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HomeMy WebLinkAbout04 - Irvine Avenue Water Main ReplacementCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 4 August 23, 2005 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Public Works Department Michael J. Sinacori, P.E. (949) 644 -3342 msinacori Q city.newport- beach.ca. us SUBJECT: APPROVAL OF AMENDMENT NO. 1 TO REIMBURSEMENT AGREEMENT WITH IRVINE RANCH WATER DISTRICT (IRWD) FOR JOINT UTILITY EFFORTS WITH THE IRVINE AVENUE 24 -INCH WATER MAIN TRANSMISSION MAIN REPLACEMENT PROJECT - CONTRACT NO. 3411. RECOMMENDATIONS: Approve Amendment No. 1 to Reimbursement Agreement with the Irvine Ranch Water District (IRWD) for construction of additional water main improvements in the amount of $689,082 for the City's Irvine Avenue 24 -inch Water Transmission Main Replacement Project. 2. Approve a Budget Amendment increasing revenue estimates in the Water Fund Account No. 500 -4887 by $805,393.01 from IRWD, and increasing expenditure appropriations in the same amount in Account No. 7501- C5500386. DISCUSSION: On April 27, 2004, the City Council approved a reimbursement agreement with IRWD (see attached) for their portion of the City's Irvine Avenue Joint Water Main Replacement Project between University Drive and South Bristol Street. This joint utility work is being completed prior to the planned road improvements by the County of Orange. The work under the reimbursement agreement is nearing completion. A total of $458,827.81 has been expended related to IRWD's work ($411,425.00 for original bid items and $47,402.81 in approved change orders). In an effort to further minimize community impacts, IRWD is contemplating additional water main improvements that are immediately adjacent and, in one case, connected to the joint water project improvements. These improvements, titled Santa Ana Heights Fire Protection Improvements, were part of the Santa Ana Heights Redevelopment Agency's required improvements with the former water system operator (Santa Ana SUBJECT: Approval of Amendment No. Ito Reimbursement Agreement With IRWD for Irvine Avenue Joint Utility Project August 23, 2005 Page 2 Heights Water Company). The fire protection improvements include additional water pipelines on Riverside Drive, Kline Drive and Anniversary Lane. Riverside and Kline Drives are within the County jurisdiction of West Santa Ana Heights, while Anniversary Lane is within the City limits. IRWD has obtained a permit for the work within the County jurisdiction. See attached letter from IRWD requesting the additional work and the City's response letter. Amendment No. 1 to the Reimbursement Agreement with IRWD is attached. The Amendment will allow $689,082.00 of additional water improvements to be constructed under the same terms and conditions of the original Reimbursement Agreement. Total cost of the additional improvements will be paid for by IRWD, including street restoration. The amount paid to the City will include a 4% administration fee on all work completed. As noted above, $47,402.81 in IRWD change orders have been approved under the original reimbursement agreement. If Council approves the requested Amendment No. 1, a Budget Amendment will be required to increase revenue estimates by $805,393.01 and increase appropriations in the same amount to the CIP account for the joint project. This will account for the added new work plus a 10% contingency for unforeseen items and for the approved IRWD change orders to date. Environmental Review: Environmental clearances for the additional IRWD work will be obtained by that agency. Funding Availability: The funding for this additional water main work will be provided entirely by IRWD. Upon approval of the recommended Budget Amendment, which accounts for funding from IRWD, sufficient funds are available in the following account for the project: Account Description Water Transmission Master Plan Improvements Prepared by: M' ael J. Sinacori, P.E. Principal Engineer Account Number Amount 7501- C5500386 $805,393.01 Submitted by: 61"-im 4 Stephen G. Badum Public Works Director Attachment: Reimbursement Agreement with IRWD for Irvine Avenue Joint Utility Project IRWD letter dated June 22, 2005 regarding Santa Ana Heights Fire Protection City's letter of response to IRWD dated July 20, 2005 Amendment No. 1 to Reimbursement Agreement with IRWD F, \USERS \PBW\ Shared \COUNCIL \FY05- 06 \08- 23\Irvine Ave H2o- Amendment 1 with IRWD.DOC File No. PR -10364 REIMBURSEMENT AGREEMENT BETWEEN IRVINE RANCH WATER DISTRICT AND THE CITY OF NEWPORT BEACH FOR THE CONSTRUCTION OF IRWD IRVINE AVENUE 12' DOMESTIC WATER MAIN FROM MESA DRIVE TO UNIVERSITY DRIVE PROJECT NO. 10364 This Agreement is made and entered into this )-VAday of 2004, by and between IRVINE RANCH WATER DISTRICT, a California Water District formed and existing pursuant to California Water District Law, hereinafter referred to as "IRWD ", and CITY OF NEWPORT BEACH, a municipal corporation, hereinafter referred to as "CITY ". WITNESSETH: WHEREAS, the CITY currently proposes to construct a 24 -inch Water Transmission Main on Irvine Avenue between South Bristol Street and University Drive, the general location of which is depicted on Exhibit "A" to this Agreement, which document is by this reference incorporated herein; and WHEREAS, IRWD plans to replace approximately 1,400 linear feet of 12 -inch domestic water main and appurtenances along Irvine Avenue between University Drive and Mesa Drive as depicted on Exhibit "A ", hereinafter referred to as "IRWD FACILITIES "; and WHEREAS, CITY proposes to construct its 24 -inch Irvine Avenue Water Main, and the IRWD FACILITIES as a joint project to minimize impacts to the public and to provide cost savings and efficiency to both agencies, in lieu of construction of the IRWD FACILITIES by IRWD with an independent contract; and WHEREAS, IRWD is amenable to the construction of IRWD FACILITIES by CITY at the cost of CITY, which cost is to be reimbursed by IRWD after the work is completed and accepted; and AgrNewport Rev. 10/03 WHEREAS, IRWD FACILITIES shall be the property of IRWD in accordance with the terms and conditions hereinafter set forth. NOW, THEREFORE, the parties hereto, in consideration of the mutual promises and covenants hereinafter set forth, do agree as follows: SECTION 1. CITY agrees to initiate and pursue to completion along with its construction of the above - described improvements, the construction of IRWD FACILITIES as shown on Exhibit "A" to this Agreement, and IRWD agrees to cooperate with CITY with respect to the construction and schedules for completion of IRWD FACILITIES. SECTION 2. CITY agrees that IRWD FACILITIES shall be completed pursuant to IRWD approved plans and specifications ( "Plans and Specifications ") which shall be supplied by IRWD. SECTION 3. The parties agree that the construction of IRWD FACILITIES shall be included in CITY proposed construction Contract No. C -3411, titled Irvine Avenue 24 -inch Water Transmission Main Replacement between South Bristol Street and University Drive and IRWD FACILITIES shall be bid as a separate item or items that can be deleted from the project. Upon opening of bids by CITY, CITY will submit the bid results to IRWD for review or approval. CITY agrees that bids received for the construction of IRWD FACILITIES shall be subject to the approval of IRWD prior to award of the construction contract for IRWD FACILITIES; and further agrees that in the event IRWD does not approve such bids, this Agreement may be terminated by either party. IRWD shall have a period of fifteen (15) calendar days for review of the bid results and approval of the successful bidder. The total estimated construction cost for IRWD FACILITIES is $500,000; however, the amount to be reimbursed by the IRWD shall be based on the actual costs of construction of the IRWD FACILITIES. Upon award of the construction contract, CITY shall provide IRWD with one (1) original copy of the fully executed contract documents and one (1) copy of each of the bid forms. CITY shall promptly inform IRWD during the course of construction of any change orders to such contract. Copies of proposed change orders affecting the IRWD FACILITIES will be provided to IRWD within five (5) working days of submission to CITY. All change orders shall be subject to IRWD approval if and to the extent any of IRWD FACILITIES are affected thereby. IRWD agrees not to unreasonably withhold its approval to such change orders, and agrees to AgrNewport Rev. 10/03 -2- reimburse CITY for the cost of all change orders that it approves relating to the IRWD FACILITIES. SECTION 4. CITY agrees that if any revision during design or construction is requested by CITY to the Plans and Specifications, and such revision would increase the cost of the IRWD FACILITIES, such increased costs shall be bome by CITY, and shall not be reimbursed by IRWD. The cost of any revisions requested by IRWD shall be reimbursed by IRWD as provided herein. IRWD agrees that if any revision during design or construction is requested by IRWD to the Plans and Specifications, and such revision would increase the cost of the IRWD FACILITIES, such increased costs shall be bome by IRWD, and shall be reimbursed by IRWD. SECTION 5. IRWD agrees to accept IRWD FACILITIES when IRWD FACILITIES have been completed by CITY in accordance with all requirements of plans and Specifications, including any change orders approved by IRWD as provided in Section 3 hereof. For each progress payment, including the final progress payment, made by CITY to its contractor, CITY shall submit an invoice to IRWD setting forth IRWD's portion of the progress payment, accompanied by a copy of any documentation processed with the progress payment or other documentation to substantiate the calculation of the IRWD portion. Within thirty (30) days following receipt from CITY of each such invoice for the IRWD portion of a construction progress payment, IRVM shall deposit with CITY the amount of such invoice, plus an additional amount equal to four percent ( 4 %) of the invoiced contractor costs for the IRWD FACILITIES, which shall be considered the CITY's "Administrative Fee," and shall cover the costs of all items associated with geotechnical services, permits, construction, administration, , compaction testing, accounting and legal costs. SECTION 6. IRWD shall pay the invoiced amounts without offset or reduction within the time frame set forth in Section 5. SECTION 7. IRWD shall have sole and absolute discretion as to all aspects of design and construction of IRWD FACILITIES, and IRWD shall inspect the construction of IRWD FACILITIES as it deems necessary to assure compliance with the Plans and Specifications, including shop drawing review and/or material inspection thereof. IRWD will promptly notify CITY of any portion of the work on IRWD FACILITIES which appears not to conform to the Plans and Specifications, and shall work through the CITY's inspector in all items associated with the construction contract. The determination of IRWD as to conformity of IRWD FACILITIES with Plans and Specifications shall be made in IRWD's sole and absolute AgrNewport Rev. 10/03 -3- discretion; however, IRWD agrees not to unreasonably withhold its approval as to such conformity. CITY shall require its contractor to construct IRWD FACILITIES so that IRWD FACILITIES conform to Plans and Specifications. CITY agrees to assume full responsibility for certifying or obtaining certification of the compaction of backfill material over IRWD FACILITIES. SECTION 8. At the time of completion and acceptance of IRWD FACILITIES, CITY agrees to furnish IRWD with "as- built" red -lines prints and one (1) copy each of the compaction reports and certificate, and cut sheets. SECTION 9. It is mutually agreed between the parties hereto that notwithstanding the fact that CITY shall accomplish the construction of IRWD FACILITIES subject to reimbursement, IRWD FACILITIES to be completed hereunder, together with the necessary franchises, licenses, easements, rights -of -way, and other privileges, shall at all times be subject to the applicable rates, rules, and regulations of IRWD, as modified or amended from time to time. CITY hereby disclaims any interest in IRWD FACILITIES and does hereby transfer and assign to IRWD any and all right, title, and interest it may have in IRWD FACILITIES, subject to the CITY's right to reimbursement of the construction costs of the IRWD FACILITIES as outlined herein. IRWD shall own, operate and maintain IRWD FACILITIES following acceptance thereof. SECTION 10. CITY will guarantee or cause its contractor for IRWD FACILITIES to guarantee such IRWD FACILITIES against defects in workmanship and materials for a period of one (1) year from the date of acceptance by IRWD. It is further agreed that CITY shall assume the responsibility that IRWD FACILITIES shall be brought or restored to full compliance with the requirements of Plans and Specifications, including any test requirements, for any portion of IRWD FACILITIES which during said one (1) year period are found not to be in conformance with the provisions of Plans and Specifications. This guarantee is in addition to any and all other warranties, expressed or implied, from CITY contractors or material manufacturers with respect to IRWD FACILITIES. The guarantee and obligations under this section shall in no way be relieved by IRWD inspection and/or approval of IRWD FACILITIES. This section sets forth the entire guarantee and warranty of CITY with respect to IRWD FACILITIES, but this section shall in no way limit any expressed or implied warranties of other persons, with respect to IRWD FACILITIES. AgNewport Rev. 1=3 -4- SECTION 11. CITY shall indemnify, defend and hold IRWD, its officers, agents, employees, and engineers harmless from any expense, liability or claim for death, injury, loss, damage or expense to persons or property which may arise or is claimed to have arisen during construction of IRWD FACILITIES and prior to acceptance by IRWD, as a result of any work or action performed by or on behalf of CITY, its officers, agents, employees or engineers, save and except in those instances where such expense, liability or claim is proximately caused in whole or in part by any act, omission, or negligence of IRWD, its officers, agents, employees or engineers or by any act or omission for which IRWD, its officers, agents, employees or engineers are liable without fault. IRWD shall indemnify, defend and hold CITY, its officers, agents, employees and engineers, harmless from any expense, liability or claim for death, injury, loss or damage to persons or property which may arise or is claimed to have arisen either (i) as a result of any act performed by IRWD, its officers, agents, employees or engineers, with respect to IRWD FACILITIES construction; or (ii) following IRWD acceptance of IRWD FACILITIES with respect to maintenance and operation, save and except in those instances where such expense, liability or claim is proximately caused in whole or in part by any act, omission or negligence of CITY, its officers, agents, employees or engineers, or by any act or omission for which CITY, its officers, agents, employees or engineers are liable without fault. SECTION 12. CITY shall cause its contractors for the construction of IRWD FACILITIES to obtain insurance coverage sufficiently broad to insure the matters set forth in this Agreement and to include IRWD as an additional insured on all insurance policies that CITY requires its contractors to provide. As evidence of such insurance coverage, CITY shall, prior to commencement of construction of IRWD FACILITIES, provide IRWD with certificates of insurance and insurance endorsements in forms that are acceptable to IRWD. SECTION 13. IRWD shall have the right to terminate this Agreement at any time, subject to the provisions of this section. If at the request or direction of a party other than CITY, including IRWD, IRWD FACILITIES construction is not accomplished or completed, IRWD shall remain obligated for the actual amount of any costs incurred by CITY for the IRWD FACILITIES, plus the four percent (4 %) Administrative Fee as set forth in Section 5 above, to the date of termination. The CITY shall have the right to terminate this agreement at any time, subject to the provisions of this section. If at the request or direction of a party other than IRWD, including CITY, IRWD AgrNewport Rev. 10/03 -5- FACILITIES construction is not accomplished or completed, IRWD shall remain obligated for the actual amount of any costs incurred by CITY for construction of the IRWD FACILITIES, plus the four percent (4 %) Administrative Fee as set forth in Section 5 above, to the date of termination. The provisions of Sections 10 and 11 shall survive the expiration or termination of this Agreement. SECTION 14. Any notice or other written instrument required or permitted by this Agreement to be given to either party shall be deemed received when personally served or twenty-four (24) hours after being deposited in the U.S. Mail, postage prepaid, registered or certified and addressed as follows: IRWD: Irvine Ranch Water District 15600 Sand Canyon Avenue Irvine, CA 92619 Attn: General Manager CITY: City of Newport Beach 3300 Newport Blvd. P. O. Box 1768 Newport Beach, CA 92658 -8915 Attn: Public Works Director SECTION 15. This Agreement shall be binding upon and inure to the benefit of the successor and assigns of CITY and IRWD. This Agreement constitutes the entire Agreement between CITY and IRWD and supercedes all prior understandings and Agreements between the parties with respect to the subjects hereof. This Agreement maybe modified only in writing signed by both parties hereto. SECTION 16. In the event of any declaratory or other legal or equitable action instituted between CITY and IRWD in connection with this Agreement, the prevailing party shall be entitled to recover from the losing party all of its costs and expenses, including court costs and reasonable attorneys' fees. SECTION 17. Any approval required to be given by either party pursuant to this Agreement, shall be deemed given if no response to the party's request for such approval is received by the requesting party within fifteen (15) days following the request for such approval. AgrNewport Rev. 10103 -6- IN WITNESS WHEREOF, the parties to the Agreement have executed this Agreement on the date hereinabove written. IRVINE RANCH WATER DISTRICT ATTEST: By Secretary /Assistant Secretary APPROVED AS TO FORM: Ranch Water District CITY OF NEWPORT BEACH By i tom. Lu�, Pte, Dated Dated &1/1/0 Dated ✓a'zl- /a, 2054 Dated S -'t - °4 APPROVED AS TO FORM: City Attorney for City of,N wport Beach By A y AgrNewpon Rev. 10103 -7- Dated File No. PR -10482 AMENDMENT NO. 1 TO REIMBURSEMENT AGREEMENT BETWEEN IRVINE RANCH WATER DISTRICT AND THE CITY OF NEWPORT BEACH FOR THE CONSTRUCTION OF IRWD IRVINE AVENUE 12" DOMESTIC WATER MAIN FROM MESA DRIVE TO UNIVERSITY DRIVE PROJECT NO. 10364 This Amendment No. 1 to Agreement is made and entered into this _ day of 2005, by and between IRVINE RANCH WATER DISTRICT, a California Water District formed and existing pursuant to California Water District Law, hereinafter referred to as "IRWD," and CITY OF NEWPORT BEACH, a municipal corporation, hereinafter referred to as "CITY." WITNESSETH: WHEREAS, CITY and IRWD have entered into that certain Reimbursement Agreement Between Irvine Ranch Water District and the City of Newport Beach For the Construction of IRWD Irvine Avenue Domestic Water Main From Mesa Drive to University Drive, dated May 24, 2004 (the "Agreement "); and WHEREAS, the Agreement provided for inclusion by CITY of IRWD's approximately 1,400 linear feet of 12 -inch domestic water main and appurtenances, defined therein as the "IRWD FACILITIES," in CITY's construction Contract No. C -3411, titled "Irvine Avenue 24- inch Water Transmission Main Replacement between South Bristol Street and University Drive;" and WHEREAS, IRWD has subsequently determined to construct its project titled "Santa Ana Heights Fire Flow Improvements" at Riverside Drive, Kline Drive, and Anniversary Lane Project Number 10482 as depicted on Exhibit "A ", which is attached hereto and incorporated herein by this reference, ( "ADDITIONAL FACILITIES ") and has received bids for such work; and WHEREAS, the ADDITIONAL FACILITIES are located in the same vicinity as the IRWD FACILITIES, the work is of a similar nature as the IRWD FACILITIES, and the low bid Rev. 05105 -1- received by IRWD for the ADDITIONAL FACILITIES was submitted by CITY's contractor performing the work under the Agreement; and WHEREAS, the ADDITIONAL FACILITIES project includes alternative bid items for trench -width and full -width street repaving; and WHEREAS, CITY desires to have IRWD elect the trench -width repaving with slurry seal of full width rather than the full -width repaving; and WHEREAS, CITY and IRWD have determined that it would be mutually beneficial to include the ADDITIONAL FACILITIES under the Agreement by change order to City's existing contract. NOW, THEREFORE, the parties hereto, in consideration of the mutual promises and covenants hereinafter set forth, do agree as follows: SECTION 1. Unless otherwise provided in this Amendment, the term "IRWD FACILITIES" as used in the Agreement and this Amendment shall include the ADDITIONAL FACILITIES. SECTION 2. The parties agree that with respect to the ADDITIONAL FACILITIES, the bidding steps described in Section 3 of the Agreement shall be omitted and waived, and CITY will include the ADDITIONAL FACILITIES in its contract by change order using the bid amount recently received by IRWD from the contractor, inclusive of the alternative bid item for trench and one roadway lane repaving with slurry seal of full street width on Anniversary Lane. SECTION 3: The bid amount to construct the ADDITIONAL FACILITIES is Six Hundred Eighty -Nine Thousand Eighty -Two Dollars and no /100 ($689,082.00) representing the sum of the base bid of Six Hundred Fifty -Six Thousand Six hundred Thirty -Two Dollars and no /100 ($656,632.00) and bid alternate "A" in the amount of Thirty-Two Thousand Four Hundred Fifty Dollars and no /100 ($32,450.00) for trench and one roadway lane repaving with slurry seal of full street width on Anniversary Lane as further described in Exhibit `B ", which is attached hereto and incorporated herein by this reference. SECTION 4. In accordance with Section 3 of the Agreement, IRWD hereby approves the change order to construct the ADDITIONAL FACILITIES in the amount of Six Hundred Eighty -Nine Thousand Eighty -Two Dollars and no /100 ($689,082.00) and IRWD agrees to fully Rev. 05/05 -2- reimburse the CITY for the cost of said change order and to pay the related Administrative Fee in accordance with the terms of the Agreement. SECTION 5. Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. IN WITNESS WHEREOF, the parties to the Agreement have executed this Amendment No. 1 on the date hereinabove written. IRVINTE RANCH WATER DISTRICT M General Manager ATTEST: Dated: By: Dated: Secretary/Assistant Secretary APPROVED AS TO FORM: By: Dated: Legal Counsel, Irvine Ranch Water District CITY OF NEWPORT BEACH M Mayor ATTEST: Dated: By: Dated: City Clerk APPROVED AS TO FORM: M Assistant City Attorney for City of Newport Beach f. \mcrs+pbwtCbarcd+y;m ®mu oussidcWwd- crosd�ixmc 092305vcimburscmmrvnmd eo l.doc Rev. 05105 -3- Dated: Exhibit "B" Santa Ana Heights Fire Protection Improvements Item No. Description Approx. Qty. Unit W.A. Rasic Construction Co. Unit Total Price Amount 1 Mobilization/Demobilization and Final Cleanup 1 LS $88,200.00 $88,200.00 RIVERSIDE 2 DRIVE Fumish/Install 8 -inch PVC C -900 519 LF $128.00 $66,432.00 3 Tie -in to existing 6 -inch ACP with 6 -inch PVC 1 EA $12,400.00 $12,400.00 4 Fumish/Install 8 -inch R/W gate valve 3 EA $1,650.00 $4,950.00 5 Fumish/Install fire hydrant assembly 2 EA $6,450.00 $12,900.00 6 Slurry seal (Type II) Riverside Drive 1 LS $8,900.00 $8,900.00 7 Furnish /installI -inch copper water service 1 EA $1,850.00 $1,850.00 KLME DRIVE 8 Furnish/Install 8 -inch PVC C -900 765 LF $113.00 $86,445.00 9 Tie -in to existing 6 -inch ACP with 6 -inch PVC 2 EA $9,900.00 $19,800.00 10 Furnish/Install 8 -inch R/W gate valve. 3 EA $1,350.00 $4,050.00 11 Fumish/Install 6 -inch R/W gate valve. 1 EA $1300.00 $1,300.00 12 Fumish/Install fire hydrant assembly 3 EA $5,350.00 $16,050.00 Remove and reconstruct the wood fence at 13 Newport Bay Terrace Apartments 1 LS $1,800.00 $1,800.00 14 Slurry seal (Type II) Kline Drive 1 LS $1,600.00 $1,600.00 AN_N`IVERSARV LANE 15 Furnish and install 8 -inch PVC C-900 2390 LF $102.00 $243,780.00 16 Tie -in to Existing 6 -inch ACP with 6 -inch PVC 5 EA $10,500.00 $52,500.00 17 Furnish and install an 8 -inch RfW gate valve 12 EA $1,400.00 $16,800.00 18 Furnish and install a 6 -inch R/W gate valve 9 EA $1,125.00 $10,125.00 19 Furnish and install a 1 -inch ARVR assembly 1 EA $5,400.00 $5,400.00 20 Furnish and install 4 -inch blow off assembly 1 LS $6,250.00 $6,250.00 MISCELLANEOUS 21 Trench safety measures 1 LS $11,600.00 $11,600.00 22 Final Record Drawings 1 LS $3,500.00 $3,500.00 Subtotal Base Bid Items 1 through 22 $676,632.00 ADDITION ( +) $0.00 DEDUCTION ( -) ($20.000.00) Total Base Bid $656,632.00 BID ATE ALTERNATES A Bid Alternate "A" - Anniversary Lane One Lane 1 LS $32,450.00 $32,450.00 Resurfacing B Bid Alternate "B" - Anniversary Lane Entire 1 LS $60,500.00 $60,500.00 Roadway Resurfacing TOTAL BID (BASE BID + ALTERNATE "A ") $689,082.00 11 b�d1Y7 IOVIIBeAllcl 1101 ll I ROCH DATER. DISTRICT 15600 Sand Canyon Ave., P.O. Box 57000, Irvine, CA 92619 -7000 (949) 453 -5300 June 22, 2005 Mr. Stephen G. Badum, Public Works Director City of Newport Beach P.O. Box 1768 Newport Beach, CA 92663 Subject: Santa Ana Heights Fire Protection Improvements Dear Mr. Badum: n n 5 2r, .; F-1blic 'A1oYh5 Depm':in\:_it each As part of the Santa Ana Heights Water Company ( SAHWC) and Irvine Ranch Water District (IRWD) merger, IRWD agreed to upgrade water distribution pipelines for improved fire protection in SAHWC area. Work consists of constructing 8 -inch PVC pipes paralleling existing water lines in Kline Drive, Riverside Drive and Anniversary Lane. The existing under -sized lines will be left intact and continue to provide water service to residents. Hydrants will be constructed off the new 8 -inch lines and will provide the required water flows for fire protection. IRWD received bids for the work from Leatherwood Construction, Inc., W.A. Rasic Construction Company, Inc. (Rasic) and Paulus Engineering, Inc. on May 23, 2005, with Rasic being the low bidder. The bid breakdown is attached. The pipeline work totals $656,632, not including pavement restoration costs. In an effort to give the City Newport Beach (City) flexibility with regards to paving requirements for Anniversary Lane, the project was bid with two alternates for surface paving restoration. Alternate A would allow for standard trench repaving with a slurry seal and striping for the affected streets, essentially following the requirements set forth in the City Standard 105 -L -C for Roadway Utility Trenching. Alternate B consists of trench width only base paving with a 1.5 -inch fine course overlay across all affected streets. Rasic's bid price for Alternate A was $32,450 and for Alternate B was $60,500. If the City's preference is Alternate A, the entire cost will be borne by IRWD. If the City would like to proceed with the Alternate B, IRWD would request the pavement costs be split equally and $30,250 be reimbursed by the City to the District. As you know, the City is currently constructing the Irvine Avenue Water Main Replacement for IRWD. The project is being constructed by Rasic, and administered by the City by means of a reimbursement agreement. Because the Fire Protection Improvement work is immediately adjacent and connected to these current efforts, IRWD requests that the additional work be constructed under an amendment to the reimbursement agreement. We will transmit copies of the amendment to you for execution pending your decision on adding this work to Rasic's contract and your choice of repaving Alternate A or B. Santa Ana Heights Fire Protection Improvements June 22, 2005 Page 2 In summary, IRWD requests the City's approval for amending the Irvine Avenue Reimbursement Agreement and processing a change order to Rasic Contract for the construction of Santa Ana Heights Fire Protection Improvements. Also, please let us know your preference for repaving Anniversary Lane. The adjusted amount to be reimbursed to the City will be based on a final accounting of the project, plus the City's "Administrative Fee" equal to four percent (4 %) of the invoiced contractor costs for the IRWD Capital Facilities, and will be predicated on passing inspection and acceptance of the Capital Facilities by IRWD. Thank you for your consideration and continuing assistance with Irvine Avenue projects, and if you have any questions or coiicerns, please feel free to contact Mr. Chuck Borkman at (949) 453 -5790. Yours truly, Gregory P. Heiertz, P.E. Director of Engineering and Planning GPHlCBlGCldb Cc: Mike Sinacori, City of Newport Beach Enclosures: Bid Summary O P V 6 u a W H L C E a O o. 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Badum, Director July 20, 2005 Mr. Gregory P. Heiertz, P. E., Director of Engineering and Planning Irvine Ranch Water District 15600 Sand Canyon Avenue Irvine, California 92618 Subject: Santa Ana Heights Fire Protection Improvements Dear Mr. Heiertz, We are in receipt of your letter dated June 22, 2005 requesting an amendment to the reimbursement agreement for the Irvine Avenue Joint Water Project to include fire protection improvements on Kline Drive, Riverside Drive and Anniversary Lane. The City agrees with this approach and a change order with Rasic Construction will need to be executed of approximately $700,000 to accomplish this additional effort. Both these actions require approval by the City Council. We have reviewed the paving conditions on Anniversary Lane, the only street in City jurisdiction, and have determined that a future road and drainage improvement project will be required. For that reason, we have selected Alternative A for paving restoration. Please forward a draft of the amendment for review and processing through the City Council. As you are aware, Kline and Riverside Drives are in County jurisdiction and will require their approval prior to executing the amendment. Should you have any questions, please contact me or Bill Patapoff at (949) 644 -3311. Very truly yours Stephen G. Badum Director of Public Works cc: Bill Patapott, City Engineer Mike Sinacori, Utilities Engineer Chuck Borkman, IRWD H:\Word \Letters \to agencies \h20 agencies \IRWD \SA Heights Fire Protection.doc 3300 Newport Boulevard • Post Office Box 1768 • Newport Beach, California 92658 -8915 Telephone: (949) 644 -3311 • Fax: (949) 644 -3318 • www.city.newport- beach.ca.us City of Newport Beach BUDGET AMENDMENT 2005 -06 EFFECT ON BUDGETARY FUND BALANCE: X Increase Revenue Estimates X Increase Expenditure Appropriations AND Transfer Budget Appropriations SOURCE: from existing budget appropriations X from additional estimated revenues from unappropriated fund balance EXPLANATION: This budget amendment is requested to provide for the following: NO. BA- 06BA -010 AMOUNT: $805,393.01 Increase in Budgetary Fund Balance Decrease in Budgetary Fund Balance X No effect on Budgetary Fund Balance To increase revenue estimates and expenditure appropriations from Irvine Ranch Water District for the Irvine Avenue Water Main Replacement joint project. ACCOUNTING ENTRY: BUDGETARY FUND BALANCE Fund Account Description REVENUE ESTIMATES (3601) Fund /Division Account Description 500 4887 Water Enterprise Fund - IRWD EXPENDITURE APPROPRIATIONS (3603) Division Number 7501 Account Number C5500386 Division Number Account Number Division Number Account Number Division Number Account Number Signed Signed: Signed: Approval: Description Distribution and Piping Water Transmission Master Plan Imp. Services Director City Manager City Council Approval: City Clerk Amount Debit Credit $805,393.01 $805,393.01 ` Automatic Date {Sate Date