing rate of per diem wages as set by the
C-CA-120518 CONFORMED
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 10 of 25
Director of Industrial Relations, in accordance with Sections 1770-1780 of the California
Labor Code for the Work provided for in this Contract, all in accordance with Section 1775
of the Labor Code of the State of California.
D. Apprentices:
Sections 1777.5, 1777.6, 1777.7 of the Labor Code of the State of California, regarding the
employment of apprentices are applicable to this Contract and the CONTRACTOR shall
comply therewith if the prime contract involves Thirty Thousand Dollars ($30,000.00)or more.
E. Workday:
In the performance of this Contract, not more than eight(8) hours shall constitute a day's
work, and the CONTRACTOR shall not require more than eight (8) hours of labor in a day
from any person employed by him hereunder except as provided in paragraph (B) above.
CONTRACTOR shall conform to Article 3, Chapter 1, Part 7 (Section 1810 at sea.)of the
Labor Code of the State of California and shall forfeit to OCSD as a penalty, the sum of
Twenty-five Dollars ($25.00)for each worker employed in the execution of this Contract by
CONTRACTOR or any Subcontractor for each calendar day during which any worker is
required or permitted to labor more than eight (8) hours in any one calendar day and forty
(40) hours in any one week in violation of said Article. CONTRACTOR shall keep an
accurate record showing the name and actual hours worked each calendar day and each
calendar week by each worker employed by CONTRACTOR in connection with the Project.
F. Registration: Record of Waces: Inspection:
CONTRACTOR shall comply with the registration requirements of Labor Code Section
1725.5. Pursuant to Labor Code Section 1771.4, the Work is subject to compliance
monitoring by the California Department of Industrial Relations. CONTRACTOR shall
maintain accurate payroll records and shall submit payroll records to the Labor
Commissioner pursuant to Labor Code Section 1771.4(a)(3). Penalties for non-compliance
CONFORMED C-CA-120518
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 11 of 25
with the requirements of Section 1776 may be deducted from progress payments per
Section 1776.
CONTRACTOR shall comply with the job site notices posting requirements established by
the Labor Commissioner per Title 8, California Code of Regulations Section 16461(e).
SECTION-15 SURETYBONDS
CONTRACTOR shall, before entering upon the performance of this Contract, furnish Bonds
approved by OCSD's General Counsel—one in the amount of one hundred percent(100%)of
the Contract amount, to guarantee the faithful performance of the Work, and the other in the
amount of one hundred percent (100%)of the Contract amount to guarantee payment of all
claims for labor and materials furnished. As changes to the Contract occur via approved
Change Orders, the CONTRACTOR shall assure that the amounts of the Bonds are adjusted to
maintain 100% of the Contract Price. This Contract shall not become effective until such Bonds
are supplied to and approved by OCSD. Bonds must be issued by a Surety authorized by the
State Insurance Commissioner to do business in California. The Performance Bond shall
remain in full force and effect through the warranty period, as specified in Section 19 below. All
Bonds required to be submitted relating to this Contract must comply with California Code of
Civil Procedure Section 995.630. Each Bond shall be executed in the name of the Surety
insurer under penalty of perjury, or the fact of execution of each Bond shall be duly
acknowledged before an officer authorized to take and certify acknowledgments, and either one
of the following conditions shall be satisfied:
A. A copy of the transcript or record of the unrevoked appointment, power of attorney, by-
laws, or other instrument, duly certified by the proper authority and attested by the seal of
the insurer entitling or authorizing the person who executed the Bond to do so for and on
behalf of the insurer, is on file in the Office of the County Clerk of the County of Orange; or
C-CA-120518 CONFORMED
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 12 of 25
B. A copy of a valid power of attorney is attached to the Bond.
SECTION— 16 INSURANCE
CONTRACTOR shall purchase and maintain, for the duration of the Contract, insurance against
claims for injuries to persons, or damages to property which may arise from or in connection
with the performance of the Work hereunder, and the results of that Work by CONTRACTOR,
its agents, representatives, employees, or Subcontractors, in amounts equal to the
requirements set forth below. CONTRACTOR shall not commence Work under this Contract
until all insurance required under this Section is obtained in a form acceptable to OCSD, nor
shall CONTRACTOR allow any Subcontractor to commence Work on a subcontract until all
insurance required of the Subcontractor has been obtained. CONTRACTOR shall maintain all
of the foregoing insurance coverages in force through the point at which the Work under this
Contract is fully completed and accepted by OCSD pursuant to the provisions of the General
Conditions, "Final Acceptance and Final Completion". Furthermore, CONTRACTOR shall
maintain all of the foregoing insurance coverages in full force and effect throughout the warranty
period, commencing on the date of Final Acceptance. The requirement for carrying the
foregoing insurance shall not derogate from the provisions for indemnification of OCSD by
CONTRACTOR under Section 17 of this Contract. Notwithstanding nor diminishing the
obligations of CONTRACTOR with respect to the foregoing, CONTRACTOR shall subscribe for
and maintain in full force and effect during the life of this Contract, inclusive of all changes to the
Contract Documents made in accordance with the provisions of the General Conditions,
"Request for Change (Changes at CONTRACTOR's Request)" and/or"OWNER Initiated
Changes", the following insurance in amounts not less than the amounts specified. OCSD
reserves the right to amend the required limits of insurance commensurate with the
CONTRACTOR's risk at any time during the course of the Project. No vehicles may enter
OCSD Premises/worksite without Possessing the required insurance coverage.
CONFORMED C-CA-120518
PROJECT NO.FE14-05R
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CONTRACTOR's insurance shall also comply with all insurance requirements prescribed by
agencies from whom permits shall be obtained for the Work and any other third parties from
whom third party agreements are necessary to perform the Work (collectively, the "Third
Parties'), The Special Provisions may list such requirements and sample forms and
requirements from such Third Parties may be included in an attachment to the General
Requirements. CONTRACTOR bears the responsibility to discover and comply with all
requirements of Third Parties, including meeting specific insurance requirements, that are
necessary for the complete performance of the Work. To the extent there is a conflict between
the Third Parties' insurance requirements and those set forth by OCSD herein, the
requirement(s) providing the more protective coverage for both OSCD and the Third Parties
shall control and be purchased and maintained by CONTRACTOR.
A. Limits of Insurance
1. General Liability: Five Million Dollars ($5,000,000) per occurrence and a general
aggregate limit of Five Million Dollars ($5,000,000)for bodily injury, personal injury
and property damage. Coverage shall include each of the following:
a. Premises-Operations.
b. Products and Completed Operations, with limits of at least Five Million Dollars
($5,000,000) per occurrence and a general aggregate limit of Five Million
Dollars ($5,000,000)which shall be in effect at all times during the warranty
period set forth in the Warranty section herein, and as set forth in the General
Conditions, "Warranty(CONTRACTOR's Guarantee)", plus any additional
extension or continuation of time to said warranty period that may be required
or authorized by said provisions.
C. Broad Form Property Damage, expressly including damage arising out of
explosion, collapse, or underground damage.
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d. Contractual Liability, expressly including the indemnity provisions assumed
under this Contract.
e. Separation of Insured Clause, providing that coverage applies separately to
each insured, except with respect to the limits of liability.
f. Independent CONTRACTOR's Liability.
To the extent first dollar coverage, including defense of any claim, is not
available to OCSD or any other additional insured because of any SIR,
deductible, or any other form of self-insurance, CONTRACTOR is obligated to
assume responsibility of insurer until the deductible, SIR or other condition of
insurer assuming its defense and/or indemnity has been satisfied.
CONTRACTOR shall be responsible to pay any deductible or SIR.
g. If a crane will be used, the General Liability insurance will be endorsed to add
Riggers Liability coverage or its equivalent to cover the usage of the crane and
exposures with regard to the crane operators, riggers and others involved in
using the crane.
h. If divers will be used, the General Liability insurance will be endorsed to cover
marine liability or its equivalent to cover the usage of divers.
2. Automobile Liability: The CONTRACTOR shall maintain a policy of Automobile
Liability Insurance on a comprehensive form covering all owned, non-owned, and
hired automobiles, trucks, and other vehicles providing the following minimum limits
of liability coverage:
Either(1)a combined single limit of Five Million Dollars ($5,000,000) and a general
aggregate limit of Five Million Dollars ($5,000,000)for bodily injury, personal injury
and property damage;
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Or alternatively, (2) Five Million Dollars ($5,000,000) per person for bodily injury and
Two Million Dollars ($2,000,000) per accident for property damage.
3. Umbrella Excess Liability: The minimum limits of general liability and automobile
liability insurance required, as set forth above, shall be provided for either in a single
policy of primary insurance or a combination of policies of primary and umbrella
excess coverage. Excess liability coverage shall be issued with limits of liability
which, when combined with the primary insurance, will equal the minimum limits for
general liability and automobile liability.
4. Drone Liability Insurance: If a drone will be used, drone liability insurance must be
maintained by CONTRACTOR in the amount of One Million Dollars ($1,000,000) in a
form acceptable by OCSD.
Worker's Compensation/Emolover's Liability: CONTRACTOR shall provide such
Worker's Compensation Insurance as required by the Labor Code of the State of
California, including employer's liability with a minimum limit of One Million Dollars
($1,000,000) per accident for bodily injury or disease. If an exposure to Jones Act
liability may exist, the insurance required herein shall include coverage with regard to
Jones Act claims.
Where permitted by law, CONTRACTOR hereby waives all rights of recovery by
subrogation because of deductible clauses, inadequacy of limits of any insurance
policy, limitations or exclusions of coverage, or any other reason against OCSD, its
or their officers, agents, or employees, and any other contractor or subcontractor
performing Work or rendering services on behalf of OCSD in connection with the
planning, development and construction of the Project. In all its insurance coverages
related to the Work, CONTRACTOR shall include clauses providing that each insurer
C-CA-120518 CONFORMED
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shall waive all of its rights of recovery by subrogation against OCSD, its or their
officers, agents, or employees, or any other contractor or subcontractor performing
Work or rendering services at the Project. Where permitted by law, CONTRACTOR
shall require similar written express waivers and insurance clauses from each of its
Subcontractors of every tier. A waiver of subrogation shall be effective as to any
individual or entity, even if such individual or entity (a)would otherwise have a duty
of indemnification, contractual or otherwise, (b)did not pay the insurance premium,
directly or indirectly, and (c)whether or not such individual or entity has an insurable
interest in the property damaged.
5. Pollution Liability Insurance: CONTRACTOR shall purchase and maintain insurance
for pollution liability covering bodily injury, property damage (including loss of use of
damaged property or property that has not been physically injured or destroyed),
cleanup costs, and defense costs (including costs and expenses for investigation,
defense, or settlement of claims). Coverage shall carry limits of at least One Million
Dollars ($1,000,000) and shall apply to sudden and non-sudden pollution conditions
(including sewage spills), both at the site or needed due to migration of pollutants
from the site, resulting from the escape or release of smoke, vapors, fumes, acids,
alkalis, toxic chemicals, liquids or gases, waste materials, or other irritants,
contaminants or pollutants.
If CONTRACTOR provides coverage written on a claims-made basis, OCSD has the
right to approve or reject such coverage in its own discretion. If written on a claims-
made basis, the CONTRACTOR warrants that any retroactive date applicable to
coverage under the policy precedes the effective date of this Contract, and that
continuous coverage will be maintained, or an extended discovery period will be
CONFORMED C-CA-120518
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exercised, for a period of two years beginning from the time that the Project under
this Contract is completed.
6. Limits are Minimums: If CONTRACTOR maintains higher limits than the minimums
shown in this Section, OCSD requires and shall be entitled to coverage for the higher
limits maintained by the CONTRACTOR.
B. Deductibles and Self-Insured Retentions
Any deductibles or self-insured retentions must be declared to and approved by OCSD. At
the option of OCSD, either: the Insurer shall reduce or eliminate such deductibles or self-
insured retentions as respects OCSD, its Directors, officers, agents, CONSULTANTS, and
employees; or CONTRACTOR shall provide a financial guarantee satisfactory to OCSD
guaranteeing payment of losses and related investigations, claim administration, and
defense expenses.
C. Other Insurance Provisions
1. Each such policy of General Liability Insurance and Automobile Liability Insurance
shall be endorsed to contain, the following provisions:
a. OCSD, its Directors, officers, agents, CONSULTANTS, and employees, and all
public agencies from whom permits will be obtained, and their Directors,
officers, agents, and employees are hereby declared to be additional insureds
under the terms of this policy, but only with respect to the operations of
CONTRACTOR at or from any of the sites of OCSD in connection with this
Contract, or acts and omissions of the additional insured in connection with its
general supervision or inspection of said operations related to this Contract.
b. Insurance afforded by the additional insured endorsement shall apply as
primary insurance, and other insurance maintained by OCSD shall be excess
only and not contributing with insurance provided under this policy.
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PROJECT NO. FE14-05R
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2. Each insurance policy required herein shall be endorsed to state that coverage shall
not be cancelled by either party, except after thirty(30) days prior written notice by
certified mail, return receipt requested, and that coverage shall not be cancelled for
non-payment of premium except after ten (10)days prior written notice by certified
mail, return receipt requested. Should there be changes in coverage or an increase
in deductible or SIR amounts, CONTRACTOR undertakes to procure a manuscript
endorsement from its insurer giving 30 days prior notice of such an event to OCSD,
or to have its insurance broker/agent send to OCSD a certified letter describing the
changes in coverage and any increase in deductible or SIR amounts. The certified
letter must be sent Attention: Risk Management and shall be received not less than
twenty (20)days prior to the effective date of the change(s). The letter must be
signed by a Director or Officer of the broker/agent and must be on company
letterhead, and may be sent via e-mail in pdf format.
3. Coverage shall not extend to any indemnity coverage for the active negligence of
any additional insured in any case where an agreement to indemnify the additional
insured would be invalid under California Civil Code Section 2782(b).
4. If required by a public agency from whom permit(s)will be obtained, each policy of
General Liability Insurance and Automobile Liability Insurance shall be endorsed to
specify by name the public agency and its legislative members, officers, agents,
CONSULTANTS, and employees, to be additional insureds.
D. Acceptability of Insurers
Insurers must have an "A-", or better, Policyholder's Rating, and a Financial Rating of at
least Class Vill, or better, in accordance with the most current A.M. Best Rating Guide.
OCSD recognizes that State Compensation Insurance Fund has withdrawn from
participation in the A.M. Best Rating Guide process. Nevertheless, OCSD will accept
CONFORMED C-CA-120518
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State Compensation Insurance Fund for the required policy of workers compensation
insurance, subject to OCSD's option, at any time during the term of this Contract, to
require a change in insurer upon twenty (20)days written notice. Further, OCSD will
require CONTRACTOR to substitute any insurer whose rating drops below the levels
herein specified. Said substitution shall occur within twenty (20)days of written notice to
CONTRACTOR by OCSD or its agent.
E. Verification of Coverage
CONTRACTOR shall furnish OCSD with original certificates and mandatory endorsements
affecting coverage. Said policies and endorsements shall conform to the requirements
herein stated. All certificates and endorsements are to be received and approved by
OCSD before Work commences. OCSD reserves the right to require complete, certified
copies of all required insurance policies, including endorsements, affecting the coverage
required by these Specifications at any time.
F. Subcontractors
CONTRACTOR shall be responsible to establish insurance requirements for any
Subcontractors hired by CONTRACTOR. The insurance shall be in amounts and types
reasonably sufficient to deal with the risk of loss involving the Subcontractor's operations
and work. OCSD and any public agency issuing permits for the Project must be named as
"Additional Insured"on any General Liability or Automobile Liability policy obtained by a
Subcontractor. The CONTRACTOR must obtain copies and maintain current versions of
all Subcontractors' policies, Certificate of Liability and mandatory endorsements effecting
coverage. Upon request, CONTRACTOR must furnish OCSD with the above referenced
required documents.
C-CA-120518 CONFORMED
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
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G. Reauired Forms and Endorsements
1. Required ACORD Form
a. Certificate of Liability Form 25
2. Required Insurance Services Office, Inc. Endorsements (when alternative forms are
shown, they are listed in order of preference)
In the event any of the following forms are cancelled by Insurance Services Office,
Inc. (ISO), or are updated, the ISO replacement form or equivalent must be supplied.
a. Commercial General Liability Form CG-0001 10 01
b. Additional Insured Including Form CG-2010 10 01 and
Products-Completed Operations Form CG-2037 10 01
C. Waiver of Transfer of Rights of Form CG-2404 11 85; or
Recovery Against Others to Us/ Form CG-2404 10 93
Waiver of Subrogation
3. Required State Compensation Insurance Fund Endorsements
a. Waiver of Subrogation Endorsement No. 2570
b. Cancellation Notice Endorsement No. 2065
4. Additional Required Endorsements
a. Notice of Policy Termination Manuscript Endorsement
5. Pollution Liability Endorsements
There shall be a Separation of Insured Clause or endorsement, providing that
coverage applies separately to each insured, except with respect to the limits of
liability. There shall also be an endorsement or policy language containing a waiver
of subrogation rights on the part of the insurer.
OCSD, its directors, officers, agents, CONSULTANTS and employees and all public
agencies from whom permits will be obtained as well as their directors, officers,
CONFORMED C-CA-120518
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PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
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agents, and employees shall be included as insureds under the policy. Any
additional insured endorsement shall contain language at least as broad as the
coverage language contained in ISO form CG 20 10 11 85 or alternatively in both
CG 20 10 10 01 and CG 20 37 10 01 together.
SECTION—17 RISK AND INDEMNIFICATION
All Work covered by this Contract done at the site of construction or in preparing or delivering
materials to the site shall be at the risk of CONTRACTOR alone. CONTRACTOR shall save,
indemnify, defend, and keep OCSD and others harmless as more specifically set forth in
General Conditions, "General Indemnification".
SECTION-18 TERMINATION
This Contract may be terminated in whole or in part in writing by OCSD in the event of
substantial failure by the CONTRACTOR to fulfill its obligations under this Agreement, or it may
be terminated by OCSD for its convenience provided that such termination is effectuated in a
manner and upon such conditions set forth more particularly in General Conditions,
"Termination for Default" and/or"Termination for Convenience", provided that no termination
may be effected unless proper notice is provided to CONTRACTOR at the time and in the
manner provided in said General Conditions. If termination for default or convenience is
effected by OCSD, an equitable adjustment in the price provided for in this Contract shall be
made at the time and in the manner provided in the General Conditions, "Termination for
Default" and "Termination for Convenience".
SECTION—19 WARRANTY
The CONTRACTOR agrees to perform all Work under this Contract in accordance with the
Contract Documents, including OCSD's designs, Drawings and Specifications.
The CONTRACTOR guarantees for a period of at least one (1) year from the date of Final
Acceptance of the Work, pursuant to the General Conditions, "Final Acceptance and Final
C-CA-120518 CONFORMED
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Completion' that the completed Work is free from all defects due to faulty materials, equipment
or workmanship and that it shall promptly make whatever adjustments or corrections which may
be necessary to cure any defects, including repairs of any damage to other parts of the system
resulting from such defects. OCSD shall promptly give notice to the CONTRACTOR of
observed defects. In the event that the CONTRACTOR fails to make adjustments, repairs,
corrections or other work made necessary by such defects, OCSD may do so and charge the
CONTRACTOR the cost incurred. The CONTRACTOR's warranty shall continue as to any
corrected deficiency until the later of(1)the remainder of the original one-year warranty period;
or(2)one year after acceptance by OCSD of the corrected Work. The Performance Bond and
the Payment Bond shall remain in full force and effect through the guarantee period.
The CONTRACTOR's obligations under this clause are in addition to the CONTRACTOR's
other express or implied assurances under this Contract, including but not limited to specific
manufacturer or other extended warranties specified in the Plans and Specifications, or state
law and in no way diminish any other rights that OCSD may have against the CONTRACTOR
for faulty materials, equipment or Work.
SECTION-20 ASSIGNMENT
No assignment by the CONTRACTOR of this Contract or any part hereof, or of funds to be
received hereunder, will be recognized by OCSD unless such assignment has had prior written
approval and consent of OCSD and the Surety.
SECTION—21 RESOLUTION OF DISPUTES
OCSD and the CONTRACTOR shall comply with the provisions of California Public Contract
Code Section 20104 at. seq., regarding resolution of construction claims for any Claims which
arise between the CONTRACTOR and OCSD, as well as all applicable dispute and Claims
provisions as set forth in the General Conditions and as otherwise required by law.
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SECTION—22 SAFETY & HEALTH
CONTRACTOR shall comply with all applicable safety and health requirements mandated by
federal, state, city and/or public agency codes, permits, ordinances, regulations, and laws, as
well as these Contract Documents, including but not limited to the General Requirements,
Section entitled "Safety" and Exhibit B OCSD Safety Standards.
SECTION-23 NOTICES
Any notice required or permitted under this Contract may be given by ordinary mail at the
address set forth below. Any party whose address changes shall notify the other party in writing.
TO OCSD: Orange County Sanitation District
10844 Ellis Avenue
Fountain Valley, California 92708-7018
Attn: Clerk of the Board
Copy to: Orange County Sanitation District
10844 Ellis Avenue
Fountain Valley, California 92708-7018
Attn: Construction Manager
Bradley R. Hogin, Esquire
Woodruff, Spradlin & Smart
555 Anton Boulevard, Suite 1200
Costa Mesa, California 92626
TO CONTRACTOR: Engineering/Remediation Resources Group, Inc.
18231 Irvine Boulevard, Suite 200
Tustin, CA 92780
Copy to: Brad Hall, Vice-President Technical Services
Engineering/Remediation Resources Group, Inc.
18231 Irvine Boulevard, Suite 200
Tustin, CA 92780
C-CA-120518 CONFORMED
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
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IN WITNESS WHEREOF, the parties hereto have executed this Contract Agreement as the
date first hereinabove written.
CONTRACTOR: Engineering/Remediation Resources Group, Inc.
18231 Irvine Boulevard, Suite 200
Tustin, CA 92780
By
Printed Name
Its
CONTRACTOR's State License No. 743750 (Expiration Date— 12/31/2019)
OCSD: Orange County Sanitation District
By
David John Shawver
Board Chairman
By
Kelly A. Lore
Clerk of the Board
By
Marc Dubois
Contracts, Purchasing and Materials
Management Manager
CONFORMED C-CA-120518
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
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EXHIBIT A
SCHEDULE OF PRICES
C-EXA-080414
TABLE OF CONTENTS
EXHIBIT A
SCHEDULE OF PRICES
EXA-1 BASIS OF COMPENSATION.............................................................................1
EXA-2 PROGRESS PAYMENTS ..................................................................................1
EXA-3 RETENTION AND ESCROW ACCOUNTS........................................................1
EXA-4 STOP PAYMENT NOTICE.................................................................................3
EXA-5 PAYMENT TO SUBCONTRACTORS................................................................3
EXA-6 PAYMENT OF TAXES .......................................................................................3
EXA-7 FINAL PAYMENT...............................................................................................4
EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT...5
ATTACHMENT 1 -CERTIFICATION FOR REQUEST FOR PAYMENT.........................7
ATTACHMENT 2-SCHEDULE OF PRICES...................................................................8
C-EXA-080414
EXHIBIT A
SCHEDULE OF PRICES
EXA-1 BASIS OF COMPENSATION
CONTRACTOR will be paid the Contract Price according to the Schedule of
Prices, and all other applicable terms and conditions of the Contract
Documents.
EXA-2 PROGRESSPAYMENTS
Progress payments will be made in accordance with all applicable terms and
conditions of the Contract Documents, including, but not limited to:
1. Contract Agreement—Section 11 —"Contract Price and Method of
Payment;"
2. General Conditions—"Payment—General";
3. General Conditions—"Payment—Applications for Payment";
4. General Conditions—"Payment— Mobilization Payment Requirements;'
5. General Conditions—"Payment— Itemized Breakdown of Contract Lump
Sum Prices";
6. General Conditions—"Contract Price Adjustments and Payments";
7. General Conditions—"Suspension of Payments";
8. General Conditions—"OCSD's Right to Withhold Certain Amounts and
Make Application Thereof"; and
9. General Conditions—"Final Payment."
EXA-3 RETENTION AND ESCROW ACCOUNTS
A. Retention:
OCSD shall retain a percentage of each progress payment to assure
satisfactory completion of the Work. The amount to be retained from each
progress payment shall be determined as provided in General Conditions—
"Retained Funds; Substitution of Securities". In all contracts between
CONTRACTOR and its Subcontractors and/or Suppliers, the retention may not
exceed the percentage specified in the Contract Documents.
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PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
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B. Substitution of Securities:
CONTRACTOR may, at its sole expense, substitute securities as provided in
General Conditions—"Retained Funds; Substitution of Securities." Payment of
Escrow Agent:
In lieu of substitution of securities as provided above, the CONTRACTOR may
request and OCSD shall make payment of retention earned directly to the
escrow agent at the expense of the CONTRACTOR. At the expense of the
CONTRACTOR, the CONTRACTOR may direct the investment of the
payments into securities consistent with Government Code §16430 and the
CONTRACTOR shall receive the interest earned on the investments upon the
same terms provided for in this article for securities deposited by the
CONTRACTOR. Upon satisfactory completion of the Contract, the
CONTRACTOR shall receive from the escrow agent all securities, interest and
payments received by the escrow agent from OCSD, pursuant to the terms of
this article. The CONTRACTOR shall pay to each Subcontractor, not later than
twenty (20)calendar days after receipt of the payment, the respective amount
of interest earned, net of costs attributed to retention withheld from each
Subcontractor, on the amount of retention withheld to ensure the performance
of the Subcontractor. The escrow agreement used by the escrow agent
pursuant to this article shall be substantially similar to the form set forth in
§22300 of the California Public Contract Code.
C. Release of Retention:
Upon Final Acceptance of the Work, the CONTRACTOR shall submit an
invoice for release of retention in accordance with the terms of the Contract.
D. Additional Deductibles:
In addition to the retentions described above, OCSD may deduct from each
progress payment any or all of the following:
1. Liquidated Damages that have occurred as of the date of the application for
progress payment;
2. Deductions from previous progress payments already paid, due to OCSD's
discovery of deficiencies in the Work or non-compliance with the
Specifications or any other requirement of the Contract;
3. Sums expended by OCSD in performing any of the CONTRACTOR'S
obligations under the Contract that the CONTRACTOR has failed to
perform, and;
4. Other sums that OCSD is entitled to recover from the CONTRACTOR
under the terms of the Contract, including without limitation insurance
deductibles and assessments.
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PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
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The failure of OCSD to deduct any of the above-identified sums from a
progress payment shall not constitute a waiver of OCSD's right to such sums or
to deduct them from a later progress payment.
EXA-4 STOP PAYMENT NOTICE
In addition to other amounts properly withheld under this article or under other
provisions of the Contract, OCSD shall retain from progress payments
otherwise due the CONTRACTOR an amount equal to one hundred twenty-five
percent (125%)of the amount claimed under any stop payment notice under
Civil Code §9350 at. seq. or other lien filed against the CONTRACTOR for
labor, materials, supplies, equipment, and any other thing of value claimed to
have been furnished to and/or incorporated into the Work; or for any other
alleged contribution thereto. In addition to the foregoing and in accordance with
Civil Code§9358 OCSD may also satisfy its duty to withhold funds for stop
payment notices by refusing to release funds held in escrow pursuant to public
receipt of a release of stop payment notice executed by a stop payment notice
claimant, a stop payment notice release bond, an order of a court of competent
jurisdiction, or other evidence satisfactory to OCSD that the CONTRACTOR
has resolved such claim by settlement.
EXA-5 PAYMENT TO SUBCONTRACTORS
Requirements
1. The CONTRACTOR shall pay all Subcontractors for and on account of
Work performed by such Subcontractors, not later than seven (7) days after
receipt of each progress payment as required by the California Business
and Professions Code §7108.5. Such payments to Subcontractors shall be
based on the measurements and estimates made pursuant to article
progress payments provided herein.
2. Except as specifically provided by law, the CONTRACTOR shall pay all
Subcontractors any and all retention due and owing for and on account of
Work performed by such Subcontractors not later than seven (7)days after
CONTRACTOR'S receipt of said retention proceeds from OCSD as
required by the California Public Contract Code§7107.
EXA-6 PAYMENT OF TAXES
Unless otherwise specifically provided in this Contract, the Contract Price
includes full compensation to the CONTRACTOR for all taxes. The
CONTRACTOR shall pay all federal, state, and local taxes, and duties
applicable to and assessable against any Work, including but not limited to
retail sales and use, transportation, export, import, business, and special taxes.
The CONTRACTOR shall ascertain and pay the taxes when due. The
CONTRACTOR will maintain auditable records, subject to OCSD reviews,
confirming that tax payments are current at all times.
CONFORMED C-EXA-080414
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
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EXA-7 FINAL PAYMENT
After Final Acceptance of the Work, as more particularly set forth in the
General Conditions, "Final Acceptance and Final Completion", and after
Resolution of the Board authorizing final payment and satisfaction of the
requirements as more particularly set forth in General Conditions—"Final
Payment", a final payment will be made as follows:
1. Prior to Final Acceptance, the CONTRACTOR shall prepare and submit an
application for Final Payment to OCSD, including:
a. The proposed total amount due the CONTRACTOR, segregated by
items on the payment schedule, amendments, Change Orders, and
other bases for payment;
b. Deductions for prior progress payments;
c. Amounts retained;
d. A conditional waiver and release on final payment for each
Subcontractor(per Civil Code Section 8136);
e. A conditional waiver and release on final payment on behalf of the
CONTRACTOR (per Civil Code Section 8136);
f. List of Claims the CONTRACTOR intends to file at that time or a
statement that no Claims will be filed,
g. List of pending unsettled claims, stating claimed amounts, and copies of
any and all complaints and/or demands for arbitration received by the
CONTRACTOR; and
h. For each and every claim that resulted in litigation or arbitration which
the CONTRACTOR has settled, a conformed copy of the Request for
Dismissal with prejudice or other satisfactory evidence the arbitration is
resolved.
2. The application for Final Payment shall include complete and legally
effective releases or waivers of liens and stop payment notices satisfactory
to OCSD, arising out of or filed in connection with the Work. Prior progress
payments shall be subject to correction in OCSD's review of the application
for Final Payment. Claims filed with the application for Final Payment must
be otherwise timely under the Contract and applicable law.
3. Within a reasonable time, OCSD will review the CONTRACTOR'S
application for Final Payment. Any recommended changes or corrections
will then be forwarded to the CONTRACTOR. Within ten (10) calendar days
after receipt of recommended changes from OCSD, the CONTRACTOR will
make the changes, or list Claims that will be filed as a result of the
changes, and shall submit the revised application for Final Payment. Upon
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acceptance by OCSD, the revised application for Final Payment will
become the approved application for Final Payment.
4. If no Claims have been filed with the initial or any revised application for
Final Payment, and no Claims remain unsettled within thirty-five (35)
calendar days after Final Acceptance of the Work by OCSD, and
agreements are reached on all issues regarding the application for Final
Payment, OCSD, in exchange for an executed release, satisfactory in form
and substance to OCSD, will pay the entire sum found due on the approved
application for Final Payment, including the amount, if any, allowed on
settled Claims.
5. The release from the CONTRACTOR shall be from any and all Claims
arising under the Contract, except for Claims that with the concurrence of
OCSD are specifically reserved, and shall release and waive all unreserved
Claims against OCSD and its officers, directors, employees and authorized
representatives. The release shall be accompanied by a certification by the
CONTRACTOR that:
a. It has resolved all Subcontractors, Suppliers and other Claims that are
related to the settled Claims included in the Final Payment;
b. It has no reason to believe that any party has a valid claim against the
CONTRACTOR or OCSD which has not been communicated in writing
by the CONTRACTOR to OCSD as of the date of the certificate;
c. All warranties are in full force and effect, and;
d. The releases and the warranties shall survive Final Payment.
6. If any claims remain open, OCSD may make Final Payment subject to
resolution of those claims. OCSD may withhold from the Final Payment an
amount not to exceed one hundred fifty percent (150%) of the sum of the
amounts of the open claims, and one hundred twenty-five percent (125%)
of the amounts of open stop payment notices referred to in article entitled
stop payment notices herein.
7. The CONTRACTOR shall provide an unconditional waiver and release on
final payment from each Subcontractor and Supplier providing Work under
the Contract(per Civil Code Section 8138) and an unconditional waiver and
release on final payment on behalf of the CONTRACTOR (per Civil Code
Section 8138)within thirty (30)days of receipt of Final Payment.
EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT
Notwithstanding OCSD's acceptance of the application for Final Payment and
irrespective of whether it is before or after Final Payment has been made,
OCSD shall not be precluded from subsequently showing that:
1. The true and correct amount payable for the Work is different from that
previously accepted;
CONFORMED C-EXA-080414
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 5 of 8
2. The previously-accepted Work did not in fact conform to the Contract
requirements, or;
3. A previous payment or portion thereof for Work was improperly made.
OCSD also shall not be stopped from demanding and recovering damages
from the CONTRACTOR, as appropriate, under any of the foregoing
circumstances as permitted under the Contract or applicable law.
C-EXA-080414 CONFORMED
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 6 of 8
ATTACHMENT 1 —CERTIFICATION FOR REQUEST FOR PAYMENT
I hereby certify under penalty of perjury as follows:
That the claim for payment is in all respects true, correct; that the services mentioned
herein were actually rendered and/or supplies delivered to OCSD in accordance with the
Contract.
I understand that it is a violation of both the federal and California False Claims Ads to
knowingly present or cause to be presented to OCSD a false claim for payment or
approval.
A claim includes a demand or request for money. It is also a violation of the False
Claims Acts to knowingly make use of a false record or statement to get a false claim
paid. The term "knowingly" includes either actual knowledge of the information,
deliberate ignorance of the truth or falsity of the information, or reckless disregard for the
truth or falsity of the information. Proof of specific intent to defraud is not necessary
under the False Claims Acts. I understand that the penalties under the Federal False
Claims Ad and State of California False Claims Act are non-exclusive, and are in
addition to any other remedies which OCSD may have either under contract or law.
I hereby further certify, to the best of my knowledge and belief, that:
1. The amounts requested are only for performance in accordance with the
Specifications, terms, and conditions of the Contract;
2. Payments to Subcontractors and Suppliers have been made from previous payments
received under the Contract, and timely payments will be made from the proceeds of
the payment covered by this certification;
3. This request for progress payments does not include any amounts which the prime
CONTRACTOR intends to withhold or retain from a Subcontractor or Supplier in
accordance with the terms and conditions of the subcontract; and
4. This certification is not to be construed as Final Acceptance of a Subcontractors
performance.
Name
Title
Dale
CONFORMED C-EXA-080414
PROJECT NO. FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 7 of 8
ATTACHMENT 2—SCHEDULE OF PRICES
See next pages from the Bid Submittal Forms (Engineering/Remediation Resources
Group, Inc.):
BF-14 Schedule of Prices, Pages 1-2
C-EXA-080414 CONFORMED
PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 8 of 8
Bid Submitted By: Engineerina/Remediation Resources Group, Inc.
(Name of Form)
BF-14 SCHEDULE OF PRICES
INSTRUCTIONS
A. General
For Unit Prices, it is understood that the following quantities are approximate only and are
solely for the purpose of estimating the comparison of Bids, and that the actual value of Work
will be computed based upon the actual quantities in the completed Work,whether they be
more or less than those shown. CONTRACTOR's compensation for the Work under the
Contract Documents will be computed based upon the lump sum amount of the Contract at
time of award, plus any additional or deleted costs approved by OCSD via approved Change
Orders, pursuant to the Contract Documents.
Bidder shall separately price and accurately reflect costs associated with each line item,
leaving no blanks. Any and all modifications to the Bid must be initialed by an authorized
representative of the Bidder in accordance with the Instructions to Bidders, Preparation of Bid.
Bidders are reminded of Instruction to Bidders, Discrepancy in Bid Items,which, in summary,
provides that the total price for each item shall be based on the Unit Price listed for each item
multiplied by the quantity;and the correct Total Price for each item shall be totaled to
determine the Total Amount of Bid.
All applicable costs including overhead and profit shall be reflected in the respective unit costs
and the TOTAL AMOUNT OF BID. The Bid Price shall include all costs to complete the Work,
including profit.overhead, etc., unless otherwise specified in the Contract Documents. All
applicable sales taxes, state and/or federal, and any other special taxes, patent rights or
royalties shall be included in the prices quoted in this Bid.
B. Basis of Award
AWARD OF THE CONTRACT WILL BE MADE ON THE BASIS OF THE LOWEST
RESPONSIVE AND RESPONSIBLE BID.
Note 1: Base Bid. Includes all costs necessary to furnish all labor, materials, equipment and
services for the construction of the Project per the Contract Documents.
BF-14 SCHEDULE OF PRICES C-BF-121817
PROJECT NO.FE14415R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 1 of 2
Bid Submitted By: Engineering/Remediation Resources Group,Inc.
(Name of Firm)
EXHIBIT A
SCHEDULE OF PRICES
BASE BID ITEMS (Refer to Note 1 in the Instmctions):
Item Description Unit of Approx Unit Price Extended Price
No. Measurement Dry
1. Mobilization, initial progress payment for all fees, labor, materials, and
equipment required for mobilization, in accordance with Specifications Lump Sum 1 35,000
Section 01155 Measurement and Payment and in wnfornance with the
Contract Documents for the lump sum price of...
2. Furnish all labor, materials, and equipment required for Disposal of
Excavated Soil, except for the Work specified in Bid Item No. 1, in
accordance with Specifications Section 01155 Measurement and Payment Lump Sum 1 123,994 = $ 123,994
and in conformance with the Contract Documents for the lump sum price
of...
3. Furnish all labor, materials,and equipment necessary for sheeting,shoring,
and brecing required for the Project,except for Work specified in Bid Item
Nos. 1 and 2, in accordance with Specifications Section 01155 Lump Sum 1 2 = E 25,910
Measurement and Payment and in conformance with the Contract
Documents for the lump sum price of..."
4. Furnish all labor, materials,and equipment necessary for the completion of I
the Contract Work, except for the Work specified in Bid Item Nos. 1, 2,and
3 in accordance with Specifications Section 01155 Measurement and Lump Sum 1 463,771 ' _ $ 463,771
Payment and in conformance with the Contract Documents,for the lump
sum price of...
TOTAL AMOUNT OF BID (BASIS OF AWARD) $ 648,675
BF-14 SCHEDULE OF PRICES G-BF-121817
ADDENDUM NO.2 PROJECT NO.FE14-05R
PLANT NO. 1 FLEET SERVICES UST LEAK REMEDIATION
Page 2 of 2
OPERATIONS COMMITTEE Melting D310 TOBE.Of Dir.
01/16/19 O1/23/19
AGENDA REPORT Item Item Number
3 9
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Assistant General Manager
SUBJECT: SEWER RELOCATION AGREEMENT WITH SANTA ANA
DEVELOPMENT PARTNERS, LP
GENERAL MANAGER'S RECOMMENDATION
A. Approve a Sewer Relocation Agreement with Santa Ana Development Partners,
LP for the segment relocation of the Orange County Sanitation District West Trunk
Bypass Sewer within the property located at 2114 East First Street, Santa Ana;
and
B. Authorize the General Manager to execute easement documents per the Sewer
Relocation Agreement in a form approved by General Counsel.
BACKGROUND
The Orange County Sanitation District(Sanitation District)owns, operates, and maintains
a trunk sewer that is routed through the property located at 2114 East First Street in Santa
Ana. This sewer conveys wastewater from the City of Santa Ana to the Sanitation
District's West Trunk Bypass Sewer and eventually to Sanitation District Plant No. 1. The
West Trunk Bypass Sewer was placed into service in 1965.
RELEVANT STANDARDS
• Maintain collaborative and cooperative relationships with regulators, stakeholders,
and neighboring communities
• Protect Orange County Sanitation District assets
• Operate and maintain facilities to minimize impacts on surrounding communities,
including odor, noise, and lighting
PROBLEM
Santa Ana Development Partners, LP (Developer), consisting of AMG and Associates as
managing member of the development partnership, plans to expand its site and construct
552 affordable residential units and 10,000 square feet of retail space as part of the First
Point Project. The new buildings will be directly over the Sanitation District's trunk sewer
and easement, making the Sanitation District's facilities inaccessible.
Page 1 of 3
PROPOSED SOLUTION
Developer will design and construct a new sewer per Sanitation District standards, in a
new alignment outside of the proposed building footprint.
Developer will abandon the existing sewer and grant new easements that correspond
with the new sewer location at no cost to the Sanitation District. The Sanitation District
will then accept and record the new easements and quitclaim portions of the existing
easement.
TIMING CONCERNS
Sewer Relocation Agreement must be executed prior to construction. Developer is
scheduled to begin construction of sewer relocation in February 2019.
RAMIFICATIONS OF NOT TAKING ACTION
Delay in Developer's improvement project.
PRIOR COMMITTEE/BOARD ACTIONS
N/A
ADDITIONAL INFORMATION
A portion of the relocated sewer will be located on Developer's westerly neighbor's
property. Developer will coordinate and guarantee the coordination and execution of a
new easement in favor of the Sanitation District.
The Sanitation District established the West Trunk Bypass Sewer Realignment, Project
No. FE18-08, to track Sanitation District expenses for reimbursement by Developer.
CEQA
Sanitation District Project No. FE18-08 and the First Point Project proposed by AMG &
Associates are considered part of the same project for CEQA purposes. The Sanitation
District is a responsible agency for this project because it has discretionary approval
authority over the West Trunk Sewer Relocation and, by extension,the First Point Project.
The First Point Project and sewer relocation are located within the City of Santa Ana's
Metro East Mixed Use Overlay Zone (MEMU Overlay). The City of Santa Ana previously
prepared a Program EIR forthe MEMU Overlay(the"MEMU EIR;' SCH No. 2006031041)
that evaluated the environmental effects of future projects occurring in the MEMU
Overlay. As the CEQA lead agency for this project, the City of Santa Ana has determined
that the environmental effects of the First Point Project and sewer relocation were
adequately evaluated in the MEMU EIR and no further environmental documents are
required pursuant to CEQA Guidelines Sections 15162 and 15168.
Page 2 of 3
Sanitation District staff and General Counsel have reviewed the MEMU EIR and agree
with the lead agency's conclusion that the environmental effects of the First Point Project
and West Trunk Sewer Bypass Relocation were covered in the MEMU EIR. The
Sanitation District may therefore approve the sewer relocation without performing
additional environmental review. A Notice of Determination will be filed with the OC
Clerk-Recorder office after Board approval of this agenda report.
FINANCIAL CONSIDERATIONS
Developer is responsible for payment of Sanitation District's standard plan check and
inspection fees and all costs to relocate the sewer.
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (wwwocsd.com) with the
complete agenda package:
• Sewer Relocation Agreement
• Draft Easement — Attachment 1 of Agreement (to be executed only after
completion and connection of new sewer construction)
• Draft Quitclaim—Attachment 2 of Agreement(to be executed only after completion
and connection of new sewer construction)
• Draft Easement — Attachment 3 of Agreement (to be executed only after
completion and connection of new sewer construction)
RD:sa:gc
Page 3 of 3
SEWER RELOCATION AGREEMENT
BETWEEN ORANGE COUNTY SANITATION DISTRICT AND
SANTA ANA DEVELOPMENT PARTNERS,LP
OCSD Project No. FE18-08
THIS SEWER RELOCATION AGREEMENT("Agreement") is made and entered into as of the day
of 2019, by and between ORANGE COUNTY SANITATION DISTRICT, a County
Sanitation District("District') and SANTA ANA DEVELOPMENT PARTNERS, LP, a California Limited
Partnership ("Developer"). District and Developer are sometimes hereinafter individually referred to as
"Party" and collectively referred to as "Parties."
RECITALS
WHEREAS, District is a duly organized County Sanitation District existing pursuant to the County
Sanitation District Act,California Health and Safety Code Sections 4700 et seq.,providing for the ownership,
operation and maintenance of wastewater collection,treatment and disposal facilities within Orange County,
California; and
WHEREAS,Santa Ana Development Partners,LP is a California Limited Partnership duly organized
and validly existing under the laws of the State of California with the power to carry on its business as it is
now being conducted;and
WHEREAS, District owns, operates and maintains a 12-inch vitrified clay pipe trunk sewer and
related appurtenances ("Sewer") beneath property owned by Broomell Commercial Properties, L.P., a
California Limited Partnership("Property"); and
WHEREAS, Developer is party to that certain Ground Lease Option Agreement and Joint Escrow
Instructions dated as of April 7, 2016, by and between Broomell Commercial Properties, L.P, as optionor,
and Developer, as optionee. Developer will have executed said Option Agreement on or before
November 15, 2018.
WHEREAS, Developer has the right to enter, execute and perform the duties required within this
Agreement.
WHEREAS,District is the grantee of an easement for the Sewer that was recorded as Instrument No.
13558, Book 7597, Page 168 in the Official Records of Orange County, CA on July 16, 1965 ("Existing
Easement');and
WHEREAS,the Sewer is presently located within the area described in the Existing Easement; and
WHEREAS, Developer is planning to construct 552 affordable residential units and 10,000 square
feet of retail space within two (2) 6-story Podium Buildings and associated site improvements ("Project")
within the Property and in order to carry out such construction as presently designed,an additional portion of
the Sewer, identified by the District as sewer segments beginning at manhole #RED0120-0470, as the
southern limit, to manhole #RED0120-0480, as the northern limit, will need to be relocated ("Relocated
Reach");and
WHEREAS, District is willing to have the Sewer relocated provided that Developer constructs a
replacement line for the Relocated Reach ("New Reach") to the District's design and construction
requirements and standards and the District receives a 23-foot wide permanent easement in the area in which
the New Reach is located upon completion of the New Reach; and
1370177.1
WHEREAS, District is further willing to quitclaim that portion of the Existing Easement covering
the Relocated Reach at such time as the New Reach is completed and connected and District has recorded
easements for the area of the New Reach; and
WHEREAS, Developer has agreed to be responsible for the design and construction of the New
Reach, subject to the design and construction standards, approval, and inspection process of the District as
hereinafter set forth; and
WHEREAS,Developer has agreed to be responsible for the abandonment in place and/or removal of
the Relocated Reach and agrees to indemnify,defend,and hold the District harmless for any subsequent injury
or damage resulting from the abandonment and/or removal of the Relocated Reach; and
WHEREAS,Developer has agreed to reimburse the District for all costs associated with the review
and approval by the District of the design and construction of the New Reach in accordance with the District's
applicable fully burdened labor rates.
AGREEMENT
NOW THEREFORE, in consideration of the mutual promises set forth herein, the Parties agree as
follows:
SECTION 1. RECITALS
The Recitals above are deemed true and correct, are hereby incorporated in this Section as though fully set
forth herein, and each Parry to this Agreement acknowledges and agrees that they are bound by the same.
SECTION 2. ELEMENTS OF AGREEMENT
Developer and District shall work cooperatively together so the New Reach may be constructed as efficiently
as possible and in compliance with the District's design and construction requirements and standards for
sanitary sewers. The specific terms and conditions governing the elements of this Agreement are set forth
below.
SECTION 3. SPECIFIC OBLIGATIONS OF DEVELOPER
A. Developer shall enter into, administer contracts, and assume full responsibility for the design and
construction services necessary to design and construct the New Reach.
1. Developer shall pay, and shall require any contractor, subcontractor, or subconsultant hired
in connection with this Agreement to pay, all workers employed on the construction of the New Reach the
applicable prevailing wage rate,as determined by the California Director of Industrial Relations,of per diem
wages and the general prevailing rate,including for legal holiday and overtime work,in the locality in which
the work is to be performed for each craft or type of work needed to execute this Agreement. Developer
shall maintain accurate payroll records for the duration of construction of the New Reach and shall provide
to District upon request.
2. Developer shall select a general contractor("Contractor") that has completed at least two(2)
pipeline projects within the last five(5)years with a public owner and involving the construction of vitreous
clay pipe(VCP)gravity pipelines of at least 1,000 linear feet for pipe sizes ranging from 12 to 36 inches in
diameter. Developer shall submit Contractor's qualifications to the District for District's approval before
the Contractor's services are retained.
B. Developer shall deliver to District an Easement Deed granting the District a 23-foot-wide permanent
easement over and through the New Reach for sanitary sewer use,operation,inspection,maintenance,repair,
1370177.1
and replacement purposes("New Easement"). The Easement Deed shall be signed by the fee simple owner
of the property, Broomell Commercial Properties, L.P., and to the satisfaction of OCSD legal counsel.
OCSD shall record the Easement Deed following completion of the New Reach as outlined in Section 4
below. A proposed copy of the New Easement is attached to this Agreement as "Attachment 1" and is
incorporated herein by reference. Concurrent with the recording of the New Easement following completion
of the New Reach, OCSD shall sign, deliver, and record a Quitclaim Deed ("Quitclaim Deed") that
extinguishes OCSD's rights to the Existing Easement. A proposed copy of the Quitclaim Deed is attached
to this Agreement as"Attachment 2"and is incorporated herein by reference.
C. Developer shall submit the New Reach design and construction documents to the District for review
and approval by the District's Director of Engineering. The drawings and specifications shall meet District's
design standards and technical requirements. District shall complete its review of such drawings and
specifications within thirty(30)days of receipt thereof and shall not unreasonably withhold its approval of
the design and construction documents.
D. Developer shall be responsible for procuring all necessary approvals for construction of the
"Project"from the City of Santa Ana("City")and any other governmental agency withjurisdiction over the
Project, as well as any other approvals for the New Reach required by the City or any other reviewing
agency,if any.
E. Construction of the New Reach shall be subject to the District's inspection requirements and
Developer shall implement, at no cost to the District, field changes should such inspections reveal any
changes that,in the reasonable opinion of the District,are necessary to bring the New Reach to the standards
of District.
F. A small portion of the New Reach is located on the adjacent westerly neighbor's property located
at 2020 East First Street and currently identified as 2020 EAST FIRST ST,LLC. Developer will guarantee
coordination and execution of a new easement ("Adjacent Easement") in favor of the District with 2020
EAST FIRST ST,LLC and/or its successors according to the New Reach easement requirements established
in this Agreement. Before initiating any construction activities under this Agreement, Developer shall
deliver to the District, and the District shall record, a fully executed Easement Deed that conveys the
Adjacent Easement to the District. A proposed copy of said Easement Deed is attached to this Agreement
as"Attachment 3"and is incorporated herein by reference.
G. Following construction of the New Reach and decommissioning of the Relocated Reach,Developer
shall abandon in place and/or remove the Relocated Reach in accordance with the requirements of District.
H. Developer shall require Contractor to deliver to Developer a one (1) year warranty on the New
Reach, including the point of connection from the Relocated Reach to the New Reach. Developer shall
assign to the District, and the District shall accept, such warranty upon the completion of the New Reach
and after the New Easement and Adjacent Easement have been recorded by the District. Such warranty
shall read substantially as follows:
Contractor warrants for a period of one(1)year from the date of final acceptance of the work
by District that Contractor shall repair or remove and replace any work, together with any
other work which may be displaced in so doing,that is found to be defective in workmanship
and/or materials without any expense to District or its assigns, ordinary wear and tear
excepted. If Contractor fails to initiate repairs or other work covered by this warranty within
one(1)week after being notified in writing,District or its assigns are authorized to proceed
to have the defects remedied at Contractor's sole expense. Contractor shall pay the cost and
charges thereof immediately on demand. If, in the opinion of District or its assigns,
139a O1.1
defective work detected during the warranty period creates a dangerous condition or
otherwise requires immediate correction or modification to prevent further loss to District
or its assigns or to prevent interruption of District's or its assigns'operations, District or its
assigns shall be authorized to repair the condition without prior notice to the Contractor and
Contractor shall pay the cost and charges thereof to District immediately upon demand.
Contractors obligations under this section are in addition to Contractors other express or
implied assurances under any agreement with Developer and/or applicable law, and in no
way diminishes any other rights that District or its assigns may have against Contractor for
faulty materials, equipment, or work. Contractor agrees that this warranty shall be freely
assignable to District without any further notice to or consent from Contractor.
I. Developer shall assign the warranty referred to in Section 3.H above to District without recourse
within ten(10)days after the issuance of the warranty by Contractor.
J. Developer shall furnish and deliver to District all record drawings of the New Reach,within 60 days
after District's acceptance of the New Reach,at no cost to District.
SECTION 4. SPECIFIC OBLIGATIONS OF DISTRICT
A. District shall plan check designs for the New Reach and related work in accordance with its
established procedures.
B. District shall inspect construction of the New Reach as it deems necessary to ensure compliance with
the approved drawings and specifications for the New Reach. District shall promptly notify Developer and
Contractor if any portion of the work appears not to conform to the approved construction documents or
District standards and shall work with Contractor to ensure construction of the New Reach is brought into
compliance with District requirements.
C. Once completed, District shall formally accept the New Reach as soon as practicable in accordance
with its process for accepting facilities constructed by others, and thereafter maintain and repair the New
Reach as more particularly described in the Existing Easement.
D. District shall promptly sign and record the Quitclaim Deed after completion and acceptance of the
New Reach and concurrently with District's recording of the New Easement and Adjacent Easement
SECTION 5. INSURANCE
Developer shall require Contractor to maintain insurance of the type and in the amounts set forth below
during all times Contractor or its employees, agents and subcontractors are on the Property and/or
performing activities under this Agreement.
Developer shall require that insurers be authorized to transact business in the State of California and that
insurers have an "A-", or better, Policyholder 's Rating, and a Financial Rating of at least Class VIR, or
better,in accordance with the most current A.M. Best Rating Guide.
Developer shall require Contractor to deliver to District a certificate of insurance evidencing the coverage
required hereby. Said policies and endorsements shall conform to the requirements herein stated.
Developer shall require that general liability and automobile liability policies be endorsed to name District
as additional insured using endorsement forms that are acceptable to District. Developer shall require that
the insurance policy required herein be endorsed to state that coverage shall not be cancelled, except after
1370177.1
thirty(30)calendar days'written notice to District. Developer shall require Contractor to carry coverage in
at least the following amounts:
A. General Liability. $2,000,000 per occurrence for bodily injury, personal injury, and
property damage and $4,000,000 aggregate for bodily injury, personal injury, and
property damage.
B. Automobile Liability. $2,000,000 combined single limit per accident for bodily injury
and property damage,including non-owned and hired vehicles.
C. Workers'Compensation. Workers Compensation, in accordance with the Workers'
Compensation Act of the State of California as required by statute and Employer's
Liability for a minimum of$1,000,000 or such minimum limits as the required by the
State,whichever is greater. Such Workers'Compensation Insurance shall be endorsed
to provide for a waiver of subrogation against District using a form that is acceptable to
District.
SECTION 6. INDEMNITY
Developer hereby agrees to indemnify, defend, save and hold District, and the District's agents, officers,
employees, and representatives harmless from, and against, all losses, costs, expenses, claims, causes of
action,and damages suffered or incurred by any of them,which may arise from,pertain to,or relate to,the
negligent acts or omissions, recklessness, or willful misconduct of Developer or Developer's employees,
agents,or representatives in connection with the exercise of the rights granted in this Agreement.
Developer further agrees to indemnify, defend, save and hold District, and the District's agents,
officers,employees,and representatives harmless from,and against, all losses,costs,expenses,claims,
causes of action, and damages which may arise from,pertain to, or relate to,the abandonment in place
and/or removal of the Relocated Reach.
SECTION 7. TERM
This Agreement shall remain in full force and effect for a year after District accepts the New Reach,unless
and until sooner terminated in writing by both Parties.
SECTION 8. NOTICES
All notices or other communications required or permitted hereunder shall be in writing and shall be
personally delivered or sent by registered or certified mail, postage prepaid, return receipt requested,
delivered or sent by recognized overnight courier and shall 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;or(ii)three(3)business days after the date of posting by the United States Post Office
if by mail. Notices or other communications shall be addressed as follows:
To District: Orange County Sanitation District
10844 Ellis Avenue
Fountain Valley,CA 92708-8127
Attention:James D. Herberg,General Manager
1370177.1
To Developer: Santa Ana Development Partners LP,a California Limited Partnership
430 E State Street, Suite 100
Eagle,ID 83616
Attention: Caleb Roope,General Partner
SECTION 9. 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 shall lie in the Superior Court of California for Orange County.
SECTION 10. NO THIRD PARTY BENEFICIARIES
This Agreement is entered into by and for the District and Developer, and nothing herein is intended to
establish rights or interests in individuals or entities not a party hereto.
SECTION 11. FORCE MAJEURE
Except for the payment of money,neither Party shall be liable for any delays or other non-performance of
this Agreement for the period that such delay or non-perfomuance is the result of circumstances or causes
beyond its reasonable control, including without limitation,fire,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.
SECTION 12. GOVERNING LAW
This Agreement shall be governed by the laws of the State of California. Venue shall be in Orange
County, California.
SECTION 13. 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 14. WAIVER
A waiver of a breach of the covenants,conditions or obligations under this Agreement by either Party shall
not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or
obligations of this Agreement.
SECTION 15. AMENDMENTS
This Agreement may be modified or amended only by a written document executed by both District and
Developer.
SECTION 16. SEVERABILITY
If any term or portion of this Agreement is held to be invalid,illegal,or otherwise unenforceable by a court
of competentjurisdiction,the remaining provisions of this Agreement shall continue in full force and effect.
1370177.1
SECTION 17. 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.
IN WITNESS WHEREOF,the Parties hereto have caused this Agreement to be executed as of the day and
year first above written.
DEVELOPER: DISTRICT:
SANTA ANA DEVELOPMENT ORANGE COUNTY SANITATION
PARTNERS, LP, DISTRICT,
a California Limited Partnership a public agency
By: By:
David John Shawver
Name: Board Chairman
Title: Date:
By:
Kelly A. Lore, MMC
Clerk of the Board
Date:
APPROVED AS TO FORM:
By:
Bradley R. Hogin
General Counsel
Date:
1370177.1
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO,
Orange County Sanitation District
Attn:Clerk of the Board
10844 Ellis Avenue
Fountain Valley,California 92708
SPACE ABOVE THIS LINE FOR RECORDER'S USE
Documentary Transfer Tax Exempt Under Revenue And Taxation Code Section 11922
Recording Fee Exempt Under Government Code Section 6103
EASEMENT DEED
FOR VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, SANTA ANA
DEVELOPMENT PARTNERS, LP, a California Limited Partnership ("Grantor"), does hereby
GRANT and CONVEY to the ORANGE COUNTY SANITATION DISTRICT, a public agency
("Grantee"), a perpetual easement and right of way in, over, thr ugh, upon, along, and under that
certain real property situated in the City of Santa Ana, Cou Orange, State of Califomia, as
described in Instmment No. 200900478066 of the Offici rds of Orange County and in the
Legal Description attached hereto and incorporated e' as Ex 1 its"A"and"B "for the purpose
of constructing, maintaining, operating, and repla public se or sewers and appurtenances.
For the purposes set forth herein, the Grant offi ployees, eats, licensees, successors
and assigns (collectively, "Grantee Pon
all ' es have the right and privilege of access
to the premises hereinabove de The ra o i ffrcers, employees, agents, licensees,
successors, and assigns (collec b y, "G for s y agree to place no structures upon,
in, under, or above the �se a un sonabl interfere with Grantee's access to the
premises or to any pu r ew s w a ces located in,on,along,or under the premises.
Grantor Parties further ee tha a e Pant all not be responsible in any way for repairs or
replacement of any prop local n premises that may be damaged or destroyed as a result
of Grantee Parties' use of t ease t.
This grant of easement and It -way shall be binding upon the heirs, successors, administrators
and assigns of Grantor.
The undersigned represents and warrants that he or she is duly authorized to execute this Easement
Deed on behalf of Grantor and that such execution is binding upon Grantor.
IN WITNESS WHEREOF, Grantor has executed this Grant Deed as of the date set forth below.
Dated: 20
SANTA ANA DEVELOPMENT PARTNERS,LP,
a California Limited Partnership ATTEST:
By: By:
Name: Name:
Title: Title:
1
1370183.1
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the
truthfulness,accuracy,or validity of that document.
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
1. On , before me, Notary
Public, personally appeared , proved to me on the
basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized
capacity(ies),and that by his/her/their signature(s)on the instrument the pemon(s),or the entity upon
behalf of which the person(s)acted, executed the instrument.
2. I certify UNDER PENALTY OF PERJURY under the laws of the State of California
that the foregoing paragraph is true and correct.
3. WITNESS my hand and official seal.
O ota
2
1370183.1
EXHIBITS "A"AND "B"
LEGAL DESCRIPTION OF EASEMENT AREA
SEE ATTACHED
O
3
1370183.1
EXHIBIT 'A* SHEET 1 OF 1
LEGAL DESCRIPTION
FOR ORANGE COUNTY SANITATION DISTRICT EASEMENT
FIRST POINT TRUNK SEWER REALIGNMENT
OCSO PROJECT NO. ___
T-T E T-I -- :EL F L IT. -TE I THE IT F -'.T= - = 'T F ='. .E. 74E 'lF
-UF 1- {I'. TH-T TI F L T F THE T-FF T TI T'- T -E - E T
I - E F I ELL- E E F L ELE T I'. THE FF1E "F THE
-'. E T E E E I E I - T EE T '.'ELL 'E I-L E TIE,
L - -LIF I- LI 'ITE - T E HI E E - IL - I T 'E T
F FFl 1-1- E . F -1 '.T . E I E - . F LL
- EL -
E I -T THE THE- T E F -1 L T THE E E TE L -L THE NORTH LINE
F -1 L T TH - - I E T - 'I T- E F FEET T - I' T THE
THE L L -Tl . F THE .,E. T LI F F -1 1 . T '.E' T ;c0 CF OFFICIAL
E F -1 T
THE E -L -1 _E T LI E THE L L -TI THE E. F. SOJTH _';9'18" WEST. A
I T- E F FEEF T THE T E I T F E I I-
THE E -L -1 E T LI E TH E T. - I. T-' E F 15 FEET TO A POINT ON
THE THE-L U E F - F T E- E E T {I EL H ON GRANT OF
E- E.'E'T E E L TH I'. 1 - E F FFl 1=1_ RECORDS OF SAID
T
THE . E -L -1 THE L LI E TH "51' 10EST, A -1 _T- :-E OF !2.47 FEET;
THE -'-E LE- 1 -1 THE L LI E TH E=ST. A I T-,'.E OF 131.41 FEEL
THE E TH - E- T - I T-NCE - F FEET TO _ I T THE THERL, LINE
'.F I T E T I 4F OFFI I-L -E _ OF -1 T
THE E -L -1 THE L LI E NOR1H 89'41'28" WEST, A I T-' .:E uF 23.0';i FEET TO THE
T E I T F E I I
.d `.T-1 I' - E FEET 'E OR LESS.
Vc E _ TI L- L H E-CHI-1T H ATTACHED HERETO AND BY THIS REFERENCE MADE A PART
HEREOF.
SUBJECT T ALL .ANTS. RIGHTS, RESERVATIDNS, RIGHTS-DF-WAY AN.) EASEMENTS OF RECORD,
IF ANY,
PREPARED BY ORUNDER THE DIRECTION OF: ` Lµp
92970
2 CJ'i.$
S. 9297 '90
DAME P. UCDOUGALL L.S. 9797 ]ATE 0
4
1370183.1
EXHIBIT "B" SHEET 1 OF 1
SCALE 1" - 40' SKETCH TO ACCOMPANY A LEGAL DESCRIPTION FOR
ORANGE COUNTY SANITATION DISTRICT EASEMENT
FIRST POINT TRUNK SEWER REALIGNMENT
Z L4 OCSD PROJECT NO. =Ij
0 f)
1 ST STREET
N'LY PROLONGATION OF THE W. LINE
r OF INST. NO. 2009000478066 O.R. ^n NE. CORNER OF
:., N89'4"281P 417,75' LOT D
T.P.0.8. 6f: 7781 P(= 4& C.P.
n
i 1489'41'28W 23.DO'
i
N. LINE OF INST. NO.
y 2009000478066 O.R.
Z6 O Q
ZO W
O¢
LLr m o �d
PARM
m n z -� •A•EIiF LL =m
N 9,179 SF. W o 0
I � wo
��p �rou) ,Ag gq
,,ST NO. 2009000,178066 0 R
o I'- P :' F E - .i F
�n E+ E^E-T E E
- E T E R L-ME'.
2 E E - -E 'ET
E- E E T - - EL IN
E-. E E -.T F F ENW
L E 1> �'37.
E T -E R.L9uED PER
E--TE ^E T
5
1370183.1
CERTIFICATE OF ACCEPTANCE
This is to certify that the interest in real property conveyed by the deed or grant dated
20 , from Santa Ana Development Partners, LP, a California
Limited Partnership,to Orange County Sanitation District,a public agency, is hereby accepted by
order of the Board of Directors of the Orange County Sanitation District,pursuant to the authority
conferred by resolution of the Board of Directors of the Orange County Sanitation District adopted
on , 20 , and the Orange County Sanitation District consents to
recordation thereof by its duly authorized officer.
ORANGE COUNTY SANITATION DISTRICT, ATTEST:
a public agency
B
By: y:
elly A. Lore,MMC
Name: erk of the Board
Title:
APPR D AS TO FORM:
Bradley R. Hogin
OGeneral Counsel
6
1370183.1
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO,
Santa Ana Development Partners,LP
Attn:Caleb Roope
430 E.State St.,Suite 100
Eagle,Idaho 83616
SPACE ABOVE THIS LINE FOR RECORDER'S USE
Documentary Transfer Tax Exempt Under Revenue And Taxation Code Section 11922
Recording Fee Exempt Under Government Code Section 6103
QUITCLAIM DEED
FOR VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, ORANGE
COUNTY SANITATION DISTRICT, a public agency (hereinafter "OCSD"), does hereby
REMISE, RELEASE and FOREVER QUITCLAIM to SANTA ANA DEVELOPMENT
PARTNERS, LP, a California Limited Partnership, all of OCSD's rights, title and interests in the
easement for public sewer purposes obtained by grant of a or, recorded as Instrument No.
13558 in Book 7597, Page 168 of the Official Records e County on July 16, 1965, and
lying within that certain real property situated in the San na, County of Orange, State of
California,as described in Instrument No. 200900 6 of the O ial Records of Orange County
and in the Legal Description attached hereto d in or herei Exhibits "A"and`B."
The undersigned represents and warr is I he my authorized to execute this Easement
Deed on behalf of Grantor and t ec n upon Grantor.
IN WITNESS WHERE O S as ute is Qui aim Deed as of the date set forth
below.
Dated: 2
ORANGE COUNTY SANITATION DISTRICT, ATTEST:
a public agency
B
By: y:
Kelly A. Lore,MMC
Name: Clerk of the Board
Title:
APPROVED AS TO FORM:
By:
Bradley R. Begin
General Counsel
1370188.1
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the
truthfulness,accuracy,or validity of that document.
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
1. On before me, Notary
Public, personally appeared proved to me on the
basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized
capacity(ies),and that by his/her/their signature(s)on the instrument the person(s),or the entity upon
behalf of which the person(s)acted, executed the instrument.
2. I certify UNDER PENALTY OF PERJURY under the laws of the State of California
that the foregoing paragraph is true and correct.
3. WITNESS my hand and official seal.
Not c
O
1370188.1
EXHIBITS "A"AND "B"
LEGAL DESCRIPTION OF EASEMENT AREA
SEE ATTACHED
O
1370188.1
EXHIBIT 'A' SHEET T OF I
LEGAL DESCRIPTION FOR QUITCLAIM OF
ORANGE COUNTY SANITATION DISTRICT EASEMENT
FIRST POINT TRUNK SEWER REALIGNMENT
OCSO PROJECT NO- ___
TH E TI F L T T-FF - T TF T - T I THE TTi OF SANTA ANA.
T F E T-TE F -LIF I- E - THE E F E '.ED IN BOOK 2,
E - - 'I ELL E E F L - ELE - -.-.10 LOT IS SHOWN
ON E E I I - E F E F E P. THE OFFICE OF
THE l'E E F -1 E T E I E - F LL
THE THE FEET F .E TEL FEET IF THAT CERTAIN 2.915-ACRE
�A EL - H -I -E F E - L I AITHP. THAT 'E•T-J'. PARCEL
F L E I 1 1 7 E T F FR I-L -E 'F "RANGE
T
-L ITH
- T I F L FEEET I I TH. L I FEET E- H I E F THE :.E'T
LIE F TH-T E T-1'. -- E EL - H -1 E F E -
T-1'.I +. t: --E FEET. -E LE
�.'. H:.;a, ON EXHI"IT � ATT-. HE. HE,E T. - - E A PAT HE-'EOF.
PREPARED BY OR UNDER THE DIRECTION OF:
IVXA
gyp, MC
�r
DANE P. MCDOUGALL LS. 9297 DATE LS. 9797 g
a
t s
SrR2f q' Ut���
1370188.1
SCALE: 1" = 40' EXHIBIT "B" SHEET 1 OF 1
SKETCH TO ACCOMPANY A LEGAL DESCRIPTION FOR OUITCLAIM
OF ORANGE COUNTY SANITATION DISTRICT EASEMENT
FIRST POINT TRUNK SEWER REALIGNMENT
Z J OCSD PROJECT NO. Z W
ID
1ST STREET
n n NE. CORNER OF
D
N. LINE NO
OF
2009 004780 6 O.R. II///JJI
r
PIAI
o�
zo
zo o
W ZO
0ZO
pQ W WN
�poq pp0
3$ �gpf���p�gpp6q
% QCTCLA6MEO
ExISTING 20.00' STRIP EASEMENT
o60� p.R,�'/� OA PARCEL N0. 1, BOOK 7597,
b8p66 [/ U HERONBE
2p0gp0
I
N'LY LINE OF THE 1 I 14.00 EASEMENT 0i PARCEL
2.915-ACRE PARCEL AS NO, 2 ODOR 7597, PAGE 168,
SHOWN ON R.S. 74/3 j I O.R. TO BE OUITCLAIMED
--- � Z ���� HEREIN
II�jK/� J
1370188.1
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO,
Orange County Sanitation District
Attn:Clerk of the Board
10844 Ellis Avenue
Fountain Valley,California 92708
SPACE ABOVE THIS LINE FOR RECORDER'S USE
Documentary Transfer Tax Exempt Under Revenue And Taxation Code Section 11922
Recording Fee Exempt Under Government Code Section 6103
EASEMENT DEED
FOR VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, 2020 EAST
FIRST ST, LLC, a California Limited Liability Company ("Grantor"), does hereby GRANT and
CONVEY to the ORANGE COUNTY SANITATION DISTRICT, a public agency("Grantee"), a
perpetual easement and right of way in, over, through, upon, ong, and under that certain real
property situated in the City of Santa Ana, County of Oran to of Califomia, as described in
Instrument No. 20016000661774 of the Official Recor range County and in the Legal
Description attached hereto and incorporated herei xhibi " and "B " for the purpose of
constructing,maintaining, operating, and replacin blic sewe sewers and appurtenances.
For the purposes set forth herein, the Grant offi ployees, ents, licensees, successors
and assigns (collectively, "Grantee Pon
all ' es have the right and privilege of access
to the premises hereinabove de The ra o i ffrcers, employees, agents, licensees,
successors, and assigns (collec b y, "G for S y agree to place no structures upon,
in, under, or above the �se a un sonabl interfere with Grantee's access to the
premises or to any pu r ew s w a ces located in,on,along,or under the premises.
Grantor Parties further ee tha a e Partl all not be responsible in any way for repairs or
replacement of any prop local n premises that may be damaged or destroyed as a result
of Grantee Parties' use of t ease t.
This grant of easement and It -way shall be binding upon the heirs, successors, administrators
and assigns of Grantor.
The undersigned represents and warrants that he or she is duly authorized to execute this Easement
Deed on behalf of Grantor and that such execution is binding upon Grantor.
IN WITNESS WHEREOF, Grantor has executed this Grant Deed as of the date set forth below.
Dated: 20
2020 EAST FIRST STREET,LLC,
a California Limited Liability Company ATTEST:
By: By:
Name: Name:
Title: Title:
1
1370181.1
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the
truthfulness,accuracy,or validity of that document.
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
1. On , before me, Notary
Public, personally appeared , proved to me on the
basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized
capacity(ies),and that by his/her/their signature(s)on the instrument the pemon(s),or the entity upon
behalf of which the person(s)acted, executed the instrument.
2. I certify UNDER PENALTY OF PERJURY under the laws of the State of California
that the foregoing paragraph is true and correct.
3. WITNESS my hand and official seal.
O ota
2
1370181.1
EXHIBITS "A"AND "B"
LEGAL DESCRIPTION OF EASEMENT AREA
SEE ATTACHED
O
3
1370181.1
EXHIBIT 'A' SHEET 1 OF 1
LEGAL DESCRIPTION
FOR ORANGE COUNTY SANITATION DISTRICT EASEMENT
FIRST POINT TRUNK SEWER REALIGNMENT
OCSD PROJECT NO. ____
TH-T E T-1 - EL F L- IT -TE T THE IT F - T- - T F - E T-TE
-F -LIF I- EI TH-T Ti F L.T F THE T-FF - T TI T - T E E.. I`,
L. I - E - F "I ELL- E E F L ELF T I THE FFI E F THE
- E T E E E I E I - - T EE T -.I - LT E E
F E E E - I T E T F FFI I-L E.. F -1 NT",
DE I E - F LL
fe EL -
E . I . -T THE THE- T E F -I L T THE E P+ESTERLY AL- THE NORTH
LI' E F -I L T TH '.E T - I T- E F I FEET T'..] = I T THE
1, THE L L ' . -TI F THE :E T U E F THE L- . E I I - - .T EE . T.:
" . . . ELL 'E I-.L E TIE L - -UF 1- I-I ITE T .E HI E. E . <IL 9,
- 1' T "E T F FFI. I-L E ',1 uF '.al Tr'.
THE E -L -I E.T U E THE L L -TL)N THEREOF, - TH O'39'18" WEST, A
f:1`T E F FEET TG THE T�uE ' I .T F E I' I .:
THE E -L --U: '+TEST LINE S2.;TH - E T. - I.T-","E 'T 1 ?7.98 FEET TO A POINT
THE TFERLY LINE OF THE :'1 -- E EL - H r 'E.-ORD OF SURVEY
PE E I`. TOOK 74. PAGE 3 '.F -I T E E
THE E ALONG SAID NORTHE L U E '.--,NTH 89'41'S1` . El A 51.:T- E OF 9.49 FEET;
THEr,LE LEAVING SAID NORTHEkLr LINE NORTH 5'15'00" F''_T, A JISTAr:_E OF 118.42 FEET TO THE
TRUE POINT OF BEGINNING.
CONTAINING 560 SQUARE FEET, MORE OR LESS.
MORE PARTICULARLY SHOWN ON EXHIBR B ATTACHED HERETO AND 3Y THI5 REFERENCE MADE A
PART HEREOF.
- Ei T TO ALL COVENANTS, RIGHTS, RESERVATIONS, RIGHTS—OF—WAY AND EASEMENTS OF RECORD,
IF -
E - EI BY OR /U�ND/ERR THHEE DIRECTION OR L
�1fUlrJ (r Ll �coo�'r�r�
L.S. 9297 I
NE P. MCDOUGALL L.S. 9297 DATE
or cw�
4
1370181.1
EXHIBIT 'B" SHEET 1 OF 1
SCALE: V' = 40' SKETCH TO ACCOMPANY A LEGAL DESCRIPTION FOR
ORANGE COUNTY SANITATION DISTRICT EASEMENT
Z FIRST POINT TRUNK SEWER REALIGNMENT
OCSD PROJECT NO. Ld
>
SIR iz
1ST STREET
AA WILY PROLONGATION OF NE. CORNER OF
THE W. LINE OF INST. 417-75' LOT D
NO. 2009000478066 O.R. ,-N89'41'28'w
F -ti — - - - - - ; — �
I
oo
=o
s TP. �e a
0
w I � Oo
z
zg o
PARCEL •A• m
OCSD EASME►rT o
560 S.F. n
WILY LINE OF THE z N
x' 2.915-ACRE PARCEL AS
[: SHOWN ON R.S. 7413
N89'41'51"W 9.49' I "'
I I I
L'- - - - - - - - - -
3
1370181.1
CERTIFICATE OF ACCEPTANCE
This is to certify that the interest in real property conveyed by the deed or grant dated
, 20 , from 2020 East First St, LLC,a California Limited
Liability Company,to Orange County Sanitation District, a public agency, is hereby accepted by
order of the Board of Directors of the Orange County Sanitation District,pursuant to the authority
conferred by resolution of the Board of Directors of the Orange County Sanitation District adopted
on , 20 , and the Orange County Sanitation District consents to
recordation thereof by its duly authorized officer.
ORANGE COUNTY SANITATION DISTRICT, ATTEST:
a public agency
B
By: y:
elly A. Lore,MMC
Name: erk of the Board
Title:
APPR D AS TO FORM:
Bradley R. Hogin
OGeneral Counsel
6
1370181.1
OPERATIONS COMMITTEE Melting D310 TOBE.Of Dir.
01/16/19 O1/23/19
AGENDA REPORT Item Item Number
4 10
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Assistant General Manager
SUBJECT: 835 S. BREA DOSING STATION — SITE ACCESS AND LICENSE
AGREEMENT, SEWER LICENSE AND MAINTENANCE AGREEMENT,
AND ADDENDUM NO. 5 TO FINAL SUPPLEMENTAL ENVIRONMENTAL
IMPACT REPORT (SEIR) FOR THE FINAL EFFLUENT PUMP STATION
ANNEX AND COLLECTION SYSTEM ODOR & CORROSION CONTROL
PROGRAM
GENERAL MANAGER'S RECOMMENDATION
A. Consider, receive, and file the Orange County Sanitation District's Addendum
No. 5 to the Supplemental Environmental Impact Report for the Final Effluent
Pump Station Annex and Collection System Odor & Corrosion Control Program,
dated December 5, 2018, to add odor and corrosion control chemical facilities in
the City of Brea;
B. Approve a new Site Access and License agreement with Polfit Wellness, Inc. to
lease property for the purpose of installing, maintaining, and operating a chemical
dosing station at 835 South Brea Boulevard, in the City of Brea, for a term of
36- months, at the following lease terms, in a form approved by General Counsel:
• February 1, 2019 through January 31, 2020, $2,600 per month
• February 1, 2020 through January 31, 2021, $2,652 per month
• February 1, 2021 through January 31, 2022, $2,705 per month;
C. Approve a new Sewer License and Maintenance Agreement with the City of Brea
to allow the Orange County Sanitation District to access, install, and operate the
Slip Line within the City Sewer; and
D. Authorize the General Manager or designee to negotiate beginning June 1, 2021
and subsequently award an option for an additional 36-month lease renewal
period.
BACKGROUND
The Orange County Sanitation District (Sanitation District) currently uses chemicals for
corrosion and odor control in its collection system, which also helps reduce the level of
odors at the treatment plants. Currently, the Sanitation District intermittently slug doses
caustic soda chemical to treat odors in the Euclid Trunk Sewer which is only temporarily
effective. A continuous chemical dosing station is being proposed to provide a more
effective and consistent odor control program for the Euclid Trunk Sewer. This new
Page 1 of 3
location will help reduce the level of odors and odor complaints in the Cities of Brea,
Fullerton, Anaheim, Garden Grove, and Fountain Valley.
In November 2002, the Sanitation District Board of Directors certified the Final
Supplemental Environmental Impact Report (SEIR) for the Final Effluent Pump Station
Annex and Collection System Odor&Corrosion Control Program (SCH No. 1997101065).
The SEIR analyzed the environmental impacts of numerous chemical dosing stations
systems throughout the service area that were part of a pilot program.
This Addendum was prepared in accordance with the California Environmental Quality
Act (CEQA) and its implementing guidelines. It addresses the addition of a continuous
feed chemical dosing station in the City of Brea, as described in the SEIR, to
accommodate the addition of odor and corrosion control chemical at a strategic location.
RELEVANT STANDARDS
• Meet CEQA and NEPA standards
• 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
PROBLEM
The Sanitation District's collection system generates odorous gases (primarily hydrogen
sulfide) which can be released into the air creating a nuisance to surrounding
communities in the Cities of Brea, Fullerton, Anaheim, Garden Grove, and Fountain
Valley along the Euclid Trunk Sewer.
PROPOSED SOLUTION
Staff is recommending the addition of a new continuous feed chemical odor control station
in the City of Brea on private property that will be leased from the owner to treat the Euclid
Trunk Sewer. Magnesium hydroxide is the chemical of choice; however, calcium nitrate
and/or other alkalines may be used in the future.
RAMIFICATIONS OF NOT TAKING ACTION
Continuing with intermittent slug dosing using caustic soda, which is only partially
effective, increases the potential of elevated odors and resulting complaints.
PRIOR COMMITTEE/BOARD ACTIONS
December 2002 - Adopted Supplemental EIR for the Effluent Pump Station Annex and
Collection System Odor and Corrosion Control Program.
October 1999 -Adopted Final Environmental Impact Report for the 1999 Strategic Plan.
Page 2 of 3
ADDITIONAL INFORMATION
As part of the initial pilot program, the Sanitation District conducted research to determine
the effectiveness of treating the middle reach of the Euclid Trunk Sewer. The selected
location was at 835 South Brea Boulevard, Brea, California.
Over the past year, Sanitation District staff has been working collaboratively with the City
of Brea Public Works, the City's Director of Community Development,the City's Engineer,
and the City's Fire Department to ensure that the location meets safety and building code
requirements. The Sanitation District has developed a sewer license and maintenance
agreement with the City of Brea to document and allow the Sanitation District to access,
install, and operate the Slip Line within the City Sewer.
Staff negotiated this 3-year monthly lease fee. This lease fee shall increase by 2% each
year the Lease Agreement continues in effect.
CEQA
Staff prepared an Addendum to the Final Effluent Pump Station Annex and Collection
System Odor and Corrosion Control Program Supplemental Environmental Impact
Report SCH #1997101065, certified in November 2002 to address the selected location
at 835 South Brea Boulevard. The City of Brea staff has been consulted and approve of
this project. A Notice of Determination will be filed with the Orange County Clerk-
Recorder after Board approval.
FINANCIAL CONSIDERATIONS
This request complies with authority levels of the Sanitation District's Purchasing
Ordinance. This item has been budgeted in the Fiscal Year 2018-19 and 2019-20
operating Budget (Line item: Supplies, Section 6, Page 76).
Date of Annroval Contract Amount Continaencv
12/19/18 $31,200(Plus 2%Second and
Third Years)
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.coml with the
complete agenda package:
• Site Access and License Agreement
• CEQA SEIR Addendum No. 5
• Sewer License and Maintenance Agreement
MPV:sr:gc
Page 3 of 3
SITE ACCESS AND LICENSE AGREEMENT
THIS SITE ACCESS AND LICENSE AGREEMENT("Agreement") is made and
entered into as of 2019 ("Effective Date")between POLFIT WELLNESS,
INC., a California corporation ("POLFIT'), and ORANGE COUNTY SANITATION
DISTRICT, a county sanitation district organized and existing under the County Sanitation
District Act, Health& Safety Code §§ 4700 et seq., ("OCSD"). POLFIT and OCSD are
individually or collectively referred to herein as the"Party" or the "Parties." This Agreement is
made with reference to the following facts:
A. POLFIT is the fee interest owner of in the real property located at 835 South Brea
Boulevard, in the City of Brea, State of California 92821 ("Property"); and
B. OCSD is responsible for safely collecting,treating and disposing of wastewater
generated by more than 2.5 million people living and working within the County of Orange,
State of California, including this City of Brea; and
C. OCSD desires to operate a chemical dosing site on the Property,which will add
magnesium hydroxide to the sewer lines existing adjacent to the Property for delivery within
OCSD's facilities downstream of the Property("Dosing Site"); and
D. OCSD has identified a City of Brea sewer manhole immediately adjacent to the
Property ("Manhole") as an ideal location for dosing into the adjacent sewer lines.
E. POLFIT desires to assist OCSD in establishing and operating the Dosing Site by
allowing OCSD to access, and enter into and upon the Property.
NOW,THEREFORE, in consideration of the mutual obligations,representations, and
promises contained in this Agreement,the Parties hereby agree as follows:
1. Grant of Access. POLFIT hereby grants to OCSD, its employees, consultants,
representatives,contractors, subcontractors and/or agents ("Authorized Personnel") the right to
use, access and enter into and upon the portion of the Property set forth in the Site Plan, attached
hereto as Attachment "A" and incorporated herein by reference ("Access Area")for the purpose
of establishing and operating the Dosing Site,to access the sewer line through said Manhole, to
install conduit through the Manhole and into the sewer line, and to transport magnesium
hydroxide for delivery within OCSD's lines downstream of the Property.
2. Dosing Site Improvements. The Dosing Site will consist of no more than two
above-ground storage tanks, and a double-wall pipe through which OCSD will transport
magnesium hydroxide for delivery to OCSD's lines downstream of the Property. OCSD
represents that it will use the sewer lines only as the transportation conduit,that the conduit will
be completely enclosed, and that no magnesium hydroxide will be allowed to escape the conduit
1
1355986.2
into the sewer line. The Dosing Site layout is presented in the Plan Views, attached hereto as
Attachment "B" and incorporated herein by reference. OCSD may utilize other products,
chemicals,or technologies if mutually agreed upon by the Parties.
3. Cooperation. POLFIT will cooperate with OCSD to provide access to the
Property and Access Area as may be reasonably necessary to allow OCSD to operate the Dosing
Site, so long as the same does not unreasonably interfere with POLFIT's operations, or cause an
undue inconvenience to POLFIT's employees, guests, customers,tenants, occupants, and
invitees.
4. Term. This Agreement shall expire three (3)years from the Effective Date
("Initial Tenn"),unless terminated sooner by either party in accordance with Section 5 of this
Agreement. Upon expiration of the Initial Term, this OCSD shall have the option to extend the
Agreement for one additional three (3) year term in accordance with the requirements of this
Agreement.
5. Termination. This Agreement may be terminated without cause by either Party
upon thirty(30)days written notice to the other Party.
6. Utilities. POLFIT shall be responsible for providing to OCSD a source of
electricity and water on the Property. OCSD shall be responsible, at its sole cost, for routing
electricity and water to the Dosing Site, and for routing discharge from the Dosing Site.
7. OCSD Promise to Pay—License. POLFIT will bill OCSD on a monthly basis,a
monthly license fee in accordance with the following table,which sum shall include
compensation for all utilities used by OCSD in connection with the Dosing Site. This monthly
sum shall increase by 2%each year the Agreement continues in effect.
A eement Year Total Monthly Sum
1 $2,600
2 $2,652
3 $2,705
8. Machinery &Equipment. POLFIT authorizes OCSD, and its Authorized
Personnel, to bring onto the Property such equipment and/or machinery as may be reasonably
necessary to establish and operate the Dosing Site, so long as such activity is consistent with the
terms and conditions stated herein.
9. Unreasonable Interference: Prior Notice. In operating the Dosing Site,OCSD
shall not unreasonably interfere with POLFIT's operations. OCSD shall give POLFIT no less
than three (3)business days'notice prior to its first entry upon the Access Area and the
commencement of Dosing Site activities. POLFIT and its employees and agents shall not
interfere with, or obstruct, the Dosing Site or such entry by OCSD's Authorized Personnel,and
POLFIT shall not cause, or permit others to cause, any such interference or obstruction.
2
1355986.2
10. Restoring Condition of Access Area and the Property. OCSD agrees: (1)to
minimize, to the extent practicable, interference with the activities of POLFIT 's employees,
guests, customers,tenants,occupants and invitees on,and ingress to, and egress from, the Access
Area; (2)to maintain its machinery,equipment, and other materials in an orderly manner while
located on the Property; and(3)within 30 days following the expiration of the term of this
Agreement,to remove from the Access Area and the Property all debris,trash,machinery,
equipment and other materials and items used by OCSD or caused by it to be on the Access Area
or on the Property. Additionally, OCSD agrees that at the completion of each day OCSD utilizes
the Access Area, it shall restore the Access Area to as close to the same condition as existed at
the commencement of that day,to the maximum extent possible. Following the expiration of the
term of this Agreement, at its sole cost OCSD shall restore the Access Area to as close to the
same condition as existed before OCSD's first entry upon and use of the Access Area in
connection with the Dosing Site,to the maximum extent possible, and to the reasonable
satisfaction of POLFIT. At its sole cost,OCSD shall be responsible for the proper lawful
disposal of all chemicals, compounds, and other products and materials it brings onto, or causes
to be on, the Property.
11. Preparatory Activities. At its sole cost,OCSD agrees to assume full responsibility
to perform all relevant preparatory work as it deems necessary to establish and operate the
Dosing Site. OCSD also agrees to provide appropriate notification to, and to obtain all required
permits from,all applicable regulatory authorities in connection therewith.
12. Property Sewer Connection Inspection Services. For the duration of this
Agreement,OCSD will regularly inspect a 4-inch sewer connection annually and will be
responsible for any corrective maintenance required during this time.
13. No Nuisance. OCSD agrees that it will not maintain any public or private
nuisance on the Property, and will not allow any odors, smoke,noise or objectionable elements
to unreasonably affect POLFIT's employees, agents,customers, visitors,or neighboring real
property occupants or visitors.
14. Indemni . OCSD hereby agrees to indemnify, defend, save and hold POLFIT,
and its owners,partners, agents,officers, members, employees,representatives,and affiliates
harmless from, and against, all losses, costs, expenses, claims,causes of action, and damages
suffered or incurred by any of them, which may arise from,pertain to, or relate to,the negligent
acts or omissions,recklessness, or willful misconduct of OCSD or its Authorized Personnel in
connection with the exercise of the rights granted herein. OCSD's obligation to indemnify,
defend, save and hold harmless shall not apply to the extent that any such losses, costs, expenses,
claims, causes of action or damages are caused by the negligence or willful misconduct of
POLFIT, or its owners,partners, agents,officers, members,employees,representatives or
affiliates.
15. Safety and Site Condition. OCSD shall conduct its operations in a safe manner in
compliance with all laws, including,but not limited to, environmental laws, and shall cooperate
in maintaining the site in a safe, clean and orderly condition.
3
1355986.2
16. Sole Cost of OCSD. OCSD agrees that any work or activities conducted by
OCSD on or beneath the Access Area and Property shall be at the sole cost and expense of
OCSD. OCSD agrees to keep the Property free and clear of all liens by paying off all
subcontractors before any debt to the same becomes a matter of a lien of record against the
Property.
17. Insurance. During the term of this Agreement, OCSD shall require all contractors
or subcontractors, and their employees and agents,to maintain insurance with the following
minimum coverage:
(i) Workers Compensation with California minimum statutory limits;
(ii) Automobile Liability with$1,000,000 single limit,or equivalent; and,
(iii) Commercial General Liability,with $2,000,000 single limit, or equivalent
During the term of this Agreement, OCSD shall request each such contractor or
subcontractor to provide POLFIT with a Certificate(s) of Insurance reflecting that POLFIT is
named as an"Additional Insured"on each contractor's and each subcontractor's Commercial
General Liability, or similar, liability insurance policy.
18. Limited Access. OCSD agrees that entry upon the Access Area shall be limited to
the extent necessary, or desirable, for the establishment and operation of the Dosing Site and/or
for the purposes expressed in this Agreement.
19. Temporary Use. The right to use and access granted herein is intended by the
Parties, and shall be construed, as a temporary right to use the Access Area to conduct the
Dosing Site upon the Property, and not as a grant of an easement or of any other legal or
equitable interest in, or to,the Property. Except as expressly set forth herein,no other rights are
created in OCSD by this Agreement.
20. Attomevs'Fees. If it becomes necessary for any Party to engage the services of
legal counsel to institute any civil action to enforce or confirm, or to defend against,or to
interpret or construe, any ofprovision(s) of this Agreement,the prevailing Party shall be entitled
to recover from the other Party or Parties therein all of such Party's attorneys' fees, expert
witness fees, other expenses and court costs as the prevailing party actually incurs in connection
therewith.
21. Binding on Successors. This Agreement shall be binding upon the Parties to this
Agreement, and upon their respective successors,representatives, heirs and assignees.
22. No Waiver. It is further understood and agreed that no failure or delay in
exercising any right,power or privilege hereunder shall operate as a waiver thereof, nor shall any
single or partial exercise thereof preclude any other, or further,exercise thereof, or the exercise
of any right,power or privilege hereunder. A waiver of any right by any one of the Parties
hereunder must be in writing, and signed by the Party granting the waiver.
4
1355986.2
23. Assignability. OCSD shall not assign, or otherwise transfer, or attempt to
transfer,to any other person or entity, any of its rights herein stated, and shall not transfer, or
attempt to transfer,to any other person or entity, any of the duties or obligations herein stated,
without the prior written consent of POLFIT, which may be given or withheld in POLFIT's sole
and absolute discretion, and any other attempt to do so shall be void and of no legal force or
effect.
24. Choice of Law. The terms of this Agreement shall be interpreted and construed
according to the laws,regulations and ordinances of the United States of America, the State of
California, the County of Orange, and the City of Brea, as they may apply, from time to time.
25. Further Acts. For the duration of this Agreement, each Party shall,whenever
requested to do so by the other Party or Parties, execute,acknowledge and deliver, or cause to be
executed,acknowledged or delivered, any and all such farther instruments and documents, and
do any and all other acts as may be reasonably necessary to accomplish the purpose and intent of
this Agreement.
26. Entire Agreement. This Agreement constitutes the entire agreement and
understanding between the Parties pertaining to the subject matter addressed herein, and
supersedes all prior, or contemporaneous, agreements and understandings,both written and oral,
pertaining to such subject matter
27. Interpretation. This Agreement will be interpreted according to the fair meaning
of its terms and not strictly for,or against, any Party hereto.
28. Modification. The provisions of this Agreement may only be amended or
modified by a written agreement executed by the Parties.
29. Authority. Each person executing this Agreement hereby warrants that he/she
has legal authority to bind the Party for whom he/she so executes this Agreement.
30. Severability. If any provision of this Agreement is held by any court of law or
equity having proper jurisdiction over the matter to be void, invalid or unenforceable for any
reason,the remaining provisions of this Agreement overall shall continue in full force and effect
without being impaired or invalidated in any way.
31. Notice. All notices or other documents (collectively"notices") given hereunder
shall be in writing and shall be addressed to the recipient and sent by personal delivery or by
overnight delivery service, such as by United States certified mail,postage prepaid, Federal
Express,United Parcel, or the like. Unless and until otherwise notified, the address of each of
the Parties for the giving of Notices shall be as follows:
5
1355986.2
If to POLFIT:
Polfit Wellness,Inc.
Dr. Papua Seth, DC
835 S. Brea Blvd.
Brea, CA 92821
If to OCSD:
Orange County Sanitation District
Attn: Clerk of the Board
10844 Ellis Avenue
Fountain Valley, CA 92708
IN WITNESS WHEROF,the parties have executed this Agreement on the date set forth
below their respective signatures.
ORANGE COUNTY SANITATION DISTRICT POLFIT WELLNESS,INC.
By By
David John Shawver Name
Board Chairman Title
Dated: Dated:
ATTEST:
By
Kelly A. Lore,MMC
Clerk of the Board
APPROVED AS TO FORM
By
Bradley R. Hogin
General Counsel
Dated:
6
1355986.2
ADDENDUM NO. 5 TO THE
ORANGE COUNTY SANITATION DISTRICT'S
SUPPLEMENTAL ENVIRONMENTAL IMPACT REPORT FOR THE
FINAL EFFLUENT PUMP STATION ANNEX AND COLLECTION SYSTEM ODOR &
CORROSION CONTROL PROGRAM
STATE CLEARINGHOUSE NO.: 1997101065
LEAD AGENCY: Orange County Sanitation District
DATE: December 5, 2018
PURPOSE OF ADDENDUM:
In November 2002,the Orange County Sanitation District (Sanitation District) Board of Directors
certified the Final Supplemental Environmental Impact Report (SEIR)for the Final Effluent Pump
Station Annex and Collection System Odor&Corrosion Control Program (SCH No. 1997101065).
The SEIR supplemented the Program Environmental Impact Report (PEIR)for the Sanitation
District's 1999 Strategic Plan, which was certified in October 1999. (SCH No. 97101065). The
1999 Strategic Plan called for the Sanitation District to begin testing various equipment and
techniques to control odors in the Sanitation District's service area. This testing and evaluation
proved successful and ultimately led the Sanitation District to install several continuous feed
systems in certain locations as part of the Odor and Corrosion Control Program ("Odor Control
Program'). The SEIR analyzed the environmental impacts of existing continuous feed systems
throughout the Sanitation District's service area and predicted that additional feed systems
would be built as appropriate locations were identified.
This addendum, prepared in accordance with the California Environmental Quality Act (CEQA)
(Public Resources Code Section 21000 et seq.) and its implementing Guidelines (California Code
of Regulations Title 14, Chapter 3, Section 15000 et seq.), addresses the addition of a
continuous feed chemical dosing station as described in the SEIR.
PROJECT DESCRIPTION:
Sanitation District's collection system generates odorous gases, primarily hydrogen sulfide,
which can be released into the air creating a nuisance to surrounding land uses. To reduce the
nuisance,Sanitation District conducts an odor and corrosion control program for the collection
system that currently consists of applying chemicals in the upper, middle,and lower reaches of
the trunk sewer collection system. The application of the various chemicals is applied
intermittently to minimize the hydrogen sulfide production as the wastewater is conveyed from
the collection system to Sanitation District's treatment plants.
The Sanitation District plans to install a chemical dosing station (the Station)to add magnesium
hydroxide, with the option to switch to calcium nitrate if necessary for continuous odor
treatment to the Euclid trunk line at the City of Brea, located at 835 S. Brea Blvd.
1
The property is bounded by a chiropractic therapyfacility to the south, commercial facilities to
the north and east, and a residential apartment building to the west. The property is accessed
through a parking lot located on Brea Blvd.
The Station will include the installation and operation of two, 2,500-gallon chemical tanks,feed
system equipment, and feed controls. The purpose is to control hydrogen sulfide (Hz5) vapor
and liquid levels to OCSD's level of service (LOS) standards, mitigate odors, and reduce odor
complaints.
The chemicals that may be used at this site include, but are not limited to:
• Ferrous chloride (non-hazardous formula)
• Magnesium hydroxide
• Calcium nitrate
ENVIRONMENTAL IMPACT ANALYSIS:
The Sanitation District intends to construct the Station as part of the Sanitation District's Odor
and Corrosion Control Program (Odor Control Program). In 2002,the Sanitation District
prepared a SEIR which evaluated many of the impacts associated with the Odor Control
Program. The purpose and function of chemical dosing stations are described in Section 2.2 of
the SEIR. Environmental impacts associated with the dosing stations are evaluated in Chapter 3
of the SEIR. The SEIR does not include details about this specific station, as at the time of
certification of the SEIR,Sanitation District had not yet identified an appropriate location for a
chemical dosing station in this area. This addendum describes and evaluates the environmental
impacts of installing and operating a chemical feed station at 835 S. Brea Blvd.
Provided below is a review of the conclusions included in the SEIR and an evaluation of the
environmental impacts as they pertain to this specific location.
Aesthetics:
The SEIR concluded that the storage tanks could be visible from adjacent land uses. As such,
the tanks should be installed within city yards, pump stations or private industrial yards and any
additional tank should be installed in a utility yard.
The 835 S. Brea Blvd dosing site meets the criteria set forth in the SEIR. The tanks are installed
out of public view inside a storage building that is set back over 200 feet from the street.
The tanks do not result in new significant environmental effects or a substantial increase in the
severity of significant aesthetic effects from those determined in the SEIR.
2
Air Quality:
The SEIR concluded that the operation of the continuous feed stations would not have a
significant impact to air quality. There will be up to approximately five truck deliveries per
week, and these emissions are not significant. In addition,the chemical dosing would reduce
objectionable odors generated by the collection system,which results in a beneficial impact.
Geology and Soils:
The SEIR concluded that the above ground storage tanks may be located in close proximity to
fault splays. As such,tank specifications include a single wall tank and a secondary containment
system to provide added protection from seismic hazards. The tanks are engineered to include
a vacuum breaker/vent to relieve pressure and reduce the likelihood of spills or accidents. The
chemical storage tanks are designed to withstand ground shaking and avoid a potential spill
during a seismic event. The secondary containment system will include an impermeable liner
throughout the storage building where the tank is located. A small catch basin will also be
installed onsite to further reduce the likelihood of spills during chemical deliveries. These
design and safety features will ensure that impacts to geology and soils remain less than
significant.
Hazards and Hazardous Materials:
The SEIR notes that the Odor Control Program would include the transport, storage and use of
diesel fuel and odor reduction chemicals that could pose a spill or leak hazard. However,when
handled properly the chemicals do not pose a significant health risk to the surrounding land
uses. The Sanitation District has implemented an Integrated Emergency Response Program
(IERP)that includes a Spill Prevention Containment and Countermeasure Plan which includes
structural specifications for storage tanks, monitoring, secondary containment capacity
requirements, leak detection and alarms, emergency response procedures, reporting
requirements,etc.
The minor changes to this project from the SEIR, which do not create a significant impact, are
the type of chemicals that may be stored at the site.The SEIR mentions calcium nitrate,ferric
chloride, ferrous chloride, sodium nitrate, and magnesium hydroxide as possible dosing
chemicals. Chemicals that may be used at the 835 S. Brea Blvd chemical dosing station include,
but are not limited to, ferrous chloride (non-hazardous formula), magnesium hydroxide, and
calcium nitrate.
Magnesium hydroxide is an odorless white liquid slurry.The product is not flammable or
combustible and poses little health risk. It is not listed as a hazardous chemical. Exposure
routes are through inhalation, ingestion, and skin and/or eye contact.
Calcium nitrate is a clear liquid with no odor.The product is not flammable or combustible. It is
not listed as a hazardous chemical. Exposure routes are through inhalation, ingestion and skin
and/or eye contact.
3
These chemicals are already used as part of the Odor Control Program. Various chemical dosing
stations throughout the Sanitation District service area safely use these chemicals. Strict
measures are taken to ensure the instructions listed in the Safety Data Sheets are followed and
the chemicals are used as intended. In addition, site access is restricted,the tank is double
contained to hold spills, and appropriate personal protective equipment will be used by those
at the tank site to reduce the risk of exposure.
The minor deviations from the SEIR described in this section would not result in new significant
environmental effects or a substantial increase in the severity of significant effects related to
hazards and hazardous materials from those identified and evaluated in the SEIR.
Hydrology and Water Quality:
The SEIR concluded that chemicals used in the Odor Control Program could impact water
quality if a spill were to occur. However,the implementation of best management practices
(BMPs) and spill prevention, countermeasure, and control measures (SPCC) would reduce the
impact to less than significant.
Noise:
The Odor Control Program requires the installation of an aboveground chemical storage tank;
Installation is expected to be completed in five (5) days or less and the sources of noise include
truck noise and jackhammering. If chemical suppliers are changed due to periodic re-bidding of
the contract, a new tank and associated equipment would be installed. Noise is expected to be
minimal and of short duration. Pumps are contained in an enclosure to reduce noise level.
Approximately five truck trips per week are required for chemical deliveries.The truck trips
would not raise ambient noise in the area significantly and as such would not be considered a
significant noise impact.
Transportation/Traffic:
The chemical deliveries at the 835 S. Brea Blvd dosing site would include approximately five
truck trips per week. The storage tank is located within the storage building and the owner will
have full access to the building. The delivery of the chemical would not cause traffic, as the
delivery truck will be small (50 feet long and 4,000 gallon maximum capacity) enough to turn
around within the parking lot. As such,there is less than significant impact.
4
FINDINGS FOR APPROVAL FOR ADDENDUM NO. 5 TO THE SUPPLEMENTAL ENVIRONMENTAL
IMPACT REPORT FOR THE FINAL EFFLUENT PUMP STATION ANNEX AND COLLECTION SYSTEM
ODOR&CORROSION CONTROL PROGRAM:
1. Environmental impacts of chemical dosing stations throughout the service area were
evaluated in the SEIR certified by the Sanitation District Board of Directors in November
2002. The SEIR envisioned that additional dosing stations would be added in future
years and provided a conservative, worst-case analysis of the potential environmental
effects of these future stations. The SEIR placed certain restrictions on the location of
future dosing stations but otherwise assumed they may be located anywhere within
Sanitation District's service territory, including near residential areas and sensitive
receptors.
2. The Sanitation District's Odor Control Program assumed that additional dosing stations
would be added in future years. As such,the addition of this Dosing Station does not
constitute a substantial change in the Odor Control Program.
3. This addendum has been prepared to provide minor additions and technical changes to
the SEIR to account for the addition of this Dosing Station
4. The project modifications would not result in new significant environmental effects or
an increase in the severity of significant effects from those determined by the SEIR
certified by the Sanitation District Board of Directors in 2002. There have also been no
substantial changes in the circumstances surrounding the project since the preparation
of the SEIR other than the identification of specific locations for dosing stations,which
was expected under the SEIR.
5. No new information of substantial importance has become known since the preparation
of the SEIR regarding significant effects of the project,the severity of the project's
effects, or feasible mitigation measures. New information is now available regarding
the efficacy of certain chemicals, but this will not significantly alter the project's effects
or the infrastructure required for the dosing station.
5
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4
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5
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6
SEWER LICENSE AND MAINTENANCE AGREEMENT
THIS AGREEMENT is made and entered into as of 2019
("Effective Date") between the CITY OF BREA ("City") and the ORANGE COUNTY
SANITATION DISTRICT("OCSD"). City and OCSD are individually or collectively referred to
herein as the 'Party" or the '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,et seq.,providing
for the ownership, operation, and maintenance of wastewater collection, treatment, and disposal
facilities within Orange County; and
WHEREAS, Polfit Wellness, Inc. is a California corporation owning certain real property
located at 835 South Brea Blvd. in the City of Brea, State of California 92821 (hereinafter, the
"Dosing Site")and depicted on the site map and project area attached hereto as Exhibit"A;" and
WHEREAS,OCSD and Polfit Wellness,Inc. intend to enter into a certain Site Access and
License Agreement authorizing OCSD to construct and operate an odor control dosing station
("Dosing Station")at the Dosing Site as described in Exhibit`B;"and
WHEREAS, City is a municipal corporation that owns, operates, and maintains certain
sewer lines located new the Dosing Site(the"City Sewer") as depicted in Exhibit`B;" and
WHEREAS, OCSD wishes to install and use a flexible conduit with an approximate one-
inch diameter (the "Slip Line') within the City Sewer to ensure that odor control chemicals are
applied at a location with sufficient sewer flows; and
WHEREAS, the Slip Line will enter the City Sewer via the lateral drain connecting 835
South Brea Blvd. to the City Sewer and extend approximately three hundred and sixty-three(363)
feet along South Brea Blvd. to the manhole opening located at the intersection of Juniper St. and
North Brea Blvd. (manhole EUB0990-008015 VCP) as depicted in Exhibit`B;"and
WHEREAS, City desires to assist OCSD in establishing and operating the Dosing Station
and Slip Line by allowing OCSD to access,install,and operate the Slip Line within the City Sewer
subject to certain terms and conditions as described herein.
NOW, THEREFORE, in consideration of the mutual obligations, representations, and
promises contained in this License Agreement,the Parties hereby agree as follows:
1. Grant of License. City hereby grants OCSD, and OCSD hereby accepts, a
revocable License to access the City Sewer near the Dosing Site, to install, operate and maintain
the Slip Line within the City Sewer,and to transport odor control chemicals through said Slip Line
to be deposited in the City Sewer.
1365037.1
2. Cooperation. City hereby agrees to cooperate with OCSD to provide OCSD with
access to areas of the City Sewer as reasonably necessary to allow OCSD to install,maintain, and
operate the Slip Line, so long as the same does not interfere with City's operation or maintenance
of the City Sewer.
3. Term. This Agreement shall remain in full force and effect until January 1, 2028,
unless terminated sooner by either Party upon thirty (30) days written notice. Upon expiration of
the Initial Term, OCSD shall have the option to extend the Agreement for an additional three (3)
years subject to the requirements of this Agreement, including the Parties' right to terminate upon
notice.
4. Unreasonable Interference: Prior Notice. In installing and operating the Slip Line
and Dosing Station,OCSD shall not interfere with City's operation of the City Sewer. OCSD shall
notify City no less than five(5)business days prior to installation of the Slip Line or performance
of any maintenance activities on those portions of the Slip Line that are located within the City
Sewer. City and its employees and agents shall not interfere with,or obstruct, the Dosing Station
or Slip Line except as authorized by OCSD personnel or agents,and City shall not cause,or permit
others to cause, any such interference or obstruction.
5. Machinery & Equipment. Subject to approval of the owner of the property upon
which the Dosing Station and Site are located, City hereby authorizes OCSD, or OCSD's
authorized subcontractors or representatives,to bring onto the Dosing Site such equipment and/or
machinery as may be reasonably necessary to install,maintain, or operate the Slip Line, so long as
such activity is consistent with the terms and conditions stated herein and does not unreasonably
interfere with City's operation of the City Sewer. OCSD agrees that delivery of any and all odor
control chemicals to the Dosing Station shall occur only between the hours of 9:00 a.m. and 3:00
p.m., Monday through Friday.
6. Restoring Condition of Property. OCSD agrees: (1) to not interfere with City's
operation of the City Sewer resulting from installation, maintenance, or operation of the Dosing
Station and Slip Line; (2)to maintain its machinery and/or equipment,hazards and other materials
in an orderly manner while they are located on the Dosing Site and within the City Sewer; and(3)
immediately, upon termination of this Agreement, to remove from the City Sewer any and all
debris,equipment and other materials and items used by OCSD for purposes of operating the Slip
Line and Dosing Station. Additionally,OCSD agrees that at the completion of each day that OCSD
installs,operates,or maintains the Slip Line or Dosing Station,OCSD shall,to the maximum extent
possible,restore the City Sewer to as close to the same condition as it existed at the commencement
of that day. Upon termination of this Agreement, OCSD shall, at its sole cost and expense and
subject to City's reasonable satisfaction,restore the City Sewer and any impacted City property to
as close to the same condition as before OCSD's installation and operation of the Slip Line and
Dosing Station. At its sole cost, OCSD shall be responsible for the proper lawful disposal of all
chemicals, compounds, and other products and materials used at the Dosing Station and
transported via the Slip Line. Attached hereto and incorporated herein as Exhibit "C" is a list of
observations from a CCTV inspection of the City Sewer conducted in May 2018 that summarizes
the condition of the City Sewer prior to OCSD's use thereof.
1365037.1
7. OCSD's Acceptance As-Is: Release. In entering into this Agreement, OCSD
accepts the City Sewer and associated City property in the condition as it now exists and as may
hereafter exist, from time to time, during the term of this Agreement, and without any
representation or warranties by City as to the condition thereof, and without any duty of City to
want of,or to correct,any conditions thereon or thereunder. Accordingly,OCSD agrees to assume
all risks associated with its entry onto City property, including the City Sewer, for the purposes of
installing, maintaining, or operating the Slip Line and Dosing Station as described herein. City
shall have no liability for any damage whatsoever occurring to the Slip Line or Dosing Station
unless caused by the gross negligence or willful misconduct of the City. OCSD hereby fully, and
generally,releases City from any and all legal liability as might,but for this release, legally arise
from the condition of the City Sewer, surrounding City property, or the subterranean areas
adjoining the City Sewer, resulting from or related to OCSD's activities permitted by this
Agreement.
8. Preparatory Activities. At its sole cost,OCSD agrees to assume full responsibility
for determining the presence, or absence, of subterranean utilities, structures and improvements,
prior to conducting subterranean near the City Sewer,and to perform all other relevant preparatory
work OCSD deems necessary to install and operate the Dosing Station and Slip Line. OCSD also
agrees to provide appropriate notification to,and to obtain all required permits from,all applicable
regulatory authorities, including the City, for the installation and operation of the Dosing Station
and Slip Line, including, but not limited to, building permits, engineering permits and fire
prevention permits prior to commencing any activities contemplated in this Agreement. OCSD
shall not commence operations unless and until the Dosing Site and City Sewer have been
inspected and approved by the City Engineer or designee.
9. Environmental Compliance. In accordance with the California Environmental
Quality Act ("CEQA"), OCSD has prepared and certified a 2002 Supplemental Environmental
Impact Report for the Final Effluent Pump Station Annex and Collection System Odor &
Corrosion Control Program (SCH No. 1997101065) ("SEIR"), and the 2018 Addendum to the
SEIR ("2018 Addendum") to evaluate the environmental effects of the Dosing Station and
associated operations. A copy of the 2018 Addendum is attached hereto as Exhibit"D." OCSD
agrees to fully satisfy any CEQA requirements associated with the Dosing Station or this
Agreement prior to undertaking any activities pursuant to this Agreement. During the term of this
Agreement, OCSD shall install, maintain and operate the Dosing Station and Slip Line in
accordance with all CEQA requirements, including but not limited to all applicable mitigation
measures contained in the SEIR and the 2018 Addendum thereto and all other provisions of
applicable federal and state law.
10. CCTV Inspections. OCSD agrees to perform annual CCTV inspections of the Slip
Line and those portions of the City Sewer in which the Slip Line is located and share the results of
these CCTV inspections with the City.
11. Routine Maintenance; Repairs. OCSD agrees to repair and/or maintain the Slip
Line as necessary to prevent or repair any harm to, or interference with, City's operation of the
City Sewer. OCSD further agrees to repair and/or maintain those portions of the City Sewer that
are damaged as a result of OCSD's installation, operation, or maintenance of the Slip Line or
1365037.1
Dosing Station. Notwithstanding the foregoing,OCSD shall have no responsibility to perform,or
contribute to, any repairs or maintenance of the City Sewer that is not caused by OCSD's
installation, operation, or maintenance of the Slip Line or Dosing Station.
12. Indernm . To the maximum extent permitted by law, OCSD hereby agrees to
indemnify, defend and pay reasonable defense attorneys' fees and costs, save and hold City, and
City's elected officials, agents, officers, employees, and representatives harmless from, and
against, all losses, costs, expenses, claims, liabilities, causes of action, stop notices, and damages
suffered or incurred by any of them, which may arise from, pertain to, or relate to, any breach of
this Agreement, and/or the acts or omissions, recklessness, or willful misconduct of OCSD or
OCSD's employees, contractors, agents, or representatives in connection with the exercise of the
rights granted herein. OCSD's obligation to indemnify, defend, save and hold harmless shall not
apply to the extent that any such losses, costs, expenses, claims, causes of action or damages are
caused by the negligence or willful misconduct of City or City's agents, officers, employees, and
representatives.
13. Safety and Site Condition. OCSD shall conduct its operations in a safe manner in
compliance with all laws, including,but not limited to,environmental laws, and shall cooperate in
maintaining the Dosing Station and Slip Line in a safe, clean and orderly condition.
14. Sole Cost of OCSD. OCSD agrees that any work or activities conducted by OCSD
on or beneath the Dosing Site or City Sewer in connection with this Agreement shall be at the sole
cost and expense of OCSD.
15. Insurance. During the term of this Agreement, OCSD shall require its contractors
to maintain insurance with the following minimum coverage:
(i) Workers Compensation with minimum statutory limits as per the California Labor
Code;
(ii) Automobile Liability in an amount of$2,000,000 combined single limit(any auto)
single limit, or equivalent; and,
(iii) Commercial General Liability, in an amount of $2,000,000 per occurrence and
$2,000,000 general aggregate for on-going and completed operations.
The auto and commercial general liability policies shall be endorsed to name the City of Brea, its
elected officials,officers,employees,and agents as additional insureds.All required policies shall
waive the right of subrogation against the foregoing additional insureds.All required insurers shall
be authorized to provide insurance in the State of California and shall have an A.M. Best Guide
rating of not less than A:VIII.Each required policy shall provide that it cannot be allowed to expire,
canceled or limits of coverage reduced without providing the City of Brea with not less than thirty
(30)days prior,written notice,or ten(10)days prior,written notice in the event of cancelation due
to non-payment. OCSD shall provide City's City Engineer with all certificates and required
endorsements prior to exercising any rights granted hereunder.
1365037.1
16. Limited Access. OCSD agrees that its use of the City Sewer shall be limited to the
extent reasonably necessary for the establishment and operation of the Dosing Station and/or for
the purposes expressed in this Agreement.
17. Temporary Use. The use and access rights granted herein are intended and shall be
construed as a revocable license consisting of the temporary right to access the City Sewer and
surrounding City property for the purposes expressed in this Agreement,and shall not grant OCSD
an easement or of any other legal or equitable interest in, or to, the City Sewer or any other City
property. Except as expressly set forth herein, no other rights are created in OCSD by this
Agreement.
18. Attorneys' Fees. If it becomes necessary for any Party to engage the services of
legal counsel to institute any civil action to enforce or confirm,or to defend against, or to interpret
or construe,any of provision(s)of this Agreement,the prevailing Party shall be entitled to recover
from the other Party or Parties therein all of such Party's attorneys' fees,expert witness fees,other
expenses and court costs as the prevailing party actually incurs in connection therewith.
19. Binding on Successors. This Agreement shall be binding upon the Parties and their
respective successors,representatives,heirs and assignees.
20. No Waiver. It is further understood and agreed that no failure or delay in exercising
any right, power or privilege hereunder shall operate as a waiver thereof, nor shall any single or
partial exercise thereof preclude any other,or further,exercise thereof,or the exercise of any right,
power or privilege hereunder. A waiver of any right by any one of the Parties hereunder must be
in writing,and signed by the Party granting the waiver.
21. Assignability and Subcontracting. OCSD shall not assign,or otherwise transfer,or
attempt to transfer, to any other person or entity, any of its rights herein stated, and shall not
transfer,or attempt to transfer,to any other person or entity,any of the duties or obligations herein
stated,without the prior written consent of City,which may be given or withheld in City's sole and
absolute discretion, and any attempt to do so shall be void and of no legal force or effect. OCSD
shall not subcontract any required performance without first providing the City with the name and
address of any and all such contractors, and receipt of City's approval thereof. The City shall be
deemed to have approved any such contractors unless the City provides written objection to OCSD
within thirty(30)days of receipt of the contractor information
22. Choice of Law and Venue. The terms of this Agreement shall be interpreted and
construed according to the laws, regulations and ordinances of the United States of America, the
State of California, the County of Orange, and the City of Brea, as they may apply, from time to
time.Venue for any legal action arising out of this Agreement shall be the Orange County Superior
Court, County of Orange, California.
23. Entire Agreement. This Agreement, together with all referenced exhibits, all of
which are incorporated by reference herein, constitutes the entire agreement and understanding
between the Parties pertaining to the subject matter addressed herein, and supersedes all prior, or
contemporaneous, agreements and understandings, both written and oral, pertaining to such
1365037.1
subject matter. No promise or representation by any Party not expressly set forth herein, shall be
binding or have any force or effect.
24. Interpretation. This Agreement will be interpreted according to the fair meaning of
its terms and not strictly for or against any Party hereto.
25. Modification. The provisions of this Agreement may only be amended or modified
by a written agreement executed by the Parties.
26. Authori . Each person executing this Agreement hereby warrants that he/she has
legal authority to bind the Party for whom he/she so executes this Agreement
27. Sevembiliri. If any provision of this Agreement is held by any court of law or
equity having proper jurisdiction over the matter to be void, invalid or unenforceable for any
reason, the remaining provisions of this Agreement overall shall continue in full force and effect
without being impaired or invalidated in anyway.
28. Notice. All notices or other documents (collectively "notices') given hereunder
shall be in writing and shall be addressed to the recipient and sent by personal delivery or by
overnight delivery service, such as by United States certified mail, postage prepaid, Federal
Express,United Parcel,or the like. Unless and until otherwise notified,the address of each of the
Parties for the giving of Notices shall be as follows:
If to City:
City of Brea
Attn: Michael Ho, City Engineer
1 Civic Center Circle
Brea, CA 92821
If to OCSD:
Orange County Sanitation District
Attn: Clerk of the Board
10844 Ellis Avenue
Fountain Valley, CA 92708
29. Execution. This Agreement may be executed by the Parties in counterparts,
each of which shall be deemed an original and which together shall constitute a single instrument.
IN WITNESS WHEREOF, the parties have executed this Agreement on the date set forth
below their respective signatures.
[SIGNATURE PAGE FOLLOWS]
1365037.1
CITY OF BREA
By:
Name:
Title:
Date:
ATTEST:
By:
Name:
Title:
Date:
APPROVED AS TO FORM:
By:
Name:
Title:
Date:
ORANGE COUNTY SANITATION DISTRICT
By:
David John Shawver
Board Chairman
Date:
ATTEST:
By:
Kelly A. Lore,MMC
Clerk of the Board
Date:
APPROVED AS TO FORM:
By:
Bradley R. Begin
OCSD General Counsel
Date:
1365037.1
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136503].I
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1365037.1
Exhibit "D"
ADDENDUM NO. 5 TO THE
ORANGE COUNTY SANITATION DISTRICT'S
SUPPLEMENTAL ENVIRONMENTAL IMPACT REPORT FOR THE
FINAL EFFLUENT PUMP STATION ANNEX AND COLLECTION SYSTEM ODOR &
CORROSION CONTROL PROGRAM
STATE CLEARINGHOUSE NO.: 1997101065
LEAD AGENCY: Orange County Sanitation District
DATE: December 5, 2018
PURPOSE OF ADDENDUM:
In November 2002, the Orange County Sanitation District (Sanitation District) Board of Directors
certified the Final Supplemental Environmental Impact Report (SEIR)for the Final Effluent Pump
Station Annex and Collection System Odor&Corrosion Control Program (SCH No. 1997101065).
The SEIR supplemented the Program Environmental Impact Report (PEIR)for the Sanitation
District's 1999 Strategic Plan, which was certified in October 1999. (SCH No. 97101065). The
1999 Strategic Plan called for the Sanitation District to begin testing various equipment and
techniques to control odors in the Sanitation District's service area. This testing and evaluation
proved successful and ultimately led the Sanitation District to install several continuous feed
systems in certain locations as part of the Odor and Corrosion Control Program ("Odor Control
Program"). The SEIR analyzed the environmental impacts of existing continuous feed systems
throughout the Sanitation District's service area and predicted that additional feed systems
would be built as appropriate locations were identified.
This addendum, prepared in accordance with the California Environmental Quality Act (CEQA)
(Public Resources Code Section 21000 et seq.) and its implementing Guidelines (California Code
of Regulations Title 14, Chapter 3, Section 15000 et sec.), addresses the addition of a
continuous feed chemical dosing station as described in the SEIR.
PROJECT DESCRIPTION:
Sanitation District's collection system generates odorous gases, primarily hydrogen sulfide,
which can be released into the air creating a nuisance to surrounding land uses. To reduce the
nuisance,Sanitation District conducts an odor and corrosion control program for the collection
system that currently consists of applying chemicals in the upper, middle,and lower reaches of
the trunk sewer collection system. The application of the various chemicals is applied
intermittently to minimize the hydrogen sulfide production as the wastewater is conveyed from
the collection system to Sanitation District's treatment plants.
1365037.1
The Sanitation District plans to install a chemical dosing station (the Station)to add magnesium
hydroxide, with the option to switch to calcium nitrate if necessary for continuous odor
treatment to the Euclid trunk line at the City of Brea, located at 835 S. Brea Blvd.
The property is bounded by a chiropractic therapy facility to the south, commercial facilities to
the north and east, and a residential apartment building to the west. The property is accessed
through a parking lot located on Brea Blvd.
The Station will include the installation and operation of two, 2,500-gallon chemical tanks,feed
system equipment, and feed controls. The purpose is to control hydrogen sulfide (H25) vapor
and liquid levels to OCSD's level of service (LOS) standards, mitigate odors, and reduce odor
complaints.
The chemicals that may be used at this site include, but are not limited to:
• Ferrous chloride (non-hazardous formula)
• Magnesium hydroxide
• Calcium nitrate
ENVIRONMENTAL IMPACT ANALYSIS:
The Sanitation District intends to construct the Station as part of the Sanitation District's Odor
and Corrosion Control Program (Odor Control Program). In 2002,the Sanitation District
prepared a SEIR which evaluated many of the impacts associated with the Odor Control
Program. The purpose and function of chemical dosing stations are described in Section 2.2 of
the SEIR. Environmental impacts associated with the dosing stations are evaluated in Chapter 3
of the SEIR. The SEIR does not include details about this specific station, as at the time of
certification of the SEIR,Sanitation District had not yet identified an appropriate location for a
chemical dosing station in this area. This addendum describes and evaluates the environmental
impacts of installing and operating a chemical feed station at 835 S. Brea Blvd.
Provided below is a review of the conclusions included in the SEIR and an evaluation of the
environmental impacts as they pertain to this specific location.
Aesthetics:
The SEIR concluded that the storage tanks could be visible from adjacent land uses. As such,
the tanks should be installed within city yards, pump stations or private industrial yards and any
additional tank should be installed in a utility yard.
The 835 S. Brea Blvd dosing site meets the criteria set forth in the SEIR. The tanks are installed
out of public view inside a storage building that is set back over 200 feet from the street.
The tanks do not result in new significant environmental effects or a substantial increase in the
severity of significant aesthetic effects from those determined in the SEIR.
1365037.1
Air Quality:
The SEIR concluded that the operation of the continuous feed stations would not have a
significant impact to air quality. There will be up to approximately five truck deliveries per
week, and these emissions are not significant. In addition,the chemical dosing would reduce
objectionable odors generated by the collection system,which results in a beneficial impact.
Geology and Soils:
The SEIR concluded that the above ground storage tanks may be located in close proximity to
fault splays. As such,tank specifications include a single wall tank and a secondary containment
system to provide added protection from seismic hazards. The tanks are engineered to include
a vacuum breaker/vent to relieve pressure and reduce the likelihood of spills or accidents. The
chemical storage tanks are designed to withstand ground shaking and avoid a potential spill
during a seismic event. The secondary containment system will include an impermeable liner
throughout the storage building where the tank is located. A small catch basin will also be
installed onsite to further reduce the likelihood of spills during chemical deliveries. These
design and safety features will ensure that impacts to geology and soils remain less than
significant.
Hazards and Hazardous Materials:
The SEIR notes that the Odor Control Program would include the transport, storage and use of
diesel fuel and odor reduction chemicals that could pose a spill or leak hazard. However,when
handled properly the chemicals do not pose a significant health risk to the surrounding land
uses. The Sanitation District has implemented an Integrated Emergency Response Program
(IERP)that includes a Spill Prevention Containment and Countermeasure Plan which includes
structural specifications for storage tanks, monitoring, secondary containment capacity
requirements, leak detection and alarms, emergency response procedures, reporting
requirements,etc.
The minor changes to this project from the SEIR, which do not create a significant impact, are
the type of chemicals that may be stored at the site.The SEIR mentions calcium nitrate,ferric
chloride, ferrous chloride, sodium nitrate, and magnesium hydroxide as possible dosing
chemicals. Chemicals that may be used at the 835 S. Brea Blvd chemical dosing station include,
but are not limited to, ferrous chloride (non-hazardous formula), magnesium hydroxide, and
calcium nitrate.
Magnesium hydroxide is an odorless white liquid slurry.The product is not flammable or
combustible and poses little health risk. It is not listed as a hazardous chemical. Exposure
routes are through inhalation, ingestion, and skin and/or eye contact.
Calcium nitrate is a clear liquid with no odor.The product is not flammable or combustible. It is
not listed as a hazardous chemical. Exposure routes are through inhalation, ingestion and skin
and/or eye contact.
1365037.1
These chemicals are already used as part of the Odor Control Program. Various chemical dosing
stations throughout the Sanitation District service area safely use these chemicals. Strict
measures are taken to ensure the instructions listed in the Safety Data Sheets are followed and
the chemicals are used as intended. In addition, site access is restricted,the tank is double
contained to hold spills, and appropriate personal protective equipment will be used by those
at the tank site to reduce the risk of exposure.
The minor deviations from the SEIR described in this section would not result in new significant
environmental effects or a substantial increase in the severity of significant effects related to
hazards and hazardous materials from those identified and evaluated in the SEIR.
Hydrology and Water Quality:
The SEIR concluded that chemicals used in the Odor Control Program could impact water
quality if a spill were to occur. However,the implementation of best management practices
(BMPs) and spill prevention, countermeasure, and control measures (SPCC) would reduce the
impact to less than significant.
Noise:
The Odor Control Program requires the installation of an aboveground chemical storage tank;
Installation is expected to be completed in five (5) days or less and the sources of noise include
truck noise and jackhammering. If chemical suppliers are changed due to periodic re-bidding of
the contract, a new tank and associated equipment would be installed. Noise is expected to be
minimal and of short duration. Pumps are contained in an enclosure to reduce noise level.
Approximately five truck trips per week are required for chemical deliveries.The truck trips
would not raise ambient noise in the area significantly and as such would not be considered a
significant noise impact.
Transportation/Traffic:
The chemical deliveries at the 835 S. Brea Blvd dosing site would include approximately five
truck trips per week. The storage tank is located within the storage building and the owner will
have full access to the building. The delivery of the chemical would not cause traffic, as the
delivery truck will be small (50 feet long and 4,000 gallon maximum capacity) enough to turn
around within the parking lot. As such,there is less than significant impact.
FINDINGS FOR APPROVAL FOR ADDENDUM NO. 5 TO THE SUPPLEMENTAL ENVIRONMENTAL
IMPACT REPORT FOR THE FINAL EFFLUENT PUMP STATION ANNEX AND COLLECTION SYSTEM
ODOR & CORROSION CONTROL PROGRAM:
1. Environmental impacts of chemical dosing stations throughout the service area were
evaluated in the SEIR certified by the Sanitation District Board of Directors in November
2002. The SEIR envisioned that additional dosing stations would be added in future
years and provided a conservative, worst-case analysis of the potential environmental
effects of these future stations. The SEIR placed certain restrictions on the location of
1365037.1
future dosing stations but otherwise assumed they may be located anywhere within
Sanitation District's service territory, including near residential areas and sensitive
receptors.
2. The Sanitation District's Odor Control Program assumed that additional dosing stations
would be added in future years. As such,the addition of this Dosing Station does not
constitute a substantial change in the Odor Control Program.
3. This addendum has been prepared to provide minor additions and technical changes to
the SEIR to account for the addition of this Dosing Station
4. The project modifications would not result in new significant environmental effects or
an increase in the severity of significant effects from those determined by the SEIR
certified by the Sanitation District Board of Directors in 2002. There have also been no
substantial changes in the circumstances surrounding the project since the preparation
of the SEIR other than the identification of specific locations for dosing stations,which
was expected under the SEIR.
S. No new information of substantial importance has become known since the preparation
of the SEIR regarding significant effects of the project,the severity of the project's
effects, or feasible mitigation measures. New information is now available regarding
the efficacy of certain chemicals, but this will not significantly alter the project's effects
or the infrastructure required for the dosing station.
1365031.1
OPERATIONS COMMITTEE Meeting Date TOBE.Or Dir.
01/16/19 O1/23/19
AGENDA REPORT ItemNumber Item Number
s 11
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Assistant General Manager
SUBJECT: PRIMARY TREATMENT REHABILITATION AT PLANT NO. 2, PROJECT
NO. P2-98
GENERAL MANAGER'S RECOMMENDATION
A. Approve a Professional Construction Services Agreement with Black & Veatch
Corporation to provide construction support services for B/C-Side Primary
Clarifiers Interim Repair at Plant No. 2, Contract No. P2-98B, for a total amount
not to exceed $549,534; and
B. Approve a contingency of$54,953 (10%).
BACKGROUND
Primary treatment is used to separate settleable solids from screened water upstream of
biological treatment and is an essential portion of the wastewater treatment process. The
primary treatment facilities at Plant No. 2 consists of fourteen 140-foot diameter circular
clarifiers built between 1960 and 1985 with associated piping, distribution structures,
sludge pumping, odor control, and power distribution.
The scope of work for Contract No. P2-98B includes rehabilitation of the primary clarifiers,
two distribution structures, and appurtenant piping. The construction includes structural
steel replacement, concrete repairs, concrete pipe structural repairs and lining, protective
coating for clarifier steel mechanisms, installation of cured-in-place pipe lining systems
for influent and effluent pipes, and PVC sheet lining installation. The current planned
schedule for completion is August 2021.
The four oldest clarifiers, referred to as the A-Side Clarifiers, are near the end of their
structural life and will be replaced entirely under a separate contract. A-Side structures
will have a minimal scope of repair to assure reliable operation until replacement in 2023.
RELEVANT STANDARDS
Comply with California Government Code Section 4526 to engage the best
qualified firm "on the basis of demonstrated competence and qualifications" and
"negotiate fair and reasonable fees."
Page 1 d 3
PROBLEM
The Orange County Sanitation District (Sanitation District) requires the services of a
design consultant during construction of B/C-Side Primary Clarifiers Interim Repair at
Plant No. 2, Contract No. P2-98B,which is recommended to be awarded in January 2019.
PROPOSED SOLUTION
Award a Professional Construction Services Agreement to provide engineering support
services during construction. The proposed services will be provided on an as-needed
basis and includes submittal review, answering Contractor's requests for information,
reviewing construction change orders, participating in meetings, site visits, and preparing
record drawings.
TIMING CONCERNS
The construction contract for the B/C-Side Primary Clarifiers Interim Repair at Plant
No. 2, Contract No. P2-98B, is recommended to be awarded at the January Board of
Directors meeting. The requested engineering support services will be needed at the
start of construction.
RAMIFICATIONS OF NOT TAKING ACTION
Engineering support services needed to facilitate, and review construction activities will
not be available, which may negatively impact the contract execution.
PRIOR COMMITTEE/BOARD ACTIONS
July 2016 - Approved a Professional Design Services Agreement with Black & Veatch
Corporation to provide engineering design services for an amount not to exceed
$18,141,423 and approved a contingency of $1,814,142 (10%) for Primary Treatment
Rehabilitation at Plant No. 2, Project No. P2-98.
ADDITIONAL INFORMATION
Black & Veatch Corporation has successfully furnished engineering services for the
design of this project and their support services during construction will provide continuity
through the completion of the project.
Staff negotiated with Black and Veatch Corporation for these support services in
accordance with the Sanitation District's adopted policies and procedures. A review of
the proposed price was conducted using estimated quantities of requests for information,
submittals, meetings, site visits, change order review, and design revisions, as well as
the level of effort for preparing record drawings. Based on this review, staff determined
the negotiated fee to be fair and reasonable for these services.
Page 2 of 3
CEQA
The work under this Contract is exempt from CEQA under the Class 1 and Class 2
categorical exemptions set forth in CEQA Guidelines (14 California Code of Regulations)
sections 15301 and 15302. Section 15301 (Class 1) exempts from CEQA projects
involving "the operation, repair, maintenance permitting, leasing, or minor alteration of
existing public or private structures, facilities, mechanical equipment, or topographical
features, involving negligible or no expansion of use beyond that existing at the time of
the lead agency's determination'. This exemption includes, but is not limited to, projects
involving "[a] existing facilities of both investor and publicly-owned utilities used to provide
electric power, natural gas, sewerage, or other public utility services". (CEQA Guidelines
§ 15301(b)) Section 15302 (Class 2) exempts from CEQA projects involving the
,.replacement or reconstruction of existing structures and facilities where the new structure
replaced and will have substantially the same purpose and capacity as the structure
replaced:' This exemption includes, but is not limited to, projects involving the
"replacement or reconstruction of existing utility systems and/or facilities involving
negligible or no expansion of capacity." (CEQA Guidelines § 15302(c))
This Contract will make structural and mechanical repairs to ten existing clarifiers and
distribution structures at Plant No. 2. These repairs will not expand the use of these
clarifiers beyond their current capacity. The project also involves the removal and
replacement of several clarifier scum sweepers. The new scum sweepers will have the
same purpose as the old scum sweepers and will not expand the capacity of the clarifiers.
The work under this Contract is therefore eligible for an exemption from CEQA under
CEQA Guidelines sections 15301 and 15302 and no further action is required. After
approval of a design contract, a Notice of Exemption was filed and recorded with the
County of Orange on April 26, 2018.
FINANCIAL CONSIDERATIONS
This request complies with authority levels of the Sanitation District's Purchasing
Ordinance. This item has been budgeted as part of Project P2-98 (Budget FY2018-19 &
2019-2020, Section 8, Page 79) and the budget is sufficient for the Engineer's
construction cost estimate.
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.coml with the
complete agenda package:
• Professional Construction Services Agreement
• Presentation from January 16, 2019 Special Operations Committee Meeting
SN:dm:gc
Page 3 of 3
PROFESSIONAL CONSTRUCTION SERVICES AGREEMENT
THIS AGREEMENT, is made and entered into to be effective the 23rtl day of January, 2019
by and between the ORANGE COUNTY SANITATION DISTRICT, hereinafter referred to as
"SANITATION DISTRICT", and BLACK&VEATCH CORPORATION, for purposes of this
Agreement hereinafter referred to as "CONSULTANT".
WITNESSETH:
WHEREAS, the SANITATION DISTRICT desires to engage a CONSULTANT to provide
Construction Support Services for B/C-Side Primary Clarifiers Interim Repair at Plant 2,
Contract No. P2-98B; and,
WHEREAS, CONSULTANT is qualified to provide the necessary services for
Construction Support Services in connection with these requirements; and,
WHEREAS, the SANITATION DISTRICT has adopted procedures in accordance with
the SANITATION DISTRICT's Purchasing Ordinance Section 4.03(B)for the continuation of
services and has proceeded in accordance with said procedures to perform this work; and,
WHEREAS, at its regular meeting on January 23, 2019 the Board of Directors, by Minute
Order, accepted the recommendation of the Operations Committee to approve this Agreement
between the SANITATION DISTRICT and CONSULTANT.
NOW, THEREFORE, in consideration of the promises and mutual benefits, which will
result to the parties in carrying out the terms of this Agreement, it is mutually agreed as follows:
1. SCOPE OF WORK
CONSULTANT agrees to furnish necessary professional and technical services to
accomplish those project elements outlined in the Scope of Work attached hereto as
"Attachment A", and by this reference made a part of this Agreement.
A. The CONSULTANT shall be responsible for the professional quality, technical
accuracy, completeness, and coordination of all design, drawings, specifications,
and other services furnished by the CONSULTANT under this Agreement,
including the work performed by its Subconsultants. Where approval by the
SANITATION DISTRICT is indicated, it is understood to be conceptual approval
only and does not relieve the CONSULTANT of responsibility for complying with
all laws, codes, industry standards and liability for damages caused by errors,
omissions, noncompliance with industry standards, and/or negligence on the part
of the CONSULTANT or its Subconsultants.
B. CONSULTANT is responsible for the quality of work prepared under this
Agreement and shall perform its work in accordance with engineering standards
in effect for clarity, uniformity, and completeness.
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 1 of 19
C. In the event that work is not performed to the satisfaction of the SANITATION
DISTRICT and does not conform to the requirements of this Agreement or any
applicable industry standards, the CONSULTANT shall, without additional
compensation, promptly correct or revise any errors or deficiencies in its designs,
drawings, specifications, or other services within the timeframe specified by the
Project Engineer/Project Manager. The SANITATION DISTRICT may charge to
CONSULTANT all costs, expenses and damages associated with any such
corrections or revisions.
D. All CADD drawings, figures, and other work shall be produced by
CONSULTANTS and Subconsultants using the SANITATION DISTRICT
standard software. Conversion of CADD work from any other non-standard
CADD format to the SANITATION DISTRICT format shall not be acceptable in
lieu of this requirement.
Electronic files shall be subject to an acceptance period of thirty (30)calendar
days during which the SANITATION DISTRICT shall perform appropriate
acceptance tests. CONSULTANT shall correct any discrepancies or errors
detected and reported within the acceptance period at no additional cost to the
SANITATION DISTRICT.
E. All professional services performed by the CONSULTANT, including but not
limited to all drafts, data, correspondence, proposals, reports, and estimates
compiled or composed by the CONSULTANT, pursuant to this Agreement, are
for the sole use of the SANITATION DISTRICT, its agents and employees.
Neither the documents nor their contents shall be released to any third party
without the prior written consent of the SANITATION DISTRICT. This provision
does not apply to information that (a)was publicly known, or otherwise known to
the CONSULTANT, at the time that it was disclosed to the CONSULTANT by the
SANITATION DISTRICT, (b)subsequently becomes publicly known to the
CONSULTANT other than through disclosure by the SANITATION DISTRICT.
2. COMPENSATION
Total compensation shall be paid to CONSULTANT for services in accordance with the
following provisions:
A. Total Compensation
Total compensation shall be in an amount not to exceed Five Hundred Forty-
Nine Thousand and Five Hundred Thirty-Four Dollars ($549,534). Total
compensation to CONSULTANT including burdened labor(salaries plus
benefits), overhead, profit, direct costs, and Subconsultant(s)fees and costs
shall not exceed the sum set forth in Attachment"E"- Fee Proposal.
PCSA CONTRACT NO.P2-98B
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 2 of 19
B. Labor
As a portion of the total compensation to be paid to CONSULTANT, the
SANITATION DISTRICT shall pay to CONSULTANT a sum equal to the
burdened salaries (salaries plus benefits)actually paid by CONSULTANT
charged on an hourly-rate basis to this project and paid to the personnel of
CONSULTANT. Upon request of the SANITATION DISTRICT, CONSULTANT
shall provide the SANITATION DISTRICT with certified payroll records of all
employees' work that is charged to this project.
C. Overhead
As a portion of the total compensation to be paid to CONSULTANT, the
SANITATION DISTRICT shall compensate CONSULTANT and Subconsultants
for overhead at the rate equal to the percentage of burdened labor as specified in
Attachment"E"- Fee Proposal.
D. Profit
Profit for CONSULTANT and Subconsultants shall be a percentage of consulting
services fees (Burdened Labor and Overhead). When the consulting or
subconsulting services amount is $250,000 or less, the maximum Profit shall be
10%. Between $250,000 and $2,500,000, the maximum Profit shall be limited by
a straight declining percentage between 10% and 5%. For consulting or
subconsulting services fees with a value greater than $2,500,000, the maximum
Profit shall be 5%. Addenda shall be governed by the same maximum Profit
percentage after adding consulting services fees.
As a portion of the total compensation to be paid to CONSULTANT and
Subconsultants, the SANITATION DISTRICT shall pay profit for all services
rendered by CONSULTANT and Subconsultants for this project according to
Attachment"E"- Fee Proposal.
E. Subconsultants
For any Subconsultant whose fees for services are greater than or equal to
$100,000 (excluding out-of-pocket costs), CONSULTANT shall pay to
Subconsultant total compensation in accordance with the Subconsultant amount
specified in Attachment"E"- Fee Proposal.
For any Subconsultant whose fees for services are less than $100,000,
CONSULTANT may pay to Suboonsultant total compensation on an hourly-rate
basis per the attached hourly rate Schedule and as specified in the Scope of
Work. The SANITATION DISTRICT shall pay to CONSULTANT the actual costs
of Subconsultant fees and charges in an amount not to exceed the sum set forth
in Attachment"E"- Fee Proposal.
PCSA CONTRACT NO.P2-98B
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 3 of 19
F. Direct Costs
The SANITATION DISTRICT shall pay to CONSULTANT and Subconsultants
the actual costs of permits and associated fees, travel and licenses for an
amount not to exceed the sum set forth in Attachment"E"- Fee Proposal. The
SANITATION DISTRICT shall also pay to CONSULTANT actual costs for
equipment rentals, leases or purchases with prior approval of the SANITATION
DISTRICT. Upon request, CONSULTANT shall provide to the SANITATION
DISTRICT receipts and other documentary records to support CONSULTANT's
request for reimbursement of these amounts, see Attachment"D"—Allowable
Direct Costs. All incidental expenses shall be included in overhead pursuant to
Section 2 -COMPENSATION above.
G. Other Direct Costs
Other Direct Costs incurred by CONSULTANT and its Contractor due to
modifications in scope of work resulting from field investigations and field work
required by Contract. These items may include special equipment, test
equipment and tooling and other materials and services not previously identified.
Refer to attachment"D"Allowable Direct Costs for payment information.
H. Reimbursable Direct Costs
The SANITATION DISTRICT will reimburse the CONSULTANT for reasonable
travel and business expenses as described in this section and further described in
Attachment"D"-Allowable Direct Costs to this Agreement. The reimbursement of
the above mentioned expenses will be based on an "accountable plan" as
considered by Internal Revenue Service (IRS). The plan includes a combination of
reimbursements based upon receipts and a "per diem" component approved by
IRS. The most recent schedule of the per diem rates utilized by the SANITATION
DISTRICT can be found on the U.S. General Service Administration website at
http://www.gsa.gov/portal/category/104711#.
The CONSULTANT shall be responsible for the most economical and practical
means of management of reimbursable costs inclusive but not limited to travel,
lodging and meals arrangements. The SANITATION DISTRICT shall apply the
most economic and practical method of reimbursement which may include
reimbursements based upon receipts and/or"per diem" as deemed the most
practical.
CONSULTANT shall be responsible for returning to the SANITATION DISTRICT
any excess reimbursements after the reimbursement has been paid by the
SANITATION DISTRICT.
Travel and travel arrangements—Any travel involving airfare, overnight stays or
multiple day attendance must be approved by the SANITATION DISTRICT in
advance.
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 4 of 19
Local Travel is considered travel by the CONSULTANT within the SANITATION
DISTRICT general geographical area which includes Orange, Los Angeles,
Ventura, San Bernardino, Riverside, San Diego, Imperial and Kern Counties.
Automobile mileage is reimbursable if CONSULTANT is required to utilize
personal vehicle for local travel.
Lodging—Overnight stays will not be approved by the SANITATION DISTRICT for
local travel. However, under certain circumstances overnight stay may be allowed
at the discretion of the SANITATION DISTRICT based on reasonableness of
meeting schedules and the amount of time required for travel by the
CONSULTANT. Such determination will be made on a case-by-case basis and at
the discretion of the SANITATION DISTRICT.
Travel Meals— Per-diem rates as approved by IRS shall be utilized for travel meal
reimbursements. Per diem rates shall be applied to meals that are appropriate for
travel times. Receipts are not required for the approved meals.
Additional details related to the reimbursement of the allowable direct costs are
provided in the Attachment"D"-Allowable Direct Costs of this Agreement.
I. Limitation of Costs
If, at any time, CONSULTANT estimates the cost of performing the services
described in CONSULTANT's Proposal will exceed the not-to-exceed amount of
the Agreement, including approved additional compensation, CONSULTANT
shall notify the SANITATION DISTRICT immediately, and in writing. This written
notice shall indicate the additional amount necessary to complete the services.
Any cost incurred in excess of the approved not-to-exceed amount, without the
express written consent of the SANITATION DISTRICT's authorized
representative shall be at CONSULTANT's own risk. This written notice shall be
provided separately from, and in addition to any notification requirements
contained in the CONSULTANT's invoice and monthly progress report. Failure to
notify the SANITATION DISTRICT that the services cannot be completed within
the authorized not-to-exceed amount is a material breach of this Agreement.
3. REALLOCATION OF TOTAL COMPENSATION
The SANITATION DISTRICT, by its Director of Engineering, shall have the right to
approve a reallocation of the incremental amounts constituting the total compensation,
provided that the total compensation is not increased.
4. PAYMENT
A. Monthly Invoice: CONSULTANT shall include in its monthly invoice, a detailed
breakdown of costs associated with the performance of any corrections or
revisions of the work for that invoicing period. CONSULTANT shall allocate costs
in the same manner as it would for payment requests as described in this Section
of the Agreement. CONSULTANT shall warrant and certify the accuracy of these
costs and understand that submitted costs are subject to Section 11 -AUDIT
PROVISIONS.
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 5 of 19
B. CONSULTANT may submit monthly or periodic statements requesting payment
for those items included in Section 2- COMPENSATION hereof in the format as
required by the SANITATION DISTRICT. Such requests shall be based upon the
amount and value of the work and services performed by CONSULTANT under
this Agreement and shall be prepared by CONSULTANT and accompanied by
such supporting data, including a detailed breakdown of all costs incurred and
project element work performed during the period covered by the statement, as
may be required by the SANITATION DISTRICT.
Upon approval of such payment request by the SANITATION DISTRICT,
payment shall be made to CONSULTANT as soon as practicable of one hundred
percent (100%)of the invoiced amount on a per-project-element basis.
If the SANITATION DISTRICT determines that the work under this Agreement or
any specified project element hereunder, is incomplete and that the amount of
payment is in excess of:
i. The amount considered by the SANITATION DISTRICT's Director of
Engineering to be adequate for the protection of the SANITATION DISTRICT; or
ii. The percentage of the work accomplished for each project element.
The SANITATION DISTRICT may, at his discretion, retain an amount equal to
that which insures that the total amount paid to that date does not exceed the
percentage of the completed work for each project element or the project in its
entirety.
C. CONSULTANT may submit periodic payment requests for each 30-day period of
this Agreement for the profit as set forth in Section 2 -COMPENSATION above.
Said profit payment request shall be proportionate to the work actually
accomplished to date on a per-project-element basis. In the event the
SANITATION DISTRICT's Director of Engineering determines that no satisfactory
progress has been made since the prior payment, or in the event of a delay in the
work progress for any reason, the SANITATION DISTRICT shall have the right to
withhold any scheduled proportionate profit payment.
D. Upon satisfactory completion by CONSULTANT of the work called for under the
terms of this Agreement, and upon acceptance of such work by the SANITATION
DISTRICT, CONSULTANT will be paid the unpaid balance of any money due for
such work, including any retained percentages relating to this portion of the work.
E. Upon satisfactory completion of the work performed hereunder and prior to final
payment under this Agreement for such work, or prior settlement upon
termination of this Agreement, and as a condition precedent thereto,
CONSULTANT shall execute and deliver to the SANITATION DISTRICT a
release of all claims against the SANITATION DISTRICT arising under or by
virtue of this Agreement other than such claims, if any, as may be specifically
exempted by CONSULTANT from the operation of the release in stated amounts
to be set forth therein.
PCSA CONTRACT NO.P2-98B
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 6 of 19
F. Pursuant to the California False Claims Act (Government Code Sections 12650-
12655), any CONSULTANT that knowingly submits a false claim to the
SANITATION DISTRICT for compensation under the terms of this Agreement
may be held liable for treble damages and up to a ten thousand dollars ($10,000)
civil penalty for each false claim submitted. This Section shall also be binding on
all Subconsultants.
A CONSULTANT or Subconsultant shall be deemed to have submitted a false
claim when the CONSULTANT or Subconsultant: a) knowingly presents or
causes to be presented to an officer or employee of the SANITATION DISTRICT
a false claim or request for payment or approval; b) knowingly makes, uses, or
causes to be made or used a false record or statement to get a false claim paid
or approved by the SANITATION DISTRICT; c)conspires to defraud the
SANITATION DISTRICT by getting a false claim allowed or paid by the
SANITATION DISTRICT; d) knowingly makes, uses, or causes to be made or
used a false record or statement to conceal, avoid, or decrease an obligation to
the SANITATION DISTRICT; or e) is a beneficiary of an inadvertent submission
of a false claim to the SANITATION DISTRICT, and fails to disclose the false
claim to the SANITATION DISTRICT within a reasonable time after discovery of
the false claim.
5. CALIFORNIA DEPARTMENT OF INDUSTRIAL RELATIONS (DIR) REGISTRATION
AND RECORD OF WAGES
A. To the extent CONSULTANT's employees and/or Subconsultants who will
perform Work during the design and preconstruction phases of a construction
contract for which Prevailing Wage Determinations have been issued by the DIR
and as more specifically defined under Labor Code Section 1720 at seq,
CONSULTANT and Subconsultants shall comply with the registration
requirements of Labor Code Section 1725.5. Pursuant to Labor Code Section
1771.4, the Work is subject to compliance monitoring and enforcement by the
DIR.
B. The CONSULTANT and Subconsultants shall maintain accurate payroll records
and shall comply with all the provisions of Labor Code Section 1776, and shall
submit payroll records to the Labor Commissioner pursuant to Labor Code
Section 1771.4(a) (3). Penalties for non-compliance with the requirements of
Section 1776 may be deducted from progress payments per Section 1776.
C. Pursuant to Labor Code Section 1776, the CONSULTANT and Subconsultants
shall furnish a copy of all certified payroll records to the SANITATION DISTRICT
and/or general public upon request, provided the public request is made through
the SANITATION DISTRICT, the Division of Apprenticeship Standards or the
Division of Labor Enforcement of the Department of Industrial Relations.
D. The CONSULTANT and Subconsultants shall comply with the job site notices
posting requirements established by the Labor Commissioner per Title 8,
California Code of Regulations Section 16461(e).
PCSA CONTRACT NO.P2-98B
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 7 of 19
6. DOCUMENT OWNERSHIP—SUBSEQUENT CHANGES TO PLANS AND
SPECIFICATIONS
A. Ownership of Documents for the Professional Services performed.
All documents, including but not limited to, original plans, studies, sketches,
drawings, computer printouts and disk files, and specifications prepared in
connection with or related to the Scope of Work or Professional Services, shall
be the property of the SANITATION DISTRICT. The SANITATION DISTRICT's
ownership of these documents includes use of, reproduction or reuse of and all
incidental rights, whether or not the work for which they were prepared has been
performed. The SANITATION DISTRICT ownership entitlement arises upon
payment or any partial payment for work performed and includes ownership of
any and all work product completed prior to that payment. This Section shall
apply whether the CONSULTANT's Professional Services are terminated: a) by
the completion of the Agreement, or b) in accordance with other provisions of this
Agreement. Notwithstanding any other provision of this paragraph or Agreement,
the CONSULTANT shall have the right to make copies of all such plans, studies,
sketches, drawings, computer printouts and disk files, and specifications.
B. CONSULTANT shall not be responsible for damage caused by subsequent
changes to or uses of the plans or specifications, where the subsequent changes
or uses are not authorized or approved by CONSULTANT, provided that the
service rendered by CONSULTANT was not a proximate cause of the damage.
7. INSURANCE
A. General
i. Insurance shall be issued and underwritten by insurance companies
acceptable to the SANITATION DISTRICT.
ii. Insurers must have an "A-" Policyholder's Rating, or better, and Financial
Rating of at least Class Vill, or better, in accordance with the most current
A.M. Best's Guide Rating. However, the SANITATION DISTRICT will accept
State Compensation Insurance Fund, for the required policy of Worker's
Compensation Insurance subject to the SANITATION DISTRICT's option to
require a change in insurer in the event the State Fund financial rating is
decreased below"B". Further, the SANITATION DISTRICT will require
CONSULTANT to substitute any insurer whose rating drops below the levels
herein specified. Said substitution shall occur within twenty (20) days of
written notice to CONSULTANT, by the SANITATION DISTRICT or its agent.
iii. Coverage shall be in effect prior to the commencement of any work under
this Agreement.
B. General Liability
The CONSULTANT shall maintain during the life of this Agreement, including the
period of warranty, Commercial General Liability Insurance written on an
occurrence basis providing the following minimum limits of liability coverage:
PCSA CONTRACT NO.P2-98B
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 8 of 19
Two Million Dollars ($2,000,000) per occurrence with Two Million Dollars
($2,000,000)aggregate. Said insurance shall include coverage for the following
hazards: Premises-Operations, blanket contractual liability (for this Agreement),
products liability/completed operations (including any product manufactured or
assembled), broad form property damage, blanket contractual liability,
independent contractors liability, personal and advertising injury, mobile
equipment, and cross liability and severability of interest clauses. A statement on
an insurance certificate will not be accepted in lieu of the actual additional
insured endorsement(s). If requested by SANITATION DISTRICT and
applicable, XCU coverage (Explosion, Collapse and Underground) and
Riggers/On Hook Liability must be included in the General Liability policy and
coverage must be reflected on the submitted Certificate of Insurance.
C. Umbrella Excess Liability
The minimum limits of general liability and Automotive Liability Insurance
required, as set forth herein, shall be provided for through either a single policy of
primary insurance or a combination of policies of primary and umbrella excess
coverage. Umbrella excess liability coverage shall be issued with limits of liability
which, when combined with the primary insurance, will equal the minimum limits
for general liability and automotive liability.
D. AutomotiveNehicle Liability Insurance
The CONSULTANT shall maintain a policy of Automotive Liability Insurance on a
comprehensive form covering all owned, non-owned, and hired automobiles,
trucks, and other vehicles providing the following minimum limits of liability
coverage: Combined single limit of Two Million Dollars ($2,000,000) or
alternatively, Two Million Dollars ($2,000,000) per person for bodily injury and
One Million Dollars ($1,000,000) per accident for property damage. A statement
on an insurance certificate will not be accepted in lieu of the actual additional
insured endorsement.
E. Drone Liability Insurance
If a drone will be used, drone liability insurance must be maintained by
CONSULTANT in the amount of One Million Dollars ($1,000,000) in a form
acceptable by the SANITATION DISTRICT.
F. Worker's Compensation Insurance
The CONSULTANT shall provide such Workers' Compensation Insurance as
required by the Labor Code of the State of California in the amount of the
statutory limit, including Employer's Liability Insurance with a minimum limit of
One Million Dollars ($1,000,000) per occurrence. Such Worker's Compensation
Insurance shall be endorsed to provide for a waiver of subrogation in favor of the
SANITATION DISTRICT. A statement on an insurance certificate will not be
accepted in lieu of the actual endorsements unless the insurance carrier is State
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 9 of 19
of California Insurance Fund and the identifier"SCIF" and endorsement numbers
2570 and 2065 are referenced on the certificate of insurance. If an exposure to
Jones Act liability may exist, the insurance required herein shall include coverage
for Jones Act claims.
G. Errors and Omissions/Professional Liability
CONSULTANT shall maintain in full force and effect, throughout the term of this
Agreement, standard industry form professional negligence errors and omissions
insurance coverage in an amount of not less than Ten Million Dollars
($10,000,000)with limits in accordance with the provisions of this Paragraph. If
the policy of insurance is written on a "claims made" basis, said policy shall be
continued in full force and effect at all times during the term of this Agreement,
and for a period of five (5) years from the date of the completion of the services
hereunder.
In the event of termination of said policy during this period, CONSULTANT shall
obtain continuing insurance coverage for the prior acts or omissions of
CONSULTANT during the course of performing services under the term of this
Agreement. Said coverage shall be evidenced by either a new policy evidencing
no gap in coverage or by separate extended "tail" coverage with the present or
new carrier.
In the event the present policy of insurance is written on an "occurrence" basis,
said policy shall be continued in full force and effect during the term of this
Agreement or until completion of the services provided for in this Agreement,
whichever is later. In the event of termination of said policy during this period,
new coverage shall be obtained for the required period to insure for the prior acts
of CONSULTANT during the course of performing services under the term of this
Agreement.
CONSULTANT shall provide to the SANITATION DISTRICT a certificate of
insurance in a form acceptable to the SANITATION DISTRICT indicating the
deductible or self-retention amounts and the expiration date of said policy, and
shall provide renewal certificates not less than ten (10)days prior to the
expiration of each policy term.
H. Proof of Coverage
The CONSULTANT shall furnish the SANITATION DISTRICT with original
certificates and amendatory endorsements effecting coverage. Said policies and
endorsements shall conform to the requirements herein stated. All certificates
and endorsements are to be received and approved by the SANITATION
DISTRICT before work commences. The CONSULTANT shall provide the
SANITATION DISTRICT with access to copies of its insurance policies and
amendatory endorsements affecting coverage at its regional office in Irvine,
California during normal working hours. Confidential information may be redacted
from said policies, provided that verification of coverage may not be redacted.
PCSA CONTRACT NO.P2-98B
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 10 of 19
The following are approved forms that must be submitted as proof of coverage:
• Certificate of Insurance ACORD Form 25 (512010)or equivalent.
• Additional Insurance (ISO Form) CG2010 11 85 or
(General Liability)
The combination of(ISO Forms)
CG 2010 10 01 and CG 2037 10 01
All other Additional Insured endorsements must
be submitted for approval by the SANITATION
DISTRICT, and the SANITATION DISTRICT
may reject alternatives that provide different or
less coverage to the SANITATION DISTRICT.
• Additional Insured Submit endorsement provided by carrier for the
(Auto Liability) SANITATION DISTRICT approval.
• Waiver of Subrogation State Compensation Insurance Fund
Endorsement No. 2570 or equivalent.
• Cancellation Notice State Compensation Insurance Fund
Endorsement No. 2065 or equivalent.
I. Cancellation Notice
Each insurance policy required herein shall be endorsed to state that coverage
shall not be cancelled by either party, except after thirty (30)days' prior written
notice. The Cancellation Section of ACORD Form 25 (5/2010) shall state the
required thirty (30) days' written notification. The policy shall not terminate, nor
shall it be cancelled, nor the coverage reduced until thirty(30) days after written
notice is given to the SANITATION DISTRICT except for nonpayment of
premium, which shall require not less than ten (10) days written notice to the
SANITATION DISTRICT. Should there be changes in coverage or an increase in
deductible or SIR amounts, the CONSULTANT shall send to the SANITATION
DISTRICT a certified letter which includes a description of the changes in
coverage and/or any increase in deductible or SIR amounts. The certified letter
must be sent to the attention of Risk Management, and shall be received by the
SANITATION DISTRICT not less than thirty (30) days prior to the effective date
of the change(s) if the change would reduce coverage or increase deductibles or
SIR amounts or otherwise reduce or limit the scope of insurance coverage
provided to the SANITATION DISTRICT.
J. Primary Insurance
All liability policies shall contain a Primary and Non Contributory Clause. Any
other insurance maintained by the SANITATION DISTRICT shall be excess and
not contributing with the insurance provided by CONSULTANT.
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 11 of 19
K. Separation of Insured
All liability policies shall contain a "Separation of Insureds" clause.
L. Non-Limiting (if applicable)
Nothing in this document shall be construed as limiting in any way, nor shall it
limit the indemnification provision contained in this Agreement, or the extent to
which CONSULTANT may be held responsible for payment of damages to
persons or property.
M. Deductibles and Self-Insured Retentions
Any deductible and/or self-insured retention must be declared to the
SANITATION DISTRICT on the Certificate of Insurance. All deductibles and/or
self-insured retentions require approval by the SANITATION DISTRICT. At the
option of the SANITATION DISTRICT, either: the insurer shall reduce or
eliminate such deductible or self-insured retention as respects the SANITATION
DISTRICT; or the CONSULTANT shall provide a financial guarantee satisfactory
to the SANITATION DISTRICT guaranteeing payment of losses and related
investigations, claim administration and defense expenses. The SANITATION
DISTRICT will not invoke the option expressed in this paragraph unless it has
reasonable cause to question CONSULTANT's financial strength.
N. Defense Costs
Liability policies (except Errors and Omissions/Professional Liability)shall have a
provision that defense costs for all insureds and additional insureds are paid in
addition to and do not deplete any policy limits.
O. Subconsultants
The CONSULTANT shall be responsible to establish insurance requirements for
any Subconsultant hired by the CONSULTANT. The insurance shall be in
amounts and types reasonably sufficient to deal with the risk of loss involving the
Subconsultant's operations and work.
P. Limits Are Minimums
If the CONSULTANT maintains higher limits than any minimums shown above,
the SANITATION DISTRICT requires and shall be entitled to coverage for the
higher limits maintained by CONSULTANT. Nothing in this section, however,
requires CONSULTANT in the absence of litigation to reveal its Errors and
Omissions/Professional Liability limits beyond that required above in other
sections.
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 12 of 19
8. SCOPECHANGES
In the event of a change in the Scope of Work, requested by SANITATION DISTRICT,
the parties hereto shall execute an amendment to this Agreement setting forth with
particularity all terms of the new Agreement, including but not limited to any additional
CONSULTANT's fees.
9. PROJECT TEAM AND SUBCONSULTANTS
CONSULTANT shall provide to SANITATION DISTRICT, prior to execution of this
Agreement, the names and full description of all Subconsultants and CONSULTANT's
project team members anticipated to be used on this project by CONSULTANT.
CONSULTANT shall include a description of the scope of work to be done by each
Subconsultant and each CONSULTANT's project team member. CONSULTANT shall
include the respective compensation amounts for CONSULTANT and each
Subconsultant on a per-project-element basis, broken down as indicated in Section 2-
COMPENSATION.
There shall be no substitution of the listed Subconsultants and CONSULTANT's project
team members without prior written approval by the SANITATION DISTRICT.
10. ENGINEERING REGISTRATION
The CONSULTANT's personnel are comprised of registered engineers and a staff of
specialists and draftsmen in each department. The firm itself is not a registered
engineer but represents and agrees that wherever in the performance of this Agreement
requires the services of a registered engineer, such services hereunder will be
performed under the direct supervision of registered engineers.
11. AUDIT PROVISIONS
A. SANITATION DISTRICT retains the reasonable right to access, review, examine,
and audit, any and all books, records, documents and any other evidence of
procedures and practices that the SANITATION DISTRICT determines are
necessary to discover and verify that the CONSULTANT is in compliance with all
requirements under this Agreement. The CONSULTANT shall include the
SANITATION DISTRICT's right as described above, in any and all of their
subcontracts, and shall ensure that these rights are binding upon all Suboonsultants.
B. SANITATION DISTRICT retains the right to examine CONSULTANT's books,
records, documents and any other evidence of procedures and practices that the
SANITATION DISTRICT determines are necessary to discover and verify all
direct and indirect costs, of whatever nature, which are claimed to have been
incurred, or anticipated to be incurred or to ensure CONSULTANT's compliance
with all requirements under this Agreement during the term of this Agreement
and for a period of three (3)years after its termination.
C. CONSULTANT shall maintain complete and accurate records in accordance with
generally accepted industry standard practices and the SANITATION
DISTRICT's policy. The CONSULTANT shall make available to the
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 13 of 19
SANITATION DISTRICT for review and audit, all project related accounting
records and documents, and any other financial data within 15 days after receipt
of notice from the SANITATION DISTRICT. Upon SANITATION DISTRICT's
request, the CONSULTANT shall submit exact duplicates of originals of all
requested records to the SANITATION DISTRICT. If an audit is performed,
CONSULTANT shall ensure that a qualified employee of the CONSULTANT will
be available to assist SANITATION DISTRICT's auditor in obtaining all project
related accounting records and documents, and any other financial data.
12. LEGAL RELATIONSHIP BETWEEN PARTIES
The legal relationship between the parties hereto is that of an independent contractor
and nothing herein shall be deemed to make CONSULTANT an employee of the
SANITATION DISTRICT.
13. NOTICES
All notices hereunder and communications regarding the interpretation of the terms of
this Agreement, or changes thereto, shall be affected by delivery of said notices in
person or by depositing said notices in the U.S. mail, registered or certified mail, return
receipt requested, postage prepaid.
Notices shall be mailed to the SANITATION DISTRICT at:
ORANGE COUNTY SANITATION DISTRICT
10844 Ellis Avenue
Fountain Valley, CA 92708-7018
Attention: Ludwig Lapus, Senior Contracts Administrator
Copy: Shahrzad Namini, Project Manager
Notices shall be mailed to CONSULTANT at:
BLACK &VEATCH CORPORATION
5 Peters Canyon
Suite 300
Irvine, CA 92606
Attention: James H. Clark, PE, Senior Vice President
All communication regarding the Scope of Work, will be addressed to the Project Manager.
Direction from other SANITATION DISTRICT's staff must be approved in writing by the
SANITATION DISTRICT's Project Manager prior to action from the CONSULTANT.
14. TERMINATION
The SANITATION DISTRICT may terminate this Agreement at any time, without cause,
upon giving thirty(30) days written notice to CONSULTANT. In the event of such
termination, CONSULTANT shall be entitled to compensation for work performed on a
prorated basis through and including the effective date of termination.
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 14 of 19
CONSULTANT shall be permitted to terminate this Agreement upon thirty (30)days
written notice only if CONSULTANT is not compensated for billed amounts in
accordance with the provisions of this Agreement, when the same are due.
Notice of termination shall be mailed to the SANITATION DISTRICT and/or
CONSULTANT in accordance with Section 13- NOTICES.
15. DOCUMENTS AND STUDY MATERIALS
The documents and study materials for this project shall become the property of the
SANITATION DISTRICT upon the termination or completion of the work. CONSULTANT
agrees to furnish to the SANITATION DISTRICT copies of all memoranda,
correspondence, computation and study materials in its files pertaining to the work
described in this Agreement, which is requested in writing by the SANITATION DISTRICT.
16. COMPLIANCE
CONSULTANT certifies by the execution of this Agreement that it pays employees not
less than the minimum wage as defined by law, and that it does not discriminate in its
employment with regard to race, color, religion, sex or national origin; that it is in
compliance with all federal, state and local directives and executive orders regarding
non-discrimination in employment; and that it agrees to demonstrate positively and
aggressively the principle of equal opportunity in employment.
17. AGREEMENT EXECUTION AUTHORIZATION
Both the SANITATION DISTRICT and CONSULTANT do covenant that each individual
executing this document by and on behalf of each party is a person duly authorized to
execute agreements for that party.
18. DISPUTE RESOLUTION
In the event of a dispute arising between the parties regarding performance or
interpretation of this Agreement, the dispute shall be resolved by binding arbitration
under the auspices of the Judicial Arbitration and Mediation Service ("JAMS"), or similar
organization or entity conducting alternate dispute resolution services.
19. ATTORNEYS FEES, COSTS AND NECESSARY DISBURSEMENTS
If any action at law or in equity or if any proceeding in the form of an Alternative Dispute
Resolution (ADR) is necessary to enforce or interpret the terms of this Agreement, the
prevailing party shall be entitled to reasonable attorney's fees, costs and necessary
disbursements in addition to any other relief to which it may be entitled.
20. PROGRESS REPORTS
Monthly progress reports shall be submitted for review by the tenth day of the following
month and must include as a minimum: 1) current activities, 2)future activities, 3)
potential items that are not included in the Scope of Work, 4) concerns and possible
delays, 5) percentage of completion, and 6) budget status.
PCSA CONTRACT NO.P2-98B
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 15 of 19
21. WARRANTY
CONSULTANT shall perform its services in accordance with generally accepted industry
and professional standards. If, within the 12-month period following completion of its
services, the SANITATION DISTRICT informs CONSULTANT that any part of the
services fails to meet those standards, CONSULTANT shall, within the time prescribed
by the SANITATION DISTRICT, take all such actions as are necessary to correct or
complete the noted deficiency(ies).
22. INDEMNIFICATION
To the fullest extent permitted by law, CONSULTANT shall indemnify, defend (at
CONSULTANT's sole cost and expense and with legal counsel approved by the
SANITATION DISTRICT, which approval shall not be unreasonably withheld), protect
and hold harmless the SANITATION DISTRICT and all of SANITATION DISTRICT's
officers, directors, employees, consultants, and agents (collectively the"Indemnified
Parties"), from and against any and all claims, damages, liabilities, causes of action,
suits, arbitration awards, losses,judgments, fines, penalties, costs and expenses
including without limitation, attorneys'fees, disbursements and court costs, and all other
professional, expert or consultants fees and costs and the SANITATION DISTRICT's
general and administrative expenses (individually, a "Claim", or collectively, "Claims")
which may arise from or are in any manner related, directly or indirectly, to any work
performed, or any operations, activities, or services provided by CONSULTANT in
carrying out its obligations under this Agreement to the extent of the negligent,
recklessness and/or willful misconduct of CONSULTANT, its principals, officers, agents,
employees, CONSULTANT's suppliers, consultants, subconsultants, subcontractors,
and/or anyone employed directly or indirectly by any of them, regardless of any
contributing negligence or strict liability of an Indemnified Party. Notwithstanding the
foregoing, nothing herein shall be construed to require CONSULTANT to indemnify the
Indemnified Parties from any Claim arising from:
(A)the sole or active negligence or willful misconduct of the Indemnified Parties; or
(B)a natural disaster or other act of God, such as an earthquake; or
(C)the independent action of a third party who is neither one of the Indemnified Parties
nor the CONSULTANT, nor its principal, officer, agent, employee, nor
CONSULTANT's supplier, consultant, subconsultant, subcontractor, nor anyone
employed directly or indirectly by any of them.
Exceptions (A)through (B) above shall not apply, and CONSULTANT shall, to the fullest
extent permitted by law, indemnify the Indemnified Parties, from Claims arising from
more than one cause if any such cause taken alone would otherwise result in the
obligation to indemnify hereunder.
CONSULTANT's liability for indemnification hereunder is in addition to any liability
CONSULTANT may have to the SANITATION DISTRICT for a breach by
CONSULTANT of any of the provisions of this Agreement. Under no circumstances
shall the insurance requirements and limits set forth in this Agreement be construed to
limit CONSULTANT's indemnification obligation or other liability hereunder.
PCSA CONTRACT NO.P2-98B
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 16 of 19
The terms of this Agreement are contractual and the result of negotiation between the
parties hereto. Accordingly, any rule of construction of contracts (including, without
limitation, California Civil Code Section 1654)that ambiguities are to be construed
against the drafting party, shall not be employed in the interpretation of this Agreement.
23. DUTY TO DEFEND
The duty to defend hereunder is wholly independent of and separate from the duty to
indemnify and such duty to defend shall exist regardless of any ultimate liability of
CONSULTANT and shall be consistent with Civil Code Section 2782.8. Such defense
obligation shall arise immediately upon presentation of a Claim by any person if, without
regard to the merit of the Claim, such Claim could potentially result in an obligation to
indemnify one or more Indemnified Parties, and upon written notice of such Claim being
provided to CONSULTANT. Payment to CONSULTANT by any Indemnified Party or the
payment or advance of defense costs by any Indemnified Party shall not be a condition
precedent to enforcing such Indemnified Party's rights to indemnification hereunder. In
the event a final judgment, arbitration, award, order, settlement, or other final resolution
expressly determines that the claim did not arise out of, pertain to, or relate to the
negligence, recklessness, or willful misconduct of the CONSULTANT, to any extent,
then the SANITATION DISTRICT will reimburse CONSULTANT for the reasonable costs
of defending the Indemnified Parties against such claims.
CONSULTANT's indemnification obligation hereunder shall survive the expiration or
earlier termination of this Agreement until such time as action against the Indemnified
Parties for such matter indemnified hereunder is fully and finally barred by the applicable
statute of limitations.
24. CONSULTANT PERFORMANCE
The CONSULTANT's performance shall be evaluated by the SANITATION DISTRICT.
A copy of the evaluation shall be sent to the CONSULTANT for comment. The
evaluation, together with the comments, shall be retained by the SANITATION
DISTRICT and may be considered in future CONSULTANT selection processes.
25. COMPLIANCE WITH SANITATION DISTRICT POLICIES AND PROCEDURES
CONSULTANT shall be required to comply with all SANITATION DISTRICT policies and
procedures including the OCSD Safety Standards, as applicable, all of which may be
amended from time to time.
26. CLOSEOUT
When the SANITATION DISTRICT determines that all Work authorized under the
Agreement is fully complete and that the SANITATION DISTRICT requires no further
work from CONSULTANT, or the Agreement is otherwise terminated or expires in
accordance with the terms of the Agreement, the SANITATION DISTRICT shall give the
Consultant written notice that the Agreement will be closed out. CONSULTANT shall
submit all outstanding billings, work submittals, deliverables, reports or similarly related
documents as required under the Agreement within thirty (30)days of receipt of notice of
Agreement closeout.
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 17 of 19
Upon receipt of CONSULTANT's submittals, the SANITATION DISTRICT shall
commence a closeout audit of the Agreement and will either:
i. Give the CONSULTANT a final Agreement Acceptance: or
ii. Advise the CONSULTANT in writing of any outstanding item or items which must be
furnished, completed, or corrected at the CONSULTANT's cost.
CONSULTANT shall be required to provide adequate resources to fully support any
administrative closeout efforts identified in this Agreement. Such support must be
provided within the timeframe requested by the SANITATION DISTRICT.
Notwithstanding the final Agreement Acceptance the CONSULTANT will not be relieved
of its obligations hereunder, nor will the CONSULTANT be relieved of its obligations to
complete any portions of the work, the non-completion of which were not disclosed to
the SANITATION DISTRICT (regardless of whether such nondisclosures were
fraudulent, negligent, or otherwise); and the CONSULTANT shall remain obligated under
all those provisions of the Agreement which expressly or by their nature extend beyond
and survive final Agreement Acceptance.
Any failure by the SANITATION DISTRICT to reject the work or to reject the
CONSULTANT's request for final Agreement Acceptance as set forth above shall not be
deemed to be acceptance of the work by the SANITATION DISTRICT for any purpose
nor imply acceptance of, or agreement with, the CONSULTANT's request for final
Agreement Acceptance.
27. ENTIRE AGREEMENT
This Agreement constitutes the entire understanding and agreement between the
Parties and supersedes all previous negotiations between them pertaining to the subject
matter thereof.
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 18 of 19
IN WITNESS WHEREOF, this Agreement has been executed in the name of the SANITATION
DISTRICT, by its officers thereunto duly authorized, and CONSULTANT as of the day and year
first above written.
CONSULTANT: BLACK&VEATCH CORPORATION
By
Date
Printed Name &Title
ORANGE COUNTY SANITATION DISTRICT
By
David John Shawver Date
Board Chairman
By
Kelly A. Lore Date
Clerk of the Board
By
Marc Dubois Date
Contracts, Purchasing and
Materials Management Manager
Attachments: Attachment"A"—Scope of Work
Attachment'B"—Not Used
Attachment"C"—Not Used
Attachment"D"—Allowable Direct Costs
Attachment"E"—Fee Proposal
Attachment"F"— Not Used
Attachment"G"— Not Attached
Attachment"H"— Not Used
Attachment"I"—Cost Matrix and Summary
Attachment"J"— Not Used
Attachment"K"—Not Used
Attachment"L"—OCSD Safety Standards
PCSA CONTRACT NO.P2-9813
Revised 112818 B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 19 of 19
�I•1 Ii �r`i r -ui
Primary Treatment Rehabilitation at Plant 2, Project No. P2-98
B/C-Side Interim Repair at Plant No. 2, Contract No. P2-98B
Operations Committee Presentation
January 16, 2019 Y ••,
Plant 2 Site Plan
T 3d'/
,,.,OperationsCenter �
Major Project Elements
• A, B, and C-Side �i
Primary Clarifiers moRreBCRuee[R -- -. ° J " '
COMVIE% M � 5
( 14 total )
B SIDE �� ASIDE
• Odor Control 'a
-.., ,, % pISTRIBUTION STRUCTURE B L+y,
• Power Distribution +=-
• Utility Tunnels _ .
• Yard Piping ; DISTRIBUTION STRUCTURE c 7
a �
+ ..A
A-Side Primary Clarifiers Require
Replacement
,RM
• Built between 1960 and
1963
• Portions of structures have
severe corrosion
• Failed clarifier mechanisms
• Subject to liquefaction in
earthquake
i
n
' ''tea-.,`__' - �, � •�J
w �
mn
irEEmx w.m
rw �• r +* E � YI
0 , .� MO.
_.
CL
-El _ °AIFIE FAULT
D.Er E mcE uvi V
r N
Em •."�S j. \ows { y
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00
a
Why Move the A-Side Clarifiers ?
• Avoid construction over active fault.
• Existing A-Side clarifiers remain available during
construction — avoids delay of OCWD GWRS Expansion .
• Frees larger area for future secondary process to
replace aging Activated Sludge Plant
B/C -Side Clarifiers Require
Rehabilitation
• B-Side built between 1967 and 1972 - ' `4T-�
W.
• C-Side built between 1983 and 1985
i( .r
• Mild-to-moderate structural damaged
from corrosion L
• Corroded clarifier mechanisms and cover
supports
yy a i
rr r*
PHASED PROJECTS FACILITATES
CONSTRUCTION
P2-98A: Replace A-Side
primary clarifiers; new
odor control system and P2 -98A
power distribution; and
infrastructure Design Construction
improvements
P2:98B: Provide short- 4 N N N N N N N
term repairs (15-year life) W o D D A o
for B/C-Sides primary Design Construction
clarifiers
P2-98C (now P2-133):
P2 -98B
Provide long- term repairs
(+20 years) for B/C-Sides Construction starts 2029
primary clarifiers and new
odor control system
B/C -Side Interim Repair at Plant No. 2
Contract No. P2 -9813
Major Contract Elements
• Repair of cracks in concrete pipe and structural
walls .
• Repair of clarifiers' steel mechanism .
• Lining of process piping .
P2 =9813 : Clarifier Concrete Repair
{
ii"ii7i Ji r' //i11 S � LY1'i AAVy
r
PRIMARY CLARIFIER
►, - - 140 DIA
.. _,mil�C� l►a�l�� �
P2 =98B : Concrete Pipe
Corrosion
96-inch Concrete Pipe Repair 96-inch Concrete Pipe Repair
Reinforcing steel exposure in crown Reinforcing steel exposure
Typical Clarifier Mechanism
- r
Typical Clarifier Mechanism
t�
P2-9813 : Clarifier Steel Corrosion
}� 4
Structural steel around
the center column
De-lamination
Al-
Dome supports at C ari ier
• Results
Bidder Amount of Bid
Myers & Sons Construction, LLC $8,665,000
Shimmick Construction Company, Inc. $8,755,500
Stanek Constructors, Inc. $10,055,000
Abhe & Svoboda, Inc. $11,365,426
Tharsos, Inc. $12, 151,406
Engineer's : • • • • • 1
Recommendation :
PCSA
• Approve a Professional Construction Services (PCSA)
Agreement with Black & Veatch Corporation to provide
construction support services for B/C-Side Primary
Clarifiers Interim Repair at Plant No. 2, Contract No. P2-
98B , for a total amount not to exceed $549,534; and
• Approve a contingency of $54 ,953 ( 10%)
Recommendation :
Construction Contract
• Award a Construction Contract to Myers & Sons
Construction , LLC for B/C-Side Primary Clarifiers
Interim Repair at Plant No. 2, Contract No. P2-9813, for
a total amount not to exceed $8,665,000; and
• Approve a contingency of $866,500 ( 10%)
Questions ?
OPERATIONS COMMITTEE Meeting Date TOBE.Or Dir.
01/16/19 O1/23/19
AGENDA REPORT Item Item Number
6 12
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Assistant General Manager
SUBJECT: PRIMARY TREATMENT REHABILITATION AT PLANT NO. 2, PROJECT
NO. P2-98
GENERAL MANAGER'S RECOMMENDATION
A. Receive and file Bid Tabulation and Recommendation for B/C-Side Primary
Clarifiers Interim Repair at Plant No. 2, Contract No. P2-98B;
B. Award a Construction Contract to Myers & Sons Construction, LLC for B/C-Side
Primary Clarifiers Interim Repair at Plant No. 2, Contract No. P2-98B, for a total
amount not to exceed $8,665,000; and
C. Approve a contingency of$866,500 (10%.).
BACKGROUND
Primary treatment is used to separate settleable solids from screened water upstream of
biological treatment and is an essential portion of the wastewater treatment process. The
primary treatment facilities at Plant No. 2 consists of fourteen 140-foot diameter circular
clarifiers built between 1960 and 1985 with associated piping, distribution structures,
sludge pumping, odor control, and power distribution.
The scope of work for Contract No. P2-98B includes rehabilitation of the primary clarifiers,
two distribution structures, and appurtenant piping. The construction includes structural
steel replacement, concrete repairs, concrete pipe structural repairs and lining, protective
coating for clarifier steel mechanisms, installation of cured-in-place pipe lining systems
for influent and effluent pipes, and PVC sheet lining installation. The current planned
schedule for completion is August 2021.
The four oldest clarifiers, referred to as the A-Side Clarifiers, are near the end of their
structural life and will be replaced entirely under a separate contract. A-Side structures
will have a minimal scope of repair to assure reliable operation until replacement in 2023.
RELEVANT STANDARDS
Comply with California Public Contract Code Section 20103.8, award construction
contract to lowest responsive, responsible bidder
24/7/365 treatment plant reliability
Page 1 d 4
PROBLEM
All fourteen primary clarifiers and associated facilities at Plant No. 2 are in need of
rehabilitation or replacement based on physical condition, level of performance, life cycle
costs, and placement on an earthquake fault.
Construction should be staged in a way that maintains operations and the ability to handle
peak flows during wet-weather periods.
PROPOSED SOLUTION
Award a Construction Contract for the B/C-Side Primary Clarifiers Interim Repair at Plant
No. 2, Contract No. P2-986. To maintain appropriate levels of service for primary
treatment, it is necessary that rehabilitation of the clarifiers be phased, starting with a
basic rehabilitation of the A-Side and more complete rehabilitation of the B/C-Side
clarifiers; and followed by replacement of A-Side clarifiers by a future contract.
TIMING CONCERNS
A Construction Contract is required to rehabilitate the existing clarifiers to maintain
reliability of primary treatment plant within Plant No. 2, which is critical to maintaining
water-in/water-out for this facility. Completion of Contract P2-9813 is critical to the start of
Contract No. P2-98A to replace the A-Side clarifiers because of several
interdependencies between the two projects.
RAMIFICATIONS OF NOT TAKING ACTION
Delays to the start of Contract P2-9813 can result in subsequent delays to the timely
construction start and execution of Contract P2-98A, Replacement of the A-side Clarifiers.
PRIOR COMMITTEE/BOARD ACTIONS
N/A
ADDITIONAL INFORMATION
The Sanitation District advertised Contract No. 132-9813 for bids on October 4, 2018 and
five sealed bids were received on December 4, 2018. A summary of the bid opening
follows:
Engineer's Estimate $ 8,900,000
Bidder Amount of Bid
Myers & Sons Construction, LLC $8,665,000
Shimmick Construction Company, Inc. $8,756,500
Stanek Constructors, Inc. $10,055,000
Abhe & Svoboda, Inc. $11,365,426
Tharsos, Inc. $12,151,406
Page 2 of 4
The bids were evaluated in accordance with the Sanitation District's policies and
procedures. A notice was sent to all bidders on December 19, 2018 informing them of
the intent of Sanitation District staff to recommend award of the Construction Contract to
Myers & Sons Construction, LLC.
Shimmick Construction Company, Inc. sent a formal protest of the award to the Sanitation
District on December 20, 2018 arguing that the bid of Myers & Sons Construction, LLC is
non-responsive and should be rejected. Myers & Sons Construction, LLC issued a
response on December 26, 2018 to the Sanitation District in defense of their bid.
In consultation with Sanitation District General Counsel, the Sanitation District reviewed
and responded to this protest. The protest does not merit a change to the award
recommendation for the following reasons:
• Shimmick's Award Protest alleges that the bid from Myers & Sons Construction,
LLC bid is unacceptable due to an alleged failure to comply with specified
requirements in the Invitation to Bid documents.
• Sanitation District staff, in consultation with Sanitation District General Counsel,
reviewed the referenced allegations and deemed them unfounded. Shimmick's
protest appears to be based on a misinterpretation of the instructions to Bidders
identified in the Bid Form documents.
Based on the above, staff, in consultation with Sanitation District's General Counsel,
responded to Shimmick's protest and found the protest statement allegations unfounded.
Shimmick did not request an appeal of the Sanitation District determination as required
by the Sanitation District's procedures before the deadline to file an appeal expired.
Staff recommends awarding a Construction Contract to the lowest responsive bidder,
Myers & Sons Construction, LLC, for a total amount not to exceed $8,665,000.
CEQA
The work under this Contract is exempt from CEQA under the Class 1 and Class 2
categorical exemptions set forth in CEQA Guidelines (14 California Code of Regulations)
sections 15301 and 15302. Section 15301 (Class 1) exempts from CEQA projects
involving "the operation, repair, maintenance permitting, leasing, or minor alteration of
existing public or private structures, facilities, mechanical equipment, or topographical
features, involving negligible or no expansion of use beyond that existing at the time of
the lead agency's determination'. This exemption includes, but is not limited to, projects
involving "[a] existing facilities of both investor and publicly-owned utilities used to provide
electric power, natural gas, sewerage, or other public utility services'. (CEQA Guidelines
§ 15301(b)) Section 15302 (Class 2) exempts from CEQA projects involving the
"replacement or reconstruction of existing structures and facilities where the new structure
replaced and will have substantially the same purpose and capacity as the structure
Page 3 of 4
replaced". This exemption includes, but is not limited to, projects involving the
"replacement or reconstruction of existing utility systems and/or facilities involving
negligible or no expansion of capacity". (CEQA Guidelines § 15302(c))
This Contract will make structural and mechanical repairs to ten existing clarifiers and
distribution structures at Plant No. 2. These repairs will not expand the use of these
clarifiers beyond their current capacity. The project also involves the removal and
replacement of several clarifier scum sweepers. The new scum sweepers will have the
same purpose as the old scum sweepers and will not expand the capacity of the clarifiers.
The work under this Contract is therefore eligible for an exemption from CEQA under
CEQA Guidelines sections 15301 and 15302 and no further action is required. After
approval of a design contract, a Notice of Exemption was Tiled and recorded with the
County of Orange on April 26, 2018.
FINANCIAL CONSIDERATIONS
This request complies with authority levels of the Sanitation Districfs Purchasing
Ordinance. This item has been budgeted as part of Project No. P2-98 (Budget
FY2018-19 & 2019-2020, Section 8, Page 79) and the budget is sufficient for the action.
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.coml with the
complete agenda package:
• Contract Agreement
• Presentation from January 16, 2019 Special Operations Committee Meeting
SN:dm:gc
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PART A
CONTRACT AGREEMENT
C-CA-090817
TABLE OF CONTENTS
CONTRACT AGREEMENT
SECTION - 1 GENERAL CONDITIONS..................................................................1
SECTION -2 MATERIALS AND LABOR.................................................................4
SECTION -3 PROJECT..........................................................................................4
SECTION -4 PLANS AND SPECIFICATONS ........................................................5
SECTION -5 TIME OF COMMENCEMENT AND COMPLETION ..........................5
SECTION -6 TIME IS OF THE ESSENCE .............................................................5
SECTION -7 EXCUSABLE DELAYS......................................................................6
SECTION -8 EXTRA WORK...................................................................................6
SECTION -9 CHANGES IN PROJECT...................................................................7
SECTION - 10 LIQUIDATED DAMAGES FOR DELAY.............................................7
SECTION - 11 CONTRACT PRICE AND METHOD OF PAYMENT.........................7
SECTION - 12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF
FUNDS ..............................................................................................9
SECTION - 13 COMPLETION...................................................................................9
SECTION - 14 CONTRACTOR'S EMPLOYEES COMPENSATION.......................10
SECTION - 15 SURETY BONDS ............................................................................12
SECTION - 16 INSURANCE....................................................................................13
SECTION - 17 RISK AND INDEMNIFICATION.......................................................22
SECTION - 18 TERMINATION................................................................................22
SECTION - 19 WARRANTY....................................................................................22
SECTION -20 ASSIGNMENT.................................................................................23
SECTION -21 RESOLUTION OF DISPUTES ........................................................23
SECTION -22 SAFETY& HEALTH ........................................................................24
SECTION -23 NOTICES.........................................................................................24
C-CA-090817
CONTRACT AGREEMENT
ORANGE COUNTY SANITATION DISTRICT
CONTRACT NO. P2-9813
B/CSIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
THIS AGREEMENT is made and entered into, to be effective, this January 23, 2019, by and
between Myers 8 Sons Construction, LLC, hereinafter referred to as "CONTRACTOR" and the
Orange County Sanitation District, hereinafter referred to as "OCSD".
WITNESSETH
That for and in consideration of the promises and agreements hereinafter made and exchanged,
OCSD and CONTRACTOR agree as follows:
SECTION-1 GENERAL CONDITIONS
CONTRACTOR certifies and agrees that all the terms, conditions and obligations of the
Contract Documents as hereinafter defined, the location of the job site, and the conditions under
which the Work is to be performed have been thoroughly reviewed, and enters into this Contract
based upon CONTRACTOR's investigation of all such matters and is in no way relying upon
any opinions or representations of OCSD. It is agreed that this Contract represents the entire
agreement. It is further agreed that the Contract Documents are each incorporated into this
Contract by reference, with the same force and effect as if the same were set forth at length
herein, and that CONTRACTOR and its Subcontractors, if any, will be and are bound by any
and all of said Contract Documents insofar as they relate in any part or in any way, directly or
indirectly, to the Work covered by this Contract.
A. Contract Documents Order of Precedence
"Contract Documents" refers to those documents identified in the definition of"Contract
Documents" in the General Conditions—Definitions.
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1. In the event of a conflict between one Contract Document and any of the other
Contract Documents, the provisions in the document highest in precedence shall be
controlling. The order of precedence of the Contract Documents is as follows:
a. Supplemental Agreements—the last in time being the first in precedence
b. Addenda issued prior to opening of Bids—the last in time being the first in
precedence
c. Contract Agreement
d. Permits and other regulatory requirements
e. Special Provisions
f. General Conditions (GC)
g. Notice Inviting Bids and Instruction to Bidders
h. Geotechnical Baseline Report (GBR), if attached as a Contract Document
I. Plans and Specifications—in these documents the order of precedence shall be:
i. Specifications (Divisions 01-17)
ii. Plans
H. General Requirements (GR)
iv. Standard Drawings and Typical Details
j. CONTRACTOR'S Bid
2. In the event of a conflict between terms within an individual Contract Document, the
conflict shall be resolved by applying the following principles as appears applicable:
a. Figured dimensions on the Contract Documents shall govern. Dimensions not
specified shall be as directed by the ENGINEER. Details not shown or
specified shall be the same as similar parts that are shown or specified, or as
directed. Full-size details shall take precedence over scale Drawings as to
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shape and details of construction. Specifications shall govern as to material
and workmanship.
b. The Contract Documents calling for the higher quality material or workmanship
shall prevail. Materials or Work described in words, which so applied, have a
well known technical or trade meaning shall be deemed to refer to such
recognized standards. In the event of any discrepancy between any Drawings
and the figures thereon, the figures shall be taken as correct.
C. Scale Drawings, full-size details, and Specifications are intended to be fully
complementary and to agree. Should any discrepancy between Contract
Documents come to the CONTRACTOR's attention, or should an error occur in
the efforts of others, which affect the Work, the CONTRACTOR shall notify the
ENGINEER, in writing, at once. In the event any doubts or questions arise with
respect to the true meaning of the Contract Documents, reference shall be
made to the ENGINEER whose written decision shall be final. If the
CONTRACTOR proceeds with the Work affected without written instructions
from the ENGINEER, the CONTRACTOR shall be fully responsible for any
resultant damage or defect.
d. Anything mentioned in the Specifications and not indicated in the Plans, or
indicated in the Plans and not mentioned in the Specifications, shall be of like
effect as if indicated and mentioned in both. In case of discrepancy in the
Plans or Specifications, the matter shall be immediately submitted to OCSD's
ENGINEER, without whose decision CONTRACTOR shall not adjust said
discrepancy save only at CONTRACTOR's own risk and expense. The
decision of the ENGINEER shall be final.
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In all matters relating to the acceptability of material, machinery or plant equipment;
classifications of material or Work; the proper execution, progress or sequence of the
Work; and quantities interpretation of the Contract Documents, the decision of the
ENGINEER shall be final and binding, and shall be a condition precedent to any payment
under the Contract, unless otherwise ordered by the Board of Directors.
B. Definitions
Capitalized terms used in this Contract are defined in the General Conditions, Definitions.
Additional terms may be defined in the Special Provisions.
SECTION—2 MATERIALS AND LABOR
CONTRACTOR shall furnish, under the conditions expressed in the Plans and Specifications, at
CONTRACTOR'S own expense, all labor and materials necessary, except such as are
mentioned in the Specifications to be furnished by OCSD, to construct and complete the
Project, in good workmanlike and substantial order. If CONTRACTOR fails to pay for labor or
materials when due, OCSD may settle such claims by making demand upon the Surety to this
Contract. In the event of the failure or refusal of the Surety to satisfy said claims, OCSD may
settle them directly and deduct the amount of payments from the Contract Price and any
amounts due to CONTRACTOR. In the event OCSD receives a stop payment notice from any
laborer or material supplier alleging non-payment by CONTRACTOR, OCSD shall be entitled to
deduct all of its costs and expenses incurred relating thereto, including but not limited to
administrative and legal fees.
SECTION-3 PROJECT
The Project is described as:
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SECTION -4 PLANS AND SPECIFICATONS
The Work to be done is shown in a set of Plans and Specifications entitled:
CONTRACT NO. P2-9813
B/CSIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Said Plans and Specifications and any revision, amendments and addenda thereto are attached
hereto and incorporated herein as part of this Contract and referred to by reference.
SECTION—5 TIME OF COMMENCEMENT AND COMPLETION
CONTRACTOR agrees to commence the Project within 15 calendar days from the date set forth
in the "Notice to Proceed"sent by OCSD, unless otherwise specified therein and shall diligently
prosecute the Work to completion within eight hundred eighty-nine (889) calendar days from the
date of the "Notice to Proceed" issued by OCSD, excluding delays caused or authorized by
OCSD as set forth in Sections 7, 8, and 9 hereof, and applicable provisions in the General
Conditions. The time for completion includes fifteen (15) calendar days determined by OCSD
likely to be inclement weather when CONTRACTOR will be unable to work.
In addition, CONTRACTOR shall accomplish such milestones within the periods of performance
set forth in Appendix A of the Special Provisions entitled "Work Completion Schedule."
SECTION—6 TIME IS OF THE ESSENCE
Time is of the essence of this Contract. As required by the Contract Documents,
CONTRACTOR shall prepare and obtain approval of all shop drawings, details and samples,
and do all other things necessary and incidental to the prosecution of CONTRACTOR's Work in
conformance with an approved construction progress schedule. CONTRACTOR shall
coordinate the Work covered by this Contract with that of all other contractors, subcontractors
and of OCSD, in a manner that will facilitate the efficient completion of the entire Work and
accomplish the required milestone(s), if any, by the applicable deadline(s) in accordance with
Section 5 herein. OCSD shall have the right to assert complete control of the premises on
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which the Work is to be performed and shall have the right to decide the time or order in which
the various portions of the Work shall be installed or the priority of the work of subcontractors,
and, in general, all matters representing the timely and orderly conduct of the Work of
CONTRACTOR on the premises.
SECTION—7 EXCUSABLE DELAYS
CONTRACTOR shall only be excused for any delay in the prosecution or completion of the
Project as specifically provided in General Conditions, "Extensions for Delay", and the General
Requirements, "By CONTRACTOR or Others—Unknown Utilities during Contract Work".
Extensions of time and extra compensation arising from such excusable delays will be
determined in accordance with the General Conditions, "Extension of Time for Delay" and
"Contract Price Adjustments and Payments", and extensions of time and extra compensation as
a result of incurring undisclosed utilities will be determined in accordance with General
Requirements, "By CONTRACTOR or Others— Unknown Utilities during Contract Work".
OCSD's decision will be conclusive on all parties to this Contract.
SECTION—S EXTRA WORK
The Contract Price as set forth in Section 11, includes compensation for all Work performed by
CONTRACTOR, unless CONTRACTOR obtains a Change Order signed by a designated
representative of OCSD specifying the exact nature of the Extra Work and the amount of extra
compensation to be paid all as more particularly set forth in Section 9 hereof and the General
Conditions, "Request for Change (Changes at CONTRACTOR's Request)", "OWNER Initiated
Changes", and "Contract Price Adjustments and Payments".
In the event a Change Order is issued by OCSD pursuant to the Contract Documents, OCSD
shall extend the time fixed in Section 5 for completion of the Project by the number of days, if
any, reasonably required for CONTRACTOR to perform the Extra Work, as determined by
OCSD's ENGINEER. The decision of the ENGINEER shall be final.
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SECTION-9 CHANGES IN PROJECT
OCSD may at any time, without notice to any Surety, by Change Order, make any changes in
the Work within the general scope of the Contract Document, including but not limited to
changes:
1. In the Specifications (including Drawings and designs);
2. In the time, method or manner of performance of the Work;
3. In OCSD-furnished facilities, equipment, materials, services or site; or
4. Directing acceleration in the performance of the Work.
No change of period of performance or Contract Price, or any other change in the Contract
Documents, shall be binding until the Contract is modified by a fully executed Change Order.
All Change Orders shall be issued in accordance with the requirements set forth in the General
Conditions, "Request for Change (Changes at CONTRACTOR's Request)" and "OWNER
Initiated Changes".
SECTION-10 LIQUIDATED DAMAGES FOR DELAY
Liquidated Damages shall be payable in the amounts and upon the occurrence of such events
or failure to meet such requirements or deadlines as provided in the Special Provisions,
"Liquidated Damages and Incentives."
SECTION—11 CONTRACT PRICE AND METHOD OF PAYMENT
A. OCSD agrees to pay and the CONTRACTOR agrees to accept as full consideration for the
faithful performance of this Contract, subject to any additions or deductions as provided in
approved Change Orders, the sum of Eight Million Six Hundred Sixty Five Dollars
($8,665,000) as itemized on the Attached Exhibit"A".
Upon satisfaction of the conditions precedent to payment set forth in the General
Requirements, Additional General Requirements and General Conditions (including but
not limited to Sections entitled "Mobilization Payment Requirements" and "Payment
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Itemized Breakdown of Contract Lump Sum Prices"), there shall be paid to the
CONTRACTOR an initial Net Progress Payment for mobilization. OCSD shall issue at the
commencement of the job a schedule which shows:
1. A minimum of one payment to be made to the CONTRACTOR for each successive
four(4)week period as the Work progresses, and
2. The due dates for the CONTRACTOR to submit requests for payment to meet the
payment schedule.
After the initial Net Progress Payment, and provided the CONTRACTOR submits the
request for payment prior to the end of the day required to meet the payment schedule,
the CONTRACTOR shall be paid a Net Progress Payment on the corresponding monthly
payment date set forth in the schedule.
Payments shall be made on demands drawn in the manner required by law, accompanied
by a certificate signed by the ENGINEER, stating that the Work for which payment is
demanded has been performed in accordance with the terms of the Contract Documents,
and that the amount stated in the certificate is due under the terms of the Contract.
Payment applications shall also be accompanied with all documentation, records, and
releases as required by the Contract, Exhibit A, Schedule of Prices, and General
Conditions, "Payment for Work—General". The Total amount of Progress Payments shall
not exceed the actual value of the Work completed as certified by OCSD's ENGINEER.
The processing of payments shall not be considered as an acceptance of any part of the
Work.
B. As used in this Section, the following defined terms shall have the following meanings:
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1. "Net Progress Payment" means a sum equal to the Progress Payment less the
Retention Amount and other qualified deductions (Liquidated Damages, stop
payment notices, etc.).
2. "Progress Payment" means a sum equal to:
a. the value of the actual Work completed since the commencement of the Work
as determined by OCSD;
b. plus the value of material suitably stored at the worksite, treatment plant or
approved storage yards subject to or under the control of OCSD since the
commencement of the Work as determined by OCSD;
C. less all previous Net Progress Payments;
d. less all amounts of previously qualified deductions;
e. less all amounts previously retained as Retention Amounts.
3. "Retention Amount"for each Progress Payment means the percentage of each
Progress Payment to be retained by OCSD to assure satisfactory completion of the
Contract. The amount to be retained from each Progress Payment shall be
determined as provided in the General Conditions—"Retained Funds; Substitution of
Securities."
SECTION—12 SUBSTITUTION OF SECURITIES IN LIEU OF RETENTION OF FUNDS
Pursuant to Public Contract Code Section 22300 at seq., the CONTRACTOR may, at its sole
expense, substitute securities as provided in General Conditions—"Retained Funds;
Substitution of Securities."
SECTION—13 COMPLETION
Final Completion and Final Acceptance shall occur at the time and in the manner specified in the
General Conditions, "Final Acceptance and Final Completion", "Final Payment" and Exhibit A-
Schedule of Prices.
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Upon receipt of all documentation, records, and releases as required by the Contract from the
CONTRACTOR, OCSD shall proceed with the Final Acceptance as specified in General
Conditions.
SECTION—14 CONTRACTOR'S EMPLOYEES COMPENSATION
A. Davis-Bacon Act:
CONTRACTOR will pay and will require all Subcontractors to pay all employees on said
Project a salary or wage at least equal to the prevailing rate of per diem wages as
determined by the Secretary of Labor in accordance with the Davis-Bacon Act for each
craft or type of worker needed to perform the Contract. The provisions of the Davis-Bacon
Act shall apply only if the Contract is in excess of Two Thousand Dollars ($2,000.00) and
when twenty-five percent (25%) or more of the Contract is funded by federal assistance. If
the aforesaid conditions are met, a copy of the provisions of the Davis-Bacon Act to be
complied with are incorporated herein as a part of this Contract and referred to by
reference.
B. General Prevailing Rate:
OCSD has been advised by the State of California Director of Industrial Relations of its
determination of the general prevailing rate of per diem wages and the general prevailing
rate for legal holiday and overtime Work in the locality in which the Work is to be
performed for each craft or type of Work needed to execute this Contract, and copies of
the same are on file in the Office of the ENGINEER of OCSD. The CONTRACTOR
agrees that not less than said prevailing rates shall be paid to workers employed on this
public works Contract as required by Labor Code Section 1774 of the State of California.
Per California Labor Code 1773.2, OCSD will have on file copies of the prevailing rate of
per diem wages at its principal office and at each job site, which shall be made available to
any interested party upon request.
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C. Forfeiture for Violation:
CONTRACTOR shall, as a penalty to OCSD, forfeit Two Hundred Dollars ($200.00)for
each calendar day or portion thereof for each worker paid (either by the CONTRACTOR or
any Subcontractor under it) less than the prevailing rate of per diem wages as set by the
Director of Industrial Relations, in accordance with Sections 1770-1780 of the California
Labor Code for the Work provided for in this Contract, all in accordance with Section 1775
of the Labor Code of the State of California.
D. Apprentices:
Sections 1777.5, 1777.6, 1777.7 of the Labor Code of the State of California, regarding
the employment of apprentices are applicable to this Contract and the CONTRACTOR
shall comply therewith if the prime contract involves Thirty Thousand Dollars ($30,000.00)
or more.
E. Workday:
In the performance of this Contract, not more than eight(8) hours shall constitute a day's
work, and the CONTRACTOR shall not require more than eight (8) hours of labor in a day
from any person employed by him hereunder except as provided in paragraph (B) above.
CONTRACTOR shall conform to Article 3, Chapter 1, Part 7 (Section 1810 at sea.)of the
Labor Code of the State of California and shall forfeit to OCSD as a penalty, the sum of
Twenty-five Dollars ($25.00)for each worker employed in the execution of this Contract by
CONTRACTOR or any Subcontractor for each calendar day during which any worker is
required or permitted to labor more than eight (8) hours in any one calendar day and forty
(40) hours in any one week in violation of said Article. CONTRACTOR shall keep an
accurate record showing the name and actual hours worked each calendar day and each
calendar week by each worker employed by CONTRACTOR in connection with the
Project.
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F. Registration: Record of Wages: Inspection:
CONTRACTOR shall comply with the registration requirements of Labor Code Section 1725.5.
Pursuant to Labor Code Section 1771.4, the Work is subject to compliance monitoring by the
California Department of Industrial Relations. CONTRACTOR shall maintain accurate payroll
records and shall submit payroll records to the Labor Commissioner pursuant to Labor Code
Section 1771.4(a)(3). Penalties for non-compliance with the requirements of Section 1776 may
be deducted from progress payments per Section 1776.
CONTRACTOR shall comply with the job site notices posting requirements established by
the Labor Commissioner per Title 8, California Code of Regulations Section 16461(a).
SECTION-15 SURETYBONDS
CONTRACTOR shall, before entering upon the performance of this Contract, furnish Bonds
approved by OCSD's General Counsel—one in the amount of one hundred percent(100%)of
the Contract amount, to guarantee the faithful performance of the Work, and the other in the
amount of one hundred percent (100%)of the Contract amount to guarantee payment of all
claims for labor and materials furnished. As changes to the Contract occur via approved
Change Orders, the CONTRACTOR shall assure that the amounts of the Bonds are adjusted to
maintain 100% of the Contract Price. This Contract shall not become effective until such Bonds
are supplied to and approved by OCSD. Bonds must be issued by a Surety authorized by the
State Insurance Commissioner to do business in California. The Performance Bond shall
remain in full force and effect through the warranty period, as specified in Section 19 below. All
Bonds required to be submitted relating to this Contract must comply with California Code of
Civil Procedure Section 995.630. Each Bond shall be executed in the name of the Surety
insurer under penalty of perjury, or the fact of execution of each Bond shall be duly
acknowledged before an officer authorized to take and certify acknowledgments, and either one
of the following conditions shall be satisfied:
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A. A copy of the transcript or record of the unrevoked appointment, power of attorney, by-
laws, or other instrument, duly certified by the proper authority and attested by the seal of
the insurer entitling or authorizing the person who executed the Bond to do so for and on
behalf of the insurer, is on file in the Office of the County Clerk of the County of Orange; or
B. A copy of a valid power of attorney is attached to the Bond.
SECTION— 16 INSURANCE
CONTRACTOR shall purchase and maintain, for the duration of the Contract, insurance against
claims for injuries to persons, or damages to property which may arise from or in connection
with the performance of the Work hereunder, and the results of that Work by CONTRACTOR,
its agents, representatives, employees, or Subcontractors, in amounts equal to the
requirements set forth below. CONTRACTOR shall not commence Work under this Contract
until all insurance required under this Section is obtained in a form acceptable to OCSD, nor
shall CONTRACTOR allow any Subcontractor to commence Work on a subcontract until all
insurance required of the Subcontractor has been obtained. CONTRACTOR shall maintain all
of the foregoing insurance coverages in force through the point at which the Work under this
Contract is fully completed and accepted by OCSD pursuant to the provisions of the General
Conditions, "Final Acceptance and Final Completion'. Furthermore, CONTRACTOR shall
maintain all of the foregoing insurance coverages in full force and effect throughout the warranty
period, commencing on the date of Final Acceptance. The requirement for carrying the
foregoing insurance shall not derogate from the provisions for indemnification of OCSD by
CONTRACTOR under Section 17 of this Contract. Notwithstanding nor diminishing the
obligations of CONTRACTOR with respect to the foregoing, CONTRACTOR shall subscribe for
and maintain in full force and effect during the life of this Contract, inclusive of all changes to the
Contract Documents made in accordance with the provisions of the General Conditions,
"Request for Change (Changes at CONTRACTOR's Request)" and/or"OWNER Initiated
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Changes", the following insurance in amounts not less than the amounts specified. OCSD
reserves the right to amend the required limits of insurance commensurate with the
CONTRACTOR's risk at any time during the course of the Project. No vehicles may enter
OCSD premises/worksite without possessing the required insurance coverage.
CONTRACTOR's insurance shall also comply with all insurance requirements prescribed by
agencies from whom permits shall be obtained for the Work and any other third parties from
whom third party agreements are necessary to perform the Work (collectively, the "Third
Parties"), The Special Provisions may list such requirements and sample forms and
requirements from such Third Parties may be included in an attachment to the General
Requirements. CONTRACTOR bears the responsibility to discover and comply with all
requirements of Third Parties, including meeting specific insurance requirements, that are
necessary for the complete performance of the Work. To the extent there is a conflict between
the Third Parties' insurance requirements and those set forth by OCSD herein, the
requirement(s) providing the more protective coverage for both OSCD and the Third Parties
shall control and be purchased and maintained by CONTRACTOR.
A. Limits of Insurance
1. General Liability: Five Million Dollars ($5,000,000) per occurrence and a general
aggregate limit of Five Million Dollars ($5,000,000)for bodily injury, personal injury
and property damage. Coverage shall include each of the following:
a. Premises-Operations.
b. Products and Completed Operations, with limits of at least Five Million Dollars
($5,000,000) per occurrence and a general aggregate limit of Five Million
Dollars ($5,000,000)which shall be in effect at all times during the warranty
period set forth in the Warranty section herein, and as set forth in the General
Conditions, "Warranty(CONTRACTOR's Guarantee)", plus any additional
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extension or continuation of time to said warranty period that may be required
or authorized by said provisions.
C. Broad Form Property Damage, expressly including damage arising out of
explosion, collapse, or underground damage.
d. Contractual Liability, expressly including the indemnity provisions assumed
under this Contract.
e. Separation of Insured Clause, providing that coverage applies separately to
each insured, except with respect to the limits of liability.
f. Independent CONTRACTOR's Liability.
To the extent first dollar coverage, including defense of any claim, is not
available to OCSD or any other additional insured because of any SIR,
deductible, or any other form of self insurance, CONTRACTOR is obligated to
assume responsibility of insurer until the deductible, SIR or other condition of
insurer assuming its defense and/or indemnity has been satisfied.
CONTRACTOR shall be responsible to pay any deductible or SIR.
g. If a crane will be used, the General Liability insurance will be endorsed to add
Riggers Liability coverage or its equivalent to cover the usage of the crane and
exposures with regard to the crane operators, riggers and others involved in
using the crane.
h. If divers will be used, the General Liability insurance will be endorsed to cover
marine liability or its equivalent to cover the usage of divers.
2. Automobile Liability: The CONTRACTOR shall maintain a policy of Automobile
Liability Insurance on a comprehensive form covering all owned, non-owned, and
hired automobiles, trucks, and other vehicles providing the following minimum limits
of liability coverage:
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Either(1)a combined single limit of Five Million Dollars ($5,000,000) and a general
aggregate limit of Five Million Dollars ($5,000,000)for bodily injury, personal injury
and property damage;
Or alternatively, (2) Five Million Dollars ($5,000,000) per person for bodily injury and
Two Million Dollars ($2,000,000) per accident for property damage.
3. Umbrella Excess Liability: The minimum limits of general liability and automobile
liability insurance required, as set forth above, shall be provided for either in a single
policy of primary insurance or a combination of policies of primary and umbrella
excess coverage. Excess liability coverage shall be issued with limits of liability
which, when combined with the primary insurance, will equal the minimum limits for
general liability and automobile liability.
4. Drone Liability Insurance: If a drone will be used, drone liability insurance must be
maintained by CONTRACTOR in the amount of One Million Dollars ($1,000,000) in a
form acceptable by OCSD.
5. Worker's Compensation/Employer's Liability: CONTRACTOR shall provide such
Worker's Compensation Insurance as required by the Labor Code of the State of
California, including employer's liability with a minimum limit of One Million Dollars
($1,000,000) per accident for bodily injury or disease. If an exposure to Jones Act
liability may exist, the insurance required herein shall include coverage with regard to
Jones Act claims.
Where permitted by law, CONTRACTOR hereby waives all rights of recovery by
subrogation because of deductible clauses, inadequacy of limits of any insurance
policy, limitations or exclusions of coverage, or any other reason against OCSD, its
or their officers, agents, or employees, and any other contractor or subcontractor
performing Work or rendering services on behalf of OCSD in connection with the
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planning, development and construction of the Project. In all its insurance coverages
related to the Work, CONTRACTOR shall include clauses providing that each insurer
shall waive all of its rights of recovery by subrogation against OCSD, its or their
officers, agents, or employees, or any other contractor or subcontractor performing
Work or rendering services at the Project. Where permitted by law, CONTRACTOR
shall require similar written express waivers and insurance clauses from each of its
Subcontractors of every tier. A waiver of subrogation shall be effective as to any
individual or entity, even if such individual or entity (a)would otherwise have a duty
of indemnification, contractual or otherwise, (b)did not pay the insurance premium,
directly or indirectly, and (c)whether or not such individual or entity has an insurable
interest in the property damaged.
6. Pollution Liability Insurance: CONTRACTOR shall purchase and maintain insurance
for pollution liability covering bodily injury, property damage (including loss of use of
damaged property or property that has not been physically injured or destroyed),
cleanup costs, and defense costs (including costs and expenses for investigation,
defense, or settlement of claims). Coverage shall carry limits of at least One Million
Dollars ($1,000,000) and shall apply to sudden and non-sudden pollution conditions
(including sewage spills), both at the site or needed due to migration of pollutants
from the site, resulting from the escape or release of smoke, vapors, fumes, acids,
alkalis, toxic chemicals, liquids or gases, waste materials, or other irritants,
contaminants or pollutants.
If CONTRACTOR provides coverage written on a claims-made basis, OCSD has the
right to approve or reject such coverage in its own discretion. If written on a claims-
made basis, the CONTRACTOR warrants that any retroactive date applicable to
coverage under the policy precedes the effective date of this Contract, and that
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continuous coverage will be maintained, or an extended discovery period will be
exercised, for a period of two years beginning from the time that the Project under
this Contract is completed.
7. Limits are Minimums: If CONTRACTOR maintains higher limits than the minimums
shown in this Section, OCSD requires and shall be entitled to coverage for the higher
limits maintained by the CONTRACTOR.
B. Deductibles and Self-Insured Retentions
Any deductibles or self-insured retentions must be declared to and approved by OCSD. At
the option of OCSD, either: the Insurer shall reduce or eliminate such deductibles or self-
insured retentions as respects OCSD, its Directors, officers, agents, CONSULTANTS, and
employees; or CONTRACTOR shall provide a financial guarantee satisfactory to OCSD
guaranteeing payment of losses and related investigations, claim administration, and
defense expenses.
C. Other Insurance Provisions
1. Each such policy of General Liability Insurance and Automobile Liability Insurance
shall be endorsed to contain, the following provisions:
a. OCSD, its Directors, officers, agents, CONSULTANTS, and employees, and all
public agencies from whom permits will be obtained, and their Directors,
officers, agents, and employees are hereby declared to be additional insureds
under the terms of this policy, but only with respect to the operations of
CONTRACTOR at or from any of the sites of OCSD in connection with this
Contract, or acts and omissions of the additional insured in connection with its
general supervision or inspection of said operations related to this Contract.
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b. Insurance afforded by the additional insured endorsement shall apply as
primary insurance, and other insurance maintained by OCSD shall be excess
only and not contributing with insurance provided under this policy.
2. Each insurance policy required herein shall be endorsed to state that coverage shall
not be cancelled by either party, except after thirty(30) days prior written notice by
certified mail, return receipt requested, and that coverage shall not be cancelled for
non-payment of premium except after ten (10)days prior written notice by certified
mail, return receipt requested. Should there be changes in coverage or an increase
in deductible or SIR amounts, CONTRACTOR undertakes to procure a manuscript
endorsement from its insurer giving 30 days prior notice of such an event to OCSD,
or to have its insurance broker/agent send to OCSD a certified letter describing the
changes in coverage and any increase in deductible or SIR amounts. The certified
letter must be sent Attention: Risk Management and shall be received not less than
twenty (20)days prior to the effective date of the change(s). The letter must be
signed by a Director or Officer of the broker/agent and must be on company
letterhead, and may be sent via e-mail in pdf format.
3. Coverage shall not extend to any indemnity coverage for the active negligence of
any additional insured in any case where an agreement to indemnify the additional
insured would be invalid under California Civil Code Section 2782(b).
4. If required by a public agency from whom permit(s)will be obtained, each policy of
General Liability Insurance and Automobile Liability Insurance shall be endorsed to
specify by name the public agency and its legislative members, officers, agents,
CONSULTANTS, and employees, to be additional insureds.
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D. Acceptability of Insurers
Insurers must have an "A-", or better, Policyholder's Rating, and a Financial Rating of at
least Class Vill, or better, in accordance with the most current A.M. Best Rating Guide.
OCSD recognizes that State Compensation Insurance Fund has withdrawn from
participation in the A.M. Best Rating Guide process. Nevertheless, OCSD will accept
State Compensation Insurance Fund for the required policy of workers compensation
insurance, subject to OCSD's option, at any time during the term of this Contract, to
require a change in insurer upon twenty (20)days written notice. Further, OCSD will
require CONTRACTOR to substitute any insurer whose rating drops below the levels
herein specified. Said substitution shall occur within twenty (20)days of written notice to
CONTRACTOR by OCSD or its agent.
E. Verification of Coverage
CONTRACTOR shall furnish OCSD with original certificates and mandatory endorsements
affecting coverage. Said policies and endorsements shall conform to the requirements
herein stated. All certificates and endorsements are to be received and approved by
OCSD before Work commences. OCSD reserves the right to require complete, certified
copies of all required insurance policies, including endorsements, affecting the coverage
required by these Specifications at any time.
F. Subcontractors
CONTRACTOR shall be responsible to establish insurance requirements for any
Subcontractors hired by CONTRACTOR. The insurance shall be in amounts and types
reasonably sufficient to deal with the risk of loss involving the Subcontractor's operations
and work. OCSD and any public agency issuing permits for the Project must be named as
"Additional Insured"on any General Liability or Automobile Liability policy obtained by a
Subcontractor. The CONTRACTOR must obtain copies and maintain current versions of
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all Subcontractors' policies, Certificate of Liability and mandatory endorsements effecting
coverage. Upon request, CONTRACTOR must furnish OCSD with the above referenced
required documents.
G. Required Forms and Endorsements
1. Required ACORD Form
a. Certificate of Liability Form 25
2. Required Insurance Services Office, Inc. Endorsements (when alternative forms are
shown, they are listed in order of preference)
In the event any of the following forms are cancelled by Insurance Services Office,
Inc. (ISO), or are updated, the ISO replacement form or equivalent must be supplied.
a. Commercial General Liability Form CG-0001 10 01
b. Additional Insured Including Form CG-2010 10 01 and
Products-Completed Operations Form CG-2037 10 01
C. Waiver of Transfer of Rights of Form CG-2404 11 85; or
Recovery Against Others to Us/ Form CG-2404 10 93
Waiver of Subrogation
3. Required State Compensation Insurance Fund Endorsements
a. Waiver of Subrogation Endorsement No. 2570
b. Cancellation Notice Endorsement No. 2065
4. Additional Required Endorsements
a. Notice of Policy Termination Manuscript Endorsement
5. Pollution Liability Endorsements
There shall be a Separation of Insured Clause or endorsement, providing that
coverage applies separately to each insured, except with respect to the limits of
liability. There shall also be an endorsement or policy language containing a waiver
of subrogation rights on the part of the insurer.
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OCSD, its directors, officers, agents, CONSULTANTS and employees and all public
agencies from whom permits will be obtained as well as their directors, officers,
agents, and employees shall be included as insureds under the policy. Any
additional insured endorsement shall contain language at least as broad as the
coverage language contained in ISO form CG 20 10 11 85 or alternatively in both
CG 20 10 10 01 and CG 20 37 10 01 together.
SECTION—17 RISK AND INDEMNIFICATION
All Work covered by this Contract done at the site of construction or in preparing or delivering
materials to the site shall be at the risk of CONTRACTOR alone. CONTRACTOR shall save,
indemnify, defend, and keep OCSD and others harmless as more specifically set forth in
General Conditions, "General Indemnification".
SECTION-18 TERMINATION
This Contract may be terminated in whole or in part in writing by OCSD in the event of
substantial failure by the CONTRACTOR to fulfill its obligations under this Agreement, or it may
be terminated by OCSD for its convenience provided that such termination is effectuated in a
manner and upon such conditions set forth more particularly in General Conditions,
"Termination for Default" and/or"Termination for Convenience", provided that no termination
may be effected unless proper notice is provided to CONTRACTOR at the time and in the
manner provided in said General Conditions. If termination for default or convenience is
effected by OCSD, an equitable adjustment in the price provided for in this Contract shall be
made at the time and in the manner provided in the General Conditions, "Termination for
Default" and "Termination for Convenience".
SECTION—19 WARRANTY
The CONTRACTOR agrees to perform all Work under this Contract in accordance with the
Contract Documents, including OCSD's designs, Drawings and Specifications.
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The CONTRACTOR guarantees for a period of at least one (1) year from the date of Final
Acceptance of the Work, pursuant to the General Conditions, "Final Acceptance and Final
Completion' that the completed Work is free from all defects due to faulty materials, equipment
or workmanship and that it shall promptly make whatever adjustments or corrections which may
be necessary to cure any defects, including repairs of any damage to other parts of the system
resulting from such defects. OCSD shall promptly give notice to the CONTRACTOR of
observed defects. In the event that the CONTRACTOR fails to make adjustments, repairs,
corrections or other work made necessary by such defects, OCSD may do so and charge the
CONTRACTOR the cost incurred. The CONTRACTOR's warranty shall continue as to any
corrected deficiency until the later of(1)the remainder of the original one-year warranty period;
or(2)one year after acceptance by OCSD of the corrected Work. The Performance Bond and
the Payment Bond shall remain in full force and effect through the guarantee period.
The CONTRACTOR's obligations under this clause are in addition to the CONTRACTOR's
other express or implied assurances under this Contract, including but not limited to specific
manufacturer or other extended warranties specified in the Plans and Specifications, or state
law and in no way diminish any other rights that OCSD may have against the CONTRACTOR
for faulty materials, equipment or Work.
SECTION-20 ASSIGNMENT
No assignment by the CONTRACTOR of this Contract or any part hereof, or of funds to be
received hereunder, will be recognized by OCSD unless such assignment has had prior written
approval and consent of OCSD and the Surety.
SECTION—21 RESOLUTION OF DISPUTES
OCSD and the CONTRACTOR shall comply with the provisions of California Public Contract
Code Section 20104 at. seq., regarding resolution of construction claims for any Claims which
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arise between the CONTRACTOR and OCSD, as well as all applicable dispute and Claims
provisions as set forth in the General Conditions and as otherwise required by law.
SECTION—22 SAFETY & HEALTH
CONTRACTOR shall comply with all applicable safety and health requirements mandated by
federal, state, city and/or public agency codes, permits, ordinances, regulations, and laws, as
well as these Contract Documents, including but not limited to the General Requirements,
Section entitled "Safety" and Exhibit B OCSD Safety Standards.
SECTION-23 NOTICES
Any notice required or permitted under this Contract may be given by ordinary mail at the
address set forth below. Any parry whose address changes shall notify the other party in
writing.
TO OCSD: Orange County Sanitation District
10844 Ellis Avenue
Fountain Valley, California 92708-7018
Attn: Clerk of the Board
Copy to: Orange County Sanitation District
10844 Ellis Avenue
Fountain Valley, California 92708-7018
Attn: Construction Manager
Bradley R. Hogin, Esquire
Woodruff, Spradlin & Smart
555 Anton Boulevard
Suite 1200
Costa Mesa, California 92626
TO CONTRACTOR: Myers & Sons Construction, LLC
4600 Northgate Blvd., Suite 100
Sacramento, CA 95834
Copy to: Clinton W. Myers, Vice President
Myers & Sons Construction, LLC
4600 Northgate Blvd., Suite 100
Sacramento, CA 95834
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IN WITNESS WHEREOF, the parties hereto have executed this Contract Agreement as the
date first hereinabove written.
CONTRACTOR: Myers &Sons Construction, LLC
4600 Northgate Blvd., Suite 100
Sacramento, CA 95834
By
Printed Name
Its
CONTRACTOR's State License No. 1033752 (Expiration Date— 12/31/2019)
OCSD: Orange County Sanitation District
By
David John Shawver
Board Chairman
By
Kelly A. Lore
Clerk of the Board
By
Marc Dubois
Contracts, Purchasing and Materials
Management Manager
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EXHIBIT A
SCHEDULE OF PRICES
C-EXA-080414
TABLE OF CONTENTS
EXHIBIT A
SCHEDULE OF PRICES
EXA-1 BASIS OF COMPENSATION.............................................................................1
EXA-2 PROGRESS PAYMENTS ..................................................................................1
EXA-3 RETENTION AND ESCROW ACCOUNTS........................................................1
EXA-4 STOP PAYMENT NOTICE.................................................................................3
EXA-5 PAYMENT TO SUBCONTRACTORS................................................................3
EXA-6 PAYMENT OF TAXES .......................................................................................3
EXA-7 FINAL PAYMENT...............................................................................................4
EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT...5
ATTACHMENT 1 -CERTIFICATION FOR REQUEST FOR PAYMENT.........................7
ATTACHMENT 2-SCHEDULE OF PRICES...................................................................8
C-EXA-080414
EXHIBIT A
SCHEDULE OF PRICES
EXA-1 BASIS OF COMPENSATION
CONTRACTOR will be paid the Contract Price according to the Schedule of
Prices, and all other applicable terms and conditions of the Contract
Documents.
EXA-2 PROGRESSPAYMENTS
Progress payments will be made in accordance with all applicable terms and
conditions of the Contract Documents, including, but not limited to:
1. Contract Agreement—Section 11 —"Contract Price and Method of
Payment;"
2. General Conditions—"Payment—General";
3. General Conditions—"Payment—Applications for Payment';
4. General Conditions—"Payment— Mobilization Payment Requirements;'
5. General Conditions—"Payment— Itemized Breakdown of Contract Lump
Sum Prices";
6. General Conditions—"Contract Price Adjustments and Payments";
7. General Conditions—"Suspension of Payments";
8. General Conditions—"OCSD's Right to Withhold Certain Amounts and
Make Application Thereof"; and
9. General Conditions—"Final Payment."
EXA-3 RETENTION AND ESCROW ACCOUNTS
A. Retention:
OCSD shall retain a percentage of each progress payment to assure
satisfactory completion of the Work. The amount to be retained from each
progress payment shall be determined as provided in General Conditions—
"Retained Funds; Substitution of Securities". In all contracts between
CONTRACTOR and its Subcontractors and/or Suppliers, the retention may not
exceed the percentage specified in the Contract Documents.
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B. Substitution of Securities:
CONTRACTOR may, at its sole expense, substitute securities as provided in
General Conditions—"Retained Funds; Substitution of Securities." Payment of
Escrow Agent:
In lieu of substitution of securities as provided above, the CONTRACTOR may
request and OCSD shall make payment of retention earned directly to the
escrow agent at the expense of the CONTRACTOR. At the expense of the
CONTRACTOR, the CONTRACTOR may direct the investment of the
payments into securities consistent with Government Code §16430 and the
CONTRACTOR shall receive the interest earned on the investments upon the
same terms provided for in this article for securities deposited by the
CONTRACTOR. Upon satisfactory completion of the Contract, the
CONTRACTOR shall receive from the escrow agent all securities, interest and
payments received by the escrow agent from OCSD, pursuant to the terms of
this article. The CONTRACTOR shall pay to each Subcontractor, not later than
twenty (20)calendar days after receipt of the payment, the respective amount
of interest earned, net of costs attributed to retention withheld from each
Subcontractor, on the amount of retention withheld to ensure the performance
of the Subcontractor. The escrow agreement used by the escrow agent
pursuant to this article shall be substantially similar to the form set forth in
§22300 of the California Public Contract Code.
C. Release of Retention:
Upon Final Acceptance of the Work, the CONTRACTOR shall submit an
invoice for release of retention in accordance with the terms of the Contract.
D. Additional Deductibles:
In addition to the retentions described above, OCSD may deduct from each
progress payment any or all of the following:
1. Liquidated Damages that have occurred as of the date of the application for
progress payment;
2. Deductions from previous progress payments already paid, due to OCSD's
discovery of deficiencies in the Work or non-compliance with the
Specifications or any other requirement of the Contract;
3. Sums expended by OCSD in performing any of the CONTRACTOR'S
obligations under the Contract that the CONTRACTOR has failed to
perform, and;
4. Other sums that OCSD is entitled to recover from the CONTRACTOR
under the terms of the Contract, including without limitation insurance
deductibles and assessments.
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The failure of OCSD to deduct any of the above-identified sums from a
progress payment shall not constitute a waiver of OCSD's right to such sums or
to deduct them from a later progress payment.
EXA-4 STOP PAYMENT NOTICE
In addition to other amounts properly withheld under this article or under other
provisions of the Contract, OCSD shall retain from progress payments
otherwise due the CONTRACTOR an amount equal to one hundred twenty-five
percent (125%)of the amount claimed under any stop payment notice under
Civil Code §9350 at. seq. or other lien filed against the CONTRACTOR for
labor, materials, supplies, equipment, and any other thing of value claimed to
have been furnished to and/or incorporated into the Work; or for any other
alleged contribution thereto. In addition to the foregoing and in accordance with
Civil Code§9358 OCSD may also satisfy its duty to withhold funds for stop
payment notices by refusing to release funds held in escrow pursuant to public
receipt of a release of stop payment notice executed by a stop payment notice
claimant, a stop payment notice release bond, an order of a court of competent
jurisdiction, or other evidence satisfactory to OCSD that the CONTRACTOR
has resolved such claim by settlement.
EXA-5 PAYMENT TO SUBCONTRACTORS
Requirements
1. The CONTRACTOR shall pay all Subcontractors for and on account of
Work performed by such Subcontractors, not later than seven (7) days after
receipt of each progress payment as required by the California Business
and Professions Code §7108.5. Such payments to Subcontractors shall be
based on the measurements and estimates made pursuant to article
progress payments provided herein.
2. Except as specifically provided by law, the CONTRACTOR shall pay all
Subcontractors any and all retention due and owing for and on account of
Work performed by such Subcontractors not later than seven (7)days after
CONTRACTOR'S receipt of said retention proceeds from OCSD as
required by the California Public Contract Code§7107.
EXA-6 PAYMENT OF TAXES
Unless otherwise specifically provided in this Contract, the Contract Price
includes full compensation to the CONTRACTOR for all taxes. The
CONTRACTOR shall pay all federal, state, and local taxes, and duties
applicable to and assessable against any Work, including but not limited to
retail sales and use, transportation, export, import, business, and special taxes.
The CONTRACTOR shall ascertain and pay the taxes when due. The
CONTRACTOR will maintain auditable records, subject to OCSD reviews,
confirming that tax payments are current at all times.
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EXA-7 FINAL PAYMENT
After Final Acceptance of the Work, as more particularly set forth in the
General Conditions, "Final Acceptance and Final Completion", and after
Resolution of the Board authorizing final payment and satisfaction of the
requirements as more particularly set forth in General Conditions—"Final
Payment", a final payment will be made as follows:
1. Prior to Final Acceptance, the CONTRACTOR shall prepare and submit an
application for Final Payment to OCSD, including:
a. The proposed total amount due the CONTRACTOR, segregated by
items on the payment schedule, amendments, Change Orders, and
other bases for payment;
b. Deductions for prior progress payments;
c. Amounts retained;
d. A conditional waiver and release on final payment for each
Subcontractor(per Civil Code Section 8136);
e. A conditional waiver and release on final payment on behalf of the
CONTRACTOR (per Civil Code Section 8136);
f. List of Claims the CONTRACTOR intends to file at that time or a
statement that no Claims will be filed,
g. List of pending unsettled claims, stating claimed amounts, and copies of
any and all complaints and/or demands for arbitration received by the
CONTRACTOR; and
h. For each and every claim that resulted in litigation or arbitration which
the CONTRACTOR has settled, a conformed copy of the Request for
Dismissal with prejudice or other satisfactory evidence the arbitration is
resolved.
2. The application for Final Payment shall include complete and legally
effective releases or waivers of liens and stop payment notices satisfactory
to OCSD, arising out of or filed in connection with the Work. Prior progress
payments shall be subject to correction in OCSD's review of the application
for Final Payment. Claims filed with the application for Final Payment must
be otherwise timely under the Contract and applicable law.
3. Within a reasonable time, OCSD will review the CONTRACTOR'S
application for Final Payment. Any recommended changes or corrections
will then be forwarded to the CONTRACTOR. Within ten (10) calendar days
after receipt of recommended changes from OCSD, the CONTRACTOR will
make the changes, or list Claims that will be filed as a result of the
changes, and shall submit the revised application for Final Payment. Upon
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acceptance by OCSD, the revised application for Final Payment will
become the approved application for Final Payment.
4. If no Claims have been filed with the initial or any revised application for
Final Payment, and no Claims remain unsettled within thirty-five (35)
calendar days after Final Acceptance of the Work by OCSD, and
agreements are reached on all issues regarding the application for Final
Payment, OCSD, in exchange for an executed release, satisfactory in form
and substance to OCSD, will pay the entire sum found due on the approved
application for Final Payment, including the amount, if any, allowed on
settled Claims.
5. The release from the CONTRACTOR shall be from any and all Claims
arising under the Contract, except for Claims that with the concurrence of
OCSD are specifically reserved, and shall release and waive all unreserved
Claims against OCSD and its officers, directors, employees and authorized
representatives. The release shall be accompanied by a certification by the
CONTRACTOR that:
a. It has resolved all Subcontractors, Suppliers and other Claims that are
related to the settled Claims included in the Final Payment;
b. It has no reason to believe that any party has a valid claim against the
CONTRACTOR or OCSD which has not been communicated in writing
by the CONTRACTOR to OCSD as of the date of the certificate;
c. All warranties are in full force and effect, and;
d. The releases and the warranties shall survive Final Payment.
6. If any claims remain open, OCSD may make Final Payment subject to
resolution of those claims. OCSD may withhold from the Final Payment an
amount not to exceed one hundred fifty percent (150%) of the sum of the
amounts of the open claims, and one hundred twenty-five percent (125%)
of the amounts of open stop payment notices referred to in article entitled
stop payment notices herein.
7. The CONTRACTOR shall provide an unconditional waiver and release on
final payment from each Subcontractor and Supplier providing Work under
the Contract(per Civil Code Section 8138) and an unconditional waiver and
release on final payment on behalf of the CONTRACTOR (per Civil Code
Section 8138)within thirty (30)days of receipt of Final Payment.
EXA-8 DISCOVERY OF DEFICIENCIES BEFORE AND AFTER FINAL PAYMENT
Notwithstanding OCSD's acceptance of the application for Final Payment and
irrespective of whether it is before or after Final Payment has been made,
OCSD shall not be precluded from subsequently showing that:
1. The true and correct amount payable for the Work is different from that
previously accepted;
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2. The previously-accepted Work did not in fact conform to the Contract
requirements, or;
3. A previous payment or portion thereof for Work was improperly made.
OCSD also shall not be stopped from demanding and recovering damages
from the CONTRACTOR, as appropriate, under any of the foregoing
circumstances as permitted under the Contract or applicable law.
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ATTACHMENT 1 —CERTIFICATION FOR REQUEST FOR PAYMENT
I hereby certify under penalty of perjury as follows:
That the claim for payment is in all respects true, correct; that the services mentioned
herein were actually rendered and/or supplies delivered to OCSD in accordance with the
Contract.
I understand that it is a violation of both the federal and California False Claims Ads to
knowingly present or cause to be presented to OCSD a false claim for payment or
approval.
A claim includes a demand or request for money. It is also a violation of the False
Claims Acts to knowingly make use of a false record or statement to get a false claim
paid. The term "knowingly" includes either actual knowledge of the information,
deliberate ignorance of the truth or falsity of the information, or reckless disregard for the
truth or falsity of the information. Proof of specific intent to defraud is not necessary
under the False Claims Acts. I understand that the penalties under the Federal False
Claims Ad and State of California False Claims Act are non-exclusive, and are in
addition to any other remedies which OCSD may have either under contract or law.
I hereby further certify, to the best of my knowledge and belief, that:
1. The amounts requested are only for performance in accordance with the
Specifications, terms, and conditions of the Contract;
2. Payments to Subcontractors and Suppliers have been made from previous payments
received under the Contract, and timely payments will be made from the proceeds of
the payment covered by this certification;
3. This request for progress payments does not include any amounts which the prime
CONTRACTOR intends to withhold or retain from a Subcontractor or Supplier in
accordance with the terms and conditions of the subcontract; and
4. This certification is not to be construed as Final Acceptance of a Subcontractors
performance.
Name
Title
Dale
C-EXA-080414
CONTRACT NO. P2-98B
B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
CONFORMED
Page 7 of 8
ATTACHMENT 2—SCHEDULE OF PRICES
See next pages for Bid Submittal Forms (Myers &Sons Construction, LLC)
BF-14 SCHEDULE OF PRICES, Page 1-3
C-EXA-080414
CONTRACT NO. P2-9813
B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
CONFORMED
Page 8 of 8
Bid Submitted By: Myers&Sons Construction,LLC
(Name W Firm)
BF44 SCHEDULE OF PRICES
INSTRUCTIONS
A. General
For Unit Prices,R is understood that the following quantities are approximate only and are
solely for the purpose of estimating the comparison of Bids, and that the actual value of Work
will be computed based upon the actual quantities in the completed Work, whether they be
more or less than those shown. CONTRACTOR'S compensation for the Work under the
Contract Documents will be computed based upon the lump sum amount of the Contract at
time of award, plus any additional or deleted costs approved by OCSD via approved Change
Orders,pursuant to the Contract Documents.
Bidder shall separately price and accurately reflect costs associated with each line Rem,
leaving no blanks. Any and all modifications to the Bid must be initialed by an authorized
representative of the Bidder in accordance with the Instructions to Bidders, Preparation of Bid.
Bidders are reminded of Instruction to Bidders, Discrepancy in Bid Items,which, in summary,
provides that the total price for each item shall be based on the Unit Price listed for each Rem
multiplied by the quantity: and the correct Total Price for each Rem shall be totaled to
determine the Total Amount of Bid.
All applicable costs including overhead and profit shell be reflected in the respective unit costs
and the TOTAL AMOUNT OF BID. The Bid price shall include all costs to complete the Work
including profit overhead etc unless otherwise specified in the Contract Documents All
applicable sales taxes state and/or federal and any other special taxes Patent rights or
royalties shall be included in the Prices quoted in this Bid
B. Basis of Award
AWARD OF THE CONTRACT WILL BE MADE ON THE BASIS OF THE LOWEST
RESPONSIVE AND RESPONSIBLE BID.
Note 1: Base Bid. Includes all costs necessary to furnish all labor, materials, equipment and
services for the construction of the Project per the Contract Documents,
BF-14 SCHEDULE OF PRICES C-SF-121817
CONTRACT NO, P2.888
B/CSME PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Pepe 1 of 3
Bid Submitted By: Myers&Sons Construction,LLC
(Name of Firm)
EXHIBIT A
SCHEDULE OF PRICES
All Work in the Contract Documents shall be included in Base Bid Items.
Bidders shall accurately reflect the cost to perform the Work. OCSD may reject unbalanced Bids. Refer to Part 2—INSTRUCTIONS TO BIDDERS.
BASE BID ITEMS (Refer to Note 1 in the Instructions):
It..
Unit APProx Unit Price Extended Price
No. Description
Measurement
ent oty
1. Mobilization as described in Section 01115, Section 01155 and in Lump Sum $ 270,000.00
conformance with the Contract Documents for the lump sum price of...
2. Concrete Crack Repair—Epoxy Injection Adhesive as described in r
Division 01, Section 01155 and in conformance with the Contract Linear
1,500 x
Documents for the unit price of... Feet
3. Spelled and Fractured Concrete Repair as described in Division 01, Square qr1f�/�
Section 01155 and in conformance with the Contract Documents for the unit Feet 100 x
price of...
4. All other portions of the Work set forth in the Contract Documents
except for the Work performed in Items No.1 through 3, inclusive and
Items No.5 through 9, inclusive as described in Division 01, Section Lump Sum �M-
01155 and in conformance with the Contract Documents for the lump sum
price of...
5. Additional Reinforcing Steel for Structural Rehabilitation of 96"Influent Piping as described t Division Section and in Steel 150 x $ _
conformance with the Contract Documentsis for the unitt price
Pounds of price of...
6. Additional Replacement of Interior Steel Mechanism Steel Members as
directed by the ENGINEER, and as described in Division 01, Section Pound of 5,000 x $I I _ $ r
01155 and in conformance with the Contract Documents for the unit rice of Steel /
BF-14 SCHEDULE OF PRICES C-BF-121817
CONTRACT NO. P2-98B
B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 2 of 3
BidSubmitted By: Myers&Sons Construction,LLC
(Name of Firm)
EXHIBIT A
SCHEDULE OF PRICES
(continued)
ItemUnit of
No. Description Measurement city x Unit Price ExlenEed Price
7. Additional Welding of Additional Interior Steel Mechanism Steel
Members as directed by the ENGINEER, and as described in Division 01, Linear Section 01155 and in conformance with the Contract Documents for the unit Feet 300 x �F
price of... 1�� _ $T�r�
8. Metal Filler Repair of Interior Steel Mechanisms as directed by the
ENGINEER, and as described in Division 01, Section 01155 and in Kilograms 250 x $L _
conformance with the Contract Documents for the unit price of..
9. Demobilization including completion of all items on final punch list,
final cleanup and processing of final progress payment request, in Lump Sum $ 180,000.00
conformance with the Contract Documents for a lump sum price of...
TOTAL AMOUNT OF BID (BASIS OF AWARD)
IMPORTANT NOTICE TO BIDDERS:
Bid Items No. 1 through No.9 will be used to determine the lowest, responsive, responsible Bidder.
All Work in the Contract Documents shall be included in Bid Items No. 1 through No. 9 above.
BF-14 SCHEDULE OF PRICES C-BF-121817
CONTRACT NO. P2-98B
B/C-SIDE PRIMARY CLARIFIERS INTERIM REPAIR AT PLANT 2
Page 3 of 3
�I•1 Ii �r`i r -ui
Primary Treatment Rehabilitation at Plant 2, Project No. P2-98
B/C-Side Interim Repair at Plant No. 2, Contract No. P2-98B
Operations Committee Presentation
January 16, 2019 Y ••,
Plant 2 Site Plan
T 3d'/
,,.,OperationsCenter �
Major Project Elements
• A, B, and C-Side �i
Primary Clarifiers moRreBCRuee[R -- -. ° J " '
COMVIE% M � 5
( 14 total )
B SIDE �� ASIDE
• Odor Control 'a
-.., ,, % pISTRIBUTION STRUCTURE B L+y,
• Power Distribution +=-
• Utility Tunnels _ .
• Yard Piping ; DISTRIBUTION STRUCTURE c 7
a �
+ ..A
A-Side Primary Clarifiers Require
Replacement
,RM
• Built between 1960 and
1963
• Portions of structures have
severe corrosion
• Failed clarifier mechanisms
• Subject to liquefaction in
earthquake
i
n
' ''tea-.,`__' - �, � •�J
w �
mn
irEEmx w.m
rw �• r +* E � YI
0 , .� MO.
_.
CL
-El _ °AIFIE FAULT
D.Er E mcE uvi V
r N
Em •."�S j. \ows { y
N y
l0 J
00
a
Why Move the A-Side Clarifiers ?
• Avoid construction over active fault.
• Existing A-Side clarifiers remain available during
construction — avoids delay of OCWD GWRS Expansion .
• Frees larger area for future secondary process to
replace aging Activated Sludge Plant
B/C -Side Clarifiers Require
Rehabilitation
• B-Side built between 1967 and 1972 - ' `4T-�
W.
• C-Side built between 1983 and 1985
i( .r
• Mild-to-moderate structural damaged
from corrosion L
• Corroded clarifier mechanisms and cover
supports
yy a i
rr r*
PHASED PROJECTS FACILITATES
CONSTRUCTION
P2-98A: Replace A-Side
primary clarifiers; new
odor control system and P2 -98A
power distribution; and
infrastructure Design Construction
improvements
P2:98B: Provide short- 4 N N N N N N N
term repairs (15-year life) W o D D A o
for B/C-Sides primary Design Construction
clarifiers
P2-98C (now P2-133):
P2 -98B
Provide long- term repairs
(+20 years) for B/C-Sides Construction starts 2029
primary clarifiers and new
odor control system
B/C -Side Interim Repair at Plant No. 2
Contract No. P2 -9813
Major Contract Elements
• Repair of cracks in concrete pipe and structural
walls .
• Repair of clarifiers' steel mechanism .
• Lining of process piping .
P2 =9813 : Clarifier Concrete Repair
{
ii"ii7i Ji r' //i11 S � LY1'i AAVy
r
PRIMARY CLARIFIER
►, - - 140 DIA
.. _,mil�C� l►a�l�� �
P2 =98B : Concrete Pipe
Corrosion
96-inch Concrete Pipe Repair 96-inch Concrete Pipe Repair
Reinforcing steel exposure in crown Reinforcing steel exposure
Typical Clarifier Mechanism
- r
Typical Clarifier Mechanism
t�
P2-9813 : Clarifier Steel Corrosion
}� 4
Structural steel around
the center column
De-lamination
Al-
Dome supports at C ari ier
• Results
Bidder Amount of Bid
Myers & Sons Construction, LLC $8,665,000
Shimmick Construction Company, Inc. $8,755,500
Stanek Constructors, Inc. $10,055,000
Abhe & Svoboda, Inc. $11,365,426
Tharsos, Inc. $12, 151,406
Engineer's : • • • • • 1
Recommendation :
PCSA
• Approve a Professional Construction Services (PCSA)
Agreement with Black & Veatch Corporation to provide
construction support services for B/C-Side Primary
Clarifiers Interim Repair at Plant No. 2, Contract No. P2-
98B , for a total amount not to exceed $549,534; and
• Approve a contingency of $54 ,953 ( 10%)
Recommendation :
Construction Contract
• Award a Construction Contract to Myers & Sons
Construction , LLC for B/C-Side Primary Clarifiers
Interim Repair at Plant No. 2, Contract No. P2-9813, for
a total amount not to exceed $8,665,000; and
• Approve a contingency of $866,500 ( 10%)
Questions ?
STEERING COMMITTEE Neetingoae TOEAl/191'
Ol/23/19 Ol/23/19
AGENDA REPORT em Number Item Numbe
2 13
Orange County Sanitation District
FROM: James D. Herberg, General Manager
SUBJECT: GENERAL MANAGER'S FY 2018-2019 WORK PLAN MID-YEAR
UPDATE
GENERAL MANAGER'S RECOMMENDATION
Receive and file the General Manager's FY 2018-2019 Work Plan Mid-Year Update and
Memorandum.
BACKGROUND
Each year, the General Manager prepares a work plan of activities to be accomplished
during the fiscal year. Attached is the mid-year update for the General Manager's
FY 2018-2019 work plan.
RELEVANT STANDARDS
• Maintain a culture of improving efficiency to reduce the cost to provide the
current service level or standard
• Plan for and execute succession, minimizing vacant position times
• Cultivate a highly qualified, well-trained, and diverse workforce
• Maintain and adhere to appropriate internal planning documents: Biosolids,
Odor, and Energy Master Plans
• Use all practical and effective means for resource recovery
PRIOR COMMITTEE/BOARD ACTIONS
September 2018 - Presentation of the General Manager's FY 2018-2019 Work Plan to
the Steering Committee and Board of Directors for approval.
August 2018 - Draft work plan reviewed by the Steering Committee.
ADDITIONAL INFORMATION
The General Manager's work plan includes goals for the fiscal year. At mid-year, six
items have reached completion and all remaining items are on track to be completed by
or prior to the end of the fiscal year and the deadline of the overall work plan.
Page 1 d 2
FINANCIAL CONSIDERATIONS
All items included in the General Manager's Work Plan are budgeted in the
FY 2018-2019 Budget.
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.coml with the
complete agenda package:
• General Manager's FY 2018-2019 Work Plan Mid-Year Update and
Memorandum
Page 2 of 2
ORANGE COUNTY SANITATION DISTRICT
Memorandum
January 23, 2019
TO: Chairman and Members of the Board of Directors
FROM: James D. Herberg, General Manager
SUBJECT: General Manager's Fiscal Year 2018-2019 Work Plan Mid-Year Update
I am pleased to present the mid-year update for my Fiscal Year 2018-2019 work plan. The work
plan includes 19 goals organized under five focus areas including safety and security,succession
planning, resource recovery, reliability, and operational optimization. The draft work plan was
reviewed with the Steering Committee in August 2018 and approved bythe Steering Committee
and Board of Directors in September 2018.
1. Safety and Security
• Emergency Preparedness — Develop and conduct an external emergency response
and recovery drill by June 30, 2019 that tests the Integrated Emergency Response
Plan (IERP).
UPDATE: In lieu of developing our own external emergency response and recovery
drill, Orange County Sanitation District (OCSD) will participate in the 2019 Orange
Crush Regional Emergency Preparedness and Training Exercise in January 2019. This
county-wide exercise will use a scenario of a magnitude 7.8 earthquake strike along
the San Andreas Fault. A full Emergency Operations Center (EOC) activation will
occur for this functional exercise and give OCSD the opportunity to test the IERP, as
intended.
• Safety Engineering Solutions — Continue the 11 Safety Improvement Construction
Projects and implement physical site security enhancements as needed to ensure all
facilities remain secure. All identified safety improvement contracts and task orders
are awarded by May 30, 2019.
UPDATE: Risk Management continues to provide support for design and
construction review for the 11 Safety Improvement Construction Projects and
monitor recommended interim measures to ensure safety and security is
maintained.
• Voluntary Protection Plan (VPP) Certification —Complete a full review and audit of
all Safety and Health policies, conduct a third-party VPP readiness assessment, and
draft a VPP implementation plan by June 30, 2019.
UPDATE: A third-party VPP readiness assessment was completed by Arcadis in
August2018. The audit findings were presented to the Executive Management Team
(EMT) in December 2018. Risk Management will present VPP implementation
strategies to the EMT in January 2019.
• Safety Help Desk — Create a Safety Help Desk Program by June 30, 2019 with
software and in-house telephone extension monitored by Risk Management staff,
intended to provide internal customers with prompt information and support related
to health and safety services. Services include but are not limited to:
troubleshooting safety problems,scheduling contractor orientation,or getting policy
guidance.
UPDATE: The new Medgate/Cority Safety Management (Cority) software module
went live in July 2018. Cority will be the software program used for online safety
requests. Risk Management will continue to work with IT to develop the necessary
forms and incorporate a telephone extension to respond to employee inquiries and
provide customer service on safety requests.
Page 2
• Security Committee & Plan — Reconvene the Security Committee to facilitate
development and implementation of a Physical and Cyber Security Plan by March 31,
2019.
UPDATE: In December 2018 the EMT provided direction regarding committee
member composition. Risk Management is developing a Physical and Cyber
Committee policy and will conduct the first Committee meeting in January 2019.
2. Succession Planning
• Realignment of Operations, Maintenance & Engineering (Maintenance Mode) —
Assess the roles and responsibilities of each department and workgroup within the
Operations and Maintenance and Engineering Departments and adjust the structure
and roles to more efficiently support delivery of services to operate, maintain,
refurbish, and replace OCSD assets by November 30, 2018. Make the necessary
adjustments to the organization by March 31, 2019.
UPDATE: An Operations and Maintenance and Engineering realignment effort was
designed by the managers of the two departments. The realignment was designed
around asset management principles with clearer roles and responsibilities between
work groups and improved technical support of craft labor and operations. The plan
was rolled out to staff in November 2018 and will be fully implemented in January
2019.
• Labor Negotiations — Complete successful negotiations with all represented
bargaining units by June 30, 2019.
UPDATE: OCSD has successfully selected a Chief Negotiator and Human Resources
is currently working with management to develop bargaining topics for negotiations.
Letters have been received from two of the three bargaining unit representatives,
Local S01 and Supervisor and Professional Management Team (SPMT), to begin
negotiations. Negotiations are expected to kick off in January 2019.
Page 3
• Leadership Development— Provide at least two specialized trainings tailored to the
Supervisory Level by June 30, 2019.
UPDATE: Human Resources is currently working with OCSD's Workers
Compensation Consultant to develop training content targeted for supervisors and
above to provide the tools and resources needed to address issues at the onset.
3. Resource Recovery
• Water QualityforWater Recycling—Update OCSD's wastewater ordinance to reflect
necessary discharge regulations resulting from alkaline hydrolysis to protect water
quality by June 30, 2019.
UPDATE: The draft amendment language to OCSD's wastewater ordinance has been
submitted to General Counsel for review. The update of the ordinance is on track to
be updated before the end of the fiscal year.
4. Reliability
• Asset Management Plan — Develop an Asset Management Plan by
October 31, 2018 that includes an inventory of critical assets for each process area,
the collection system, and fleet; an evaluation of their condition and performance;
and a budgeting and implementation plan to maintain, rehabilitate, and replace
these assets to meet the required levels of service at the lowest life cycle cost and
at an acceptable level of risk.
UPDATE: An Asset Management Intranet site with all the required information was
developed in October 2018 and is live. Staff is in the second annual update cycle.
A published annual report will be printed at the completion of the second cycle to
support the budgeting process.
5. Operational Optimization
• OCSD Headquarters Building — Create a final concept plan for the new building
complex north of Ellis Avenue by February 28, 2019.
Page 4
UPDATE: Two special meetings of the Headquarters Complex Ad-Hoc Committee
took place in October and November to provide information to Committee
members about the proposed project and the preliminary design concepts leading
up to the current layout. OCSD Managers met in December to review renderings
of the proposed layout. The final concept plan for the new headquarters building
is on track for completion by February 28, 2019.
• Board Meeting Agenda Management Software System — Select and install a new
Board Meeting Agenda Management Software System by June 30, 2019.
UPDATE: The Granicus project kick-off meeting took place on January 7, 2019. The
project is on schedule to be completed by June 30, 2019.
Document Management—In preparation for creating a more digital workplace and
reducing physical record storage, develop a Scope of Work by November 30, 2018
to issue a Request for Proposals for a Trusted System Needs Assessment and award
a contract by February 28, 2019. Present the records retention schedule to the
Board of Directors for approval by December 31, 2018.
UPDATE: A Scope of Workwas developed in preparation for creating a more digital
workplace and reducing physical record storage. The RFP will be advertised in
January 2019 with submittals also due in January 2019. The RFP Award is on
schedule to be completed by February 2019. The Records Retention Schedule was
approved at the December 2018 Board Meeting with a recommendation to adopt
the Records Management Program Policy and Procedures & Updated Records
Retention Schedule, Authorizing Destruction of Obsolete Records.
• Sludge Dewatering and Odor Control Plant No. 1—Begin production ofdewatered
biosolids cake by March 31, 2019.
UPDATE: Commissioning of the dewatering systems has begun. The first
dewatered cake was produced in November 2018. Reliability Acceptance Testing
is scheduled to be complete in March 2019.
Page 5
• American Society of Civil Engineers Peer Review—Complete a peer review of the
Engineering Department's Capital Improvement Program delivery system by the
American Society of Civil Engineers (ASCE) by May 31, 2019.
UPDATE: Arrangements are being made with ASCE for a spring peer review of the
Engineering Department's Capital Improvement Program delivery system.
• Communications Audit—Develop scope of work and issue RFP by June 30, 2019 to
select a firm to conduct a communications audit to review the effectiveness of
OCSD's communication efforts to redefine and rescope the program.
UPDATE: Preliminary discussions about scope of work development have
commenced in preparation to issue an RFP by June 2019 to select a firm to conduct
a communications audit to review the effectiveness of OCSD's communication
efforts.
• Lobbyist Contract—Complete selection and contract implementation of legislative
lobbyist contracts by December 31, 2018.
UPDATE: In November 2018 professional agreements with Townsend Public
Affairs, Inc. for State Legislative Services and ENS Resources for Federal Legislative
Services were approved.
• Return to Work Program — Develop a formal Return to Work Program to
communicate expectations of what is expected of all parties (employees,
supervisors, physicians, etc.) by June 30, 2019.
UPDATE: Human Resources staff completed their research on Return to Work
programs and established a project team to develop program guidelines and
implement a formal Return to Work Policy. The program will be presented to the
EMT in April 2019, and a District-wide training will be offered prior to
implementation in July 2019.
Page 6
WOODRUFF SPRADUN&SMART CLOSED SESSION 1
• A . . . P . , . . . .
555 ANTON BOVLCVAND, 6VIrZ 1200
COSTA MESA, CA 92626-7670
(714)558-9000
MEMORANDUM
TO: Hon. Chair and Members of the Orange County Sanitation District Board of
Directors
FROM: Bradley R. Hogin, Esq.
General Counsel
DATE: January 16,2019
RE: Closed Session Items
The Board of Directors will hold a closed session on January 23, 2019 for the purpose of
conferring with its negotiators regarding the purchase of real property. The negotiating parties
and properties are as follows: Springed, LLC, 16001 Springdale Street, Huntington Beach CA. The
District's negotiators are General Manager Jim Herberg and Assistant General Manager Robert
Thompson. Said closed session will be held pursuant to authority of California Government Code
Section 54956.8.
Respectfully submitted,
By. /J
Bradley R. Hogin, ejeneral Counsel
1325N5.1
WOODRUFF SPRADIJN&SMART
♦ A . . . P . , . . . . .
555 ANTON BOVLCVAND, 6VIrZ 1200
COSTA MESA, CA 92626-7670
(714)558-9000
MEMORANDUM
TO: Hon. Chair and Members of the Orange County Sanitation District Board of
Directors
FROM: Bradley R. Hogin, Esq.
General Counsel
DATE: January 16,2019
RE: Closed Session Items
The Board of Directors will hold a closed session on January 23, 2019 for the purpose of
conferring with its negotiators regarding the purchase of real property. The negotiating parties
and properties are as follows: Orange County Flood Control District, vacant land on southwest
comer of Grabam Street and Edinger Avenue. The District's negotiators are General Manager Jim
Herberg and Assistant General Manager Robert Thompson. Said closed session will be held
pursuant to authority of California Government Code Section 54956.8.
Respectfully submitted,
By. /J
Bradley R. Hogin, ejeneral Counsel
1325045.1
WOODRUFF, SPRADllNeSMA1Ci CLOSED SESSION 2
555 ANION BOULEVARD, BUTTE 1200
COS1A M.s A, CA 92626-7670
(714)559-7000
MEMORANDUM
TO: Hon. Chair and Members of the Orange County Sanitation District Board of
Directors
FROM: Bradley R. Hogin, Esq.
General Counsel
DATE: January 16, 2019
RE: Closed Session Items
The Board of Directors desires to hold a closed session on January 23,2019 for the
purpose of conferring with its legal counsel regarding potential litigation. Based on existing
facts and circumstances, the Committee is deciding whether to initiate litigation against another
party. The closed session will be held pursuant to the authority of California Government Code
Section 54956.9(d)(4). The facts and circumstances are as follows: the homes, hardscape, and/or
landscaping at the following addresses were improperly constructed on top of the District's
pipeline easement for the Los Alamitos Sub-Trunk, and interfere with the easement: 8192
Willow Drive, 8201 Denni Street, 8191 Willow Drive, and 8187 Willow Drive, all in the City of
Cypress. The District may need to initiate litigation in order clear the easement and replace the
Los Alamitos Sub-Trunk as part of the Western Regional Sewer Rehabilitation Project.
Respec i submitted,
By:
Bradley P. Hogin, G eral Counsel
1376996.1
WOODRUFF, SPRADLIN&SMART CLOSED SESSION 3
555 ANION BOULEVARD, BUTTE 1200
COSTA M.s A, CA 92626-7670
(714)559-7000
MEMORANDUM
TO: Hon. Chair and Members of the Orange County Sanitation District Board of
Directors
FROM: Bradley R. Hogin, Esq.
General Counsel
DATE: January 16, 2019
RE: Closed Session Items
The Board of Directors desires to hold a closed session on January 23,2019 for the
purpose of conferring with its legal counsel regarding existing litigation to which the District is a
party. The title of the case is Wesley Bauer v. Orange County Sanitation District, Orange
County Superior Court, Central Justice Center, Court Case No. 30-2017-00956252. The closed
session will be held pursuant to the authority of California Government Code Section
54956.9(d)(1).
Respectfully submitted,
By
;411'� &
Bradley R. Hogin, Oeneral Counsel
1325047.1
ORANGE COUNTY SANITATION DISTRICT
COMMON ACRONYMS
ACWA Association of California LAFCO Local Agency Formation RWQCB Regional Water Quality
Water Agencies Commission Control Board
APWA American Public Works LOS Level Of Service SARFPA Santa Ana River Flood
Association Protection Agency
AQMD Air Quality Management MGD Million Gallons Per Day SARI Santa Ana River
District Interceptor
ASCE American Society of Civil MOU 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
California Air Resources National Environmental Supervisory Control And
CARB Board NEPA Policy Act SCADA Data Acquisition
California Association of Non-Governmental Southern California
CASA Sanitation Agencies NGOs Organizations SCAP 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 Sewer System
CRWQCe Quality Control Board OCCOG Governments SSMP Management Plan
CWA Clean Water Act OCHCA Orange County Health Care SSO Sanitary Sewer Overflow
Agency
California Water Environment Orange County Sanitation State Water Resources
CWEA Association OCSD District SWRCe Control Board
EIR Environmental Impact Report OCWD Orange County Water District TDS Total Dissolved Solids
EMT Executive Management Team COBS Ocean Outfall Booster Station TMDL Total Maximum Daily Load
EPA US Environmental Protection OSHA Occupational Safety and 7S5 Total Suspended Solids
Agency Health Administration
Professional Waste Discharge
FOG Fats,Oils,and Grease PCSA Consultant/Construction WDR Wastee Discharge
Services Agreement
gpd gallons per day PDSA Professional Design Services WEE Water Environment
Agreement Federation
GWRS Groundwater Replenishment POTW Publicly Owned Treatment WERE Water Environment&
System Works Reuse Foundation
ICS Incident Command System ppm pans per million WIFIA Water Infrastructure
Finance and Innovation Act
Integrated Emergency Professional Services Water Infrastructure
IERP Response Plan PSA Agreement WIIN Improvements for the
Nation Act
JPA Joint Powers Authority REP Request For Proposal WRDA Water Resources
Develo ment 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 (Dfr)—The dilution at which the majority of people detect the odor becomes the D/T for that air
sample.
GREENHOUSE GASES (GHG)— In the order of relative abundance water vapor, carbon dioxide, methane, nitrous oxide, and
ozone gases that are considered the cause of global warming("greenhouse stil .
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 both wastewater and urban runoff.
SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT (SCAQMD)—Regional regulatory agency that develops plans and
regulations designed to achieve public health standards by reducing emissions from business and industry.
SECONDARY TREATMENT— Biological wastewater treatment, particularly the activated sludge process, where bacteria and
other microorganisms consume dissolved nutrients in wastewater.
SLUDGE—Untreated solid material created by the treatment of wastewater.
TOTAL SUSPENDED SOLIDS(TSS)—The amount of solids floating and in suspension in wastewater.
TRICKLING FILTER—A biological secondary treatment process in which bacteria and other microorganisms,growing as slime
on the surface of rocks or plastic media,consume nutrients in wastewater as it trickles over them.
URBAN RUNOFF—Water from city streets and domestic properties that carry pollutants into the storm drains, rivers, lakes, and
oceans.
WASTEWATER—Any water that enters the sanitary sewer.
WATERSHED—A land area from which water drains to a particular water body.The Orange County Sanitation District's service
area is in the Santa Ana River Watershed.