ITEM:

CONSENT CALENDAR

 

3.

CONSIDER AUTHORIZATION OF ADDITIONAL CONTINGENCY FUNDS FOR CONSTRUCTION AND RELATED SERVICES FOR THE SLEEPY HOLLOW STEELHEAD REARING FACILITY RAW WATER INTAKE AND WATER SUPPLY SYSTEM UPGRADE PROJECT

 

Meeting Date:

November 18, 2019

Budgeted: 

No; funds to be identified from changes to FY2019-2020 Budget

 

From:

David J. Stoldt,

General Manager

Program/

Protect Environmental

Quality

 

 

Line Item No.: 

2-3-1 & other Mitigation Program activities

 

Prepared By:                  

Larry Hampson

Cost Estimate: 

$134,500

 

General Counsel Review:  N/A

Committee Recommendation:  The Administrative Committee reviewed this item on November 13, 2019 and recommended approval by a 3-0 vote.

CEQA Compliance:  The Board certified the Final Initial Study/Mitigated Negative Declaration, approved this project, and adopted the Mitigation and Monitoring and Reporting Plan on November 14, 2016.

 

SUMMARY:  As of November 1, 2019, staff estimates that approximately $51,000 remains of the previous Board authorizations to complete the Sleepy Hollow Facility Upgrade (the Project).  An additional amount of up to $134,500 will be required to complete approximately $185,500 of additional change orders identified during facility start-up (see the following tables).  Staff has identified funds for the additional work, which would come from Sleepy Hollow operations funds and Carmel River program activities in the Mitigation Program that will not be expended in FY 2019-20 (approximately $143,000).  Adjustments to individual budgeted line items would be made at the mid-year budget adjustment.

 

The Board has previously authorized up to $257,165 in contingency funds for the project.  Staff recommends that an additional $134,600 in contingency funds be authorized for the project.

 

RECOMMENDATION:  The Board of Directors should approve the following action:

 

Authorize the General Manager to approve additional change orders to construction and service contracts or for new service contracts for the Project in an amount up to $134,500 in total.  With this action, authorized contingency funds for the Project would rise from $257,165 to $391,165.

 

DISCUSSION:  The Sleepy Hollow Steelhead Rearing Facility upgrade (the Project) includes a new intake structure in the Carmel River, new pumps, a dual filtration system, modifications to the cooling tower, disease control (ultraviolet radiation of circulating water), a recirculating aquaculture system (RAS), a degassing system, an oxygenator, a power upgrade, advanced alarm systems, and an integrated control system.  Current costs and proposed additional funding is as shown in the table below.  In 2018, the District obtained a grant of $1.8 million for the Project from the State Coastal Conservancy, which is administering funds from a Settlement Agreement between Cal-Am and the National Marine Fisheries Service that funds Carmel River steelhead improvement projects.

 

Sleepy Hollow Facility Upgrade Budget and Estimated Costs as of November 2019

 

Item

Authorized Funding

Estimated Variance (+)

Estimated Variance (-)

Total

Construction

$1,802,835

$32,025

($34,140

$1,800,720

Survey Control

$10,000

 

($10,000)

$0

Inspection/testing

$5,000

 

 

$5,000

Record Drawings & Engineering Assistance

$25,000

 

 

$25,000

Contingency

$257,165

 

($38,800

$218,365

Sub-Total Expenditures

$2,100,000

$32,025

($82,940)

$2,049,085

Expected Additional Change Orders

 

185,500

 

$185,500

Sub-Total

 

 

 

$2,234,585

Additional Funds Required (Total Project Cost – Current Authorization)

 

 

 

$134,585

 

Most of the construction in the original contract for the facility upgrade and subsequent change orders authorized with previously approved Board funding were complete as of the first week of November 2019, although several “punchlist” items remain.  Contingency funds have been used for services and materials for road repairs, additional facility upgrades, additional equipment, installation of a sign, construction testing, and a power upgrade by PG&E.  The largest additional expenditure to date has been road repairs, due to damage from heavy construction equipment as well as almost daily contractor access and staff access. 

 

During facility startup and inspections, several additional change orders were identified as shown in the table below.  If the Board approves additional funding, the total of authorized contingency funds would be $391,165, which represents about 17.5% of the estimated total project cost. 


 

Proposed Additional Change Orders

 

 

IMPACTS ON STAFF AND RESOURCES:  Funds for additional contingency expenses, should they occur, would be funded from Sleepy Hollow Operations (Budget Program line item 2-3-1) and other Carmel River Riparian Mitigation Program items (2-1-1 through 2-1-5) that were budgeted, but will not be expended in FY 2019-20.  If this item is approved, funds for the additional contingency amount would be identified in the mid-year FY2019-20 budget adjustment.

 

Several District staff are involved in the upgrade assisting with project management, inspections, permit compliance, fish rescue, revegetation, monitoring and facility commissioning. The work is being performed under the direction of the District Engineer. 

 

EXHIBITS

None

 

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