BOARD AGENDA MEMORANDUM
Government Code § 84308 Applies: Yes ☒ No ☐
(If “YES” Complete Attachment A - Gov. Code § 84308)
SUBJECT: Title
Approve Amendment No. 4 to Agreement No. A3941A with GEI Consultants, Inc., for Design Consultant Services for the Guadalupe Dam Seismic Retrofit Project, Project No. 91894002, Increasing the Not-to-Exceed Fee by $6,559,061 for a Revised Total Not-to-Exceed Fee of $13,934,848 and Extending the Agreement Term to December 31, 2028 (San Jose, District 7).
End
RECOMMENDATION: Recommendation
Approve Amendment No. 4 to Agreement No. A3941A with GEI Consultants Inc., for design consultant services for the Guadalupe Dam Seismic Retrofit Project, Project No. 91894002, increasing the not-to-exceed fee by $6,559,061 for a revised total not-to-exceed fee of $13,934,848, and extending the Agreement Term to December 31, 2028.
Body
SUMMARY:
Guadalupe Dam and Reservoir are currently subject to operational restrictions of 66% of the full reservoir storage capacity due to seismic stability concerns. This operational restriction was mutually agreed upon by the Santa Clara Valley Water District (Valley Water) and the California Department of Water Resources, Division of Safety of Dams (DSOD).
To address these concerns, Valley Water is advancing the Guadalupe Dam Seismic Retrofit Project (Project). The goals of this Project are to:
• Correct seismic stability deficiencies
• Rehabilitate aging appurtenant facilities
• Comply with current dam safety standards
• Restore full reservoir capacity upon completion of the Project
Consultant Services and Amendment Overview
Agreement No. A3941A with GEI Consultants, Inc. (Consultant) includes services for finalizing the Project’s design, construction plans, specifications, and cost estimates.
Amendment No. 4 to this Agreement addresses DSOD’s directive that Valley Water expedite project delivery. The amendment will increase the not-to-exceed fee by $6,559,061 and extend the Agreement by approximately three years.
These changes will allow the Consultant to perform the following work:
1. Extended project management services.
2. Additional geotechnical investigations necessary based on DSOD and agency comments on the 60% design document review.
3. Design development of two separate design packages:
• Package A: Retrofitted Embankment, New Spillway, and Existing Intake Modifications.
• Package B: New Outlet Works.
4. Supplemental Services including but not limited to constructability reviews, technical and public workshops, and geotechnical or survey studies.
The extended timeline allows for coordination with DSOD and other permitting agencies in reviewing the final design and managing the split construction phases.
Project Background
Dam History and Seismic Concerns
Guadalupe Dam is an earthen-fill dam built in 1936. The reservoir has a capacity of 3,460 acre-feet, and stores watershed runoff. The impounded water is used for conservation, groundwater recharge, incidental flood protection, and environmental flows.
In August 2009, a Seismic Stability Study (Study) by URS Corporation found that the dam’s downstream slopes could become unstable during a major earthquake. As a safety measure, Valley Water and DSOD imposed a reservoir restriction - maintaining water levels at least 18 feet below the spillway crest.
Project Acceleration and Environmental Commitments
In Spring 2023, DSOD reviewed Valley Water’s Project schedule and, in a letter dated November 16, 2023, deemed it unacceptable. DSOD directed Valley Water to expedite design completion.
Originally, construction planning assumed full drawdown of the reservoir to dead pool levels, potentially halting all downstream flows for the three-year construction period. To balance construction needs with environmental responsibilities, Valley Water proposed a phased construction strategy that would reduce the need for full reservoir drawdown and allow for maintaining water in the creek for environmental benefits.
On July 1, 2024, Valley Water formally proposed this new approach to DSOD, prioritizing embankment repairs as the first phase. DSOD accepted the new approach in a letter dated August 22, 2024.
Amendment No. 4 will allow the Consultant to develop two design packages - Package A and B - to create a two-phased construction approach. This will allow Valley Water to meet the DSOD-accelerated project schedule and retain water in the reservoir during construction.
Updated Construction Timeline
• Package A (Retrofitted Embankment, New Spillway, Intake Modifications): Begins April 2029
• Package B (New Outlet Works): Begins July 2032
Agreement A3941A Amendment History and Relevant Board Actions
On March 8, 2016, the Board approved a consultant agreement with GEI Consultants, Inc. to perform design services for the Guadalupe Dam Seismic Retrofit Project.
On July 26, 2016, the CEO approved Amendment No. 1, which amended the list of authorized subconsultants to both remove and add firms, correct typographical errors, and revise insurance requirements with no monetary impact.
On May 14, 2019, the Board approved Amendment No. 2 which added to the existing scope, increased the not-to-exceed fee, and extended the term of the Agreement by approximately four years to 2023.
On December 5, 2022, the Deputy Administrative Officer, General Services Division, approved Amendment No. 3 which extended the term of the Agreement from December 25, 2022, to December 25, 2025.
Amendment No. 4 to Agreement No. A3941A - Additional Scope of Services and Time Extension
Valley Water's Dam Safety Program capital projects were reviewed by DSOD following the submission of a master schedule for the design and construction of rehabilitation projects at Valley Water’s dams in July 2023. As previously indicated, DSOD expressed concerns with the proposed timeline for addressing numerous identified deficiencies and urged Valley Water to expedite the design completion of either the Calero Dam or Guadalupe Dam by summer 2026. Additionally, DSOD downgraded the safety ratings of Coyote Dam, Calero Dam, Almaden Dam, and Guadalupe Dam, from Fair to Poor, citing those deficiencies.
In response to DSOD’s concerns, Valley Water staff conducted a thorough review of the design efforts and explored ways to accelerate project delivery. Valley Water staff proposed a new approach that involves segmenting the construction of individual projects, prioritizing the repair of embankments to mitigate the risks that led to reservoir restrictions. It was determined that construction on the embankment retrofit and the spillway replacement can begin without draining the reservoir, if the outlet works construction is deferred at Guadalupe Dam. Valley Water anticipates that construction for the dam could commence as early as April 2029.
Amendment No. 4 to Agreement No. A3941A will add to the existing scope, increase the not-to-exceed (NTE) fee by $6,559,061 for a total NTE fee of $13,934,848, extend the Agreement Term from December 25, 2025, to December 31, 2028, and incorporate administrative updates.
Amendment No. 4 to Agreement No. A3941A was discussed at the Capital Improvement Program (CIP) Committee meeting held on May 19, 2025. The Committee members supported staff’s recommendation to present this item for approval to the full Board.
Amendment No. 4 Revised Task Descriptions and Numbering
The tasks for the recommended Amendment No. 4 to Agreement No. A3941A are summarized below. Given the age of this Agreement, the task structure established for the original Agreement, Amendment No. 1, Amendment No. 2, and Amendment No. 3 has been revised to appropriately reflect the development of two design packages to support a two-phased construction approach. As shown in the Revised Task Description table, Table 1, certain tasks have been renumbered; and new tasks have been added.
Table 1
REVISED TASK DESCRIPTION
Amendment No. 4 Cost Breakdown
To complete the design phase, Amendment No. 4 will allocate additional funds to Tasks 10, 20, 30, 50B, 60A, 60B, 70A, 70B, 80A, 80B, and 100 to expand the scope of work.
The total not-to-exceed fee for Amendment No. 4 is $6,559,061. The tasks and not-to-exceed additional fees are summarized below:
1. Task 10: Additional project management for extended design term Agreement ($941,429)
2. Task 20: Additional geotechnical investigation and analysis for the detailed design at the right downstream groin / abutment area, borrow area, new outlet works location as well as for other miscellaneous elements. ($692,230).
3. Task 30: Additional basis of design documentation required for splitting construction into package A and package B (Task 30: $1,108,941).
4. Task 50B: New 60 percent design documentation for outlet works (package B) ($694,766).
5. Task 60A and 60B: Additional 90 percent design documentation for developing package A and B, including the new outlet works discharge configuration ($719,179 and $701,777 respectively).
6. Task 70A and 70B: Additional 100 percent design documentation for developing package A and B, ($162,396 and $469,249 respectively).
7. Task 80A and 80B: Additional support for bid and award services ($118,849 and $250,245, respectively).
8. Task 100: Supplemental Services to provide funds for unanticipated costs associated with site specific land surveys, constructability review and risk workshops, additional engineering surveys and geotechnical investigations, updating seismic hazards ground motions to current attenuation relationships, tree surveys and harvest/removal permits, design of additional facilities, construction sequencing or mitigation required by regulatory permits, and, design of improvements to Hicks/Pheasant Road staging area; additional workshops, meetings, and memoranda. ($700,000).
Tasks 40 and 50A are complete. Most of the Task 20 scope is also complete, with some additional geotechnical borings and test pits to be performed. Work has also commenced on the scope of Task 60A.
The current budget for Task 100 (previously Task 10 under Amendment No. 3) - has been mostly expended on necessary site investigations, the preparation of technical memoranda, and development of designs for a new spillway as mandated by DSOD. These activities were carefully scoped, issued as individual task orders, and have been closely monitored to ensure timely and complete deliverables.
A summary of the tasks and fees for the proposed Amendment No. 4 is presented in Table 2.
Table 2 - Summary of Tasks and
The cumulative effect of expanded Project scope as well as the time required for regulatory reviews will extend the time to complete the design work by three to four years, approximately through 2028.
Next Steps
Upon Board approval, design of the Guadalupe Dam Seismic Retrofit Project will be completed and the construction contract for the Project will be advertised and awarded. Following completion of design of the Project, staff will recommend Board approval of a future amendment to Agreement No. A3941A to add engineering support during construction for the Project.
ENVIRONMENTAL JUSTICE AND EQUITY IMPACT:
The Guadalupe Dam Seismic Retrofit Project addresses water supply equity by ensuring a cost-effective, high-quality supply is available for all of Santa Clara County, including disadvantaged communities.
FINANCIAL IMPACT:
The Guadalupe Dam Seismic Retrofit Project, Project No. 91894002, is included in the Capital Improvement Program (CIP) Fiscal Year (FY) 2025-29 Five-Year Plan and in the FY 2024-25 Adopted Budget. The increased not-to-exceed (NTE) fee for Amendment No. 4 to Agreement A3941A is $6,559,061, resulting in a total NTE fee of $13,934,848. There are adequate funds in the Project’s FY 2024-25 Adopted Budget to encumber the planned expenditures for the Consultant’s services to be incurred during this fiscal year.
Approval of this Amendment No. 4 to Agreement A3941A would be an increase to the Total Project Cost (TPC) reflected in the CIP Draft FY 2026-30 Five-Year Plan by approximately $4.1 million. The increase to the TPC will be addressed during the development of next year’s CIP FY 2027-31 Five -Year Plan and the biennial Budget process. The Project is funded by the Water Utility Enterprise Fund (Fund 61) with 100% of the costs allocated to North County Zone W-2.
A portion of the Project costs is expected to be financed by the Corps Water Infrastructure Financing Program (CWIFP). The CWIFP Agreement requires professional services consultants paid with CWIFP loan funds to comply with certain federal requirements, which have been incorporated into Amendment No. 4 to Agreement A3941A.
CEQA:
The recommended action does not constitute a project under CEQA because it does not have a potential for resulting in direct or reasonably foreseeable indirect physical change in the environment.
ATTACHMENTS:
Attachment A: Gov. Code § 84308
Attachment 1: Amendment No. 4
Attachment 2: Amendment No. 3
Attachment 3: Amendment No. 2
Attachment 4: Amendment No. 1
Attachment 5: Original Agreement
UNCLASSIFIED MANAGER: Manager
Ryan McCarter, 408-630-2983