HomeMy WebLinkAboutSCS Tracer Environmental; 2010-05-11;AGREEMENT FOR THREE YEAR AUDIT OF THE PSM/RMP/CalARP PROGRAM
SCS Tracer Environmental
. .-THIS AGREEMENT is made and entered into as of the _ / / __ day
of _ L/^,c^ __ 2010, by and between the CARLSBAD MUNICIPAL
WATER DISTRICT, aJPublic Agency organized under the Municipal Water Act of 1911, and a
Subsidiary District of the City of Carlsbad, referred to as ("CMWD"), and SCS Tracer
Environmental, a Corporation, ("Contractor").
RECITALS
CMWD requires the professional services of a contractor that is experienced in
PSM/RMP/CalARP audits. Contractor has the necessary experience in providing these
professional services, has submitted a proposal to CMWD and has affirmed its willingness and
ability to perform such work.
NOW, THEREFORE, in consideration of these recitals and the mutual covenants
contained herein, CMWD and Contractor agree as follows:
1. Scope of Work. CMWD retains Contractor to perform, and Contractor agrees to render,
those services (the "Services") that are defined in Exhibit "A", attached and incorporated by this
reference in accordance with the terms and conditions set forth in this Agreement.
2. Term. This Agreement will be effective for a period not to extend past July 30, 2010.
Contractor agrees to complete the audit no later than June 30, 2010 and have the report
completed no later than July 30, 2010.
3. Compensation. The total fee payable for the Services to be performed will be Two
Thousand Nine Hundred Ninety dollars ($2,990.00). No other compensation for the Services will
be allowed except for items covered by subsequent amendments to this Agreement. CMWD
reserves the right to withhold a ten percent (10%) retention until CMWD has accepted the work
and/or the Services specified in Exhibit "A."
4. Status of Contractor. Contractor will perform the Services as an independent contractor
and in pursuit of Contractor's independent calling, and not as an employee of CMWD.
Contractor will be under the control of CMWD only as to the results to be accomplished.
5. 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 early termination of this Agreement.
6. Insurance. Contractor will obtain and maintain policies of commercial general liability
insurance, automobile liability insurance, a combined policy of workers' compensation,
employers liability insurance, and professional liability insurance from an insurance company
authorized to transact the business of insurance in the State of California which has a current
General Counsel Approved Version #05.06.08
rating in the Best's Key Rating guide of at least A- VII 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", in an amount of not less than one million dollars ($1,000,000)) each, unless
otherwise authorized and approved by the General Counsel or the Executive Manager.
Contractor will obtain occurrence coverage, excluding Professional Liability, which will be written
as claims-made coverage. The insurance will be in force during the life of this Agreement and
will not be canceled without thirty (30) days prior written notice to the CMWD by certified mail.
CMWD and the City of Carlsbad will be named as additional insureds on General and
Automobile liability. Contractor will furnish certificates of insurance to CMWD, with
endorsements to CMWD prior to CMWD's execution of this Agreement.
7. Conflict of Interest. CMWD will evaluate Contractor's duties pursuant to this Agreement
to determine whether disclosure under the Political Reform Act and CMWD's Conflict of Interest
Code is required of Contractor or any of Contractor's employees, agents or subcontractors.
Should it be determined that disclosure is required, Contractor or Contractor's employees,
agents, or subcontractors will complete and file with the Secretary of the Board those schedules
specified by CMWD and contained in the Statement of Economic Interests Form 700.
8. Compliance With Laws. Contractor will comply with all applicable local, state and federal
laws and regulations prohibiting discrimination and harassment and will obtain and maintain a
City of Carlsbad Business License for the term of this Agreement.
9. Termination. CMWD or Contractor may terminate this Agreement at any time after a
discussion, and written notice to the other party. CMWD will pay Contractor's costs for services
delivered up to the time of termination, if the services have been delivered in accordance with
the Agreement.
10. Claims and Lawsuits. By signing this Agreement, Contractor agrees it may be subject to
civil penalties for the filing of false claims as set forth in the California False Claims Act,
Government Code sections 12650, et seq., and Carlsbad Municipal Code Sections 3.32.025, et
seq. Contractor further acknowledges that debarment by another jurisdiction is grounds for the
Carlsbad Municipal Water District to terminate this Agreement.
11. Venue and Jurisdiction. Contractor agrees and stipulates that the proper venue and
jurisdiction for resolution of any disputes between the parties arising out of this Agreement is the
State Superior Court, San Diego County, California.
12. Assignment. Contractor may assign neither this Agreement nor any part of it, nor any
monies due or to become due under it, without the prior written consent of CMWD.
13. Amendments. This Agreement may be amended by mutual consent of CMWD and
Contractor. Any amendment will be in writing, signed by both parties, with a statement of
estimated changes in charges or time schedule.
General Counsel Approved Version #05.06.08
14.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
*By:
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(e-mail address)
*By:
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CARLSBAD MUNICIPAL WATER
DISTRICT, a Public Agency organized
under the Municipal Water Act of 1911,
and a Subsidiary District of the City of
Carlsbad
Executive Manager
ATTEST:
^Uf,eiary
M.WO0D) '
If required by CMWD, 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,
CFOor
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, General Counsel
Deputy General Counsel Deputy City Attorney
General Counsel Approved Version #05.06.08
Environmental Consultants
and Contractors
970 Los Vallacitos Blvd.
Suite 100
San Marcos, CA 92069
760 744-9611
FAX 760 744-8616
www.scsengineers com
SCS TRACER ENVIRONMENTAL
Formerly Tracer Environmental Sciences & Technologies, Inc.. now a part of SCS Engineers.
To: Steve Plyler, Carlsbad Municipal Water District (Steven.Plyler@CarlsbadCA.gov)
cc: Jase Warner, Carlsbad Municipal Water District (Jase. Warner@CarlsbadCA.gov)
From: Jake Tilley, SCS Tracer Environmental (itillev@scsengineers.com)
Date: March 31,2010
Re: Proposal for PSM/RMP Three-Year Compliance Audit - Maerkle Dam Facilities
SCS Tracer Environmental is pleased to submit this cost proposal to perform a three-year audit of the
PSM/RMP/CalARP program regarding the Maerkle Dam Facilities that are operated by the City of
Carlsbad Municipal Water District. The subtasks required to complete the audit are detailed below.
The audit will focus on the chlorine water treatment processes (Upper and Lower Maerkle Stations)
and will be performed in accordance with the requirements of the following regulations:
• Process Safety Management (PSM): Cal-OSHA CCR Title 8, Section 5189
• Risk Management Program (RMP): EPA CFR Title 40, Part 68
• California Accidental Release Prevention (CalARP) program: OES CCR Title 19, Division 2,
Chapter 4.5
Specifically, the Compliance Audits section of the aforementioned regulations will be used to
investigate whether the risk management procedures and practices in place under the
PSM/RMP/CalARP standards are adequate and are being fully implemented.
Each of the above standards requires that the risk management program in place at the
Maerkle Dam facilities be audited every 3 years. The previous compliance audit was completed
in June 2007; therefore, the next audit is due by June 2010.
An effective audit includes a review of the relevant documentation and safety information, inspection
of the physical site, and interviews with all levels of facility personnel. Utilizing the audit procedures
developed by OSHA and EPA, the audit will systematically analyze compliance with all aspects of the
regulation.
SCS Tracer Environmental proposes to perform the PSM/RMP/CalARP Program Audit in two
phases: 1) on-site facility audit and 2) report preparation. SCS Tracer will have a senior
engineer at the Carlsbad Municipal Water District offices to examine existing documentation and
programs. In addition, SCS Tracer will interview employees and contractors as needed to ensure
proper implementation of the programs. Following the on-site audit, SCS Tracer will prepare a
report that recommends items to improve implementation of the risk management programs.
The following outlines in detail the two subtasks required to complete the audit.
SCS Tracer Environmental
970 Los Vallecitos Boulevard, Suite 100 • San Marcos, CA 92069
760-744-9611 • 760-744-8616 FAX
SCS TRACER ENVIRONMENTAL
Page 2 of 4
Mr. Stevo Piyler
March 31. 2010
On-Site Facility Audit
A senior engineer from SCS Tracer will spend a day with Carlsbad Municipal Water District personnel
to examine existing documentation of programs in place and to conduct a site inspection at the
Maerkle Dam facilities. The OSHA and EPA audit forms will be used to review existing
documentation for compliance with the elements of the PSM, RMP, and CalARP regulations.
Examples of facility documentation that will be reviewed include, but are not limited to, the following
items:
Emergency Response Action Plan (emergency drill records)
Management of Change records
Contractor Safety records (chemical supply vendors)
Incident Investigation Program
Training Program/Records
Process Hazard Analysis (recommendations and implementation status)
Piping & Instrumentation Diagrams (P&IDs)
Operating Procedures
Maintenance Procedures/Schedule
Preventive Maintenance Records
RMP & CalARP Submittal Documentation
In addition to the documentation review, SCS Tracer will interview employees that work with (or
near) the chlorine processes to ensure that the programs at the facilities have been implemented. The
interview sessions will occur during the site visit. If contractors are on site, SCS Tracer will also
interview their employees. If contract employees are not on site during the audit period, SCS Tracer
may conduct a telephone interview with one or more of the contractors as needed.
Report Preparation
Following the audit, SCS Tracer will prepare the audit report. The audit report will contain the
completed audit forms and results from the on-site audit. The report will be organized as follows:
1. Introduction
2. Audit Methodology
3. Recommendations
4. Implementation Plan
5. Audit Forms
In accordance with the regulation, a facility must include a plan and schedule for implementing the
corrective actions. SCS Tracer will prepare a schedule for completion of recommendations,
assignment of facility personnel to implement recommendations, and follow-up documentation that
the recommendations have been resolved.
SCS Tracer Environmental
970 Los Vallecitos Boulevard, Suite 100 • San Marcos, CA 92069
760-744-9611 • 760-744-8616 FAX
SCS TRACER ENVIRONMENTAL
Page 3 of 4
Mr. Steve Plyler
March 31. 2010
The list of recommendations will identify deficiencies in the documentation / records and will
comprise a list of action items needed to reach full compliance status with the regulations.
Audit Costs
The fixed-fee costs to perform the aforementioned tasks for the PSM/RMP/CalARP audit for the
Carlsbad Municipal Water District Maerkle Dam Facilities are outlined below:
Task
1 Prep /On-Site Audit
2 Report Preparation
Time
Senior Engineer:
Senior Engineer:
Audit Reviewer:
8 hours <s>
22 hours <<
2 hours @
$90.00/hour
» $90.00/hour
$l25.00/hour
Other Direct Costs (travel, supplies, shipping, etc.)
Audit Total
Cost
$ 720
$
$
$
$
1,980
250
40
2,990
NOTE: Please note that any revisions or updates to the PSM/RMP/CalARP programs are not
included in this proposal.
Standard Terms: Refer to the attached SCS Tracer Environmental - Standard Terms &
Conditions.
SCS Tracer Environmental appreciates the opportunity to submit this proposal which is valid for 60
days. Please sign below to initiate project and/or provide a Purchase Order number. If you have any
questions, please feel free to contact me at 760-744-9611 x!31.
Sincerely,
SCS Tracer Environmental
Jake Tilley
Senior Engineer - Risk Management
Lee Pyle
Program Manager
SCS Tracer Environmental
970 Los Vallecitos Boulevard, Suite 100 • San Marcos, CA 92069
760-744-9611 • 760-744-8616 FAX
SCS TRACER ENVIRONMENTAL
Page 4 of 4
Mr. Steve Plyler
March 31. 2010
To be completed by the City of Carlsbad Municipal Water District for project authorization:
I, as an agent of the City of Carlsbad Municipal Water District, agree to the scope of work
listed above in this letter. I hereby authorize SCS Tracer Environmental to proceed with
the Three-Year Compliance Audit for the Maerkle Dam Facilities.
Project Approved By:_
Print Name Signature
Title
Project Total $ 2,990
Date
P.O#
SCS Tracer Environmental
970 Los Vallecitos Boulevard, Suite 100 • San Marcos, CA 92069
760-744-9611 • 760-744-8616 FAX