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File #: 25-0896    Version: 2 Name:
Type: Water Utility Enterprise Item Status: Agenda Ready
File created: 10/7/2025 In control: Board of Directors
On agenda: 12/9/2025 Final action:
Title: Receive Report of Bids, Ratify Addenda, Waive Minor Irregularities, Approve the Contingency Fund, and Award the Construction Contract to Mountain Cascade, Inc., for the Penitencia Water Treatment Plant Residuals Management Project, Project No. 93234044, Contract No. 0711 in the Sum of $90,569,600 (City of San Jose, District 3).
Attachments: 1. Attachment 1: Project Delivery Process Chart, 2. Attachment 2: Location Map
BOARD AGENDA MEMORANDUM

Government Code ? 84308 Applies: Yes ? No ?
(If "YES" Complete Attachment A - Gov. Code ? 84308)

SUBJECT: Title
Receive Report of Bids, Ratify Addenda, Waive Minor Irregularities, Approve the Contingency Fund, and Award the Construction Contract to Mountain Cascade, Inc., for the Penitencia Water Treatment Plant Residuals Management Project, Project No. 93234044, Contract No. 0711 in the Sum of $90,569,600 (City of San Jose, District 3).


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RECOMMENDATION: Recommendation
A. Ratify Addenda No(s). 1 through 10 to the Contract Documents for the Penitencia Water Treatment Plant Residuals Management Project;
B. Waive minor irregularities in Mountain Cascade, Inc.'s bid;
C. Award the Construction Contract to Mountain Cascade, Inc., located in Livermore, CA, in the sum of $90,569,600; and
D. Approve a contingency sum of $13,585,440 and authorize the Chief Executive Officer or designee to approve individual change orders up to the designated amount.


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SUMMARY:
The objective of the Penitencia Water Treatment Plant Residuals Management Project (Project) is to address age, capacity, efficiency, and reliability issues with the plant's existing Residuals Management System (RMS) to ensure that the plant efficiently and reliably provides potable water to retailers in the Santa Clara Valley Water District's (Valley Water) service area while meeting applicable regulatory standards. The scope of work for the Project includes improvements to the following components of the RMS: washwater handling and treatment, sludge handling and dewatering, and sedimentation basin sludge withdrawal.

Project Background
The Penitencia Water Treatment Plant (PWTP), constructed in 1974, is the smallest of Valley Water three potable water treatment plants. The plant delivers up to 42 million gallons of water per day to retailers, businesses, and residents within Valley Water's service area. The plant services the North San Jose and Milpitas areas, supplyi...

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