BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Approve Amendment No. 9 to Agreement No. A3555A, with Black and Veatch Corporation, for Project Management Services for the Anderson Dam Seismic Retrofit Project, Project No. 91864005, Increasing the Not-to-Exceed Fee in the Amount of $10,172,942, Resulting in a Revised Total Not-to-Exceed Fee of $28,832,004, and Extending the Agreement Term to December 31, 2023 (Morgan Hill) (District 1).
End
RECOMMENDATION:
Recommendation
Approve Amendment No. 9 to Agreement A3555A, with Black and Veatch Corporation, for project management services for the Anderson Dam Seismic Retrofit Project, increasing the not-to-exceed fee by $10,172,942, resulting in a revised total not-to-exceed amount of $28,832,004, and extending the Agreement term.
Body
SUMMARY:
Valley Water is undertaking the Anderson Dam Seismic Retrofit Project (Project) to address seismic stability deficiencies, rehabilitate aging appurtenant facilities, and to comply with current dam safety standards. The reservoir is currently under a water level restriction by regulators. Full reservoir capacity will be restored upon completion of the Project.
Agreement A3555A with Black and Veatch Corporation (Consultant) includes a scope of services to provide project management services for the Anderson Dam Seismic Retrofit Project (ADSRP), the Calero Dam Seismic Retrofit Project, the Guadalupe Dam Seismic Retrofit Project, and for the Almaden Dam Improvements Project.
Amendment No. 9 to this Agreement will increase the not-to-exceed fee by $10,172,942 for the Consultant to perform additional project management services for ADSRP efforts including the Anderson Dam Tunnel Project (ADTP) currently planned for award of a construction contract in the second quarter of this calendar year.
Project Background and Previous Board Actions
The Anderson Dam Seismic Retrofit Project (ADSRP) will correct dam seismic deficiencies and otherwise meet all current Federal Energy Regulatory Commission (FERC) and California Department of Water Resources, Division of Safety of Dams (DSOD) dam safety design standards.
Throughout 2019 to early 2020, project staff and consultants had been progressing the ADSRP with preparation of 90% design plans and specifications and supporting environmental and permitting documents. On February 20, 2020, the Santa Clara Valley Water District (Valley Water) received a letter order from FERC to immediately implement ADSRP-related interim risk reduction measures, which included the construction of the Anderson Dam Tunnel Project (ADTP).
The ADTP will construct a diversion system to augment the existing outlet, which will consist of a diversion tunnel and outlet structure, a micro-tunnel lake tap, and modifications to Coyote Creek downstream of the project. The Project also includes reservoir bank and rim stability improvements and existing intake structure modification. The FERC order also directed that Valley Water continue progressing the larger ADSRP.
In order to comply with the FERC Order in a timely manner, staff recommends the Board approve Amendment No. 9 to Agreement A3555A with Black and Veatch Corporation for a not-to-exceed amount of $10,172,942.
Consultant Work Performed to Date
The project management services Agreement with Black and Veatch Corporation for the Anderson Dam Seismic Retrofit Project includes the tasks described below. The budget for PMC Services for ADSRP (Tasks 101 to 106) is nearly exhausted and requires additional budget for the firm to continue performing services for three additional years from January 2021 to December 2023.
Anderson Dam Seismic Retrofit Project (ADSRP)
Task 101 Project Management & Administration
Task 102 Quality Assurance & Quality Control
Task 103 Regulatory, Permitting & Environmental Coordination
Task 104 Public Outreach
Task 105 Board of Consultants Coordination
Task 106 Supplemental Services for Anderson Dam Seismic Retrofit Project
Calero Dam Seismic Retrofit Project (CDSRP)
Task 107 PMC Services for Calero Dam Seismic Retrofit Project
Task 108 Supplemental Services for Calero Dam Seismic Retrofit Project
Guadalupe Dam Seismic Retrofit Project (GDSRP)
Task 109 PMC Services for Guadalupe Dam Seismic Retrofit Project
Task 110 Supplemental Services for Guadalupe Dam Seismic Retrofit Project
Almaden Dam Improvement Project (ADIP)
Task 111 PMC Services for Almaden Dam Improvements Project
Task 112 Supplemental Services for Almaden Dam Improvements Project
Staff Management of Consultant Agreement
Staff has been monitoring and managing the Consultant’s performance to meet the goals and terms of the Agreement. Weekly progress meetings are held with the Consultant to assess progress of the Project. As generally required in all Valley Water consultant agreements, consultants are required to submit detailed monthly progress/status reports with their invoices. These reports are scrutinized by Valley Water staff before approval of any payment to the consultants.
Another requirement in the Valley Water’s consultant agreement is the preparation and implementation of an internal Quality Assurance and Quality Control (QA/QC) Plan by the Consultant for all deliverables transmitted to Valley Water. As part of the deliverable acceptance process, Valley Water also performs QA/QC review of all deliverables received from the Consultant for compliance with project scope, budget, and schedule.
Amendment No. 9
After authorization by the Board, Amendment No. 8 was approved by the CEO on June 8, 2020 and it provides for Consultant performing additional project management services necessary to comply with the FERC order of February 2020; Amendment No. 8 increased the not-to-exceed fees and extended the Agreement term to June 30, 2023. However, the amendment only covered funding for the Agreement up to December 31, 2020.
The original Agreement A3555A with Black and Veatch Corporation (Consultant) provides for the firm to perform project management services for the Anderson Dam Seismic Retrofit (Project). The Agreement was later amended to add project management services during the planning and design phases for the Calero Dam Seismic Retrofit Project, Guadalupe Dam Seismic Retrofit Project, and the Almaden Dam Improvements Project. Design and construction of the CDSRP has been deferred by the Board, so the remaining budget designated for the CDSRP (Task 108) was re-allocated in Amendment No. 8 to the Guadalupe Dam Seismic Retrofit Project (GDSRP). The budget for PMC Services for GDSRP (Task 109 and Task 110) is depleted and requires additional budget for the firm to continue performing services for three additional years from January 2021 to December 2023.
An administratively approved re-allocation of remaining budget that was in the Almaden Dam Improvements Project (Task 111 and Task 112), and transferred to the ADSRP, was also documented in the Amendment No. 8. Services yet to be performed for ADIP relate to the Phase 2 Spillway Evaluation for which Consultant support is no longer required.
Amendment No. 9 provides for an increase in the not-to-exceed fee by $10,172,942, resulting in a revised total not-to-exceed amount of $28,832,004, for the Consultant to perform additional project management services during the planning and design phases, over a period of three years, from January 2021 to December 2023. The services provided include those related to new activities to be conducted per direction from Federal Energy Regulatory Commission (FERC), the Board of Consultants (BOC), National Marine Fisheries Service (NMFS), and the State of California Department of Water Resources, Department of Safety of Dams (DSOD). The Amendment also extends the Agreement duration to provide time for review of the final design documentation by DSOD, FERC and other permitting agencies, and implements administrative revisions to the Agreement.
Amendment No. 9 was discussed at the Capital Improvement Program (CIP) board committee meeting held on November 9, 2020. The Committee members supported staff’s recommendation to present this item for approval to the full board.
The tasks and not-to-exceed additional fees are summarized below:
1. Additional project management services, including project administration, quality assurance and quality control, regulatory, permitting & environmental coordination, assisting in public outreach, and coordination and management of the Board of Consultants (BOC) for three-year extended term for the ADSRP (including ADTP) (Task 101 to Task 105: $7,435,799).
2. Additional supplemental services for ADSRP (including ADTP) technical reviews of design submittals as needed, design and permitting workshops, ongoing condition assessments of Holiday Estates area at the reservoir rim, condition re-assessment and ongoing monitoring of structures and features in Holiday Estates area should movement of the houses be observed during construction of ADTP and ADSRP. additional risk management workshops, additional H&H analysis, updates and revisions of the stochastic analysis when necessary, support environmental and other permitting for regulatory agencies and other agencies (Task 106: $1,857,386).
3. Additional supplemental services for CDSRP for Agreement close-out activities support (Task 108: $119,276)
4. Additional project management services for GDSRP for the three-year extended Agreement term Agreement, from January 2021 to December 2023, (Task 109: $606,787)
5. Additional supplemental services for GDSRP (Task 110: $153,694)
A summary of the tasks and fees for the proposed Amendment No. 9 is presented in Table 1.
Table 1 - Summary of Tasks and Fees
|
|
Original Agreement (1/24/2012 |
Amendment No. 2 (6/24/2014) |
Amendment No. 6 (2/28/2017) |
Revised Total Approved Amendment No. 6 (2/28/2017) |
Administratively Approved Re-allocation of Funds (12/20/2019) |
Amendment No. 8 (6/8/2020) |
Revised Total Approved Amendment No. 8 (6/8/2020) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Anderson DSRP |
|
|
|
|
|
|
|
|
PMC Tasks |
$2,760,600.00 |
$4,293,377.00 |
$4,660,868.00 |
$11,714,845.00 |
$12,582,598.00 |
$1,739,250.00 |
$14,321,848.00 |
|
Supplemental Tasks |
$896,200.00 |
$699,632.00 |
$459,309.00 |
$2,055,141.00 |
$1,694,496.00 |
$361,175.00 |
$2,055,671.00 |
|
Subtotal |
$3,656,800.00 |
$4,993,009.00 |
$5,120,177.00 |
$13,769,986.00 |
$14,277,094.00 |
$2,100,425.00 |
$16,377,519.00 |
|
Calero DSRP |
|
|
|
|
|
|
|
|
PMC Tasks |
$ |
$184,517.00 |
$497,911.00 |
$682,428.00 |
$682,428.00 |
$(9,920.00) |
$672,508.00 |
|
Supplemental Tasks |
|
|
$477,189.00 |
$477,189.00 |
$477,189.00 |
$(119,659.00) |
$357,530.00 |
|
Subtotal |
|
$184,517.00 |
$975,100.00 |
$1,159,617.00 |
$1,159,617.00 |
$(129,579.00) |
$1,030,038.00 |
|
Guadalupe DSRP |
|
|
|
|
|
|
|
|
PMC Tasks |
$ |
$184,517.00 |
$481,051.00 |
$665,568.00 |
$665,568.00 |
$116,476.00 |
$782,044.00 |
|
Supplemental Tasks |
|
|
$434,487.00 |
$434,487.00 |
$434,487.00 |
$13,103.00 |
$447,590.00 |
|
Subtotal |
|
$184,517.00 |
$915,538.00 |
$1,100,055.00 |
$1,100,055.00 |
$129,579.00 |
$1,229,634.00 |
|
Almaden DIP |
|
|
|
|
|
|
|
|
PMC Tasks |
$ |
$ |
$442,491.00 |
$442,491.00 |
$21,872.00 |
$ |
$21,872.00 |
|
Supplemental Tasks |
|
|
$86,490.00 |
$86,490.00 |
$ |
$ |
$ |
|
Subtotal |
|
$ |
$528,981.00 |
$528,981.00 |
$21,872.00 |
$ |
$21,872.00 |
|
TOTAL |
$3,656,800.00 |
$5,362,043.00 |
$7,539,796.00 |
$16,558,639.00 |
$16,558,638.00 |
$2,100,425.00 |
$18,659,062.00 |
NOTE: Amendments No. 1, No. 3, No. 4, No. 5, and No. 7 were no-cost amendments.
Table 1 - Summary of Tasks and Fees (continued)
|
|
Revised Total Approved Amendment No. 8 (6/8/2020) |
Administrative Reallocations (multiple- 5/9/13 to 11/25/19)) |
Amendment No. 9 |
Revised Total Approved Amendment No. 9 |
|
Anderson DSRP |
|
|
|
|
|
PMC Tasks |
$14,321,848.00 |
$689,062.00 |
$7,435,799 |
$22,446,709.00 |
|
Supplemental Tasks |
$2,055,671.00 |
$(689,062.00) |
$1,857,386 |
$3,223,995.00 |
|
Subtotal |
$16,377,519.00 |
|
$9,293,185 |
$25,670,704.00 |
|
Calero DSRP |
|
|
|
|
|
PMC Tasks |
$672,508.00 |
$249,477.00 |
|
$921,985.00 |
|
Supplemental Tasks |
$357,530.00 |
$(249,477) |
$119,276 |
$227,329.00 |
|
Subtotal |
$1,030,038.00 |
|
|
$1,149,314.00 |
|
Guadalupe DSRP |
|
|
|
|
|
PMC Tasks |
$782,044.00 |
$203,309.00 |
$606,787 |
$1,592,140.00 |
|
Supplemental Tasks |
$447,590.00 |
$(203,309.00) |
$153,694 |
$397,975.00 |
|
Subtotal |
$1,229,634.00 |
|
$760,481 |
$1,990,115.00 |
|
Almaden DIP |
|
|
|
|
|
PMC Tasks |
$21,872.00 |
$0 |
$0 |
$21,872 |
|
Supplemental Tasks |
$0 |
$0 |
$0 |
$0 |
|
Subtotal |
$21,872.00 |
|
|
$21,872.00 |
|
TOTAL |
$18,659,062.00 |
$0 |
$10,172,942.00 |
$28,832,004.00 |
FINANCIAL IMPACT:
There are adequate funds in the Board-adopted FY2021 budget to encumber the anticipated Consultant effort ($2 million) through the end of FY2021. Funds to cover each subsequent fiscal year services, FY22-24, will be recommended by staff during each fiscal year budget process or via budget adjustment(s). The impact of this Consultant Agreement would be an increase to the total Project costs, which is not reflected in the draft FY 2022-2026 Five-Year Capital Improvement Program (CIP), and would be incorporated into the following year’s CIP (FY 2023-2027).
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 1: Amendment No. 9
UNCLASSIFIED MANAGER:
Manager
Christopher Hakes, 408-630-3796