BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Amendment No. 1 to Consultant Agreement No. A4120A with Brown & Caldwell, Inc. for additional services and benefits to the Countywide Water Reuse Master Plan in the Recycled and Purified Water Program, Project No. 91101004.
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RECOMMENDATION:
Recommendation
Authorize the Chief Executive Officer (CEO) to negotiate and execute Amendment No. 1 to Consultant Agreement No. A4120A, with Brown & Caldwell, Inc. to provide up to $1,069,700 for additional resources and engineering support on the Countywide Water Reuse Master Plan for the Recycled and Purified Water Program, which will result in a revised total Agreement not-to-exceed amount of $3,050,700 and an extension of the Agreement term by one year.
Body
SUMMARY:
This agenda memorandum presents the Recycled Water Committee’s May 20, 2019 recommendation to the Board to amend Consultant Agreement No. A4120A (Agreement), with Brown & Caldwell, Inc. for the Countywide Water Reuse Master Plan (Reuse Master Plan).
Background:
On February 26, 2019, staff provided a Reuse Master Plan update to the Board summarizing work completed to date and the additional complexity encountered while discussing treated wastewater availability and identifying potential water reuse projects with our Partner Agencies. Staff informed the Board that addressing feedback from Partner Agencies and the iterative planning process on a countywide level have been more complex than originally planned. Furthermore, additional follow-up meetings with Partner Agencies and interested stakeholders have been required to address the complex technical issues surrounding this multi-agency planning effort.
Since February 2019, staff has worked collaboratively and diligently with the Consultant to minimize the associated impact on project cost and schedule. With feedback from the Recycled Water Committee, Partner Agencies and other public stakeholders; the Reuse Master Plan has identified three portfolios of potential projects that warrant further discussion and continued evaluation. These portfolios will be further refined with hydraulic modeling, an economic assessment, a risk analysis, and preliminary engineering (10% design). Since the potential advanced water purification facilities identified will require reverse osmosis concentrate management, these portfolios will also be further examined in Santa Clara Valley Water District’s (Valley Water) Reverse Osmosis Concentrate Management planning process, which is being developed in parallel with this Reuse Master Plan.
Additional involvement from the Board, the Recycled Water Committee, Partner Agencies and public stakeholders will better define these water reuse portfolios and their project components. Future meetings of the Stakeholder Task Force and Project Partner Group (PPG) are planned for this purpose. The final Reuse Master Plan is anticipated to be completed in summer of 2020.
Amendment to Brown & Caldwell Agreement A4120A
On January 23, 2018, the Board approved Agreement A4120A with Brown & Caldwell, Inc. (Consultant) to develop a Reuse Master Plan. The original scope requires the Consultant to complete the Reuse Master Plan, which would include one recommended portfolio of projects, by June 30, 2019, for a not-to-exceed fee of $1.98M.
To complete the Reuse Master Plan given the new information described above, staff is presenting two options:
Option I - Option I assumes the Reuse Master Plan will be completed as originally scoped and scheduled (Attachment 2) after adjusting the timeline to account for additional review, and increasing the Consultant’s fee to extend program management and engagement tasks. Under this option, the Reuse Master Plan would be completed in January 2020.
Option I would minimize the impact on the schedule and overall cost to complete the Reuse Master Plan. However, limitations of adopting this option include the following:
• Does not allow enough time to complete a highly complex, stakeholder-driven planning effort;
• Does not address substantial changes to program assumptions associated with the original Expedited Purified Water Program;
• Does not implement program improvements (planning flexibility, DPR expansion, etc.) recommended by the Board, Partner Agencies and other stakeholders.
• Does not provide responses to Board, Recycled Water Committee and stakeholder recommendations.
Option II - Option II assumes the Consultant agreement’s scope, fee, and term would be amended more extensively to respond to Board, Recycled Water Committee, Partner Agency and stakeholder comments and recommendations for program improvement. This option would provide the following benefits:
• Includes improved scope that resolves changes to the agreement assumptions that were based upon the original Expedited Purified Water Program;
• Includes added project level design and economic analyses to better integrate planning information from Valley Water and Partner Agency master planning projects and programs;
• Provides added planning and project flexibility by evaluating three water reuse portfolios instead of one, as originally planned, and includes the integration of twenty-six independent project elements for planning purposes;
• Allows for a programmatic-level CEQA analysis to be completed (through a separate consultant services agreement) that accounts for all 26 project elements, and that will better position Valley Water for future grant opportunities;
• Includes a technical analysis, costing, and 10% design of Treated Water Augmentation (a form of Direct Potable Reuse) opportunities that will complement the three water reuse portfolios;
• Allows for additional technical review and feedback by the National Water Reuse Research Institute’s Independent Advisory Panel in 2020;
• Includes increased Board and stakeholder review and comment opportunities to maximize project participation and promote community partnership; and
• Increases contract control safeguards by providing interim design options and intermediate feedback checkpoints for stakeholders to refine project submittals and reports.
The chief disadvantages of Option II are the additional cost and time necessary to complete the countywide reuse planning effort.
Option II would implement key recommendations from the Board, Recycled Water Committee and Project Partners that will significantly improve master planning flexibility, increase partnership interaction and participation, maximize recycled water funding efforts countywide, and facilitate integration with Valley Water and Partner Agency water resource planning efforts. In addition, this option would include adequate time to interact with Partner Agency staff, state regulatory personnel and public stakeholders to maximize participation and support a consensus-based planning approach. The first draft of the Reuse Master Plan under this option would be available for comment in December 2019, with the final report tentatively scheduled for Board consideration in summer 2020.
The total estimated cost for each option is presented in Attachment 3. The FY19 Board-approved Budget for the Recycled and Purified Water Program, Project 91101004 has adequate remaining budget to fund the additional scope and fee.
BOARD RECYCLEDWATER COMMITTEE RECOMMENDATION:
On May 20, 2019 the Recycled Water Committee recommended that the Board of Directors authorize the CEO to negotiate and execute an Amendment consistent with Option II to the agreement between the District and Brown & Caldwell (Agreement No. A4120A). This Amendment will provide $1,069,700 for additional services and benefits to the Water Reuse Master Plan.
Recommendation:
Staff believes the additional resources and time provided under Option II will improve stakeholder participation and result in a much higher-quality master planning effort than Option I. Option II will provide the Board essential information to make better informed decisions for future water reuse projects. Staff proposes the Board authorize the Chief Executive Officer to negotiate and execute an amendment consistent with Option II to the Agreement with Brown & Caldwell for the Countywide Water Reuse Master Plan Project (Agreement No. A4120A).
FINANCIAL IMPACT:
Staff estimates an $1,069,700 expenditure associated with approval of these items. Funds are available in Project No. 91101004 Recycled & Purified Water Program.
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: PowerPoint
Attachment 2: CWRMP Timeline
Attachment 3: CWRMP Fees
UNCLASSIFIED MANAGER:
Manager
Gerald De La Piedra, 408-630-2257