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  Consent-General Government   # 11.       
Board of Supervisors County Administrator  
Meeting Date: 12/11/2018  
Brief Title:    NDM Water Project PSE & Bid
From: Patrick S. Blacklock, County Administrator
Staff Contact: Beth Gabor, Manager of Operations & Strategy, County Administrator's Office, x8042
Supervisorial District Impact:

Subject
Approve plans and specifications for construction of the North Davis Meadows Water System Consolidation Project; authorize advertisement for construction bids for the project; authorize the County Administrator to execute an agreement for construction management services not to exceed $532,200; authorize the County Administrator to execute an agreement for construction of the project with the lowest responsive and responsible bidder not to exceed $4,001,000; and determine that the foregoing actions are covered by the Negative Declaration and Addendum previously approved for this project pursuant to the California Environmental Quality Act. (No general fund impact) (Blacklock/Gabor)
Recommended Action
  1. Determine that the various recommended actions are covered by the Negative Declaration and Addendum previously approved for this project pursuant to the California Environmental Quality Act;
     
  2. Approve the plans and specifications for the project dated December 6, 2018 (plan excerpts found in Attachment A; all related documents available in the Clerk of the Board's office);
     
  3. Authorize the County Administrator to execute an agreement for construction management services up to $532,200;
     
  4. Authorize the Clerk of the Board to sign the Notice to Contractors and advertise for competitive bids for construction of the project;
     
  5. Authorize the County Administrator, or his designee, to determine whether the bid of the apparent responsible contractor with the lowest apparent responsive bid is, in fact, responsive and, if not, to determine which apparent responsible contractor submitted the lowest responsive bid;
     
  6. Authorize the County Administrator to award and execute a construction agreement with the lowest responsive and responsible bidder, provided the contract amount, plus 10% contingency, does not exceed $4,001,000 for construction of the project; and
     
  7. Authorize the County Administrator or designee to approve all construction change orders, provided the contract amount does not exceed available funds for the project. 
Strategic Plan Goal(s)
Operational Excellence
Thriving Residents
Safe Communities
Reason for Recommended Action/Background
The actions are to approve the plans and specifications for construction of the North Davis Meadows Water System Consolidation Project to award a contract for construction management and to authorize advertisement and award of a construction contract.

Background

Since 2009, the North Davis Meadows County Service Area (CSA) has been working toward a permanent solution for mitigation of water quality concerns in the community's public water system, most notably nitrate, hexavalent chromium, aluminum and iron in excess of maximum contaminant levels (MCLs). Absent progress toward a viable solution, the community is at risk for $1,000 fines per day, per constituent over the MCL (currently $3,000 per day absent an MCL for hexavalent chromium).

After assessing a variety of options for providing a potable water supply that meets all drinking water standards, including treatment at the well-head and drilling deep wells, the North Davis Meadows CSA Advisory Committee and the community concluded consolidating with the City of Davis public water system was the most reliable and cost-effective method to comply with California drinking water regulations and to ensure the health and safety, including fire protection, for the residents of North Davis Meadows.

On September 27, 2016, the Board of Supervisors approved an agreement with West Yost Associates for the design work related to extending City of Davis water to the North Davis Meadows community, following adoption of the Initial Study/Negative Declaration. An addendum to the Negative Declaration was later adopted on March 20, 2018, and the various recommended actions are within the analytical scope of the addendum and Negative Declaration.

Updated Project Costs

On September 25, 2018, the Board of Supervisors approved an amendment to the contract with West Yost Engineering to re-model the design of the project to factor in the recently reduced fire flow requirement from the City of Davis. The re-model resulted in a reduction in the pipe size, and thus, reduces the construction cost estimates by $506,663. West Yost also recommends removing the contractor's market contingency (10%) due to an industry lull with pipework, and reducing the standard contingency from 15% to 10% as the project is closer to construction. These adjustments result in an almost $1.2 million reduction to estimated project construction costs (Attachment B).

While the overall project cost is reduced, we have explored options for those on a low and fixed income to assist with paying their share of the project, such as home equity loans, reverse mortgages and property tax postponement programs; options which continue to be evaluated. Meanwhile, the City of Davis offers a Water Assistance Program which helps low income homeowners offset water costs. Note: following construction of the water project, all CSA charges will be evaluated and adjusted as appropriate based on actual construction and financing costs, as well as direct bill for water service by the City of Davis. 

Next Steps

Design of the Water System Consolidation Project is now complete and a funding agreement for a low-interest State Revolving Fund (SRF) loan is pending. A Request for Qualifications for construction management services will be issued in mid-December. A qualified consultant will be selected by a panel consisting of Yolo County and City of Davis staff. The consultant will provide construction management, inspection and materials testing, and special inspection for the project.
 
The project is scheduled to go out for bid in early 2019. Following an anticipated funding agreement with the State, construction could begin in March with completion in August. Although subject to change, a detailed proposed project timeline can be found in Attachment C, and additional project information, including the Initial Study/Negative Declaration, is available on the CSA's website: www.YoloCounty.org/North-Davis-Meadows-CSA (select Water Consolidation Project link).
Collaborations (including Board advisory groups and external partner agencies)
County Counsel, Purchasing, North Davis Meadows CSA Advisory Committee
Competitive Bid Process
In accordance with State law, the construction contract will be awarded to the bidder with the lowest responsive bid.

Fiscal Impact
Fiscal impact (see budgetary detail below)
Fiscal Impact (Expenditure)
Total cost of recommended action:    $   4,533,200
Amount budgeted for expenditure:    $   4,533,200
Additional expenditure authority needed:    $  
One-time commitment     Yes
Source of Funds for this Expenditure
$0
Explanation (Expenditure and/or Revenue)
Further explanation as needed:
The fiscal impact of these actions include an estimated $532,200 for construction management and $4,001,000 for construction, which includes a 10% contingency. On March 20, 2018, successful Proposition 218 proceedings were conducted to increase the North Davis Meadows CSA water charge to repay an SRF loan for all costs related to the North Davis Meadows Water System Consolidation Project. An application for that loan is under review, with a funding agreement anticipated in March 2019.
Attachments
Att. A. Plan Excerpts
Att. B. Project Cost Estimates
Att. C. Project Schedule

Form Review
Inbox Reviewed By Date
Financial Services Tom Haynes 12/05/2018 12:13 PM
Form Started By: Beth Gabor Started On: 11/21/2018 10:10 AM
Final Approval Date: 12/06/2018

    

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