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HomeMy WebLinkAbout12-19-2012 Board Meeting Agenda December 13, 2012 NOTICE OF REGULAR MEETING BOARD OF DIRECTORS ORANGE COUNTY SANITATION DISTRICT Wednesday, December 19, 2012 – 6:30 P.M. Administration Building 10844 Ellis Avenue Fountain Valley, California 92708 The Regular Meeting of the Board of Directors of the Orange County Sanitation District will be held at the above location, time and date. ____________________________ Clerk of the Board Steering Committee - Wednesday, January 23, 2013 at 5:00 p.m. Board Meeting - Wednesday, January 23, 2013 at 6:30 p.m. BOARD MEETING DATES *December 19, 2012 January 23, 2013 February 27, 2013 March 27, 2013 April 24, 2013 May 22, 2013 June 26, 2013 July 24, 2013 August 28, 2013 September 25, 2013 October 23, 2013 *November 20, 2013 *Meetings are being held on the third Wednesday of the month 12/19/12 OCSD Board of Directors’ Agenda Page 1 of 6 Orange County Sanitation District Regular Meeting of the Board of Directors Wednesday, December 19, 2012 6:30 P.M. Board Room 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7130 AGENDA INVOCATION AND PLEDGE OF ALLEGIANCE: (Prakash Narain, City of Cypress) DECLARATION OF QUORUM: ROLL CALL: 1. Receive and file Minute Excerpts of member agencies relating to appointments to the Orange County Sanitation District Board, as follows: City/Agency Active Director Alternate Director La Habra Tom Beamish Rose Espinoza PUBLIC COMMENTS: If you wish to speak, please complete a Speaker’s Form (located at the table outside of the Board Room) and give it to the Clerk of the Board. Speakers are requested to limit comments to three minutes. REPORTS: The Chair 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. CLAIMS: 2. Ratify payment of claims of the District, by roll call vote, as follows: Claims Paid for the Period Ending: 11/15/12 11/30/12 Totals $811,313.17 $8,344,840.50 DIRECTORS: Pursuant to Government Code Section 84308, you are required to disclose any campaign contribution greater than $250 received in the past twelve months from any party seeking a contract with OCSD. This requires that you identify the contributor by name. Further, you may not participate in the decision making process to award a contract to such party. For reference, you are directed to the Register of Warrants as to all current contractors/vendors with OCSD. For the specifics of Government Code Section 84308, please see your Director’s Handbook or call the office of General Counsel. 12/19/12 OCSD Board of Directors’ Agenda Page 2 of 6 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. 3. Approve minutes for the Regular Board Meeting held on November 28, 2012. 4. Deny Claim submitted by Statewide Safety & Signs, Inc., dba Statewide Traffic Safety & Signs and Direct Staff to Transmit a Written Denial of the Claim within 45 days of the date Statewide Safety & Signs submitted its claim. 5. Adopt Resolution No. OCSD 12-15, approving submitall of an application for the CalRecycle Tire-derived Product grants. 6. Execute a no cost Agreement with Southern California Gas Company to allow temporary access to Orange County Sanitation District sewer facilities for private lateral inspection purposes, in a form approved by General Counsel. 7. Approve Amendment No. 1 to the Cost Sharing Agreement for the Development of a Joint Project to Increase Nighttime Flow to GWRS and Redirect Microfiltration Backwash Waste Flows at Orange County Sanitation District, Plant No. 1. 8. Approve a Quitclaim Sewer Transfer Agreement between Orange County Sanitation District and the city of Huntington Beach transferring ownership of 103 linear feet of local sewer in Newland Avenue to the City at no cost to OCSD, in a form approved by General Counsel. 9. Adopt and implement the recommended policy edits to align with the implementation of the California Public Employees’ Pension Reform Act of 2013. STEERING COMMITTEE: 10. Approve Minutes of the November 28, 2012 Steering Committee Meeting. 11. Revise the recommendation of the approved July 28, 2010 report regarding the Santa Ana River Interceptor Line Loan (SARI) and Repayment Agreement No. D07-042 with the Orange County Flood Control District (OCFCD) to allow for the release of funds OCFCD in three installments as funds are expended. 12. Issue a Remedial Plan to the Santa Ana Watershed Project Authority (SAWPA) to correct significant deficiencies in their pretreatment program. 13. Direct staff to prepare and mail Proposition 218 notifications outlining an eight year Regional and Local sewer service fee schedule reflecting an eight year rate schedule with an increase of 4.8 percent for 2013-14 and an increase of 2.4 percent annually for the next seven years. 12/19/12 OCSD Board of Directors’ Agenda Page 3 of 6 14. Adopt Resolution No. OCSD 12-16, Setting Forth Terms and Conditions of Orange County Employees Retirement System (OCERS) Benefits in Compliance with the Requirements of the California Public Employees Pension Reform Act of 2013 (PEPRA). OPERATIONS COMMITTEE: 15. Approve Minutes of December 5, 2012, Operations Committee meeting. 16. Approve a budget increase of $485,000 for Replacement of the Bitter Point Pump Station, Contract No. 5-49, for a total budget amount of $32,095,000. 17. Authorize the General Manager to negotiate a Professional Consultant Services Agreement with Atkins North America, Inc. for construction support services for Dover Drive Trunk Sewer Relief, Contract No. 5-63. 18. A. Approve a Professional Design Services Agreement with RMC Water and Environment to provide engineering design services for District 6 Trunk Sewer Relief, Project No. 6-17, for an amount not to exceed $576,541; and, B. Approve a contingency of $57,654 (10%). 19. A. Receive and file Addendum to the Final Effluent Pump Station Annex and Collection System Odor and Corrosion Control Program Supplemental Environmental Impact Report (SEIR) for project modifications to the Collection System Odor and Corrosion Control Program; and, B. Approve an amendment to the existing lease, a two year (24-month) real property lease and subterranean license agreement, with Brea Imperial Inc. and RV Storage Depot Brea to allow mobilization of chemical dosing equipment and injection of chemicals at 1225 West Imperial Highway in Brea for an amount of $2,575 per month for 2013 and an amount of $2,652.25 per month for 2014, in a form approved by General Counsel, with an option to extend for up to two additional years with up to a three percent price escalation per year beginning December 31, 2012 and ending December 31, 2014. 20. A. Authorize the purchase of a new tour bus from Creative Bus Sales, for a total not to exceed $119,991, in accordance with Resolution No. OCSD 07-04, Section 3.08: Cooperative Procurement; and B. Approve a contingency of $12,000 (10%). 12/19/12 OCSD Board of Directors’ Agenda Page 4 of 6 21. Ratify Change Order No. 3 to Plant 2 Digester “O” Liner Repair Project, Specification No. FR-2010-455BD, with J.R. Filanc Construction Company (Filanc) authorizing an addition of $39,873 and 91 days, increasing the total contract amount to $1,142,986 and extending the contract completion to November 30, 2012. 22. A. Approve a contingency increase of $32,200 (17%) to the Professional Design Services Agreement with HH Fremer Architecture Inc. for Operations Center Entrance and Building Repairs, Project No. J-122, for a total contingency of $60,370 (32%); and, B. Approve a budget increase of $164,200 for Operations Center Entrance and Building Repairs, Project No. J-122, for a total budget amount of $2,489,200. 23. A. Award a contract to the lowest responsive and responsible bidder, Danny Letner DBA Letner Roofing Company, for Plant 1 Roof Replacement Job No. FR11-028 and Plant 2 Roof Replacement Job No. FR11-027, for a total amount not to exceed $472,500 and, B. Approve a contingency of $141,750 (30%). 24. Approve a contingency increase of $568,296 (10%) to the Professional Design Services Agreement with Brown and Caldwell for Sludge Dewatering and Odor Control at Plant No. 2, Project No. P2-92, for a total contingency of $1,136,592 (20%). 25. A. Adopt Resolution No. OCSD 12-17, to Amend Section 4.09 Request for Proposal Procedure of Resolution No. OCSD 07-04 entitled "Establishing Policies And Procedures For: The Award Of Purchase Orders And Contracts; Public Works Project Contracts; Professional Services Contracts; And Delegation Of Authority To Implement Said Policies And Procedures." B. Authorize the General Manager to initiate a request for proposal process and recommend multiple-supplier contract awards for the purchase of ferric chloride (Specification No. C-2013-553BD), for the period of July 1, 2013 through June 30, 2014, with four one-year renewal options. ADMINISTRATION COMMITTEE: 26. Approve minutes for the Administration Committee Meeting held on December 12, 2012. 12/19/12 OCSD Board of Directors’ Agenda Page 5 of 6 27. Approve a Professional Services Agreement with Alliant Insurance Services Inc. to serve as the Orange County Sanitation District’s operational insurance broker of record in connection with property, liability, workers compensation and other smaller operational insurance coverage programs, Specification No.S-2012-546BD, for a one-year period commencing on January 1, 2013, with the option of the Sanitation District to renew for an additional four one-year periods. CLOSED SESSION: During the course of conducting the business set forth on this agenda as a regular meeting of the Board, the Chair may convene the Board in closed session to consider matters of pending real estate negotiations, pending or potential litigation, or personnel 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 as the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. Convene in closed session. (1) CONFERENCE WITH LEGAL COUNSEL RE. EXISTING LITIGATION (Government Code Section 54956.9) Case: Mladen Buntich v. OCSD, Riverside County Superior Court, Case No. RIC 1201005 (2) CONFERENCE WITH LEGAL COUNSEL RE. INITIATION OF LITIGATION (Government Code Section 54956.9(c)) Number of Potential Cases: 1 Reconvene in regular session. Consideration of action, if any, on matters considered in closed session. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: 12/19/12 OCSD Board of Directors’ Agenda Page 6 of 6 ADJOURNMENT: Adjourn the Board meeting until the next regular Meeting on January 23, 2012, at 6:30 p.m. Accommodations for the Disabled: Meeting Rooms are wheelchair accessible. If you require any special disability related accommodations, please contact the Orange County Sanitation District Clerk of the Board’s office at (714) 593-7130 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested. Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2, this agenda has been posted outside the main gate of the Sanitation District’s Administration Building located at 10844 Ellis Avenue, Fountain Valley, California, not less than 72 hours prior to the meeting date and time above. All public records relating to each agenda item, including any public records distributed less than 72 hours prior to the meeting to all, or a majority of the Board of Directors, are available for public inspection in the office of the Clerk of the Board. NOTICE TO DIRECTORS: To place items on the agenda for the Committee Meeting, items must be submitted to the Clerk of the Board 14 days before the meeting. Maria E. Ayala Clerk of the Board (714) 593-7130 mayala@ocsd.com For any questions on the agenda, Committee members may contact staff at: General Manager Jim Ruth (714) 593-7110 jruth@ocsd.com Assistant General Manager Bob Ghirelli (714) 593-7400 rghirelli@ocsd.com Assistant General Manager Jim Herberg (714) 593-7300 jherberg@ocsd.com Director of Facility Support Services Nick Arhontes (714) 593-7210 narhontes@ocsd.com Director of Finance and Administrative Services Lorenzo Tyner (714) 593-7550 ltyner@ocsd.com Director of Human Resources Jeff Reed (714) 593-7144 jreed@ocsd.com Director of Operations & Maintenance Ed Torres (714) 593-7080 etorres@ocsd.com Glossary of Terms and Abbreviations AQMD Air Quality Management District ASCE American Society of Civil Engineers BOD Biochemical Oxygen Demand CARB California Air Resources Board CASA California Association of Sanitation Agencies CCTV Closed Circuit Television CEQA California Environmental Quality Act CRWQCB California Regional Water Quality Control Board CWA Clean Water Act CWEA California Water Environment Association EIR Environmental Impact Report EMT Executive Management Team EPA U.S. Environmental Protection Agency FOG Fats, Oils, and Grease FSSD Facilities Support Services Department gpd Gallons per day GWR System Groundwater Replenishment System (also called GWRS) LOS Level of Service MGD Million gallons per day NACWA National Association of Clean Water Agencies NPDES National Pollutant Discharge Elimination System NWRI National Water Research Institute O&M Operations and Maintenance OCCOG Orange County Council of Governments OCHCA Orange County Health Care Agency OCSD Orange County Sanitation District OCWD Orange County Water District OOBS Ocean Outfall Booster Station OSHA Occupational Safety and Health Administration POTW Publicly Owned Treatment Works ppm Parts per million RFP Request For Proposal RWQCB Regional Water Quality Control Board SARFPA Santa Ana River Flood Protection Agency SARI Santa Ana River Inceptor Glossary of Terms and Abbreviations SARWQCB Santa Ana Regional Water Quality Control Board SAWPA Santa Ana Watershed Project Authority SCADA Supervisory Control and Data Acquisition system SCAP Southern California Alliance of Publicly Owned Treatment Works SCAQMD South Coast Air Quality Management District SOCWA South Orange County Wastewater Authority SSMP Sanitary Sewer Management Plan SSO Sanitary Sewer Overflow SWRCB State Water Resources Control Board TDS Total Dissolved Solids TMDL Total Maximum Daily Load TSS Total Suspended Solids WDR Waste Discharge Requirements WEF Water Environment Federation WERF Water Environment Research Foundation Activated-sludge process – A secondary biological wastewater treatment process where bacteria reproduce at a high rate with the introduction of excess air or oxygen, and consume dissolved nutrients in the wastewater. Biochemical Oxygen Demand (BOD) – The amount of oxygen used when organic matter undergoes decomposition by microorganisms. Testing for BOD is done to assess the amount of organic matter in water. Biosolids – Biosolids are nutrient rich organic and highly treated solid materials produced by the wastewater treatment process. This high-quality product can be recycled as a soil amendment on farm land or further processed as an earth-like product for commercial and home gardens to improve and maintain fertile soil and stimulate plant growth. Capital Improvement Program (CIP) – Projects for repair, rehabilitation, and replacement of assets. Also includes treatment improvements, additional capacity, and projects for the support facilities. Coliform bacteria – A group of bacteria found in the intestines of humans and other animals, but also occasionally found elsewhere used as indicators of sewage pollution. E. coli are the most common bacteria in wastewater. Collections system – In wastewater, it is the system of typically underground pipes that receive and convey sanitary wastewater or storm water. 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. Glossary of Terms and Abbreviations Dilution to Threshold (D/T) – the dilution at which the majority of the people detect the odor becomes the D/T for that air sample. Greenhouse gases – In the order of relative abundance water vapor, carbon dioxide, methane, nitrous oxide, and ozone gases that are considered the cause of global warming (“greenhouse effect”). Groundwater Replenishment (GWR) System – A joint water reclamation project that proactively responds to Southern California’s current and future water needs. This joint project between the Orange County Water District and the Orange County Sanitation District provides 70 million gallons a day of drinking quality water to replenish the local groundwater supply. Levels of Service (LOS) – Goals to support environmental and public expectations for performance. NDMA – N-Nitrosodimethylamine is an N-nitrosoamine suspected cancer-causing agent. It has been found in the Groundwater Replenishment System process and is eliminated using hydrogen peroxide with extra ultra-violet treatment. National Biosolids Partnership (NBP) – An alliance of the National Association of Clean Water Agencies (NACWA) and Water Environment Federation (WEF), with advisory support from the U.S. Environmental Protection Agency (EPA). NBP is committed to developing and advancing environmentally sound and sustainable biosolids management practices that go beyond regulatory compliance and promote public participation in order to enhance the credibility of local agency biosolids programs and improved communications that lead to public acceptance. Plume – A visible or measurable concentration of discharge from a stationary source or fixed facility. Publicly-owned Treatment Works (POTW) – Municipal wastewater treatment plant. Santa Ana River Interceptor (SARI) Line – A regional brine line designed to convey 30 million gallons per day (MGD) of non-reclaimable wastewater from the upper Santa Ana River basin to the ocean for disposal, after treatment. Sanitary sewer – Separate sewer systems specifically for the carrying of domestic and industrial wastewater. Combined sewers carry both wastewater and urban run-off. South Coast Air Quality Management District (SCAQMD) – Regional regulatory agency that develops plans and regulations designed to achieve public health standards by reducing emissions from business and industry. Secondary treatment – Biological wastewater treatment, particularly the activated-sludge process, where bacteria and other microorganisms consume dissolved nutrients in wastewater. Sludge – Untreated solid material created by the treatment of wastewater. Total suspended solids (TSS) – The amount of solids floating and in suspension in wastewater. 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. Glossary of Terms and Abbreviations Wastewater – Any water that enters the sanitary sewer. Watershed – A land area from which water drains to a particular water body. OCSD’s service area is in the Santa Ana River Watershed. Page 1 of 1 BOARD OF DIRECTORS Meeting Date To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number Item Number 2 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Lorenzo Tyner, Director of Finance and Administrative Services SUBJECT: PAYMENT OF CLAIMS OF THE ORANGE COUNTY SANITATION DISTRICT GENERAL MANAGER'S RECOMMENDATION Ratify Payment of Claims of the District by Roll Call Vote. CONFLICT OF INTEREST NOTIFICATION Pursuant to Government Code Section 84308, you are required to disclose any campaign contribution greater than $250 received in the past twelve months from any party to a contract involving the Orange County Sanitation District. Further, you may not participate in the decision making process to award a contract to such party. For reference, you are directed to the Register of Warrants as to all current contractors/vendors with the District. In general, you must disclose the basis of the conflict by identifying the name of the firm or individual who was the contributor. For the specifics of Government Code Section 84308, please see your Director’s Handbook or call the office of General Counsel. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION See attached listing. ATTACHMENTS 1. Copies of Claims Paid reports from 11/01/12 – 11/15/12 and 11/16/12 – 11/30/12 fin/210/mm Page 1 of 8 EXHIBIT A 11/20/2012 Vendor Warrant No.Amount Description Accounts Payable WarrantsA W Chesterton 52248 5,849.63$ Repair & Maintenance Services and/or SuppliesA W Chesterton 52411 1,970.76 Repair & Maintenance Services and/or SuppliesACCO Engineered Systems Inc. 52250 4,042.00 Repair & Maintenance Services and/or SuppliesACCU Sludge 52251 799.64 Laboratory Services & SuppliesAccurate Circuit Engineering 52412 1,238.64 Annual Reconciliation Industrial Discharge Program A-Check America, Inc.52249 347.00 Human Resources Services Acopian Technical Company 52418 843.70 Electrical/Electronic Equipment, Parts & RepairsAdamson Industries 52419 326.70 Safety, Security, Health Equipment, Supplies, and ServicesAECOM Technical Services, Inc.52384 50,762.24 Professional Services/Engineering Design ServicesAerotek524203,736.80 Professional Services/Temporary ServicesAgilent Technologies, Inc.52252 291.33 Laboratory Services & SuppliesAgo IndustriesDBA So-Cal Sweeping 52343 980.00 Street Sweeping ServicesAir Liquide America Specialty Gases LLC 52421 128.17 Laboratory Services & SuppliesAir Products & Chemicals, Inc.52253 11,994.70 Chemicals, Water/Wastewater Treatment Air Products & Chemicals, Inc.52422 13,077.70 Chemicals, Water/Wastewater Treatment Airgas Safety, Inc.52234 25,026.90 Safety, Security, Health Equipment, Supplies, and ServicesAirgas Safety, Inc.52423 762.48 Safety, Security, Health Equipment, Supplies, and ServicesAirgas USA, LLC 52424 5,580.44 Laboratory Services & SuppliesAlfa-Laval Inc.52254 334.44 Repair & Maintenance Services and/or SuppliesAlfredo Garcia 52372 173.88 Meeting/Training Expense ReimbursementAlimed Inc.52425 337.75 Laboratory Services & SuppliesAll American Sewer Tools 52255 54.47 Repair & Maintenance Services and/or Supplies Allied Pacific Metal Stamping 52414 4,509.86 Reconciliation User Fee Refund Program Almatron Electronics 52415 2,085.46 Reconciliation User Fee Refund ProgramAmazing Tents & Events 52256 737.23 Event SuppliesAmcor-Sunclipse, Inc.52416 12,814.22 Reconciliation User Fee Refund ProgramAppleOne Employment Service 52426 6,897.60 Professional Services/Temporary ServicesApplied Industrial Technology 52427 26.77 Repair & Maintenance Services and/or SuppliesArgus-Hazco 52428 329.19 Repair & Maintenance Services and/or SuppliesARK Technologies 52385 28,704.00 Programming Services Aro Services 52429 459.01 Reconciliation User Fee Refund Program Asbury Properties, Inc.52417 681.18 Reconciliation User Fee Refund ProgramAshbrook Simon Hartley Operations, L.P.52257 2,232.70 Repair & Maintenance Services and/or SuppliesAT & T Universal Biller 52258 2,778.19 TelecommunicationsAT & T Universal Biller 52430 487.74 TelecommunicationsAT&T 52259 32.65 TelecommunicationsAurora Industrial Machining 52235 39,760.00 Repair & Maintenance Services and/or SuppliesAurora Industrial Machining 52431 3,380.00 Materials and SuppliesAustin Building and Design dba The Austin Company 52386 96,970.96 Professional Services/Engineering Design Services Authentic Promotions.Com 52260 4,994.25 Professional Services Awards & Trophies Company 52261 77.19 Awards and Framing ServicesBank of New York Mellon Trust 52388 25,487.93 Professional Services - FinancialBlack & Veatch Corporation 52236 80,453.79 Professional Services/Engineering Design ServicesBlack & Veatch Corporation 52236 7,569.95 Professional Services/Engineering Design ServicesBlack & Veatch Corporation 52389 23,656.70 Professional Services/Engineering Design ServicesBlack & Veatch Corporation 52389 103,611.67 Professional Services/Engineering Design ServicesBlack & Veatch Corporation 52389 18,208.80 Professional Services/Engineering Design Services Borthwick, Guy, Thibault, Inc.52433 5,600.00 Professional Services Bravo Zulu International Ltd. 52262 89.13 Repair & Maintenance Services and/or SuppliesBrown & Caldwell 52390 38,035.55 Professional Services/Engineering Design Services Claims Paid From 11/1/12 to 11/15/12 fin/210/mm Page 2 of 8 EXHIBIT A 11/20/2012 Vendor Warrant No.Amount Description Claims Paid From 11/1/12 to 11/15/12 Bureau Veritas North America, Inc.52263 1,292.90 Industrial Hygiene ServicesBureau Veritas North America, Inc.52434 4,506.00 Industrial Hygiene ServicesC.S.M.F.O 52276 330.00 Professional Organizations Meeting/Training/MembershipCalifornia Barricade Rentals 52441 17,320.00 Miscellaneous ServicesCalifornia Dept. of Child Support 52442 1,984.24 Judgments PayableCalifornia Relocation Services, Inc.52443 270.00 Miscellaneous Services - Moving/Relocation California Special District Association 52275 69.00 Professional Organizations Meeting/Training/Membership Carollo Engineers 52392 43,044.30 Professional Services/Engineering Design ServicesCartel Electronics, Inc. 52435 2,881.38 Annual Reconciliation Industrial Discharge ProgramCavanaugh Machine Works 52264 897.09 Repair & Maintenance Services and/or SuppliesCavanaugh Machine Works 52444 1,604.13 Repair & Maintenance Services and/or SuppliesCertified Laboratories 52265 2,174.46 Laboratory Services & SuppliesChet Frohlich Photography 52266 688.05 Professional Photography ServicesChrome Tech, Inc. 52436 2,727.03 Annual Reconciliation Industrial Discharge ProgramCity of Huntington Beach 52473 84.95 Water Use City Of Huntington Beach 52437 1,703.85 Annual Reconciliation Industrial Discharge Program City of Tustin Water Service 52391 102,192.99 Reconciliation User Fee Refund ProgramClean Harbors Environmental Services 52267 8,223.46 Grit & Screenings; Hazard Waste DisposalClean Harbors Environmental Services 52445 14,505.15 Grit & Screenings; Hazard Waste DisposalContinuous Coating Corp.52438 500.44 Reconciliation User Fee Refund ProgramConverse Consultants 52446 44.00 Professional Services/Professional Services/Materials & Geotechnical TestingCooperative Personnel Services 52273 562.10 Human Resources ServicesCorelogic Commercial 52439 5,095.50 Corelogic Commercial Corner Bakery Café (CBC)52447 272.94 Catering Services Corporate Image Maintenance, Inc.52393 36,570.00 Janitor & Household Service & SuppliesCounty of Orange Auditor Controller 52268 103.72 Governmental Agency Fees & ChargesCounty of Orange Auditor Controller 52269 1,018.90 Governmental Agency Fees & ChargesCounty of Orange Auditor Controller 52270 765.00 Governmental Agency Fees & ChargesCounty of Orange Auditor Controller 52271 420.00 Governmental Agency Fees & ChargesCounty of Orange Auditor Controller 52272 120.00 Governmental Agency Fees & ChargesCounty of Orange Auditor Controller 52448 705.00 Governmental Agency Fees & Charges Court Order 52484 2,179.38 Judgments Payable Court Order 52489 150.00 Judgments PayableCourt Order 52523 108.00 Judgments PayableCourt Order 52583 912.50 Judgments PayableCrane Veyor Corp.52274 838.38 Repair & Maintenance Services and/or SuppliesCS-AMSCO 52450 2,615.28 Repair & Maintenance Services and/or SuppliesCSI Services, Inc.52451 1,595.74 Professional ServicesCustom Enamelers, Inc.52440 352.04 Reconciliation User Fee Refund ProgramCWEA Membership 52277 420.00 Professional Organizations Meeting/Training/Membership CWEA Membership 52452 140.00 Professional Organizations Meeting/Training/Membership DDB Engineering, Inc.52453 4,455.00 Professional Services - AdvocacyDe La Riva Construction 52402 101,132.25 ConstructionDuro-Sense Corporation 52454 934.05 Electrical/Electronic Equipment, Parts & RepairsE911 Helpline Inc 52284 6,000.00 Computers, Software/Hardware & Managed ServicesEcivis, Inc. 52247 2,750.00 User Licenses Grants NetworkEdwin M. Lester 52375 170.00 Meeting/Training Expense ReimbursementEmployee Benefits Specialists, Inc.52394 824,920.10 Reimbursed Prepaid Employee Medical & Dependent Care Employee Benefits Specialists, Inc.52455 14,064.47 Reimbursed Prepaid Employee Medical & Dependent Care EMSL Analytical, Inc.52278 12,330.00 Safety, Security, Health Equipment, Supplies, and ServicesEnchanter, Inc.52279 2,280.00 Vessel Services - Monitoring Vessel Nerissa fin/210/mm Page 3 of 8 EXHIBIT A 11/20/2012 Vendor Warrant No.Amount Description Claims Paid From 11/1/12 to 11/15/12 ENS Resources, Inc.52280 7,500.00 Professional Services - Federal AdvocacyEnviron Strategy Consultants, Inc.52281 3,350.00 Professional Services - Quarterly Sampling of Groundwater Monitoring Wells in t Environmental Water Solutions, Inc.52282 1,192.04 Repair & Maintenance Services and/or SuppliesEnvironmental Water Solutions, Inc.52456 16,185.67 Repair & Maintenance Services and/or SuppliesEwing Irrigation 52457 532.23 Irrigation Repair & Maintenance Services and/or SuppliesExcel Door & Gate Co., Inc.52283 1,090.00 Repair & Maintenance Services and/or Supplies Fabrication Concepts Corporation 52458 7,358.36 Reconciliation User Fee Refund Program Fairview State Hospital 52395 44,485.32 Reconciliation User Fee Refund ProgramFaviola Miranda 52376 325.86 Meeting/Training Expense ReimbursementFedex Corporation 52285 129.05 Freight ServicesFedex Corporation 52460 25.87 Freight ServicesFineline Circuits & Tech.52459 1,266.39 Reconciliation User Fee Refund ProgramFountain Valley AAA Auto Spa 52286 1,123.10 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesFranchise Tax Board 52461 1,268.08 Judgments PayableFranklin Covey 52287 598.65 Office Supplies Fresno First Bank-Acct 100013307 52371 8,588.45 Construction, Retention Fresno First Bank-Acct 100013315 52403 27,500.00 ConstructionFrys Electronics 52289 287.69 Computers, Software/HardwareG&B Creative Solutions Llc 52462 8,700.00 Printing and PublicationsGallade Chemical, Inc.52463 2,997.27 Reconciliation User Fee Refund ProgramGates Fiberglass Installers 52465 838.13 Repair & Maintenance Services and/or SuppliesGeorge Weston Bakeries, Inc.52432 2,881.13 Reconciliation User Fee Refund ProgramGoglanian Bakeries 52396 67,110.64 Annual Reconciliation Industrial Discharge Program Golden Bell Products 52466 385.00 Miscellaneous Parts and Supplies Golden State Overnight Delivery Service 52290 65.75 Courier ServicesGolden State Water Company 52467 147.45 Water UseGolden West Machine, Inc.52291 4,950.00 Repair & Maintenance Services and/or SuppliesGrainger, Inc.52292 8,831.09 Repair & Maintenance Services and/or SuppliesGraybar Electric Company 52293 800.75 Electrical/Electronic Equipment, Parts & RepairsGTC Systems, Inc. 52295 10,090.99 Software Maintenance AgreementGuarantee Records Management 52294 368.92 Professional Services - Document Storage & Shredding Gunther Athletic Service 52464 455.78 Reconciliation User Fee Refund Program Haaker Equipment Company 52296 3,839.24 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesHach Company 52297 3,026.18 Laboratory Services & SuppliesHamilton Materials 52580 292.97 Reconciliation User Fee Refund ProgramHannah Tran & Dan Tran 52298 2,577.32 Claimant SettlementHanson-Loran Company 52468 630.72 Reconciliation User Fee Refund ProgramHarbor Truck Bodies, Inc. 52469 2,884.00 Annual Reconciliation Industrial Discharge ProgramHarrington Industrial Plastics, Inc.52471 2,377.22 Repair & Maintenance Services and/or SuppliesHasco Oil Co., Inc.52299 411.52 Fuel and Lubricants HD Supply Utilities, Ltd 52472 3,994.30 Repair & Maintenance Services and/or Supplies HDR Engineering, Inc.52397 130,956.83 Professional Services/Engineering Design ServicesHelix Electric, Inc.52243 354,552.27 ConstructionHi Standard Automotive, L.L.C.52300 206.67 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesHill Brothers 728 14,855.39 Chemicals, Water/Wastewater TreatmentHome Depot 52301 15.13 Miscellaneous Parts and SuppliesHub Auto Supply 52302 479.57 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesHyatt Legal Plans 52303 1,843.00 Professional Services - Legal IDEXX Distribution, Inc.52474 5,344.40 Laboratory Services & Supplies Indiana Child Support Bureau 52475 290.00 Judgments PayableInsight Public Sector, Inc.52304 6,891.75 Computers, Software/Hardware fin/210/mm Page 4 of 8 EXHIBIT A 11/20/2012 Vendor Warrant No.Amount Description Claims Paid From 11/1/12 to 11/15/12 International Paper 52476 254.16 Annual Reconciliation Industrial Discharge ProgramInternational Risk Management Inst.52305 3,066.99 Books and PublicationsIntl. Union of Oper. Eng. AFL CIO Local 501 52477 4,733.09 Dues DeductionsIntratek Computer, Inc.52306 1,467.91 Network/Server/Printer Maintenance ServicesInvensys Systems, Inc.52478 1,825.00 Electrical/Electronic Equipment, Parts & RepairsJ F Shea Construction, Inc.52244 985,035.05 Construction J F Shea Construction, Inc.52404 57,614.79 Construction Jack in the Box, Inc.52480 2,899.41 Reconciliation User Fee Refund ProgramJamison Engineering Contractors, Inc.52307 4,985.00 Professional Services/Construction Support ServicesJays Catering 52482 666.70 Catering ServicesJellco Container, Inc.52481 909.08 Reconciliation User Fee Refund ProgramJG Tucker And Son, Inc.52479 1,740.16 Safety, Security, Health Equipment, Supplies, and ServicesJKS Associates Llc 52483 2,051.53 Sewer User RefundJoseph W. Park, Jr.52378 1,172.03 Meeting/Training Expense ReimbursementKaon Investments Llc 52485 1,548.70 Sewer User Refund Kemira Water Solutions 726 187,346.14 Chemicals, Water/Wastewater Treatment Kenlen Specialties, Inc.52486 786.64 Reconciliation User Fee Refund ProgramKenny/Jenks Consultants, Inc.52487 861.34 Professional Services 7-49Kiewit/Mass, A Joint Venture 52405 660,898.14 ConstructionKiewit/Mass, A Joint Venture 52409 332,229.99 ConstructionKimberly-Clark Corp.52398 840,208.77 Reconciliation User Fee Refund ProgramKoff & Associates, Inc.52308 4,460.00 Professional Services/Comp & Class StudyKwen T Tjen 52380 190.00 Meeting/Training Expense Reimbursement Lexis-Nexis 52310 84.00 Books & Publications On-Line Lillestrand and Associates 52488 1,300.00 Professional ServicesMalcolm Pirnie, Inc.52492 2,608.07 Professional Services/Engineering Design ServicesMandic Motors 52493 350.00 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesMark A. Esquer 52584 115.00 Meeting/Training Expense ReimbursementMark Optics, Inc.52490 131.24 Reconciliation User Fee Refund ProgramMarvac Electronics 52494 29.07 Electrical/Electronic Equipment, Parts & RepairsMcGladrey & Pullen LLP 52311 7,000.00 Professional Services - Financial Auditing McMaster-Carr Supply Co.52312 3,518.74 Repair & Maintenance Services and/or Supplies McMaster-Carr Supply Co.52495 1,068.26 Repair & Maintenance Services and/or SuppliesMCP Industrial Foods 52399 276,436.44 Reconciliation User Fee Refund ProgramMeasurement Control Systems, Inc.52496 2,894.89 Repair & Maintenance Services and SuppliesMicrometals, Inc. #2 52491 5,659.95 Reconciliation User Fee Refund ProgramMinako America Corporation 52406 160,550.00 ConstructionMinako America Corporation 52410 171,522.00 ConstructionMSA c/o Geoff Cobbett 52313 50.00 Professional Organizations Meeting/Training/MembershipMSA c/o Geoff Cobbett 52497 50.00 Professional Organizations Meeting/Training/Membership MTM Recognition Corporation 52314 457.14 Service Awards MTM Recognition Corporation 52498 60.65 Service AwardsMWDOC5250226.00 Training RegistrationNACE International 52315 1,770.00 Professional Organizations Meeting/Training/MembershipNeal Supply Co.52316 3,584.99 Repair & Maintenance Services and/or SuppliesNeal Supply Co.52499 503.94 Repair & Maintenance Services and/or SuppliesOCEA52501711.75 Dues DeductibleO'Connell Engineering & Construction, Inc.52237 46,655.00 Repair & Maintenance Services and/or Supplies Office Depot 52317 174.96 Office Supplies Office Depot 52503 610.10 Office SuppliesOfficemax Incorporated 52504 1,332.33 Furniture/Fixtures fin/210/mm Page 5 of 8 EXHIBIT A 11/20/2012 Vendor Warrant No.Amount Description Claims Paid From 11/1/12 to 11/15/12 Olin Corporation 52318 7,715.65 Chemicals, Water/Wastewater TreatmentOlin Corporation 52318 13,682.57 Chemicals, Water/Wastewater TreatmentOlin Corporation 52505 6,829.61 Chemicals, Water/Wastewater TreatmentOneSource Distributors, Inc.52319 2,442.58 Electrical/Electronic Equipment, Parts & RepairsOneSource Distributors, Inc.52506 92.70 Electrical/Electronic Equipment, Parts & RepairsOperation Technology, Inc.52320 19,350.65 Repair & Maintenance Services and/or Supplies Oracle America Inc.52321 2,139.03 Software Maintenance Agreement Orange County Auto Parts 52322 494.61 Truck SuppliesOrange County Plating 52500 125.75 Annual Reconciliation Industrial Discharge ProgramOrange County United Way 52507 40.00 Employee ContributionsPacific Mechanical Supply 52323 208.10 Repair & Maintenance Services and/or SuppliesPacific Mechanical Supply 52510 994.90 Repair & Maintenance Services and/or SuppliesPacific Parts and Controls, Inc.52511 1,841.06 Repair & Maintenance Services and/or SuppliesPak-Sher 52512 476.87 Miscellaneous Parts and SuppliesParagon Plastics Company 52513 330.15 Miscellaneous Parts and Supplies Parker Supply Company 52324 444.50 Miscellaneous Parts and Supplies Parker Supply Company 52514 191.42 Miscellaneous Parts and SuppliesParkhouse Tire, Inc.52325 735.64 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesPCS Express, Inc.52515 299.58 Courier ServicesPeace Officers Council of CA 52516 2,265.50 Dues Deductions, Supervisors & ProfessionalsPeak Technologies 52326 2,874.11 Laboratory Services & SuppliesPeerless Mfg. Co 52327 18,100.83 Materials and SuppliesPerformance Pipeline Technologies 52328 11,515.35 Professional Services/CCTV Inspection/Sewerline Cleaning Performance Pipeline Technologies 52517 16,216.45 Professional Services/CCTV Inspection/Sewerline Cleaning Pivot Interiors Inc.52329 1,419.80 Office Supplies/FurniturePL Hawn Company, Inc.52518 747.10 Repair & Maintenance Services and/or SuppliesPolydyne, Inc.727 47,690.39 Chemicals, Water/Wastewater TreatmentPraxair Distribution, Inc.52330 535.21 Laboratory Services & SuppliesPraxair Distribution, Inc.52519 391.96 Laboratory Services & SuppliesPrecon Products 52520 759.64 Repair & Maintenance Services and/or SuppliesPrecon, Inc.52508 492.91 Reconciliation User Fee Refund Program Primrose Ice Co., Inc.52331 131.25 Water & Ice Services Primrose Ice Co., Inc.52521 262.50 Water & Ice ServicesProjects Partners 52332 17,136.00 Professional Services/Temporary Employment ServicesPryco Inc 52522 5,078.77 Repair & Maintenance Services and/or SuppliesPryor Seminars/Career Track 52288 199.99 Professional Organizations Meeting/Training/MembershipPure Chem Products Co.52509 167.19 Reconciliation User Fee Refund ProgramQ Air - Calif. Div. Pump Engineering 52333 2,865.90 Repair & Maintenance Services and SuppliesRainbow Disposal Co.52524 4,168.04 Waste DisposalRBC Transport Dynamics 52525 2,021.42 Reconciliation User Fee Refund Program Red Wing Shoes 52526 170.00 Safety, Security, Health Equipment, Supplies, and Services Rehab West, Inc. 52334 454.08 Human Resources ServicesReliastar525274,177.43 Voluntary Employee Life & Cancer InsuranceRemedy Environmental Services 52545 1,333.28 Reconciliation User Fee Refund ProgramRisk & Insurance 52529 34.95 Books & PublicationsRMC Water and Environment 52335 7,356.58 Professional ServicesRMS Engineering & Design, Inc.52530 420.00 Professional Services/Engineering Design ServicesRobert Holdman 52373 352.46 Meeting/Training Expense Reimbursement Roberto's Auto Trim Shop 52336 890.43 Autos, Trucks & Marine Equipment, Parts, Accessories & Services Roberto's Auto Trim Shop 52531 278.49 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesRockwell Engineering & Equipment Co.52238 32,298.35 Repair & Maintenance Services and/or Supplies fin/210/mm Page 6 of 8 EXHIBIT A 11/20/2012 Vendor Warrant No.Amount Description Claims Paid From 11/1/12 to 11/15/12 Roto Rooter NOC#11 52337 957.73 Repair & Maintenance Services and/or SuppliesRoya Sohanaki 52379 115.00 Meeting/Training Expense ReimbursementRoyal Wholesale Electric 52532 163.56 Repair & Maintenance Services and/or SuppliesRoyale Cleaners 52338 141.50 Miscellaneous ServicesRoyale Cleaners 52533 85.20 Miscellaneous ServicesRSA Soil Products 52534 2,251.13 Miscellaneous Parts and Supplies Rutan & Tucker, L.L.P.52535 1,592.00 Legal Services Saddleback Inn, Llc 52536 13,273.93 Sewer User RefundSan Diego/Orange Fluid System Technologies, Inc.52546 1,105.90 Repair & Maintenance Services and/or SuppliesSantiago A. Escobar 52382 569.60 Meeting/Training Expense ReimbursementSchuler, Kevin A. 52585 170.00 Annual Reconciliation Industrial Discharge ProgramScientific Services Plus, LLC 52339 165.85 Laboratory Services & SuppliesScientific Services Plus, LLC 52548 2,575.00 Laboratory Services & SuppliesScisorek & Sons Flavors, Inc.52537 282.03 Reconciliation User Fee Refund ProgramSechrist Industries Inc. 52538 2,669.57 Annual Reconciliation Industrial Discharge Program Sewer Equipment Company of America 52549 111.91 Repair & Maintenance Services and/or Supplies Shamrock Supply Co., Inc.52340 5,289.14 Repair & Maintenance Services and/or SuppliesShamrock Supply Co., Inc.52550 1,711.28 Repair & Maintenance Services and/or SuppliesSheegog, Sarah F.52539 2,396.96 Sewer User RefundShureluck Sales & Engineering 52341 351.27 Repair & Maintenance Services and/or SuppliesShureluck Sales & Engineering 52551 1,680.04 Repair & Maintenance Services and/or SuppliesSiemens Water Technologies Corp.52552 158.52 Repair & Maintenance Services and/or SuppliesSimon L. Watson 52381 1,060.85 Meeting/Training Expense Reimbursement So. Cal Gas Company 52342 6,573.96 Utilities So. Cal Gas Company 52553 10,826.95 UtilitiesSolder Mask, Inc.52540 169.71 Reconciliation User Fee Refund ProgramSonja Wassgren Morgan 52377 502.89 Meeting/Training Expense ReimbursementSouth Coast Circuits #3 52541 765.51 Reconciliation User Fee Refund ProgramSouth Coast Environmental Co.52547 21,852.19 Professional Services - Air Quality MonitoringSouthern California Edison 52239 107,190.83 UtilitiesSouthern California Edison 52383 15,907.14 Utilities Southern Counties Lubricants 52344 2,095.95 Fuel and Lubricants Southern Counties Lubricants 52554 1,406.70 Fuel and LubricantsSparklett-Dallas 52345 1,869.09 Miscellaneous ServicesSpeedy Circuits N/A Status 52542 1,511.84 Annual Reconciliation Industrial Discharge ProgramStandard Automation and Control 52346 17,437.54 Computer Applications & ServicesStandard Industrial Corp 52555 43.93 Repair & Maintenance Services and/or SuppliesStantec Consulting Services, Inc.52556 2,611.00 Professional Services/SurveyingStaples523472,637.63 Office SuppliesStaples5255762.83 Professional Services/Surveying Statek Corporation 52543 980.43 Annual Reconciliation Industrial Discharge Program Stress Education Center 52348 195.00 Human Resources Training MaterialsSummit Steel 52349 7,542.39 Repair & Maintenance Services and/or SuppliesSummit Steel 52558 1,688.14 Repair & Maintenance Services and/or SuppliesSunclipse, Inc. 52400 38,174.38 Reconciliation User Fee Refund ProgramSunopta Fruit Group, Inc Berry Operation 52559 3,066.82 Annual Reconciliation Industrial Discharge ProgramSunset Industrial Parts 52350 908.06 Repair & Maintenance Services and/or SuppliesSuper Chem Corporation 52560 408.91 Repair & Maintenance Services and/or Supplies Superior Processing 52544 129.73 Annual Reconciliation Industrial Discharge Program Susan G. Komen 52561 305.00 DonationSWRCB Accounting Office 52351 10,097.00 Governmental Agency Fees & Charges fin/210/mm Page 7 of 8 EXHIBIT A 11/20/2012 Vendor Warrant No.Amount Description Claims Paid From 11/1/12 to 11/15/12 SWRCB Accounting Office 52401 495,897.00 Governmental Agency Fees & ChargesTaormina Industries, L.L.C. #4 52528 3,596.61 Reconciliation User Fee Refund ProgramTaylor Dunn 52562 2,563.27 Reconciliation User Fee Refund ProgramTDI 52352 8,275.00 Professional Services/Information TechnologyTerry W. Krie 52374 140.00 Meeting/Training Expense ReimbursementTestAmerica Ontario 52567 6,034.00 Laboratory Services & Supplies The Bank of New York Mellon 52353 1,742.22 Quarterly Service Fee - Asset Administration The Boeing Company 52387 323,114.96 Reconciliation User Fee Refund ProgramThe Creative Group 52449 1,501.50 Professional Services/Temporary ServicesThe Hartwell Corporation 52470 5,814.51 Reconciliation User Fee Refund ProgramThe Irvine Company 52563 17,908.66 Sewer User RefundThe Reed Family Trust 52564 641.87 Sewer User RefundThe Trane Company 52357 5,243.00 Repair & Maintenance Services and/or SuppliesThompson Industrial Supply, Inc.729 69.85 Repair & Maintenance Services and/or SuppliesThompson Industrial Supply, Inc.731 3,746.65 Repair & Maintenance Services and/or Supplies Tiano Construction 52354 3,611.00 Facilities, Maintenance, Services & Supplies Tony's Lock & Safe Service & Sales 52355 4,953.36 Repair & Maintenance Services and/or SuppliesToshiba Business Solutions USA Inc.52356 7,449.13 Computers, Software/Hardware & Managed ServicesToyota Racing Development 52565 983.48 Annual Reconciliation Industrial Discharge ProgramTransline Technology, Inc.52566 134.00 Reconciliation User Fee Refund ProgramTremco Incorporated 52358 2,486.13 Repair & Maintenance Services and/or SuppliesTropical Plaza Nursery, Inc.52359 13,975.00 Landscape Maintenance ServicesTule Ranch/Magan Farms 52240 353,309.40 Biosolids Management U Line 52568 1,145.20 Miscellaneous Parts and Supplies U S Bank 52569 4,000.00 Annual COP Administrative FeeUnion Bank of California 52571 2,845.00 Annual Administrative Fee for Series 2007A Certificates of ParticipationUnion Bank of California Escrow 52245 51,843.95 Construction, RetentionUnited Parcel Service 52572 50.00 Freight ServicesUnivar USA Inc 730 13,751.03 Chemicals, Water/Wastewater TreatmentUnivar USA Inc 732 6,943.11 Chemicals, Water/Wastewater TreatmentUPS Ground Freight, Inc.52360 512.10 Freight Services US Airconditioning Distributors, Inc.52573 510.13 Electrical Parts & Supplies Uyehara, Susan K. 52570 1,225.34 Sewer User RefundValin Corporation 52361 436.61 Repair & Maintenance Services and/or SuppliesVapex Products, Inc.52362 2,939.25 Electrical/Electronic Equipment, Parts & RepairsVeeco Electro Fab, Inc. #2 52574 106.06 Reconciliation User Fee Refund ProgramVeg Fresh Farms, L.L.C.52575 2,063.27 Reconciliation User Fee Refund ProgramVerizon Wireless 52363 1,163.83 TelecommunicationsVerne's Plumbing 52364 1,699.09 Plumbing Services & SuppliesVerne's Plumbing 52576 436.37 Plumbing Services & Supplies Village Nurseries 52365 1,076.84 Repair & Maintenance Services and/or Supplies Village Nurseries 52577 908.43 Repair & Maintenance Services and/or SuppliesVisualConcepts 52578 1,523.50 Printing and PublicationsVoyager Fleet Systems, Inc.52241 33,110.18 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesVWR Scientific Products 52366 2,911.03 Laboratory Services & SuppliesVWR Scientific Products 52579 1,502.76 Laboratory Services & SuppliesW.M. Lyles Co. 52246 163,180.55 ConstructionW.M. Lyles Co. 52407 522,500.00 Construction Water Environment Federation 52367 537.00 Professional Organizations Meeting/Training/Membership Wells Fargo Bank Escrow 23518600 52408 34,784.11 Construction, RetentionWells Fargo Bank Escrow 23861100 Kiewit 52586 16,500.00 Construction, Retention fin/210/mm Page 8 of 8 EXHIBIT A 11/20/2012 Vendor Warrant No.Amount Description Claims Paid From 11/1/12 to 11/15/12 West Coast Life 52582 2,983.00 Employee Life InsuranceWest Lite Supply Company, Inc.52368 287.80 Electrical/Electronic Equipment, Parts & RepairsWhite Star Pools 52369 310.00 Repair & Maintenance Services and/or SuppliesWinonics, Inc.52581 1,612.03 Reconciliation User Fee Refund ProgramWoodruff Spradlin & Smart 52242 111,076.45 Professional Services - LegalXerox Corporation 52370 1,108.69 Computers, Software/Hardware & Managed Services XZX Electronics, Inc.52413 539.26 Reconciliation User Fee Refund Program 2000 I&HW - CWEA, Inc.52309 45.00 Training Registration - Calif. Water Environment Assoc.Total Accounts Payable - Warrants $ 9,211,896.96 Payroll Disbursements Employee Paychecks 49927 - 49951 4,235.92$ Interim Payroll - ARBA (11/01/12)* Employee Paychecks 49990 - 50045 98,078.42 Biweekly Payroll (11/14/12) Employee Paychecks 50046 - 50049 7,259.60 Interim Payroll - IDEA Payout (11/13/12)Employee Paychecks (2,816.62) Interim Payroll - Void Direct Deposits (11/15/12)Direct Deposit Statements 328107 - 328275 53,259.18 Interim Payroll - ARBA (11/01/12)** Direct Deposit Statements 328841 - 329421 1,421,992.61 Biweekly Payroll (11/14/12)Total Payroll Disbursements $ 1,582,009.11 *Check numbers 49952-49989 used in prior period **Direct deposit numbers 328276-328840 used in prior periodWire Transfer PaymentsOCSD Payroll Taxes & Contributions 785,240.29$ Biweekly Payroll (11/14/12)Union Bank of California 26,072.88 Workers' Compensation Services (11/14/12)Total Wire Transfer Payments $ 811,313.17 fin/210/mm Page 1 of 8 EXHIBIT B 12/5/2012 Vendor Warrant No.Amount Description Accounts Payable Warrants A W Chesterton 52605 5,882.75$ Repair & Maintenance Services and/or SuppliesAble Scale, Inc.52802 660.00 Repair & Maintenance Services and/or SuppliesAbsolute Standards, Inc.52803 230.00 Laboratory Services & Supplies Accounting Options, Inc.52611 195.00 Meeting Registration - Division 610 ACCU Sludge 52608 809.72 Laboratory Services & SuppliesA-Check America, Inc.52606 441.50 Human Resources ServicesAdam Shephard 52786 118.00 Meeting/Training Expense Reimbursement Adamson Industries 52804 408.38 Safety, Security, Health Equipment, Supplies, and Services AECOM Technical Services, Inc.52789 35,895.20 Professional Services/Engineering Design ServicesAerotek526092,110.80 Professional Services/Temporary ServicesAerotek528052,028.27 Professional Services/Temporary Services Agilent Technologies, Inc.52610 1,051.12 Laboratory Services & Supplies Agilent Technologies, Inc.52806 2,122.06 Laboratory Services & Supplies Air Filtration Resources, Inc. 52807 1,100.00 Repair & Maintenance Services and/or SuppliesAir Liquide America Corp.52808 959.74 Laboratory Services & Supplies Air Products & Chemicals, Inc.52612 7,699.31 Chemicals, Water/Wastewater Treatment Air Products & Chemicals, Inc.52809 3,703.82 Chemicals, Water/Wastewater Treatment Airgas Safety, Inc.52613 218.26 Safety, Security, Health Equipment, Supplies, and ServicesAirgas Safety, Inc.52810 6,368.74 Safety, Security, Health Equipment, Supplies, and Services Airgas USA, LLC 52614 3,385.26 Laboratory Services & Supplies Alhambra Foundry Co., Ltd.52811 10,369.86 Repair & Maintenance Services and/or Supplies All American Sewer Tools 52812 1,499.63 Repair & Maintenance Services and/or SuppliesAlliance Resource Consulting, L.L.C.52615 10,000.00 Professional Services - Executive Search for I.T. Management PositionAmazing Tents & Events 52813 577.00 Event Supplies AMEC Environment & Infrastructure Inc 52616 4,900.00 Professioinal Services/Geotechnical Study American Air Filter, Inc.52617 2,291.39 Air FiltersAmerican Express TVL Related Svcs Co., Inc.52618 3,899.43 Purchasing Card Program for Miscellaneous Travel ExpensesAmerican Machinery & Blade, Inc.52814 828.77 Repair & Maintenance Services and/or Supplies American Solutions for Business 52619 604.65 Office Supplies Amtech Elevator Services 52620 2,904.50 Miscellaneous ServicesApex Controls 52815 248.45 Repair & Maintenance Services and/or SuppliesAppleOne Employment Service 746 2,299.20 Professional Services/Temporary Services Applied Industrial Technology 52816 28.89 Repair & Maintenance Services and/or Supplies Arrowhead Electric Corp.52622 166.97 Electrical Parts & SuppliesASCE 52817 280.00 Professional Organizations Meeting/Training/MembershipAshbrook Simon Hartley Operations, L.P.52818 831.45 Repair & Maintenance Services and/or Supplies Aspen Properties 52607 5,650.92 Sewer User Refund AT & T 52801 249.22 Telecommunications AT & T Long Distance.52623 25.51 TelecommunicationsAT & T Mobility II, L.L.C.52624 2,549.84 Telecommunications AT & T Mobility II, L.L.C.52819 1,500.90 Telecommunications AT&T Teleconference Services 52820 368.28 Telecommunications AWSI 52625 168.00 Professional Services - DOT Program AdministrationAWWA52821765.00 Professional Organizations Meeting/Training/Membership Battery Specialties 52626 135.89 Batteries, Various Battery Systems, Inc.52822 209.38 Repair & Maintenance Services and/or Supplies BEC-Building Electronic Controls, Inc 52627 3,029.22 Electrical/Electronic Equipment, Parts & RepairsBlack & Veatch Corporation 52587 191,626.74 Professional Services/Engineering Design Services Claims Paid From 11/16/12 to 11/30/12 fin/210/mm Page 2 of 8 EXHIBIT B 12/5/2012 Vendor Warrant No.Amount Description Claims Paid From 11/16/12 to 11/30/12 Black & Veatch Corporation 52587 70,806.53 Professional Services/Engineering Design Services Bon Air, Inc.52780 22,087.50 ConstructionBrown & Caldwell 52790 187,905.95 Professional Services/Engineering Design ServicesBRW Safety and Supply, Inc.52823 408.75 Safety, Security, Health Equipment, Supplies, and Services Buchalter Nemer 52628 2,800.00 Professional Legal Services Bureau Veritas North America, Inc.52629 2,609.50 Industrial Hygiene ServicesBurlington Safety Laboratory of CA, Inc.52630 2,361.10 Safety, Security, Health Equipment, Supplies, and ServicesCalchamber / Calbizcenteral 52824 256.72 Books & Publications California Bank & Trust #201037519 52798 100,709.21 Construction California Barricade Rentals 52825 21,870.00 Miscellaneous ServicesCalifornia Dept. of Child Support 52826 1,984.24 Judgments PayableCalifornia Recreation Company 52827 3,376.67 Boat Slip Rental - Nerissa Ocean Monitoring Vessel California Relocation Services, Inc.52828 382.50 Miscellaneous Services - Moving/Relocation Carl A. Herrigstad 52783 305.83 Meeting/Training Expense Reimbursement Carollo Engineers 52589 54,289.49 Professional ServicesCASA528291,275.00 Professional Organizations Meeting/Training/Membership Cavanaugh Machine Works 52830 8,740.00 Repair & Maintenance Services and/or Supplies Certified Laboratories 52631 439.88 Laboratory Services & Supplies Cesar Corral 52937 190.00 Meeting/Training Expense ReimbursementChapman University - ACER 52632 100.00 Books & Publications Chuck M. Forman 52782 262.84 Meeting/Training Expense Reimbursement Citrus Portfolio 52588 32,328.42 Sewer User Refund City of Fountain Valley 52590 47,473.77 Water UseCity of Fullerton 52791 151,507.24 Water UseCity of Huntington Beach 52862 834.70 Water Use City of Newport Beach 52709 318.66 Water Use CMAA 52633 110.00 Professional Organizations Meeting/Training/MembershipCompressor and Engine Supply, Inc.52634 1,261.59 Repair & Maintenance Services and/or SuppliesCompressor Components of California 52635 2,661.43 Repair & Maintenance Services and/or Supplies Compucom Systems, Inc.52591 45,217.20 Computer Applications & Services Connell Chevrolet\GEO 52831 1,028.78 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesConsumers Pipe & Supply Co.52636 98.75 Repair & Maintenance Services and/or SuppliesControlled Motion Solutions 52637 717.87 Repair & Maintenance Services and/or Supplies Converse Consultants 52832 869.00 Professional Services/Professional Services/Materials & Geotechnical T Corner Bakery Café (CBC)52639 91.16 Catering ServicesCorner Bakery Café (CBC)52833 335.23 Catering ServicesCORRPRO Companies, Inc.52592 47,148.50 Professional Services/Temporary Services County of Orange - Health Care Agency 52641 4,197.25 Governmental Agency Fees & Charges County of Orange - Health Care Agency 52834 594.00 Governmental Agency Fees & Charges County of Orange Auditor Controller 52640 915.00 Governmental Agency Fees & ChargesCourt Order 52872 2,179.38 Judgments Payable Court Order 52876 150.00 Judgments Payable Court Order 52899 108.00 Judgments Payable Court Order 52935 912.50 Judgments PayableCR&R, Inc.52835 2,177.40 Waste Disposal Criterium Consulting Group Inc. 52642 600.40 Professioinal Services/Consultant Secondary Activated Sludge Facility 2 CS-AMSCO 52643 7,409.85 Repair & Maintenance Services and/or Supplies CSI Services, Inc.52644 6,230.25 Professional ServicesCSUF Auxillary Services Corporation 52645 19,621.75 Professional Organizations Meeting/Training/Membership (Demographic fin/210/mm Page 3 of 8 EXHIBIT B 12/5/2012 Vendor Warrant No.Amount Description Claims Paid From 11/16/12 to 11/30/12 Culligan of Orange County 52646 57.55 Repair & Maintenance Services and/or Supplies CWEA Membership 52648 1,260.00 Professional Organizations Meeting/Training/MembershipCWEA-TCP 52647 90.00 Professional Organizations Meeting/Training/MembershipCyber Computers Inc. 52649 16,100.01 Computers, Software/Hardware & Managed Services David Gutoff 52650 225.00 Laboratory Services & Supplies David Gutoff 52837 225.00 Laboratory Services & SuppliesDenovo Ventures LLC 52652 3,600.00 JDE Upgrade Consulting ServicesDenovo Ventures LLC 52838 3,900.00 JDE Upgrade Consulting Services Desert Pumps & Parts, Inc.52839 58.42 Repair & Maintenance Services and/or Supplies DLT&V Systems Engineering, Inc.52651 3,828.00 Computer Applications & ServicesDunn-Edwards Corporation 52653 57.97 Facilities, Maintenance, Services & SuppliesDunn-Edwards Corporation 52840 102.50 Facilities, Maintenance, Services & Supplies Electrical Power And Controls Inc 52654 1,963.68 Electrical/Electronic Equipment, Parts & Repairs Embark Consulting, LLC 52841 4,526.11 Professional Services/SCADA Software Maintenance Support EMEDCO dba TRICOR 52655 947.12 Repair & Maintenance Services and/or SuppliesEmpire Safety & Supply 52656 587.29 Safety, Security, Health Equipment, Supplies, and Services Employee Benefits Specialists, Inc.52657 1,633.50 Reimbursed Prepaid Employee Medical & Dependent Care Employee Benefits Specialists, Inc.52842 14,449.09 Reimbursed Prepaid Employee Medical & Dependent Care Employment Development Dept.52843 4,333.00 Unemployment InsuranceEnfotech & Consulting, Inc. 52844 9,167.94 Professional Services/Software Program Consultant Environmental Engineering & Contracting 52658 20,000.00 Professional Services/Specialty Course Audits Environmental Engineering & Contracting 52845 1,500.00 Professional Services/Specialty Course Audits Environmental Express, Inc.52659 3,097.36 Laboratory Services & SuppliesEnvironmental Resource Associates 52846 963.49 Laboratory Services & SuppliesEwing Irrigation 52847 1,322.50 Irrigation Repair & Maintenance Services and/or Supplies Excel Door & Gate Co., Inc.52848 10,980.84 Repair & Maintenance Services and/or Supplies Express Lens Lab 52849 1,412.71 Safety, Security, Health Equipment, Supplies, and ServicesFastenal Company 52661 263.30 Janitor & Household Service & SuppliesFirst American Corelogic 52638 125.00 Software Maintenance Agreement Fisher Scientific 52662 10,161.33 Laboratory Services & Supplies Fluid Components Int. c/o Ponton Industries 52663 1,721.75 Repair & Maintenance Services and/or SuppliesFranchise Tax Board 52850 859.20 Judgments PayableFranklin Covey 52851 21.47 Office Supplies Frys Electronics 52852 222.05 Computers, Software/Hardware Fuller Truck Accessories 52664 752.23 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesFullerton 14, LLC 52660 5,742.36 Sewer User RefundGeorge L. Robertson 52942 212.26 Meeting/Training Expense Reimbursement Gierlich-Mitchell, Inc.52665 720.24 Repair & Maintenance Services and/or Supplies Glens Alignment & Brake Service 52853 1,279.10 Autos, Trucks & Marine Equipment, Parts, Accessories & Services Golden West Machine, Inc.52666 3,959.81 Repair & Maintenance Services and/or SuppliesGolden West Window Service 52667 1,890.00 Facilities, Maintenance, Services & Supplies Golden West Window Service 52854 432.00 Facilities, Maintenance, Services & Supplies Government Finance Officers Association 52855 725.00 Professional Organizations Meeting/Training/Membership Government Jobs.Com, Inc.52668 6,540.00 Computer Applications & ServicesGovplace526692,104.80 Computer Applications and Services Grainger, Inc.52670 8,107.18 Repair & Maintenance Services and/or Supplies Grainger, Inc.52856 3,963.46 Repair & Maintenance Services and/or Supplies Graybar Electric Company 52671 18,015.47 Electrical/Electronic Equipment, Parts & RepairsGraybar Electric Company 52857 9,223.00 Electrical/Electronic Equipment, Parts & Repairs fin/210/mm Page 4 of 8 EXHIBIT B 12/5/2012 Vendor Warrant No.Amount Description Claims Paid From 11/16/12 to 11/30/12 Great Pacific Equipment Co.52672 6,275.79 Autos, Trucks & Marine Equipment, Parts, Accessories & Services Greentech Landscape, Inc 52673 395.00 Landscape Maintenance ServicesGuarantee Records Management 52858 1,442.96 Professional Services - Document Storage & ShreddingHaaker Equipment Company 52674 1,799.37 Autos, Trucks & Marine Equipment, Parts, Accessories & Services Hach Company 52859 1,142.87 Laboratory Services & Supplies Harrington Industrial Plastics, Inc.52675 44.70 Repair & Maintenance Services and/or SuppliesHasler, Inc.52676 64.65 Postage Meter RentalHDR Engineering, Inc.52677 22,197.60 Professional Services/Engineering Design Services HDR Engineering, Inc.52792 198,258.41 Professional Services/Engineering Design Services Hill Brothers 733 148,043.80 Chemicals, Water/Wastewater TreatmentHill Brothers 742 16,552.46 Chemicals, Water/Wastewater TreatmentHILLCO Fastener Warehouse, Inc.52678 241.59 Repair & Maintenance Services and/or Supplies Home Depot 52679 302.09 Miscellaneous Parts and Supplies Home Depot 52860 89.92 Miscellaneous Parts and Supplies Hopkins Technical Products, Inc.52680 1,843.49 Repair & Maintenance Services and/or SuppliesHub Auto Supply 52681 1,145.72 Autos, Trucks & Marine Equipment, Parts, Accessories & Services Hub Auto Supply 52861 101.53 Autos, Trucks & Marine Equipment, Parts, Accessories & Services IDEXX Distribution, Inc.52863 9,072.55 Laboratory Services & Supplies IIEE 52682 184.00 Professional Organizations Meeting/Training/MembershipIndiana Child Support Bureau 52864 290.00 Judgments Payable Industrial Distribution Group 52683 1,029.80 Repair & Maintenance Services and/or Supplies Industrial Filter Manufacturers, Inc.52684 2,338.11 Repair & Maintenance Services and/or Supplies Industrial Safety Shoe Co.52865 149.77 Safety, Security, Health Equipment, Supplies, and ServicesIndustrial Steam 52685 501.00 Repair & Maintenance Services and/or SuppliesIndustrial Threaded Products, Inc.52686 49.33 Repair & Maintenance Services and/or Supplies Infrastructure Engineering Corp.52687 21,732.16 Professional Services Insight Public Sector, Inc.52688 1,737.36 Computers, Software/HardwareInstitute of Business Publications 52689 1,290.00 Books and PublicationsInterstate Batteries of Cal Coast 52866 5,159.10 Repair & Maintenance Services and/or Supplies Intl. Union of Oper. Eng. AFL CIO Local 501 52867 4,733.09 Dues Deductions Iodynamix Inc 52868 5,100.00 Computer Applications & ServicesIrvine Ranch Water District 52690 10.54 Water UseIrvine Ranch Water District 52869 59.53 Water Use ISA Publications 52691 186.00 Subscription J R Filanc Construction 52604 465,778.89 Construction J. Fletcher Creamer & Son, Inc. 52799 552,028.85 ConstructionJack in the Box, Inc.52692 2,973.14 Reconciliation User Fee Refund Program Jacobs Project Management Co. 52593 84,261.18 Professional Services/Temporary Services Jacobs Project Management Co. 52793 95,407.21 Professional Services/Temporary Services James E. Colston 52936 799.22 Meeting/Training Expense ReimbursementJames G. Tintle 52787 145.76 Meeting/Training Expense Reimbursement James Spears, Jr.52943 190.00 Meeting/Training Expense Reimbursement Jamison Engineering Contractors, Inc.52594 101,209.72 Professional Services/Construction Support Services Jamison Engineering Contractors, Inc.52870 161.00 Professional Services/Construction Support ServicesJays Catering 52693 658.62 Catering Services Jays Catering 52871 731.35 Catering Services JCI Jones Chemicals, Inc.736 4,789.87 Chemicals, Water/Wastewater Treatment Johnstone Supply 52694 1,464.36 Repair & Maintenance Services and/or SuppliesJP Morgan Chase Bank, NA 52595 40,645.06 Purchasing Card Program for Miscellaneous Parts and Supplies fin/210/mm Page 5 of 8 EXHIBIT B 12/5/2012 Vendor Warrant No.Amount Description Claims Paid From 11/16/12 to 11/30/12 Kanawha Insurance Company 52873 5,175.72 Voluntary Benefits - SSTD Insurance Kemira Water Solutions 734 48,665.39 Chemicals, Water/Wastewater TreatmentKemira Water Solutions 739 144,957.80 Chemicals, Water/Wastewater TreatmentKen Real Estate Lease Ltd 52695 24,664.52 Sewer User Refund Keybank Real Estate Capital 52696 6,244.50 Sewer User Refund Koff & Associates, Inc.52697 1,805.00 Professional Services/Comp & Class StudyLab Support 52874 5,355.00 Professional Services/Temporary ServicesLance Ginest 52939 647.86 Meeting/Training Expense Reimbursement Lexis-Nexis 52875 84.00 Books & Publications On-Line Lisa A. Rothbart 52785 579.70 Meeting/Training Expense ReimbursementLisa K. Haney 52940 530.42 Meeting/Training Expense ReimbursementLowe's HIW, Inc.52877 1,634.44 Repair & Maintenance Services and/or Supplies Lustre-Cal 52698 603.14 Office Supplies Mail Dispatch, LLC 52699 314.70 Mail Delivery Service Malcolm Pirnie, Inc.52596 26,225.25 Professional Services/Engineering Design ServicesMatheson Tri Gas, Inc.52700 1,806.68 Laboratory Services & Supplies Maxim Security Systems 52701 432.75 Safety, Security, Health Equipment, Supplies, and Services McJunkin Red Man Corporation 52702 1,152.00 Repair & Maintenance Services and/or Supplies McMaster-Carr Supply Co.52703 576.71 Repair & Maintenance Services and/or SuppliesMcMurray-Stern 52878 1,401.60 Repair & Maintenance Services and Supplies Mesa Consolidated Water District 52704 23.55 Water Use Moore Medical Inc.52879 1,150.11 Medical Supplies Morgan Company (WRM, Inc)52705 5,057.33 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesMotion Industries, Inc.52880 1,467.31 Electrical/Electronic Equipment, Parts & RepairsMTM Recognition Corporation 52881 321.60 Service Awards NAGDCA 52882 600.00 Professional Organizations Meeting/Training/Membership Neal Supply Co.52706 150.85 Repair & Maintenance Services and/or SuppliesNeal Supply Co.52883 658.79 Repair & Maintenance Services and/or SuppliesNetworkFleet, Inc.52707 2,696.35 Software Maintenance Agreement New Horizons Computer Learning Center 52708 150.00 Professional Organizations Meeting/Training/Membership Nickell Metal Spray 52710 3,537.00 Repair & Maintenance Services and/or SuppliesNorth Central Labs 52884 49.27 Laboratory Services & SuppliesNRG Engine Services, L.L.C.52711 1,694.17 Repair & Maintenance Services and/or Supplies NRG Engine Services, L.L.C.52794 31,972.29 Repair & Maintenance Services and/or Supplies OCB Reprographics 52621 2,783.31 Printing/Reprographics ServicesOCEA52885711.75 Dues DeductibleOffice Depot 52712 849.29 Office Supplies Office Depot 52886 898.06 Office Supplies Olin Corporation 52713 9,381.46 Chemicals, Water/Wastewater Treatment Olin Corporation 52887 2,426.13 Chemicals, Water/Wastewater TreatmentOneSource Distributors, Inc.52714 636.24 Electrical/Electronic Equipment, Parts & Repairs OneSource Distributors, Inc.52888 1,009.46 Electrical/Electronic Equipment, Parts & Repairs Orange County Hose Company 52715 517.50 Miscellaneous Parts and Supplies Orange County Sanitation District 52788 1,310.08 Petty Cash ExpenseOrange County United Way 52889 40.00 Employee Contributions Orange County Vector Control District 52716 145.38 Pest Control Orange County Water District 52597 72,560.35 GAP Water OSTS Inc.52890 420.00 Professional Organizations Meeting/Training/MembershipPAC52891739.88 Laboratory Services & Supplies fin/210/mm Page 6 of 8 EXHIBIT B 12/5/2012 Vendor Warrant No.Amount Description Claims Paid From 11/16/12 to 11/30/12 Pacific Publishers 52717 170.60 Publications and Books Parker Supply Company 52718 1,992.29 Miscellaneous Parts and SuppliesParkhouse Tire, Inc.52719 585.66 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesPeace Officers Council of CA 52892 2,265.50 Dues Deductions, Supervisors & Professionals Peerless Wiping Materials Co.52720 990.22 Janitor & Household Service & Supplies Performance Pipeline Technologies 52893 9,056.30 Professional Services/CCTV Inspection/Sewerline CleaningPL Hawn Company, Inc.52721 311.42 Repair & Maintenance Services and/or SuppliesPL Hawn Company, Inc.52894 942.34 Repair & Maintenance Services and/or Supplies Polydyne, Inc.735 55,704.08 Chemicals, Water/Wastewater Treatment Polydyne, Inc.740 35,132.09 Chemicals, Water/Wastewater TreatmentPort Supply 52895 28.14 Autos, Trucks & Marine Equipment, Parts, Accessories & ServicesPraxair Distribution, Inc.52722 104.88 Laboratory Services & Supplies Primary Source Office Furnishings, Inc.52723 12,559.34 Minor Equipment/Furniture & Fixtures Primrose Ice Co., Inc.52724 105.00 Water & Ice Services Procare Work Injury Center 52725 720.00 Medical ServicesPrudential Overall Supply 52726 3,285.30 Uniforms PSOMAS 52896 11,000.00 Computer Applications & Services Public Resources Advisory Group 52897 375.00 Professional Services/Engineering Design Services Pump Action 52898 944.05 Oil FiltersR.S. Hoyt, Jr. Family Trust 52727 3,361.56 Sewer User Refund Rainbow Nut & Bolt, Inc.52728 2,030.53 Repair & Maintenance Services and/or Supplies Raymond Handling Solutions, Inc. 52729 185.00 Material Handling Tools & Equipment RBF Consulting 52730 3,698.00 Professional Services/Engineering Design ServicesRehab West, Inc. 52900 463.58 Human Resources ServicesRestek Corp.52901 1,004.29 Laboratory Services & Supplies Richard S. Birdsell 52781 609.12 Meeting/Training Expense Reimbursement RMC Water and Environment 52731 2,495.67 Professional ServicesRMC Water and Environment 52902 3,508.31 Professional ServicesRMS Engineering & Design, Inc.52732 5,995.00 Professional Services/Engineering Design Services Robert M. Gamber 52938 212.52 Meeting/Training Expense Reimbursement Roy J. Reynolds 52941 665.79 Meeting/Training Expense ReimbursementRoyale Cleaners 52733 121.70 Miscellaneous ServicesRutan & Tucker, L.L.P.52903 693.00 Legal Services San Diego/Orange Fluid System Technologies, Inc.52737 170.31 Repair & Maintenance Services and/or Supplies San Diego/Orange Fluid System Technologies, Inc.52904 1,543.05 Repair & Maintenance Services and/or SuppliesSancon Engineering, Inc.52738 24,551.00 Repair & Maintenance Services and/or SuppliesSanders Engineering Co., Inc. 52734 153.66 Sewer User Refund SCAP 52739 105.00 Professional Organizations Meeting/Training/Membership Dues Securitas Security Services USA, Inc.52598 31,387.16 Safety, Security, Health Equipment, Supplies, and Services Shamrock Supply Co., Inc.52740 318.30 Repair & Maintenance Services and/or SuppliesSherwin-Williams Company 52905 400.05 Painting Services and Supplies Shureluck Sales & Engineering 52741 354.76 Repair & Maintenance Services and/or Supplies Shureluck Sales & Engineering 52906 134.69 Repair & Maintenance Services and/or Supplies Siemens Technology 52743 1,619.60 Air Conditioner Automation SystemSiemens Technology 52908 4,557.63 Air Conditioner Automation System Siemens Water Technologies Corp.52742 1,204.36 Repair & Maintenance Services and/or Supplies Siemens Water Technologies Corp.52907 68.86 Repair & Maintenance Services and/or Supplies Skalar, Inc.52744 1,330.72 Laboratory Services & SuppliesSKC West, Inc.52909 181.61 Laboratory Services & Supplies fin/210/mm Page 7 of 8 EXHIBIT B 12/5/2012 Vendor Warrant No.Amount Description Claims Paid From 11/16/12 to 11/30/12 Smith Pipe & Supply, Inc.52745 174.56 Facilities, Maintenance, Services & Supplies So. Cal Gas Company 52746 1,922.83 UtilitiesSource Graphics 52747 23.99 Computer Applications & ServicesSouth Coast Air Quality Management Dist.52748 13,421.12 Governmental Agency Fees & Charges South Coast Air Quality Management Dist.52749 22,167.68 Governmental Agency Fees & Charges Southern California Edison 52599 295,238.86 UtilitiesSouthern Counties Lubricants 52750 1,887.72 Fuel and LubricantsSouthern Counties Lubricants 52910 968.68 Fuel and Lubricants Southern Counties Oil Co.52751 5,667.10 UST Diesel Fuel Transfer at Plt. 1 Southstar Supply Company 52752 654.33 Small ToolsSparklett-Dallas 52753 1,046.84 Miscellaneous ServicesSt. Croix Sensory, Inc.52911 336.00 Olfactometry Testing Services Stancorp Mortgage Investors 52735 3,491.23 Sewer User Refund Standard Automation and Control 52912 17,968.60 Computer Applications & Services Standard Avenue 52736 350.69 Sewer User RefundStanek Constructors Inc 52800 906,382.95 Construction Staples 52754 6,840.60 Office Supplies Staples 52913 259.92 Office Supplies Stratus Environmental, Inc.52755 3,375.00 Professional Services/Groundwater RemovalSummit Steel 52756 991.30 Repair & Maintenance Services and/or Supplies Summit Steel 52914 473.02 Repair & Maintenance Services and/or Supplies Sunset Industrial Parts 52757 687.50 Repair & Maintenance Services and/or Supplies Sunset Industrial Parts 52915 216.92 Repair & Maintenance Services and/or SuppliesSuzanne's Catering 52916 6,965.00 Miscellaneous ExpensesSynagro West, Inc.52600 240,024.96 Biosolids Management Technisource, Inc.52917 2,990.00 Professional Services - MS Access Database Content Migration Project TekSystems 52918 6,680.00 Professional Services/Temporary ServicesTerra Renewal, L.L.C.52601 49,025.37 Grit & Screenings DisposalTestAmerica Ontario 52758 1,443.00 Laboratory Services & Supplies TestAmerica Ontario 52919 210.00 Laboratory Services & Supplies The Creative Group 52836 4,315.50 Professional Services/Temporary ServicesThe Public Retirement Journal 52759 190.00 Books and PublicationsTheodore Robins Ford 52920 867.23 Autos, Trucks & Marine Equipment, Parts, Accessories & Services Thompson Industrial Supply, Inc.737 3,738.85 Repair & Maintenance Services and/or Supplies Thompson Industrial Supply, Inc.743 2,091.96 Repair & Maintenance Services and/or SuppliesTime Warner Communications 52921 60.16 TelecommunicationsTony's Lock & Safe Service & Sales 52922 597.02 Repair & Maintenance Services and/or Supplies Toshiba Business Solutions USA Inc.52923 330.98 Computers, Software/Hardware & Managed Services Total-Western, Inc.52760 5,821.19 Repair & Maintenance Services and/or Supplies Townsend Public Affairs 52924 7,500.00 Professional Services - State Legislative AdvocacyTraffic Logix Corporation 52925 4,205.75 Safety, Security, Health Equipment, Supplies, and Services Truck & Auto Supply, Inc.52926 1,923.63 Autos, Trucks & Marine Equipment, Parts, Accessories & Services Tule Ranch/Magan Farms 52602 241,562.88 Biosolids Management TW Telecom Holdings, Inc.52927 5,209.68 TelecommunicationsUC Santa Barbara MSI Analytical 52603 49,423.00 Professional Services/OCSD Effluent Plume Fate, Transport and Impac UE Systems, Inc.52761 1,495.00 Repair & Maintenance Services and/or Supplies Underground Service Alert of So. Calif 52762 1,515.00 Professional Services - Dig Alert Notification Service Union Bank of California 52928 913.08 Banking ServicesUnited Parcel Service 52763 633.76 Freight Services fin/210/mm Page 8 of 8 EXHIBIT B 12/5/2012 Vendor Warrant No.Amount Description Claims Paid From 11/16/12 to 11/30/12 United Parcel Service 52929 256.45 Freight Services Univar USA Inc 738 14,014.97 Chemicals, Water/Wastewater TreatmentUPS Ground Freight, Inc.52764 526.41 Freight ServicesUS Peroxide, L.L.C.52796 86,122.23 Chemicals, Water/Wastewater Treatment USC 52795 31,037.36 Professional Services/Studies Vaughan S Industrial Repair Co Inc 52765 883.75 Repair & Maintenance Services and/or SuppliesVerizon California 52930 636.90 TelecommunicationsVerne's Plumbing 52766 5,068.25 Plumbing Services & Supplies Village Nurseries 52767 1,197.01 Repair & Maintenance Services and/or Supplies Vision Financial Corporation 52768 1,124.32 Employee Voluntary BenefitsVladimir A. Kogan 52784 183.00 Meeting/Training Expense ReimbursementVWR Scientific Products 52769 585.98 Laboratory Services & Supplies Walgreens Co., No. 06157-S 52770 471.80 Sewer User Refund Walton Motors & Controls Inc. 52931 7,203.76 Repair & Maintenance Services and/or Supplies Water Environment Federation 52771 537.00 Professional Organizations Meeting/Training/MembershipWater Environment Federation 52932 231.00 Professional Organizations Meeting/Training/Membership Water Environment Research Foundation 52797 82,992.00 Capital Research Project Charter - (Trace Organic Chemicals) Waxie Sanitary Supply 52772 175.48 Janitor & Household Service & Supplies Waxie Sanitary Supply 52933 811.30 Janitor & Household Service & SuppliesWest Coast Arborists, Inc.52773 800.00 Landscape Maintenance Services West Lite Supply Company, Inc.52774 15.09 Electrical/Electronic Equipment, Parts & Repairs Western Blue/Insight/Hewlett Packard 52775 3,458.34 Computers, Software/Hardware WorldatWork 52776 350.00 Professional Organizations Meeting/Training/MembershipXerox Corporation 52777 117.67 Computers, Software/Hardware & Managed ServicesXyon Business Solutions, Inc.52778 1,755.00 Professional Services/Temporary Services Yale/Chase Materials Handling, Inc.52934 200.39 Electrical/Electronic Equipment, & Electric Cart Parts & Repairs 24 Hour Fire Protection, Inc.52779 1,500.00 Repair & Maintenance Services and/or Supplies Total Accounts Payable - Warrants $ 5,984,643.05 Payroll Disbursements Employee Paychecks 50050 - 50051 2,816.62$ Interim Payroll - Reissue Direct Deposits (11/19/12) Employee Paychecks 50052 - 50088 86,204.19 Biweekly Payroll (11/28/12) Employee Paychecks 50089 2,563.85 Interim Payroll - Term. Reg. Hours (11/21/12)Employee Paychecks 50090 5,903.15 Interim Payroll - Term. Accrual Payout (11/21/12) Employee Paychecks 50091 - 50118 4,815.92 Interim Payroll - ARBA (11/30/12) Employee Paychecks 50019 1,122.54 Interim Payroll - Retro Pay (11/27/12) Employee Paychecks 50120 2,644.04 Interim Payroll - Term. Reg. Hours (11/29/12)Employee Paychecks 50121 2,632.28 Interim Payroll - Term. Accrual Payout (11/29/12) Direct Deposit Statements 329422 - 329987 1,425,743.17 Biweekly Payroll (11/28/12) Direct Deposit Statements 329988 - 330157 40,945.75 Interim Payroll - ARBA (11/30/12) $ 1,575,391.51 Wire Transfer PaymentsOCSD Payroll Taxes & Contributions 784,805.94$ Biweekly Payroll (11/28/12) - Total Wire Transfer Payments $ 784,805.94 Total Claims Paid 11/16/12 - 11/30/12 8,344,840.50$ Page 1 of 1 896944.1 BOARD OF DIRECTORS Meeting Date To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number Item Number 4 Orange County Sanitation District FROM: BRADLEY R. HOGIN, GENERAL COUNSEL SUBJECT: CLAIM FOR DAMAGES SUBMITTED BY STATEWIDE SAFETY & SIGNS, INC. (Magnolia Trunk Sewer Rehabilitation Project, Job No. 3-58) GENERAL COUNSEL'S RECOMMENDATION Deny Claim submitted by Statewide Safety & Signs, Inc., dba Statewide Traffic Safety & Signs and Direct Staff to Transmit a Written Denial of the Claim within 45 days of the date Statewide Safety & Signs submitted its claim. SUMMARY On November 19, 2012, the Orange County Sanitation District ("District") received a claim for damages from Statewide Safety & Signs, Inc., dba Statewide Traffic Safety & Signs ("Statewide") arising out of the underlying action entitled Jamie Nicole Maddux ("Maddux") v. City of Fountain Valley, Orange County Superior Court Case No. 30- 2012-00569266-CU-PO-CJC. The underlying action is based on personal injuries sustained by Maddux on May 24, 2011, as a result of a car accident at the intersection of Bushard Street and Rose Avenue in the City of Fountain Valley, California, related to the Magnolia Trunk Sewer Rehabilitation Project, Job No. 3-58 ("Project"). Statewide was a subcontractor on the Project and provided traffic control. Statewide is seeking indemnification, contribution and declaratory relief from the District. Because Statewide's claims have no merit, it is recommended that the Board deny Statewide's claims, and direct staff to transmit a written denial of the claim within 45 days of the date Statewide submitted its claim. PRIOR COMMITTEE/BOARD ACTIONS November 2011 – Denied Maddux's claim for Damages. ATTACHMENTS 1. Claim for Damages submitted on November 19, 2012, by Statewide Safety & Signs, Inc. CLAIM FOR DAMAGE OR INJURY 1. Claim for death, injury to person, or to personal property must be filed no later than six months after the occurrence (Gov. Code, Sec.911.2). 2. Claims for damages to real property must be filed not later than 1 year after ·the occurrence (Gov. Code, Sec. 911.2). TO: QRANGE COUNTY SANITATION DISTRICT , ATIN: RISK MANAGEMENT DIVISION 10844 ELLIS AVENUE FOUNTAIN VALLEY, CA 92708-7018 Statewide Safety & Signs, Inc., dba Statewide Traffic Safety & Signs Name of Claimant 4000 Westerly Place, Suite 1 00 Newport Beach, CA 92660 Address David P. Reid, Esq. FOR SANITATION DISTRICT USE ONLY (Date claim Rec'd & Filed) /1-Jti-1 ~ j<_JL- David p Reid, Esq (714) 850-0210 Schumann Rosenberg, 3100 Bristol St. Suite 400, Costa Mesa, CA 92626 Phone WHEN did damage or injury occur? May 24,2011 WHERE did damage occur? Address to which claimant wishes notices sent Intersection of Bushard St. and Rose Ave., Fountain Valley, CA HOW and under what circumstances did damage or injury occur? Automobile accident involving Plaintiff Jamie Nicole Maddux who filed a Complaint dated May 15, 2012, in Orange County Superior Court, Case #30-2012-00569266. Claimant Statewide is seeking equitable indemnity from the Orange County Sanitation District. See copy of Complaint attached as Exhibit "A." WHAT particular action by the Sanitation District, or its employees, caused the alleged damage or injury? (Include names of employees, if known) Per Plaintiff's Complaint, at the time of the accident the Sanitation District's Magnolia Trunk Sewer Rehabilitation Project was underway, establishing a construction/work zone south of the intersection of Bushard St. and Rose Ave. Plaintiff alleges that a significant and substantial visibility and site distance problem exited which created a concealed "trap" to members of the general public who were lawfully utilizing that portion of the roadway and public property. As a result, Plaintiff's vehicle was struck by a vehicle driven by Rhonda Patrice Misloski and Plaintiff suffered injuries which are the basis of her lawsuit. WHAT sum do you claim? Include the estimated amount of any prospective loss, insofar as it may be known at the time of the presentation of this claim, together with the basis of computation of the amount claimed: (Attach estimates of bills, if possible). Plaintiff Maddux is claiming damages for medical treatment in excess of $500,000. Claimant Statewid~ is seeking indemnification, contribution and declaratory relief from the Orange County Sanitation District. Please see Attachment Exhibit "B." NAMES and addresses of witnesses, doctors and hospitals: See Traffic Collision Report attached as Exhibit "C." Dated: __:..)..;_1-___;,.../ l....~..t_-.....;..1_2-___ _ Revised 08-12 Risk Mgmt SCHU~~ By David P. Reid Attorneys for Claimant, Statewide Safety & Signs, Inc. Attachment to Claim for Damage or Injury This is a cross-claim for indemnification, contribution and declaratory relief arising from a Complaint filed against Statewide Safety & Signs, Inc., dba Statewide Traffic Safety & Signs, erroneously sued as American Barricade, Inc. American Barricade has not been served with the Complaint but has been served with Plaintiffs Certificate of Merit on July 16, 2012. This is not a direct claim for damages arising out of the underlying action. It is a claim arising .out of the action entitled Jamie Nicole Maddux vs. City of Fountain Valley, Orange County Superior Court Case No. 30-2012-00569266, in which Defendant Statewide Safety & Signs, Inc., dba Statewide Traffic Safety & Signs, seeks indemnification, contribution and declaratory relief from the Orange County Sanitation District. Prior to being served with the Jamie Nicole Maddux vs. City of Fountain Valley Certificate of Merit, the cross-claim against the Orange County Sanitation District for indemnification, contribution and declaratory relief did not exist. part: This cross-claim is governed by Government Code Section 901 providing in relevant " ... However, the date upon which a cause of action for equitable indemnity or partial equitable indemnity accrues shall be the date upon which a defendant is served with the complaint giving rise to the defendant's claim for equitable indemnity or partial equitable indemnity against the public entity." [emphasis added} Page 1 of 1 BOARD OF DIRECTORS Meeting Date To Bd. of Dir. 12/19/2012 AGENDA REPORT Item Number Item Number 5 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Assistant General Manager SUBJECT: Authorizing Application to CalRecycle Tire-derived Product Grant Program GENERAL MANAGER'S RECOMMENDATION Adopt Resolution No. OCSD 12-15, approving submittal of an application for the CalRecycle Tire-derived Product grants. SUMMARY Staff has identified a grant through the CalRecycle for public agencies to purchase tire- derived products, such as rubber mulch for landscape use. This grant provides up to $150,000 to purchase products made from recycled tires. We have identified a use in our parking lot planters where we can add the rubber mulch. The benefits will be less water use and longer-lasting mulch materials. The grant will pay for all the materials and the Orange County Sanitation District (OCSD) will have to provide the labor. The attached resolution (required by CalRecycle) authorizes staff to move forward with the application and formalizes our understanding of the grant requirements. The resolution also authorizes the General Manager to execute the agreement with CalRecycle. PRIOR COMMITTEE/BOARD ACTIONS None ADDITIONAL INFORMATION None ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: · Calrecycle Tire-Derived Product Grant Resolution No. OCSD 12-15 (1 page) MG:jb:gc RESOLUTION NO. OCSD 12-15 RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT APPROVING SUBMITTAL OF APPLICATION FOR THE CALRECYCLE TIRE-DERIVED PRODUCT GRANTS WHEREAS, Public Resources Code sections 40000 et seq. authorize the Department of Resources Recycling and Recovery (CalRecycle), to administer various Grant Programs (grants) in furtherance of the state of California’s (State) efforts to reduce, recycle and reuse solid waste generated in the State thereby preserving landfill capacity and protecting public health and safety and the environment; and WHEREAS, in furtherance of this authority CalRecycle is required to establish procedures governing the application, awarding, and management of the grants; and WHEREAS, CalRecycle grant application procedures require, among other things, an Applicant’s governing body to declare by Resolution certain authorizations related to the administration of CalRecycle grants. NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Orange County Sanitation District authorizes the submittal of application(s) to CalRecycle for the Tire-derived product grants (FY 2012-2013) BE IT FURTHER RESOLVED that the General Manager, or his/her designee is hereby authorized and empowered to execute in the name of the Orange County Sanitation District all grant documents, including but not limited to, applications, agreements, amendments and requests for payment, necessary to secure grant funds and implement the approved grant project; and BE IT FURTHER RESOLVED that these authorizations are effective for five (5) years from the date of adoption of this Resolution. PASSED AND ADOPTED at a regular meeting held , 2012. _______________________________ Troy Edgar Chair, Orange County Sanitation District ATTEST: _____________________________ Maria Ayala Clerk of the Board Page 1 of 2 BOARD OF DIRECTORS Meeting Date To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number Item Number 6 Orange County Sanitation District FROM: Jim Herberg, General Manager Originator: Jim Herberg, Assistant General Manager Project Manager: Wendy Smith, Engineer SUBJECT: SOUTHERN CALIFORNIA GAS COMPANY TEMPORARY ACCESS AGREEMENT GENERAL MANAGER'S RECOMMENDATION Execute a no cost Agreement with Southern California Gas Company to allow temporary access to Orange County Sanitation District sewer facilities for private lateral inspection purposes, in a form approved by General Counsel SUMMARY The Southern California Gas Company (Gas Company) has requested permission from the Orange County Sanitation District (Sanitation District) to access our sewer main facilities in the City of Tustin and unincorporated County of Orange, for the purposes of inspection of private sewer laterals by camera for gas line intrusions. The Sanitation District is requiring that the Gas Company obtain permission from the property owners to access private sewer laterals and work with the property owner directly to repair the broken lateral, if due to gas line intrusion. If the private sewer lateral is broken due to circumstances other than gas line intrusion, it is the Gas Company’s responsibility to notify the property owner of the sewer lateral condition. Gas Company employees or representatives will be accompanied by Sanitation District personnel at all times. The Sanitation District will be reimbursed for labor costs. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION The effort to inspect private sewer laterals for gas line intrusion is a proactive effort by the Gas Company to identify potentially dangerous conditions caused by gas line installation by micro tunneling methods. The Gas Company is obligated to pay for any damage to the Sanitation District facilities caused by this effort and is also responsible for any penalty that may be assessed by a regulatory agency in the unlikely case of a sewer overflow. Page 2 of 2 CEQA CEQA does not apply to any project consisting of the inspection, maintenance, repair, restoration, reconditioning, relocation, replacement, or removal of an existing hazardous or volatile liquid pipeline or any valve, flange, meter, or other piece of equipment that is directly attached to the pipeline under Section 15284. BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the Sanitation District’s Delegation of Authority. ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: · Temporary Access Agreement (7 pages) WA:sa:gc 877657.1 TEMPORARY ACCESS AGREEMENT BY AND BETWEEN THE ORANGE COUNTY SANITATION DISTRICT AND SOUTHERN CALIFORNIA GAS COMPANY THIS TEMPORARY ACCESS AGREEMENT ("Agreement") is made and entered into as of December___, 2012 (“Effective Date”) between SOUTHERN CALIFORNIA GAS COMPANY ("Permittee"), and ORANGE COUNTY SANITATION DISTRICT ("OCSD"). Permittee and OCSD are individually or collectively referred to herein respectively as the "Party" or the "Parties." This Agreement is made with reference to the following facts: A. OCSD owns and maintains sewer facilities, including manholes and main pipelines, located in the public right-of-way; and B. Permittee has requested permission to access and enter into OCSD's manholes and main pipelines located in the public right-of-way in the City of Tustin and unincorporated County of Orange (hereinafter, "OCSD Facilities") to inspect private sewer laterals for gas line intrusion using video inspection camera equipment (hereinafter, "Permittee's Work"); and C. Permittee understands and acknowledges that OCSD does not have the authority and this Agreement does not grant Permittee a right to access and enter into private sewer laterals; and D. OCSD is agreeable to allowing Permittee to access and enter into OCSD Facilities for the limited purpose of Permittee's Work, and the Parties intend to memorialize the duties and obligations of each of the Parties as set forth herein. NOW, THEREFORE, in consideration of the mutual obligations, representations, and promises contained in this Agreement, Permittee and OCSD hereby agree as follows: 1. Grant of Access. OCSD hereby grants Permittee temporary non-exclusive access to enter into and upon OCSD Facilities, limited to manholes and main pipelines located in the public right-of-way in the City of Tustin and unincorporated County of Orange, for the purpose of using Permittee's video inspection camera equipment to inspect private sewer laterals for gas line intrusion. Permittee shall not interfere with OCSD's operation and use of the OCSD Facilities, if any, to the maximum extent possible. 2. Term and Termination. This Agreement shall commence on the Effective Date and will continue in effect for a term of two years or shall terminate upon written notice by either Party of such termination. 3. Safety and Site Condition. Permittee 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 OCSD Facilities in a safe and orderly condition. Permittee agrees that it will maintain no nuisance on or within OCSD Facilities and will not allow odors or noise to 877657.1 unreasonably impact neighboring properties. Upon the termination of this Agreement or conclusion of Permittee's Work, whichever first occurs, Permittee shall restore OCSD Facilities to as close to the same condition as before the commencement of the Agreement to the extent reasonably feasible and to the reasonable satisfaction of OCSD. 4. Limited Access. Permittee agrees that entry upon OCSD Facilities shall be limited to the extent necessary or desirable for the purposes expressed in this Agreement. Only Permittee, or authorized representatives of Permittee, shall be authorized to enter under this Agreement. Additional conditions to access OCSD's Facilities include: A. Entry is only permitted during normal working hours unless otherwise approved in writing by OCSD. Weekend, overnight, or after hours use of OCSD Facilities is not allowed. i. Permittee shall submit a proposed schedule of Permittee's Work, including working house, to OCSD personnel for review at least two weeks prior to the commencement of Permittee's Work. ii. In addition to the proposed schedule of Permittee's Work, Permittee shall provide written notification at least forty-eight (48) hours prior to Permittee's access of OCSD Facilities. Notification herein shall include a map depicting the proposed access points of Permittee's Work, if different from the approved work schedule. Notification pursuant to this section shall be directed to John Gonzalez (ph: 714-593-7644, email: jgonzalez@ocsd.com) with a copy to Rich Leon (ph: 714-593-7242, email: rleon@ocsd.com). B. Permittee shall have a copy of this Agreement available for review at all times while accessing OCSD Facilities. C. Permittee must be accompanied by an OCSD employee at all times during Permittee's Work. D. Permittee shall maintain access for OCSD personnel to and into OCSD Facilities at all times, and Permittee's Work shall not interfere with OCSD's use of the OCSD Facilities. E. Permittee expressly acknowledges and understands that OCSD Facilities shall remain in operation during the Term of this Agreement and during Permittee's Work as provided herein. F. Installation of any improvements, materials or personal property, soils borings, trenching, or any digging must be approved by OCSD prior to initiating the work. 5. Authorization and Compliance with Laws. Permittee expressly acknowledges that OCSD has not undertaken to notify or obtain any permission from any owner of property or 877657.1 other person whose premises are served by any private sewer lateral with respect to Permittee's entry into such private sewer lateral, and that OCSD makes no representations or warranties regarding whether there is any requirement for any such notification or permission. Permittee is responsible for obtaining all permits or authorizations from third parties, including private property owners to access private sewer laterals, and governmental authorities, if any are necessary, for Permittee to utilize the rights granted herein. Permittee agrees to assume all risks associated with the failure to notify or obtain permission from owners of property impacted by Permittee's Work, and Permittee agrees that any claim arising therefrom shall be deemed a "Claim" that is related to Permittee's Work within the meaning of the Indemnity provisions contained in Paragraph 10 herein. While performing Permittee's Work, Permittee shall comply in all respects with all applicable Federal, State, and Local laws, ordinances and regulations, as well as all instructions and directions of OCSD's authorized agents. 6. Permittee's Additional Responsibilities. Permittee's responsibilities under this Agreement are and shall be subject to the following conditions, which shall also apply to Permittee's employees, officers, consultants, agents, representatives, invitees, and any other person entering OCSD Facilities under this Agreement: A. Permittee hereby agrees to be liable for and to pay to OCSD, or any third party, the cost of any damage, of any kind whatsoever, to real or personal property, including fences, gates, trees, improvements, and any other property of OCSD, or any third party, including loss of use thereof, arising from, or in any way related to, the acts or omissions of Permittee or Permittee's representatives under this Agreement. B. Permittee hereby agrees to pay for any penalty assessed upon OCSD by any third party or governmental agency, for a sewer overflow that arises from or is connected to Permittee's Work. C. In the event a private sewer lateral is damaged due to a gas main intrusion that was discovered as part of Permittee's Work, Permittee shall work directly with the private property owner to remedy the damage. D. In the event a private sewer lateral is damaged as a result of circumstances other than a gas main intrusion, Permittee shall notify the private property owner concerning the Permittee's the condition of the private sewer lateral. E. Permittee shall provide a copy of all inspection videos arising from or pertaining to Permittee's Work using OCSD Facilities to OCSD personnel upon completion of Permittee's Work, and at no cost to OCSD. F. Permittee shall reimburse OCSD for any and all costs incurred by OCSD related to Permittee's use of OCSD Facilities. Reimbursement costs shall be for, but not limited to, labor, materials, energy costs, repairs, restoration, or other costs related to Permittee's use of the OCSD Facilities. Payment for reimbursement by Permittee shall occur within thirty (30) days of expiration or termination of this Agreement. This condition shall not limit any other provision of the Agreement requiring Permittee to 877657.1 reimburse OCSD for costs or to perform repairs and other activities at Permittee's own expense. 7. Sole Cost of Permittee. Permittee agrees that any and all use at, near, beneath or related to the OCSD Facilities for Permittee's Work shall be at the sole cost and expense of Permittee. Permittee, at its sole cost and expense, is responsible for the lawful disposal of all materials, matters and other by-products it brings on or into OCSD's Facilities. Permittee agrees to reimburse OCSD for the actual costs, if any, to maintain or clean up OCSD Facilities that arises out of the use by Permittee. 8. Temporary Access. This Agreement is intended and shall be construed as a temporary authorization to access and enter upon the OCSD Facilities, and not as a grant of easement or any other interest in OCSD's Facilities or property. Except as expressly set forth herein, no other rights are created by this Agreement. 9. As-Is. In entering OCSD's Facilities, Permittee accepts the conditions of the OCSD Facilities as may exist from time to time without any representation or warranty of OCSD, and without any duty of OCSD to warn of any conditions. Permittee acknowledges and understands that the Permittee's use of the OCSD Facilities is non-exclusive and that the OCSD Facilities may be accessed by OCSD licensees, invitees, employees, agents, or representatives. Accordingly, except to the extent arising out of the negligence or willful misconduct of OCSD, Permittee agrees to assume all risks associated with entry and presence in or on the OCSD Facilities and releases OCSD from any and all liability that might arise from the condition of the property. OCSD, its directors, officials, employees, agents and representatives shall not be liable for any damage or liability, of any kind whatsoever, to the property belonging to or used by Permittee, including loss of use of any such property, or for any injury of any kind whatsoever to any person entering into or upon OCSD Facilities under this Agreement, arising from any cause whatsoever, and Permittee hereby waives any and all claims and demands relating thereto. 10. Indemnity. Except to the extent arising out of the negligence or willful misconduct of OCSD, Permittee agrees to indemnify, defend, save and hold harmless OCSD, its directors, officials, employees, agents and representatives (collectively, "Indemnified Parties"), from and against any and all claims, losses, liabilities, lawsuits, costs and expenses (collectively, "Claims"), including attorney's fees, for damage to real, personal, tangible or intangible property, including loss of use of any such property, and all claims for bodily injury, sickness, disease or death of any person, arising from or in any way related to any act, omission, or entry upon OCSD Facilities or other activity under this Agreement by Permittee or Permittee's authorized representatives. This indemnity expressly includes Permittee's duty to indemnify and defend the Indemnified Parties against claims by third parties related to Permittee's access and entry into private sewer laterals. 11. Insurance. Prior to any access or entry under this Agreement, Permittee must furnish a policy certificate of comprehensive general liability, automobile insurance, and worker's compensation insurance carried by Permittee, covering all of Permittee's Work under this Agreement, or provide a certificate of self-insurance. In addition, this insurance policy shall reflect that the policy is primary as it pertains to any claim, loss or liability arising directly or 877657.1 indirectly from Permittee's Work, and any other insurance maintained by OCSD shall be considered noncontributory. This insurance must be in a form satisfactory to OCSD, and shall remain in effect during the term of this Agreement and at all times during which Permittee accesses OCSD Facilities. The following coverage must be no less than the following limits: (A) Commercial General Liability, with $2,000,000 per occurrence for bodily injury, personal injury, and property damage; (B) Automobile Liability, with $2,000,000 combined single limit per accident for bodily injury and property damage. (C) Workers Compensation with statutory limits. Permittee shall cause OCSD, its officers, directors, employees, agents and representatives, to be named as an additional insured for both ongoing and completed operations on the Commercial General Liability and on the automobile insurance policy and shall provide OCSD with a certificate of said policies along with copies of the endorsements. Each insurance policy required herein shall be endorsed to state that coverage shall not be cancelled, except after thirty (30) days’ written notice. 12. Attorneys’ Fees. If either of the Parties is required to engage an attorney and institute an action in order to enforce any of the provisions of this Agreement, the prevailing Party shall be entitled to reasonable attorneys’ fees, expert witness fees and court costs which may be incurred in connection therewith. 13. Binding on Successors. This Agreement shall be binding upon the Parties to this Agreement and their respective successors, representatives, heirs and assigns. 14. 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. Any waiver of any of the rights of either Party hereunder must be in a writing signed by the Party waiving such right(s). 15. Assignment. Permittee's rights under this Agreement shall not be assigned. Any attempt to assign this Agreement shall be void and of no effect and shall constitute an incurable default under this Agreement. 16. Choice of Law. The terms of this Agreement shall be construed pursuant to the laws of the State of California. 17. Entire Agreement. This Agreement constitutes the entire agreement and understanding between the Parties pertaining to this subject matter and supersedes all prior or contemporaneous agreements and understanding, both written and oral, pertaining to the subject matter hereof. 18. Interpretation. This Agreement will be interpreted according to the fair meaning 877657.1 of its terms and not strictly for or against any Party hereto. 19. Modification. The provisions of this Agreement may only be amended, modified or waived by written agreement executed by both Parties. Each person signing warrants that they have the authority to bind the party. 20. Severability. If any provision of this Agreement is held to be invalid or unenforceable for any reason, the remaining provisions shall continue in full force and effect without being impaired or invalidated in any way. 21. Notice. Unless otherwise stated herein, 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 United States certified mail, postage prepaid. Unless and until otherwise notified, the address of each of the parties for the giving of Notices shall be: If to Permittee: The Gas Company Attn: Amy Kitson 555 W. 5th St. Los Angeles, CA 90013 If to OCSD: Orange County Sanitation District Attn: Jim Herberg, General Manager 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 Dated: _________________ APPROVED AS TO FORM: By: ______________________ By: ___________________ Troy Edgar Bradley R. Hogin Its: Chair of the Board of Directors Its: General Counsel SOUTHERN CALIFORNIA GAS COMPANY Dated: _____________________ Page 1 of 3 BOARD OF DIRECTORS Meeting Date To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number Item Number 7 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Assistant General Manager Project Manager: Wendy Sevenandt, CIP Project Manager SUBJECT: JOINT MICROFILTRATION BACKWASH REDIRECTION, PROJECT NO. J-36-1 GENERAL MANAGER'S RECOMMENDATION Approve Amendment No. 1 to the Cost Sharing Agreement for the Development of a Joint Project to Increase Nighttime Flow to GWRS and Redirect Microfiltration Backwash Waste Flows at Orange County Sanitation District, Plant No. 1. SUMMARY The Orange County Water District (Water District) and the Orange County Sanitation District (Sanitation District) entered into an agreement to equally share costs for the design and construction of a project to provide Groundwater Replenishment System (GWRS) with additional nighttime flow and redirect return waste flows at the Sanitation District, Plant No. 1. Modifications to the Sanitation District’s primary clarifiers have been completed allowing the Water District to receive an additional three million gallons of flow each night. Repairs and structural design improvements at an existing Sanitation District structure are necessary for the continuation of the project. The agreement authorized the Sanitation District to contribute up to $1,061,000 for the construction of pumping systems to redirect return flows. To date, the Sanitation District’s cost has been approximately $200,000. The proposed amendment will reallocate a portion of the remaining project budget to cover necessary repairs and structural design modifications estimated at $130,000, with no change to the existing budget. PRIOR COMMITTEE/BOARD ACTIONS January 2011 – Established a budget for the Joint GWRS Microfiltration Backwash Redirection Project, Project No. J-35-1, in the amount of $1,061,000; and approved a cost-sharing agreement with the Orange County Water District for half the project expenditures, in a form approved by General Counsel, for an estimated amount not to exceed $1,061,000. April 2010 – Approved Amended Joint Exercise of Powers Agreement for the Development, Operation, and Maintenance of the Groundwater Replenishment System and Green Acres project. Page 2 of 3 ADDITIONAL INFORMATION In January 2011, the Water District and Sanitation District entered into an agreement to (1) increase nighttime flows by storing excess wastewater at the Sanitation District during the day so that it could be treated at night, thereby increasing the overall production for GWRS; and, (2) make minor piping changes to divert microfiltration backwash waste flows from the GWRS directly to the secondary treatment process bypassing primary treatment. The agreement established a project budget of $2,122,000 for the design and construction modifications to the Sanitation District’s primary treatment facilities to be shared equally between the two agencies ($1,061,000 each). The portion of the project to store and pump out the microfiltration backwash waste was designed by Sanitation District staff. Rental costs for pumping equipment were the basis of the original budget approved by the Board in January 2011. The Sanitation District design team determined that purchasing the pumps would provide cost savings over renting temporary pumps. The Water District paid for construction of the first half of the project and provided contract management, while the Sanitation District provided technical support and inspection. The Water District awarded the construction contract in the amount of $323,000. The Sanitation District’s expenditure was approximately $200,000. With the significant savings in construction cost, the Water District elected to waive the Sanitation District’s cost sharing for construction. After installation and start-up of the first half of the project, it was discovered that a critical structure for the project had been damaged. Repairs and structural improvements became necessary prior to constructing the second half of the project. Under the proposed amendment to the agreement, the Water District has agreed to design the repairs and structural modifications while the Sanitation District will fund the construction at an estimated cost of $130,000. The economic benefit for the second half of the project is no longer viable and the Water District will not proceed with this work. The repair and structural modification work is still necessary for the Sanitation District’s normal operation and for the best operational management of return flows from the Water District. CEQA The recommended action is also categorically exempt pursuant to CEQA Guidelines Sections 15301(a) because it consists of the minor alterations to an existing public structures, facilities, and/or mechanical equipment, involving no expansion of use beyond that currently existing. A Notice of Exemption was filed with the County of Orange. Page 3 of 3 BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the Sanitation District’s Delegation of Authority. This item has been budgeted. (Line item: Section 8, Page 46). ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: · Amendment No. 1 of Cost-Sharing Agreement (5 pages) WS:dm:gc 883575.1 AMENDMENT NO. 1 TO THE COST-SHARING AGREEMENT FOR THE DEVELOPMENT OF A JOINT PROJECT TO INCREASE NIGHTTIME FLOW TO GWRS AND REDIRECT MICROFILTRATION BACKWASH WASTE FLOWS AT OCSD PLANT NO. 1 This Amendment No. 1 ("Amendment") to the Agreement entitled "Cost-Sharing Agreement for the Development of a Joint Project to Increase Nighttime Flow to the Groundwater Replenishment System (GWRS) and Redirect Microfiltration Backwash Waste Flows" effective April 6, 2011 (hereinafter, "Agreement") is made and entered into between the Orange County Water District (the "Water District") and the Orange County Sanitation District (the "Sanitation District"). The Water District and the Sanitation District are sometimes collectively referred to in this Agreement as the "Parties," and individually referred to as each "Party." This Amendment shall be effective as of the date executed by all the Parties. RECITALS This Amendment is based on the following facts, mutual understandings and intentions of the Parties: A. The Parties entered into an agreement dated November 12, 2002 entitled “Joint Exercise of Powers Agreement for the Development, Operation and Maintenance of the Groundwater Replenishment System and the Green Acres Project” (“Original 2002 Agreement”). The Original 2002 Agreement sets forth (1) certain rights and obligations relating to the planning, design, construction, operation, and maintenance of the Groundwater Replenishment System (“System”) and (2) certain rights and obligations relating to the operation of the Green Acres Project and the Water District’s sale of Reclaimed Water to the Sanitation District. The Parties amended the 2002 Agreement on October 15, 2003 and April 26, 2006. (The Original 2002 Agreement, as amended on October 15, 2003 and April 26, 2006, is hereinafter referred to as the “2002 Agreement”) B. Pursuant to the 2002 Agreement, the Parties have planned, designed, and constructed the System. The System commenced operation on January 10, 2008, and has operated continuously since that date. C. On or about May 5, 2010, the Parties entered into the "Amended Joint Exercise of Powers Agreement for the Development, Operation and Maintenance of the Groundwater Replenishment System and the Green Acres Project" ("Amended Agreement") which was intended to replace the 2002 Agreement while, at the same time, preserve all of the rights and obligations set forth in those portions of the 2002 Agreement incorporated by reference. D. The GWRS is designed to produce 70 million gallons per day (mgd) and 72,000 acre-feet (af) of water per year, but has not met that production during its first three years of operation. The average production over the past year has been approximately 64 mgd. One of the main factors contributing to this shortfall is the lack of available nighttime wastewater flows. 883575.1 E. Paragraph 36 of the Amended Agreement provides: "Reduction in Wastewater Supply. In the event significant wastewater supply changes occur as a result of insufficient volumes of wastewater being collected by the Sanitation District’s system which individually or in sum result in a reduction of the waste water flow to the Sanitation District’s Reclamation No. 1 to below one hundred and four (104) mgd (including only wastewater from approved reclamation sources) the Parties shall meet and confer in good faith regarding (a) the design and construction of additional diversion facilities to increase or redirect wastewater flows to Reclamation Plant No. 1 for processing as Specification Influent, and (b) the appropriate allocation of costs for the design and construction of any such diversion facilities. Any such additional facilities shall be owned by the Sanitation District." E. Consistent with the requirements of Paragraph 36, the Parties met and conferred and entered into the Agreement effective April 6, 2011, for (a) the design and construction of additional diversion facilities and (b) the allocation of costs for the design and construction of such diversion facilities. F. Pursuant to the Agreement, the Water District and the Sanitation District planned and designed improvements to increase nighttime flows into the Sanitation District's Plant No. 1 and to increase the overall production for GWRS ("Backwash Redirection Project"). The Backwash Redirection Project also includes minor piping changes to divert microfiltration waste backwash flows from the GWRS directly to the secondary treatment process rather than to the primary treatment process. G. The Water District awarded and paid a contract in the amount of $323,000 for a portion of the Backwash Redirection Project, which includes ten pumps, and the Water District provided contract management for this portion of the Backwash Redirection Project. The Sanitation District prepared the design and provided inspection during the construction of this portion of the Backwash Redirection Project and expended $200,000 through September 1, 2012. H. In order for the backwash system to operate properly, additional work is required to reinforce a portion of the Sanitation District's facilities, specifically the Primary Influent Splitter Box Launders. The repairs to the Primary Influent Splitter Box Launders are not anticipated to be completed until October 2013. I. In lieu of the Sanitation District reimbursing the Water District for one-half of the Backwash Redirection Project expenditures as required in Paragraph 4 and Paragraph 5 of the Agreement, the Parties desire to enter into new obligations, wherein the Sanitation District will pay for the construction of a related project to reinforce the primary launders, which will be a mutual benefit for the Water District and Sanitation District. 883575.1 J. The Parties desire to enter into this Amendment to reflect the respective obligations of the Parties concerning the matters set forth herein. NOW, THEREFORE, in consideration of the foregoing facts recited and the mutual goals and objectives contained herein, the Parties agree as follows: 1. Paragraph 2 of the Agreement shall be deleted in its entirety and replaced as follows: "2. Increasing Nighttime Flow. Microfiltration Backwash Waste produced during the day shall be stored in existing primary clarifiers that are currently not in use and then pumped out and further treated by secondary treatment at night to make up for the nighttime shortfall that currently exists. In order to implement this objective for near term benefit, the Water District shall procure and install pumps and appurtenant piping, electrical components and control panels. The Backwash Redirection Project cost includes the estimated cost of procuring the pumps and appurtenant materials." 2. Paragraph 4 of the Agreement shall be deleted in its entirety and replaced as follows: "4. Obligations for the Backwash Redirection Project. The Water District shall lead the construction of the Project, and the Water District shall pay for the entire construction cost of the Backwash Redirection Project. Upon completion of the Backwash Redirection Project, the Water District shall be responsible for operating and maintaining the pumps and appurtenant materials, including the piping, pump control panels and electrical components. The Sanitation District shall pay for the cost of electricity to run the pumps." 3. Paragraph 5 of the Agreement shall be deleted in its entirety and replaced as follows: "5. Subsequent Project. A related construction project to reinforce the Sanitation District's Primary Influent Splitter Box Launders is necessary to allow the backwash redirection system to operate properly ("Subsequent Project"). The Water District shall lead the planning and design of the Subsequent Project. The Sanitation District shall lead the construction of the Subsequent Project, and the Sanitation District shall pay for the cost of construction of the Subsequent Project, which shall not exceed $500,000." 4. Paragraph 6 of the Agreement shall be deleted in its entirety and replaced as follows: "6. Ownership of Facilities. The Water District shall own the ten pumps along with appurtenant facilities that are to be constructed pursuant to the 883575.1 Backwash Redirection Project while the Backwash Redirection Project is in operation. Upon the permanent removal of the Backwash Redirection Project, the Water District and the Sanitation District shall each take ownership of five pumps along with the appurtenant facilities that are to be constructed pursuant to the Backwash Redirection Project. Otherwise, the Sanitation District shall own all facilities related to or arising from the construction of the Subsequent Project." 5. Full Force and Effect. This modifying Amendment is supplemental to the Agreement and is by reference made a part of said Agreement. All of the terms, conditions, and provisions, thereof, unless specifically modified herein, shall continue in full force and effect. In the event of any conflict or inconsistency between the provisions of this Amendment and any provisions of the Agreement, the provision of this Amendment shall in all respects govern and control. 6. Corporate Authority. The persons executing this Amendment on behalf of the Parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment on behalf of said party, (iii) by so executing this Amendment, such party is formally bound to the provisions of this Amendment, and (iv) the entering into this Amendment does not violate any provision of any other agreement to which said party is bound. [SIGNATURES ON FOLLOWING PAGE] 883575.1 IN WITNESS WHEREOF, the Parties hereto have executed this Amendment as of the date executed by all the Parties. ORANGE COUNTY SANITATION DISTRICT By: ______________________________ Chair, Board of Directors Date: _____________________ By: ______________________________ Clerk of the Board Date: _____________________ APPROVED AS TO FORM: ___________________________ Bradley R. Hogin General Counsel Orange County Sanitation District ORANGE COUNTY WATER DISTRICT By: ______________________________ President, Board of Directors Date: ____________________________ By: ______________________________ General Manager Date: _____________________ APPROVED AS TO FORM: ___________________________ Joel Kuperberg General Counsel Orange County Water District Page 1 of 2 BOARD OF DIRECTORS Meeting Date To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number Item Number 8 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Nick Arhontes, Director of Facilities Support Services SUBJECT: Quitclaim and Transfer the Local Sewer in Newland Avenue to the city of Huntington Beach. GENERAL MANAGER'S RECOMMENDATION Approve a Quitclaim Sewer Transfer Agreement between Orange County Sanitation District and the city of Huntington Beach transferring ownership of 103 linear feet of local sewer in Newland Avenue to the City at no cost to OCSD, in a form approved by General Counsel. SUMMARY OCSD owns and operates a sewer in Newland Avenue in the city of Huntington Beach that was recommended for abandonment. While performing due diligence in the abandonment process it was discovered that there was one connection near the corner of Newland and Hamilton, serving a local business and conveying only local flow. Staff consulted with city staff and the city of Huntington Beach requested a transfer of ownership of the downstream 103 linear feet of the sewer to the City. The upstream portion of sewer has been sealed with a brick and mortar plug pending abandonment. The downstream 103 linear feet of sewer serves only a local purpose should be transferred to the City along with all associated property rights. PRIOR COMMITTEE/BOARD ACTIONS December 2009—Five Year Strategic Plan, Business Principles Goal #7 Local Sewer Services—Implement the Board’s four recommendations base on the findings of staff’s revenue adequacy report. Continue to seek an asset transfer to other agencies. Also transfer other local assets back to cities that are not serving a true regional purpose. ADDITIONAL INFORMATION The City agreed to consider the acquisition of the downstream portion of OCSD’s sewer. As part of their due diligence process, the City’s engineering staff requested that OCSD provide CCTV videos and also historic Computer Maintenance Management System (CMMS) data for their review of the assets proposed for transfer. Subsequently, City staff requested a Quitclaim Deed to take to their Council for approval. Page 2 of 2 The assets to be transferred consist of two manholes and two separate sewer pipeline segments between manholes, comprising a total of 103 linear feet of gravity sewer pipes. The vitrified clay pipe (VCP) sewer is 18-inches in diameter. This transfer agreement will free-up OCSD Facility Support Services and Engineering staff to focus more time and resources on the regional sewer system and will allow the local city to provide local services as supported by their local sewer fees. Transferring local assets to local service providers is an element of OCSD’s Strategic Plan. CEQA N/A BUDGET/DELEGATION OF AUTHORITY COMPLIANCE N/A Page 1 of 1 BOARD OF DIRECTORS Meeting Date To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number Item Number 9 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: SUBJECT: Personnel Policy Updates GENERAL MANAGER'S RECOMMENDATION Adopt and implement the recommended policy edits to align with the implementation of the California Public Employees’ Pension Reform Act of 2013. SUMMARY On September 12, 2012, Governor Brown signed Assembly Bill 340 creating the California Public Employees’ Pension Reform Act of 2013 (PEPRA). This law amends the County Employees Retirement Law of 1937 (CERL), also known as the “‘37 Act,” which the Orange County Employees Retirement System (OCERS) operates under to administer pension benefits for Orange County Sanitation District (OCSD) employees. Changes are included in this law that applies to new employees who enter public sector retirement systems as new members for the first time on or after January 1, 2013. Although most PEPRA provisions affect new employees, some sections do apply to current members. The implementation of PEPRA warrants changes to Personnel Polices; 1.4, Recruitment and Selection; 4.2, Retirement; and 5.1 Rules of Conduct. Policy edits have been applied to align with the requirements of PEPRA for consideration. PRIOR COMMITTEE/BOARD ACTIONS None ADDITIONAL INFORMATION None CEQA N/A BUDGET/DELEGATION OF AUTHORITY COMPLIANCE N/A Page 1 STEERING COMMITTEE Meeting Date 12/19/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 2 Item Number 11 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Lorenzo Tyner, Director of Finance and Administrative Services GENERAL MANAGER'S RECOMMENDATION Revise the recommendation of the approved July 28, 2010 report regarding the Santa Ana River Interceptor Line Loan (SARI) and Repayment Agreement No. D07-042 with the Orange County Flood Control District (OCFCD) to allow for the release of funds OCFCD in three installments as funds are expended. SUMMARY On May 26, 2010, the OCSD Board approved the Santa Ana River Interceptor Line Loan (SARI) and Repayment Agreement No. D07-042 with the Orange County Flood Control District (OCFCD) and revised the agreement on July 28, 2010. As a result in delays in the construction, it is necessary to revise the agreement. This new agreement still includes for OCSD to loan OCFCD 60% of the estimate total cost, approximately $59 million. In now includes three new installment dates specifying when those payments are to be made: 1. The first installment Net $30,852,290 was paid by April 28, 2011 2. The second installment of $10,000,000 is due on January 31, 2013 or within 30 days of written notification from OCFCD to OCSD that all of the first OCSD installment toward Project Costs has been disbursed for the SARI Line Project, whichever date is earlier 3. and the third installment of $10,483,710 is due on March 1, 2013 or within 30 days of written notification from OCFCD to OCSD that all of the second OCSD installment toward Project Costs has been disbursed for the SARI Line Project, whichever date is earlier. PRIOR COMMITTEE/BOARD ACTIONS July 2010 – Board approved an amendment to the Santa Ana River Interceptor Line Loan (SARI) and Repayment Agreement No. D07-042 with the Orange County Flood Control District (OCFCD), providing for the release of $36,000,000 to OCFCD to allow for the release of funds 30 days prior to the scheduled OCFCD Board hearing on contract award, and to allow the remaining balance to be released 12 months later. Page 2 May 2010 – Board approved the Santa Ana River Interceptor Line Loan (SARI) and Repayment Agreement No. D07-042 with the Orange County Flood Control District (OCFCD), providing for: 1. A loan of up to 60% of the successful bid amount for improvements to the SARI Line not to exceed $72,000,000; 2. No interest accruing until June 30, 2018; 3. A 3% interest on any unpaid balance through July 2022 and the complete repayment by July 1, 2022; and, 4. Authorize the release of $36,000,000 to OCFCD immediately after the award of the contract, and to allow the remaining balance to be released 12 months later. June 2007 – Board approved Santa Ana River Interceptor Line Loan and Repayment Agreement No. D07-42 with the Orange County Flood Control District (OCFCD) to provide a no-interest loan until 2018 (revised from 2016), of 60% of the total bid amount. April 2007 – Board approved Santa Ana River Interceptor Line Loan and Repayment Agreement No. D07-42 with the Orange County Flood Control District (OCFCD) to provide a no interest loan until 2016, of 60% of the total bid amount. ADDITIONAL INFORMATION None CEQA N/A BUDGET / DELEGATION OF AUTHORITY COMPLIANCE N/A ATTACHMENT The following attachment(s) are included and may also be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package and attachments: · Santa Ana Regional Interceptor (SARI) Line Loan and Repayment Agreement (8 pages) 891554.1 SANTA ANA REGIONAL INTERCEPTOR (SARI) LINE LOAN AND REPAYMENT AGREEMENT NO. D12-031. This Santa Ana Regional Interceptor (SARI) Line Loan and Repayment Agreement (“AGREEMENT”), which supersedes in its entirety the previous Santa Ana Regional Interceptor (SARI) Line Loan and Repayment Agreement entered into on June 29, 2010, between the Parties and labeled for identification purposes as Agreement No. D10-022 is made and entered into this ___ of ___, 2012, by and between the Orange County Sanitation District (“OCSD”) and the Orange County Flood Control District (“OCFCD”). In this AGREEMENT, OCSD and OCFCD are sometimes individually referred to as “Party” and collectively referred to as the “Parties.” RECITALS WHEREAS, OCSD is a County Sanitation District pursuant to California Health & Safety Code § 4700 et seq.; WHEREAS, the OCFCD is governed by the Orange County Board of Supervisors and is established under authorization of the Orange County Flood Control Act, Chapter 723 of the State of California Statutes of 1927 to provide: control of flood and storm waters within the boundary of the County of Orange and of streams flowing into the County, such as the Santa Ana River or San Juan Creek; mitigation of the effects of tides and waves; and protection the harbors, waterways, public highways, and property in the County of Orange from such waters; WHEREAS, OCSD owns and operates the Santa Ana Regional Interceptor (“SARI”) Line, a regional sewer pipeline along the Santa Ana River from the Orange County line to the OCSD sewage treatment plant in Huntington Beach, and the SARI Line was constructed as a joint project of OCSD and the Santa Ana Watershed Project Authority (SAWPA). WHEREAS, OCSD requests that OCFCD advance the protection and/or relocation of the SARI Line, which includes the Yorba Linda Spur and SARI Main Line Projects (collectively, the “SARI Line Project”) in response to existing conditions and the raising of the Prado Dam by the U.S. Army Corps of Engineers (the “Corps”) and OCFCD; WHEREAS, protection and/or relocation of the SARI Line is an element of the Santa Ana River Mainstem Project with related expenses being eligible for up to seventy percent (70%) reimbursement from the State Flood Control Subvention Program; WHEREAS, as of the date of this AGREEMENT, based on actual expenditures to date and the bid submitted for the construction of the SARI LINE, the estimate for the total amount of construction, design, environmental and project administration costs (“Project Costs”) is Eighty Five Million Five Hundred Sixty Thousand Dollars ($85,560,000). To allow for unanticipated increases, a fifteen percent (15%) contingency fund (“Contingency”) in the amount of Twelve Million Eight Hundred Thirty-Four Thousand Dollars ($12,834,000) is needed. The Project Costs plus Contingency ("Total Costs") equals Ninety Eight Million Three Hundred Ninety-Four Thousand Dollars ($98,394,000). 891554.1 WHEREAS, the Parties propose allocating the cost of the SARI Line Project with OCSD responsible for loaning sixty percent (60%) of the SARI Line Project cost to OCFCD, SAWPA responsible for loaning ten percent (10%), and OCFCD responsible for paying thirty percent (30%) of the project cost; WHEREAS, OCSD desires to loan funds to OCFCD under terms and conditions set forth herein to finance a portion of the costs of the SARI Line Project so that OCFCD can construct the SARI Line Project consistent with the schedule of the Santa Ana River Mainstem Project, representing a great benefit to OCSD because OCSD will have the benefit of the continued, uninterrupted use of the SARI Line; WHEREAS, OCFCD intends to reimburse OCSD for the loan funds from funds it receives from the State Flood Control Subventions Program for the SARI Line Project; WHEREAS, the Parties agree that as a condition of OCSD loaning funds to OCFCD, OCFCD shall publicly bid, award, and administer the SARI Line Project construction contracts; WHEREAS, the Parties agree that as a condition of OCFCD causing the construction of the SARI Line Project in a manner consistent with construction plans approved by OCSD, OCSD shall continue its ownership and maintenance responsibility of the SARI Line Project after its completed construction and the acceptance by OCSD; and WHEREAS, the Parties agree that some features of the SARI Line Project including a protection wall near Coal Canyon may need to be implemented by the U.S. Army Corps of Engineers (“Corps Relocations”) in advance of SARI construction to take advantage of more favorable conditions, more efficient construction, and cost-savings. NOW THEREFORE, in consideration of the mutual covenants and conditions herein contained, the Parties hereby agree as follows: 1. Incorporation of Recitals. The intentions of the PARTIES as described in the above recitals are fully incorporated into this AGREEMENT. 2. Purpose. The purpose of this AGREEMENT is to memorialize the loan of funds to OCFCD by OCSD in furtherance of the SARI Line Project as more fully set forth in Section 3, and to provide for repayment thereof by the OCFCD as more fully set forth in Section 4. 3. OCSD Funds Loaned to the OCFCD. OCSD agrees to loan to the OCFCD an amount not to exceed sixty percent (60%) of the Total Costs which equals fifty-nine million thirty six thousand four hundred dollars ($59,036,400). The OCSD loan for the Project Costs will be paid in three (3) installments as follows: the first installment Net $30,852,290 was paid by April 28, 2011, the second installment of $10,000,000 is due on January 31, 2013 or within 30 days of written notification from OCFCD to OCSD that all of the first OCSD installment toward Project Costs has been disbursed for the SARI Line Project, whichever date is earlier, and the third installment of $10,483,710 is due on March 1, 2013 or within 30 days of written notification from OCFCD to OCSD that all of the second OCSD installment toward Project 891554.1 Costs has been disbursed for the SARI Line Project, whichever date is earlier. The portion of the loan covering the Contingency will be invoiced to OCSD if OCFCD determines that the actual cost to complete the construction of the SARI Line will exceed the Project Costs. OCFCD will submit one or more invoices to OCSD for up to sixty percent (60%) of the Contingency, which will be based on OCFCD's estimated cost to complete construction of the SARI Line in excess of the Project Costs. The total amount of all invoices for the Contingency will be the lesser of (1) $7,700,400 or (2) 60% of the actual costs to complete the construction of the SARI Lines in excess of the Project Costs. OCFCD will not invoice OCSD for the Contingency until it provides written notification to OCSD that all cash previously paid by OCSD on the invoices for the Project Costs has been disbursed for purposes of the SARI Line Project. OCSD shall remit payment on the invoice(s) for the Contingency within thirty (30) days of receipt of such invoice(s). Should the actual cost exceed the estimated Total Cost of $98,394,000, OCFCD and OCSD shall meet and confer to determine the timing of the OCSD’s sixty percent (60%) share of the additional installment above $59,036,400, if applicable. 4. OCFCD Repayment of Funds Loaned by OCSD. OCFCD agrees to pay OCSD all funds loaned by OCSD to OCFCD in the amount of fifty-nine million thirty six thousand four hundred dollars ($59,036,400), or the amended amount as provided in Paragraph 3, as soon as subvention funding is received for the SARI Line Project with the total balance repaid no later than July 1, 2022, regardless of whether OCFCD received any subvention funds for the SARI Line Project. Interest shall accrue on the unpaid balance starting July 1, 2018 at an annual interest rate of two percent (2%), until the unpaid balance has been repaid. In the event OCFCD receives subvention funding in installments, OCFCD shall repay OCSD in installments within 30 days of OCFCD's receipt of SARI Line Project subvention funding in an amount no less than sixty percent (60%) of the SARI Line subvention funds received. 5. CEQA and NEPA Compliance by the OCFCD, the Corps, and OCSD. OCFCD and OCSD shall comply with the California Environmental Quality Act, Public Resources Code section 21000 et seq (“CEQA”) and with the National Environmental Policy Act (“NEPA”) to the extent required by law. OCFCD shall be the lead agency and OCSD shall be a responsible agency with respect to the SARI Line Project. 6. Alteration of Terms. This AGREEMENT contains the entire agreement between OCFCD and OCSD with respect to the subject matter of this AGREEMENT, and shall constitute the entire agreement between the Parties for these purposes. No addition to, or alteration of, the terms of this AGREEMENT, whether written or verbal, shall be valid unless made in writing and formally approved and executed by the Parties. 7. Notices. Unless otherwise specified, all notices, claims, correspondence, and/or reports authorized or required by this AGREEMENT shall be effective when written and deposited in the United States mail, first class postage prepaid and addressed as follows: 891554.1 OCSD: General Manager Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, CA 92708-7018 OCFCD: Ignacio Ochoa, Interim Director OC Public Works 300 N. Flower Street, 8th Floor Santa Ana, CA 92703 8. Severability. If a court of competent jurisdiction declares any provision of this AGREEMENT or application thereof to any person or circumstances to be invalid or if any provision of this AGREEMENT contravenes any Federal, State, or County statute, ordinance, or regulation, the remaining provisions of this AGREEMENT or the application thereof shall remain valid, in full force and effect, and to that extent the provisions of this AGREEMENT are severable. 9. Term of Agreement. This AGREEMENT shall be in full force and effect for a period beginning as of the date established above and continue until all obligations of the OCFCD and OCSD to each other are satisfied in full accordance with the terms of this AGREEMENT. 10. Waiver of Default or Breach. Waiver of any default by either Party shall not be considered a waiver of any subsequent default. Waiver of any breach by either Party of any provision of this AGREEMENT shall not be considered a waiver of any subsequent breach. Waiver of any default or any breach by either party shall not be considered a modification of the terms of this AGREEMENT. 11. Successors and Assigns. The terms and provisions of this AGREEMENT shall be binding upon and inure to the benefit of the parties hereto and their successors and assigns. 12. No Third-Party Beneficiaries. Nothing in this AGREEMENT is intended to create any third- party beneficiaries to the AGREEMENT, and no person or entity other than OCSD and OCFCD, and the permitted successors and assigns of either of them, shall be authorized to enforce the provisions of this AGREEMENT. 13. Assignment. Neither Party may assign its interest in this AGREEMENT without the prior written consent of the other Party, which consent will not be unreasonably withheld. 14. Further Assurances. OCSD and OCFCD agree to execute, acknowledge, and deliver any and all additional papers, documents, and other assurances and shall perform any and all acts and things reasonably necessary in connection with the performance of the obligations hereunder and to carry out the intent of the Parties. 891554.1 15. Agreement Negotiated. The text of this AGREEMENT is the product of negotiation among the Parties and their counsel and is not to be construed as having been prepared by one Party or the other. 16. Binding Obligation. The Parties to this AGREEMENT represent and warrant that this AGREEMENT has been duly authorized and executed and constitutes the legally binding obligation of their respective organization or entity enforceable in accordance with its terms. 17. Governing Law and Venue a) This AGREEMENT has been negotiated and executed in the State of California and shall be governed by and construed under the laws of the State of California. In the event of any legal action to enforce or interpret this AGREEMENT, the sole and exclusive venue shall be a court of competent jurisdiction located in Orange County, California, and the Parties hereto agree to and do hereby submit to the jurisdiction of such court, notwithstanding Code of Civil Procedure, Section 394. b) The Parties specifically agree that by entering into and performing their respective obligations under this AGREEMENT, each Party shall be deemed to constitute doing business within Orange County from the time of entering into this AGREEMENT, through the period when all obligations under this AGREEMENT are completed, and continuing until the expiration of any applicable limitations period. 18. Attorney's Fees. In any action or proceeding to enforce or interpret any provision of this AGREEMENT, or where any provision hereof is validly asserted as a defense, each Party shall bear its own attorney’s fees, costs and expenses. 19. Interpretation a) This AGREEMENT has been negotiated at arm's length and between persons sophisticated and knowledgeable in the matters dealt with in this AGREEMENT. b) In addition, each Party has been represented by experienced and knowledgeable independent legal counsel of their own choosing, or has knowingly declined to seek such counsel despite having the opportunity to do so. c) Each Party further acknowledges that they have not been influenced to any extent whatsoever in executing this AGREEMENT by any other Party hereto or by any person representing them, or both. d) Accordingly, any rule of law (including California Civil Code Section 1654) or legal decision that would require interpretation of any ambiguities in this AGREEMENT against the Party that has drafted it is not applicable and is waived. e) The provisions of this AGREEMENT shall be interpreted in a reasonable manner to affect the purpose of the Parties and this AGREEMENT 20. Headings. The various headings and numbers herein, the grouping of provisions of this AGREEMENT into separate clauses and paragraphs, and the organization hereof are for the purpose of convenience only and shall not limit or otherwise affect the meaning hereof. 21. Calendar Days. Any reference to the word “day” or “days” herein means calendar day or calendar days, respectively, unless otherwise expressly provided. 891554.1 22. Contract Construction. The Parties acknowledge that each Party and its counsel have reviewed this AGREEMENT and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this AGREEMENT or any amendment or exhibits hereto. 23. Waiver of Jury Trial. Each Party acknowledges that it is aware of and has had the opportunity to seek advice of counsel of its choice with respect to its rights to trial by jury, and each Party, for itself and its successors, creditors, and assigns, does hereby expressly and knowingly waive and release all such rights to trial by jury in any action, proceeding or counterclaim brought by any Party hereto against the other (and/or against its officers, directors, employees, agents, or subsidiary or affiliated entities) on or with regard to any matters whatsoever arising out of or in any way connected with this AGREEMENT and/or any other claim of injury or damage. [Signatures on the following page.] 891554.1 IN WITNESS WHEREOF, the PARTIES hereto have executed this AGREEMENT in counterparts on the dates opposite their respective signatures and each such counterpart shall be deemed an original: Orange County Sanitation District Date: ___________________ By_______________________________________ Troy Edgar Chair, Board of Directors Date: ____________________ By_______________________________________ Maria Ayala Clerk of the Board APPROVED AS TO FORM _______________________ Bradley R. Hogin General Counsel 891554.1 IN WITNESS WHEREOF, the PARTIES hereto have executed this AGREEMENT in counterparts on the dates opposite their respective signatures and each such counterpart shall be deemed an original: Orange County Flood Control District, a body corporate and politic Date: ___________ By____________________________________ Chair of the Board of Supervisors Orange County, CA Signed and certified that a copy of this document has been delivered to the Chair of the Board per G.C. Sec 25103, Reso 79-1535 Attest Date: ___________ ____________________________________ Susan Novak Clerk of the Board of Supervisors County of Orange, California Date: ___________ APPROVED AS TO FORM Office of the County Counsel Orange County, California By:_________________________ Page 1 of 1 STEERING COMMITTEE Meeting Date 12/19/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 3 Item Number 12 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Assistant General Manager SUBJECT: SAWPA Audit Response: Remedial Plan GENERAL MANAGER'S RECOMMENDATION Issue a Remedial Plan to the Santa Ana Watershed Project Authority (SAWPA) to correct significant deficiencies in their pretreatment program. SUMMARY On November 28, 2012, the Steering Committee reviewed an independent audit, completed by Environmental Engineering & Contracting, Inc., which detailed numerous significant deficiencies in SAWPA’s pretreatment program. This included deficiencies under the federal pretreatment program requirements; OCSD’s Wastewater Discharge Regulations, Ordinance No. OCSD-39; the 1991 Memorandum of Understanding (1991 MOU); and the 1996 Wastewater Treatment and Disposal Agreement. Pursuant to the 1991 MOU, staff recommends issuing SAWPA a Remedial Plan with schedule milestones to correct its pretreatment program deficiencies (including that of SAWPA’s member agencies) and to take all actions necessary to remain in long-term compliance with the above-mentioned regulatory and contractual requirements. Staff will provide copies of the Remedial Plan at the Steering Committee meeting. PRIOR COMMITTEE/BOARD ACTIONS November 2012 - The Steering Committee reviewed the SAWPA Audit and directed staff to prepare the attached Remedial Plan for issuance to SAWPA. ADDITIONAL INFORMATION N/A CEQA N/A BUDGET/DELEGATION OF AUTHORITY COMPLIANCE N/A Page 1 STEERING COMMITTEE Meeting Date 12/19/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 4 Item Number 13 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Lorenzo Tyner, Director of Finance and Administrative Services GENERAL MANAGER'S RECOMMENDATION Direct staff to prepare and mail Proposition 218 notifications outlining an eight year Regional and Local sewer service fee schedule reflecting an eight year rate schedule with an increase of 4.8 percent for 2013-14 and an increase of 2.4 percent annually for the next seven years. SUMMARY Staff is recommending an eight year rate schedule with an increase of 4.8 percent for 2013-14 and an increase of 2.4 percent annually for the next seven years. Proposition 218 requires that OCSD to notify the affected property owners with the OCSD service area of this proposed rate increase and to conduct a public hearing that coincides with the second reading of the ordinance. Notices must be mailed to property owners 45 days before the public hearing. A notice of rate changes is mailed to every property owner whenever the rates are proposed to increase. The rates are adopted through the ordinance process, and that requires a public hearing, two Board meetings and a 2/3 majority approval of the Board. Additionally, to ensure the appropriate allocation of costs and fees, the Sanitation District has engaged an engineering consulting firm to provide an independent analysis of the District’s cash flow modeling and a cost of service study. This study is in progress and is scheduled to be completed later this month. However, as shown in the attached letter, the initial findings show that the Sanitation District fees are appropriate. The full study will be presented to the Board in January. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION Sewer Service Fee Rate Adoption Schedule: • January 2013 Board Meeting – Rate Structure presentation to Board • February 2013 – Prop 218 45-day notice mailed for Sanitary Sewer Fees • February Board Meeting 2013 – 1st Reading of the Ordinance • March 2013 Board Meeting – 2nd Reading of the Ordinance, Public Hearing & Adoption • July 1, 2013 – New rates go into effect Page 2 CEQA N/A BUDGET / DELEGATION OF AUTHORITY COMPLIANCE N/A ATTACHMENTS The following attachment(s) are included in this package and may also be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: · Engineering Consultant Update (2 pages) JDR:LT:MW:AB 9039A00 | TynerL_20121212.docx 10540 Talbert Avenue, Suite 200 East, Fountain Valley, California 92708 P. 714.593.5100 F. 714.593.5101 carollo.com December 13, 2012 Mr. Lorenzo Tyner Director of Finance and Administrative Services Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, CA 92708 Subject: Orange County Sanitation District Rate Study Dear Mr. Tyner: Carollo Engineers, Inc. (Carollo) is currently in the process of completing the FY 2013/14 cost-of-service rate study. The study is intended to provide the Orange County Sanitation District (District) with an independent and objective review of the internal staff rate recommendations from FY 2013/14 through FY 2020/21. The study specifically evaluated the following:  The revenue needs forecast from FY 2013/14 through FY 2020/21.  Cost-of-service allocation and equitable rate basis.  Independent review of select customer class rates based on estimated sewer discharge levels. Based on Carollo’s draft study findings, we have preliminarily concluded that the staff rate recommendations are reasonable based on industry practices. The District anticipates reducing reserve levels to fund major capital rehabilitative projects over the forecasted eight-year time period, while maintaining sufficient bond coverage requirements to maintain legal bond coverage obligations. During the forecast period, the District is projected to reduce reserves to its policy target levels and approximately $10 million below its targets during the middle of the forecast period. The District is projected to replenish reserves in the latter years of the forecast period. Slightly higher, inflationary rate increases would mitigate reserve reductions. This analysis and the preliminary findings are premised on a set of cost and revenue escalation factors. If cost escalation, operating expenditures, or capital needs exceed projected levels prior to FY 2020/21, the District will be required to begin a new Proposition 218 process to increase rates above currently projected levels. The District would similarly be required to begin a new Proposition 218 process if revenues do not materialize as projected. These increased revenues include anticipated annual tax revenue increases based on improved economic conditions within western Orange County beginning FY 2014/15. Carollo did not perform an in-depth engineering review of the District’s capital or operating as part of this study. Finally, while no major rate structure changes are currently anticipated, Carollo is currently in the process of performing an independent review of some of the District’s customer class rates. Mr. Lorenzo Tyner Director of Finance and Administrative Services Orange County Sanitation District December 12, 2012 Page 2 9039A00 | TynerL_20121212.docx carollo.com If you have any questions, please do not hesitate to contact me. Sincerely, CAROLLO ENGINEERS, INC. Robert S. Grantham RSG:alh Page 1 of 2 STEERING COMMITTEE Meeting Date 12/19/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 5 Item Number 14 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jeff Reed, Director of Human Resources SUBJECT: AB 340 – The California Public Employees Pension Reform Act of 2013 GENERAL MANAGER'S RECOMMENDATION Adopt Resolution No. OCSD 12-16, Setting Forth Terms and Conditions of Orange County Employees Retirement System (OCERS) Benefits in Compliance with the Requirements of the California Public Employees Pension Reform Act of 2013 (PEPRA). SUMMARY PEPRA, the statewide pension reform act passed by the Legislature and signed into law by the Governor in September 2012, mandates many changes to public retirement systems in California, including the Orange County Employees Retirement System (OCERS), of which the Orange County Sanitation District (OCSD) is a member agency. OCSD is required to transition from its present "1.667%@57.5" (Tier II) formula for its employees to the maximum benefit allowable for new employees/new members first hired on or after January 1, 2013, which is the "2.5%@67" (2.0%@62) formula for non- safety members. OCSD has no discretion in this matter. The statutory language of PEPRA requires that new employees/new members (as defined by statute) hired on or after January 1, 2013 will be subject to the new formula and other mandates. It is noteworthy that PEPRA includes an exception for current employees/current members of reciprocal California public retirement systems, providing that these employees, if hired by a new agency within 180 days of leaving the current public employer, will come in at the hiring agency's pre-PEPRA retirement benefit formula, or "1.667%@57.5" (Tier II) for OCSD. Despite PEPRA's mandates, other sections of the Government Code require the Board to adopt by Resolution terms and conditions of employment, for which the attached Resolution applying to OCSD unrepresented classification/positions complies. Staff will return at a later date to adopt similar provisions for represented employees. PRIOR COMMITTEE/BOARD ACTIONS N/A Page 2 of 2 ADDITIONAL INFORMATION N/A CEQA N/A BUDGET / DELEGATION OF AUTHORITY COMPLIANCE N/A ATTACHMENTS The following attachment(s) are included in this package and may also be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: · Resolution No. OCSD 12-16: A Resolution of the Board of Directors of the Orange County Sanitation District Adopting Requirements Set Forth by the Public Employees Pension Reform Act (“PEPRA”) of 2013 for Unrepresented Employees (2 pages) · Public Employees Pension Reform Update. September 21, 2012 (3 pages) · Pension Reform Conference Committee Legislative Language, August 30, 2012 (6 pages) RESOLUTION NO. OCSD 12-16 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT ADOPTING REQUIREMENTS SET FORTH BY THE PUBLIC EMPLOYEES PENSION REFORM ACT (“PEPRA”) OF 2013 FOR UNREPRESENTED EMPLOYEES. WHEREAS, for purposes of this resolution, unrepresented employees include confidential, management and executive employees. Confidential employees consist of employees who with authorized access, assist and act in a confidential capacity to and for persons who formulate, determine, and effectuate management policies with respect to carrying out the Board of Directors’ direction for labor relations. Management employees serve as organizational leaders and oversee staff within particular divisions and/or workgroups to align performance outcomes with the strategic goals of the agency. Executive management employees provide executive leadership, strategic direction, and department oversight for OCSD. WHEREAS, on September 12, 2012, Governor Jerry Brown approved Assembly Bill 340 (“AB340”), The Public Employees’ Pension Reform Act (“PEPRA”), which amends the County Employees Retirement Law (“CERL”) of 1937 that Orange County Sanitation District’s pension plan administrator, Orange County Employees Retirement System (OCERS), is governed by. WHEREAS, PEPRA establishes a new retirement formula that cannot be exceeded by a public employer offering a defined benefit pension plan, setting the maximum benefit allowable for employees first hired on or after January 1, 2013, as a formula commonly known as 2.5% at age 67 for non-safety members. WHEREAS, PEPRA requires public employees who are first employed on and after January 1, 2013, and who contribute to a defined benefit plan to contribute at least one-half of the annual actuarially determined normal costs, and would prohibit a public employer from contributing in any fiscal year, in combination with employee contributions, less than the plan normal cost, except as specified. WHEREAS, the amount of pensionable compensation upon which a defined benefit for new members could be based would be limited to an amount determined under a specified provision of federal law for an employee whose service is included in the federal system (Social Security), which is $110,100 for 2012, and 120% of that amount for an employee whose service is not included in the federal system. These amounts would be adjusted annually, as specified. WHEREAS PEPRA prohibits a variety of payments, including unscheduled overtime, payments for unused vacation, sick leave, or compensatory time off, exceeding what may be earned and payable in each 12-month period during the final average salary period, and specified payments made at the termination of employment from being included in compensation earnable. The bill would require the board to establish a procedure for assessing and determining whether an element of compensation was paid to enhance a member’s retirement benefit and would prohibit that compensation from being included in compensation earnable. WHEREAS, in addition to the previously noted mandates, PEPRA also establishes other mandates regarding public sector pension plan benefits that apply to the Orange County Sanitation District. NOW, THEREFORE, in consideration thereof, the Board of Directors of the Orange County Sanitation District, does hereby resolve declare, determine and order as follows: Section 1. The applicable aforementioned PEPRA legal requirements shall apply to individuals who become unrepresented Orange County Sanitation District employees as of January 1, 2013. PASSED AND ADOPTED at a regular meeting held December 19, 2012. _____________________________________ Troy Edgar, Chair ATTEST: ___________________________________ Maria E. Ayala, Clerk of the Board ORANGE CO U NTY CIERS EMPLOYEES RETIREMENT SYSTEM PUBLIC EMPLOYEES PENSION REFORM ACT (PEPRA) UPDATE Summary: Prepared by Julie Wyne, OCERS' Assistant CEO, External & Legal Operations September 21, 2012 On September 12, 2012, Governor Brown signed Assembly Bill 340 (Furutani), creating the Public Employees Pension Reform Act (PEPRA) and amending certain sections of the 1937 Act that OCERS' operates under. The new law creates a new benefit tier for new employees/members entering public agency employment and public retirement system membership for the first time on or after January 1, 2013. The new tier has a single general member benefit formula and three safety member benefit formulas that must be implemented by all public agency employers unless the formula in existence on December 31, 2012 has both a lower normal cost and a lower benefit factor at normal retirement age. The new tier requires that all new employees/members, hired on or after January 1, 2013, pay at least 50% of the normal cost contribution. The normal cost contribution is the contribution set by the retirement system's actuary to cover the cost of a current year of service. It does not include the unfunded liability portion of the contribution. The employer can negotiate with cutTent and new employees/members for the payment of additional contributions including the employer's portion of normal cost and the unfunded liability. New employees/members have their compensation earnable, which OCERS ' uses to calculate retirement benefits, limited to 120% of the Social Security level ($132,120 for 2012), adjusted annually based on changes to the Consumer Price Index for All Urban Consumers, and further limited to base pay. Current employees will not see a change in their compensation earnable. Retired members, on and after January 1, 2013, will have to wait at least 180 days before returning to work for an OCERS' covered employer on a limited time basis (960 hours or less a fiscal year). IMPORT ANT NOTE: IF YOU ARE CURRENTLY RETIRED, YOUR BENEFITS WILL NOT CHANGE. IF YOU ARE ACTIVELY EMPLOYED ON 12-31-12, YOUR BENEFITS WILL NOT CHANGE. 1 ORANGE COUNTY CI:ERS EMPLOYEES RETIREMENT SYSTEM PUBLIC EMPLOYEES PENSION REFORM ACT (PEPRA) UPDATE Prepared by Julie Wyne, OCERS' Assistant CEO, External & Legal Operations September 21, 2012 Questions and Answers: Question 1: Will my monthly retirement allowance amount be affected by the Public Employees Pension Reform Act (PEPRA)? Answer 1: No, your monthly retirement allowance will not be affected by the provisions in the PEPRA. OCERS will NOT recalculate your benefit based upon any benefit formula contained in the new law. Your allowance will continue to be calculated in the same way it is calculated today. Question 2: Will my Cost of Living Adjustment (COLA) be affected by the PEPRA changes? Answer 2: No, your COLA will not be affected by the provisions in the PEPRA. OCERS will NOT recalculate your COLA benefit based upon any provisions of the new law. Your COLA will continue to be calculated in the same way it is calculated today. Question 3: Will my Supplemental Targeted Adjustment for Retirees Cost of Living Adjustment (STAR COLA) be affected by the PEPRA changes? Answer 3: No, your STAR COLA (for those of you who receive one) will not be affected by the provisions in the PEPRA. OCERS will NOT recalculate your STAR COLA benefit based upon any provisions of the new law. Your STAR COLA will continue to be calculated in the same way it is calculated today, and eligibility for the STAR COLA will continue to be determined by the OCERS' Board of Retirement each year. 2 ORANGE COUNTY CCERS EMPLOYEES RETIREMENT SYSTEM PUBLIC EMPLOYEES PENSION REFORM ACT (PEPRA) UPDATE Prepared by Julie Wyne, OCERS' Assistant CEO, External & Legal Operations September 21, 2012 Question 4: Can I return to work for an OCERS' covered employer for 960 hours or less in a fiscal year, without becoming an active member of OCERS and having my retirement allowance suspended? Answer 4: Yes, you can return to work for an OCERS' covered employer for 960 hours or less in a fiscal year, without becoming an active member of OCERS and having your retirement allowance suspended, but after 1-1-13, you will have to wait at least 180 days from retirement before returning to work, unless special circumstances apply. 3 Pension Reform Conference Committee Legislative Language Sections affected: August 30, 2012 Amending Education Code §24214 and §24214.5 and adding §22119.3, §22164.5, §24202.7, and §24202.8. Amending Government Code §9355.4, §9355.41, §9355.45, §20281.5, §20516, §21076, and §31461. Amending and renumbering Government Code§ 1234 (New §7522.70). Adding Government Code §20516.5, §20677.96, §20683.2, §20791 , §2 1 076.5, §31542, §31542.5, §3 1543, §3 1631 and §31631.5. Adding the following to the Government Code, a heading to Articles I, 2 and 3 and a new Article 4 to Chapter 21, Divi sion 7, Title I. Adding and repealing Government Code §7522.66 and §2 1400 and repealing headings of Chapter 21.4 and 21.5 of Division 7, Title I. IMPACT ON OCERS: CURRENT EMPLOYEES: The benefit formula s and limits on calculating compensation earnable contained in the new Public Employees Pension Reform Act do NOT apply to current employees, HOWEVER the clarification of what is excluded from compensation earnable and the addition of a test the retirement system must perform and procedures it must adopt to ensure there is no pension spiking do. Also, provisions requiring a county or district to identify the pay period compensation was earned regardless of when it was reported and limiting the reporting of compensation to the retirement system to only compensation earnable apply. Finally, the retirement board is given the ability to audit a county or district and assess reasonable costs to cover the cost of audit, adjustment or correction when the board determines that the county or district knowingly fa iled to report compensation in accordance with the new provisions. In addition, the governing bodies of employers can co llectively bargain with empl oyees to require payment of all or part of the member and employer contributions as long as they are uniformly applied and do not violate laws in place as of December 31, 2012. WHAT IT CHANGES: • Employers CANNOT adopt an enhanced benefit formula after 1-1-13 and apply it to past service • The retirement system must now determine whether compensation was paid to enhance a member's retirement benefit, which could include: o compensation that was previously paid in kind that was converted to cash during the member's final average salary measuring period (like furnishing a car, then converting that to an auto allowance), Pension Reform Legislative Language (8-30-12) Page I o one time or ad-hoc payments provided to a member but not all similarly situated members in the grade or class, and o payments made solely due to the termination of the member, with the exception of unused vacation, leave or compensatory time that does not exceed what the member could earn in each 12-month period during the final average salary measuring period • The member can challenge the board's determination that compensation was paid for the sole purpose of enhancing the pension including judicial review by writ of mandate • A county or district must report only compensation earnable to the retirement system, and must certify what pay period the compensation was earned regardless of when it was paid • If the county or district knowingly fail to report compensation correctly, the retirement system can audit and assess fees to cover the cost of the audit, correction or adjustment necessary and the county or district may not pass this cost on to employees • The retirement board may also audit the county or district to determine correctness of retirement benefits, reportable compensation, and enrollment in or reinstatement to the system WHAT IT DOESN'T CHANGE: • There wi ll be NO benefit formula reductions • There will be NO changes in how OCERS calculates final average salary UNLESS a current employee terminates employment and becomes a "new employee" (defined below) under the new Act, OR a current employee receives compensation determined by the OCERS' Board to be paid to enhance the member's retirement benefit WHAT IT MIGHT CHANGE: • The Board of Supervisors or governing bodies of districts can negotiate with employees under collective bargaining to require that employees pay all or part of member and employer contributions (both normal cost and unfunded liability cost), as long as it is uniformly app lied, agreed to in a memorandum of understanding, and does not violate the law in place as of 12-3 1-1 2 • The Board of Supervisors or governing bodies of districts may require that members pay 50 percent of normal cost of benefits, as long as it is no more than 14% above the normal rate established for general members, 33% of the normal rate established for safety members who are local police officers, firefighters and county peace officers and 37% above the normal rate established for safety Pension Reform Legislative Language (8-30-12) Page 2 members other than local police officers, firefighters and county peace officers, as long as it does not violate the law in place as of 12-31-12 CURRENT RETIREES: There is no change in a retiree's benefits. There are changes to the ability to return to work after retirement but there is a question about whether this violates other provisions ofthe '37 Act. WHAT IT CHANGES: The Act restricts the ability of a retiree to return to work for a public employer in the same retirement system without reinstatement to active service and a suspension of the retirement benefit unless it is during an emergency to prevent stoppage of public business or because the retired person has skills needed to perform work of limited duration, as long as the retiree did not receive unemployment benefits arising from the prior employment. In either case, the work shall not exceed 960 hours in a calendar or fiscal year at a specific rate of pay and the retiree cannot come back to work before 180 days after retirement unless the employer certifies that the nature of employment and the appointment is necessary to fill a critically needed position sooner than 180 days and the employer's governing body approves it in a public meeting, or the retiree is a safety member. A retired member who received a retirement incentive must wait at least 180 days to return to work. Returning to work as a member of a state board or commission is also limited depending upon the circumstances of the appointment. WHAT IT DOESN'T CHANGE: There is no change to a retiree's benefit formula or final average salary used to calculate their retirement allowance, and no change to the Cost of Living Adjustment (COLA) provisions and supplemental COLA (STAR COLA) provisions. NEW EMPLOYEES HIRED ON OR AFTER 1-1-13: A "new employee" is defined as an employee who is first elected or appointed by any public employer on or after l-1-13 and who was not employed by any other public agency prior to that date, unless they terminated from the other public employer and did not establish reciprocity with the new employer's retirement system. A "new member" of a retirement system is an employee who first becomes a member of a public retirement system on or after 1-l-13 who was not a member of a public retirement system prior to that date unless reciprocity is established or did not have a break in active membership for more than six months. WHAT IT CHANGES: For "new employees" who become "new members" of the retirement system, an employer must adopt a new defined benefit formula for both Pension Reform Legislative Language (8-30-12) Page 3 general and safety members unless that employer has a benefit formula in place (either defined benefit or defined contribution) that is equal to or lower than the formul a described in the new Act. An employer cannot offer a supplemental defined benefit plan to new employees or new groups of employees not currently covered under an existing plan. • General member benefit formul a that allows retirement at age 52 with 5 years of service at 1.0%, increasing to 2.5% at 67 • No disability retirement for general members contained in the legislative language, but there is a questi on about whether current '37 Act sections would apply • Limiting compensation for both general and safety members used to calculate the retirement benefit to I 00% of the Social Security leve l if covered by Social Security or 120% of the Social Security level if not covered, adjusted by changes in the Consumer Price Index for all Urban Consumers annually on January I 51 following the annual valuation. OCERS members are not covered by Social Security • Limiting "pensionable compensation" (what OCERS' calls "compensation earnable") to the normal monthly rate of pay or base pay paid to similarly situated members of the same group or class of employment for full-time services during normal working hours • Pensionable compensation does NOT include: o Any compensation determined by the board to be paid so lely to enhance a member's retirement benefit o In kind benefits being converted to cash pay ments during the member's measuring period o One time or ad hoc payments o Severance payments paid in connection with separation from employment o All payments for unused vacation, annual leave, personal leave, sick leave, or compensatory time off, regardless of when reported or paid o Payment for services rendered outside of normal working hours o Overtime, unless FLSA o Employer provided allowances like housing, auto, or uniform o Employer contribution to deferred compensation or defined contribution plans o Any bonuses paid in additional to base pay, and o Any other compensation the retirement board determines is in excess of the member's monthly rate of pay or base pay as paid to similarly situated members of the same group or class for full-time services during normal workin g hours Pension Reform Legislative Language (8-30-12) Page4 o Any other compensation the retirement board determines should not be pensionable compensation • Employers cannot offer any defined benefit, including those offered by private providers, on compensation in excess of the Social Security limit, but can offer contributions to a defined contribution plan, subject to limitations, if it conforms with federal law. This does not ~reate a vested right to continue to receive the employer contribution • No new supplemental defined benefit plans can be offered to new employees or groups of employees not currently covered • Employers and employees must equally share normal cost and employees must pay at least 50% unless it is collectively bargained for the employee to pay more. The normal cost rate is the annual actuarially determined normal cost of the defined benefit plan expressed as a percentage of payroll • The normal cost provisions apply unl ess there is a collective bargaining agreement in place that applies on 1-1-13, until that agreement is renewed, amended or extended • Final average salary is measured over a three year period • Three safety member benefit formulas to choose from that each allows retirement at age 50 with 5 years of servi ce. The Basic Safety Plan provides 1.426% at 50, increasing to 2% at 57 and over. The Safety Option One Plan provides 2% at 50, increasing to 2.5% at 57 and over. The Safety Option Two Plan provides 2% at 50, increasing to 2.7% at 57 and over • The safety employers choice between the three safety formulas is limited to the formula that provides a lower benefit at 55 years of age than the formula provided to safety members on December 31, 2012 • On or after 1-1-13 safety employer and employees can negotiate a change to a lower safety benefit formula for new employees of that bargaining unit hired on or after the effective date of the agreement if collectively bargained and agreed to in a memorandum of understanding • The safety employer who negotiates a lower benefit formula for new employees shall not provide different defined benefits to nonrepresented, managerial or supervisory employees than the employer provides for other employees in the same membership classifications • Safety members can receive a service con nected disability retirement equal to the greater of 50% of final compensation attributable to the defined benefit plan plus an annuity purchased with accumulated member contributions, or a service retirement if qualified, or an actuarially reduced factor determined by the actuary fo r each quarter year that his/her service age is less than 50 years of age, Pension Reform Legislative Language (8-30-12) Page 5 multiplied by years of safety service. This section is repealed as of 1-1-18 unless there is a later enacted statute extending its provisions • Internal Revenue Code Section 40 I (a)( I?) limits apply to the compensation that can be considered when calculating a retirement benefit, like they do now. An employer cannot make contributions to any qualified retirement plan on compensation in excess of the limit. The 2012 limit is $250,000 • An employer cannot establish a replacement benefit plan for benefits that are limited by Internal Revenue Code Section 415. The 2012 limit is $200,000 for age 62, adjusted downward the earlier a member retires, unless certain rules apply • Officers elected or appointed to a city council or board of supervisors on or after 1-1-13 will have their retirement benefit based on highest average annual pen sionable compensation earned by the member during the period of each elective office • Changes to felony conviction provisions requiring forfeiture of benefits • Precludes the purchase of nonqualifed service credit under Section 415(n)(3)(C) of the Internal Revenue Code unless the purchase began prior to 1-1-13. In OCERS' this would be air-time, which is not approved in Orange County presently • Prohibits employers from contributing less than normal cost unless the plan is funded above 120% per the system's actuary, the actuary determines that continuing to accrue excess earnings could result in disqualification of the plan's tax exempt status under the Internal Revenue Code, and the board determines that receipt of any additional contributions would conflict with its state constitutional fiduciary duties Pension Reform Legislative Language (8-30-12) Page 6 Page 1 of 2 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 2 Item Number 16 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Assistant General Manager Project Manager: Martin Dix SUBJECT: REPLACEMENT OF THE BITTER POINT PUMP STATION, CONTRACT NO. 5-49 GENERAL MANAGER'S RECOMMENDATION Approve a budget increase of $485,000 for Replacement of the Bitter Point Pump Station, Contract No. 5-49, for a total budget amount of $32,095,000. SUMMARY This project replaces the existing 70-year-old Bitter Point Pump Station with a new pump station on West Coast Highway in Newport Beach. All construction activities are complete and the new pump station is operational. Final Acceptance was declared on October 19, 2012, and the project is currently in closeout. This budget request is to cover the additional time spent by the Orange County Sanitation District (Sanitation District) staff to resolve the problems that occurred during the construction and commissioning of the pump station; the labor budget was overrun by $447,000. Inspection labor made up the majority of the budget overrun while support for project management and engineering made up the remaining. In 2010, the project budget was reduced by $4,463,000 due to favorable construction bids. Over the last two years, the project budget was further reduced by $476,000 because the construction change order percentage was low, the project was on schedule, and the known risks were small. However, to prevent costly delays to another Sanitation District project, Project No. P2-66, Headworks Improvement at Plant No. 2, the Sanitation District took beneficial occupancy of the Bitter Point Pump Station on March 28, 2012 during the middle of Contractor’s commissioning phase. As a consequence of taking beneficial occupancy early, before the station was fully commissioned and deemed reliable, trained inspection staff was needed at the station 7 days a week, 24 hours per day, to prevent a possible sewage spill. As a result of staff action, costly delays to P2-66 were avoided without incident. To cover the Sanitation District labor budget overrun that incurred during construction and commissioning, and any further unexpected conditions during closeout, staff is requesting a $485,000 budget increase which includes $50,000 to be held in reserve as project contingency. Page 2 of 2 PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION The Bitter Point Pump Station project’s budget has been reduced by nearly $5 million since the start of the construction due to favorable bid environment and low project risk. The recent budget overrun was necessary to mitigate risks and a potential delay to another project with greater consequences of delay. The decision to take beneficial occupancy of the Bitter Point Pump Station early allowed P2-66 to demolish the old headworks and avoid potential Contractor delay. CEQA The Mitigated Negative Declaration for the Replacement of Bitter Point Pump Station, Contract No. 5-49, was certified by the Sanitation District’s Board of Directors on March 26, 2003. The Notice of Determination was filed with the State Clearinghouse on March 28, 2003. BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This request for increase in the project budget complies with authority levels of the Sanitation District’s Delegation of Authority. This item has been budgeted (FY2012-13 Section 8, Page 27), but the budget is insufficient for the recommended action. These funds will be offset by reductions within the CIP Budget. JH:MD:dm:gc Page 1 of 2 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 3 Item Number 17 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Assistant General Manager CIP Project Manager: Hardat Khublall SUBJECT: DOVER DRIVE TRUNK SEWER RELIEF, CONTRACT NO. 5-63 GENERAL MANAGER'S RECOMMENDATION Authorize the General Manager to negotiate a Professional Consultant Services Agreement with Atkins North America, Inc. (Atkins) for construction support services for Dover Drive Trunk Sewer Relief, Contract No. 5-63. SUMMARY The Dover Drive Trunk Sewer Relief, Contract No. 5-63, provides for the increase in the hydraulic capacity of approximately 7,500 feet of existing sewer lines located along Dover Drive, between Irvine Avenue and Pacific Coast Highway, in the City of Newport Beach. Atkins, formerly PBS&J, was awarded the design contract to design the trunk sewer. Atkins has satisfactorily furnished engineering services for the design of Contract No. 5-63 and their engineering support services during construction are needed to provide continuity through the completion of the project. The proposed construction services will include reviewing submittals, answering Contractors’ Requests for Information, reviewing design changes, claims avoidance and dispute resolution assistance, final inspection, preparing record drawings, and closeout of the project. This Professional Consultant Services Agreement will be presented to the Board of Directors for approval at a future meeting. PRIOR COMMITTEE/BOARD ACTIONS September 2008 – Approved Professional Design Services Agreement with PBS&J for Dover Drive Trunk Sewer Relief, Contract No. 5-63, providing for engineering design services for an amount not to exceed $956,431 and approve a contingency of $95,643 (10%). ADDITIONAL INFORMATION None. Page 2 of 2 CEQA This project was included in the June 2007 Collections, Programmatic Environmental Impact Report, was certified on August 22, 2007 and a Notice of Determination was filed on August 23, 2007. BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the Sanitation District’s Delegation of Authority. This item has been budgeted (FY2012-13 Section 8, Page 31) and the budget is sufficient for the recommended action. HK:dm Page 1 of 4 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 4 Item Number 18 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Assistant General Manager CIP Project Manager: Eros Yong SUBJECT: DISTRICT 6 TRUNK SEWER RELIEF, PROJECT NO. 6-17 GENERAL MANAGER'S RECOMMENDATION A. Approve a Professional Design Services Agreement with RMC Water and Environment to provide engineering design services for District 6 Trunk Sewer Relief, Project No. 6-17, for an amount not to exceed $576,541; and, B. Approve a contingency of $57,654 (10%). SUMMARY The purpose of this project is to increase the wet weather capacity of the District 6 Trunk, extend the life of the sewer by 30 years, and to provide safe access to the manholes. The District 6 Trunk serves the cities of Costa Mesa and Newport Beach. The existing 3,700-foot long sewer ranges from 12 to 18 inches in diameter and extends along Pomona Avenue in Costa Mesa, and along Newport Boulevard to Pacific Coast Highway in Newport Beach. The District 6 trunk sewer was built by the Orange County Sanitation District (Sanitation District) in the early 1950s and is approximately 60 years old. The Sanitation District’s 2006 Strategic Plan Update and 2009 Facilities Master Plan both identify this sewer as at risk of a sanitary sewer overflow during a 10-year model storm event and is in need of capacity upgrades. A 2006 survey performed on the project’s sewer pipes identified portions of the pipe in need of rehabilitation in addition to capacity upgrades. The proposed Professional Design Services Agreement includes the preparation of a Preliminary Design Report and Final Design, which includes the preparation of construction documents (plans and specifications). The Sanitation District advertised a Request for Proposal (RFP) and seven proposals were received. Based on the overall qualifications and expertise, staff recommends awarding a PDSA to RMC Water and Environment (RMC) for an amount not to exceed $576,541. PRIOR COMMITTEE/BOARD ACTIONS None. Page 2 of 4 ADDITIONAL INFORMATION Project Scope of Work: This project will provide an engineered solution to increase the wet weather capacity and extend the life of the District 6 sewer. A hydraulic model using specific site information will be used to determine the proper sizing of the new pipe. Different pipe replacement and rehabilitation technologies and approaches will be evaluated using various criteria such as cost, construction duration, construction impact to residents and local businesses, permitting, sewer bypass requirements, odor control requirements, geotechnical condition, stormwater risk, etc. Request for Proposal (RFP): The evaluation and selection process is based on procedures pursuant to the California Government Code requiring the Sanitation District to select “the best qualified firm” for architectural and engineering services and to negotiate a “fair and reasonable” fee with that firm. An RFP which outlined Consultant Scope of Work and criteria required for this project was advertised on August 7, 2012 in the Orange County Register. Furthermore, an email notification was sent to all engineering consultants registered in the categories of Architecture & Engineering; Design; and Engineering – General, in the Sanitation District vendor database. As a result, seven proposals were received on September 18, 2012. A Staff Evaluation/Screening Committee consisting of five representatives from Engineering and Facilities Support Services Departments reviewed and ranked each of the proposals in accordance with the evaluation process set forth in the Sanitation District Resolution No. OCSD 07-04, Section 5.07. A representative from the Contracts Administration Division participated in the evaluation process as a non-voting member. The proposals were evaluated according to the following six criteria: (1) understanding of the Scope of Work; (2) technical approach; (3) management approach; (4) staff qualifications; (5) firm experiences; and (6) schedule. After reviewing and scoring the proposals, the seven Consultant firms were ranked according to the score achieved. The Evaluation Committee selected the top four firms to continue in the selection process for further evaluation. Atkins, Psomas, RMC, and Tetra Tech were the top ranking firms, and the Evaluation Committee conducted interviews with each of the top four firms to meet the proposed key team members and further evaluate the firms’ proposals. Pursuant to the results of the interview, the Evaluation Committee selected RMC as the top-ranked firm as shown in Table 1. Page 3 of 4 TABLE 1 PROPOSAL EVALUATION* Consultant Evaluator RMC (Rank) Psomas (Rank) Tetra Tech (Rank) Atkins (Rank) Reviewer A 1 2 4 3 Reviewer B 1 2 3 4 Reviewer C 1 3 2 4 Reviewer D 1 2 3 4 Reviewer E 1 2 3 4 Average Ranking 1 2.2 3 3.8 Overall Ranking 1 2 3 4 Proposal Fee 692,283 540,647 387,058 789,768 Negotiated Fee Proposal 576,541 --- --- --- * Based on scores after interview All proposals were accompanied by a sealed fee proposal estimate. The fee proposal estimates were not opened until the proposals were evaluated and a top-ranked firm was selected in accordance with Sanitation District Resolution No. OCSD 07-04, Section 5.07. Staff conducted negotiations with RMC to clarify the requirements of the Scope of Work and to establish the final negotiated fee. During these meetings, the project Scope of Work, assumptions, and the design process were discussed and clarified as required for the completion of the Scope of Work for the project. Elements reviewed include drawing list, project schedule, total labor hours, and labor-hour distribution by task as related to the work items, labor overhead rates, and profit calculations. These elements were compared to the budgeted amounts, the independent fee estimate prepared by Staff, RFP requirements, industry standards, historical data, and Sanitation District Guidelines. As a result of these meetings, the proposal fee was decreased to $576,541, which is higher than the second and third ranked proposers submitted by Psomas and Tetra Tech respectively. Compared to these two firms, RMC’s proposed project team is comprised of better qualified experts in the fields of hydraulic modeling, piping rehabilitation, and replacement methods, including pipe bursting and other trenchless technologies. RMC’s proposal includes more elements to reduce risks during construction including a more thorough evaluation of rehabilitation and replacement technologies and increased QA/QC effort. Staff believes that using the approach as proposed by RMC will significantly reduce potential change orders, delays, and community impacts during construction. Page 4 of 4 Based on the above, staff determined the final cost proposal to be fair and reasonable for the Scope of Work and recommends awarding the Professional Design Services Agreement to RMC for an amount not to exceed $576,541. CEQA The project was included in the Program Draft Environmental Impact Report (DEIR) on Collection System Improvement Plan dated March 2007. An Addendum or Mitigated Negative Declaration to CEQA documents may be needed for the project. This work is included in the final negotiated contract. BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This complies with the authority levels in the Sanitation District’s Delegation of Authority. This item has been budgeted (FY 2012-13, Section 8, Page 8) and the project budget is sufficient for the recommended action. Date of Approval Contract Amount Contingency 12/19/12 $576,541 $57,654 (10%) ATTACHMENT The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package and attachments: • Professional Design Services Agreement (16 pages) JH:EY:dm:gc PROFESSIONAL DESIGN SERVICES AGREEMENT THIS AGREEMENT, is made and entered into to be effective the 19th day of December, 2012 by and between the ORANGE COUNTY SANITATION DISTRICT, hereinafter referred to as "SANITATION DISTRICT', and RMC WATER AND ENVIRONMENT, for purposes of this Agreement hereinafter referred to as "CONSULTANT". WITNESSETH: WHEREAS, the SANITATION DISTRICT desires to engage a CONSULTANT for DISTRICT 6 TRUNK SEWER RELIEF, PROJECT NO. 6-17, to provide Design services for increasing the capacity of the District 6 Trunk Sewer to provide for wet weather flows and, WHEREAS, CONSULTANT is qualified to provide the necessary services in connection with these requirements and has agreed to provide the necessary professional services; and, WHEREAS, the SANITATION DISTRICT has adopted procedures for the selection of professional services and has proceeded in accordance with said procedures to select a CONSULTANT to perform this work; and, WHEREAS, at its regular meeting on December 19, 2012 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 CONSULT ANT of responsibility for complying with all laws, codes, industry standards and liability for damages caused by errors, omissions, noncompliance with industry standards, and/or negligence on the part of the CONSULTANT or its Subconsultants. B. CONSULTANT is responsible for the quality of work prepared under this Agreement and shall ensure that all work is performed to the standards of best engineering practice for clarity, uniformity, and completeness. CONSULTANT shall respond to all comments, suggestions, and recommendations on the SANITATION DISTRICT's review comment sheets (i.e. DS2 and DS3). All comments shall be incorporated into the design prior to the next submittal deadline or addressed, in writing, as to why the comment has not been incorporated. CONSULT ANT shall ensure that each submittal is 1 00% accurate for the level of work submitted (i.e. correct references, terms, capitalization or equal status, spelling, punctuation, etc.) PDSA PROJECT NO. 6-17 Revised 11/1711 0 Page 1 of 16 C. In the event that work is not performed to the satisfaction of the SANITATION DISTRICT and does not conform to the requirements of this agreement or any applicable industry standards, the CONSULTANT shall, without additional compensation, promptly correct or revise any errors or deficiencies in its designs, drawings, specifications, or other services within the timeframe specified by the Project Engineer/Project Manager. The SANITATION DISTRICT may charge to CONSULTANT all costs, expenses and damages associated with any such corrections or revisions. D. All CAD drawings, figures, and other work shall be produced by CONSULTANTS and Subconsultants using the SANITATION DISTRICT CAD Manual. Conversion of CAD work from any other non-standard CAD format to the SANITATION DISTRICT format shall not be acceptable in lieu of this requirement. Electronic files shall conform to the SANITATION DISTRICT specifications. Any changes to these specifications by the CONSULT ANT are subject to review and approval of the SANITATION DISTRICT. Electronic files shall be subject to an acceptance period of 30 days during which the SANITATION DISTRICT shall perform appropriate reviews and including CAD Manual compliance. CONSULTANT shall correct any discrepancies or errors detected and reported within the acceptance period at no additional cost to the SANITATION DISTRICT. E. The CONSULTANT shall ensure that all plans and specifications prepared, or recommended under this Agreement allow for competitive bidding. The CONSULTANT shall design such plans or specifications so that procurement of services, labor or materials are not available from only one source, and shall not design plans and specifications around a single or specific product, piece of major equipment or machinery, a specific patented design or a proprietary process, unless required by principles of sound engineering practice and supported by a written justification that has been approved in writing by the SANITATION DISTRICT. The CONSULTANT shall submit this written justification to the SANITATION DISTRICT prior to beginning work on such plans and specifications. Whenever the CONSULTANT recommends a specific product or equipment for competitive procurement, such recommendation shall include at least two brand names of products that are capable of meeting the functional requirements applicable to the project. F. All professional services performed by the CONSULTANT, including but not limited to all drafts, data, correspondence, proposals, reports, and estimates compiled or composed by the CONSULTANT, pursuant to this Agreement, are for the sole use of the SANITATION DISTRICT, its agents and employees. Neither the documents nor their contents shall be released to any third party without the prior written consent of the SANITATION DISTRICT. This provision does not apply to information that (a) was publicly known, or otherwise known to the CONSULTANT, at the time that it was disclosed to the CONSULTANT by the SANITATION DISTRICT, (b) subsequently becomes publicly known to the CONSULTANT other than through disclosure by the SANITATION DISTRICT. Except for Subconsultants covered by Section 2 (a) neither the documents nor their contents shall be released to any third party without the prior written consent of the SANITATION DISTRICT. PDSA PROJECT NO. 6-17 Revised 11/17/10 Page 2 of 16 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 seventy six thousand five hundred forty one dollars and ($576,540). 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 herein, broken down as follows: DESIGN SERVICES INCLUDING: CONSULTANT: RMC WATER AND ENVIRONMENT Raw Labor Fringe Rate 17% (% x Raw Labor) $ 113,493 $ 19.294 Burdened labor $ 132,787 (Raw Labor+ Fringe Rate) Overhead 198 % (% x Burden Labor) $262.918 Subtotal $ 395,705 (Burden Labor + Overhead) Profit 9.68 % $ 38,304 (% x Subtotal) Total Direct Costs, not to exceed $6.750 TOTAL-CONSULTANT Consulting Services, not to exceed $ 440.759 Subconsultants under $100,000: Subconsultant 1 Geotechnical -Fugro Subconsultant 2 Surveying -Calvada Subconsultant 3 Utility Coordination Potholing -Saf-R-Dig Subconsultant 4 Landscape -TCLA Subconsultant 5 Traffic-CA Barricade Subconsultant 6 Staheli $33,070 $25,080 $25,000 $34,240 $ 10,000 $8.391 TOTAL-Subconsultants under $100,000 $ 135,781 GRAND TOTAL for Design Services, not to exceed $576,540 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 Subconsultant services above. PDSA PROJECT NO. 6-17 Revised 11/17/10 Page 3 of 16 For any Subconsultant whose fees for services are less than $100,000, CONSULTANT may pay to Subconsultant, total compensation on an hourly-rate basis per attached schedule. The SANITATION DISTRICT shall pay to CONSULTANT the actual costs of Subconsultant fees and charges, in an amount not to e_xceed One hundred thirty five thousand seven hundred eighty one Dollars ($135,781). 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. 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. 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 Section 5, Payment, of this Agreement. CONSULTANT shall warrant and certify the accuracy of these costs and understand that submitted costs are subject to Section 12 Audit Provisions. D. Overhead. As a portion of the total compensation to be paid to CONSULTANT, the SANITATION DISTRICT shall compensate CONSULTANT for overhead at a rate equal to 198 % of burdened labor paid by CONSULTANT pursuant to Compensation Section hereof. E. Profit. As a portion of the total compensation to be paid to CONSULTANT, the SANITATION DISTRICT shall pay a profit of Thirty eight thousand three hundred four dollars ($38,304) for all services ·rendered by CONSULTANT for this project. F. Subconsultants. For any subconsultant whose fees are greater than or equal to $100,000, CONSULTANT shall pay to subconsultant total compensation in accordance with Section 2. For any subconsultant whose fees are less than $100,000, CONSULTANT may pay to subconsultant, total compensation on an hourly-rate basis per attached Schedule. The SANITATION DISTRICT shall pay to CONSULTANT the actual costs of subconsultant fees and charges in an amount not to exceed One hundred thirty five thousand seven hundred eighty one dollars ($135,781). PDSA PROJECT NO. 6-17 Revised 11/17/10 Page 4 of 16 G. Direct Costs. The SANITATION DISTRICT shall pay to CONSULTANT the actual costs of permits and associated fees, travel and licenses for an amount not to exceed six thousand seven hundred fifty dollars ($6,750). 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. All incidental expenses shall be included in overhead pursuant to Compensation Section above. 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. When the SANITATION DISTRICT determines that all Work authorized under the Contract is fully complete and that the SANITATION DISTRICT requires no further work from CONSULTANT, or the Contract is otherwise terminated or expires in accordance with the terms of the Contract, the SANITATION DISTRICT shall give the Consultant written notice that the Contract will be closed out. CONSULTANT shall submit all outstanding billings, Work submittals, deliverables, reports or similarly related documents as required under the Contract within thirty (30) days of receipt of notice of Contract closeout. PDSA Upon receipt of CONSULTANT'S submittals, the SANITATION DISTRICT shall commence a closeout audit of the Contract and will either: i. Give the CONSULT ANT a final Contract 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 Project Closeout efforts identified in Agreement. Such support must be provided within the timeframe requested by the SANITATION DISTRICT. Notwithstanding the final Contract 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 Contract which expressly or by their nature extend beyond and survive final Contract Acceptance. Any failure by the SANITATION DISTRICT to reject the work or to reject the CONSULTANT'S request for final Contract 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 Contract Acceptance. PROJECT NO. 6-17 Revised 11/17/1 0 Page 5 of 16 5. PAYMENT A. CONSULTANT may submit monthly or periodic statements requesting payment for those items included in Section 2 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 (1 00%) 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. He may, at his discretion, retain an amount equal to that which insures that the total amount paid to that date does not exceed the percentage of the completed work for each project element or the project in its entirety. B. CONSULT ANT may submit periodic payment requests for each 30-day period of this Agreement for the profit as set forth in Compensation Section 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. C. 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. D. 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, CONSULT ANT 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. PDSA PROJECT NO. 6-17 Revised 11/17/10 Page 6 of 16 E. 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 $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. 6. PREVAILING WAGES To the extent CONSULTANT intends to employ employees who will perform work during the design and preconstruction phases of a construction contract, as more specifically defined under Labor Code Section 1720, CONSULTANT shall be subject to prevailing wage requirements with respect to such employees. 7. DOCUMENT OWNERSHIP-SUBSEQUENT CHANGES TO PLANS AND SPECIFICATIONS-CONSULTANT PERFORMANCE A. Ownership of Documents for the Professional Services performed, all documents, including but not limited to, original plans, studies, sketches, drawings, computer printouts and disk files, and specifications prepared in connection with or related to the Scope of work or Professional Services, shall be the property of the SANITATION DISTRICT. The SANITATION DISTRICT's ownership of these documents includes use of, reproduction or reuse of and all incidental rights, whether or not the work for which they were prepared has been performed. The SANITATION DISTRICT ownership entitlement arises upon payment or any partial payment for work performed and includes ownership of any and all work product completed prior to that payment. This Section shall apply whether the CONSULTANT's Professional Services are terminated: a) by the completion of the Agreement, or b) in accordance with other provisions of this Agreement. Notwithstanding any other provision of this paragraph or Agreement, the CONSULTANT shall have the right to make copies of all such plans, studies, sketches, drawings, computer printouts and disk files, and specifications. B. CONSULTANT shall not be responsible for damage caused by subsequent changes to or uses of the plans or specifications, where the subsequent changes or uses are not authorized or approved by CONSULTANT, provided that the service rendered by CONSULTANT was not a proximate cause of the damage. PDSA PROJECT NO. 6-17 Revised 11/17/10 Page 7 of 16 C. 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 Department and may be considered in future CONSULTANT selection processes. 8. INSURANCE PDSA A. General i. Insurance shall be issued and underwritten by insurance companies acceptable to the SANITATION DISTRICT. ii. Insurers must have an "A-" Policyholder's Rating, or better, and Financial Rating of at least Class VIII, or better, in accordance with the most current A.M. Best's Guide Rating. However, the SANITATION DISTRICT will accept State Compensation Insurance Fund, for the required policy of Worker's Compensation Insurance subject to the SANITATION DISTRICT's option to require a change in insurer in the event the State Fund financial rating is decreased below "B". Further, the SANITATION DISTRICT will require Contractor to substitute any insurer whose rating drops below the levels herein specified. Said substitution shall occur within 20 days of written notice to Contractor, 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 contract, including the period of warranty, Commercial General Liability Insurance written on an occurrence basis providing the following minimum limits of liability coverage: two million dollars ($2,000,000) per occurrence with two million dollars ($2,000,000) aggregate. Said insurance shall include coverage for the following hazards: Premises-Operations, blanket contractual liability (for this Agreement), products liability/completed operations (including any product manufactured or assembled), broad form property damage, blanket contractual liability, independent contractors liability, personal and advertising injury, mobile equipment, owners and contractors protective liability, and cross liability and severability of interest clauses. A statement on an insurance certificate will not be accepted in lieu of the actual additional insured endorsement(s). If requested by SANITATION DISTRICT and applicable, XCU coverage (Explosion, Collapse and Underground) 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. PROJECT NO. 6-17 Revised 11/17/10 Page 8 of 16 PDSA 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. Workers Compensation Insurance The CONSULTANT shall provide such Workers' Compensation Insurance as required by the Labor Code of the State of California in the amount of the statutory limit, including Employers Liability Insurance with a minimum limit of one million dollars ($1 ,000,000) per occurrence. Such Workers Compensation Insurance shall be endorsed to provide for a waiver of subrogation in favor of the SANITATION DISTRICT. A statement on an insurance certificate will not be accepted in lieu of the actual endorsements unless the insurance carrier is State of California Insurance Fund and the identifier "SCIF" and endorsement numbers 2570 and 2065 are referenced on the certificate of insurance. F. Errors and Omissions/Professional Liability CONSULTANT shall maintain in full force and effect, throughout the term of this Agreement, standard industry form professional negligence errors and omissions insurance coverage in an amount of not less than five million dollars ($5,000,000) 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 (1 0) days prior to the expiration of each policy term. PROJECT NO. 6-17 Revised 11/17/1 0 Page 9 of 16 PDSA G. Proof of Coverage The CONSULTANT shall furnish the SANITATION DISTRICT with original certificates and amendatory endorsements effecting coverage. Said policies and endorsements shall conform to the requirements herein stated. All certificates and endorsements are to be received and approved by the SANITATION DISTRICT before work commences. The SANITATION DISTRICT reserves the right to require complete, certified copies of all required insurance policies, including endorsements, effecting the coverage required, at any time. The following are approved forms that must be submitted as proof of coverage: • Certificate of Insurance ACORD Form 25-S(7/97) or equivalent. • Additional Insurance (ISO Form) CG201 0 11 85 or (General Liability) • Additionallnsured (Auto Liability) • Waiver of Subrogation • Cancellation Notice H. Cancellation Notice The combination of (ISO Forms) CG 2010 10 01 and CG 2037 1 0 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. Submit endorsement provided by carrier for the SANITATION DISTRICT approval. State Compensation Insurance Fund Endorsement No. 2570 or equivalent. State Compensation Insurance Fund Endorsement No. 2065 or equivalent. 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-S (7/97) 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 (1 0) days written notice to the SANITATION DISTRICT. Should there be changes in coverage or an increase in deductible or SIR amounts, the CONSULTANT and its insurance broker/agent shall send to the SANITATION DISTRICT a certified letter which includes a description of the changes in coverage and/or any increase in deductible or SIR amounts. The certified letter must be sent to the attention of Contracts Management, Div. 230, 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. PROJECT NO. 6-17 Revised 11/17/10 Page 10 of 16 I. Primarv Insurance All liability policies shall contain a Primary and Non Contributory Clause. Any other insurance maintained by the SANITATION DISTRICT shall be excess and not contributing with the insurance provided by CONSULTANT. J. Seoaration of Insured All liability policies shall contain a "Separation of Insureds" clause. K. Non-Limiting (if applicable) Nothing in this document shall be construed as limiting in any way, nor shall it limit the indemnification provision contained in this Agreement, or the extent to which CONSULTANT may be held responsible for payment of damages to persons or property. L. Deductibles and Self-Insured Retentions Any deductible and/or self insured retention must be declared to the SANITATION DISTRICT on the Certificate of Insurance. All deductibles and/or self insured retentions require approval by the SANITATION DISTRICT. At the option of the SANITATION DISTRICT, either: the insurer shall reduce or eliminate such deductible or self-insured retention as respects the SANITATION DISTRICT; or the CONSULTANT shall provide a financial guarantee satisfactory to the SANITATION DISTRICT guaranteeing payment of losses and related investigations, claim administration and defense expenses. M. Defense Costs Liability policies shall have a provision that defense costs for all insureds and additional insureds are paid in addition to and do not deplete any policy limits. N. Subconsultants The CONSULTANT shall be responsible to establish insurance requirements for any subconsultant hired by the CONSULTANT. The insurance shall be in amounts and types reasonably sufficient to deal with the risk of loss involving the subconsultant's operations and work. 9. SCOPE CHANGES. In the event of a change in the scope of the proposed project, requested by SANITATION DISTRICT, the parties hereto shall execute an addendum to this Agreement setting forth with particularity all terms of the new Agreement, including but not limited to any additional CONSUL TANrs fees. 10. 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. PDSA PROJECT NO. 6-17 Revised 11/17/10 Page 11 of 16 11. ENGINEERING REGISTRATION. The CONSULTANT personnel is 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. 12. AUDIT PROVISIONS i. SANITATION DISTRICT retains the reasonable right to access, review, examine, and audit, any and all books, records, documents and any other evidence of procedures and practices that the SANITATION DISTRICT determines are necessary to discover and verify that the CONSULTANT is in compliance with all requirements under this Agreement. The CONSULTANT shall include the SANITATION DISTRICT's right as described above, in any and all of their subcontracts, and shall ensure that these rights are binding upon all Subconsultants. ii. 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. iii. CONSULTANT shall maintain complete and accurate records in accordance with generally accepted industry standard practices and the SANITATION DISTRICT's policy. The CONSULTANT shall make available to the SANITATION DISTRICT for review and audit, all Project related accounting records and documents, and any other financial data within 15 days after receipt of notice from the SANITATION DISTRICT. Upon SANITATION DISTRICT's request, the CONSULTANT shall submit exact duplicates of originals of all requested records to the SANITATION DISTRICT. If an audit is performed, CONSULTANT shall ensure that a qualified employee of the CONSULTANT will be available to assist SANITATION DISTRICT's auditor in obtaining all Project related accounting records and documents, and any other financial data. 13. 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. 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. PDSA 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. PROJECT NO. 6-17 Revised 11/17/1 0 Page 12 of 16 Notice of termination shall be mailed to the SANITATION DISTRICT at: ORANGE COUNTY SANITATION DISTRICT 10844 Ellis Avenue Fountain Valley, CA 92708-7018 Attention: Gary Prater Notice of termination shall be mailed to CONSULTANT at: RMC WATER AND ENVIRONMENT Tricia Butler 15510-C Rockfield Boulevard, Suite 200 Irvine, CA. 92618 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. CONTRACT 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 contracts for that party. 18. DISPUTE RESOLUTION. In the event of a dispute arising between the parties regarding performance or interpretation of this Agreement, the dispute shall be resolved by binding arbitration under the auspices of the Judicial Arbitration and Mediation Service ("JAMS"), or similar organization or entity conducting alternate dispute resolution services. 19. ATTORNEY'S FEES, COSTS AND NECESSARY DISBURSEMENTS. If any action at law or inequity 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 he 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. 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). PDSA PROJECT NO. 6-17 Revised 11/17/1 0 Page 13 of 16 22. INDEMNIFICATION. To the fullest extent permitted by law, CONSULTANT shall indemnify, defend (at CONSULTANT'S sole cost and expense and with legal counsel approved by the SANITATION DISTRICT, which approval shall not be unreasonably withheld), protect and hold harmless the SANITATION DISTRICT and all of SANITATION DISTRICT'S officers, directors, employees, CONSULTANT's, and agents (collectively the "Indemnified Parties"), from and against any and all claims, damages, liabilities, causes of action, suits, arbitration awards, losses, judgments, fines, penalties, costs and expenses (including, without limitation, attorneys' fees, disbursements and court costs, and all other professional, expert or CONSULTANT'S fees and costs and the SANITATION DISTRICT'S general and administrative expenses; individually, a "Claim"; collectively, "Claims") which may arise from or are in any manner related, directly or indirectly, to any work performed, or any operations, activities, or services provided by CONSULTANT in carrying out its obligations under this Agreement to the extent of the negligent, recklessness and/or willful misconduct of CONSULTANT, its principals, officers, agents, employees, CONSULTANT'S suppliers, CONSULTANT, subconsultants, subcontractors, and/or anyone employed directly or indirectly by any of them, regardless of any contributing negligence or strict liability of an Indemnified Party. Notwithstanding the foregoing, nothing herein shall be construed to require CONSULTANT to indemnify the Indemnified Parties from any Claim arising solely from: (A) the active negligence or willful misconduct of the Indemnified Parties; or (B) a natural disaster or other act of God, such as an earthquake; or (C) the independent action of a third party who is neither one of the Indemnified Parties nor the CONSULTANT, nor its principal, officer, agent, employee, nor CONSULTANT'S supplier, CONSULTANT, subconsultant, subcontractor, nor anyone employed directly or indirectly by any of them. Exceptions (A) through (B) above shall not apply, and CONSULTANT shall, to the fullest extent permitted by law, indemnify the Indemnified Parties, from Claims arising from more than one cause if any such cause taken alone would otherwise result in the obligation to indemnify hereunder. CONSULTANT'S liability for indemnification hereunder is in addition to any liability CONSULTANT may have to the SANITATION DISTRICT for a breach by CONSULTANT of any of the provisions of this Agreement. Under no circumstances shall the insurance requirements and limits set forth in this Agreement be construed to limit CONSULTANT'S indemnification obligation or other liability hereunder. The terms of this Agreement are contractual and the result of negotiation between the parties hereto. Accordingly, any rule of construction of contracts (including, without limitation, California Civil Code Section 1654) that ambiguities are to be construed against the drafting party, shall not be employed in the interpretation of this Agreement. 23. DUTY TO DEFEND. The duty to defend hereunder is wholly independent of and separate from the duty to indemnify and such duty to defend shall exist regardless of any ultimate liability of CONSULTANT and shall be consistent with Civil Code section 2782.8. Such defense obligation shall arise immediately upon presentation of a Claim by any person if, without regard to the merit of the Claim, such Claim could potentially result in an obligation to indemnify one or more Indemnified Parties, and upon written notice of such Claim being provided to CONSULTANT. Payment to CONSULTANT by any Indemnified Party or the payment or advance of defense costs by any Indemnified Party PDSA PROJECT NO. 6-17 Revised 11/17/1 0 Page 14 of 16 shall not be a condition precedent to enforcing such Indemnified Party's rights to indemnification hereunder. In the event a final judgment, arbitration, award, order, settlement, or other final resolution expressly determines that the claim did not arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the CONSULTANT, to any extent, then the DISTRICT will reimburse CONSULTANT for the reasonable costs of defending the Indemnified Parties against such claims. CONSULTANT'S indemnification obligation hereunder shall survive the expiration or earlier termination of this Agreement until such time as action against the Indemnified Parties for such matter indemnified hereunder is fully and finally barred by the applicable statute of limitations. 24. ENTIRE AGREEMENT. This Agreement constitutes the entire understanding and agreement between the Parties and supersedes all previous negotiations between them pertaining to the subject matter thereof. PDSA PROJECT NO. 6-17 Revised 11/17/10 Page 15 of 16 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. Attachments: RMC Cover letter Attachment A -Scope of Work Attachment F -Fee Proposal Form ORANGE COUNTY SANITATION DISTRICT By ________________________________ __ Marc Dubois (Approved as to Form) Date Contracts, Purchasing and Materials Management Division Manager By~------------------------------Chair, Board of Directors Date By ________________________________ ____ Clerk of the Board Date RMC WATER AND ENVIRONMENT BY---------------------------------Date By ________________________________ ____ Date ORANGE COUNTY SANITATION DISTRICT By ________________________________ __ Marc Dubois Date Contracts, Purchasing and Materials Management Division Manager Attachment G -Cost Summary and Labor Matrix GP:eh EDMS: 003967076 PDSA PROJECT NO. 6-17 Revised 11/17/10 Page 16 of 16 Page 1 of 3 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 5 Item Number 19 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Nick Arhontes, Director of Facility Support Services SUBJECT: PROPERTY LEASE IN BREA FOR CHEMICAL DOSING STATION GENERAL MANAGER'S RECOMMENDATION A. Receive and file Addendum to the Final Effluent Pump Station Annex and Collection System Odor and Corrosion Control Program Supplemental Environmental Impact Report (SEIR) for project modifications to the Collection System Odor and Corrosion Control Program; and, B. Approve an amendment to the existing lease, a two year (24-month) real property lease and subterranean license agreement, with Brea Imperial Inc. and RV Storage Depot Brea to allow mobilization of chemical dosing equipment and injection of chemicals at 1225 West Imperial Highway in Brea for an amount of $2,575 per month for 2013 and an amount of $2,652.25 per month for 2014, in a form approved by General Counsel, with an option to extend for up to two additional years with up to a three percent price escalation per year beginning December 31, 2012 and ending December 31, 2014. SUMMARY Orange County Sanitation District (OCSD) currently doses chemicals in its collection facilities at seven locations to control odors and corrosion as well as to reduce the level of odors at the treatment plants in accordance with our sewage conditioning program. This site location in Brea, where we have been testing, is an addition to the existing seven locations. It allows for ongoing treatment in the Knott Interceptor that runs through the cites of Buena Park, La Habra, La Palma, Anaheim, Stanton, Cypress, Garden Grove, and Westminster. This private property dosing site location provides the benefit of secure access with a guarded gate, with surveillance camera and a code-key entry providing 24 hours access into the storage depot. OCSD will pay a monthly rental and license fee. The annual lease will have a cost of living adjustment of 3%. With a 3% annual increase, the rent for the period January through December 2013 will be $2,575 per month ($30,900/year). For 2014 with a 3% increase, the total monthly rent will be $2,652.25 ($31,827/year). The two-year lease was the minimum requirement that the property owner would consider to extend the current lease agreement. Staff has investigated this type of rental by other wastewater agencies and found the rates to be similar. In addition, during this two-year lease, staff will investigate other Page 2 of 3 viable options for dosing stations at lower costs. This will include working with our contacts at OCSD member cities and agencies. The specific project odor and corrosion control sites were not identified in the Final SEIR. The site was evaluated based on the criteria is the SEIR and it was determined that the project site meets the conditions of the SEIR. An Addemdum to the SEIR was prepared documenting the analysis and findings. PRIOR COMMITTEE/BOARD ACTIONS Dec 2010 – The Board approved a lease and subterranean license agreement with an option to extend, with Brea Imperial Inc. and RV Storage Depot Brea. ADDITIONAL INFORMATION An informational presentation was given at the December 2011 Operations Committee Meeting providing a status on the effectiveness of chemical dosing at this location. A subterranean lease is required to utilize the underground sewer pipes within the Brea RV site to convey the chemical into OCSD’s trunkline. Staff identified that this location was the best current location for dose chemicals for sewage conditioning because the location is zoned industrial and commercial; and it is secured from public access. The Brea Testing Study Report (2011) recommended the phase 2 study to optimize the treatment program to include the upper and lower Knott Trunk Sewer System. 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 properly address the Brea RV Park dosing station. BUDGET / DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the Sanitation District’s Delegation of Authority. This item has been budgeted in line item 130 for this purpose. Project contingency funds will not be used for this. ATTACHMENTS The following attachments are included in hard copy and may be viewed on-line at the OCSD website (www.ocsd.com) with the complte agenda package and attachments: · Site Layout drawing · Real Property Lease and Subterranean License Agreement. Page 3 of 3 Site Layout: Brea RV Chemical Dosing Station EXISTING BULOIHG £XI& fiNO BUil.DINO t SCIU I" • :rf RV storage Depot AOORESS OTY 1225 W. Imperial Hwy ~, ...... i WATeR SO\JRCE ~ INJ()OII) .. FIRE RISER g Eli'C. ~ JIO• PVC 0051! UNE ~·~\\\\\~ EIQ$TIHG Fete~! ~~ EXISTING RV STORAGE Brea, CA ZIP 92821 Page 1 of 4 ADDENDUM NO. 1 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, 2012 PURPOSE OF ADDENDUM: In November 2002, the Orange County Sanitation District (OCSD) 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 existing continuous feed systems throughout the service area that were part of a pilot program. 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. OCSD’s Board of Directors will consider this addendum in conjunction with the lease agreement for the property discussed. PROJECT DESCRIPTION: OCSD’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, OCSD conducts an odor and corrosion control program for the collection system that currently consists of applying chemicals in the upper 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 OCSD’s treatment plants. As part of the initial pilot program, OCSD conducted research to determine the effectiveness of treating upstream of the Knott Trunk System. The selected location was at the Brea RV Storage Depot on Imperial Highway just west of Puente Street in the City of Brea. Page 2 of 4 Two above-ground 12-foot storage tanks were installed to initiate dosing and evaluate the effects downstream and at the treatment plants. The tanks are on the west side of the property directly adjacent to a storage building. The tanks are over 200 feet from the street and obstructed from public view by mature landscaping and RV’s parked in the area. The nearest neighbor is Independent Electric which is at an approximate distance of 75 feet. Recommendations from the Phase 1 Research Study included on-going dosing at this location, and additional testing to better understand benefits in the lower portion of the trunk. This location in Brea allows for treatment to minimize odors in Upper and Lower Knott Trunk Sewer; which include Buena Park, La Habra, La Palma, Anaheim, Stanton, Cypress, Garden Grove, and Westminster with the potential to reduce chemical treatment on the Lower-Knott Trunk Sewer. The chemicals that may possibly be used at this site include, but are not limited to: · Ferrous chloride · Ferric chloride · Ferrous sulfate · Ferric sulfate · Sodium hydroxide · Nitrates · Magnesium hydroxide ENVIRONMENTAL IMPACT ANALYSIS: Chemical dosing stations are described in Section 2.2 of the SEIR. Environmental impacts associated with the new station 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, a location had not been identified or secured. This addendum describes and evaluates the environmental impacts of the Brea RV Storage Depot chemical feed station. 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 Brea RV Storage Depot meets the criteria set forth in the SEIR. The tanks are installed out of public view, set over 200 feet from the street and painted in colors that complement the existing buildings. Although the tanks are visible from adjacent industrial neighbors, they do not alter or degrade the existing visual character of the site and surroundings. Page 3 of 4 The tanks do not result in new significant environmental effects or a substantial increase in the severity of significant effects related to aesthetic from those determined in the SEIR. Air Quality: The SEIR concluded that the operation of the continuous feed stations would not have a significant impact to air quality. There is approximately two to three truck deliveries a week, the 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 aboveground storage tanks could potentially be located in close proximity to fault splays. As such, tank specifications include a second containment to provide added protection from seismic hazards. The chemical storage tanks are designed to withstand ground shaking and avoid a potential spill during a seismic event. Therefore, the impacts remain less than significant. Hazards and Hazardous Materials: The SEIR notes that the Odor Control Program project 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, emergency response procedures, reporting requirements, etc. The minor changes to this specific project location which do not create a significant impact are the type of chemicals that may be stored at the site. The SEIR mentions hydrogen peroxide, ferric chloride, sodium nitrate, calcium nitrate and magnesium hydroxide. These chemicals may be used at the Brea RV Storage Depot chemical dosing station as well as ferrous chloride, ferrous sulfate, ferric sulfate and sodium hydroxide. Ferrous chloride is a greenish yellow liquid with a slight odor of iron/acid. It is non-hazardous and not flammable. The material is stable when handled properly. It is acidic and corrodes most metals. It can be absorbed into the body by inhalation, ingestion and is can be irritating to the eyes and skin. Ferrous sulfate is a blue-green, crystalline or granular solid. It is non-combustible but excessive heat may decompose the material. Exposure routes are through inhalation, ingestion and skin and/or eye contact. Ferric sulfate is an odorless yellow-gray solid. It is corrosive to metals. The product is not flammable or combustible. Exposure routes are through inhalation, ingestion and skin and/or eye contact. Sodium hydroxide is a clear or slightly gray liquid with no odor. The product is not flammable or combustible. It is incompatible with water and many metals. Exposure routes are through inhalation, ingestion and skin and/or eye contact. Page 4 of 4 These chemicals are used as part of the normal Odor Control Program progress. Various chemical dosing stations throughout our service area safely use these same chemicals. Strict measures are taken to ensure instructions listed in the Material Safety Data Sheets are followed and the chemical is used as intended. These minor technical changes and additions 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 determined 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 BMP’s and spill prevention, countermeasure, and control measures would reduce the impact to less than significant. Noise: The Odor Control Program requires the simple installation of aboveground chemical storage tanks, as such there is no construction required and therefore no construction associated noise. Approximately three truck trips a 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 Brea RV Storage Depot would occur various times per week. The storage tanks are located in a private yard that has restricted access. The delivery of the chemical would not cause traffic, interfere with access or create lane closures, the existing conditions would remain the same. As such, there is less than significant impact. FINDINGS FOR APPROVAL FOR ADDENDUM NO. 1 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, for the program. 2. Minor technical changes and identification of location. 3. The project modifications would not result in new significant environmental effects or increase in the severity of significant effects from those determined by the SEIR certified by the Sanitation District Board of Directors in 2002. Amendment No. 2 -1- 884511.1 AMENDMENT NO. 2 TO REAL PROPERTY LEASE AND SUBTERRANEAN LICENSE AGREEEMENT THIS AMENDMENT NO. 2 to the Real Property Lease and Subterranean License Agreement ("Amendment No. 2"), is made and entered into to be effective the 31ST day of December, 2012, by and between the ORANGE COUNTY SANITATION DISTRICT, hereinafter referred to as "OCSD", BREA IMPERIAL INC (“OWNER”), and RV STORAGE DEPOT BREA (“RVSDB”). For purposes of this Amendment No. 2, OWNER, RVSDB and OCSD are individually or collectively referred to herein as the "Party" or the "Parties." WITNESSETH: WHEREAS, OCSD, OWNER and RVSDB previously entered into and executed the Real Property Lease and Subterranean License Agreement ("Agreement") dated November 9, 2010, which may be amended or modified by a written agreement executed by both Parties; and WHEREAS, with an effective date of December 31, 2011, the Parties entered into Amendment No. 1 to the Agreement ("Amendment No. 1") to extend the term of the Agreement; and WHEREAS, paragraph 5 of the Agreement, as modified by Amendment No. 1, specifies that the Agreement "shall expire on December 31, 2012, unless extended, in writing, by the Parties"; and WHEREAS, the Parties desire to extend the Term of the Agreement for an additional Amendment No. 2 -2- 884511.1 year; and WHEREAS, the Parties now wish to amend the Agreement as set forth herein; and WHEREAS, the General Manager has accepted the recommendation of the Engineering Supervisor of Odor & Corrosion Control, and pursuant to the action taken by OCSD's Board of Directors on December 15, 2010 and OCSD's current Resolution No. OCSD 07-04, approves this Amendment No. 2 between the Parties. NOW, THEREFORE, in consideration of the mutual obligations, representations, and promises contained in the Agreement, the Parties hereby agree as follows: 1. Paragraph 5 of the Agreement, as amended in Amendment No. 1, is hereby deleted in its entirety and replaced as follows: "5. Term. This Agreement shall expire on December 31, 2014, unless extended, in writing, by the Parties." 2. Paragraph 7 of the Agreement is hereby deleted in its entirety and replaced as follows: "7. OCSD Promise to Pay – Rent. RVSDB will bill OCSD on a monthly basis for monthly rent in the sum of $1,750.00 (one thousand seven hundred fifty dollars), commencing on the Effective Date, and OCSD shall pay said rent within 30 days of OCSD's receipt thereof. On December 31st of each year, RVSDB shall be entitled to increase the monthly rent up to three percent (3%), and bill OCSD accordingly. 3. Paragraph 8 of the Agreement is hereby deleted in its entirety and replaced as follows: "8. OCSD Promise to Pay – License. RVSDB will bill OCSD on a monthly Amendment No. 2 -3- 884511.1 basis for the License Fee in the sum of $750.00 (seven hundred fifty dollars) for each monthly period, commencing on the Effective Date, and OCSD shall pay said License Fee within 30 days of OCSD's receipt thereof, together with the Rent, as stated herein above. On December 31st of each year, RVSDB shall be entitled to increase the monthly License Fee up to three percent (3%), and bill OCSD accordingly." 4. This Amendment No. 2 is supplemental to the Agreement dated November 9, 2010, as modified by Amendment No. 1, and is by reference made a part of said Agreement. All of the terms, conditions and provisions thereof, unless specifically modified herein, shall continue in full force and effect. 5. In the event of any conflict or inconsistency between the provisions of this Amendment No. 2 and any of the provisions of the original Agreement or Amendment No. 1, the provisions of this Amendment No. 2 shall in all respects govern and control. 6. The persons executing this Amendment No. 2 on behalf of the Parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 2 on behalf of said Party, (iii) by so executing this Amendment No. 2, such party is formally bound to the provisions of this Amendment No. 2, and (iv) the entering into this Amendment No. 2 does not violate any provisions of any other agreement to which said Party is bound. [SIGNATURES ON NEXT PAGE] Amendment No. 2 -4- 884511.1 IN WITNESS WHEREOF, the Parties have executed and entered into this Amendment No. 2 to the Agreement as of the date first written above. ORANGE COUNTY SANITATION DISTRICT Dated:_________________ By:______________________ APPROVED AS TO FORM: By:______________________ By: ___________________ James Ruth Bradley R. Hogin Its: __General Manager______ Its: General Counsel______ BREA IMPERIAL INC Dated:__________________ By: ____________________ John Saunders Its: President RVSDB Dated:_________________ By:______________________ Scott Ramser Its: Manager Page 1 of 3 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 6 Item Number 20 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Nick Arhontes, P.E., Director of Facilities Support Services Fleet Services Manager: Chuck Forman SUBJECT: COOPERATIVE PROCUREMENT WITH CREATIVE BUS SALES GENERAL MANAGER'S RECOMMENDATION A. Authorize the purchase of a new tour bus from Creative Bus Sales, for a total not to exceed $119,991, in accordance with Resolution No. OCSD 07-04, Section 3.08: Cooperative Procurement; and B. Approve a contingency of $12,000 (10%). SUMMARY Staff recommends the purchase of a new tour bus to replace our existing 24-year old tour bus. The recommended new tour bus is a 2012 Ford F-550 El Dorado Aero Elite 30-passenger which converts to a 24-passenger with space for two wheelchairs. The new tour bus has all the necessary equipment for handicapped accessibility and is fully compliant with the Americans with Disabilities Act (ADA). The new tour bus will be fueled by Compressed Natural Gas (CNG). Staff will be able to refuel the bus using OCSD’s onsite CNG fuel stations thereby eliminating the need for offsite refueling trips. Using a CNG fuel system also provides the added benefits of reducing air emissions, exemption from smog tests, and reduction of maintenance costs. This purchase is in accordance with a State of California Leveraged Procurement Agreement (LPA) through the Cooperative Agreements/Western States Contracting Alliance (WSCA) contract with Creative Bus Sales that OCSD is approved to use. The cost includes California state sales tax, DMV registration, and related fees. The bus is similar to those used daily by transit agencies statewide. This also helps us to minimize procurement costs as compared to developing a customized specification. The new bus will be equipped with a wireless microphone, an interior/exterior PA system, and a 26” TV monitor to provide viewing of DVDs and PowerPoint presentations. These features will provide tour guides with the tools necessary to better communicate both verbally and visually with tour passengers. The new bus also includes newer safety features like maximum visibility windows, non-skid flooring, door/aisle/seat handrails, and a backup camera. Page 2 of 3 PRIOR COMMITTEE/BOARD ACTIONS None ADDITIONAL INFORMATION Our current tour bus is a 25-passenger 1988 Ford E-350 10 cylinder gasoline fueled bus with no ADA wheelchair access (ADA non-compliant). This bus is over 24-years old and will require major automotive repairs in the near future, if we were to keep it, including a new transmission, rear air condition system, and new interior/exterior upgrades. The new tour bus is needed to provide weekly tours to the public interested in learning about OCSD’s wastewater treatment plant facilities and services. As part of OCSD’s public education and outreach program, last FY 2011-12 staff conducted 155 tours to over 2,650 guests and attendance continues to increase every year. Guests range from local residents, students 6th grade to college/university, special interest groups, industry specialists, elected officials, and foreign dignitaries. On occasion, the tour bus is driven offsite to tour other OCSD and OCWD facilities like pump stations, GWR System facilities, and watershed management sites. Staff has applied for grant funding under the Mobile Source Air Pollution Reduction Review Committee (MSRC) Clean Transportation Funding – Incentives for the Purchase of “Near-Zero Emission” Medium-Duty and Medium-Heavy Duty Vehicles PA2012-13 Alternative Fuel Engine Program available to vehicle owners within the South Coast Air Quality Management District (SCAQMD). The source of MSRC Clean Transportation Funding™ for projects submitted is motor vehicle registration fees collected by the California Department of Motor Vehicles (DMV) in accordance with the California Health and Safety Code. The grant award is contingent on grant funds being made available and acceptance of our submission. If awarded the grant, OCSD could realize a potential cost savings of $25,000 to offset the cost of the CNG conversion. For this purchase, OCSD is utilizing the Western States Contracting Alliance (WSCA) agreements available to all State of California governmental entities (State agencies, cities, counties, transit agencies, special districts, school districts, universities, etc.) that expend public funds for the acquisition of both goods and services. The Contract Number is 7-12-23-15-05. The State of California purchases a wide variety of goods and services ranging from pencils to temporary labor. Annual purchases total almost $10 billion. The Procurement Division (PD) is the central purchasing authority for all State departments and local government agencies. With a massive marketplace and billions of dollars in purchasing power they are able to offer lower procurement cost to California’s state, county, city, transit agencies, special districts, education and other government entities through their Leveraged Procurement Agreements (LPAs). LPAs allow entities/agencies to buy directly from suppliers through existing contracts and agreements. One of the LPAs that the state offers to California governmental agencies is the Western State Contracting Alliance (WSCA) for Commodities, IT Goods & Services, and Telecommunication Goods and Services. Page 3 of 3 CEQA N/A BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the Sanitation District’s Delegation of Authority. This has been budgeted and approved through the Capital Outlay Revolving Fund (CORF) (Budget Update Fiscal Year 2012-2013 and 2013-2014 Equipment Budget; Section 8 - Page 136). Date of Approval Contract Amount Contingency 12/19/12 $119,991 $12,000 (10%) ATTACHMENTS The following attachments are included in hard copy and may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package and attachments: · Creative Bus Sales Proposal for OCSD, October 18, 2012 Chino • Hayward • Sacramento • Las Vegas • Elkhart Creative Bus Sales — 800.326.2877 · www.CreativeBusSales.com Thursday, October 18, 2012 Proposal For: Orange County Sanitation Department Attention: Chuck Foreman and Greg Blakeley New 2012 ElDorado Aero Elite 30 Passenger or 24 Passenger and 2 Wheel Chairs DGS Contract No. 7-12-23-15-05 Orange County Sanitation District ElDorado National – Aero Elite 320 Ford F-550 (24) Passengers + (2) Wheelchairs or (30) Passengers Compressed Natural Gas PRICE CALCULATION: Class E – 32’ Ford F-550 $ 77,201.00 Ford F-550 – 6.8 Liter V-10 Gasoline w/98g Gas Fuel Prep – Automatic Transmission - Braun Millenium Wheelchair Lift - (2) Total ADA Positions - Altro (Non Skid) Flooring – 225 Amp Alternator – White Exterior Chino • Hayward • Sacramento • Las Vegas • Elkhart Creative Bus Sales — 800.326.2877 · www.CreativeBusSales.com Options Add – (1) CARB Certified BAF CNG Conversion (54 GGE) $24,500 Add – (1) Surex 5000 & 6000 CNG Fuel Receptacles $500-Below Cost Add – (1) Fuel Door with Ignition Shut Off $250-Below Cost Add – (1) Foldaway Double Seat $975 -Per DGS Contract No. 7-12-23-15-05 Add – (2) Double Flip Seats $1,590 -Per DGS Contract No. 7-12-23-15-05 Add – (1) Mor-Ryde Suspension System $1,975-$1,200 parts, $496 Labor, $279 markup Add – (1) 26” LCD Monitor Mounted Above Driver $2,075-1,200 Parts, $558 Labor, $317 Markup Add – (1) AM/FM/CD/PA System $655-$400 parts $124 labor $131 Markup Add – (1) Wireless PA Microphone $425-$375 parts) Add – (1) External Speaker for PA System with Switch $215-Below Cost Add – (1) Remote Mirrors $985-$633 parts, $186 labor, $166 markup Add –(1) Rear View Mirror Back Up Camera $755-Below Cost Total Options $34,900 Credits (30) Level 1 Vinyl Seats in Lieu of Level 6 Seats ($600) (1) OEM Drivers Seat in Lieu of USSC Drivers Seat ($967) (30) Seat Belts (No Seat Belts Installed) ($1,500) (1) Hubodometer ($100) (1) Silicone Heater Hoses ($150) (1) Spare Wheel and Tire ($650) Total Credits ($3,967) Base Price $77,201 Options $34,900 Credits ($3,967) Document Prep Fee $80.00 Sub Total $108,214 Cal ACT Procurement Fee (1.5%) $1,623.21 DGS Procurement Fee (1.00%) $1,082.14 Sales Tax $7,766 Registration $1,295 CA Tire Fee $10.50 Total Cost Delivered to Fountain Valley, CA $119,990.85 Chino • Hayward • Sacramento • Las Vegas • Elkhart Creative Bus Sales — 800.326.2877 · www.CreativeBusSales.com Page 1 of 3 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 7 Item Number 21 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Nick Arhontes, P.E., Director of Facilities Support Services Engineering Manager: Mark Esquer, P.E., FSSD SUBJECT: PLANT 2 DIGESTER “O” LINER REPAIR - JOB NO. FR-2010-455BD GENERAL MANAGER'S RECOMMENDATION Ratify Change Order No. 3 to Plant 2 Digester “O” Liner Repair Project, Specification No. FR-2010-455BD, with J.R. Filanc Construction Company (Filanc) authorizing an addition of $39,873 and 91 days, increasing the total contract amount to $1,142,986 and extending the contract completion to November 30, 2012. SUMMARY This repair project is rehabilitating Digester “O” located at Plant 2, which was placed into operation in 1972 and is 40 years old. Repair work consists of replacing the existing poly vinyl chloride (PVC) plastic liner with a new spray-applied polyurethane plastic liner, sand-blasting and removing damaged concrete, and repairing the associated process piping. The project was competitively bid per plans and specifications and awarded to Filanc in July 2010. The Contractor started the repair work and discovered that the existing reinforced concrete dome interior was in worse condition than anticipated and indicated on the project drawings and specifications. The Contractor removed the contract-specified amount (up to one inch) of unsound concrete in areas located inside the reinforced concrete dome and continued to find unsound conditions. Additional surface preparation and repairs were the work elements deemed necessary and required before the new coating could be applied, and to assure the new lining would adhere properly to a clean and sound surface and not fail prematurely. Work performed by Change Order No. 3 includes concrete repair and corrosion prevention to three existing view ports located on the interior of the digester dome, and conducting a final high pressure wash of the interior walls and dome to remove surface contaminates. The Contractor has completed all of the original contract specified work. The aforementioned out of scope work, due to unknown conditions, has also been completed by the Contractor as directed by staff through issuance of Field Change Orders (FCOs). The FCOs were authorized by staff on a time and materials basis with the Contractor in order to bring Digester “O” back into service as soon as possible. This Page 2 of 3 approach was taken with the intent to ratify the final change order at the Board Meeting. This project will be closed upon ratification of Change Order No. 3. No further FCOs will be issued to the Contractor. PRIOR COMMITTEE/BOARD ACTIONS June 2012 – The Board ratified Change Order No. 2 to Plant 2 Digester “O” Liner Repair Project, Specification No. FR-2010-455BD, with J.R. Filanc Construction Company (Filanc) authorizing an addition of $572,656 and 513 days, increasing the total contract amount to $1,103,113 and extending the contract completion to August 31, 2012. July 2010 – The Board rejected the low bid given to Gamma (non-compliance of the contract requirements) in an amount not to exceed $496,300 for Plant 2 Digester “O” Liner Repair, Specification No. FR-2010-455BD. Thereafter, the Board approved a purchase order agreement with Filanc for a total amount not to exceed $518,000; and approved a contingency of $77,700 (15%) for Plant 2 Digester “O” Liner Repair, Specification No. FR-2010-455BD. June 2010 – The Board approved a purchase order agreement with Gamma Builders, Inc., for Plant 2 Digester “O” Repair, Specification No. FR-2010-455BD, for a total amount not to exceed $496,300; and approved a contingency of $74,445 (15%). ADDITIONAL INFORMATION The contract documents were based on a limited amount of condition assessment work. Additional assessment work could not be conducted on the dome until the damaged liner was removed. Since a contractor was required to remove the damaged liner, staff decided to move forward with the limited information as best available at the time. When the liner was removed additional damage was discovered during the sand- blasting process. Placing Digester “O” back in service as soon as possible is urgent because any additional digesters cannot be taken out of service for cleaning and repair. Digesters O, M, and D are currently out of service. The upcoming P2-89 (Solids Thickening and Process Upgrades) Contractor is planning on taking two more digesters out of service in spring 2013. Returning Digester “O” to service before CIP Project P2-89 work begins is needed to maintain adequate sludge processing capacity. Lessons learned after this work is completed will be compiled, evaluated, and discussed by a District-wide team; including experienced consultants if needed. Recommended improvements to corrosion assessment in design, inspection methods during construction, bid specifications, plans, and schedules will be useful for future digester repair projects. CEQA FINDINGS N/A Page 3 of 3 BUDGET / DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the OCSD’s Delegation of Authority. This repair was originally and will be funded through the Small Capital Equipment Replacement Project SP-34 (Budget Update Fiscal Year 2011-2012 Page A-12, Item No. 125). This Small Capital fund is used to pay for capital repairs and/or direct replacements. The SP-34 budget is adequate to cover these proposed change orders. Date of Approval Total Contract Amount Contingency 07/28/10 $ 518,000 $ 77,700(15%) 06/27/12 $ 1,103,113 <$0>* Total Contingency $0(0%) * On June 27, 2012, all remaining contingency funds were surrendered and a ratification process was used for all future contract changes. ATTACHMENTS The following attachments are included in hard copy and may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package and attachments: · Change Order No. 3 Page 1 of 3 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127 CHANGE ORDER Contractor: J.R.Filanc Construction Company, Inc. C.O. No.: Three (3) Date: December 19, 2012 Job: Plant 2 Digester O Liner Repair, Job No. FR-2010BD Amount of this Change Order (Add) $39,873.00 In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved. FCO 00010.1 - VIEW PORT REPAIRS This item is for labor, material, and equipment to remove the existing layer of unsound concrete at the three (3) existing View Ports located on the interior of the Diester Dome using power tool cleaning (SSPC-SP3) or abrasive blasting to near white metal (SSPC-SP10). The Contractor was also required to apply a corrossion inhibitor (Armatec 110 EpoCem, or approved equal) to substrate and exterior steel frame, followed by application of Sika 123-Plus (or approved equal) per manufacturers recommendations. During the the NACE III Inspection, conducted on May 14, 2012, it was discovered that unsound concrete was present at three View Port locations using hammertapping (SSPC-SP13). In an effort to prevent future liner failure in these locations, OCSD required application of a corrossion inhibitor on to all exposed metals to prevent/reduce corrosion and repair of the View Port areas as required prior to the polyurethane coating application. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Field Change Order 0010.1. ADDED COST THIS CHANGE ORDER ITEM: $9,875.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 30 Calendar Days FCO 00011.1 - HIGH PRESSURE WASHING OF DIGESTER This item is for labor, material, and equipment to conduct a final high pressure wash (minimum 5,000 psi) of the interior of the Digester "O" dome and walls. The Contractor's coating sub-contractor (National Coating & Lining Company) and the Coating manufacturer (Lifelast) determined that the entire surface of the interior of the Digester to receive coating be pressure washed to remove surface contaminates. OCSD considered this to be out of scope work (additional surface preperation) required of the Contractor as a result of additional abrasive blasting work conducted per Field Change Order #2.1. This item removes the surface contamination required and necessary drying of the concrete to provide a proper bonding surface. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Field Change Order 0011.1. ADDED COST THIS CHANGE ORDER ITEM: $29,998.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 61 Calendar Days Page 2 of 3 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127 CHANGE ORDER Contractor: J.R.Filanc Construction Company, Inc. C.O. No.: Three (3) Date: December 19, 2012 Job: Plant 2 Digester O Liner Repair, Job No. FR-2010BD TOTAL ADDED COSTS THIS CHANGE ORDER: $39,873.00 TOTAL TIME EXTENSION THIS CHANGE ORDER: 91 Calendar Days The additional work contained within this change order was performed incidental to the prime work and within the time allotted for the original contract and any extensions to the contract time made by this and all previously issued change orders. The Sanitation District and Contractor agreed that the added costs described above constitutes full and equitable consideration for all the impacts occurred by the Contractor, and no other direct or indirect, incidental or consequential costs, expenses, losses, or damages have been or will be incurred by Contractor, except as expressly granted and approved by this change order. SUMMARY OF CONTRACT TIME Original Contract Date:September 8, 2010 Original Contract Time:210 Calendar Days Original Completion Date:April 6, 2011 Time Extension this C.O.: 91 Calendar Days Total Contract Time Extension:604 Calendar Days Revised Contract Time:905 Calendar Days Revised Final Completion Due Date:November 30, 2012 Projected Completion Due Date:November 30, 2012 Time Subject to Liquidated Damages:N/A Actual Final Completion Date:N/A Original Contract Price $ 518,000 Prev. Authorized Changes $ 585,113 This Change (Add) (Deduct) $ 39,873 Amended Contract Price $ 1,142,986 Page 3 of 3 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127 CHANGE ORDER Contractor: J.R.Filanc Construction Company, Inc. C.O. No.: Three (3) Date: December 19, 2012 Job: Plant 2 Digester O Liner Repair, Job No. FR-2010BD Board Authorization Date: December 19, 2012 ORANGE COUNTY SANITATION DISTRICT Recommended by: ____________________________________________ Mark Esquer, P.E. Date Engineering Manager Approved by: Nick Arhontes, P.E. Date Director of Facilities Support Services Accepted by: J.R. FILANC CONSTRUCTION COMPANY, INC. _____________________________________________ Contractor Date Page 1 of 2 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 8 Item Number 22 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Assistant General Manager Project Manager: Jeff Mohr SUBJECT: OPERATIONS CENTER ENTRANCE AND BUILDING REPAIRS, PROJECT NO. J-122 GENERAL MANAGER'S RECOMMENDATION A. Approve a contingency increase of $32,200 (17%) to the Professional Design Services Agreement with HH Fremer Architecture Inc. for Operations Center Entrance and Building Repairs, Project No. J-122, for a total contingency of $60,370 (32%); and, B. Approve a budget increase of $164,200 for Operations Center Entrance and Building Repairs, Project No. J-122, for a total budget amount of $2,489,200. SUMMARY The Operations Center Entrance and Building Repairs, Project No. J-122, was intended to correct structural deficiencies in the entrance area. The project is subject to a City of Huntington Beach building permit because the structure is an occupied building. The City has indicated that the upstairs restrooms are considered in the service area of the entrance improvements, and as a result, they must be brought into compliance with federal and state accessibility requirements. A study was conducted to determine how to satisfy the requirements and estimate the construction cost. The study developed a preliminary plan that maintains the existing number of fixtures and does not impinge on any existing rooms. The preliminary allowance for the construction cost for the accessibility modifications is $125,000. Additional budget is requested to cover design and construction costs associated with the change in the project scope. PRIOR COMMITTEE/BOARD ACTIONS November 2011 – Approved a Professional Design Services Agreement with HH Fremer Architects, Inc. to provide architectural and engineering design services for Operations Center Entrance and Building Repairs, Project No. J-122, for an amount not to exceed $187,800, and a contingency of $28,170 (15%). Page 2 of 2 ADDITIONAL INFORMATION The additional Professional Design Services Agreement contingency is based on the anticipated cost of the additional design work. The additional project budget includes allowances for the additional construction cost, the Professional Design Services Agreement increase, and additional time for staff labor. CEQA N/A BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the Sanitation District’s Delegation of Authority. This item has been budgeted, but the budget is insufficient for the recommended action and a budget increase is being requested. (Line item: Section 8, Page 98). Date of Approval Contract Amount Contingency 11/16/11 $187,800 $28,170 (15%) 12/19/12 $32,200 (17%) $60,370 (32%) JM:dm:gc Page 1 of 3 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 9 Item Number 23 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Nick Arhontes, P.E., Director of Facilities Support Services Engineering Manager: Mark Esquer, P.E., FSSD SUBJECT: PLANT 1 ROOF REPLACEMENT - JOB NO. FR11-028 PLANT 2 ROOF REPLACEMENT - JOB NO. FR11-027 GENERAL MANAGER'S RECOMMENDATION A. Award a contract to the lowest responsive and responsible bidder, Danny Letner DBA Letner Roofing Company, for Plant 1 Roof Replacement Job No. FR11-028 and Plant 2 Roof Replacement Job No. FR11-027, for a total amount not to exceed $472,500 and, B. Approve a contingency of $141,750 (30%). SUMMARY This project will replace critical plant process building roof coverings and insulation, which have deteriorated and are at the end of their useful lives. This includes the Power Building 5, DAF Building, and RAS Building at Reclamation Plant No. 1. The total square footage for the Plant 1 roofs is 12,500 square feet with an estimated repair/replacement cost of $300,000. Also included are Distribution Buildings A & B, Plant Water Pump Station, Power Building C, and Digesters R, and S Pump Room at Treatment Plant No. 2. The total square footage for the Plant 2 roofs is 16,600 square feet, for an estimated repair/replacement cost of $425,000. The Orange County Sanitation District (Sanitation District) advertised for bids on September 19, 2012, scheduled two job walks with interested contractors and issued two addendums. Four sealed bids were received on November 6, 2012. The bids were evaluated in accordance with the Sanitation District’s policies and procedures. Danny Letner DBA Letner Roofing Company was deemed the lowest responsive, responsible bidder. Staff recommends awarding a construction contract to Danny Letner DBA Letner Roofing Company for Plant 1 Roof Replacement Job No. FR11-028 and Plant 2 Roof Replacement Job No. FR11-027, for a total amount not to exceed $472,500. A 30% contingency is being proposed due to unforeseen conditions from damaged steel decking, plywood, and other substrate required to be replaced during removal of existing roofs. The estimated duration of these two combined projects is 150 calendar days. Page 2 of 3 PRIOR COMMITTEE/BOARD ACTIONS None ADDITIONAL INFORMATION Summary information on the bid opening for Plant 1 Roof Replacement Job No. FR11- 028 and Plant 2 Roof Replacement Job No. FR11-027 is as follows: Project Budget $ 1,000,000 Construction Contract Budget $ 725,000 Engineer’s Estimate FR11-028 $ 300,000 Engineer’s Estimate FR11-027 $ 425,000 Lowest Responsive, Responsible Bid $ 472,500 High Bid $ 783,992 Bidder Amount of Bid Danny Letner DBA Letner Roofing Company $ 472,500 BEST Contracting Services, Inc. $ 663,800 Orian Construction & Roofing $ 691,446 Waterproofing Experts $ 783,992 The existing building roofs are a combination of single ply thermoplastic membrane roofing and/or modified bituminous layered built-up roofing and will be repaired and replaced in kind. The repaired roofs will be under warranty for a period of 5 years and the new roofs will be under warranty for a period of 20 years from the date of acceptance by the manufacturer. Based on the age of these roofs (see table below), and assessment reports prepared by Commercial Roof Management in 2004/2005 and Weatherproofing Technologies Inc. in May, 2010 regarding roof condition and recommendations, these roofs need to be replaced. In the future, as a part of our long range Asset Management Program, it is recommended that four roofs a year be replaced due to the deteriorated condition of the roof covering, insulation, and leakage into the interior of the buildings during inclement weather. Page 3 of 3 Plant 1 Infrastructure Process Buildings Approximate Constructed Date Plant 2 Infrastructure Process Buildings Approximate Constructed Date Power Building 5 1979 12 KV Distribution A 1996 Sludge Recirculation Pump Station (RAS) 1978 Plant Water Pump Station 1970 Waste Sludge Thickeners (DAF) or DAF Facility & Pump Room 1978 12 KV Distribution B 1994 Power Building "C"* 1987 R & S Digester Pump Room 1982 CEQA N/A BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the Sanitation District’s Delegation of Authority. This repair will be funded through the Small Capital Replacement/ Rehabilitation Project - SP-34 (Budget Update Fiscal Year 2012-2013 and 2013-2014 Misc. & Support Projects; Section 8 – Page 111). This Small Capital fund is used to pay for capital repairs and/or direct replacements. The SP-34 budget is adequate to cover these two projects. Date of Approval Contract Amount Contingency 12/19/12 $472,500 $141,750 (30%) ATTACHMENTS The following attachment(s) is included in hard copy and may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package and attachments: · Draft Service Agreement (7 pages) JF:am Orange County Sanitation District 1 of 7 Specification Nos. FR11-027&028 DRAFT CONTRACT DO NOT SUBMIT SERVICE AGREEMENT Plant 1 and 2 Roof Replacement Specification No. FR11-027 and FR11-028 THIS AGREEMENT 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 92708-7018 (hereinafter referred to as "OCSD") and ______Company Name________ with a principal business at _________address__________ (hereinafter referred to as "Contractor") collectively referred to as the “Parties”. R E C I T A L S WHEREAS, OCSD desires to retain the services of Contractor for roof replacement at OCSD plant numbers 1 and 2 (“Services”); and WHEREAS, OCSD has chosen Contractor to conduct Services in accordance with Purchasing Resolution No. OCSD07-04; and WHEREAS, on ____________________, the Board of Directors of OCSD, by minute order, authorized execution of this Agreement between OCSD and Contractor; and WHEREAS, Contractor is qualified by virtue of experience, training, and education and expertise to accomplish such Services, NOW THEREFORE, in consideration of the promises and mutual benefits exchanged between the Parties, it is mutually agreed as follows: 1. Introduction 1.1 This Agreement and all exhibits hereto (called the "Agreement") is made by OCSD and Contractor. The Terms and Conditions herein exclusively govern the purchase of Services as described in the Scope of Work, attached hereto and incorporated herein by reference as Exhibit “A”. 1.2 Exhibits to this Agreement are incorporated by reference and made a part of this Agreement as though fully set forth at length herein. Exhibits to this Agreement are as follows in order of precedence: Exhibit “A” Scope of Work Exhibit “B” _________ Exhibit “C” _________ Exhibit “D” _________ 1.3 In the event of any conflict or inconsistency between the provisions of this Agreement and any of the provisions of the exhibits hereto, the provisions of this Agreement shall in all respects govern and control. 1.4 The provisions of this Agreement may be amended or waived only by a writing executed by authorized representatives of both Parties hereto. 1.5 The various headings in this Agreement are inserted for convenience only and shall not affect the meaning or interpretation of this Agreement or any Paragraph or provision hereof. Orange County Sanitation District 2 of 7 Specification Nos. FR11-027&028 DRAFT CONTRACT DO NOT SUBMIT 1.6 The term “days”, when used in the Agreement, shall mean calendar days, unless otherwise noted as business days. 1.7 The term “hours”, when used in this Agreement, shall be as defined in Exhibit “___”. 1.8 Contractor shall provide OCSD with all required premiums and/or overtime work at no charge beyond the price provided under “Compensation” below. 1.9 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 for this project shall not exceed the total amount of _________________and 00/00 Dollars ($_________). 3. Payments Payments shall be made upon approval by OCSD Engineer, John Falkenstein or his designee, of invoices submitted for work completed as described in Exhibit “A”. OCSD, at its sole discretion, shall be the determining party as to whether the tasks and deliverables have been satisfactorily completed. 4. Invoices 4.1 OCSD shall pay within 30 days of completion and receipt and approval by OCSD Engineer of an itemized invoice, in a form acceptable to OCSD to enable audit of the charges thereon. Contractor shall not pay less than the prevailing wage, if applicable. Invoices shall include the Purchase Order Number. 4.2 Invoices shall be mailed by Contractor to OCSD’S Administration Office at the following address: Accounts Payable, Finance Department, Orange County Sanitation District, 10844 Ellis Avenue, Fountain Valley, CA 92708-7018. 5. Audit Rights Contractor agrees that, during the term of this Agreement 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 Agreement. 6. Scope of Work Subject to the terms of this Agreement, Contractor shall perform the Services identified in Exhibit “A” and ___________. 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. 8. Agreement Term The services provided under this Agreement shall be completed within 150 days from the date of notice to proceed. 9. Termination 9.1 OCSD reserves the right to terminate this Agreement for its convenience, with or without cause, in whole or in part, at any time, by written notice from OCSD, (delivered by certified mail, return receipt requested) of intent to terminate. Upon receipt of a termination notice, Contractor shall immediately discontinue all work under this Agreement (unless the notice directs otherwise). OCSD shall thereafter, within thirty (30) days, pay Contractor for work performed Orange County Sanitation District 3 of 7 Specification Nos. FR11-027&028 DRAFT CONTRACT DO NOT SUBMIT (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 Agreement. Such notice of termination shall terminate this Agreement and release OCSD from any further fee, cost or claim hereunder by Contractor other than for work performed to the date of termination. 9.2 OCSD reserves the right to terminate this Agreement immediately upon OCSD’S determination that Contractor is not meeting specification requirements, if the level of service is inadequate, or any other default of this Agreement. 9.3 OCSD may also immediately cancel for default of this Agreement 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 Agreement; or § if total amount of compensation exceeds the amount authorized under this Agreement. 9.4 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 Agreement, whichever occurs first. 10. Insurance Contractor and all subcontractors shall purchase and maintain, throughout the life of this Agreement 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 “_________“). Contractor shall not commence work under this Agreement 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 Agreement. 11. Indemnification and Hold Harmless Provision Contractor agrees to save, indemnify, defend and hold harmless OCSD against any and all liability, claims, judgments, cost and demands, including demands arising from injuries or death of persons and damage to property, arising directly or indirectly out of the negligence or willful misconduct of Contractor, its employees or agents, in relation to the rendition of services pursuant to this Agreement, except claims or litigations arising through the sole negligence or willful misconduct of OCSD. Contractor agrees to reimburse OCSD for any expenditure, including reasonable attorney’s fees, OCSD may incur by reason of such matters, and, if requested by OCSD, will defend any such suits at the cost and expense of Contractor. 12. Warranty 12.1 Manufacturer’s standard warranty shall apply. All manufacturer warranties will begin at date of completion of this Contact. 12.2 Contractor’s warranty: If, within the 12-month period following completion of its Services, OCSD informs Contractor that any part of the Services fails to meet the standards required under this Agreement, 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). Orange County Sanitation District 4 of 7 Specification Nos. FR11-027&028 DRAFT CONTRACT DO NOT SUBMIT 13. 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 Agreement. 14. 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 Agreement. 15. Independent Contractor It is agreed that Contractor shall act and be an independent contractor and not an agent or employee of OCSD, and shall obtain no rights to any benefits which accrue to OCSD’S employees. 16. Limitations upon Subcontracting and Assignment Contractor shall not delegate any duties nor assign any rights under this Agreement without the prior written consent of OCSD. Any such attempted delegation or assignment shall be void. 17. Licenses, Permits, Ordinances and Regulations Contractor represents and warrants to OCSD that it has obtained all licenses, permits, qualification and approvals of whatever nature that are legally required to engage in this work. Any and all fees required by State, County, City and/or municipal laws, codes and/or tariffs that pertain to work performed under the terms of this Agreement will be paid by Contractor. 18. Applicable Laws and Regulations 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 Agreement whether or not specifically referenced. 19. Familiarity with Work By executing this Agreement, 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 Agreement. 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. 20. Public Contracts Law 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. 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. 21. Governing Law This Agreement shall be governed by and interpreted under the laws of the State of California and the Parties submit to jurisdiction in Orange County, in the event any action is brought in connection with this Agreement or the performance thereof. Orange County Sanitation District 5 of 7 Specification Nos. FR11-027&028 DRAFT CONTRACT DO NOT SUBMIT 22. Dispute Resolution 22.1 In the event of a dispute as to the construction or interpretation of this Agreement, 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. 22.2 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 et 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 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 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. 23. Performance Time is of the essence in the performance of this Agreement and the provisions hereof. 24. Breach The waiver of either party of any breach or violation of, or default under, any provision of this Agreement, shall not be deemed a continuing waiver by such party of any other provision or of any subsequent breach or violation of this Agreement 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. 25. 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 Agreement, or if OCSD rejects the goods or Services or revokes acceptance of the goods or Services, OCSD may (1) cancel the Agreement; (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. 26. Survival The provisions of this Agreement dealing with Payment, Warranty, and Forum for Enforcement, shall survive termination or expiration of this Agreement. 27. Severability If any section, subsection, or provision of this Agreement, or any agreement or instrument contemplated hereby, or the application of such section, subsection, or provision is held invalid, the remainder of this Agreement 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. 28. Disclosure Contractor agrees not to disclose, to any third party, data or information generated from this project without the prior written consent from OCSD. Orange County Sanitation District 6 of 7 Specification Nos. FR11-027&028 DRAFT CONTRACT DO NOT SUBMIT 29. Third Party Rights Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than OCSD and Contractor. 30. 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. 31. Safety and Accident Prevention Contractor shall adhere to the Safety Requirements in http://www.ocsewers.com/safety. 32. Attorney’s Fees If any action at law or inequity 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 he may be entitled. 33. Authority to Execute The persons executing this Agreement on behalf of the Parties warrant that they are duly authorized to execute this Agreement and that by executing this Agreement, the Parties are formally bound. 34. South Coast Air Quality Management District’s (SCAQMD) Requirements 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 sandblasting, open field spray painting or demolition of asbestos containing components or structures, shall comply with the appropriate rules and regulations of the SCAQMD. 35. Regulatory Requirements Contractor shall perform all work under this Agreement in strict conformance with applicable federal, state, and local regulatory requirements including, but not limited to, 40 CFR 122, 123, 124, 257, 258, 260, and 261, Title 22, 23, and California Water Codes Division 2. 36. Authority to Execute The persons executing this Agreement on behalf of the Parties warrant that they are duly authorized to execute this Agreement and that by executing this Agreement, the Parties are formally bound. 37. Read and Understood By signing this Agreement, Contractor represents that he has read and understood the terms and conditions of the Agreement. 38. Entire Agreement This Agreement 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. Orange County Sanitation District 7 of 7 Specification Nos. FR11-027&028 DRAFT CONTRACT DO NOT SUBMIT 39. Notices All notices under this Agreement must be in writing. Written notice shall be 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. Any facsimile notice must be followed within three (3) days by written notice. All notices shall be effective when first received at the following addresses: OCSD: Clarice M. Marcin Senior Contracts Administrator Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, CA 92708-7018 Contractor: Company _______________________________ _______________________________ _______________________________ IN WITNESS WHEREOF, the Parties hereto have hereunto set their hands the day and year indicated below. ORANGE COUNTY SANITATION DISTRICT Dated: By: ___________________________________ Chair Board of Directors Dated: By: ___________________________________ Clerk of the Board Dated: By: ___________________________________ Contracts/Purchasing Manager COMPANY Dated: By: ___________________________________ ______________________________________ Print Name and Title of Officer ______________________________________ IRS Employer’s I.D. Number Orange County Sanitation District Approved as to Form: Clarice M. Marcin Date Senior Contracts Administrator Page 1 of 2 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 10 Item Number 24 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Assistant General Manager Project Manager: Jeff Mohr SUBJECT: SLUDGE DEWATERING AND ODOR CONTROL AT PLANT NO. 2, PROJECT NO. P2-92 GENERAL MANAGER'S RECOMMENDATION Approve a contingency increase of $568,296 (10%) to the Professional Design Services Agreement with Brown and Caldwell for Sludge Dewatering and Odor Control at Plant No. 2, Project No. P2-92, for a total contingency of $1,136,592 (20%). SUMMARY The Sludge Dewatering and Odor Control at Plant No. 2, Project No. P2-92, will replace dewatering facilities that have reached the end of their service life. Based on the Long Range Biosolids Master Plan, a newer dewatering technology, centrifuges, will be utilized to reduce biosolids disposal costs. The project will also incorporate odor control improvements to contain and treat odors associated with dewatering and truck loading. Recently, the use of a biological technology to treat dewatering odors was selected to reduce long-term operating costs and chemical usage. This technology requires design changes that used most of the original Professional Design Services Agreement (PDSA) contingency budget. Meanwhile, a Value Engineering Study will be conducted to identify changes that will result in cost savings. This increase in the PDSA contingency will be available to fund additional design services associated with the Value Engineering Recommendations. These changes would only be made if the additional design costs are more than offset by other savings. PRIOR COMMITTEE/BOARD ACTIONS July 2011 - Approved a Professional Design Services Agreement with Brown and Caldwell for Sludge Dewatering and Odor Control at Plant No. 2, Job P2-92, providing for engineering design services for the amount not to exceed $5,682,963 and approved a contingency of $568,296 (10%). ADDITIONAL INFORMATION None. Page 2 of 2 CEQA At the December 19, 2012 regular meeting, the Board will consider certification of the Supplemental Environment Impact Report for this project. BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This request complies with authority levels of the Sanitation District’s Delegation of Authority. This item has been budgeted. (Line item: Section 8, Page 98). Date of Approval Contract Amount Contingency 07/27/11 $5,682,963 $568,296 (10%) 12/19/12 $568,296 (10%) $1,136,592 (20%) JM:dm:gc Page 1 of 4 OPERATIONS COMMITTEE Meeting Date 12/05/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 12 Item Number 25 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Ed Torres, Director of Operations and Maintenance SUBJECT: AMENDMENT OF RESOLUTION NO. OCSD 07-04 AND PURCHASE OF FERRIC CHLORIDE, SPECIFICATION NO. C-2013-553BD GENERAL MANAGER'S RECOMMENDATION A. Adopt Resolution No. OCSD 12-17, to Amend Section 4.09 Request for Proposal Procedure of Resolution No. OCSD 07-04 entitled "Establishing Policies And Procedures For: The Award Of Purchase Orders And Contracts; Public Works Project Contracts; Professional Services Contracts; And Delegation Of Authority To Implement Said Policies And Procedures." B. Authorize the General Manager to initiate a request for proposal process and recommend multiple contract awards for the purchase of ferric chloride (Specification No. C-2013-553BD), for the period of July 1, 2013 through June 30, 2014, with four one-year renewal options. SUMMARY A. Resolution No. OCSD 07-04 entitled "Establishing Policies And Procedures For: The Award Of Purchase Orders And Contracts; Public Works Project Contracts; Professional Services Contracts; And Delegation Of Authority To Implement Said Policies And Procedures" (hereinafter, "Purchasing Policy"), Section 4.09 permits the District to follow a Request for Proposal ("RFP") solicitation process in lieu of competitive bidding when goods or services to be procured, are difficult to quantify or describe, and where proposers may offer different solutions. The RFP solicitation process, as written, however, is not available to other goods and services that can be quantified or described, such as the purchase of chemicals. District staff has determined that for such goods or services that are critical, routine or recurring to the District's operations, the District would like to consider other factors, other than just price, as a basis to award one or more contracts. Some of these other factors may include consideration of the broadest possible range of competing products and materials available, fitness of purpose, performance reliability, standardization, life cycle costs, delivery timetables, reliable supply, support logistics, diversification of available sources and/or other similar factors in addition to the price in the award of these contracts. As a result, the proposed amendment to Section 4.09 of the Purchasing Policy is herein requested. Page 2 of 4 B. Annually, the District spends around $5 million for the purchase of 6,000 dry tons of ferric chloride for in-plant process use. This in-plant ferric chloride is used to enhance settling of solids in the primary treatment process which reduces biosolids hauling costs, increases digester gas production and reduces the capital expenses related to the physical size necessary for the secondary treatment process. In addition, ferric chloride also controls the hydrogen sulfide concentration in digester gas which is regulated by the South Coast Air Quality Management District, enabling the digester gas to be utilized for power generation. Therefore, ferric chloride enables the District to simultaneously meet its level-of-treatment goals and regulatory compliance requirements. Currently, no viable chemical or technology substitute is available which can effectively replace the function and utility of ferric chloride. In the event of an extended disruption of ferric chloride supply, the implications include air quality permit violation and increased operating costs. SCAQMD fines related to non-compliance with air quality permits are expected to be a minimum of $5,000 per day. The additional biosolids hauling and power consumption costs related to not conducting enhanced settling in the primary process is expected to be about $10,000 per day. Also, as the digester gas with high hydrogen sulfide cannot be used for powering the Central Power Generation engines, additional electrical power would have to be purchased at an estimated cost of $14,500 per day. The District has been dependent on a single supplier to meet its ferric chloride needs for over fifteen years. The 2010 District’s Chemical Sustainability Study identified ferric chloride as one of the two most critical chemicals for District operation. It also highlighted the potential supply disruption and price escalation risks associated with this single-supplier based system. Given the criticality of sustainable ferric chloride, a long-term, proactive supply-chain risk mitigation plan for the District is vital. The proposed risk mitigation plan seeks to develop and promote a long-term, healthy supply-side competition by leveraging recent opportunities related to new entrants to the ferric chloride market. For the new supply contract term beginning July 1, 2013, the plan is to award a potential multiple-supplier contract for a one-year term with four additional one- year contract renewal options. The proposed Request for Proposal process will solicit information that staff will use to determine the company’s qualifications and ability to reliably manufacture and deliver ferric chloride. Price proposals from qualified firms will be sought for each 1,000 dry tons/year increments up to 6,000 dry tons/year total demand. Based upon the price proposals, unit costs for each of the potential award scenarios to multiple vendors will be calculated. The contract award will be made to multiple vendors for the scenario which has the minimum cost. Staff will utilize prevailing market and historical District price data to ensure pricing is competitive and at market. Page 3 of 4 PRIOR COMMITTEE/BOARD ACTIONS February 2007 – Board Adoption of Resolution No. OCSD 07-04. ADDITIONAL INFORMATION Iron salts, which include ferric chloride, are widely used to enhance settling in various industries including water treatment, wastewater treatment, pulp and paper and mining. In the wastewater treatment sector iron salts are also extensively utilized for odor control in sewer trunks due to its ability to bind with hydrogen sulfide. The supply-side of the iron salt market in the United States is dominated by three main companies: Kemira, PVS Technologies, and Pencco. Kemira manufactures its iron salts at its plants located in Fontana and Mojave in California; East Chicago, Indiana; Baltimore, Maryland, and in Delaware. PVS Technologies iron salt plants are located in Detroit, Michigan and in Augusta, Georgia. PVS also has a small joint venture in California Water Technologies (CWT) located in Santa Fe Springs, California. Pencco’s plants are located in Vernon, California; Dallas, Texas, and in Middle Essex, North Carolina. A fourth company, US Magnesium produces ferric chloride as a byproduct at its plant in Utah which is sold to Kemira, who mainly markets it in Northern California. “Pickle Liquor” a waste byproduct of steel mills, iron ore and scrap iron along with sulfuric and hydrochloric acids are the major raw materials involved in the production of these iron salts, and thus, production is usually located in close proximity to steel mills and rail spurs are vital. Sales are regionally based around each manufacturing plant due to the high cost of freight as the iron salts are heavy. Locally, in Southern California, the annual demand for iron salts related to large wastewater and water treatment operations such as the District, Los Angeles County Sanitation (LACSD), City of Los Angeles and City of San Diego and water treatment operations such as the Metropolitan Water District is estimated at about 90,000 dry tons per year valued at about $60 million. Until recently, this Southern California demand was met mostly through Kemira’s operations in Fontana and Mojave with CWT’s plant in Santa Fe Springs providing a relatively small portion. LACSD recently took advantage of the multi-vendor scenario by awarding Pencco, which recently established an iron salts production facility in Vernon, California, with almost half of the their iron salt requirement for its contract beginning January 1, 2013. Inclement weather, accidents involving rail traffic and natural disasters including earthquakes have historically been the causes for disruption in chemical supplies. The District has experienced disruptions with the supply of hydrogen peroxide and cationic polymer. These events turned into a crisis situation as the procurement of these chemicals from an alternative source was not viable in the absence of a backup. In the past, the District has not experienced any ferric chloride supply disruption. However, given the large quantity required and the absence of another viable supplier, Page 4 of 4 the consequences of a ferric chloride supply disruption may be very serious, resulting in potential regulatory compliance violations and severe financial consequences. Without having a contract in place with a second supplier, and if the District’s one current supplier was unable to deliver its product, staff is not confident that the District would be able to enter into an emergency contract with another ferric chloride supplier because most likely the other users of ferric chloride in our region would be impacted and those agencies with existing multiple supplier contracts would have preference to the chemicals. Furthermore, larger users of ferric chloride such as LACSD and MWD would also have preference because of the larger dollar amount of their contracts. The District needs to contract with multiple local suppliers to protect against potential disruption from a single-source supply chain. CEQA N/A BUDGET/DELEGATION OF AUTHORITY COMPLIANCE N/A ATTACHMENTS The following attachment(s) is included in hard copy and may be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package and attachments: · Resolution No. OCSD 12-17, Amending Section 4.09 of Resolution No. OCSD 07-04 DH:SSB:ysh Page 1 of 2 RESOLUTION NO. OCSD 12-17 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT AMENDING SECTION 4.09 REQUEST FOR PROPOSAL PROCEDURE OF RESOLUTION NO. OCSD 07-04 TO EXPAND THE REQUEST FOR PROPOSAL PROCEDURE TO INCLUDE THE PURCHASE OF CRITICAL, ROUTINE, OR RECURRING GOODS OR SERVICES AND TO DEFINE BEST VALUE WHEREAS, the Orange County Sanitation District (“District”) 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, California; and WHEREAS, California Government Code section 54202 requires that every local agency adopt policies and procedures, including bidding regulations governing purchases of supplies, services, materials and equipment, and that purchases of supplies, services, materials and equipment by the local agency be in accordance with said duly adopted policies; and WHEREAS, on February 28, 2007, the District adopted Resolution No. OCSD 07-04 entitled: "A RESOLUTION OF THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT (DISTRICT OR OCSD) ESTABLISHING POLICIES AND PROCEDURES FOR THE AWARD OF PURCHASE ORDERS AND CONTRACTS; AWARD OF PUBLIC WORKS PROJECT CONTRACTS; AWARD OF PROFESSIONAL SERVICES CONTRACTS; AND DELEGATION OF AUTHORITY TO IMPLEMENT SAID POLICIES AND PROCEDURES; AND REPEALING RESOLUTION NO. OCSD 06-28" (hereinafter, "Purchasing Policy"); and WHEREAS, Section 4.09, entitled "Request for Proposal Procedure," of the Purchasing Policy permits the use of a Request for Proposal ("RFP") solicitation process in lieu of the competitive bidding process for goods and services that prove difficult to quantify or describe; and WHEREAS, District staff has determined that there is a need to expand the use of the RFP solicitation process for critical, routine or recurring goods or services such as, but not limited to, the purchase of chemicals, in order to purchase such goods or services based upon a consideration of the broadest possible range of competing services, products and materials available, fitness of purpose, performance reliability, standardization, life cycle costs, delivery timetables, reliable supply, support logistics, and/or other similar factors in addition to the price in the award of these contracts. NOW, THEREFORE, in consideration thereof, the Board of Directors of the Orange County Sanitation District, does hereby resolve, declare, determine, and order as follows: Section 1: All of the recitals herein contained are true and correct. Page 2 of 2 Section 2: The first paragraph of Section 4.09, entitled "Request for Proposal Procedure" is deleted in its entirety and replaced as follows: If the Contracts / Purchasing Manager determines that the competitive bidding process is not practical or advantageous for OCSD in a particular case, he or she may award one or more contracts following a Request for Proposal ("RFP") solicitation process. The RFP process may be used (i) for goods or services that prove difficult to quantify or describe, where Proposers may offer different approaches or solutions; and/or (ii) for critical, routine or recurring goods or services that require consideration of the broadest possible range of competing services, products and materials available, fitness of purpose, performance reliability, standardization, life cycle costs, delivery timetables, reliable supply, support logistics, diversification of available sources and/or other similar factors in addition to the price in the award of these contracts. Award shall be based upon criteria identified in the solicitation which provide the best value for OCSD, wherein, best value is not solely determined by price. "Best value" means the overall combination of quality, price, and other elements of a proposal (or combination of several proposals) that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents. Section 3: Unless specifically amended herein, the remaining provisions of the Purchasing Policy shall continue in full force and effect. In the event of any conflict or inconsistency between the provisions of this Resolution and any provisions of the Purchasing Policy, the provision of this Resolution shall in all respects govern and control. Section 4: This Resolution shall take effect immediately upon its adoption. PASSED AND ADOPTED at a regular meeting held on December 19, 2012. _____________________________________ Troy Edgar, Chair ATTEST: ___________________________________ Maria Ayala, Clerk of the Board Page 1 of 3 ADMINISTRATION COMMITTEE Meeting Date 12/12/12 To Bd. of Dir. 12/19/12 AGENDA REPORT Item Number 2 Item Number 27 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Lorenzo Tyner, Director of Finance & Administrative Services SUBJECT: SELECTION OF INSURANCE BROKER OF RECORD GENERAL MANAGER'S RECOMMENDATION Approve a Professional Services Agreement with Alliant Insurance Services Inc. to serve as the Orange County Sanitation District’s operational insurance broker of record in connection with property, liability, workers compensation and other smaller operational insurance coverage programs, Specification No.S-2012-546BD, for a one-year period commencing on January 1, 2013, with the option of the Sanitation District to renew for an additional four one-year periods. SUMMARY With the assistance of an insurance broker of record, the Sanitation District has annually purchased four major insurances for operations: 1) Excess General Liability Insurance 2) Excess Workers’ Compensation 3) All-Risk Property and Flood insurance 4) Boiler & Machinery insurance The insurance broker also assists with smaller coverages such as crime insurance and watercraft insurance. Staff has completed a competitive proposal process to ensure that the Sanitation District receives a high, timely level of property, liability, workers compensation and other coverage broker services. A request for proposal went out to a variety of large and regional insurance brokerage firms. A total of four firms, all with substantial relevant experience, submitted proposals: Alliant, Marsh, Aon and IOA. All four were interviewed, and the Proposal Review Team determined that Alliant Insurance Services Inc., the Sanitation District’s current insurance broker, was the firm that could best demonstrate a high and timely level of service due to its showing of superior experience with governmental organizations similar to the Sanitation District and due to the specialized insurance programs which it has developed for governmental agencies in California. The Sanitation District pays no money directly to the insurance broker; rather, any compensation to the insurance broker comes from the insurance carriers, and all compensation received by the insurance broker from insurance carriers is required by Sanitation District policy to be completely open to scrutiny by the Sanitation Page 2 of 3 District. Staff is recommending that Alliant Insurance Services be retained as the District’s broker of record. PRIOR COMMITTEE/BOARD ACTIONS December 1996 – Following a competitive RFP involving large insurance brokerage firms, the Board selected Robert F. Driver Associates (the previous name of Alliant Insurance Services) as insurance broker of record. February 2007 – Following another competitive RFP involving large insurance brokerage firms, the Board selected Alliant Insurance Services as insurance broker of record. ADDITIONAL INFORMATION Staff prepared a comprehensive RFP covering property, liability, workers compensation programs and other coverage services, but not including employee benefits or OCIP (Owner Controlled Insurance Program) coverages, which are handled separately. Proposals were received from Alliant, the largest insurance broker for governmental agency insurance in California; from Marsh, sometimes considered as the world’s largest insurance broker; from Aon, considered as either the world’s largest or second largest insurance broker; and from Insurance Office of America, a large Florida-based insurance broker who employs a number of former Alliant employees. The Proposal Review Team, consisting of the District’s Director of Administrative Services, the District’s Risk Manager, and the District’s Principal Risk and Insurance Analyst, all of whom have substantial experience with insurance, evaluated the proposals and interviewed all four proposers. All showed a wealth of experience with insurance brokerage services, along with substantial experience with insurance for governmental agencies. Following the interviews, Alliant Insurance Services stood apart from the other firms in convincing the Proposal Review Team that they were likely to provide the Sanitation District with the least expensive and with the broadest insurance coverage available. Alliant has the most experience with California governmental agencies, as it insures the vast majority of California counties along with hundreds of California cities and special districts. Alliant also has experience with many California sanitation districts. Alliant’s “PEPIP” program is the largest property insurance program in the world, and Alliant provides access to the workers compensation insurance provided by the CSAC Excess Insurance Authority. Based on the results of the public bid process, staff recommends retaining Alliant Insurance Services. CEQA N/A Page 3 of 3 BUDGET/DELEGATION OF AUTHORITY COMPLIANCE This complies with the authority levels of the Sanitation District’s Delegation of Authority. This item has been budgeted. Orange County Sanitation District Page 1 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT PROFESSIONAL SERVICES AGREEMENT BROKER OF RECORD SERVICES Specification No. S-2012-546BD THIS AGREEMENT 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 92708-7018 (hereinafter referred to as "OCSD") and ______________________ with a principal business at ___________________________ (hereinafter referred to as "Broker") collectively referred to as the “Parties”. R E C I T A L S: WHEREAS, based on Broker’s expertise and experience, OCSD wishes to temporarily engage Broker to provide Broker of Record Services ("Services”) as described in Exhibit “A” attached hereto and incorporated herein by reference; and WHEREAS, OCSD’s General Manager has determined the outsourcing of said Services is in the best interest of OCSD; and WHEREAS, Broker submitted its proposal, dated _______; and WHEREAS, on ____________________, the Board of Directors of OCSD, by minute order, authorized execution of this Agreement between OCSD and Broker; and WHEREAS, OCSD has chosen Broker to conduct Services in accordance with Purchasing Resolution No. OCSD07-04; and 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 Agreement and all exhibits hereto (called the "Agreement") is made by OCSD and Broker. The Terms and Conditions herein exclusively govern the purchase of Services as described in the Scope of Work. 1.2 Exhibits to this Agreement are incorporated by reference and made a part of this Agreement as though fully set forth at length herein. Exhibits to this Agreement are as follows in order of precedence: Exhibit “A” Scope of Work Exhibit “B” Proposal submitted by Broker on _______________ Exhibit “C” _________ Exhibit “D” _________ 1.3 In the event of any conflict or inconsistency between the provisions of this Agreement and any of the provisions of the exhibits hereto, the provisions of this Agreement shall in all respects govern and control. 1.4 This Agreement may not be modified, changed or supplemented, nor may any obligations hereunder be waived or extensions of time for performance granted, except by written instrument signed by both Parties. Orange County Sanitation District Page 2 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT 1.5 The various headings in this Agreement are inserted for convenience only and shall not affect the meaning or interpretation of this Agreement or any Paragraph or provision hereof. 1.6 The term “workday”. Workdays are defined as all days that are not Saturday, Sunday, or legally observed holidays. Meetings with OCSD staff shall be scheduled from Monday through Thursday between the hours of 8AM and 4PM (exception is operations staff who maintain plant operations 24/7 and work a rotated 12-hour shift) and shall conform to OCSD work schedules. OCSD review periods shall not include legally observed holidays. 1.7 The term “days”, when used in the Agreement, shall mean calendar days, unless otherwise noted as workdays. 1.8 Work Hours: The work required under this Agreement may include normal Business hours, evenings, and weekends. OCSD will not pay Travel Time. 1.9 Broker shall provide OCSD with all required premiums (“premiums” in a non-insurance sense) and/or overtime work at no charge beyond the price provided in Exhibit “___”. 1.10 Except as expressly provided otherwise, OCSD accepts no liability for any expenses, losses, or action incurred or undertaken by Broker as a result of work performed in anticipation of purchases of said services by OCSD. 2. Scope of Work Subject to the terms of this Agreement, Broker shall perform the Services identified in Exhibit “A” and ___________________. Broker warrants that all of its Services shall be performed in a competent, professional and satisfactory manner. 3. 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. A review of the time required for the modification will be made by OCSD and Broker and the Agreement period adjusted accordingly. 4. Modifications to the Agreement This Agreement may not be modified, changed or supplemented, nor may any obligations hereunder be waived or extensions of time for performance granted, except by written instrument signed by both Parties. 5. Compensation Broker will be compensated by commissions paid by insurance carriers for the Services provided under this Agreement, with the total amount not to exceed $__________. Any amount in excess of $________________ received by Broker in commission payments shall be paid to OCSD. 6. Audit Rights Broker agrees that, during the term of this Agreement 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 Broker relating to the compensation received by Broker pursuant to this Agreement. 7. Performance Time is of the essence in the performance of the provisions hereof. 8. Commencement and Term The Services to be provided by Broker under this Agreement shall commence on the date of the Notice to Proceed and shall continue said Services for the period of one (1) year. 9. Renewal of Agreement 9.1 OCSD may exercise the option to renew the Agreement for up to four (4) one-year Orange County Sanitation District Page 3 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT periods based upon the criteria set forth in these specifications if mutually acceptable contract terms can be negotiated. 9.2 Renewals may be made through the Purchase Order process. 10. Extensions The Term of this Agreement may be extended only by written instrument signed by both Parties. 11. Termination 11.1 OCSD reserves the right to terminate this Agreement for its convenience, with or without cause, in whole or in part, at any time, by written notice from OCSD, (delivered by certified mail, return receipt requested) of intent to terminate. Upon receipt of a termination notice, Broker shall immediately discontinue all work under this Agreement (unless the notice directs otherwise). Broker expressly waives any claim to receive anticipated profits to be earned during the uncompleted portion of this Agreement. Such notice of termination shall terminate this Agreement and release OCSD from any further fee, cost or claim hereunder by Broker other than for work performed to the date of termination. 11.2 OCSD reserves the right to terminate this Agreement immediately upon OCSD’s determination that Broker is not meeting specification requirements, if the level of service is inadequate, or any other default of this Agreement. 11.3 OCSD may also immediately cancel for default of this Agreement in whole or in part by written notice to Broker: · if Broker becomes insolvent or files a petition under the Bankruptcy Act; or · if Broker sells its business; or · if Broker breaches any of the terms of this Agreement; or · if total amount of compensation exceeds the amount authorized under this Agreement. · if Broker or any key personnel assigned to service OCSD loses a professional license affecting the ability to service OCSD. 11.4 All OCSD property in the possession or control of Broker shall be returned by Broker to OCSD on demand, or at the termination of this Agreement, whichever occurs first. 12. Indemnification and Hold Harmless Provision Broker agrees to save, indemnify, defend and hold harmless OCSD, its officers, employees and agents against any and all liability, claims, judgments, cost and demands, including demands arising from injuries or death of persons and damage to property, arising directly or indirectly out of the negligence or willful misconduct of Broker, its employees or agents, in relation to the rendition of Services pursuant to this Agreement, except claims or litigations arising through the sole negligence or willful misconduct of OCSD. Broker agrees to reimburse OCSD for any expenditure, including reasonable attorney’s fees, OCSD may incur by reason of such matters, and, if requested by OCSD, will defend any such suits at the cost and expense of Broker. 13. Broker’s Insurance Broker and all subcontractors and subconsultants shall purchase and maintain, throughout the life of this Agreement and any periods of warranty or extensions, insurance in amounts equal to the requirements set forth in the signed Acknowledgement of Insurance Requirements, Exhibit “_____“. Broker shall not commence work under this Agreement until all required insurance is obtained in a form acceptable to OCSD, nor shall Broker allow any subcontractor to commence service pursuant to a subcontract until all insurance required of the subcontractor has been obtained. Failure to maintain required Orange County Sanitation District Page 4 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT insurance coverage shall result in termination of this Agreement. 14. Key Personnel Broker’s personnel as provided in Exhibit “B” are designated as “key” and will be available for the term of this Agreement. No person designated as key shall be removed or replaced without prior written consent of OCSD. 15. Confidentiality and Non-Disclosure 15.1 Broker acknowledges that in performing the Services hereunder, OCSD may have to disclose to Broker orally and in writing certain confidential information that OCSD considers proprietary and has developed at great expense and effort. 15.2 Broker agrees to maintain in confidence and not disclose to any person, firm, or corporation, without OCSD's prior written consent, any trade secret or confidential information, knowledge or data relating to the products, process, or operation of OCSD. 15.3 Broker further agrees to maintain in confidence and not to disclose to any person, firm, or corporation any data, information, technology, or material developed or obtained by Broker during the term of this Agreement. 15.4 Broker agrees as follows: · To use the Confidential Information only for the purposes described herein; to not reproduce the Confidential Information; to hold in confidence and protect the Confidential Information from dissemination to and use by anyone not a party to this Agreement; and to not use the Confidential Information to benefit itself or others. · To restrict access to the Confidential Information to its Broker or personnel of Broker who (1) have a need to have such access and (2) have been advised of and have agreed in writing to treat such information in accordance with the terms of this Agreement. · To return all Confidential Information in Broker's possession upon termination of this Agreement or upon OCSD's request, whichever occurs first. · To hold in confidence information and materials, if any, developed pursuant to the Services hereunder. 15.5 The provisions of this Section shall survive termination or expiration of this Agreement and shall continue for so long as the material remains confidential. 16. Ownership of Intellectual Property 16.1 Broker agrees that all designs, plans, reports, specifications, drawings, schematics, prototypes, models, inventions, and all other information and items made during the course of this Agreement and arising from the Services (hereinafter referred to as "New Developments") shall be and are assigned to OCSD as its sole and exclusive property. 16.2 Broker agrees to promptly disclose to OCSD all such New Developments. Upon OCSD's request, Broker agrees to assist OCSD, at OCSD's expense, to obtain patents or copyrights for such New Developments, including the disclosure of all pertinent information and data with respect thereto, the execution of all applications, specifications, assignments, and all other instruments and papers which OCSD shall deem necessary to apply for and to assign or convey to OCSD, its successors and assigns, the sole and exclusive right, title and interest in such New Developments. Broker agrees to obtain or has obtained written assurances from its employees and contract personnel of their agreement to the terms hereof with regard to New Developments and Confidential Information. Orange County Sanitation District Page 5 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT 16.3 Broker warrants that Broker has good title to any New Developments, and the right to assign New Developments to OCSD free of any proprietary rights of any other party or any other encumbrance whatever. 16.4 The originals of all computations, drawings, designs, graphics, studies, reports, manuals, photographs, videotapes, data, computer files, and other documents prepared or caused to be prepared by Broker or its subconsultants in connection with these Services shall be delivered to and shall become the exclusive property of OCSD. OCSD may utilize these documents for OCSD applications on other projects or extensions of this project, at its own risk. 17. No Solicitation of Employees Or Subcontractors 17.1 Broker agrees that it shall not, during the term of this Agreement and for a period of one (1) year immediately following termination of this Agreement, or any extension hereof, call on, solicit, or take away any of the employees or subcontractors about whom Broker became aware as a result of Broker's Services to OCSD. 17.2 Broker acknowledges that OCSD’s employees are critical to its business. Broker agrees not to employ or otherwise engage OCSD’s employees or subcontractors during the term of this Agreement and for a period of one (1) year following termination of this Agreement. Should Broker violate this provision, Broker will pay OCSD fifty percent (50%) of the former employee’s annual salary which payment is in addition to OCSD’s rights and remedies. 18. Independent Contractor Capacity 18.1 The relationship of Broker to OCSD is that of an independent contractor and nothing herein shall be construed as creating an employment or agency relationship. 18.2 Broker shall act independently and not as an officer or employee of OCSD. OCSD assumes no liability for Broker’s action and performance, nor assumes responsibility for taxes, funds, payments or other commitments, implied or expressed, by or for Broker. 18.3 Broker shall not be considered an agent of OCSD for any purpose whatsoever, nor shall Broker have the right to, and shall not, commit OCSD to any agreement, contract or undertaking. Broker shall not use OCSD’s name in its promotional material or for any advertising or publicity purposes without expressed written consent. 18.4 Broker shall not be entitled to any benefits accorded to those individuals listed on OCSD’s payroll as regular employees including, without limitation, worker's compensation, disability insurance, vacation, holiday or sick pay. Broker shall be responsible for providing, at Broker’s expense, disability, worker's compensation or other insurance as well as licenses and permits usual or necessary for conducting the Services hereunder. 18.5 Broker shall be obligated to pay any and all applicable local, state and federal payroll and other taxes incurred as a result of fees hereunder. Broker hereby indemnifies OCSD for any claims, losses, costs, fees, liabilities, damages or penalties suffered by OCSD arising out of Broker's breach of this provision. Orange County Sanitation District Page 6 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT 18.6 Broker shall not be eligible to join or participate in any benefit plans offered to those individuals listed on OCSD's payroll as regular employees. Broker shall remain ineligible for such benefits or participation in such benefit plans even if a court later decides that OCSD misclassified Broker for tax purposes. 18.7 Nothing in this section prevents the Broker from acting in its capacity as a Broker as described in this Agreement. 19. Licenses, Permits Broker represents and warrants to OCSD that it has obtained all licenses, permits, qualification and approvals of whatever nature that are legally required to engage in this work. Any and all fees required by State, County, City and/or municipal laws, codes and/or tariffs that pertain to work performed under the terms of this Agreement will be paid by Broker. 20. Broker's Representations In the performance of duties under this Agreement, Broker shall adhere to the highest fiduciary standards, ethical practices and standards of care and competence. Broker agrees to comply with all applicable Federal, State and local laws and regulations. 21. Familiarity with Work By executing this Agreement, Broker 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 Agreement. Should Broker 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 Broker’s risk, until written instructions are received from OCSD. 22. Right to Review Services, Facilities, and Records 22.1 OCSD reserves the right to review any portion of the Services performed by Broker under this Agreement, and Broker agrees to cooperate to the fullest extent possible. 22.2 Broker shall furnish to OCSD such reports, statistical data, and other information pertaining to Broker's Services as shall be reasonably required by OCSD to carry out its rights and responsibilities under its agreements with its bondholders or noteholders and any other agreement relating to the development of the project(s) and in connection with the issuance of its official statements and other prospectuses with respect to the offering, sale, and issuance of its bonds and other obligations. 22.3 The right of OCSD to review or approve drawings, specifications, procedures, instructions, reports, test results, calculations, schedules, or other data that are developed by Broker shall not relieve Broker of any obligation set forth herein. 23. 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 Agreement. 24. Severability If any section, subsection, or provision of this Agreement, or any agreement or instrument contemplated hereby, or the application of such section, subsection, or provision is held invalid, the remainder of this Agreement 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. Orange County Sanitation District Page 7 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT Breach The waiver of either party of any breach or violation of, or default under, any provision of this Agreement, shall not be deemed a continuing waiver by such party of any other provision or of any subsequent breach or violation of this Agreement or default thereunder. Any breach by Broker 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. 25. Remedies In addition to other remedies available in law or equity, if the Broker fails to make delivery of the goods or Services or repudiates its obligations under this Agreement, or if OCSD rejects the goods or Services or revokes acceptance of the goods or Services, OCSD may (1) cancel the Agreement; (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 Broker. In the event OCSD elects to “cover” as described in (3), OCSD shall be entitled to recover from Broker as damages the difference between the cost of the substitute goods or Services and the contract price, together with any incidental or consequential damages. 26. Governing Law This Agreement shall be governed by and interpreted under the laws of the State of California and the Parties submit to jurisdiction in Orange County, in the event any action is brought in connection with this Agreement or the performance thereof. 27. Attorney’s Fees If any action at law or inequity 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 he may be entitled. 28. Dispute Resolution 28.1 In the event of a dispute as to the construction or interpretation of this Agreement, 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. 28.2 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 et 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 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 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. 29. Damage to OCSD's Property Any OCSD property damaged by Broker will be subject to repair or replacement by Broker at no cost to OCSD. 30. Assignments Broker shall not delegate any duties nor assign any rights under this Agreement without the prior written consent of OCSD. Any such attempted delegation or assignment shall be void. 31. Conflict of Interest and Reporting Orange County Sanitation District Page 8 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT 31.1 Broker shall at all times avoid conflict of interest or appearance of conflict of interest in performance of this Agreement. 31.2 Broker affirms that to the best of its knowledge there exists no actual or potential conflict between Broker’s families, business or financial interest or its Services under this Agreement, and in the event of change in either its private interests or Services under this Agreement, it will raise with OCSD any question regarding possible conflict of interest which may arise as a result of such change. 32. Third Party Rights Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than OCSD and Broker. 33. Authority to Execute The persons executing this Agreement on behalf of the Parties warrant that they are duly authorized to execute this Agreement and that by executing this Agreement, the Parties are formally bound. 34. Read and Understood By signing this Agreement, Broker represents that he has read and understood the terms and conditions of the Agreement. 35. Entire Agreement This Agreement 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. Orange County Sanitation District Page 9 of 9 Specification No.S-2012-546BD DRAFT CONTRACT – DO NOT SUBMIT 36. Notices All notices under this Agreement must be in writing. Written notice shall be 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. Any facsimile notice must be followed within three (3) days by written notice. All notices shall be effective when first received at the following addresses: OCSD: Clarice M. Marcin Senior Contracts Administrator Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, CA 92708-7018 Broker: Company _______________________________ _______________________________ _______________________________ IN WITNESS WHEREOF, the Parties hereto have hereunto set their hands the day and year indicated below. ORANGE COUNTY SANITATION DISTRICT Dated: By: ___________________________________ Chair Board of Directors Dated: By: ___________________________________ Clerk of the Board Dated: By: ___________________________________ Contracts/Purchasing Manager COMPANY Dated: By: ___________________________________ ______________________________________ Print Name and Title of Officer ______________________________________ IRS Employer’s I.D. Number Orange County Sanitation District Approved as to Form: Clarice M. Marcin Date Senior Contracts Administrator