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HomeMy WebLinkAboutGHD; 2012-11-06; UTIL893UTIL893 AGREEMENT FOR ASSET MANAGEMENT PLAN CONSULTING SERVICES (GHD) (TH|S AGREEMENT is made and entered into as of the day of 2012, by and between the CITY OF CARLSBAD, a municipal corporalfion, ("City"), and GHD, a California corporation, ("Contractor"). RECITALS A. City requires the professional services of an asset management plan consultant that is experienced in preparing asset management plans. B. Contractor has the necessary experience in providing professional services and advice related to asset management plans. C. Contractor has submitted a proposal to City and has affirmed its willingness and ability to perform such work. NOW, THEREFORE, in consideration of these recitals and the mutual covenants contained herein. City and Contractor agree as follows: 1. SCOPE OF WORK City retains Contractor to perform, and Contractor agrees to render, those services (the "Services") that are defined in attached Exhibit "A", which is incorporated by this reference in accordance with this Agreement's terms and conditions. 2- STANDARD OF PERFORMANCE While performing the Services, Contractor will exercise the reasonable professional care and skill customarily exercised by reputable members of Contractor's profession practicing in the Metropolitan Southern California Area, and will use reasonable diligence and best judgment while exercising its professional skill and expertise. 3. TERM The term of this Agreement will be effective for a period of three (3) years from the date first above written. The City Manager may amend the Agreement to extend it for one (1) additional one (1) year periods or parts thereof in an amount not to exceed one hundred ten thousand dollars ($110,000) per Agreement year. Extensions will be based upon a satisfactory review of Contractor's peri'ormance. City needs, and appropriation of funds by the City Council. The parties will prepare a written amendment indicating the effective date and length of the extended Agreement. » 4. TIME IS OF THE ESSENCE Time is of the essence for each and every provision of this Agreement. 5 COMPENSATION The total fee payable for the Services to be performed during the initial Agreement term will be three hundred twenty eight thousand seven hundred twenty nine dollars ($328,729). The project is divided into five separate phases. Phases 1,2,3, and 4 shall be completed for an amount not to exceed of two hundred fifteen thousand four hundred eighty eight dollars ($215,488). Upon satisfactory completion of Phases 1 through 4, the City has the option to then proceed with Phase 5 for an amount not to exceed of one hundred thirteen thousand two hundred forty one dollars ($113,241). The City may choose not to exercise this option. No other compensation for the Services will be allowed except for items covered by subsequent amendments to this City Attorney Approved Version 2/17/12 Agreement. The City reserves the right to withhold a ten percent (10%) retention until City has accepted the work and/or Services specified in Exhibit "A". Incremental payments, if applicable, should be made as outlined in attached Exhibit "A". 6. STATUS OF CONTRACTOR Contractor will perform the Services in Contractor's own way as an independent contractor and in pursuit of Contractor's independent calling, and not as an employee of City. Contractor will be under control of City only as to the result to be accomplished, but will consult with City as necessary. The persons used by Contractor to provide services under this Agreement will not be considered employees of City for any purposes. The payment made to Contractor pursuant to the Agreement will be the full and complete compensation to which Contractor is entitled. City will not make any federal or state tax withholdings on behalf of Contractor or its agents, employees or subcontractors. City will not be required to pay any workers' compensation insurance or unemployment contributions on behalf of Contractor or its employees or subcontractors. Contractor agrees to indemnify City within thirty (30) days for any tax, retirement contribution, social security, overtime payment, unemployment payment or workers' compensation payment which City may be required to make on behalf of Contractor or any agent, employee, or subcontractor of Contractor for work done under this Agreement. At the City's election, City may deduct the indemnification amount from any balance owing to Contractor. 7. SUBCONTRACTING Contractor will not subcontract any portion of the Services without prior written approval of City. If Contractor subcontracts any of the Services, Contractor will be fully responsible to City for the acts and omissions of Contractor's subcontractor and of the persons either directly or indirectly employed by the subcontractor, as Contractor is for the acts and omissions of persons directly employed by Contractor. Nothing contained in this Agreement will create any contractual relationship between any subcontractor of Contractor and City. Contractor will be responsible for payment of subcontractors. Contractor will bind every subcontractor and every subcontractor of a subcontractor by the terms of this Agreement applicable to Contractor's work unless specifically noted to the contrary in the subcontract and approved in writing by City. 8. OTHER CONTRACTORS The City reserves the right to employ other Contractors in connection with the Services. 9- INDEMNIFICATION Contractor agrees to indemnify and hold harmless the City and its officers, officials, employees and volunteers from and against all claims, damages, losses and expenses including attorneys fees arising out of the performance of the work described herein caused by any negligence, recklessness, or willful misconduct of the Contractor, any subcontractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable. The parties expressly agree that any payment, attorney's fee, costs or expense City incurs or makes to or on behalf of an injured employee under the City's self-administered workers' compensation is included as a loss, expense or cost for the purposes of this section, and that this section will survive the expiration or eariy termination of this Agreement. 10. INSURANCE Contractor will obtain and maintain for the duration of the Agreement and any and ail amendments, insurance against claims for injuries to persons or damage to property which may City Attorney Approved Version 2/17/12 10 arise out of or in connection with performance of the services by Contractor or Contractor's agents, representatives, employees or subcontractors. The insurance will be obtained from an insurance carrier admitted and authorized to do business in the State of California. The insurance carrier is required to have a current Best's Key Rating of not less than "A-:VH". OR with a surplus line insurer on the State of California's List of Eligible Surplus Line Insurers (LESLI) with a rating in the latest Best's Key Rating Guide of at least "A:X". 10.1 Coverages and Limits. Contractor will maintain the types of coverages and minimum limits indicated below, unless Risk Manager or City Manager approves a lower amount. These minimum amounts of coverage will not constitute any limitations or cap on Contractor's indemnification obligations under this Agreement. City, its officers, agents and employees make no representation that the limits of the insurance specified to be carried by Contractor pursuant to this Agreement are adequate to protect Contractor. If Contractor believes that any required insurance coverage is inadequate. Contractor will obtain such additional insurance coverage, as Contractor deems adequate, at Contractor's sole expense. 10.1.1 Commercial General Liabilitv Insurance. $1,000,000 combined single-limit per occurrence for bodily injury, personal injury and property damage. If the submitted policies contain aggregate limits, general aggregate limits will apply separately to the work under this Agreement or the general aggregate will be twice the required per occurrence limit. 10.1.2 Automobile Liabilitv (if the use of an automobile is involved for Contractor's work for City). $1,000,000 combined single-limit per accident for bodily injury and property damage. 10.1.3 Workers' Compensation and Emplover's Liabilitv. Workers' Compensation limits as required by the California Labor Code. Workers' Compensation will not be required if Contractor has no employees and provides, to City's satisfaction, a declaration stating this. 10.1.4 Professional Liabilitv. Errors and omissions liability appropriate to Contractor's profession with limits of not less than $1,000,000 per claim. Coverage must be maintained for a period of five years following the date of completion of the work. I I If box is checked, Professional Liability City's Initials Contractor's Initials Insurance requirement is waived 10.2. Additional Provisions. Contractor will ensure that the policies of insurance required under this Agreement contain, or are endorsed to contain, the following provisions: 10.2.1 The City will be named as an additional insured on Commercial General Liability which shall provide primary coverage to the City. 10.2.2 Contractor will obtain occurrence coverage, excluding Professional Liability, which will be written as claims-made coverage. 10.2.3 This insurance will be in force during the life of the Agreement and any extensions of it and will not be canceled without thirty (30) days prior written notice to City sent by certified mail pursuant to the Notice provisions of this Agreement. 10.3 Providing Certificates of Insurance and Endorsements. Prior to City's execution of this Agreement, Contractor will furnish certificates of insurance and endorsements to City. City Attorney Approved Version 2/17/12 II "lO-^ Failure to Maintain Coverage. If Contractor fails to maintain any of these insurance coverages, then City will have the option to declare Contractor in breach, or may purchase replacement insurance or pay the premiums that are due on existing policies in order to maintain the required coverages. Contractor is responsible for any payments made by City to obtain or maintain insurance and City may collect these payments from Contractor or deduct the amount paid from any sums due Contractor under this Agreement. ^ 0-5 Submission of Insurance Policies. Citv reserves the right to require, at anytime, complete and certified copies of any or all required insurance policies and endorsements. 11. BUSINESS UCENSE Contractor will obtain and maintain a City of Carisbad Business License for the term of the Agreement, as may be amended from time-to-time. 12. ACCOUNTING RECORDS Contractor will maintain complete and accurate records with respect to costs incurred under this Agreement. All records will be cleariy identifiable. Contractor will allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of records and any other documents created pursuant to this Agreement. Contractor will allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement. 13. OWNERSHIP OF DOCUMENTS All work product produced by Contractor or its agents, employees, and subcontractors pursuant to this Agreement is the property of City. In the event this Agreement is terminated, all work product produced by Contractor or its agents, employees and subcontractors pursuant to this Agreement will be delivered at once to City. Contractor will have the right to make one (1) copy of the work product for Contractor's records. 14. COPYRIGHTS Contractor agrees that all copyrights that arise from the services will be vested in City and Contractor relinquishes all claims to the copyrights in favor of City. 15. NOTICES The name of the persons who are authorized to give written notices or to receive written notice on behalf of City and on behalf of Contractor under this Agreement. For Citv Name William E. Plummer Title Engineering Manager For Contractor Name Title Dawn Guendert Project Director Department Utilities City of Carisbad Address 1635 Faraday Avenue Carisbad, CA 92008 Phone No. 760.602.2768 Address 16451 Scientific Way Irvine, CA 92618 Phone No. Email 949.250.0501 Dawn.guendert@ghd.com City Attorney Approved Version 2/17/12 1^ Each party will notify the other immediately of any changes of address that would require any notice or delivery to be directed to another address. 16. CONFLICT OF INTEREST Contractor shall file a Conflict of Interest Statement with the City Clerk in accordance with the requirements of the City of Carisbad Conflict of Interest Code. The Contractor shall report investments or interests in all four categories. 17. GENERAL COMPLIANCE WITH LAWS Contractor will keep fully informed of federal, state and local laws and ordinances and regulations which in any manner affect those employed by Contractor, or in any way affect the performance of the Services by Contractor. Contractor will at all times observe and comply with these laws, ordinances, and regulations and will be responsible for the compliance of Contractor's services with all applicable laws, ordinances and regulations. Contractor will be aware ofthe requirements ofthe Immigration Reform and Control Act of 1986 and will comply with those requirements, including, but not limited to, verifying the eligibility for employment of all agents, employees, subcontractors and consultants whose services are required by this Agreement. 18. DISCRIMINATION AND HARASSMENT PROHIBITED Contractor will comply with all applicable local, state and federal laws and regulations prohibiting discrimination and harassment. 19. DISPUTE RESOLUTION If a dispute should arise regarding the performance of the Services the following procedure will be used to resolve any questions of fact or interpretation not othenA/ise settled by agreement between the parties. Representatives of Contractor or City will reduce such questions, and their respective views, to writing. A copy of such documented dispute will be forwarded to both parties involved along with recommended methods of resolution, which would be of benefit to both parties. The representative receiving the letter will reply to the letter along with a recommended method of resolution within ten (10) business days. If the resolution thus obtained is unsatisfactory to the aggrieved party, a letter outlining the disputes will be fonA^arded to the City Manager. The City Manager will consider the facts and solutions recommended by each party and may then opt to direct a solution to the problem. In such cases, the action of the City Manager will be binding upon the parties involved, although nothing in this procedure will prohibit the parties from seeking remedies available to them at law. 20. TERMINATION In the event of the Contractor's failure to prosecute, deliver, or perform the Services, City may terminate this Agreement for nonperformance by notifying Contractor by certified mail of the termination. If City decides to abandon or Indefinitely postpone the work or services contemplated by this Agreement, City may terminate this Agreement upon written notice to Contractor. Upon notification of termination, Contractor has five (5) business days to deliver any documents owned by City and all work in progress to City address contained in this Agreement. City will make a determination of fact based upon the work product delivered to City and of the percentage of work that Contractor has performed which is usable and of worth to City in having the Agreement completed. Based upon that finding City will determine the final payment of the Agreement. Either party upon tendering thirty (30) days written notice to the other party may terminate this Agreement. In this event and upon request of City, Contractor will assemble the work product j ^ City Attorney Approved Version 2/17/12 and put it in order for proper filing and closing and deliver it to City. Contractor will be paid for work performed to the termination date; however, the total will not exceed the lump sum fee payable under this Agreement. City will make the final determination as to the portions of tasks completed and the compensation to be made. 21. COVENANTS AGAINST CONTINGENT FEES Contractor warrants that Contractor has not employed or retained any company or person, other than a bona fide employee working for Contractor, to solicit or secure this Agreement, and that Contractor has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift, or any other consideration contingent upon, or resulting from, the award or making of this Agreement. For breach or violation of this warranty. City will have the right to annul this Agreement without liability, or, in its discretion, to deduct from the Agreement price or consideration, or otherwise recover, the full amount of the fee, commission, percentage, brokerage fees, gift, or contingent fee. 22. CLAIMS AND LAWSUITS By signing this Agreement, Contractor agrees that any Agreement claim submitted to City must be asserted as part of the Agreement process as set forth in this Agreement and not in anticipation of litigation or In conjunction with litigation. Contractor acknowledges that if a false claim is submitted to City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that California Government Code sections 12650 et seg.. the False Claims Act applies to this Agreement and, provides for civil penalties where a person knowingly submits a false claim to a public entity. These provisions include false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of information. If City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorney's fees. Contractor acknowledges that the filing of a false claim may subject Contractor to an administrative debarment proceeding as the result of which Contractor may be prevented to act as a Contractor on any public work or improvement for a period of up to five (5) years. Contractor acknowledges debarment by another jurisdiction is grounds for City to terminate this Agreement. 23. JURISDICTIONS AND VENUE Any action at law or in equity brought by either of the parties for the purpose of enforcing a right or rights provided for by this Agreement will be tried in a court of competent jurisdiction In the County of San Diego, State of California, and the parties waive all provisions of law providing for a change of venue in these proceedings to any other county. 24. SUCCESSORS AND ASSIGNS It is mutually understood and agreed that this Agreement will be binding upon City and Contractor and their respective successors. Neither this Agreement or any part of it nor any monies due or to become due under it may be assigned by Contractor without the prior consent of City, which shall not be unreasonably withheld. 25. ENTIRE AGREEMENT This Agreement, together with any other written document referred to or contemplated by it, along with the purchase order for this Agreement and Its provisions, embody the entire Agreement and understanding between the parties relating to the subject matter of it. In case of conflict, the terms of the Agreement supersede the purchase order. Neither this Agreement nor any of its provisions may be amended, modified, waived or discharged except in a writing signed by both parties. City Attorney Approved Version 2/17/12 Y 26. AUTHORITY The individuals executing this Agreement and the instruments referenced in it on behalf of Contractor each represent and warrant that they have the legal power, right and actual authority to bind Contractor to the terms and conditions of this Agreement. CONTRACTOR GHD, a California corporation CITY OF CARLSBAD, a municipal corporation of the State of California (print name/title) (sign here) (print name/title) Mayor ATTEST: LO^R^INE City Clerk , ..^.^ ..^ ^, ^ •••••• ^ KAREN R. KUNDTZ, Assistant'GX^^^^(^^'K If required by City, proper notarial acknowledgment of execution by contractor must be attached. If a corporation. Agreement must be signed by one corporate officer from each of the following two groups. Group A Chairman, President, or Vice-President Group B Secretary, Assistant Secretary, CFO or Assistant Treasurer Otherwise, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation. APPROVED AS TO FORM: RONALD R. BALL, City Attorney Assistant City Attorney City Attorney Approved Version 2/17/12 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 State of California County of ^'^n-^O^^ C^^-^^^i On i'rv>^^t^^ yS^ 2^)/^fnrfi me, personally appeared Donna CfevdIantJ, NptQryT»ubnc ——• * neiB iiibtiu I'Mdiii Here Insert Name and Title of the Officer Name(s) of Signer{s) DONNA CLEVELAND ' f Commission # 1917621 t Notary Public - California 1 1 \amf^ Contra Costa County g 1 ^"^SSss^ My Comm. Expires Jan 14. 20151 who proved to me on the basis of satisfactory evidence to be the personjfe) whose name|s^r©ap&- subscribed to the within instrument and acknowledged td me that (E2Zlhe/ihey- executed the same in ^^Shcr/thoif authorized capacity^js*), and that by jir signaturej^) on the instrument the person(^, or the entity upon behalf of which the person(i^ acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Place Notary Seal Above Signature: OPTIONAL — signature of Notary Public Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Desc?fption of Attached Document . Title or Type^Document: Document Date: Number of Pages: Signer(s) Other Than Narn^ds^ove: Oapaclty(ies) Claimed by Sigl Signer's Name: (s) • Corporate Officer — Title(s): • Individual • Partner— • Limited • General • Attorney in Fact • Trustee • Quardian or Conservator • Other: •RIGHTTHUMBPRINT : OF SIGNER • : Top of thumb here Signer Is Representing: Signer's Name: • Corporate Officer — Title(s): Individual • P^rtei^—• Limited • General • Attorneyir^fect • Trustee • Guardian or Conservatol • Other: Signer Is Representing: RIGHT THUIUIBPRINT OF SIGNER . Top of thumb here »2010 National Notary Association • NatlonalNotary.org • 1-BOO-US NOTARY (1-800-876-6827) Item #5907 State of Arizona County of Maricopa ss On this /8dav ofv*^^^??/^ . 2012, before me, Virginia S. Lazzaro, Notary Public in and for the State of Arizona, County of Maricopa, personally appeared J. Duncan Findlay, who acknowledged himself to be the Secretary of GHD Inc., a California corporation, and that in such capacity, being authorized to do so, executed the foregoing instrument for the purposes therein contained as his voluntary act and deed. In witness whereof, I hereunto set my hand and official seal. VIRGINIA S LAZZARO I Notary Public - Arizona I Maricopa County IMy Commiasion Expires May 31. 2016 W VirglaiQ S. Lazzaro Notary Public EXHIBIT A Carlsbad Asset Management Plan Development and Implementation Section 1 Project Phases and Tasks The project is divided Into five separate phases spanning 2 years. Each phase is further divided into separate tasks with workshops and deliverables being listed. Details and explanations of the project phases and tasks are below. Yearl Phase 1 - Asset Management Training The purpose of Phase 1 is to provide a common understanding of asset management for key Carlsbad staff. The training is open to any staff Carlsbad believes would benefit from the training on the fundamentals of asset management. Task 1.1 - Asset Management Training Workshop The workshop(s) is 8 hours of asset management training conducted over two half days. The training will be conducted in a Carlsbad facility. The workshop presentation will cover the fundamentals of asset management and how it applies to water and wastewater utilities. The workshop will allow staff to ask questions and participate in examples or scenarios. Phase 2 - Asset Management Program Assessment and Improvement Plan The purpose of Phase 2 is to assess the process and practices of Carlsbad against asset management best practices. Using a structured, international benchmarking approach, GHD will review Carlsbad's current practices and compare them to other utilities of similar size around the US and world. The assessment will rate Carlsbad's current practices and determine the gap between current practices and asset management best practices. The process of gathering information includes staff interviews and an assessment of data and information systems. The Phase will produce a report containing the results of the assessment and a roadmap of the pilot implementation. Task 2.1 - Review of Current Asset Management Practices GHD will gather information to assess the current Carlsbad practices against asset management best practices. Task 2.2 - Staff Interviews GHD will schedule interviews with key Carlsbad staff to gather more specific information about the practices and verify information gathered during the previous task. Task 2.3 - Asset Management Program Assessment Results GHD will consolidate the information gathered in the previous two tasks and produce a report containing the assessment results. The results will be presented to select Carlsbad staff during a workshop and feedback will be gathered to update the initial results. Task 2.4 - Asset Management Improvement Plan/Roadmap Based on the assessment results, GHD will produce an improvement plan and asset management roadmap to strengthen Carlsbad's Asset Management Program. Phase 2 deliverables: 1. Asset Management Program Assessment Report 2. Asset Management Roadmap 1 I GHD for City of Carlsbad Utilities Department Carlsbad Asset Management Plan Development and Implementation Phase 3 - Information System Plan The purpose of Phase 3 is to assess the functionality, capabilities, and integration of Carlsbad's existing information systems. This phase will start at the same time as the Asset Management Program Assessment (Phase 2), but will finish at the same time as the Pilot Program (Phase 4). The Initial functionality and capabilities of the information systems will be reviewed in parallel with Phase 2 and will include a workshop and interviews with Carlsbad's IT staff. Then, during the Pilot Program, information and results will be reviewed for possible integration with the existing information systems. The final information systems assessment will be completed in parallel with the development of the Pilot Asset Management Plan (Phase 4) and will Include the assessment of functionality and capabilities of systems along with an improvement plan for asset management components of the systems. Task 3.1 - Review of Current Information System GHD will gather information about the configurations, capabilities, and data of Carlsbad's information systems. Task 3.2 - Evaluation of Information System Functionality GHD will conduct a workshop with Carlsbad IT staff to gather more information about functionality of the information systems. GHD will review the gathered information and evaluate the current information systems with respect to the needs of the asset management program. Task 3.3 - Analysis of Multiple Improvement Options When Pilot Program (Phase 4) results or processes are suggested for integration into the existing Carlsbad information systems, GHD will analyze multiple options for integration. The analysis and recommended option will be included In the Information Systems Improvement Plan report. Task 3.4 - Information System Improvement Strategy GHD will document the evaluation of the current information systems, improvement options, and the overall strategy. During the development of asset management plan, additional data, process, and information system requirement will be identified and used to develop the Information System Improvement Strategy. Therefore, the Information System Improvement Plan report will not be finalized until the end of the Pilot Asset Management Plan Development (Phase 4). The results of Information System Improvement Plan will be presented along with the Pilot Asset Management Plan. Phase 3 deliverables: 3. Information System Improvement Plan Phase 4 - Pilot Asset Management Plan Development The purpose of Phase 4 is to provide a proof of concept pilot of the asset management program in a specific area of Carlsbad. The pilot will conduct the appropriate asset management processes and methodologies to build the Pilot Asset Management Plan. The list below outlines the tasks GHD will conduct to Implement asset management in the pilot area and produce the Pilot Asset Management Plan. 2 I GHD for City of Carlsbad Utilities Department 1 Carlsbad Asset Management Plan Development and Implementation Task 4.1 - Asset Data Consolidation GHD will consolidate information and asset data from information systems and available sources. The data will be reviewed for possible use in the pilot program. Task 4.2 - Data Gap Analysis / Asset Management Data Standards The data gathered in the previous phase will be reduced to include the assets and information for the pilot area. The asset data will be analyzed for missing information using asset management data standards and GHD will identify the data gaps. Mitigation strategies will be recommended in order to close the data gaps. GHD will recommend the appropriate data standards to be incorporated into Carlsbad's asset management program. Task 4.3 - Pilot Area Asset Register Building on the previous two tasks, GHD will create an asset register for the pilot assets. A workshop will be held to present the data gaps, data gap mitigation strategies and receive feedback from Carlsbad staff. This asset register will incorporate the asset management data standards and recommended data gap mitigation strategies. This asset register will be updated with information gathered or calculated during remaining tasks in Phase 4 (e.g., risk scores, valuation). The final asset register will be included as part of the Pilot Asset Management Plan. Task 4.4 - Levels of Service GHD will hold a workshop with Carlsbad staff to develop the strategic and tactical levels of service for the pilot area. The levels of service will incorporate the mission or goals of the entire Carlsbad Utilities Department and will include performance metrics for the pilot area. Using the information gathered in the workshop, GHD will work with Carlsbad staff to develop the levels of service and establish the procedures to track the performance in the pilot area. Task 4.5 - Risk Methodology and Risk Evaluation Building off the data In the asset register and incorporating new information from Carlsbad staff, GHD will perform a risk analysis for the pilot area assets. A workshop will be held with Carlsbad staff to introduce the concepts of risk and get staff input to build the methodology for the evaluation of failure modes, probability of failure, and consequence of failure. Using these methodologies, GHD will produce the initial risk results and risk maps and present them to Carlsbad staff In a second workshop to get feedback and make adjustments to the methodologies. GHD will document the methodologies used to produce the final risk results in a Risk Methodology report and the asset register will be updated with risk data for the pilot assets. Task 4.6 - Facility Condition Assessment Using information produced in previous tasks, GHD will perform facility condition assessments (FCA) on the facilities of the pilot area for the critical assets. Critical assets will include the high consequence of failure assets and others determined to be critical by GHD and Carlsbad staff. The FCA will include assessment of asset condition with respect to multiple failure modes, the use of a standardized condition assessment protocol, and the development of strategies to optimize the life or effectiveness of the assets. Condition assessments will include reoccurring maintenance issues, state of materials and equipment and recommended remedial works if required. GHD will conduct the FCA along with Carlsbad staff in order to provide training and get feedback on the condition assessment protocol and process. The results of the FCA will be incorporated into the asset register. Task 4.7 - Asset Valuation GHD will analyze Carlsbad data and calculate the estimated replacement costs for the pilot assets. A workshop will be held to review and finalized the cost information and develop the 3 I GHD for City of Carlsbad Utilities Department Carlsbad Asset Management Plan Development and Implementation strategies for rehabilitation and costs. The asset replacement costs for the pilot assets will be incorporated into the final asset register. Task 4.8 -Management Strategies GHD will review the assets in the pilot area and recommend management strategy groups for incorporation in the asset register. GHD will present the initial management strategies to Carlsbad staff in a workshop and work together to refine the management strategies. The workshop will include a discussion of rehabilitation efforts, along with replacement costs (Task 4.7). Task 4.9 - Renewal Modeling (Long-Range Investment Projection) Using all of the information from the previous tasks, GHD will forecast the future asset replacements and rehabilitations for all pilot assets. The modeling process will incorporate the management strategies and asset valuation from the previous two tasks to develop the funding needs of the pilot area for the next 100 years. In a workshop GHD will explain the modeling process to Carlsbad staff and present the initial results. Feedback will be gathered from staff and updated results will be produced. The updated results will be documented in the Pilot Asset Management Plan. Task 4.10 -CIP Project Validation Process The results from the renewal model (Task 4.9) will be organized into multiple (up to 5) capital or maintenance projects with the input of Carlsbad staff. These projects will be used as pilots to train Carlsbad staff on the CIP Project Validation Process. A workshop will be conducted to present the process and outline the involvement of staff. The process will include an evaluation of risks associated with the project, the project life cycle costs, and confidence rating in the data. The results will be combined into a business case evaluation to justify the need for the project. GHD will work closely with Carlsbad staff to analyze the information and build the business case documentation. Task 4.11 - Pilot Asset Management Plan The processes and information used in the tasks of Phase 4 will be combined into one document, the Pilot Asset Management Plan. The plan will outline the process taken to produce the results for the pilot area, the information gathered, the assets it includes, the associated risks, and the forecasted renewal results. GHD will develop the plan with input from Carlsbad staff. The plan will also include recommendations or improvements to the processes used to create the plan. In a workshop GHD will present the plan to Carlsbad staff and will gather feedback. GHD will modify the plan to incorporate the feedback and the final plan will be delivered. Phase 4 deliverables: 4. Pilot Area Asset Register 5. Risk Methodology Report 6. Management Strategies 7. Renewal Model Results 8. Project Business Case Evaluations 9. Pilot Asset Management Plan Phase 0 - Project Management GHD effort required for project progress meetings and other project related tasks are not Included in the fees of the previous phases and tasks. The Project Management phase is 4 I GHD for City of Carlsbad Utilities Department Carlsbad Asset Management Plan Development and Implementation created to account for the project-related time for coordination and communication with Carlsbad staff. This phase also includes any anticipated expenses throughout the first year of the project. YEAR 2 With the completion of Phase 1,2,3, and 4 in the first year, it is anticipated that Phase 5 will begin in the second year. Phase 5 - City-wide Implementation The purpose of Phase 5 will be to implement the asset management program for all Utilities Department assets (water, wastewater, storm water, and recycled water). Phase 5 will incorporate the tasks of Phase 4, but with modifications identified in the improvement plan of the Pilot Asset Management Plan or modifications to scale the pilot approach to more assets. Phase 5 will contain the same deliverables as Phase 4 unless determined by Carlsbad staff to be unnecessary. Phase 5 will conclude with the creation of the Department Asset Management Plan. Task 0 Project Management As included in Year 1, Year 2 will also include a Project Management Phase. This phase includes GHD effort required for project progress meetings and other project related tasks not included in the fees of Phase 5. The Project Management phase is created to account for the project-related time for coordination and communication with Carlsbad staff. This phase also includes any anticipated expenses throughout the first year of the project. 5 I GHD for City of Carlsbad Utilities Department Carlsbad Asset Management Plan Development and Implementation Section 2 Project Schedule The figure below outlines the proposed schedule for the phases and tasks of the project. The figure identifies anticipated dates of workshops and deliverables. The proposed schedule can be adjusted to fit the needs of Carlsbad. It is understood that delays in information delivery or workshops can delay the delivery of deliverables. The schedule only includes Year 1 phases and tasks. The schedule for Year 2 will be built based on an evaluation of Phase 4. Phase 1 - Asset Management Training 2012 2013 Nov Dec ian • Feb Mar May Jun Task 1.1-Asset IVianagement Training Workshop Workshop 1: Asset Management Training (2 half-day) Pliase 2 • Asset (N/lanageitient Program Assessment and Plan Frameworl< Task 2.1 - Review of Current Asset IVianagement Practices Task 2.2 - Staff InterviewfS Task 2.3 - Asset Management Program Assessment Results Task 2.4 - Asset IVianagement Improvement Plan/Roadmap Worl<shop 2: Asset Management Program Results Presentation Deliverable: Asset Management Program Assessment Report Deliverable: Asset Management Roadmap Phase 3 - Information System Plan Task 3.1 - Review of Current Information Systems Task 3.2 - Evaluation of Information Systems Functionality Workshop 2: Information Systems Functionality (will be combined with AM Program Results Presentation) Task 3.3 - Analysis of Multiple Improvement Options Task 3.4-Information System Improvement Strategy Workshop 9: Information System Improvement Plan Presentation Deliverable: Information System Improvement Plan Phase 4 - Pilot Asset IVianagement Plan Development Task 4.1- Asset Data Consolidation Task 4.2 - Data Gap Analysis / Asset Management Data Standards Task 4.3 - Pilot Area Asset Register Workshop 3: Asset Register/Data Gap Closure Deliverable: Asset Register Task 4.4 - Levels of Service Workshop 4: Strategic and Tactical Levels of Service Workshops Task4.5 - Risk Methodology and Risk Evaluation Workshop 5: Failure Modes/PoF/CoF Workshop 6: Risk Results & Maps Deliverable: Risk Methodology Report Task 4.6 - Facility Condition Assessment Deliverable: FCA Results Task 4.7 - Asset Valuation Task 4.8 - Management Strategies Workshop 7: Asset Valuation and Management Strategies Task 4.9- Renewal fitodeling (Long-Range Investment Projection) Workshop 8: Renewal Modeling Results Presentation Task 4.10-CIP Project Validation (Business Case Evaluation) Workshop 8: CIP Project Validathn (will be combined with Renewal Modeling Results Presentation) Task 4.11- Pilot Asset Management Plan Documentation Workshop 9: Pitot Asset Management Plan Presentation (wiil be combined with Information System Improvement Pbn Presentation) Deliverable: Pilot Asset Management Plan Legends: IP jTask Duration J Workshop/Presentation J Extended duration to accomodate feedback from AMP development J Deliverables 6 [ GHD for City of Carlsbad Utilities Department Carlsbad Asset Management Plan Development and Implementation Section 3 Project Fees The table below identifies the proposed fees for the phases and tasks of the project. The hours assigned for each task are grouped by employee position and the rate associated with that position. A breakdown of the employees in each position is presented below the fee table. Phase / Task Project Directors QA/QC Principal Management Consultant Management Consultant Senior Engineer Engineer iT Specialist Fotal Hours Fees Honrs Hours Fees Hours Fees Hours Fees Hours Fees $ 190 S 150 $ 150 S ip Yearl Phase 1 - Asset Management Training Task 1.1 - Asset Management Training Workshop 32 $ 7,2CO $ 7,200 Workshop 1: Asset Management Training Phase 2 - Asset IVianagement Program Assessment and Plan Framework Task 2.1 - Review of Current Asset Management Practices 32 $ 7,200 $ 7,200 Task 2.2 - Staff Interviews 16 $ 3,600 16 $ 2,400 $ 6,000 Task 2.3 - Asset Management Program Assessment Results 16 $ 3,600 16 $ 2,400 $ 6,000 Task 2.4 - Asset Management Improvement Plan/Roadmap 16 $ 2,400 24 $ 4,440 $ 6,840 Workshop 2: Asset Management Program Assessment Results Presentatio Deliverable: Asset Management Program Assessment Report 4 $ 760 $ 760 Deliverable: Asset Management Roadmap 4 $ 760 $ 760 Phase 3 - Information System Plan Task 3.1 - Review of Current Information Systems 12 $ 1,800 20 S 3,700 $ 5,500 Task 3.2 - Evaluation of Information Systems Functionality 4 $ 900 4 $ 600 24 S 22,200 $ 23,700 Workshop 2: Information Systems Functionality Workshop (will be combined with AM Program Assessment Results Presentation) Task 3.3 - Analysis of Multiple Improvement Options 40 S 7,400 $ 7,400 Task 3.4 - Information System Improvement Strategy 32 $ 5,920 $ 5,920 Workshop 9: Information System Improvement Workshop Deliverable: Information System Improvement Plan 4 $ 760 $ 760 Phase 4 - Pilot Asset Management Plan Development Task 4.1 - Asset Data Consolidation 4 $ 900 16 $ 2,400 24 $ 4,440 $ 7,740 Task 4.2 - Data Gap Analysis / Asset Management Data Standards 4 S 900 24 $ 3,600 $ 4,500 Task 4.3 - Pilot Area Asset Register 16 $ 3,600 40 $ 6,000 $ 9,600 Workshop 3: Asset Register/Data Gap Closure Deliverable: Asset Register 2 $ 380 $ 380 Task 4.4 - Levels of Service 16 $ 3,600 24 $ 3,600 $ 7,200 Workshop 4: Strategic and Tactical Levels of Service Workshop 7 I GHD for City of Carlsbad Utilities Department Carlsbad Asset Management Plan Development and Implementation Phase / Task Task 4.5 - Risk Methodology and Risk Evaluation Workshop 5: Failure Modes/PoF/CoF Workshop 6: Risk Results & Maps Deliverable: Risk Methodology Report Task 4.6 - Facility Condition Assessment (FCA) Deliverable: FCA Results Task 4.7 - Asset Valuation Task 4.8 - Management Strategies Workshop 7: Asset Valuation and Management Strategies Task 4.9 - Renewal Modeling (Long-Range Investment Projection) Workshop 8: Renewal Modeling Results Presentation Task 4.10-CIP Project Validation Process (Business Case Evaluation) Workshop 8: CIP Project Validation Process (will be combined with Renewal Modeling Results Presentation) Task 4.11 - Pilot Asset Management Plan Documentation Workshop 9: Pilot Asset Management Plan Presentation (will be combined with Information System Improvement Plan Presentation) Deliverable: Pilot Asset Management Plan Management Strategies Renewal Model Results Business Case Evaluations Improvement Plan Project Director & QA/QC Principal | Management; Management Consultant Senior Engineer IT Specialist Phase 0 Project Management and Direct Expenses Total Year 1 12 760 760 $ 2,280 24 8 4 20 20 32 $ 5,400 $ 1,800 $ 900 $ 4,500 $ 4,500 $ 7,200 40 16 12 8 80 24 32 $ 150 $ 6,000 $ 2,400 $ 1,800 $ 1,200 $ 12,000 $ 3,600 $ 4,800 16 24 16 16 20 12 $ 190 $ 3,040 $ 4,560 $ 3,040 $ 3,040 $ 3,800 $ 2,280 40 16 $ isoi $ 6,000 $ 2,400 $ 185 J S 14,440 760 12,960 9,040 5,140 17,260 11,900 14,280 2,280 $ 19,968 $ 215,488 8 I GHD for City of Carlsbad Utilities Department Carlsbad Asset Management Plan Development and Implementation Phase / Task Project Director & QA/QC Principal Management ^ Consultant Management Consultant Senior En{ jineer Engineer IT Specialist Total Hours Fees Hours fees Hours Fees Hours Fees Honrs Fees HOins Fees ... S 190 S 22S S 150 $ 150 • Year 2 Phase 5 - Qty-wide Implementation Task 5.1 - Asset Register 4 $ 760 16 $ 3,600 40 $ 6,000 $ 10,360 Task 5.2 - Levels of Service 12 $ 2,700 18 $ 2,700 $ 5,400 Task 5.3 - Risk Evaluation 4 $ 760 24 $ 5,400 32 $ 4,800 16 $ 3,040 $ 14,000 Task 5.4- Facility Condition Assessment Assistance 16 $ 2,400 24 $ 4,560 60 $ 9,000 $ 15,960 Task 5.5 - Asset Life Cycle Cost Evaluation 8 $ 1,800 12 $ 1,800 24 $ 4,560 24 $ 3,600 $ 11,760 Task 5.6 - Management Strategies 4 $ 9C0 8 $ 1,200 16 $ 3,040 $ 5,140 Task 5.7 - Renewal Modeling 4 $ 760 20 $ 4,500 60 $ 9,000 $ 14,260 Task 5.8 - CIP Validation Process 20 $ 4, SCO 24 $ 3,600 20 $ 3,800 $ 11,900 Task 5.9 - City-wide Asset Management Plan 12 $ 2,280 32 $ 7,200 32 $ 4,800 12 $ 2,280 $ 16,560 Phase 0 Project Management and Direct Expenses $ 7,901 Total Year 2 $ 113,241 Total Year 1&2 The total fee for Year 1 and Year 2 is $328,729. $ 328,729 91 GHD for City of Carlsbad Utilities Department Carlsbad Asset Management Plan Development and Implementation The table below identifies the key project staff and their position on the project. Position Staff Member Project Director & QA/QC Dawn Guendert Principal Management Consultant Colin Chung Principal Management Consultant Duncan Rose Management Consultant David Baranowski Management Consultant Iday Syachrani Senior Engineer Greg Watanabe Engineer Tim Beaman IT Specialist Sherry SpauJding 10 I GHD for City of Carlsbad Utilities Department