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HomeMy WebLinkAbout06/16/1992, C-12 - WHALE ROCK COMMISSION MEETING, THURSDAY, JUNE 18, 1992 Whale 'Rock Commission Meeting Agenda June 18, .1992 ' Page 2. z Declaration of old boai. surplus = Hamilton III. BUSINESS, UEMS 1. Election of Officers .- Annual election of the Whale Rock Commission Chairperson, Vice Chaii and Secretary: 2. Annual Budget and Financial Statement/Review and Approval = Hetland 1 Upgrade of existing pump facilities/authorize approval of plans and specifications - Zweig t MEETING DATE June2 WHALE ROCK COMMISSIO REPORT '�"_- 2 FROM: Wham T. Hetland, Utilities Directo repared By: Gary W. Henderson SUBJECT: State Water Project - Whale Rock Exchange BACKGROUND: See attached report. EEENGDOTE; TI ONO AM city o� san lues oBispo ME "NG MIGn COUNCIL AGENDA REPORT FROM: William T. Hetland W 1 PREPARED BY:Gary W. Henderson 4 Q A Utilities Director Water Division Manager SUBJECT: State Water Project - Whale Rock Exchange CAO RECON MENDATION: Direct Staff to Proceed with Alternative 3 or 4 and negotiate Agreements with Involved. Agencies and Return to Council for Final Approval. BACKGROUND: The City Council approved the City's participation in the State Water Project on April 21, 1992. Following this derision, a number of agencies have requested that the City of San Luis Obispo exchange water from Whale Rock Reservoir for State Water which would eliminate the need to build all or a portion of the Cborro Valley pipeline. The idea of an exchange was presented.in the environmental impact report prepared for the local facilities portion of the State Water Project. The exchange was identified as the preferred alternative, from an environmental standpoint, to the construction of the Cborro Valley pipeline. The Cborro Valley pipeline would begin at the Cuesta Tunnel (which was constructed to convey water from Salinas Reservoir) and proceed up the valley parallel to the Whale`Rock pipeline to Morro Bay and then proceed on to Cayucos (see Attachment 1 for map of the Cborro Valley pipeline). PURPOSE The purpose of this report is to assess the impact of the exchange on the City's water supply resources and identify other area of concerns which the Council needs to be aware of prior to making a policy decision on the exchange. If the City of San Luis Obispo does not participate in the State Water project, it is Table 1: Requested Exchange Amounts assumed that no exchange would be possible. The agencies that are interested in an City of Morro Bay 1,313 of g County Water Works District #8 80 of exchange and the amounts of water Morro Rock Mutual Water Co. 61 of requested are shown in Table 1. If all the Paso Robles Beach Water Assoc. 40 of agencies were included in the exchange, the Cuesta College 200 of total amount would be 2,119 acre-feet per County Operate ins 425 of year (afy). This large amount of yearly exchange from Whale Rock Reservoir would TOTAL 2,119 of have a significant impact on the City's safe annual yield estimate. _ city of san lues o5ispo MaZa COUNCIL AGENDA REPORT State M12ter Project - Whale Rock Exchange Page 2- PROCEDURE The City of San Luis Obispo has adopted a multi-Water resource supply policy. A computer model was developed based on the coordinated operation of the two reservoirs and recent hydrologic information. Based on this ana])Sis, City CounCil recently adopted a revised combined safe annual ylield of 7,735 afy (assuming 500 afy of groundwater). This computer model was utilized to determine the impact of exchanging Whale Rock water for an equal amount-of State Water. The computer model is based on a number of assumptions which have a direct impact on the ability of the City of San Luis Obispo to participate in an exchange of water. The model assumes that groundwater (500 afi,) and state inciter are used first, then Salinas Reservoir is used next to meet the City's Water demand. Whale Rock water is the last to be used and is primarily held in storage as a back-up reserve. The analysis also assumes that each year a minimum of 1,000 of is used from Whale Rock due to water quality problems at Salinas Reservoir (i& algae blooms, sediment unshed in during storms, etc). This is an important assumption and has a direct impact on the amount of water that the City can exchange with other agencies. Except for the above amount withdrawn from Whale Rock, Whale Rock is only used when Salinas reaches minimum pooL By managing the water supply in this manner, the Cfty increases the overall yield from the reservoiM Based on the above assumptions; staff analyzed the impact of an exchange on the City's safe annual yield estimates. Figure 1 shows the impact on the Or/s yield with varying exchange. amounts. The figure indicates that exchanging Whale Rock water for State Water can have a significant impact on the - — - — CSty's safe annual yield. This reduction in yield is due to Wbale Rock being used by the exchange agencies and not being available as a City bacl-up to Salinas Reservoir. It basically eliminates the CiVs advantage of . coordinated use of the two reservoirs. RESULTS Attempting to uitbdraw 2,119 afy in addition 9 ' to the 1,000 afy which is already assumed, o .,, ,m am +ow 12nD exceeds the Ciry,s safe annual yield from °'°"ANU"'°""f WN Whale Rock Reservoir. Therefore, the City would be unable to meet the full requested Figure 1: Impacts of Exchange Amounts exchange amount. It was %ben determined, based on hydrologic data from September 1943 to December 1991, that the maximum excbanee amount, in addition to the 1,000 afy, that could be withdrawn from Whale Rock would be 19145 LA-42 city of san Luis o5ispo Iffiamia Mom COUNCIL AGENDA REPORT State-Water Project - Whale Rock Exchange Page 3 afy. The major problem with exchanging this amount of water is that the critical time period controlling the computer analysis is the end of the data in the program (ie. December 1991). Therefore, the critical time period has not ended and since Whale Rock Reservoir did not see a significant increase in storage this year, the amount calculated as a maximum (ie. 1,145 afy) is questionable. If this amount was exchanged on an annual basis, there would be a reduction of 880 afy in the City's yield. This indicates that the City would lose the majority of the increased yield attributable to the coordinated operation of the two reservoirs. In order for the City to avoid being negatively impacted, it is assumed that any decrease in the City's safe annual yield would need to be offset by an equal amount of state Water above the Whale Rock exchange amount. Therefore, the City would not support a one for one exchange for state water. It is obvious from the above discussion, that the City cannot pro»de all of the requested exchange amounts. The amount requested by the City of Morro Bay is approximately 62% of the total requested and as such has a drastic impact on the possibility of an exchange. With the reduction in City yield shown in Figure 1, an exchange with Morro Bay would not appear to be in the City of San Luis Obispo or Morro Bay's best interest because of the large exchange amount results in a significant reduction in safe annual yield. In other words, if the City of San Luis Obispo were to exchange water with only Morro Bay, who has a maximum requested allotment of 1,313 afy, the City would only exchange approximately 800 afy (see Fig. 1 - 800 exchange + 550,reduction a 1,350) of water from Whale Rock Reservoir in order fo offset the amount of safe annual Meld lost due to the exchange. CMC/CAL POLY EXCHANGE The California Men's Colony has requested an exchange of 400 afy of state water for an equal amount of Whale Rock water with Cal Poly. Cal Poly will not have a pbl;ical connection to the State Water Project, the exchange would require an agreement with the City to accept the state water into our system and provide water to Cal Poly through their existing connections to our system. The exchange which the California Men's Colony is negotiating with Cal Poly -AU .. have a minimal impact on the City of San Luis Obispo. The impact is significantly less than an exchange of the City's Whale Rock water because the City can deliver water from any of our sources to Cal Poly (ie. the reservoirs can still be operated in a coordinated fashion). The impact on the Ciry's safe annual yield due to an exchange between CMC and Cal Poly, is a result of state water being delivered at a constant rate throughout the year but Cal Poly's water demand fluctuating during the period. Fifteen (15) acre-feet per year is loss through evaporation due to water left in storage resulting from the variation in Cal Poly's demand. This means that if CMC Aishes to exchange 400 afy of Whale Rock water they 'Au need to provide 400 afy to Cal Poly and 15 afy to the City of San Luis Obispo. This item AU have to be addressed in negotiations with CMC and Cal Poly. pi city of San 1Li1S OBISPO EftZa COUNCIL AGENDA REPORT State%Vater Project - V1'hale Rock Exchange Page 4 OTHER CONCERNS Since State Water is delivered at a constant rate to participating agencies, it is questionable if the City of San Luis Obispo can currently use more than the 3,000 afy. This is due to the fact that currently the City is using approximately 5,000 afy but the daily demand fluctuates throughout the year. There are currently days during the year that the demand may not equal the constant delivery rate of state water if the City agrees to exchange a large amount of Whale Rock water. The demand is expected to increase following the end of mandatory rationing but may require the City to cut back requested state water deliveries in the interim. This may cause an increase in the unit cost of state water which would need to be recovered from the agencies involved in the exchange. The City's current water right permit for Whale Rock Reservoir defines the service area as the City of San Luis Obispo and Cuesta College. An exchange with any other agencies AU require an application for change of service area to be filed with the State Water Resources Control Board. This change of service area will require CEQA review and State Board approval. There are a number of other technical issues which will have to be addressed in the agreements between the City and the agencies if such an exchange were to take place. The agreements will have to be carefully prepared to insure that the City is protected under present and future conditions (ie. the City's water supply resources are not adversely impacted). These agreements would be brought back to Council for their approval ALTERNATTVES A number of alternatives are listed below for consideration. The impacts of each alternative are sboam in Table 2. Alternative 1: Exchange the maximum amount of 1,145 afy distributed proportionally among all requesting agencies. To offserthe reduction in the City's safe annual yield, the agencies would have to provide the City with 2,025 afy of State water. The agencies would only receive 54% of the requested amount of state water but would still be required to purchase 96% of the state water which they have requested. A major problem with this alternative is that the City could not currently utilize 5,025 afy (3,000 + 2,025) at a constant rate. This amount of water exceeds our daily demand for most of the year. This. alternative is not recommended Alternative 2: Agree to exchange water with all the agencies, except Morro Bay. The total exchange amount would be 806 afy which would need to be offset with approximately 1,355 afy of state water. The agencies would either have to increase their allocation request or reduce the amount of water requested to be exchanged from Whale Rock. Each agency would receive approximately 60% of the state water exchanged with the City. city o f_san Luis OBispo COUNCIL AGENDA REPORT State Water Project . Whale Rock Exchange Page S Alternative 3: Agree to exchange water with only Cuesta College and the Cayucos Water agencies (ie. County Waterworks District #8, Morro Rock Mutual Water Co. and Paso Robles Beach Water Assoc.). If you assume that Morro Bay sill not participate in the exchange'but will still receive state water, a pipeline would be built to provide water to Morro Bay and would pass right by the California Men's Colony. The County Operations Center could therefore be served through an existing connection to CMC's system and would be able to utilize existing wells to provide for their pealing needs (unlike Cuesta College). The total exchange amount would be 381 afy which would requireapproximately 530 afy (ie. 149 afy reduction to City + 381 afy exchange) of state water to offset the reduction in the City's yield. Each agency would receive approximately 72% of the state water exchanged with the City. It should be noted that Cuesta College already receives water from the City of San Luis Obispo. Any amount of State Water exchanged with Cuesta, will have a positive impact on the City's water supply situation by offsetting the current demand on Whale Rock Reservoir. Altirrnative 4: Only exchange water with the Cayucos Area Water Organizations. The total amount of the exchange would be 181 afy which would require approximately 210 afy of state water. The agency would receive approximately 8617c of the state water exchanged with the City. The County Board of Supervisors have approved state water for County Waterworks District No. 8 in Cayucos contingent on an exchange. If an exchange can not be agreed upon, there is a serious question as to whether the other two Cayucos agencies could afford to construct the pipeline from Morro Bay to Cayucos. If this alternative were implemented, Cuesta College would need to negotiate with CHIC to provide for peaking capability. Alternative 5: No exchange of Whale Rock water for state water. This would effectively eliminate the Cayucos Area Water Agencies from participation in the state water project. city of san Luis oBispo Maize COUNCIL AGENDA REPORT State VPater Project - Whale Rock Exchange Page e Table II: Summary of Alternatives e c' SWP Amount Exchanee Amount % of SWP Amount Exchan$ed L All 2,025 11145 549o' 2. All, except 1,355 806 605b Morro Bay 3. Cayucos & 530 381 72°Jo Cresta College 4. Cayucos 210 181 $6% FISCAL IMPACT: There would be a financial benefit to the City of San Luis Obispo depending on the amount of water exchanged. Savings would result from decreased pumping required from Salinas or Whale Rock Reservoir. The City could also benefit from increased deliveries of State Water if the proposed hydroelectric facility were constructed by the City at the first City turnout from the pipeline at Reservoir No. L The increased flows, if delivered to this location, would.result in increased energy production. The exact extent of the benefits to the City have not been estimated at this time due to the large number of alternatives. There would also be a savings to the agencies that.participate in the exchange resulting from not having to construct the pipeline up the Cborro Valley. The agencies would have to provide for treatment of the surface water from Whale Rock which would reduce their potential savings. RECOMMENDATION: Staff recommends the Council direct staff to proceed with Alternative 3 or 4, staff would work with Cuesta and CMC to negotiate an agreement to.provide for Cuesta's pea]dng needs. Also, recommend that CMC accept state water directly if a pipeline is constructed to their facilities. These alternatives would have the least impact on the City's water supply resources while sell accommodating the needs of Cuesta College and Cayucos Water agencies. Attachment: 1. Map of Proposed Chorro Valley Pipeline AFTACHMENT 1 •� � �-N v f� � ®_ X11: 9 ' •' m w s , a ► .,,•• � . 1 • is fig 30 a J a a a allLla \ ` Lva 41 Ai TACHMENT' 1 . r CA / � YpWO YT T cow+ECTaN • w •t CIESTA TUMMM TO ...w SaN DERNARDO ..w . PUNT/ ANA ROAD N • - .+ a . wounD UT r ' • � r r i w r �!.!!• • i.... Vr r. r of ♦ — - w yplg0 Y/t01 • OTOS StOmff �-. r. ••� • • O.y ■ • ® r.wwr• a0 OOO■TT N LDCAL OAT■u■T+O■ - prand SCALE u■r¢e WIT■MT / ■O•.O.■T DRAFT WHALEROCR COMMISSION MEETING MARCH 26, 1992 CITY HALL HEARING ROOM MEMBERS PRESENT: RON DUNIN, City of San Luis Obispo JOHN DUNN, City of San Luis Obispo CARMEN SALVATO, Calif. Men's Colony CARLOS MADRID, Calif. Dept. Water Resources ED NARETTO, Calif. Polytechnic Univ. BILL STATLER, City of San Luis Obispo STAFF PRESENT: BILL HETLAND, Utilities GARY HENDERSON, Water. Div. Mgr. BOB HAMILTON, Water Supply Supv. LISA WOSRE, Recording Secretary PUBLIC COMMENT PERIOD Bruce Gibson, PO Box 1363, Cambria, stated he operated water wells on Whale Rock land and that rights are being challenged by adjacent property owners. He submitted documentation. He also asked that if a trail was instated, that it be developed away from his well. Staff agreed to review the documentation and bring the item before the Commission should action be required. Robert Lyon, PRBWA and CAWO representative, stated the Cayucos Water purveyors were concerned about the standing moratorium and discussed the need for state water and the .ability to afford it. He suggested a possible exchange. He also discussed water quality and treatment. He felt the solution depended on cooperation with other agencies. Paul Enz, PRBWA representative, discussed current water quality and fencing of livestock. I. INFORMATION ITEMS 1. Cayucos Treatment: Mr. Henderson discussed treatment requirements of the State Department of Health Services for the wells serving Cayucos. He stated the Health Dept. felt the wells were under the influence of surface water and will require treatment. He noted it was the City Attorney's position that the agencies who utilized these wells should handle the treatment issues. Mr. Enz stated that the Cayucos agency was looking into the matter and asked that this item remain open. 2. Property Acquisition: Mr. Henderson presented a status report on the acquisition of the Mainini property. He stated that staff was awaiting a A/*1-1.3 WHALE ROCK COMMISSION MEETING MARCH 26, 1992 PAGE TWO response from the Cayucos agency on the water treatment issues. Staff will bring back a report when that information is received. 3. Financial Statement: Mr. Hetland presented the staff report on the budget. He noted the fund balance had been reduced due to the Pump Station upgrade project and that adequate reserves should be remaining. 4. Reservoir Status: Mr. Hamilton presented the storage update report and stated there were 18,463.1 acre/feet in storage. 5. Coastal Streams Diversion Project: Mr. Hetland presented a memo from the City of Morro Bay, stating that they no longer desired to proceed with the project. Mr. Dunn was concerned that the application needed to be formally discontinued and directed staff to ensure that the application had been dropped. Staff agreed to bring back a report. II. ACTION ITEMS 1. Minutes: The draft minutes of the October 30, 1991 regular meeting were approved as submitted. 2. Energy Efficient Pump Repairs: Mr. Hamilton presented the staff report requesting authorization to purchase pump replacement parts to upgrade pump efficiencies, which would reduce energy expenses. He discussed PG&E's parti- cipation in the project and that PG&E had given pre-approval for rebuilding the remaining pumps, based on evaluation and testing of new component efficiency. Commr. Narretto moved to approve staff recommendation. Commr. Madrid seconded the motion. The motion passed unanimously. 3. Reservoir Fence Replacement: Mr. Hamilton presented the staff report requesting authorization to proceed with the plans and specifications and procure bids for the replacement of approximately 1.25 miles of barbed wire fence, noting the correct cost of the project would be a total of $130,000 prorated over 10 years. He discussed the need for the fencing, due to livestock in the area. Commr. Dunn moved to approve the staff recommendation. Commr. Naretto seconded the motion. The motion passed unanimously. 4. Calendar Annual Budget Meeting: The meeting was set for Thursday, June 18, 1992 at 1:30 p.m. in the Council Hearing Room. WHALE ROCK COMMISSION MEETING MARCH 26, 1992 PAGE THREE III. DISCUSSION 1. Establish Trails at Whale Rock: Mr. Henderson presented Pete Jenney from the Parks Department. Mr. Jenney discussed a proposal for a trail system and requested the Commission grant conceptual approval so the project could move into the next phase. Mr. Jenney discussed the cooperative arrangement necessary for trail estab- lishment and stated that the trail would be a straight in/out system around the lake, accessed from Cayucos, and would be developed away from the fishing area, lakefront, and private property. He noted it would be within the reservoir right-of-way. He stated there were 4 acres of state proposed surplus land which gave an opportunity for linking. He said there were negotiations for trail maintenance and suggested the County or a private foundation fund the maintenance, which would be already established. Commr. Dunn agreed that it would be an asset to the community, subject to the details being worked out (e.g. water quality, liability, easements, and maintenance). Commr. Dunin was concerned about the Joint Powers Agreement between the City, County and Commission being clear about this project. Commr. Salvato did not feel this Commission should be the lead agency. Commr. Dunin noted that he agreed with Commr. Salvato, but did support the project in concept. He felt staff should direct negotiations so as not to encumber any responsibility by the Commission or the City of San Luis Obispo. Commr. Dunn moved to support the concept and direct staff to continue working out the details and negotiations. Commr. Naretto seconded the motion. The motion passed unanimously. The meeting adjourned at 2:30 p.m. to the next special meeting of June 18, 1992. Respectfully submitted, Lisa Woske Recording Secretary MEETING DATE: June 18. 1992 WHALE ROCK COMMISSION REPORT NUMBER: II - 2 FROM: William T. Hetland, Utilities Directokr Prepared By: Robert Hamilton SUBJECT: Surplus Whale Rock Utility Boat BACKGROUND: A 21 foot Crestliner has been in service as the utility boat at Whale Rock Reservoir since 1969. Last year, the Commission replaced the Crestliner with a smaller, more suitable utility boat and the Crestliner is now out of service and available for salvage. In accordance with the City's Fleet Management Program, the following surplus vehicle information is included for reference. Vehicle Department and Division - Utilities/Whale Rock City Asset No. - 6911 VIN No. - MA84JO0819 Year of First Service - 1969 Odometer Reading - n/a Justification for Disposal - vehicle has been replaced Estimated Value - $1500 Location of Vehicle - 108 Old Creek Rd., Cayucos Contact Person - Robert Hamilton, Water Supply Supervisor RECOMMENDATION: Declare the Crestliner utility boat surplus and authorize the City Finance Department to prepare a Council Agenda Report and after approval, sell the Crestliner in accordance with the City's Property Disposal Policy. Funds received for salvage will return to the Whale Rock Fund MEETING(AM- June 18 1992 WHALE ROCK COMMISS N REPORT NUMBER: III - 2 FROM: William T. Hetland, Utilities DirectokpPREPARED BY: Sue Baasch 14 SUBJECT: WHALE ROCK RESERVOIR 1992-93 BUDGET BACKGROUND: RECOMMENDATION: ■ Approve Whale Rock Reservoir 1992-93 Budget. ■ Approve Capital Improvement Request for balance of funding required to construct Whale Rock Pump Station. ■ Approve policy guideline regarding Fund Balance Reserves. DISCUSSION BacAW=nd Under the City's two year financial plan process, the 1991-93 Financial Plan establishes the primary program and guidelines to be used in preparing the 1992-93 Budget Although budgets are adopted annually under the two-year plan concept, it is intended that appropriations in the second year of the plan will be based upon the framework and foundation developed during the two-year planning and budgetary process. APPENDIX A, Sections 1 and 2, provide documentation for the Whale Rock 1992/93 operating and capital programs. Section 3 updates the changing Fund Balance. APPENDIX B outlines a recommended polity regarding Fund Balance reserves. The following is a summary of the changes and recommendations from the 1991/93 Financial Plan presented one year ago: APPENDIX A Section 1 - 1992/93 Whale Rock Opemtbig Budget The operating budgets shown in Appendix A are from the approved 1991-93 Financial Plan. Reservoir operations and the fishing program were approved for a total of $617,600 in 92/93. The updated fund balance shows total operating costs of $615,575. This reflects reductions of $2,025 due to 15% cuts in the training, travel, meetings and association line items, as well as mid-year adjustments deleting budgeted amounts for retirement for temporary personnel. WHALE ROCK COMMISSION REPORT Whale Rock Reservoir 1992-93 Budget Page 2 Section 2 - 1992/93 Whale Rock Capital Improvement Progrmn This request seeks appproval to identify additional construction funding for the previously approved Whale Rock Pump Station project. It also identifies additional. funds approved at the October 1991 Commission meeting for the design of this project. Section 3 - Cha VbW Fund Bakuwz This section contains the Whale Rock Fund Balance statement as of June 30, 1992. APPENDIX B FUND BALANCE DESIGNATIONS AND RESERVES It is recommended that the Whale Rock Commission adopt a budget policy requiring a minimum of 20% of operating expenditures in the Whale Rock Fund. To date, all Whale Rock operating and capital expenditures have been on a "pay as you go" basis. Approval of the Whale Rock Pump Station project will significantly reduce fund balance. If any other projects were to be approved in the immediate future, fund balance might drop below the recommended 20%, requiring assessments from the member agencies. -/ '� APPENDIX A. 1992 -93 BUDGET . - - Whale. U GET - -Whale. Rock Reservoir Section 1 Operating Programs PUBLIC UTILITIES - PROGRAM:. Reservoir Operations OPERATION: Whale Rock Commission DEPARTMENT: Utilities FUND: Whale Rock Fund 1989-90 1990-91 1991-92 1992-93 PROGRAM COSTS ACTUAL BUDGETED REQUESTED PROPOSED Staffing S 149,300 S 169,800 S 185,500 S 195,600 Contract services 21,100 55,200 48,100 30,500 Other operating expenditures 232,100 328,700 351,800 368,900 Minor capital 0 12.ppp _0 _0 Total S 4027500 S 565,700 S 585,400 $ 595,000 PROGRAM DESCRIPTION The Whale Rock commission is a joint powers agency with six voting members who represent three state agencies and the city. This commission was formed to build the Whale Rock Reservoir and set policy for its operation. The City of San Luis Obispo, California Men's Colony(CMC), and California Polytechnic State University(Cal Poly) are the actual water users, sharing the costs and benefits of the reservoir in proportion to their original investment, with the city at 55 percent, Cal Poly at 34 percent, and CMC at 11 percent. The reservoir operations program provides for raw water storage in a 40,600 acre-foot reservoir and raw water delivery through 19 miles of conduit and two pump stations to the agencies of the Whale Rock commission. The program goal is a reliable, easily treatable supply of raw water for the participating agencies and other customers. This program has six major activities: ■ Water collection, storage and delivery. Collecting and storing raw water, pumping raw water to member agencies and other customers (20 percent of the program) ■ SuneMance. Patrolling and inspecting the dam, reservoir, conduit and pump stations to prevent vandalism and contamination (20 percent of the program) ■ Equipment maintenance. Performing periodic preventive maintenance,repairing damaged equipment,and replacing worn and obsolete parts (35 percent of the program) ■ Recosdk ,pfn& Preparing records and reports for local, state, and federal agencies (15 percent of the program) ■ Powergenemtiort. Generating electricity from a 48 kilowatt turbine generator for sale to Pacific Gas & Electric (5 percent of the program) ■ Gm=dwaterrechmgin& Releasing and ponding water to recharge aquifers used for the town of Cayucos (5 percent of the program) STAFFING SUMMARY Regular Positions Utiltities Director 01 0.1 0.1 0.1 Utilities Engineer 0.1 0.1 01 0.1 Water Division Manager 0.1 0.1 0.1 0.1 Administrative Analyst 0.1 0.1 0.1 0.1 Administrative Secretary 0.1 01 0.1 0.1 Water Supply Supervisor 1.0 1.0 1.0 1.0 Water Supply Operator _Q -a _4 - Total 3.5 3.5 3S 3.5 Temporary positions: Full-time equivalents 0.4 0.4 0.4 0.4 D-44 -��-Z PUBLIC UTILITIES PROGRAM: Reservoir Operations (continued) DEPARTMENT: Utilities SIGNIFICANT EXPENDITURE AND STAFFING CHANGES ■ 1991-93: Ongoing replacement of the reservoir fences at about 1-1/4 miles per year will require an additional 58,000 each year. ■ 1991-92: A baseline cathodic protection survey for the delivery pipeline will cost 511,600 in 1991-92. ■ 1991-93: Increasing use of Whale Rock water will require additional electricity for pumping at a cost of 560,000 in 1991-92 and$65,400 in 1992-93. ■ 1991-92: A seismic safety evaluation of the dam required by the state will cost 55,3W in 1991-92. 1991-93 PROGRAM OBJECTIVES ■ 1991-92: Complete the telemetry system installation ■ 1991-92: Install meter in order to more accurately measure clic amount of water distnbuted to the City by the Whale Rock Commission (CIP project) ■ 1992-93: Construct pump station modifications to improve water flow during peak delivery operations PERFORMANCE AND 1989-90 1990.91 1991-92 1992-93 WORKLOAD INDICATORS ACTUAL PROJECTED ESTIMATED ESTIMATED Ace-feet of raw water pumped . 3,576 3,500 3,500 300 Reports filed with regulatory agencies 100 100 100 100 Interruptions in water delivery 6 12 6 6 D-45 PUBLIC UTILITIES PROGRAM: Whale Rock Fishing OPERATION: Whale Rock Commission DEPARTMENT: Utilities FUND: Whale Rock Fund 1989-90 1990-91 1991-92 1992-93 PROGRAM COSTS ACTUAL BUDGETED REQUESTED PROPOSED Staffing $ 10,700 $ 11,800 $ 18,400 $ 18,400 Contract services 6,600 8,500 2,500 2,900 Other operating expenditures 800 1,400 112(10 1,300 Minor capital 0 0 Q —0 Total $ 18,100 $ 21,700 $ 22,100 $ 22,600 PROGRAM DESCRIPTION The Whale Rock fishing program provides for the operates and maintains the fishing facilities built in 198L The program goal is clean, functional fishing facilities which do not jeopardize the purity of the raw water in the reservoir. This program has three major activities: ■ C4=?na servLm Collecting fees, controlling admittance,providing direction and advice(34 percent of the program) ■ Buildings and grounds maWawnce. Cleaning and tending buildings, removing trash and litter, performing minor repairs (33 percent of the program) ■ SwveMv= Patrolling fishing activities to prevent contamination of the reservoir (33 percent of the program) STAFFING SUMMARY Temporary positions: Full-time equivalents 1.1 1.1 Ll 1.1 SIGNIFICANT EXPENDITURE AND STAFFING CHANGES None 1991-93 PROGRAM OBJECTIVES ■ Continue to work toward achieving program goals PERFORMANCE AND 1989-90 1990-91 1991-92 1992-93 WORKLOAD INDICATORS ACTUAL PROJECTED ESTIMATED ESTIMATED Fishing revenue ($) 2,000 2,000 3,000 4,000 Patrons 958 1,000 1,200 1,400 D-46 �,z-a3 Section 2 Capital Improvement Plan 1992-93 Budget Request CAPITAL IMPROVEMENT PLAN PROGRAM: Whale Rock Reservoir REQUEST TITTLE: Whale Rock Pump Station Project Description This request would approve additional funding for the construction of this previously approved project. In 90/91, the Commission approved the expenditure of$868,000 for the construction of the Whale Rock Pump Station. The revised estimate for construction, including contingency, electrical requirements, inspection and construction management services, is $1,147,000. This project will increase the capacity of the Whale Rock conveyance system by adding-two 200 horsepower pumps and back-up power at each of the two pump station sites. Project Objectives ■ Provide adequate conveyance capacity to meet expected daily demands under drought conditions. Existing Situation The present Whale Rock conveyance pipeline and pump stations do not have adequate capacity to meet expected peak daily demands of the member agencies under drought conditions. As the reservoir level drops, the pumping demand increases. Also, during extended drought situations the Salinas Reservoir cannot be utilized to supply water, therefore the full demand for surface water supplies is placed on the Whale Rock facilities. The two conditions necessitate increasing the pumping capacity of the system. Goal and Policy links ■ Whale Rock Commission Meeting, October 30, 1991, authorizing Amendment 1 to the design contract with Kennedy/Jenks Consultants. ■ Whale Rock Commission Meeting, June 20, 1990, at which time Commissioners voted to direct staff to pursue this project per the findings of the engineering consultant, Leedshill-Herkenhoff. ■ Water Management Plan Project Work Completed Kennedy/Jenks Consultant (KJC) have completed the plans and specifications for this project and are ready to proceed into construction. The estimates below include construction administration and the implementation of a telemetry system. Schedule and Project Costs Amendment No. 1 to the design contract for $18,050 is identified in 1991/92 The increased cost of contraction, including contingency, electrical requirements, inspection and construction services, is identified in 1992/93. Prior Project Bud¢et(s) 1991-92 1992-93 1993-94 199495 Total Pbasin Study $ 35,000 $ 35,000 Design $ 136,000 $ 18,050 $ 154,050 Construction $ 868.000 $ S 279, $ 0 j; $1,147, Total $1,039,000 $ 18,050 $ 279,000 $ 0 $ 0 $113361050 Recommended Funding Sources: Whale Rock Fund $1,039,000 $18,050 $ 282,000 $ 0 $ 0 $1,339,050 The capital control account has $697,360 to support this activity. Approval of this request would authorize transfer of$449,640 from working capital to the capital control account for the remaining required funds. Alternatives ■ Defer or delay the project. Deferral of the project is not recommended by the Whale Rock commissioners or staff, as the Whale Rock conveyance system is over twenty years old, and the equipment is deteriorated and in need of replacement and upgrade. Section 3 Changes in, Fund Balance CHANGES IN FUND BALANCE WHALE ROCK COMMISSION 1989-90 1990-91 1991-92 1992-93 ACTUAL ACTUAL BUDGET PROPOSED Revenues. Service Charges Member Agency Contributions 240,500 314,500 388,700 366,300 Water Distribution Charges 254,400 236,603 280,500 308,500 Other Revenues 0 1,545 1,000 1,000 Total Service Charges 494,900 552,648 670,200 675,800 lnvestment and Property Revenues 114,200 104,155 82,800 50,000 Total Revenues 609,100 656,803 753,000 725,800 Expenditures Operating Programs Public Utilities 420,600 461,878 615,023 615,575 General Government 86,600 90,800 96,700 103,000 Total Operating Programs 507,200 552,678 711,723 718,575 Capital Projects 98,600 155,494 1,213,150 0 Total Expenditures 605,800 708,172 1,924,873 718,575 Other Sources (Uses) Operating Transfers Out (6,800) 0 (5,000) (5,200) Revenues and Other Sources Over(Under) Expenditures and Other Uses (3,500) (51,369) (1,176,873) 2.025 Fund Balance, Beginning of Year 1,368,000 1,364,500 1,313,131 136,258 Fund Balance, End of Year $1,364,500 $1,31.3,131 $136,258 $138,283 APPENDIX B FUND BALANCE DESIGNATIONS AND RESERVES Whale Rock Reservoir WHALE ROCK FUND BALANCE DESIGNATIONS AND RESERVES POLICY The Whale Rock Commission will maintain a fund balance of at least 20% of operating expenditures in the Whale Rock Fund. This is considered the minimum level necessary to maintain the Commission's credit worthiness and to adequately provide for: ■ Economic uncertainties, local disasters, and other financial hardships or downturns in the local or national economy. ■ Contingencies for unseen operating or capital needs. ■ Cash flow requirements. The Commission may designate specific fund balance levels for future development of capital projects which it has determined to be in the best long-term interests of the Commission. In addition to the designations noted above, fund balance levels will be sufficient to meet funding requirements for projects approved in prior years which are carried forward into the new year; debt service reserve requirements; reserves for encumbrances; and other reserves or designations required by contractual obligations, state law, or generally accepted accounting principles. (pis-A9 MEETING DATE: June 18 1992 WHALE ROCK COMMISSION REPORT MEMNUMBER: III - 3 FROM: William T. Hetland, Utilities Director PREPARED BY: David Zweig/Sue Baasch SUBJECT: WHALE ROCK FACILITIES UPGRADE PROJECT BACKGROUND: RECOMIdENDATIONS: 1. Approve plans and specifications for Whale. Rock Facilities Upgrade Project, soliciting of bids, and contract award by the CAO of the City of San Luis Obispo, if the lowest responsible bid is within the Engineer's cost estimate. 2. Approve and authorize the Chairman to execute the attached contract with Kennedy/Jenks Consultants in an amount not to exceed $69,500 for construction support services for the Whale Rock Facilities Upgrade Project.. 3. Approve the expenditure of $38,400 for the purchase of telemetry equipment for the Whale Rock system, $20,000 for PG&E work at the pump stations, and $50,000 for construction inspection. DISCUSSION: Plans and Specifications On June 20, 1990, the Whale Rock Commission entered into an agreement with Leedshill-Herkenhoff Inc. (now Kennedy/Jenks Consultants "KJC') for the design of the Whale Rock Pump Stations Upgrade. The project consists of expanding the capacity of, and modernizing, the 30 year old Pump Stations A and B. After the pump stations are upgraded, it will be possible to meet all of the Commission agencies' water demands from the Whale Rock Reservoir, alone if necessary. This feature is important during emergency situations, such as the interruption of the Salinas Reservoir water supply and during extended droughts. Additionally, the expanded capacity of the Whale Rock pipeline may also prove to be useful in delivering Lake Nacimiento water to Commission agencies in the future. The planned Whale Rock Facilities Upgrade Project will include the following items of work: 1. Replace two existing corrugated metal buildings with new concrete block pumphouses at Pump Stations A and B. 2. Add two new 200 HP pumps to each of the two pump stations. 3. Add emergency generators to each of the two pump stations. 4. Upgrade and modernize the electric controls at pump stations A and B. L#I-a-30 WHALE ROCK COMMISSION REPORT Whale Rock Facilities Upgrade Project Page 2 5. Replace two pumps and the electric controls at the Chorro Pump Station. 6. Upgrade electrical controls at the Chorro pump station to current code requirements and permit the simultaneous operation of the two pumps. 7. Upgrade surge protection air valves at five locations along the Whale Rock pipeline. KJC has now completed the plans and specifications for the aforementioned project and staff recommends that the Commission proceed with the construction phase. Construction Support Services The original contract for the Whale Rock Facilities Upgrade Project design stated that Leedshill-Herkenhoff Inc. (now called KJC) will provide construction administration services, with the understanding that a detailed scope of work and a budget estimate be submitted at a later date. KJC has now submitted the attached proposal for construction administration services which is satisfactory to staff.. The proposal by KJC includes the following features: 1. Provide assistance to the Commission following bid opening. 2. Attend a pre-construction meeting. J. Provide general construction support services. 4_ Review shop drawings. 5. Perform limited engineering inspection. Day-today inspection and administration for this project will be provided by City staff, at a cost to the Commicg;on not to exceed $50,000. KJC personnel will only be utilized for the specialized functions described above. Telemetry Equipment The implementation of a telemetry system for the Whale Rock Pipeline and pump stations is now in progress. Additional equipment is needed to make the telemetry system fully functional, and to tie it in to the new pumps being supplied as part of the Facilities Upgrade Project. The telemetry system will consist of computers, electronic controls, and radios which will allow for the operation and monitoring of the pipeline and pumps by a single individual at a remote location (the Whale Rock Office in Cayucos). The pump stations now require several people to operate manually. The planned telemetry system will allow for more efficient and safer operation of the Whale Rock system: WHALE ROCK COMMISSION REPORT Whale Rock Facilities Upgrade Project Page 3 FISCAL IMPACT: The total estimated cost for this project is $1,147,000, as summarized below: Construction $919,500 + 5% contingency 965,600 Construction Svcs $ 69,500 + 5% contingency 73,000 Telemetry Equipment 38,400 PG&E 209000 Inspection - Force Account 50.000 TOTAL $1,147,000 The 90/91 Budget identified $868,000 for the construction of this project. Now that design is complete, the revised engineering estimate, including a 5% contingency is $965,600. Construction managment, telemetry equipment, electrical requirements, and staff inspection bring the total cost of construction to $1,147,000. In October 1991, the Whale Rock Commission approved an amendment to the design contract authorizing an additional $18,050, bringing the total design costs to $151,550. These expenses were approved to come from the Whale Rock Fund Balance. The Whale Rock Fund has projected funds to support this activity as follows: Proj Working Capital - 6/30/92 $ 590,900 Capital Control Account 692.36 Total available funds $1,2839260 Amount of Request $1,147.00 Remaining $ 1363,260 Attachments: 1) Kennedy/Jenks contract 2) Plans and specifications (available in Council Office for inspection) 7 CONSULTANT SERVICE CONTRACT This contract, made this day of , 1992, by and between the Whale Rock Commission (hereinafter referred to as "Commission") , and Kennedy/Jenks Consultants, (hereinafter referred to as "Consultant") . AITNESSETE: WHEREAS, Commission desires to engage consultant to provide construction support services for the Whale Rock Facilities Upgrade Project, by reason of its qualifications and experience for performing such services; WHEREAS, Consultant has offered to provide the required services on the terms and in the manner set forth herein; NOW, THEREFORE, in consideration of their mutual covenants, the parties hereto agree as follows: 1. PROJECT COORDINATION a. Commission. The Director of Utilities shall be the representative of the Commission for all purposes under this agreement. The Director, or designated representative, hereby is designated as the Project Manager for the Commission and shall supervise the progress and execution of the project under this agreement. b. Consultant. Consultant shall assign a single Project Manager to liaison with the Commission's representative. Should circumstances or conditions subsequent to- the execution of this agreement require a substitute Project Manager for any reason, the Project Manager replacement . 7 shall be subject to the prior written acceptance and approval of the Commission. 2. DUTIES OF CONSULTANT a. Services to be furnished. Consultant shall provide all specified services as set forth in Exhibit "A" attached hereto and incorporated herein by this reference. b. Laws to be observed. Consultant shall, with the care and skill ordinarily exercised by members of the profession: (1) Procure all permits and licenses, pay charges and fees, and give all notices which may be necessary and incidental to the due and lawful prosecution of 1 the services to be performed by Consultant under this agreement; (2) Keep itself informed of all existing and proposed federal, state and local laws, ordinances, regulations, orders, and decrees which may affect those engaged or employed under this agreement, any materials used in Consultant's performance under this agreement, or the conduct of the services under this agreement; (3) At all times observe and comply with, and cause all of its employees to observe and comply with all of said laws, ordinances, regulations, orders, and decrees mentioned above. (4) Immediately report in writing to the Commission's Project Manager any discrepancy or inconsistency it discovers in said laws, ordinances, regulations, orders, and decrees mentioned above in relation to any plans, drawings, specifications or provisions of this agreement. c. Release of reverts and information. Any reports, information, data or other material given to, or prepared or assembled by, Consultant under this agreement shall be the property of Commission and shall not be made available to any individual or organization by Consultant without the prior written approval of the Commission's Project Manager. The Consultant shall be allowed, for promotional purposes, to make known the nature of the assignment in a general statement during the project and may reproduce design information after it has become public information or upon completion of this project. d.:: Copies of reports and information. If Commission requests additional copies of reports, drawings, _. specifications, or any other material in addition to what the Consultant is required to furnish in limited quantities as part of the services under this agreement, Consultant shall provide such additional copies as are requested, and Commission shall compensate Consultant for the costs of duplicating of such copies at Consultant's direct expense. e. oualification of Consultant. Consultant represents that it is qualified to furnish the services described under this agreement. 2 3. DUTIES OF CITY The Commission agrees to cooperate with consultant to perform that work described in Exhibit "A" attached hereto and incorporated by this reference. 4. COMPENSATION a. The Consultant will perform the work as described in Exhibit "A" and Consultantagrees to accept compensation in accordance with the schedule set forth in Exhibit "A". b. Consultant will bill Commission on a monthly basis for services performed during that month. Commission will pay this bill within 30 days of receipt. 5. TIME FOR COMPLETION OF THE WORK a. Project shall be completed in 4 weeks from date of completion of construction. b. Time extensions may be allowed for delays caused by Commission, or factors not directly brought about by the negligence or lack of due care on the part of the . consultant. 6. TEMPORARY SUSPENSION The Utilities Director shall have the authority to suspend this agreement wholly or in part, for such period as he deems necessary due to unfavorable conditions or to the failure on the part of Consultant to perform any provision of this agreement. Consultant will be paid the compensation due and payable to the date of temporary suspension. 7. SUSPENSION/TERMINATION a: Rigbt to Terminate. The Commission retains the right to terminate this agreement for any reason by notifying Consultant in writing seven days prior to termination and by paying the compensation due and payable to the date of termination; provided, however, if this agreement is terminated for fault of Consultant, Commission shall be obligated to compensate Consultant only for that portion of Consultant services which are of benefit to Commission. Said compensation is to be arrived at by mutual agreement of the Commission and Consultant and should they fail to agree, then an independent arbitrator is to be appointed and his decision shall be binding upon the parties. 3 b. Return of Materials. Upon such termination, Consultant shall turn over to the Commission immediately any and all copies of studies, sketches, drawings, computations, and other data, whether or not completed, prepared by Consultant, and for which Consultant has received reasonable compensation, or given to Consultant in connection with this agreement. Such materials shall become the permanent property of Commission. Consultant, however, shall not be liable for Commission's use of complete documents if used for other than the project contemplated by this agreement. Consultant maintains ownership interest over copyrighted material. S. INSPECTION Consultant shall furnish Commission with every reasonable opportunity for Commission to ascertain that the services of Consultant are being performed in accordance with the requirements of this agreement. All work done and all materials furnished, if any, shall be subject to the Commission' s Project Manager's inspection and approval. The inspection of such work shall not relieve Consultant of any of its obligations to fulfill its agreement as prescribed. 9. OWNERSHIP OF MATERIALS All original drawings, models, plan documents and other materials prepared by or in possession of Consultant pursuant to this agreement shall become the permanent property of the Commission, and shall be delivered to the Commission upon . demand. The consultant may retain a reproducible copy for their records. Consultant maintains ownership interest over copyrighted materials. Use of such materials on any project other than the project contemplated by this agreement shall be at the Commission's sole risk. 10.-• ASSIGNMENT. SUBCONSULTANTS, EMPLOYEES This agreement is for the performance of professional services of the Consultant and is not assignable by the Consultant without prior consent of the .Commission in writing. The Consultant may employ other specialists to perform special services as required with prior approval by the Commission. 11. NOTICES To Commission: David Zweig, Water Projects Manager Utilities Department City of San Luis Obispo 955 Morro Street San Luis Obispo, CA 93401 4 To Consultant: Elizabeth Teien, Project Engineer Kennedy/Jenks Consultants Marathon Plaza, Tenth Floor 303 Second Street San Francisco, CA 94107 12. XNTEREST OF CONSULTANT Consultant covenants that it presently has no interest, and shall not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the services hereunder. Consultant further covenants that, in the performance of this agreement, no subcontractor or person having such an interest shall be employed by Consultant. Consultant certifies that no one who has or will have any financial interest under this agreement is an officer or employee of Commission. It is expressly agreed that, in the performance of the services hereunder, Consultant shall at all times be deemed an independent contractor and not an agent or employee of Commission. 13. INDEMNITY Consultant hereby agrees to indemnify and save harmless Commission, its officers, agents, and employees of and from: a.. Any and all claims and demands which may be made against Commission, its officers, agents or employees by reason of any injury to or death of any person or corporation caused by any negligent act or omission of Consultant under this agreement or of Consultant's employees or agents; b.. Any and all damage to or destruction of the property of Commission;- its officers, agents, or employees occupied or used by or in the care, custody or . control of Consultant, or property of others, or in proximity to the site of Consultant's work, caused by any negligent act or omission of Consultant under this agreement or of Consultant's employees or agents; C. Any and all claims and demands which may be made against Commission, its officers, agents or employees by reason of any injury to or death , of or damage to property suffered or sustained by any employee or agent of Consultant under this agreement, however caused; excepting, however, any such claims and demands which are the result of the negligence or willful misconduct of Commission, its officers, agents, or employees; 5 /.2-37 d. Any and all claims and demands which may be made against Commission, its officers, agents, 'or employees by reason of any infringement or alleged infringement of any patent rights or claims caused by the use of any apparatus, appliance, or materials furnished by Consultant under this agreement; and e. Any and all penalties imposed or damages sought on account of the violation of any law or regulation or of any term or condition of any permit, when said violation of any law or regulation or of any term or condition' of any permit is due to negligence on the part of the Consultant. Consultant, at its own cost, expense, and risk, shall defend any and all suits, actions, or other legal proceedings that may be brought against or for employees on any such claim or demand of such third persons, or to enforce any . such penalty, and pay and satisfy any judgment or decree that may be rendered against Commission, its officers, agents, or employees in any such suit, action or other legal proceeding, when same were due to negligence of the Consultant. 14, WORKERS COMPENSATION Consultant certifies that it is aware of the provisions of the Labor Code of the State of California, which require every employer to be insured against liability for workers compensation or to undertake self-insurance in accordance with the. provision of that code, and it certifies that it will _. _ ._ comply with such provisions before commencing the performance of .the work of this agreement. 15.__ INSURANCE At. the request of the Commission, Consultant shall provide proof of comprehensive general liability insurance ($1, 000,000 including automobile) and professional liability insurance ($1,000, 000) satisfactory to the Commission. Commission shall be an additional named insured. insurance requirements are attached as "Exhibit B". 16. AGREEMENT BINDING The terms, covenants, and conditions of this agreement shall apply to, and shall bind, the heirs, successors, executors, administrators, assigns, and subcontractors of both parties. 6 C/�-3g 17. WAIVERS The waiver by either panty of any breach or violation of any term, covenant, or condition of this agreement or of any provision, ordinance, or law shall not be deemed to be a waiver of any subsequent breach or violation of the same or of any other term, covenant, condition, ordinance, or law. The subsequent acceptance by either party of any fee or other money which may become due hereunder shall not be deemed to be a waiver of any preceding breach or violation by the other party of any term, covenant, or condition of this agreement or of any applicable law or ordinance. 18. COSTS AND ATTORNEY'S FEES The prevailing party in any action between the parties to this agreement brought to enforce the terms of this agreement or arising out of this agreement may recover its reasonable costs and attorney's fees expended in connection with such an action from the other party. 19. DISCRIMINATION No discrimination shall be. made in the employment of persons under this agreement because of the race, color, national origin, ancestry, religion or sex of such person. If Consultant is found in violation of the nondiscrimination provisions of the State of California Fair Employment Practices Act or similar provisions of federal law or executive order in the performance of this agreement, it shall thereby be found in material breach of this agreement. Thereupon, Commission shall have the power to cancel or suspend this agreement, in whole or in part, or to deduct from the amount payable to Consultant the sum of Two-hundred-fifty Dollars ($250) for each person for each calendar day during which such person was discriminated against, as damages for said breach of contract, or both. Only a finding of the State of California Fair Employment Practices Commission or the equivalent federal agency or officer shall constitute evidence of a violation of contract under this paragraph. 20. AGREEMENT CONTAINS ALL UNDERSTANDINGS This document represents the entire and integrated agreement between Commission and Consultant and supersedes all prior negotiations, representations, or agreements, either written or oral. This document may be amended only by written instrument, signed by both Commission and Consultant. All provisions of this agreement are expressly made conditions. This agreement shall be governed by the laws of the State of California. 7 IN WITNESS WHEREOF, Commission and. Consultant have executed this agreement on. the. day and year first above written. Kennedy/Jenks Consultants Whale Rock Commission By• By: 8 Exhibit A Kennedy/Jenks Consultants Engineers and Scientists Newhon Plan.Tenth Hoar 303 Se=rd Sreet San Rancista iNarnia-5,007 28 January 1992 FAX 415-225-M029 Mr. David Zweig Water Projects Manager City of San Luis Obispo 955 Morro Street San Luis Obispo, CA 93401 Subject: Proposal for Engineering Services 1 Construction Support Services for Whale Rock Facilities Upgrade K/J P91-151-SFO REVISED Dear Mr. Zweig: In response to your request, Kennedy/Jenks Consultants (KIJ) is pleased to submit this proposal to provide construction support services to the Whale Rock Commission (Commission) for the Whale Rock Facilities Upgrade Project. UNPERSTANDING OF THE PROBLEM .. . ., The Whale Rock Facilities Upgrade Project (Project), which involves the upgrade of the Commission's Pump Stations A and B and Chorro Pump Station and surge protection along the Whale Rock conduit, is currently in the final design stages. K/J is currently managing and coordinating the design of the project.wluch'is being performed by Leedshiil- 'Herkenhoff, Jnc. fLM). Once the plans and contract documents are finalized, in accordance with Task 5 of K/J's current agreement with the Commission (dated 4 June 1990), K/J will provide the ` Commission with one.(1) set of reproducible plans and one unbound set of contract documents.. Per Task 6 of that agreement, K/J wW also assist the Commission with the f ollowing: ' • Distribution of the contract documents to contractors and suppliers; • Interpretation of the drawings and contract documents during the bidding period; • Preparation of technical addenda; • Attendance at the pre-bid f "- AA lu i ik Constance. �3!, '!iris JAN so . =? �T Kennedy/Jenks Consultants Mr. David Zweig City of San Luis Obispo 28 January 1 SS2 Page 3 Task 4: Review Shop Drawings K/J will review shop drawings submitted by the Contractor for general conformity with the project plans and specifications and recommend appropriate action. It is anticipated that all shop drawings will be submitted by the Contractor to the Commission and that the Commission will forward two complete sets to K/J for our review. K/J will make every effort to return reviewed shop drawings to the Commission within seven (7) working days of receiving them. One marked up set of shop drawings will be returned to the Commission for their review, action and transmission back to the Contractor. Eased on the Draft Final Plans and Specifications submitted to the Commission in late Decamnber 1991, K/J anticipates reviewing approximately 40 to 45 shop drawings (total submittals plus resubmittals) for this project. Task 5: Perform Limited Engineering Inspection As stated above, K/J has assumed that the Commission will provide a full-time on-site inspector to monitor the day-today progress of the Contractor. K/J will attend the following site visits: • Two one-day site visits (one day for pump station A and one day for pump station E) to provide electrical inspection at each pump station prior to the switch-over to temporary power. It is anticipated that electrical inspection of Chorro pump station will occur on one of these two days. • Two one-day site visits (one day for pump station A and one day for pump station S) to provide general inspection at approximately the fifty (50) Percent complete stage to determine if the work is, in general, proceeding in accordance with the plans and specifications. It is anticipated that general inspection of Chorro pump station will occur on one of these two days. • During the final weeks of construction and prior to the Contractor's ' demobirization, K/J will make two one-day site visits (one day for pump station A and one day for pump station S) to ascertain substantial compliance by the Contractors with the requirements of the plans and specifications especially with respect to electrical and mechanical components.. It is anticipated that Chorro pump station will be visited during one of these two days. • Two-one day site visits for attendance at start-up (one day for pump station A and one day for pump station E). It is anticipated that start-up of Chorro pump station will also occur on one of these two days. Kennedy/Jenks Consultants Mr. David Zweig City of San Luis Obispo 28 January 1992 Page 5 The following table presents our estimates of the hours and costs required to complete the services described above: ':^3f'..el:_�a.:^a,: W- WOMWM . .. . ;. .f.•. ...... Descnptron �,�J :Estimaiedsi• :: ;::< :. ' � '. �' ' ��GiQd':'":'^"?;: ;. .;; :i?..ti%> ., :;:::.. ost , , Task 1: Evaluation of Sid's 10 $1,000 Task 2: Ar+end Pre-Construction Meeting 24 $2,500 Task 3: Provide General Construction - Support Services 96 $10,000 Task 4: Review Shop Drawings 248 $27,200 Task 5: Arend Site Visits 142 $15,800 Project Management 28 $2,700 Miscellaneous Direct Costs (Reproduction, —F I .. Travel, etc.) $10,300 =TOTALRKHOURS AND ESTIMATED 548 $69,500 Our proposed budget of $69,500 will not be exceeded withoufauthorization from the - Commission. However, our level of effort and costs are highly dependent upon the. performance of the contractor. If there are relatively few resubmittals required and few change orders, the level of effort and costs may be somewhat lower. Conversely, if many resubmittals and change orders are required, the level of effort and costs may be higher than those estimated above and a budget augmentation may be necessary. We wig invoice.you monthly for the'woik and expenses incurred during the preceding month. If additional services are requested and authorized by the Commission, they will be completed by K/J at additional cost to the Commission on.a time and expense basis in accordance with the arached Schedule of Charges. This proposal is based on current projections of staff availability and costs, and therefore, is valid for 90 days. ClientlAddress: CITY OF SAN LUIS OBISPO Kennedy/Jenks Consultants 955 MORRO STREET SAN LUIS OBISPO, CA 94301 Corrract/Proposal Da:e: 28 January 1992 Schedule of Charges January 1, 1982 Personnel Compensation Classification Hourly Rate Drafter!T echnician . . . . . . . . . . . . . . . . . . . . . . S52 Designer/Senior Technican . . . . .. .. . . . . . . . . . . 65 Engineer-Scienaist, Grade 3 . . . . . .... . .. ... . . . . .... 65 Enjinew-Sciernist, Grade 2 . . . . . . . . . . . . . . . . . . . . . 83 Engineer-Scientist, Grade 1 .. . . ... . . . . . . . . . .. . .. 95 Senior Engineer-Scientist . . . . . . . . . . . .. . . . . . . .110 Supervising Engineer-Scientist. . . . . . . . . . . . . . . . . . .118 - PrinciWConsuliant . . . . . .. . . . . . . . . ....... . .. . . .125 :. Laboratory Analyst. . . . ... . . . . . . . . . . . . . . . . . . . . . 53 word Processor . . . . . . .. . . . . . . . . . . . .. . .. . . .. . . A5 . Non-Technical' . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 'Non-technical tine will be charged only for preparation of technical repors and simflar material and does not apply io rolihe administrative-type activities. Direct Expenses Reimbursement for direct expenses, as listed below, incurred in connection with the work, will be at cost plus ten percent for items such as a. Maps, photographs, reproductions, printing, equipment rert,al, and special supplies related to the work b.'Consurants, soils engineers, surveyors, contractors, and other outside services c. Rented vehicles, local public transportation and 'axis, travel and subsistence. d. Telecommunications and delivery charges. e. Special lees, insurance, permits, and licenses applicable to the work f.. CFLYWde computer processing, computation, and proprietary programs purchased for the work Reimbursement for owned automobW except trucks and four-wheel drive vehicles, used in connection with the work will be at the rate of 359 per mile. The rate for trucks and four-wheel drive vehicles will be S25 per day and 406 per mile. Reimbursement for use of microcomputers.w81 be at the rate of S10 per hour. Reimbursement for use of computerized dreing systems (CADD) will be at the rate of S20 per hour for microcomputer based systems and Sao per hour for minicomputer based s;%ems. Rate for professional staff for legal proceedings or as expert witnesses will e•h be at a rate one and onaff times the Hourly Pates specified above. In-house laboratoy analysis, sampling vehicle, and equipment charges will be per current rate schedule or special quotation. Excise and gross receipts :axes, If any, will be added as a direct expense. Additional processing ch&rges will be added for other than standard invoice backup dor-jmeralion... The ioregoing Schedule of Charges is incorporated into the agreement for the services provided, effective December 21, 1991 through December 18, 1992. A`er December 18, 1992, invoices will reflect the Schedule of Charges cirrently in effect 44.1.11 EXHIBIT B INSURANCE REQUIREMENTS FOR CONSULTANTS Consultant shall procure and maintain for the duration of the contract Insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Consultant, his agents, representatives, employees. Minimum Scope of Insurance Coverage shall be at least as broad as: 1. Insurance Services Office Comprehensive General LiabTty coverage (occurrence form CG OOD1). 2 Insurance Services Office form number CA OOD7 (Ed. 11M covering Automobile Liability, Code 1 (any auto). 3. Workers'Compensation insurance as required by the State of California and Employer's Liability Insurance, 4. Errors and Omissions Liability insurance as appropriate to the consultant's profession. Minimum Limfts of Insurance Consultant shall maintain Omits no less than: 1. General Liability: 51,000,000 per occurrence for bodily injury, personal Injury and property damage. If Commercial General Liability or Other form with a general aggregate Omit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence OmiL 2 Automobile Liability: 51,000.000 per accident for bodily injury and property damage. 3. Employer's Liability. S1,OOD,000 per accident for bodity'injury or disease. 4. Errors and Omissions Liability. s1,000,00D on a claims made, annual aggregate basis. Deductible and Seff4nsured Retentions Any deductibles or seltainsured retentions have been declared to and approved by the Commission. Other Insurance Provisions The general liability and automobile liability policies are to contain, or be endorsed to contain,the following provisions: 1. The Commission, its officers, officials, employees, agents and volunteers we to be covered as additional insureds as respects: liability arising out of activities performed by or on behalf of the Consultant products and completed operations of the Consultant; premises owned, occupied or used by the Consultant or automobiles owned, leased, hired or borrowed by the Consultant The coverage shall contain no special limitations on the scope of protection afforded to the Commission, Its officers, officials, employees, agents or volunteers. 2 For any claims related to this project, the Consultant's insurance coverage shall be primary Insurance rg fe"c" the Commission, its officers, officials, employees, agents or volunteers. Any insurance or aeltansuranoe maintained by the Commission, its officers, officials, employees, agents or volunteers shall be excess of the Consultant's insurance and shall not contribute with IL 3. Any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall "I affect coverage provided to the Commission, its officers, officials, employees, agents or volunteers. 4. The Consultant's Insurance shall apply separately to each Insured against whom claim Is made or suit is brougft, except with respect to the limits of the insurer's liability. 5 Each insurance policy required by this clause shell be endorsed to state that coverage shall not be suspended, voided,cancelled by either party, reduced in coverage or in limits except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the Commission. Acceptability of Insurers Insurance is to be placed with insurers with a current A.M. Best's rating of no less than B:DL Verification of Coveraoe Consultant shall furnish the Commission with original endorsements effecting coverage required by this clause. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by the Commission before work commences.