HomeMy WebLinkAboutSan Diego County Water Authority; 2014-05-12;First Amendment to Agreement
The Reimbursement Agreement Between the Carlsbad Municipal Water District and the San
Diego County Water Authority for the Carlsbad 5 Service Connection Facility Planning Study,
which was executed on May 12,2014 (Agreement), is amended effective ~H.NV B ~dOL~ ,
2016.
Purpose of Amendment:
Carlsbad has requested an addition to the scope of work, namely that the design of the Carlsbad 5
Flow Control Facility and Pressure Reducing Valve (Project) be added to the original scope of
work. This amendment addresses the addition to the scope of work and the increased
reimbursement for the work.
The Agreement is amended as follows:
1. Revise the title of the Agreement to add design and revise the facility name as follows:
Reimbursement Agreement between the Carlsbad Municipal Water District and the San
Diego County Water Authority for the Planning and Design of the Carlsbad 5 Flow Control
Facility and Pressure Reducing Valve
2. Section I, Description of Partnering Agencies, is amended to change the name of the
agreement pursuant to which desalinated water will be sold to the District and bought from the
Water Authority from "Member Agency Purchase Contract" to "Uniform Contract Between the
San Diego County Water Authority and City of Carlsbad for the Purchase of Treated Water
from the Carlsbad Desalination Project."
3. Section IV, Cost Reimbursement is amended as follows:
1. Paragraph A:
The District shall reimburse the Water Authority for its actual cost to complete the work
described in Attachment A -Scope of Work and within this Agreement. The estimated cost
for the planning study and the design of the Project, including all environmental permitting
and property acquisition, is approximately $1,014,300. If the construction of the Project is
delayed for an extensive period of time, the final design may need to be updated to meet
current codes and requirements. The District will pay the costs to modify the final design.
11. Add Paragraphs C, D, and E, as follows:
C. If District desires the Water Authority to terminate work at any time during design,
District will reimburse the Water Authority for all costs incurred through the date of
notification.
D. Deposit Schedule: Estimated costs for planning and design of the Project are shown in
Exhibit C-1. District will deposit with the Water Authority $1 ,014,300 within thirty (30)
calendar days of the execution of this Agreement.
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E. Project Cost Accounting: The Project cost accounting will be performed by the Water
Authority at the following milestones:
1. Phase 1: Completion of the Planning Study, Final Design, Environmental Review
and Property Acquisition for the Project.
2. Upon completion of Phase I, the Water Authority will provide an accounting report
to District detailing the costs.
2.1 If District's share of actual costs is more than the deposits, District will,
within thirty (30) calendar days of its receipt of an invoice representing the
results of the cost accounting, make full payment to the Water Authority of
all undisputed amounts. Any payment not made will be subject to a
delinquency charge of two (2) percent of the delinquent payment for each
month, or portion thereof, after said thirty (30) calendar days that the
payment remains delinquent; provided that disputed amounts shall not be
considered due until District and the Water Authority agree on the amount
actually due. If the delinquency does not exceed five (5) business days, the
charge shall be equal to one ( 1) percent of the delinquent amount; or
2.2 If the District's share of actual costs is less than deposits, the excess amount,
without interest, will be refunded by the Water Authority to the District
within 40 calendar days of the Water Authority providing final accounting to
the District.
3. Water Authority will retain detailed records from which costs are calculated for a
period of three (3) years from the date of the final invoice, and will be available for
verification by District. If District determines an audit is necessary, it will be
completed at District's expense during the three (3) year period. If any adjustments
are recommended by the audit, payment shall be made to the party, in accordance
with such recommendations. Payment shall be made within thirty (30) calendar days
of receipt an invoice resulting from the audit.
4. Amend Section V, Roles and Responsibilities of the Parties
1. Paragraph A is amended as follows:
A. Water Authority agrees to provide all labor and services necessary to complete the
planning study and design as described in Attachment A-Scope of Work and as
described below.
11. Add Paragraphs C and D as follows:
C. District will perform the following:
1. Review and provide written comments on plans, specifications, studies, reports, and
other documents provided by the Water Authority for the Project within twenty (20)
2
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working days of receipt. District's review shall not be unreasonably delayed or
withheld. If the District does not respond within the time stated herein, it will be
understood by the Parties that no District comment is forthcoming and the Water
Authority will proceed.
2. Assign a Project Manager to the Project to be the Water Authority's single point of
contact during planning and design of the Project.
D. The Water Authority will perform the following:
1. Provide all labor and services necessary to complete the planning study and design of
the Project.
2. Carlsbad 5 Flow Control Facility will be designed to Water Authority's standards
and the Pressure Reducing Valve will be designed to the District's standards.
3. Assign a Project Manager to be the District's single point of contact during the
planning and design of the Project.
4. Provide ten ( 1 0) calendar days' notice of meetings and other project related
occurrences.
5. Develop Request for Proposals, Notice of Inviting Bids, and select contractors to
provide the planning study, preliminary design, and final design services for the
Project.
6. Water Authority is the lead agency for the preparation and finalization the
environmental document(s) required by the Project.
7. Provide to the District, for review and comment, two (2) hard copies and one (1)
electronic copy of the design report, construction drawings and specifications, and
construction cost estimates.
8. Acquire any temporary construction easements and all other fee property for the
Project prior to the completion of design.
9. For the outlet piping, a buried monolithic insulating joint with butt straps will be
designed on the property line at the easterly limits of the Water Authority property
for change in ownership.
5. Add the following new Section VI, Facilities and Access Right of Way as follows and
renumber the consecutive sections.
VI. Facilities and Access Right of Way
A. The Carlsbad 5 Flow Control Facility will be located on property on the north side of
Lionshead A venue just west of Business Park Way in the City of Carlsbad as shown on
Exhibits A-1 and B-1 attached hereto and made a part of this Agreement. This property is
3
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currently privately owned. The Water Authority will purchase the property in fee, pursuant
to the terms of this Agreement. Facility access will be from adjacent public streets. The
Water Authority will retain ownership of the property.
B. The Pressure Reducing Valve will be located on property immediately adjacent to the
Carlsbad 5 Flow Control Facility as shown on Exhibits A-1 and B-1. This property is
currently privately owned but will be purchased in fee by the Water Authority, pursuant to
the terms of this Agreement and quitclaimed to the District upon completion of the Project.
The District will then own the property in fee. Facility access will be from adjacent public
streets.
C. Any landscaping required by the District outside of the Water Authority's property line of
the Carlsbad 5 Flow Control Facility shall be installed, owned and maintained by the
District. All landscaping shall be approved by the Water Authority and shall not impact the
integrity, security, operation, and maintenance of the Carlsbad 5 Flow Control Facility.
6. Delete Paragraph VII, Term in its entirety and revise the numbering of the consecutive sections.
7. Amend Section IX, Notice as follows:
1. Notice is amended to revise the Parties for the Water Authority and the District as follows:
With a copy to:
San Diego County Water Authority
4677 Overland A venue
San Diego, CA 92123
Attention: Director of Engineering
Carlsbad Municipal Water District
1635 Faraday Avenue
Carlsbad, CA 92008
Attention: Director of Engineering
City of Carlsbad
Carlsbad Municipal Water District
1200 Carlsbad Village Drive
Carlsbad, CA 92008
Attention: General Counsel
All other terms, covenants, and conditions of the Agreement, as amended, shall remain in
full force and effect and shall be applicable to this First Amendment.
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IN WITNESS WHEREOF, the parties have executed the First Amendment to Agreement as
of the date written above.
San Diego County Water Authority
Approved as to form:
Rosann Gallien
Bepaty Oenetal Couftsd
~-----By: ____ ~---------------------
Hat tam
Counsel
5
Carlsbad Municipal Water District
By:
Attest:
Matt Hall
President
By.~~
Secretary
Approved as to form:
Heather L. Stroud
Deputy General Counsel
P:\K0307-Carlsbad 5 SC\000-General Finance\002-Agreements\Carlsbad 5 FCF\First Amendment-Carlsbad 5 FCF-Final.docx
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ESTIMATED PROJECT COSTS
Estimated Total for Planning and Design:
8
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Cost
$161,300
$450,000
$205,000
$198,000
$1,014,300
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Facility Planning Study
This Agreement is made this IZ day of Api*, 2014, by and between the Carlsbad Municipal Water
District (District) and the San Diego County Water Authority (Water Authority) regarding payment by the
District to the Water Authority for cost of services to prepare a facility planning study defining project
requirements for the Carlsbad 5 Service Connection that will be used to deliver product water from
Carlsbad Desalination Project directly to the District.
I. Description of Partnering Agencies
A. Under this Agreement, District is defined as the Water Authority member agency providing
retail water service to the City of Carlsbad and the recipient of product water from the Carlsbad
Desalination Project delivered in accordance with a future Member Agency Purchase Contract.
B. Under this Agreement, Water Authority is defined as the entity providing product water from
the Carlsbad Desalination Project to the District in accordance with a future Member Agency
Purchase Contract, the owner and operator of the facilities required to deliver such product
water, and the lead agency for preparation of the facility planning study described herein.
II. Purpose for Agreement
District agrees to pay for the services performed by the Water Authority to prepare a Facility Planning
Study for the future Carlsbad 5 Service Connection. Water Authority agrees to perform the services
described in Attachment A - Scope of Work.
III. Recitals
A. On September 13, 2011 the City of Carlsbad, District, and Water Authority executed the
"Agreement Memorializing Certain Understandings and Establishing a Framework for
Cooperation Regarding a Desalination Project Located in the City of Carlsbad" (Framework
Agreement). Among other terms, the Framework Agreement obligated the Water Authority to
construct a tee and blind flange connection to the Carlsbad Desalination Project Product Water
Conveyance Pipeline for the purposes of serving a future service connection.
B. On November 27, 2012, the District approved a resolution of intent to purchase 2,500 acre-feet
annually of desalinated product water from the Water Authority. The purchase price and other
terms for the delivery of desalinated product water to the District will be pursuant to a future
Member Agency Purchase Contract between the District and the Water Authority.
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Facility Planning Study
C. On October 28, 2013, the District and Water Authority executed the "Letter Agreement for the
Reimbursement of Costs by the Carlsbad Municipal Water District to the San Diego County
Water Authority for Design and Construction for a New Turnout to the Carlsbad Desalination
Project Product Water Conveyance Pipeline" (Letter Agreement). This Letter Agreement
memorializes District's request to relocate the new turnout and defines the terms for District to
reimburse the Water Authority for costs to construct additional facilities beyond the obligations
of the Water Authority as defined in the Framework Agreement. The facilities to be
constructed under the Letter Agreement shall be collectively referred to herein as the Carlsbad
Desalination Turnout Structure.
D. The District has requested the Water Authority prepare a facility planning study to define the
project requirements to meter and control flow from the Carlsbad Desalination Turnout
Structure up to and including the future Carlsbad 5 Service Connection. These project
requirements generally include new piping, isolation and control valving, metering,
instrumentation and controls, structures to house all mechanical and electrical equipment,
property acquisition needs, site access, environmental assessment and permitting.
E. The scope of this Agreement covers the Planning Study. The term of the Agreement concludes
with acceptance of the final Planning Study by the District and Water Authority. Any future
design and construction as a result ofthe final Planning Study will be addressed under a new
agreement between the District and Water Authority.
The Recitals are incorporated herein and the parties agree as follows:
IV. Cost Reimbursement
A. The District shall reimburse the Water Authority for its actual cost of services to complete the
work described in Attachment A - Scope of Work. The estimated cost to perform these services
is an amount not to exceed $95,000. The District shall, within thirty (30) calendar days of
receipt of an invoice for work performed, pay this amount to the Water Authority.
B. If at any time the Water Authority anticipates that its actual cost will exceed the estimated cost,
the Water Authority shall notify the District in writing. This written notification shall include a
new cost estimate and the basis for the cost increase. Within thirty (30) calendar days of receipt
of a request for additional funds, the parties will prepare a written amendment indicating the
new cost estimate. No other compensation for the services provided by the Water Authority
will be allowed, except for items covered by subsequent amendments to this Agreement. Any
amounts not paid within thirty (30) calendar days of receipt of invoice for work performed shall
be considered delinquent, and the Water Authority, at its sole discretion, may stop work.
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Facility Planning Study
v. Roles and Responsibilities
A. Water Authority agrees to provide all labor and services necessary to complete the Planning
Study as described in Attachment A - Scope of Work.
B. At its own cost and discretion. District agrees to participate in project team meetings,
participate in consultant selection by Water Authority and provide deliverable reviews during
execution of the Planning Study. Water Authority will provide notice of meetings, consultant
selection, and other related events to District. Deliverable reviews shall be within a reasonable
timeframe as established by the parties.
VI. Indemnification
District will defend, indemnify, and hold harmless the Water Authority, its officers, agents and
employees from and against any and all claims, demands, liability for any damages, costs (including
reasonable attorneys' fees) and expenses arising out ofthe Water Authority's performance underthis
Agreement. The District's duty to defend, indemnify, and hold harmless shall not include any claims or
liabilities arising out of the active negligence, sole negligence, or willful misconduct of the Water
Authority, its officers, agents or employees.
VII. Term
The Agreement is effective when signed by the last party and shall terminate on December 31, 2015.
The Agreement may be extended by written agreement executed by both parties.
VIII. Early Termination
Either party may terminate this agreement by giving the other party 30 days written notice. All services
provided by the Water Authority up to the date of notice of termination shall be paid for by District.
IX. Notice
Any notice, payment, credit or instrument required or permitted to be given hereunder will be deemed
received upon personal delivery or 24 hours after deposit in any United States mail depository, first class
postage prepaid, and addressed to the party for whom intended as follows:
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Facility Pianning Study
If to the WATER AUTHORITY: San Diego County Water Authority
4677 Overland Avenue
San Diego, CA 92123
Attn: Steve Simon
If to DISTRICT: Carlsbad Municipal Water District
1635 Faraday Avenue
Carlsbad, CA 92008
Attn: David Ahles
Either party may change such address by notice given to the other party as provided herein.
X. AMENDMENTS
The Agreement may be amended by written agreement executed by both parties.
XI. ASSIGNMENT
Neither party shall assign, sublet or transfer this Agreement or any rights under or interest in this
Agreement without written consent ofthe other party.
XII. SEVERABILITY
The partial or total invalidity of one or more parts of this Agreement will not affect the intent or validity
ofthis Agreement.
XIII. GOVERNING LAW
This Agreement shall be deemed a contract under the laws of the State of California and any action
regarding this Agreement shall be brought in federal or state court in San Diego County.
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Faciiity Planning Study
XIV. SIGNATURES
The individuals executing this Agreement represent and warrant that they have the legal capacity and
authority to do so on behalf of their respective legal entities.
IN WITNESS WHEREOF, the parties have executed this Agreement as of Nytt^l^-
Carlsbad Municipal Water District
By
Moivifi anri Titlo ^ Name and Title
Approved as to form:
' XP.k OA By:
Ronald Kemp, Assistant General Counsel
San Diego County Water Authority
By:,
Maureen A. Stapleton
General Manager
Approved as to form:
Bv: QocoCXj^f^-^^A^^'^
Daniel S. HentschMe, General Counsel
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Facility Planning Study
ATTACHMENT A - SCOPE OF WORK
The Carlsbad 5 Service Connection Facility Planning Study (Planning Study) consists ofthe
analysis ofthe design, environmental compliance and permitting, land acquisition and
construction requirements to implement new facilities to deliver product water from the
Carlsbad Desalination Conveyance Pipeline Turnout Structure (Turnout Structure) to the future
Carlsbad 5 Service Connection (CR 5).
In general, the work to be completed under this Scope of Work consists of:
• Identifying design and operational requirements
• Siting of the flow control facility
• Evaluating pipeline alignment from the Turnout Structure to the service connection
• Identifying right of way acquisition needs
• Preparing an assessment of geotechnical concerns related to open trench construction
of pipeline and construction of new flow control facility structure
• Preparing conceptual plan and profile drawings of connection to the Turnout Structure,
pipeline alignment, and flow control facility
• Preparing opinions of total project costs and schedule estimates for project
implementation
The project location is shown in Exhibit A.
The results and conclusions ofthe Planning Study shall be provided in a Final Report. The
Planning Study will be used to support the CEQA process; however, the services to be provided
in this Scope of Work do not extend beyond preparation of the Final Report.
1.1 FIELD RECONNAISSANCE, DATA COLLECTION, AND UTILITY SEARCH
1.1.1 Perform a site visit to become familiar with the proposed project area
specifically looking to identify any apparent features that may impact the
design, access, and constructability ofthe project.
1.1.2 Review the most current detailed design drawings for the Carlsbad Desalination
Project Product Water Conveyance Pipeline.
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Facility Planning Study
1.1.3 District shall provide and Water Authority will review existing aerial surveying
and mapping data to develop topography for preliminary drawings and
hydraulic analysis.
1.1.4 Collect utility maps and easement information regarding abandoned, existing,
and proposed utilities within the project area. Review utility maps to determine
potential conflicts with proposed alignments. Coordinate utility search and
conflict resolutions with the appropriate agencies. Identify locations of utilities
having a critical relationship to the project.
1.1.5 Identify jurisdictional boundaries, property ownership, and easements of public
agencies and utilities within the project area.
1.1.6 Based on aerial survey data and site reconnaissance, identify areas with distinct
topographic features or existing natural features that could affect permitting or
constructability ofthe proposed facilities.
1.2 DESIGN AND OPERATIONAL REQUIREMENTS
1.2.1 Review terms of the Board-Adopted Uniform Member Agency Purchase
Contract as it relates to delivery requirements for District's annual purchase of
water. Develop minimum and maximum flow range for CR 5 operation that
meets the anticipated terms of the final Member Agency Purchase Contract and
Water Authority and District operational needs.
1.2.2 Based on flow ranges determined from task 1.2.1 and the expected differential
pressure through the project facilities, develop recommend sizing, type, and
material for pipe, valves, meters, and other appurtenant equipment.
1.2.3 Develop operations and maintenance access needs to the facility and
serviceable equipment.
1.2.4 Identify remote monitoring and control needs for all mechanical equipment.
1.3 PLANNING-LEVEL ASSESSMENTS
1.3.1 CR 5 Facilitv Configuration: Based on design and operational needs determined
from task 1.2, develop a schematic representation ofthe mechanical equipment
requirements for CR 5.
1.3.2 CR 5 Preliminary Design: Develop facility layout incorporating all mechanical
equipment requirements. Facility must also incorporate adequate maintenance
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Facility Planning Study
access to perform routine servicing and equipment removal and replacement
consistent with Water Authority standards.
1.3.3 Right of Wav Evaluation and Acquisition: Identify temporary and permanent
easement and fee acquisitions required for construction and ongoing operation
and maintenance for pipeline and flow control facility, including access roads for
construction and maintenance. Public and private entities such as counties,
cities, utilities, land owners, and developers in the project area. These entities
shall be contacted to identify existing and planned land uses, compatibility of
publicly owned lands with project use, areas under development or proposed
for development, and any restrictions on land use.
1.3.4 Geotechnical Investigation: Through historical records search and non-invasive
site reconnaissance, identify any critical surface or subsurface information that
could impact design and construction costs.
1.3.5 Environmental and Permitting Issues: Assess potential biological, cultural
resources, and community related impacts associated with the construction and
operation ofthe proposed project.
1.4 CONCEPTUAL DESIGN
1.4.1 Preparation of Plan and Profile Drawings: Based on the findings of previous
tasks, prepare a scaled set of preliminary plan and profile drawings for the
pipeline and flow control facility
1.4.2 Hvdraulic Analvsis: Prepare a steady state hydraulic analysis under minimum
and maximum flow range to confirm adequate sizing of all piping and
mechanical equipment. Identify requirements and criteria for drain and fill
operations. Analyze and recommend areas where air and vacuum valves are
required.
1.4.3 Surge Analvsis: Identify possible transient conditions and any surge control
facilities or equipment required to mitigate the transient condition.
1.5 COST ESTIMATES AND IMPLEMENTATION SCHEDULES
1.5.1 Preliminary Cost Estimate: Prepare preliminary construction cost opinion.
Provide documentation to support the basis for costs, exclusions, allowances,
contingencies, assumptions, and any other relevant cost items.
The cost estimates shall be prepared following the Association for the
Advancement of Cost Engineering International (AACEI) Recommended Practices
Reimbursement Agreement between the Carlsbad Municipal Water
District and the San Diego County Water Authority for the
Carlsbad 5 Service Connection Facility Planning Study
No. 17R, Cost Estimate Classification System -As Applied in Engineering,
Procurement, and Construction for the Process Industry. The cost estimate shall be
prepared at the Class 4 estimate level. The pertinent sections ofthe Water
Authority's Draft Cost Estimating Guidelines, which follows the AACEI guidelines,
shall be provided to contractor.
1.5.2 Prepare a project implementation schedule incorporating time estimates for
environmental compliance and permitting, detailed engineering, construction and
start-up.
1.6 FINAL REPORT
1.6.1 Develop a draft, draft final, and final report summarizing the findings of all tasks
presented in this scope. Submit each report for project team and review and
provide all necessary revisions following project team review.