BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Amendment No. 1 to Agreement No. A3867A with Siegfried Engineering, Inc. Increasing the Design Services Agreement and Previously Approved Not-to-Exceed Fee from $458,000 to $792,600 and Extending the Term of the Agreement for the Coyote Warehouse Project, Project No. 91234011 (Morgan Hill) (District 1).
End
RECOMMENDATION:
Recommendation
Approve Amendment No. 1 to Agreement No. A3867A with Siegfried Engineering, Inc. with an additional fee of $334,600 for engineering support services during construction for a revised not-to-exceed (NTE) fee of $792,600 and extend the term of the Agreement.
Body
SUMMARY:
The objective of the Coyote Warehouse Project (Project) is to construct a suitable storage facility for parts and materials used in the maintenance and operation of the District’s pipelines and pumping plants, such as sections of pipe, valves, gaskets, pumps, hoses, disinfection equipment, electrical supplies, and control systems supplies. Completion of the Project will support the District’s ongoing operations to efficiently provide reliable drinking water to water retailers, businesses, and residents in Santa Clara County.
Approval of staff’s recommendation will extend the term of the design services agreement, and allow Siegfried Engineering (Consultant), as the Engineer of Record, to provide engineering support services during the Project’s construction phase. All of the work identified and costs to be incurred under Amendment No. 1 involve new work, not previously identified in the Agreement, and required for support of District personnel during construction.
Project Background
Pursuant to an Operations and Maintenance Agreement between the District and the U.S. Bureau of Reclamation (USBR), the District operates and maintains the Central Valley Project’s San Felipe Division facilities, including the Pacheco Pumping Plant, Santa Clara Conduit and Tunnel, and Coyote Pumping Plant. The Coyote Pumping Plant is located on USBR property in Morgan Hill. The USBR parcel is approximately 9.8 acres in size and is used as a District satellite facility.
The District owns 8.2 acres of real property immediately adjacent to the USBR parcel. The District uses the site to stockpile various materials needed for maintaining its pipelines and pump stations; many of these materials are not suited for outside storage. Some of the items have long lead purchase times and are pre-ordered and delivered to the site in advance of project work. The District also stockpiles excess rock and other construction-related materials onsite.
As a temporary measure, some of the spare parts are being stored in sea containers and in the USBR maintenance building and pump station building. The sea containers lack adequate space to house all the parts needed by maintenance staff, and they do not provide adequate space for staff to stage pipeline maintenance work. The USBR facilities were not designed, nor intended to be used, as permanent storage facilities. This Project entails construction of a permanent, suitable storage facility on the District-owned property for pump and pipeline parts. The estimated construction cost of the Coyote Warehouse Project is between $3.1 to $3.5 million.
Previous Board Actions
On June 23, 2015, the Board approved Agreement No. A3867A for Project design services between Siegfried Engineering, Inc. and the District, with a NTE fee of $458,000.
On June 13, 2017, the Board adopted Resolution 17-41 setting the time and date for a public hearing on the Engineer’s Report to take place on June 27, 2017.
On June 27, 2017, the Board conducted a public hearing on the Initial Study/Mitigated Negative Declaration (IS/MND) and the Engineer’s Report for the Project; adopted Resolution 17-44 adopting the IS/MND and the Mitigation and Monitoring Report Program; adopted Resolution 17-45 to approve the Engineer’s Report; and approved the Project.
Recommended Amendment No. 1 to Agreement A3867A
Agreement A3867A provides that upon completion of the scope of the Agreement, the District may, at its discretion, negotiate an Amendment to the Agreement for Siegfried Engineering to provide engineering support services during the Project’s construction phase. Siegfried Engineering has completed the scoped design services to date within budget.
Staff anticipates recommending Board approval to advertise the Project for construction in the fall of 2017. As the Engineer-of-Record, Siegfried Engineering’s services are necessary during the construction phase. Staff also recommends extending the expiration date of the Agreement from September 9, 2017 to December 31, 2019. This extension will allow the Consultant to provide engineering support services through the end of the Project construction phase and allow time for final invoicing, completing record drawings, and project close-out.
Staff has negotiated an Amendment with Siegfried Engineering for a not-to-exceed fee of $334,600 for the performance of engineering support services during construction. A summary of the tasks and budget for the proposed Amendment No. 1 is presented in Table 1.
Table 1 - Summary of Tasks and Fees for Amendment No. 1 to Consultant Agreement with Siegfried Engineering Inc.
|
Task |
Description |
Not-to-Exceed Fees |
|
|
|
Original Agreement |
Amendment No. 1 |
Revised Total |
|
1-6 |
Programming, Design, Environmental and Bid and Award Services |
$458,000 |
$0 |
$458,000 |
|
7 |
Project Management Services During Construction (NEW) |
|
$97,200 |
$97,200 |
|
8 |
Engineering Review (NEW) |
|
$170,900 |
$170,900 |
|
9 |
Engineering Site Support (NEW) |
|
$34,900 |
$34,900 |
|
10 |
Supplemental Services During Construction (NEW) |
|
$31,600 |
$31,600 |
|
|
Total Not-to-Exceed Amount |
$458,000 |
$334,600 |
$792,600 |
The current not-to-exceed fee for this Agreement is $458,000. Approval of this recommended Amendment would increase the not-to-exceed fee to $792,600.
FINANCIAL IMPACT:
The not-to-exceed fee for the recommended Amendment No. 1 to Agreement A3867A is $334,600. There are sufficient funds in the Board-adopted Fiscal Year 2017-2018 budget to encumber the amendment amount of $334,600. The expenditure for this amendment is included in the FY 18-22 CIP total project cost of $6.39 million.
CEQA:
The recommended action does not constitute a project under the California Environmental Quality Act 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. 1
UNCLASSIFIED MANAGER:
Manager
Christopher Hakes, 408-630-3796