HomeMy WebLinkAbout2011-03-22; Municipal Water District; Resolution 14161
RESOLUTION NO. 1416
2
A RESOLUTION OF THE BOARD OF DIRECTORS OF CARLSBAD
3 MUNICIPAL WATER DISTRICT (CMWD) TO APPROVE AND
AUTHORIZE A JOINT LOBBYING AND COST SHARING
4 AGREEMENT TO FUND SERVICES FROM "THE FURMAN GROUP"
TO OBTAIN A GRANT FROM BUREC TITLE XVI FUNDING
5 PROGRAM
6 WHEREAS, on July 7, 2009, through adoption of Resolution No. 1363, the Board
approved a professional engineering services agreement with Carollo Engineers for preparation
of a recycled water master plan update, and Phase III Recycled Water Feasibility Study reports,8
Project No. 5022; and
9
WHEREAS, the Board has approved funding in the amount of $672,468 for the recycled
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water master plan and Phase III Feasibility Study reports, Project No. 5022, which includes a
11 San Diego County Water Authority Local Investigations and Studies Assistance (LISA) grant in
12 the amount of $170,500 which is available to provide for a matching total cost share for the
reports; and
14 WHEREAS, in June 2010, the City's Utilities Department Director, on behalf of CMWD,
•1C entered into an agreement, which was ratified by the Board on December 14, 2010, with ten
water and wastewater agencies to retain the engineering consultant, RMC, to develop a
17 comprehensive report to maximize the use of recycled water referred to as the North San Diego
18 County Recycled Water Project II, and to pay CMWD's equal cost share in the amount not to
1 g exceed of $16,390; and
2Q WHEREAS, the Board desires to obtain a 25% project cost grant which would be
authorized under Bureau of Reclamation (BUREC) policy Title XVI of Public Law 102-575, as
amended by Public Law 104-266 for the "North San Diego County Regional Recycled Water
22
Project" (NSDCRRWP); and
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WHEREAS, Olivenhain Municipal Water District has obtained a proposal from "The
Furman Group" to provide assistance in promoting and supporting new legislation that would
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authorize up to a $20 million BUREC policy Title XVI Grant for north San Diego County water
26 and wastewater agencies which would include CMWD's Phase III Water Recycling Project; and
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1 WHEREAS, Olivenhain Municipal Water District has submitted a Joint Lobbying and
2 Cost Sharing Agreement to share equally in the cost of "The Furman Group" expenses for each
3 participating agency with the understanding that there would be no refund of any monies
already paid by any agency if it decides to terminate its participation in the agreement, and the
remaining agencies agree to adjust their future cost share on an equal basis among theo
remaining parties; and
6
WHEREAS, there are sufficient Water Operations Funds appropriated for the services
described in the Joint Lobbying and Cost Sharing Agreement.
8
NOW, THEREFORE, BE IT RESOLVED by the Board of the Carlsbad Municipal Water
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District, California, as follows:
10 1. That the above recitations are true and correct.
11 2. That the Carlsbad Municipal Water District authorizes an annual payment of up
'2 to $45,000 from the Water Operations Fund to the Olivenhain Municipal Water District for use in
13 paying the semi-annual payment and out of pocket expenses to "The Furman Group".
14 3. That the Joint Lobbying and Cost Sharing Agreement to obtain a authorization
15 and future appropriations for each participating agency's project, as described in the attached
16 agreement, is hereby approved and the Utilities Director for the City of Carlsbad is hereby
17 authorized and directed to execute said agreement.
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PASSED, APPROVED AND ADOPTED at a Special Meeting of the Board of
Directors of the Carlsbad Municipal Water District of the City of Carlsbad on the 22nd
day of March 2011, by the following vote to wit:
AYES: Board Members Hall, Kulchin, Blackburn, Douglas, Packard.
NOES: None.
ABSENT: None.
MATT/HALL, President
ATTEST:
LORRAINE M. WOOD, Secretary
Ifif «B!".•A':
JOINT LOBBYING AND COST SHARING AGREEMENT
WHEREAS, Olivenhain Municipal Water District (OMWD), Carlsbad Municipal
Water District (CMWD), Vallecitos Water District (VWD), Santa Fe Irrigation District (SFID),
Vista Irrigation District (VID), City of Oceanside (City), Leucadia Wastewater District
(LWWD), San Elijo Joint Powers Association (SEJPA), City of Vista (Vista), Rincon del
Diablo Municipal Water District (Rincon), and the City of Escondido (Escondido) have
cooperated in order to develop a recycled water project for north San Diego County
generally known as the North San Diego County Regional Recycled Water Project
(NSDCRRWP);
WHEREAS, OMWD, CMWD, LWD, and SEJPA have cooperated in the past to
successfully lobby for federal grant funding support for the first north county regional
recycled water project known as the North County Recycled Water Project; and
WHEREAS, the parties have executed an agreement to retain RMC to prepare a
feasibility report for the project; and
WHEREAS, the parties to the present agreement desire to jointly lobby and cost
share in order to pursue federal grant funding for the NSDCRRWP, a new project that
would interconnect and maximize recycled water use in north San Diego County among the
parties to this agreement to the benefit of all of these agencies' respective customers; and
WHEREAS, the parties intend to seek a 20 million dollar authorization in Title XVI
funding for the NCWPII, which represents a 25% federal cost share; and
WHEREAS, the parties have already submitted for Proposition 84 and have been
awarded funding via the San Diego County Water Authority, which is a permissible local
share match to the federal Title XVI funding; and
WHEREAS, the parties have also submitted for State Water Resources Quality
Board (SWRQB) grant funding to offset the feasibility report costs; and
WHEREAS, it is the intent and purpose of this Agreement to retain The Furman
Group (Furman) in support of this agreement and lobbying effort for the NSDCRRWP and
to specify the time and manner in which payment will be made to Furman.
NOW, THEREFORE, the parties hereto agree as follows:
1. Term. The foregoing recitals are true and correct. The term of this agreement
shall be for one year from February 9th, 2011. Amendments may be executed by the
parties as necessary and agreed upon in writing.
2. Cost Share and Scope. The parties shall equally pay the costs of the
Furman contract in order to seek an authorization for Title XVI funding in the amount of 20
million dollars, which represents a 25% cost share. The scope and fee for the Furman
contract is attached as Exhibit A. Based on joint participation by 11 partners, the annual
cost for services, not including out of pocket expenses, is anticipated to be $10,910 per
participating agency per year.
3. Future Amendments Anticipated. It is the intent of the parties to pursue the
federal authorization funding jointly and to cost share the costs of achieving the
authorization equally. Once an authorization is secured via both the House and the
Senate, the parties will enter into an amendment to this agreement whereby the annual
costs for securing appropriations are shared based on each parties pro rata amount
received for their agency's recycled projects.
4. Out of Pocket Expenses by Furman. Out-of-pocket expenses will be
invoiced by Furman to OMWD on a monthly basis and will be shared equally by all parties.
It is anticipated that out of pocket expenses shall not exceed a total of $8,000 in one year.
5. Payment. Each party shall make its semi-annual payments of $5,818 to
OMWD according to the following schedule, and OMWD shall add its semi-annual payment
to the rest of the payments, making one (1) full payment twice per year to Furman as
described below:
PAYMENT
First Payment
Second Payment
DUE TO OMWD
March 1,2011
September 1 , 201 1
DUE TO THE FURMAN GROUP
March 15, 2011
September15, 2011
6. Other Parallel Agreements. The parties further understand that the Bureau
of Reclamation requires feasibility plan to be submitted and approved prior to the
authorization of Title XVI funding. The parties acknowledge that they are undertaking a
separate agreement via an RFP to retain an engineering consultant to prepare a complete
report and package that can be utilized to apply for federal and state funding and that may
also be utilized in order to secure Bureau of Reclamation feasibility approval for the
authorization under Title XVI. A separate consultant may be retained by the parties in the
future for the processing of feasibility approval(s).
7. Administrator of Contract. OMWD shall act as the administrator for the
Furman contract at no charge to the parties, provided that OMWD shall have no obligation
to advance funds to Furman on behalf of the other parties if funds are not deposited in a
timely manner with OMWD. OMWD will administer the Furman contract as a convenience
only and assumes no other responsibility under said contract on behalf of the other parties.
OMWD shall receive monthly reports from Furman and share them with the other parties.
All parties may agree to meet with Furman for consultation and reports as needed or
requested. ^
8. Records. OMWD shall provide copies of all Furman invoices, payments to
Furman, and fund requests upon request to the OMWD Finance Manager. All parties shall
have the right to comment on these records and request corrections thereto if necessary.
9. Miscellaneous Costs. Any party's out of pocket costs for travel, meetings
with the Bureau of Reclamation, House or Senate representatives that are incurred by the
staff, individual agency's lobbyist or Board members of individual agencies shall be borne
by each agency as their own costs in support of this Agreement and shall not be subject to
reimbursement by other parties to this Agreement.
10. Ability to Terminate Agency Participation. In the event that any party to
this Agreement notifies all other parties in writing of its intent to terminate participation in
this joint Agreement, no refunds of any monies already paid will be reimbursed and the
party will have no further interest or right in this Agreement or the federal or state funding
being pursued. The remaining parties agree to adjust their future cost sharing on an equal
basis among the remaining parties.
11. The effective date of this Agreement is
DATED: OLIVENHAIN MUNICIPAL WATER DISTRICT
(OMWD)
By:
Kimberly Thorner, General Manager
DATED: CARLSBAD MUNICIPAL WATER DISTRICT
(CMWD)
By:
Glenn Pruim, Utilities Director
II
DATED:VALLECITOS WATER DISTRICT (VWD)
By:
Dennis Lamb, General Manager
DATED:SANTA FE IRRIGATION DISTRICT (SFID)
By:
Mike Bardin, General Manager
DATED:VISTA IRRIGATION DISTRICT (VID)
By:
Roy Coox, General Manager
DATED:CITY OF OCEANSIDE (CITY)
By:
Cari Dale, Water Utilities Director
DATED:CITY OF VISTA/BUENA SANITATION
DISTRICT (VISTA)
By:
Rita Geldert, District Manager
DATED:LEUCADIA WASTEWATER DISTRICT
(LWWD)
By:
Paul Bushee, General Manager
DATED:SAN ELIJO JOINT POWERS AUTHORITY
(SEJPA)
By:
Mike Thornton, General Manager
DATED:RINCON DEL DIABLO MUNICIPAL WATER
DISTRICT (RINCON)
By:
Mitchell Dion, General Manager
DATED:CITY OF ESCONDIDO, (ESCONDIDO)
By:
Lori Vereker, Public Works Director
EXHIBIT A
CONSULTING PROFESSIONAL SERVICES AGREEMENT
WITH THE FURMAN GROUP
This Agreement is entered into by and between the Olivenhain Municipal Water District,
a Municipal Water District organized and operating pursuant to Water Code Sections 71000 el
seq. (hereinafter the District) and The Furman Group, a Lobbying/Consulting Firm organized
and operating in the State of California (hereinafter "TFG").
R-E-C-I-T-A-L-S
1. The District is a public agency organized and operating pursuant to Water Code
Sections 71000 et seq., which provides water and sewer service within certain areas of Northern
San Diego County.
2. TFG is a lobbying and consulting firm that the District has utilized in the past for
grants on several of its projects. TFG has successfully assisted the District in obtaining nearly
$12 million dollars in Environmental Protection Agency (EPA) grant funding for the District's
Olivenhain Water Treatment Plant (OWTP) and further assisted the District and three additional
agencies in obtaining $20 million dollars in Title XVI federal grant funding for north San Diego
County's first regional recycled water project known as the North County Recycled Water
Project.
3. The District has partnered with ten agencies including Carlsbad Municipal Water
District (CMWD), Vallecitos Water District (VWD), Santa Fe Irrigation District (SFID), Vista
Irrigation District (VID), City of Oceanside (City), Leucadia Wastewater District (LWWD), San
(j£-rjElijo Joint Powers Association (SEJPA), Gity-af-VlsUi (VisTa), Rincon del Diablo Municipal
Water District (Rincon), and the City of Escondido (Escondido) (collectively, the "partnering
agencies") to develop a recycled water project for north San Diego County (generally known as
the North San Diego County Regional Recycled Water Project [NSDCRRWP]), mat would
interconnect and maximize recycled water use among the partnering agencies.
4. The District desires to retain TFG for federal lobbying for the NSDCRRWP and,
as stipulated in the Joint Lobbying and Cost Sharing Agreement between the District and the
partnering agencies, shall act as the administrator for this contract on behalf of the partnering
agencies.
C-O-V-E-N-A-N-T-S
1. Services to Be Performed. TFG agrees to perform all work and services in strict
accordance with the work described in the cost proposal attached hereto as Exhibit "A" and
incorporated herein by reference. TFG will be representing all the partnering agencies. All work
performed by TFG shall be subject to review and approval by the District. The District will
coordinate with the other NSDCRRWP partnering agencies on approval of TFG's work.
2. Price for Work. TFG agrees to perform all work described in Exhibit "A" for a
monthly retainer amount of $10,000 plus out of pocket expenses not exceeding $8,000 for the
duration of this one year contract. Once the project is authorized to receive federal funds by both
the House and the Senate, the District and the other NSDCRRWP partners may enter into an
amendment to this agreement. No increase in this price shall be allowed without the express
written consent of the District. The District shall have no obligation to grant this consent and
may deny consent to any price increase, in its sole discretion.
3. Payment for Work. Each partnering agency shall make its semi-annual payments^yo^tex*)
of $5r8T8 to OMWD according to the following schedule, and OMWD shall add its semi-annual
payment to the rest of the payments, making one (1) full payment twice per year to TFG as
described below:
PAYMENT
First Payment
Second Payment
DUE TO OMWD
tAprt'l '. -^oilfbr)
MH°dn,'2011
September 1,2011
DUE TO THE FURMAN
GROUP<A<M( /s. 70/1 (m
34erdTl5,'2011
September 15,2011
4. Extra Work. The District may request additional work or services from TFG from
time to time, as the District shall determine, in its sole discretion. TFG shall not commence any
extra work without a written change order attached as "Exhibit B" expressly approved by the
District, in writing. The District will consult with other NSDCRRWP partners for approval of
any change orders. Work performed by TFG without an approved change order signed by the
District will not be paid for by the District. In the event the District determines that additional
work is justified, the parties shall agree on the additional work to be performed and the price to
be paid for this additional work prior to commencement of any additional work by TFG. It is
understood by the parties that TFG shall not be entitled to any payment for extra work unless the
District determines that it desires extra work to be performed and a written change order has
been executed by the parties. Attached as Exhibit B is the Change Order Form required by the
District for all change orders or task transfers.
5. Standard of Care. In performing all work and services required by this
Agreement, TFG agrees to use the highest degree of skill and expertise ordinarily exercised,
under similar circumstances, by federal lobbyists having special expertise and competence in
federal grant authorizations. As a material term of this Agreement, TFG warrants and represents
that it has secured all licenses required by federal or California law to perform all work and
services required by this Agreement. TFG agrees to perform all work required by this
Agreement at all times in strict accordance with all applicable federal, state, and local laws and
regulations which apply to the labor or materials being provided.
6. Liability for Work of Agents. Independent Contractors, and Subcontractors. TFG
shall be solely liable and responsible for all labor and materials provided by any director, officer,
agent, employee, subcontractor, supplier, or independent contractor hired or retained by TFG to
perform any work or to provide any materials or supplies. The District shall have no liability
whatsoever for any work or services performed or any materials or supplies provided by TFG or
its directors, officers, agents, employees, subcontractors, suppliers, or independent contractors.
7. Time for Completion of Services. As a material term of this Agreement, TFG
agrees to complete all work and services required by this Agreement by no later than
March 7, 2012. The breach of this paragraph shall constitute a material breach of this
n
Agreement; however, amendments may be executed by the parties as necessary and agreed upon
in writing.
8. District Termination Right. The District shall have the express right to terminate
this Agreement at any time without cause by giving seven (7) consecutive days advance written
notice to TFG. This Agreement shall be automatically terminated without further action of any
party upon expiration of the seven (7) day period. Promptly upon receipt of any termination
notice from the District TFG shall cease all further work and services, except as otherwise
expressly directed by the District in the written termination notice. In the event the District
exercises its termination right, TFG shall be paid only for work and services performed and
approved by the District to the date this Agreement terminates.
9. Independent Contractor. As a material term of this Agreement, it is expressly
agreed between the parties that TFG is performing all work and services for the District pursuant
to this Agreement as an independent contractor and not as an agent or employee of the District.
The parties further agree and acknowledge that the District expects TFG to make its own
independent determination of the means and methods to perform all work required by this
Agreement, and will not be directed as to any of these means or methods by the District.
10. Conflicts of Interest Prohibited. Asa material terms of this Agreement, TFG shall
not in any way attempt to use its position to influence any decision of the District in which it
knows, or has reason to know, it has a financial interest other than the compensation provided in
this agreement. As a material term of this Agreement, TFG warrants and represents that it does
not, to the best of its knowledge, have any economic interests which would conflict with any of
its duties under this Agreement. TFG agrees not to secure any economic interest during the
performance of this Agreement which conflicts with its duties to the District under this
Agreement.
11. Breach. The breach of any term or provision of this Agreement by TFG shall
constitute a material breach of this Agreement.
12. District Remedies for Breach. In the event TFG breaches any term, covenant, or
condition of this Agreement or fails to perform any work or services required by this Agreement,
the District shall be entitled to elect all or any of the following remedies at the District's sole
option:
12.1 Unilateral Termination. Unilaterally terminate this Agreement by written
notice to TFG. Upon election of this remedy by the District, paragraph 10 governing unilateral
termination shall apply; or
12.2 Specific Enforcement. Enforce any provision of this Agreement by
specific performance. If this remedy is elected by the District, TFG agrees that specific
performance is appropriate and reasonable given the unique and special services being performed
by TFG and expressly waives the right to contest the right of the District to seek specific
performance in any subsequent action or proceeding between the parties; or
12.3 File suit against TFG for damages arising from breach of this Agreement.
In the event the District elects this remedy, it shall be entitled to recover all damages authorized
by law; and/or
12.4 The District shall be entitled to withhold such amounts as the District
determines are appropriate, in its sole discretion, to complete the work or services required by
this Agreement, or to correct any labor or materials found defective by the District.
13. Insurance. At all times during the term of this Agreement, TFG shall maintain
workers compensation insurance, a commercial general liability insurance policy, and
professional liability insurance in strict accordance with all terms of this paragraph. The
insurance required by this paragraph shall be provided as follows:
13.1 Workers Compensation Insurance. Immediately following execution of
this Agreement and prior to commencement of any work by TFG, TFG shall provide the District
with certificates of insurance showing that TFG has obtained, for the full period of this
Agreement, workers compensation insurance coverage for no less than the statutory limits
covering all persons whom TFG employs or may employ in carrying out any work under this
Agreement. This workers compensation insurance shall remain in full force and effect at all
times during performance of any work required by this Agreement; and
13.2 Liability Insurance. Promptly following execution of this Agreement, and
prior to commencement of any work, TFG shall provide the District with certificates of
insurance and such endorsements as may be required by the District, demonstrating that TFG has
in full force and effect a broad form commercial general liability insurance policy or policies
covering bodily injury, property damage, products-completed operations, and personal injury in
an amount of not less than $1,000,000.00 per occurrence with a deductible not to exceed
$25,000. This liability insurance policy or policies shall be with an insurance company licensed
to do business in the State of California and acceptable to the District, All liability insurance
shall include an occurrence coverage and shall include a "cross-liability" or "severability of
interest" clause. The insurance certificate and any endorsements shall be non-cancelable without
thirty (30) days prior written notice to the District; and
13.3 Professional Liability Insurance. Promptly following execution of this
Agreement, and prior to commencement of any work by TFG, TFG shall provide the District
with a certificate or certificates evidencing that TFG has professional liability insurance in a limit
of not less than $1,000,000.00 with an insurance company licensed to do business in the State of
California and acceptable to the District. This insurance shall have a deductible not to exceed
$25,000.
The District shall be named as additional named insured on all policies required by this
paragraph. The insurance afforded to the District shall be primary insurance. If the District has
other insurance which might be applicable to any loss, the amount of the insurance provided
under this section shall not be reduced or prorated by the existence of such other insurance.
14. Indemnity. As a material term of this Agreement, TFG agrees to hold harmless,
indemnify, and defend the District and its directors, officers, employees, agents, and
representatives from and against any and all claims, causes of action, suits, actions, damages,
losses, costs, fees, expenses, fines, and penalties, of whatever type or nature, including all costs
of defense and attorney fees, caused in whole or in part, or claimed to be caused in whole or in
part by the action, inaction, passive or active negligence, or intentional misconduct of TFG or its
directors, officers, employees, agents, subcontractors, sub-consultants, suppliers, or independent
contractors, except claims and causes of action caused by the sole active negligence or
intentional misconduct of the District or its directors, officers, employees or agents. In the event
that any administrative proceeding, litigation or arbitration is instituted naming the District or
any other indemnified parties as a defendant, the District and such other indemnified party shall
be entitled to appoint their own independent counsel to represent them, and TFG agrees to pay
all reasonable attorneys fees, expert fees and costs, and litigation costs associated with this
defense within thirty (30) days of any billing.
15. Miscellaneous Provisions.
15.1 California Law Governs. This Agreement shall by governed by California
law.
15.2 Jurisdiction and Venue. In the event of any legal or equitable proceeding
to enforce or interpret the terms and conditions of this Agreement, the parties agree that
jurisdiction and venue shall lie only in the federal or state courts in or nearest to the North
County Judicial District, County of San Diego, State of California.
15.3 Modification. This Agreement may not be altered in whole or in part
except by a written modification approved by the Board of Directors of the District and executed
by all the parties to this Agreement.
15.4 Attorneys' Fees. In the event any arbitration, action or proceeding is
initiated to challenge, invalidate, enforce or interpret any of the terms of this Agreement, the
prevailing party shall be entitled to all attorneys' fees, all expert fees and costs, and all litigation
fees, costs, and expenses in addition to any other relief granted by law. This provision shall
apply to the entire Agreement.
15.5 Entire Agreement. This Agreement, together with all exhibits attached
hereto, contains all representations and the entire understanding between the parties with respect
to the subject matter of this Agreement. Any prior correspondence, memoranda, or agreeanents,
whether or not such correspondence, memoranda or agreements are in conflict with this
Agreement, are intended to be replaced in total by this Agreement and its exhibits. TFG
warrants and represents that no District representative has made any oral representations or oral
agreements not contained in this Agreement. TFG further warrants and represents that TFG has
not relied upon any oral statements or promises made by any District representative or agent in
executing this Agreement. The parties mutually declare that this Agreement and its exhibits
constitute a final, complete and integrated agreement between the parties.
15.6 Prohibition on Assignment. TFG shall not be entitled to assign or transfer
all or any portion of its rights or obligations in this Agreement without obtaining the express
prior written consent of the District. The District shall have no obligation to give its consent to
any assignment and may deny any requested assignment, in its sole discretion.
15.7 Binding Effect. This Agreement shall inure to the benefit of and be
binding upon the parties and on their respective purchasers, successors, heirs and assigns.
15.8 Unenforceable Provisions. The terms, conditions, and covenants of this
Agreement shall be construed whenever possible as consistent with all applicable laws and
regulations. To the extent that any provision of this Agreement, as so interpreted, is held to
violate any applicable law or regulation, the remaining provisions shall nevertheless be carried
into full force and effect and remain enforceable.
15.9 Representation of Capacity to Contract. Each party to this Agreement
represents and warrants that he or she has the authority to execute this Agreement on behalf of
the entity represented by that individual. This representation is a material term of this
Agreement.
15.10 Opportunity to be Represented by Independent Counsel. Each of the
parties to this Agreement warrants and represents that it has been advised to consult independent
counsel of its own choosing and has had a reasonable opportunity to do so prior to executing this
Agreement.
15.11 No Waiver. The failure of either party to enforce any term, covenant or
condition of this Agreement on the date it is to be performed shall not be construed as a waiver
of that party's right to enforce this, or any other, term, covenant, or condition of this Agreement
at any later date or as a waiver of any term, covenant, or condition of this Agreement. No waiver
shall occur unless the waiver is expressly stated in writing and signed by the person for the party
having the authority to expressly waive the benefit or provision, in writing. No oral waivers
shall be effective against either party.
15.12 No Joint Venture and No Third Party Beneficiaries. Nothing in this
Agreement is intended to create a joint venture, partnership or common enterprise relationship of
any kind between the District and TFG. No third parties shall be construed as beneficiaries of
any term, covenant or provision of this Agreement.
15.13 Time of Essence. The parties agree mat time is of the essence as to all
matters specified in this Agreement. The parties mutually declare that this is a material term of
this Agreement.
15.14 Notices. All letters, statements, or notices required pursuant to this
Agreement shall be deemed effective upon receipt when personally served, transmitted by
facsimile machine, or sent certified mail, return receipt requested, to the following addresses or
facsimile numbers:
To: Hal Furman
The Funnan Group
1750 H Street, NW Suite 600
Washington, DC 20006
Facsimile No. ( 202 )737 - 0455
To: "District"
Olivenhain Municipal Water District
Attn: Kimberly A. Thorner, General Manager
1966 Olivenhain Road
Encinitas, California 92024
Facsimile No. (760) 753-5640
15.15 Effective Date. The effective date of this Agreement executed in
counterparts in Olivenhain, California, within the North County Judicial District, County of San
Diego, State of California, is February 25, 2011.
Dated: *% J /V/ // Olivenhain Municipal Water District,
a public agency
' A. ThojHeV
General Manager
Dated: pll l\ \\\ The FurmanGroup
Harold W.Funfian II
Owner
Exhibit A - Scope
August 16, 2010
Ms. Kimberly Thorner
General Manager
Olivenhain Municipal Water District
1966 Olivenhain Road
Encinitas, CA 92024
Dear Ms. Thorner:
Thank you for providing The Furman Group with this opportunity to present our
qualifications to provide government relations consulting services to the Olivenhain
Municipal Water District, the Santa Fe Irrigation District, the San Elijo Joint Powers
Authority, the City of Carlsbad, the City of Oceanside, the Vallecitos Water District, the
Leucadia Wastewater District, the City of Escondido, Rincon del Diablo Water District
and the Vista Irrigation District ("Coalition")- We sincerely appreciate your interest in
our firm and look forward to working with you should you and your Coalition members
choose to retain The Furman Group.
STATEMENT OF CAPABILITIES
With offices in Washington, D.C. and San Diego, California, The Furman Group
provides specialized consulting and government relations assistance to both public
agencies and private clients in the defined areas of water and wastewater infrastructure
development, and federal land use and environmental regulation. One of the firm's major
practice areas is helping local governments access federal funds for public infrastructure
projects. The Furman Group possesses a unique understanding of California water and
environmental issues and maintains close ties to the California Congressional Delegation,
the key infrastructure committees in the Congress as well as federal agencies with
jurisdiction over water infrastructure programs, most notably the U.S. Army Corps of
Engineers and U. S. Bureau of Reclamation.
Founded in 1992 by Harold W. Furman II, a nationally recognized expert in water
and infrastructure policy, The Furman Group's team of professionals has supported our
clients in developing and financing important public works projects. Mr. Furman also
serves as the Executive Director of the New Water Supply Coalition, a national advocacy
group comprised of water agencies from across the country. The coalition is pursuing
innovative legislation that would give water agencies the ability to issue tax credit bonds
to finance desalination, water recycling and groundwater remediation projects.
During the past two decades, our firm has assisted numerous communities and
public water agencies throughout the country to secure access to over $300 million in
federal funding for water, sanitation and other infrastructure projects. During that same
period, we have planned and executed government relations strategies that have resulted
in over $350 million in project authorizations for our clients.
We have a demonstrated record of success. The following are a few examples of
some of our notable accomplishments:
• Over $300 million in appropriations for water projects since 1992;
• Successfully advocated for authorization of over $100 million through the Water
Resources Development Act for water related Environmental Infrastructure and
Rural Development Projects. These projects were funded through the U. S. Army
Corps of Engineers;
• Conceived, drafted and advocated for the passage of the legislation that
authorized the Bureau of Reclamation's Title XVI Water Recycling Program in
1992;
• Successfully advocated for the expansion of the Title XVI Program authorization
to include five new projects in 1996; and four additional projects to date;
• Successfully advocated for the passage of an $85 million authorization for the
clean up of the San Gabriel Groundwater Basin and a subsequent reauthorization
for an additional $50 million for the project. Secured the appropriation of $78
million pursuant to that authorization;
• Assisted our clients in securing over $45 million in EPA Special Needs Grant
appropriations for water and sewer system improvements.
STRA TEGYAND SCOPE OF WORK
Based on recent conversations, we understand that the Coalition is seeking
assistance in obtaining federal funding for a proposed joint water recycling project in
North San Diego County. This project will expand the treatment and storage capacities at
various facilities within Coalition member jurisdictions and will construct the necessary
distribution lines to interconnect all Coalition facilities to create an integrated recycled
water system. Based on this information, we recommend that the Coalition seek a new
Congressional authorization to receive funding from the Bureau of Reclamation
("Bureau") through the Title XVI Water Recycling Program.
We propose to develop legislation that would authorize the Bureau to participate
in the design, planning, and construction of the component projects associated with the
North San Diego Joint Recycled Water Project. The Bureau would be authorized to
contribute up to twenty five percent of the total costs of this project on a reimbursable
basis. We would seek to have this legislation introduced in the House of Representatives
by Congressman Brian Bilbray who represents the service areas of the project. We would
also seek to have a companion measure introduced in the United States Senate by Senator
Dianne Feinstein. As you may recall, this is the same strategy that The Furman Group
proposed for the North San Diego Area Water Recycling Project which ultimately
resulted in a $20 million federal contribution to the project.
Ensuring that this legislation is passed in a timely manner will require a
significant amount of work. This will involve close coordination with the Committee
staffs in the House and the Senate and the legislative staffs in the Members' offices. We
would work with the professional staffs of the House Natural Resources Committee and
the Senate Energy & Natural Resources Committee to ensure that prompt hearings will
be held on the legislation so that it can proceed to a vote in both committees. We would
also be working with you to prepare testimony to be presented at the hearing and to
prepare our selected witnesses for the hearing. In addition, we would work with you to
develop letters of support for the legislation from various cities, private interests, and
environmental organizations.
Once the project is authorized to receive federal funds, The Furman Group would
focus on the appropriations process. The annual appropriations bills mat fund all
functions of the federal government are the only pieces of legislation that Congress is
absolutely required to pass during each legislative session. For this reason, the
appropriations process is run under very strict deadlines, and having someone on the
ground in Washington is critical. The Furman Group would handle all requirements
associated with this process and utilize our experience and strategic contacts with the
appropriate committees to make the process run smoothly. This would include: drafting
all request letters to the California delegation members who represent the Coalition
member's service areas and working to ensure that these requests become a priority;
coordinating visits to Washington for Coalition member officials by scheduling all
appropriate meetings on Capitol Hill and with the Administration; assist the California
delegation by drafting all required request letters and completing all forms for the
subcommittees by mandatory deadlines; and monitoring the movement of the legislation
throughout the legislative process.
As mentioned above, The Furman Group has a very successful track record in
securing similar authorizations and subsequent appropriations for our clients. Combined
with our excellent working relationship with the California Congressional Delegation,, the
House and Senate Energy and Natural Resources Committees and both the House and
Senate Energy and Water Development Appropriations Committee staffs, we feel
confident that we can be an effective advocate on your behalf.
FEES AND EXPENSES
The Furman Group provides professional government relations services to its
clients based upon an annual retainer that may be paid monthly or quarterly (in advance)
plus out of pocket expenses directly related to our representation. Out of pocket expenses
are invoiced on a monthly basis. Out-of-pocket expenses include travel, taxi fares,
telephone, mail, facsimile, computer aided research, courier, and related charges directly
attributable to our representation.
Our retainers are based, in part, upon the time that we estimate the representation
will require on the part of our professionals, the difficulty of the projects in comparison to
other projects, and such intangibles as the amount of political capital that will be
necessary for the firm to expend to accomplish the client's goals. Our proposed fee to
undertake this representation would be $10,000 per month plus out-of-pocket expenses.
CONCLUSION
Once again, thank you for providing us the opportunity to present you with this
proposal. In order to provide you with further insight into The Furman Group, we invite
you to visit our website at www.FurmanGroup.com. I look forward to discussing our
qualifications with you at a mutually convenient time.
Sincerely,
Harold W. Furman II
Chairman and Managing Director
Exhibit B - Sample Change Order Form
3°
Olivenhain Municipal Water District
Consultant Change Order
(Includes Authorization to Perform Additional Services and Inter-Task Transfers)
Consultant Name Change Order #
Project name
Project Task
Total Change Order Amount
Current
Budget
$
Date Required
Change
$
Revised
Budget
$
Original Project Budget
Prior change orders approved
This change order
Revised Project Budget
$
$
$
$
Reason for requested chanoefsl. please attach supporting documentation
Signature of Consultant Representative Date
Fax number
Fax form to OMWD at 760-753-7578 or mail to 1966 Olivenhain Rd., Encinltas, CA. 92024
i;::::i-::i:::i::x:^
Approved by Date
Workorder number(s) to charge OMWD Record No.
Capital Projects [_
Original to General Manager
Copies to
| Project Acct