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Item 15.c.
k�*k CENTRAL SAN
CENTRAL CONTRA COSTA SANITARY DISTRICT
May 21, 2020
TO: HONORABLE BOARD OF DIRECTORS
FROM: KATIE YOUNG, SECRETARY OF THE DISTRICT
SUBJECT: MAY 12,2020 - ENGINEERING & OPERATIONS COMMITTEE - CHAIR
NEJEDLYAND MEMBER PILECKI
Attached are minutes of the above Committee meeting.
ATTACHMENTS:
1. E&O Committee Minutes 05-12-20
2. (Handout) Item 4.b. Updated Estimate
May 21, 2020 Regular Board Meeting Agenda Packet- Page 494 of 505
Page 2 of 12
CENTRAL SAN
CONTRACENTRAL • DISTRICT 5019 •
REGULAR MEETING OF THE BOARD OF DIRECTORS:
CENTRAL CONTRA COSTA MICHAEL R.MCGILL
President
SANITARY DISTRICT TAD JPHECKI
President Pro Tem
ENGINEERING & OPERATIONS
CAUSEY
COMMITTEE PAULA.
JAMES A.NEJEDLY
DAVID R, WILLIAMS
MINUTES PHONE: (925)228-9500
TAX- (925)372-0192
www.centralsan.org
Tuesday, May 12, 2020
2:00 p.m.
2nd Floor Conference Room
5019 Imhoff Place
Martinez, California
(All attendees participated via videoconference)
Committee:
Chair Jim Nejedly
Member Tad Pilecki
Guests:
Tom Frischer, CDM Smith
Malika Ramanathan, Brown and Caldwell
Hala Titus, CDM Smith
Staff.
Roger S. Bailey, General Manager
Katie Young, Secretary of the District
Phil Leiber, Director of Finance and Administration
Jean-Marc Petit, Director of Engineering and Technical Services
Danea Gemmell, Planning and Development Services Division Manager
Edgar Lopez, Capital Projects Division Manager
Kevin Mizuno, Finance Manager (joined during Item 5.a)
Sasha Mestetsky, Senior Engineer
Craig Mizutani, Senior Engineer
Nate Morales, Senior Engineer (left after Item 4.b.)
Amelia Berumen, Senior Administrative Technician (participated at the meeting location)
May 21, 2020 Regular Board Meeting Agenda Packet- Page 495 of 505
Page 3 of 12
Engineering & Operations Committee Minutes
May 12, 2020
Page 2
1. Notice
This meeting was held in accordance with the Brown Act as in effect under the
State Emergency Services Act, the Governor's Emergency Declaration related to
COVID-19, and the Governor's Executive Order N-29-20 issued on March 17, 2020
that allowed attendance by Board Members, District staff, and the public to participate
and conduct the meeting by teleconference, videoconference, or both. The agenda
included instructions for options in which the public could participate in the meeting.
2. Call Meeting to Order
Chair Nejedly called the meeting to order at 2:02 p.m.
3. Public Comments
No public comments.
4. Items for Committee Recommendation to Board
a. Review draft Position Paper to award a construction contract in the amount
of $77,700 to D.W. Nicholson Corporation, the lowest responsive bidder for
the Lower Orinda Pump Station Adjustable Speed Drive (ASD)
Replacements, District Project 8442; consider exemption from the California
Environmental Quality Act (CEQA); and authorize up to a 30-percent
contingency
Mr. Lopez provided an overview of the project. He noted that staff has
incorporated necessary measures related to the COVID-19 pandemic, as
provided by the County's health services division, in the contract documents
for each of the four projects being presented for award.
He advised that as the low bid was considerably less than other bids and
the engineer's estimate, staff contacted the contractor to discuss the bid
price. D.W. Nicholson Corporation confirmed there was no error made and
is comfortable proceeding with the bid price provided. The contractor has
successfully completed other projects for Central San.
Mr. Lopez stated that even though the $77,700 contract award is within the
General Manager's $200,000 authority, staff is presenting this construction
contract for Board award since the total project work, including pre-
purchased equipment, is over$200,000, as shown in Attachment 3 in the
agenda packet. The VFDs were pre-purchased at a cost of$202,000 under
the emergency work declaration. In addition to the overall cost, other
actions are also being requested (i.e., to consider exemption from CEQA
and to authorize up to a 30-percent contingency).
May 21, 2020 Regular Board Meeting Agenda Packet- Page 496 of 505
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Engineering & Operations Committee Minutes
May 12, 2020
Page 3
Mr. Lopez noted that although staff typically uses the variable frequency
drive (VFD) term, the pump station crew commonly uses the ASD term that
is used in the project name and has the same meaning.
Member Pilecki inquired about the cost of repairs prior to the VFD pre-
purchase since it was not represented in the cost estimate. Mr. Lopez
confirmed that number is not shown, and he will include the cost in the pre-
bid expenditures section of the estimate when presented to the full Board
for award.
COMMITTEE ACTION: Recommended Board approval.
b.* Review draft Position Paper to award a construction contract in the amount
of $1,222,200 to Bockmon &Woody Electric Company, Inc., the lowest
responsive bidder for the Plant Control System Input and Output (1/0)
Replacement Project— Phase 2, Secondary Process, District
Project 733913; consider exemption from the California Environmental
Quality Act (CEQA); and authorize up to a 15-percent contingency
Mr. Lopez stated this project received a great response, nine bids. Many of
the bidders, all well qualified contractors, have been used on past projects.
In 2017, Central San awarded Bockmon & Woody the Fire Protection
Systems -Phase 2 Revised project, which was successfully completed.
A revised construction cost estimate (attached) was distributed to the
Committee prior to the meeting. Mr. Lopez explained that the original
estimate did not include the PLC (programmable logic controller) hardware
cost, which increases the total estimate by$60,000 (highlighted on the
revised estimate). He pointed out that the construction cost estimate also
includes Phase 1 expenditures, for a project grand total cost of$3.2 million
(rounded).
Member Pilecki inquired about the PLC hardware and Quantum 1/0 cards
as he did not see mention of the equipment in the draft Position Paper and
asked whether the cards have been deemed a sole-source purchase. Mr.
Lopez replied that the cards were sole-sourced to match other system
components. In this case, in order to finish the project, additional materials
are needed and will be sole-source purchased for the same reason and for
standardization. Mr. Petit reminded the Committee that staff went before the
Board in 2017 to authorize a sole-source procurement of the PLC hardware
from Schneider Distributor for both phases of the project; however, an
additional purchase is needed to complete the Phase 2 portion as more
PLCs need to be replaced. Member Pilecki requested staff add a statement
to the Position Paper to reflect the standardization purchase requirement
and prior pre-purchase authorization.
May 21, 2020 Regular Board Meeting Agenda Packet- Page 497 of 505
Page 5 of 12
Engineering & Operations Committee Minutes
May 12, 2020
Page 4
Mr. Petit also stated, in response to Member Pilecki asking why the draft
Position Paper stated that the project "may start in July 2020,"that staff will
rephrase the COVID-19 Impact statement in the background section as the
pandemic construction constraints have been changed and the estimated
start date of July 2020 was written prior to the revised construction orders.
COMMITTEE ACTION: Recommended Board approval.
C. Review draft Position Paper to award a construction contract in the amount
of $3,572,655 to Precision Engineering, Inc., the lowest responsive bidder
for the Walnut Creek Sewer Renovations, Phase 14, District Project 8460;
consider exemption from the California Environmental Quality Act (CEQA);
and authorize up to a 15-percent contingency
Mr. Lopez stated that this project was the first of two being presented at this
meeting as part of the Collection System Sewer Renovation Program, and
that staff used last year's pricing to calculate the engineer's estimates. The
engineer's estimate for this project was higher than most of the six bids
received. The low bid contractor for this project, Precision Engineering, Inc.
(Precision), has completed work for Central San before, the last project
being the Lafayette Sewer Renovations - Phase 12.
He noted that this project included an alternative bid item for a sewer creek
crossing in the Via Ferrari area located in unincorporated Lafayette that has
been previously discussed with the Committee. The alternative bid price
provided by Precision is higher than originally estimated by staff. It is
believed better pricing for that work can be obtained if bid separately.
Therefore, staff is not recommending awarding the additive bid item.
Member Pilecki noted that in the background section, staff discussed the
inclusion of two urgent sites in need of replacement. The first site is clearly
stated as an additive bid item; however, it is unclear whether the second
site is also an additive bid item or part of the main project. Mr. Lopez
confirmed the second site is part of the project, not an additive item, and
that he will clarify it in the Position Paper when presented to the full Board.
COMMITTEE ACTION: Recommended Board approval.
May 21, 2020 Regular Board Meeting Agenda Packet- Page 498 of 505
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Engineering & Operations Committee Minutes
May 12, 2020
Page 5
d. Review draft Position Paper to award a construction contract in the amount
of $3,030,075 to Pacific Trenchless, Inc., the lowest responsive bidder for
the Martinez Sewer Renovations, Phase 6, District Project 8458; consider
exemption from the California Environmental Quality Act (CEQA); and
authorize up to a 15-percent contingency
Mr. Lopez stated that Pacific Trenchless, Inc. has proven to be a very
reliable contractor that has performed well for Central San. He reminded the
Committee that the engineer's estimate used last year's pricing, so the bids
received are much lower. Staff will adjust estimates for the upcoming
projects going to bid soon. In reviewing the construction cost estimate, Mr.
Lopez said the overall project cost of being under$4.5 million is due to the
great bids received and the contractor's understanding of doing work in
Martinez. He also noted that Central San and the City of Martinez have
worked well coordinating construction and permitting activities.
Member Pilecki asked for staff's opinion on the reason behind receiving a
high number of competitive bids and whether Central San is the only
agency advertising projects during the pandemic. Mr. Lopez responded that
he has been monitoring other agencies and has seen there is still some
construction bid activity across the Bay Area. He opined that perhaps due
to the residential and commercial construction impact, it may have helped
obtain these favorable bids. He continued that Central San appears to be
ahead of several agencies in bidding this type of work during the pandemic.
COMMITTEE ACTION: Recommended Board approval.
5. Other Items
a. Receive update on Filter Plant and Clearwell Improvements, Phase 1A,
District Project 7361
Mr. Petit provided an overview of the presentation material included with the
agenda, including a recap of recent work completed at the Filter Plant site,
as previously discussed in other meetings, and to pre-announce the
upcoming project bid release for this large-scale project.
He stated that Filter No. 3 (the least performing filter) was selected as the
filter to rehabilitate under this project and the work will be listed as an
alternative bid item. Mr. Petit also shared that the electrical system is failing
faster than expected. The electrical component of improvement work will
also be included as an alternative bid item for the Applied Water Pumps in
order to evaluate whether it can be done sooner than originally planned.
Work scope has been added to the project to take advantage of the excess
soil material that will be generated by lowering the East Clearwell walls
where the new above-grade storage tanks will be located. The existing
May 21, 2020 Regular Board Meeting Agenda Packet- Page 499 of 505
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Engineering & Operations Committee Minutes
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Clearwell walls are classified as a dam and is being lowered under this
project. As such, it will no longer be classified as a dam and staff has
submitted a letter to the Division of Safety of Dams (DSOD). Therefore, the
extra materials will be used on the west basin to build up the levee in that
area; the earthwork will be included in the scope of work.
The project budget shown on slide 12 is based on cash flow and a final
engineer's estimate for the project, which has been included in the draft
Fiscal Year 2020-21 Capital Improvement Budget for Board consideration.
Member Pilecki asked staff for their opinion if what is being proposed for the
Filter No. 3 rehabilitation will be successful because numerous, different
attempts with various consultants in the past have not worked, especially
since the Filter No. 3 rehabilitation work is estimated at $2.8 million. Mr.
Petit responded he was aware of that fact. The poor performance of the
filter has been impacted by the water quality of the secondary effluent,
which is not nitrified. Operations must add a lot of coagulant chemicals
(alum) to treat the water so it can be more filterable. He noted that in
concurrence with the design effort, staff has done a significant amount of
pilot testing on the existing filters to improve filterability and to optimize the
type and dose of coagulant to be added. Only one of four filters will be done
under this project because there is not a 100% certainty it will significantly
improve performance. Staff is also looking at tertiary membranes with
different filtering options and evaluating as an alternative for pricing
comparison. Member Pilecki requested this latest information be included in
the presentation so that the Board can fully understand the concept.
COMMITTEE ACTION: Received the update and provided input to
staff.
b. Review proposed Fiscal Year (FY) 2020-21 Capital Improvement Budget
(CIB) and Ten-Year Capital Improvement Plan (CIP)
Mr. Lopez presented an update of the current fiscal year CIB
accomplishments and discussed the projects and programs that will be
continuing into the new fiscal year and those that are new additions.
On slide 3, Mr. Lopez pointed out a disclaimer that $104 million shown in
the budget-to-date column includes funds that have been spent; 85-90% is
estimated to be spent by the start of the new fiscal year. Overall, there is
approximately$500 million worth of projects included in the proposed Ten-
Year CIP.
Member Pilecki inquired whether, in addition to the $88 million for FY 2021,
staff expected to carryover$10-15 million of funds, which would instead be
approximately$98 million. Mr. Lopez replied that is correct, should staff
spend 90% of budget with the exception of closed projects, then the
May 21, 2020 Regular Board Meeting Agenda Packet- Page 500 of 505
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Engineering & Operations Committee Minutes
May 12, 2020
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carryover would equate to such a carryover amount. Member Pilecki asked
that staff note the balance will be a carryover to next fiscal year and to
include an estimated amount, stating he wants the Board to be aware of
staff's intention of the approximate spending amount.
The chart included on slide 4 represents commitments shown with mid-April
amounts. This represents $60 million committed this fiscal year, $30 million
next year, and$13 million the subsequent year.
Mr. Lopez shared that although cities are listed on slide 7 of the pending
Collection System projects (and typically part of the project name), this list
is not all inclusive of all project sites, but also includes other areas such as
Alamo, Moraga, and other unincorporated locations in the service area.
During discussion on slide 8 of the major treatment plant project focus,
Member Pilecki inquired whether the larger Steam and Aeration Blower
Systems Renovation (Steam & Aeration) and the Solids Handling Facility
Improvements (Solids Handling) projects have been updated to reflect the
most current estimates. Mr. Petit replied that the Steam & Aeration project
remains listed at $63 million under this budget. This project has many
components that are focused on the steam and secondary processes,
including the blower and the electrical systems. Staff is still reviewing the
electrical component and secondary treatment processes and is preparing
reports on these elements. Currently, staff is not in a position to adjust the
estimate, and the project may need to be broken down into phases or
focused on particular components. For the upcoming fiscal year, this project
includes the design and possible replacement of the electric blower in
concert with the Solids Handling project, which may require shutting down
the furnaces. Therefore, an alternative to the steam driven turbine is being
evaluated under this project.
As it pertains to the Solids Handling project, the estimate is listed at
$128 million; updates are still being worked on and the final numbers have
not been settled. The constructability and complex shutdown requirements
are still being analyzed and options are being discussed. Staff responded to
the 90% Design submittal received from Black & Veatch (B&V) last fall with
extensive comments that have not all been reconciled. Central San's Utility
Systems Engineer, Chuck Burnash, provided a lot of useful comments
before his retirement that B&V needs to include. Mr. Petit also advised the
Committee that B&V has recently requested additional budget to continue
working on the project which has created some delays in completing the
final design. Without going into detail, he advised that the General Manager
and District Counsel are aware and that staff will be responding to the
request. He anticipates this matter will be resolved in quick order and staff
still intends to bid the project this fall.
May 21, 2020 Regular Board Meeting Agenda Packet- Page 501 of 505
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Engineering & Operations Committee Minutes
May 12, 2020
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Member Pilecki inquired why the Water Exchange Project efforts were not
captured on the Recycled Water Program focus slide (slide 10). Mr. Petit
and Mr. Lopez responded, respectively, that the Water Exchange Project
remains ongoing, it is part of the Recycled Water program and will be
added to this slide prior to Board presentation.
It was noted by Member Pilecki that several Board Members have asked for
a prioritization of the different categories. In reviewing the draft booklet that
was recently distributed to the Board, it was noticed that within the
categories, there could be 20-30 projects. He asked how those are ranked.
Mr. Petit stated that each capital project listed in the draft budget already
has a Priority Rank (Critical, Very High, High, or Medium) and an
associated ranking score. However, it does not differentiate the priority
between projects within a program. Mr. Petit stated that any project already
in construction is determined to be the highest priority as there is already a
contractor commitment in place. During the COVID-19 pandemic second
health order, staff had to rank essential infrastructure projects that could
proceed in which staff had to review and rate at that time, which was then
reviewed by the Executive Management Team and District Counsel. Fifteen
categories were weighed based on failures, urgent need, construction,
regulatory, risk to permitting, etc. A second ranking would be based on
those projects in design, followed by a third level of projects in the planning
stage, which is the seed to design and construction projects.
Member Pilecki concurred that projects in construction should be ranked
first as the financial consequences of stopping a project are significant. He
continued that it would be helpful to know what projects would be dropped
based on their rankings. Mr. Petit stated that with the pandemic project
review, staff has initiated a system and is prepared make a more
comprehensive evaluation of the entire program. Mr. Bailey indicated that a
priority ranking system would be implemented. The Committee had no
further questions.
COMMITTEE ACTION: Reviewed and provided input to staff.
C. Receive Capital Projects Division Quarterly Report (January to March) on
capital projects, active consultant contracts, change order log, and schedule
of bids and awards
Mr. Lopez advised that the Influent Pump Electrical Improvements
engineer's estimate shown on the future bids and awards report (last page)
was incorrect. Rather than $7.7 million, the current estimate is $6.9 million.
He also stated that the Lafayette Sewer Renovations - Phase 14 project is
nearing finalization to bid ahead of schedule as staff would like to seize the
great bid market as recently seen with the other projects discussed earlier.
May 21, 2020 Regular Board Meeting Agenda Packet- Page 502 of 505
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Engineering & Operations Committee Minutes
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This same report did not reflect the engineer's estimate for the Phase 14
project, which is around $3.6 million.
Member Pilecki mentioned that prior to the current General Manager
approval authority threshold, change orders that were over$50,000 were
brought before the Board for discussion. He noted that the Server Room
Relocation project has an 18% change order rate, nearing $1 million, some
being well over$50,000 each. He would like to have a discussion of those
change orders at a future meeting. Mr. Petit responded that the budget and
change orders associated with this project, and its required budget and
contingency increases, has been previously discussed and approved by the
Board. He will forward a copy of the prior discussion material to the
Committee and should it warrant further discussion, it would be placed on a
future meeting agenda.
Mr. Petit also replied to an inquiry from Member Pilecki pertaining to the
Influent Pump Electrical Improvements project, confirming that the project
will not install submersible pumps. The scope of work for the project
includes `rewinding'the existing motors, installation of new VFDs, and the
addition of a sixth pump. Upon various analyses associated with increasing
the resiliency of the pump station, relative to possible flooding of the
drywell, it was recommended to provide an isolation gate on the pump
suction side within the wetwell, which will be included as an alternative bid
item instead of submersible pumps.
COMMITTEE ACTION: Received the report.
6. Announcements
None.
7. Suggestions for Future Agenda Items
a. Receive list of upcoming agenda items and provide suggestions for any
other future agenda items
Member Pilecki expressed his desire for staff to present an impact
assessment toward the end of the calendar year to the Committee of the
COVID-19 pandemic on project schedules during the design and
construction phases and the associated costs. Chair Nejedly opined that
staff does not need to undertake such a task and needs to be able to focus
on getting through this time. He stated that a lot of time is already being
spent on pandemic impact benchmarks. Member Pilecki stated he would
revisit the topic for Committee consideration at a future meeting.
COMMITTEE ACTION: Received the list and provided input to staff.
May 21, 2020 Regular Board Meeting Agenda Packet- Page 503 of 505
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Engineering & Operations Committee Minutes
May 12, 2020
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8. Future Scheduled Meetings
a. Tuesday, June 2, 2020 at 2:00 p.m.
Monday, June 22, 2020 at 2:00 p.m.
Tuesday, July 7, 2020 at 2:00 p.m.
Tuesday, August 4, 2020 at 2:00 p.m.
Ms. Young mentioned that earlier in the day, she sent the Committee a message
about rescheduling the June 2 meeting. Upon further discussion, after that
message was sent, staff has requested to retain the June 2 meeting and add a
second meeting on Monday, June 22 at 2:00 p.m. The Committee agreed to the
addition. It was clarified that the July 7 meeting would remain as scheduled to
maintain the volume of project work schedules.
9. Adjournment— at 3:17 p.m.
*Attachment
May 21, 2020 Regular Board Meeting Agenda Packet- Page 504 of 505
Item 4.C. an�out)
ATTACHMENT 3 Updated Estimate
PLANT CONTROL SYSTEM 1/0 REPLACEMENT PROJECT—PHASE 2,SECONDARY PROCESS
DISTRICT PROJECT 7339B
POST-BID/PRECONSTRUCTION ESTIMATE
%of
Construction
No. Item Description Amounts Cost
1 CONSTRUCTION
a. Construction Contract $1,222,200
b. Contingency at 15% $183,800
c. PLC Hardware $60,000
SUBTOTAL-CONSTRUCTION $1,466,000 100%
2 CONSTRUCTION MANAGEMENT
a. District Forces (Construction Management and Engineering) $150,000
b. Consultant-As-needed Engineering Services $30,000
c. Operations Support $30,000
SUBTOTAL-CONSTRUCTION MANAGEMENT $210,000 14%
3 PREBID EXPENDITURES
a. District Forces
- Planning and Design $130,000
-As-Built Documentation and Field Investigation $55,000
SUBTOTAL-PREBID EXPENDITURES $185,000 13%
4 TOTAL ESTIMATED PROJECT COST-PHASE 2 $1,861,000
5 PAST EXPENDITURES- PHASE 1 $1,310,000
6 TOTAL ESTIMATED PROJECT COST- PHASES 1 &2 $3,171,000
May 21, 2020 Regular Board Meeting Agenda Packet- Page 505 of 505