BOARD AGENDA MEMORANDUM
Government Code § 84308 Applies: Yes ☒ No ☐
(If “YES” Complete Attachment A - Gov. Code § 84308)
SUBJECT: Title
Approve the Agreement A5779A with AECOM Technical Services, Inc., for Design Consultant Services for the Pure Water Silicon Valley Demonstration Facility Project, Project No. 91294001, PB File No. VW0473, for a Total Not-To-Exceed Fee of $4,499,917.
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RECOMMENDATION: Recommendation
Approve the Agreement A5779A with AECOM Technical Services, Inc., for Design Consultant Services for the Pure Water Silicon Valley Demonstration Facility Project, Project No. 91294001, PB File No. VW0473, for a total not-to-exceed fee of $4,499,917.
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SUMMARY:
The Pure Water Silicon Valley (PWSV) Demonstration Facility Project (Project) consists of a direct potable reuse (DPR) pilot treatment facility (Pilot Facility) and a Learning Center facility.
The purpose of the Pilot Facility is to conduct validation testing and monitoring to support the Division of Drinking Water (DDW) regulatory permitting for a future DPR full scale facility, perform optimization studies and operator training. The purpose of the Learning Center is to enhance public outreach and education on water reuse and water supply, demonstrate DPR treatment technology, and offer DPR water for tasting.
Staff recommends that the Board approve the Agreement for Design Consultant Services for Pure Water Silicon Valley Demonstration Facility Project (Agreement). Under the Agreement, the Consultant will prepare separate sets of design documents for both the Pilot Facility and the Learning Center. The signed agreement will be included as a handout or supplemental memo and may change. Staff will identify for the Board any material changes between the version attached to this Board Agenda Memorandum and the final version.
Project Background
As part of the Water Supply Master Plan 2050 development, Santa Clara Valley Water District’s (Valley Water) Board of Directors adopted a potable reuse goal of 24,000 acre-feet per year (AFY) by 2035 and a long-term vision to maximize water reuse in the county up to 32,000 AFY by 2050.
The approval of the Direct Potable Reuse Regulations (SBDDW-23-001) by the State Water Resources Control Board with an effective date of October 2024 and recent technological advances have made it possible for Valley Water to pursue DPR as a drought-resilient, locally controlled, new source of supply to meet Valley Water Board’s potable reuse goals.
The Project will construct a 200 gallon per minute (gpm) Pilot Facility needed for validation testing and monitoring to support regulatory permitting and DDW compliance of a future full-scale DPR facility and a new Learning Center facility to educate and garner support for this new water supply source. This Project will assist Valley Water in expediting a full-scale project.
Previous Board Actions
On June 10, 2025, the City of San José Council and the Valley Water Board approved the Option Agreement for the First Amendment to the Ground Lease and Property Use Agreement (Option Agreement) for the Project. The Option Agreement was executed in early 2026.
Consultant Selection Process
On August 8, 2025, a Request for Proposal (RFP) for design consulting services was published on Valley Water’s procurement portal on PlanetBids. The RFP was sent to firms registered in PlanetBids under the following industry category codes: 90600, 90607, 90610, 90694, 91842, 92500, 92517, 92531, 92588, 92567, 92596, 92522, 92533, 92535, 92537, and 92597.
On August 26, 2025, a mandatory pre-proposal meeting was held simultaneously via Zoom and at the Silicon Valley Advanced Water Purification Center (SVAWPC) followed by an optional site visit. Fourteen people attended the pre-proposal conference in person, and twenty-seven people attended virtually.
Valley Water received proposals from AECOM Technical Services, Inc, and Carollo Engineers, Inc. An evaluation committee of four internal and one external subject matter experts ranked the proposals, interviewed both firms, and recommended contract negotiations with AECOM, the highest ranked firm. Negotiations have concluded successfully. Staff recommends the Board approve the agreement with AECOM for a not-to-exceed fee of $4,499,917.
Consultant Scope of Services
The recommended Agreement with AECOM Technical Services, Inc. includes design consultant services for the PWSV Demonstration Facility. A summary of the tasks and budget is presented in Table 1 as Attachment 2. The scope of services includes project management, data collection and investigation, development of basis of design documentation, preparation of detail design documentation and bid and award services for both the Pilot Facility and Learning Center.
The Supplemental Services task includes additional services, if necessary, to provide support for procurement of long-lead equipment, engineering design services for improvement of adjacent areas, design services related to additional regulatory permitting requirements, technical support related to development of exhibits and model designs, and assistance in oversight and monitoring of the pilot facility validation testing. Prior to performing any Supplemental Services, the Consultant will be required to obtain written authorization from Valley Water’s Deputy Operating Officer pursuant to an approved Task Order.
ENVIRONMENTAL JUSTICE IMPACT:
There are no environmental justice impacts associated with this item.
FINANCIAL IMPACT:
The Pure Water Silicon Valley Demonstration Facility Project, Project No. 91294001, is included in the Capital Improvement Program (CIP) Fiscal Years (FY) 2026-30 Five-Year Plan. There are available funds in the Project’s FY 2026-2027 Adopted Budget to encumber the initial anticipated expenditures for the Agreement before end of this fiscal year. For subsequent fiscal year services, there is available funding to encumber the anticipated Consultant effort through FY 2029. The not-to-exceed (NTE) fee for the Agreement will not change the overall Total Project Cost reflected in the CIP. The funding source for the Project is the Water Utility Enterprise Fund (Fund 61).
The Pure Water Silicon Valley Demonstration Facility Project is also expected to receive FY 2026 Community Project Funding from the United States Environmental Protection Agency in the amount of $1,092,000.
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. All components of the Project will be evaluated to meet the requirements set forth in the California Environmental Quality Act (CEQA) Guidelines before Project approval by the Board.
ATTACHMENTS:
Attachment A: Gov. Code § 84308
Attachment 1: Agreement
Attachment 2: Table 1
*Handout 6.2-A: Final Agreement
UNCLASSIFIED MANAGER: Manager
Kirsten Struve, 408-630-3138