ITEM:		CONSENT CALENDAR
8.	AUTHORIZE EXPENDITURE OF BUDGETED FUNDS FOR CONSTRUCTION OF electrical equipment facility building – SEASIDE MIDDLE SCHOOL ASR PROJECT
Meeting Date:			May 20, 2013	Budgeted:	Yes
From:			David J. Stoldt	Program/	1-2-1
			General Manager	Line Item No.:	B. WP 2
Prepared By:			Joe Oliver	Cost Estimate:	$462,000 (reimbursable)
General Counsel Review: N/A
Committee Recommendation: The Administrative Committee reviewed this item on May 13, 2013 and recommended approval.
CEQA Compliance: N/A

SUMMARY: The Board will consider authorization to contract with the successful bidder to construct the new equipment facility building at the Seaside Middle School Aquifer Storage and Recovery (ASR) site, which is currently under development. The Monterey Peninsula Water Management District (MPWMD or District) has been working with California American Water (Cal-Am) on development of this site as part of the 2^nd phase of the ASR project in the Seaside Basin. This 500-square feet unoccupied structure will house the permanent electrical control equipment for the two ASR wells at this site. The facility building bid process has begun and it is anticipated that once bids are received, a determination will be made regarding the successful bidder in time to allow construction to commence after the Seaside Middle School summer break period begins on June 7, 2013. The engineer’s estimate for the components that will be included in this contract totals to $440,000. This includes the building construction as well as bonding, security, inspection, site fencing and grading, heating and ventilation equipment, a portion of the building’s electrical installation, and landscaping improvements. Based on the District’s recent experience with the facility building construction at the nearby Phase 1 Santa Margarita ASR site, a contingency amount ($22,000) is recommended for inclusion, for a total not-to-exceed authorization of $462,000.

RECOMMENDATION: District staff recommends authorization to award a contract to the successful bidder for construction of the Seaside Middle School ASR facility building, including ancillary equipment and site work. The authorization will not exceed the estimated cost for this work of $462,000, which includes a 5% contingency amount over the estimated cost, in the event that actual costs differ from the current estimate. Staff will proceed with processing the contract award to the successful bidder for this work, if this item is adopted with the Consent Calendar.

BACKGROUND: In August 2008, the District began discussions with the Monterey Peninsula Unified School District (MPUSD) for potential use of an unused portion of the Seaside Middle School property for planned expansion of the Seaside Basin ASR program (i.e., Phase 2 or Water Project 2). In October 2009, the District drilled an exploratory borehole and constructed a dedicated monitor well array at the site. This work confirmed that the site would be suitable for developing a full-scale ASR test well. The next step in development of this project was to construct and test the full-scale well at the site, which was completed in 2010 under an interim agreement with MPUSD. The permanent easement agreement for this site with MPUSD was secured by Cal-Am in 2011. This first well at the site is now known as ASR-3. This nomenclature is to minimize confusion and/or mislabeling of data associated with the existing ASR-1 and 2 wells at the nearby Water Project 1 (Santa Margarita) site that is located approximately 1,000 feet to the southeast of the Middle School site. The second well at the Middle School site (ASR-4) was drilled in 2012 and installation of its appurtenant equipment is planned for completion in 2013. The new facility building will house the permanent electrical equipment for the ASR wells that is also scheduled for installation in 2013.

IMPACT ON STAFF/RESOURCES: Planning, design, construction and operation of the ASR Project facilities are ongoing significant staff commitments, as reflected in the District’s Strategic Plan. Funds for this work are available in the MPWMD FY 2012-13 budget under Line Item 1-2-1 B (Water Project 2), adopted June 27, 2012. It should be noted that specific line items for this work will be included in the FY 2013-14 budget, which is currently in preparation by District staff, as invoicing for costs associated with this construction will span into the FY 2013-14 period. The costs incurred under this item are reimbursable to MPWMD through existing reimbursement agreements with Cal-Am for the Seaside Middle School ASR Project.

EXHIBITS

None

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