ITEM:		CONSENT CALENDAR
3.	Consider Expenditure of Budgeted Funds to Amend Contract with Pueblo Water Resources for 2008-09 Phase 1 Aquifer Storage and Recovery Project Technical Support
Meeting Date:			November 17, 2008	Budgeted:	Yes
From:			Darby Fuerst,	Program/	1-2-1 A. 1, 2, 4
			General Manager	Line Item No.:	and 6
Prepared By:			Joe Oliver	Cost Estimate:	$649,433
General Counsel Approval: N/A
Committee Recommendation: The Administrative Committee reviewed this item on November 10, 2008 and recommended approval.
CEQA Compliance: N/A

SUMMARY: As part of the Monterey Peninsula Water Management District (MPWMD or District) Phase 1 Aquifer Storage and Recovery (ASR) Project, a second injection well was constructed in 2007. This well, known as ASR #2, is currently in the process of being equipped for injection and recovery testing operations. In 2008, permanent underground utility lines (i.e., water, electrical, chemical) were installed, and preliminary site grading was conducted. The District is now preparing to embark on the final phase of completion for the Phase 1 ASR site, which will include:

a) structural and architectural designs for the onsite permanent electrical/chemical treatment building,

b) plans and specifications for the Pacific Gas and Electric (PG&E) upgrade service to the site,

c) plans and specifications for permanent site grading, paving, fencing and landscaping,

d) permitting assistance with the City of Seaside Architectural Review Board,

e) permitting assistance with the Regional Water Quality Control Board,

f) contractor bidding assistance for construction of remaining Phase 1 site facilities,

g) construction management services for remaining Phase 1 site facilities,

h) assistance with Water Year 2009 ASR operations,

i) assistance with anticipated Phase 2 ASR expansion planning.

Accordingly, District staff has requested and received a proposal for this assistance from Pueblo Water Resources (PWR), the firm that has been providing hydrogeologic and engineering technical assistance on the Phase 1 ASR project. The PWR proposal is provided as Exhibit 3-A and describes these tasks in greater detail. The proposal includes a schedule for work through the end of Fiscal Year 2008-09 (i.e., June 30, 2009), when it is anticipated that the required facilities will be at or near completion. This is an aggressive schedule, but is desired in order to have all the site permanent facilities in place for the anticipated project operations with the expanded delivery capacity (i.e., 3,000 gallons per minute injection capacity) from the California American Water (CAW) delivery system by December 2009.

RECOMMENDATION: District staff recommends authorization to amend the existing contract agreement with PWR for the hydrogeologic and engineering technical services described in Exhibit 3-A, for a not-to-exceed amount of $649,433. If approved, staff will process an amendment for this amount in order to initiate this work.

IMPACT ON STAFF/RESOURCES: Planning, design, construction and operation of the Phase 1 ASR Project facilities and evaluation of the Phase 2 ASR expansion are ongoing significant staff commitments, as reflected in the District’s Strategic Plan. Funds for this work totaling $1,765,700 have been included in the MPWMD budget (Line Items 1-2-1 A 1, 2, 4, and 6 of MPWMD FY 2008-09 budget, adopted June 16, 2008). Of this total, $211,200 is budgeted for ASR operations and maintenance and is reimbursable by CAW. The requested funding authorization includes a 10% contingency amount which would only be utilized based on written request and authorization by the District.

EXHIBITS

3-A PWR Proposal for Professional Hydrogeologic and Engineering Services, letter of November 6, 2008

U:\staff\word\boardpacket\2008\2008boardpackets\20081117\03\item3.doc