Loading...
HomeMy WebLinkAboutS20 - Water Quality Studies in Newport BayCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Supplemental Agenda Item No. S20 August 12, 2003 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: City Manager's Office Dave Kiff, Assistant City Manager 949/644 -3002 or dkiff @city.newport- beach.ca.us SUBJECT: Resolution 2003 - Authorizing the City to Enter into an Amended Contract with the State Water Resources Control Board Relating to Water Quality Studies in Newport Bay. ISSUE: Should the City of Newport Beach continue to participate in various studies related to pollutants in Newport Bay? RECOMMENDATION: Adopt Resolution 2003 -_ authorizing the Mayor to execute a contract amendment to Agreement #9- 074 -180 -0 of up to $700,000 between the City and the State Water Resources Control Board relating to Water Quality Studies in Newport Bay. DISCUSSION: Background: Since 1999, the City and the State Water Resources Control Board (SWRCB) have worked within an Agreement to use more than $600,000 in State funds to study various water quality problems in Newport Bay, especially as they relate to bacteria. The Fecal Coliform Total Maximum Daily Load (TMDL) directs that these studies be done. We have been fortunate enough to be able to use State funding for the studies instead of City general fund dollars. Studies have included: • Determining the extent of vessel waste discharge into the Bay; • Determining the extent to which swimmers might contribute to bacteria problems; • Determining how tidal flows, tributaries, and storm drains might cause bacteria problems in the Bay; Resolution relating to Water Quality Studies August 12, 2003 Page 2 Each of the studies involves multiple phases and peer review of the studies' conclusions, so results are not yet complete. Drs. Stanley Grant and Sunny Jiang of the University of California, Irvine, have worked on these studies, assisted by Orange County CoastKeeper as samplers. A Technical Advisory Committee that includes Monica Mazur (OC Health Care Agency), Charlie McGee (Orange County Sanitation District), Dr. Jack Skinner (SPON), and Dr. Linda Candelaria (California Regional Water Quality Control Board, Santa Ana Region) help guide the studies. This agenda item asks the City Council to adopt a resolution authorizing the Mayor to continue to utilize State funds -- this time in an amount up to $700,000 -- for these studies. The Mayor would do so by executing the attached Agreement Amendment (Attachment B). The Contracts Section of the SWRCB requires the Council to routinely adopt a resolution "upping the cap" each time the SWRCB staff proposes additional studies. Readers may access the City's web site (www. city. newport-beach.ca. us) and search for previous staff reports (starting in 1999) on this issue for additional background information. Committee Action: None Environmental Review: The City Council's approval of this Agenda Item does not require environmental review. Public Notice: This agenda item may be noticed according to the Ralph M. Brown Act (72 hours in advance of the public meeting at which the City Council considers the item). Funding Availability State Water Board funds are available for this purpose. Submitted by: DaA lff Assistant City Manager. Attachments: A -- Resolution 2003-_ B -- Standard Agreement Amendment -- Agreement #9- 074 -180 -0 Attachment A RESOLUTION 2003- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH AUTHORIZING THE MAYOR TO EXECUTE AN AMENDED CONTRACT OF UP TO $700,000 ON BEHALF OF THE CITY WITH THE CALIFORNIA REGIONAL WATER QUALITY CONTROL BOARD FOR NEWPORT BAY WATER QUALITY STUDIES WHEREAS, the City Council of the City of Newport Beach has long been concerned about protecting the water quality of Newport Bay and the Orange County coastline; and WHEREAS, the County of Orange's Health Care Agency and the Orange County Sanitation District both perform water sampling in and around Newport Beach on a routine basis to ensure that waters are safe for swimmers and other water contact sports; and WHEREAS, current testing and sampling can tell policy - makers that an area is contaminated with bacteria that may be harmful to swimmers; and WHEREAS, since 1999, the City and the State Water Resources Control Board ( "SWRCB ") via its California Regional Water Quality Control Board ( "Regional Board "), Santa Ana Region, have cooperated to study issues like vessel waste discharges, swimmer impacts on bacteria levels, and the extent of bacteria and human viruses throughout the Bay; and WHEREAS, the SWRCB has directed up to $607,000 in funds for these studies as described in Agreement No. 9- 074 -180 -0 between the City and the SWRCB; and WHEREAS, the Contracts Section of the SWRCB requires the City Council to adopt a resolution authorizing the City to utilize these funds; and WHEREAS, the City's Resolution 99 -56 authorized the expenditure of a portion of these funds; now, therefore be it RESOLVED BY THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH that the Council hereby authorizes the Mayor to enter into an amended contract not to exceed $700,000 on behalf of the City with the State Water Resources Control Board for the performance and management of various water quality studies relating to Newport Bay. ADOPTED this 12'" Day of August, 2003. MAYOR ATTEST: CITY CLERK STATE OF CALIFORNIA STANDARD AGREEMENT AMENDMENT STD. 213 A (Rev 9101) ®' CHECK HERE IF ADDITIONAL PAGES ARE ATTACHED 9 Pages This Agreement is entered into between the STATE AGENCYS NAME State Water Resources Control Board CONTRACTOR'S NAME City of Newport Beach 2. The term of this December 1, 1999 through December 31, 2003 3. The maximum amount of this $607,000 Agreement after this amendment is: Six hundred seven thousand dollars 4. The parties mutually agree to this amendment as follows. All actions noted below are by this reference made a part of the Agreement and incorporated herein: Standard Agreement No. 9- 074- 180 -0, originally made and entered into on December 1,1999, Amendment No. 1 dated January 14, 2001, and Amendment No. 2 dated June 28, 2001 is hereby amended on February 13, 2003 in the following particulars and no others: 1. Std. 213, Item 2, "Term of this Agreement" is amended by deleting reference to June 1, 2003 there from and inserting December 31, 2003 in place thereof (a 6 -month time extension). 2. Std. 213, Item 3, "Maximum Amount of this Agreement" is amended by deleting reference to $575,000, five hundred seventy -five thousand dollars, there from and inserting $607,000, six hundred seven thousand dollars. 3. Exhibit A, Scope of Work is amended to revise Section A, Scope and Objectives; Section B, Subtasks 2.1, 4.1, 5.1, and 5.2; Section C, Schedule of Completion Dates; and Section D, Reports. Deletions are noted in strikeout, followed by revisions in bold and underlined, as attached (6 pages). 4. Exhibit B, Budget and Payment Provisions, Section A, Budget is amended to reflect a funding increase for $32,000; and revise Section B to include, Limitation for Funding for total Agreement amount not to exceed $607,000. Revisions are noted in bold and underlined, as attached (3 pages). All other terms and conditions shall remain the same. IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto. CONTRACTOR CONTRACTOR'S NAME (If other than an individual, state whether a corporation, partnership. etc.) of Newport Beach BY (Authorized Signature) DATE SIGNED (Do not type) PRINTED NAME AND TITLE OF PERSON SIGNING ADDRESS 3300 Newport Boulevard, P.O. Box 1768, Newport Beach, CA 92658 STATE OF CALIFORNIA AGENCY NAME State Water Resources Control Board BY (Authorized Signature) DATE SIGNED (Do not type) PRINTED NAME AND TITLE OF PERSON SIGNING Bill Brown, Chief, Division of Administrative Services ADDRESS 1001 1 Street, Sacramento, CA 95814 Department of General Services Use Only ❑ Exempt per: EXHIBIT A— SCOPE OF WORK PROJECT OFFICIALS SWRCB No. 9 -074- 180 -03 City of Newport Beach The State Water Resources Control Board's (SWRCB) Contract Manager shall be Linda Candelaria of the Santa Ana Regional Water Quality Control Board ( SARWQCB). The Contract Manager shall be the day -to -day representative for administration of this Agreement, and except as otherwise specifically provided, shall have full authority to act on behalf of the SWRCB with respect to this Agreement. The SWRCB's Executive Director, or designee, may also perform any and all acts, which could be performed by the Contract Manager under this Agreement. Except-as otherwise expressly provided, all communications relative to this Agreement shall be given to the Contract Manager. The Contractor's Project Director shall be Dave Kiff, Assistant to the City Manager of the City of Newport Beach. The Project Director shall be the Contractor's representative for the administration of the Agreement and shall have full authority to act on behalf of the Contractor. All communications given to the Project Director shall be as binding as if given to the Contractor. The parties may change their Contract Manager or Project Director upon providing ten (10) days written notice to the other party. WORK TO BE PERFORMED A. Scope and Objectives The Orange County Health Care Agency ( OCHCA) monitors beaches throughout Newport Bay and the City of Newport Beach to determine concentrations of various indicators of bacterial and pathogenic water pollution. The OCHCA uses this monitoring data to 'determine if the water quality at the beaches is suitable for body contact recreation. The OCHCA will close beaches to body contact recreation when the concentrations of the indicators exceed water quality objectives. The OCHCA monitors beach water quality for total coliform bacteria, E. coli bacteria jjg2A coliform instead of E. coli as of January 2000), enterococci, and other suitable indicators of water pollution from pathogens, and conducts sanitary surveys to determine the sources of pollution when the indicators exceed water quality objectives. Based on the water quality monitoring conducted by the OCHCA, and the closure of numerous beaches to body contact recreation throughout Newport Bay, the SARWQCB has listed Newport Bay as water quality limited, in accordance with Section 303(d) of the Clean Water Act. The SARWQCB determined that water quality in the Bay does not currently meet water quality objectives established by the SARWQCB for the protection of body contact recreation and shellfish harvesting beneficial uses. On April 9, 1999, the SARWQCB adopted amendments to the Water Quality Control Plan for the Santa Ana River Basin (Basin Plan), establishing a Total Maximum Daily Load (TMDL) for Fecal Coliform in Newport Bay. The TMDL includes requirements for the City of Newport Beach, and other responsible parties, to determine the sources of pollution causing the beach closures, and to develop and implement control measures for these sources to ensure compliance with water quality objectives. The work to be performed under this contract includes the collection and analysis of water samples to assist the OCHCA and the City of Newport Beach in determining the sources of bacteriological water pollution at numerous locations throughout the City. The work includes the collection and analysis of water samples from numerous storm drains and tributaries that discharge into Newport Bay, and city beaches and marinas to determine the sources of fecal coliform in the discharges. The City intends to subcontract with the OCHCA, and the laboratories of Rachel Noble, Ph.D., (SCCWRP, USC) and Sunny Jiang, Ph.D., (UC- Irvine) for the analysis of Page 1 of 6 EXHIBIT A— SCOPE OF WORK SWRCB No. 9- 074- 180 -03 City of Newport Beach the water samples, OCHCA will analyze the samples for total and fecal coliform, € Golf and eateFessessi enterococci, Rachel Noble will perform RT -PCR to determine the presence of enteroviruses, and Sunny Jiang will analyze the samples for male specific bacteriophage (F +RNA coliphages.). All analyses will be conducted on split samples. This work will help to determine whether there are human sources of bacteria /viruses, as well as to identify the most highly polluted tributaries /drains. Traditional bacterial indicators have long been used to assess water quality for the protection of human health (based on AB 411 standards), in lieu of direct measurement of pathogens, which are is both time - consuming and expensive. It has been shown that the highest swimmer - related health risks are related to the presence of human viruses (enteroviruses, adenoviruses); however, to date, there are few data that show a direct correlation between traditional indicators and human viruses. This correlation needs to be tested and documented. Complicating this matter are the methods of detection for human viruses. At present, there are several new detection methods for human viruses including RT -PCR, but there is no correlation between RT -PCR and traditional infectivity studies. RT -PCR is a method that gives positive results for the presence of enteroviruses, including enterovirus fragments; however, the relationship between positive results from RT -PCR and the presence of infectious virus particles is also unknown. The work to be performed under this contract will investigate the relationship between traditional bacterial indicators, bacteriophages, and human enteroviruses (by RT -PCR and traditional viral infectivity studies) in the waters of Newport Bay and its major tributaries. Water samples will be analyzed for traditional bacterial indicators (including total coliform, fecal coliform, E. coli, and enteroccocci), bacteriophage, and human viruses (by RT -PCR and infectivity studies). The relationship between bacteria/human viruses in sediments compared to the water column is also unknown. This relationship will also be investigated if time /funds permit. The City of Newport Beach intends to contract with SunnV Jiang, P.D. (UC Irvine), Orange County Sanitation District (OCSD), and Orange County (OC) Coastkeepers for this work. The Contractor shall be responsible for the performance of the work as set forth herein below and will be completed in cooperation with its subcontractors, the OCHCA, OCSD, and /or other certified labs, SCCW RP (Rachel Noble) and UCI (Sunny Jiang). Vessel waste work will be contracted to Stan Grant, Ph.D. (UC Irvine). B. Work: Task 1 - Project Management 1.1 Project Management Provide all technical and administrative services as needed for project completion as described under the scope of the contract, including but not limited to staff resources for monitoring, supervising, and reviewing all work performed, coordination of budgeting, scheduling, and subcontract administration. Page 2 of 6 EXHIBIT A —SCOPE OF WORK 1.2. Quarterly Progress Reports SWRCB No. 9- 074 - 180 -03 City of Newport Beach Prepare and submit written quarterly progress reports to the Contract Manager. The progress reports shall detail work accomplished, discuss any problems, detail costs incurred during the subject quarter, and document delivery of any intermediate work products. A brief outline of upcoming work scheduled for the subsequent quarter shall also be provided. Submit progress reports to the Contract Manager no later than the fifteenth day of the month immediately following each calendar quarter throughout the duration of the project. 1.3 Subcontractor Selection Award subcontracts as necessary to qualified consultants. The subcontractors shall be selected by a process that complies with applicable state and federal regulations. Prepare a legally enforceable Agreement between the Contractor and selected subcontractors. The Agreement shall describe the scope of work and the products expected from the subcontractors. Submit draft contract documents to the Contract Manager for review and approval prior to execution. 1.4 Project Survey Form At the completion of the project and prior to final payment, the Project Director shall complete and provide a project survey form to be included with the final report. Product: Quarterly Progress Reports, Subcontractor Selection, and Project Survey Form. Task 2 - Storm Drain and Tributary Sampling 2.1 Sampling Plan for Storm Drains and Tributaries Prepare a draft sampling plan for: 1) the Back Bay Drive storm drain that discharges into the Dunes Resort embayment; 2) San Diego Creek; 3) Santa Ana Delhi Channel; 4) Big Canyon Wash; may; and the storm drains that discharge into Newport Bay at 6 5) the Arches; 7- 6) 43rd St.; 8) V ; and 44 7) Pacific Coast Highway Bridge. (Site locations subiect to adiustment.) The sampling plan shall identify who will collect the samples and the time and frequency of sample collection at each location specified. The sampling plan shall provide for the analysis of the samples for total and fecal coliform, enterococci, and E. coli bacteria, F +RNA coliphage, and enteroviruses. Specifically, enteroviruses will be detected by RT -PCR, which determines the presence of these viruses. This method may be performed in a MPN type manner, which yields semi - quantitative results. (Note: An absence of enteroviruses in a sample does not mean viruses are not present at the sampling site). Submit the draft sampling plan for review and approval by the Contract Manager. 2.2 Implementation of Sampling Plan for Storm Drains and Tributaries Implement the Draft Sampling Plan described above upon approval by the Contract Manager. Product: A technical report of the analytical results showing the bacterial water quality, including the bacterial indicators, male- specific bacteriophages and enteroviruses described above for the storm drains and tributaries identified. Page 3 of 6 EXHIBIT A— SCOPE OF WORK SWRCB No. 9 -074 - 180 -03 City of Newport Beach Task 3 - Evaluation of Swimmer Shedding of Bacteria/Viruses in the Dunes Embayment 3.1 Sampling Plan for Evaluating Swimmer Shedding of Bacteria/Viruses in the Dunes Embayment Prepare a draft sampling plan for evaluating the extent and type of bacterial shedding from swimmers in the Dunes Resort embayment. The sampling plan shall identify who will collect the samples and the time and frequency of sample collection at locations within the Dunes Resort embayment. The sampling plan shall provide for the analysis of the samples for total and fecal coliform, enteroccocci, and E. coli bacteria, F +RNA coliphage, and enteroviruses. Specifically, enteroviruses will be detected by RT -PCR or infectivity studies, whichever is determined to be more suitable for this study. RT -PCR determines the presence of enteroviruses, although it may be performed in a MPN type manner, which yields semi - quantitative results. (Note: An absence of enteroviruses in a sample does not mean viruses are not present at the sampling site.) Other potential sources of bacteria /viruses will also be investigated during this study. Submit the draft sampling plan for review and approval by the Contract Manager. 3.2 Implementation of Sampling Plan for Evaluating Swimmer Shedding of Bacteria/Viruses in the Dunes Embayment Implement the Draft Sampling Plan described above upon approval by the Contract Manager. Product: A technical report of the analytical results from the samples collected to evaluate shedding of bacteria /viruses from swimmers (and other sources, if any). Task 4 - Evaluation of Vessel Waste Sources of Bacteria 4.1 Sampling Plan for Vessel Waste Prepare a draft sampling plan for evaluating vessel waste in several marinas throughout Newport Bay. The sampling plan shall identify who will collect the samples, the time and frequency of sample collection, and the location of sampling. The sampling plan shall provide for the analysis of the samples for total and fecal coliform, E co/i, enterococci and F +RNA coliphage. Submit the draft sampling plan for review and approval by the Contract Manager. Other sources of bacteria to marinas, such as storm drains and pumpout stations and pipes, may also be examined as time and funding permit. 4.2 Implementation of Sampling Plan for Vessel Waste Implement the draft sampling described above upon approval by the,Contract Manager. Product: A technical report of the analytical results from the samples collected to evaluate vessel waste contribution of bacteria. Page 4 of 6, EXHIBIT A— SCOPE OF WORK SWRCB No. 9- 074 - 180 -03 City of Newport Beach Task 5 - Comparison of Traditional Bacterial Indicators, Human Viruses and Coliphage Analyses 5.1 Sampling Plan for Bacteria/ViruslColiphage Comparison Prepare a draft sampling plan for selected sites of high concern in the waters of Newport Bay, and its tributaries, based on historically high bacterial data, and Phases I and II of this project. These sites will most likely be: Fecal Indicator bacterial hot spots including (1) the BaGk Bay DFive �,, Pra;; that Ghargesinto the Qan T°� ^,;ni4 e, ba me>� (21) San Diego Creek (Campus �); (3 2, 3) Santa Ana Delhi Channel (Mesa and University sites); (4) Big Canyon wash (5) Lower Newport Bay at 43rd St; and High use recreational sites such as toe PaGifie Coast Highway Bridge. Northstar Beach, Newport Dunes — several sites, Balboa subiect to adjustment. The sampling plan shall identify who will collect the samples, and the time and frequency of sample collection at each location specified. Water samples from each location will be split and simultaneously analyzed for total coliform, fecal coliform, E. coli, eaieFecesci enterococci, F +RNA coliphage, enteroviruses, and salinity. Adenoviruses will also be investigated if time and funds permit. Enteroviruses will be analyzed by RT -PCR and traditional viral infectivity studies. RT -PCR is a method that gives positive results for the presence of enteroviruses, including enterovirus fragments. This method may be performed in a MPN type manner, which yields semi - quantitative results. (Note: An absence of enteroviruses in a sample does not mean that viruses are not present at the sampling site.) Salinity will be analyzed for all water samples so that correlations between salinity and bacteria/viruses may be evaluated. The sampling plan should allow for a statistically significant comparison of traditional bacterial indicators, coliphage, and enteroviruses detected by RT -PCR and infectivity studies. If time and funds permit, sediment samples will be collected from several sites and bacteriallviral analyses performed to investigate the relationship between bacterialhuman viruses in sediments compared to the water column. Submit the Draft Sampling Plan for review and approval by the Contract Manager. 5.2 Implementation of Sampling Plan for BacterialViruslColiphage Comparison Implement the Draft Sampling Plan described above upon approval by the Contract Manager. Product: A technical report of the analytical results showing bacterial, viral, and coliphage analysis, and salinity, including comparisonsitrends between these parameters. (Report will include comparison between water column and sediment analysis, if sediment and analyses are performed.) Page 5 of 6 EXHIBIT A— SCOPE OF WORK C. SCHEDULE OF COMPLETION DATES: SWRCB No. 9- 074 - 180 -03 City of Newport Beach `Cask. Description Completion Hate 1 Project Management 1.1 Project Management On ang 1.2 Quarterly Progress Reports Beginning September 15, 2000, and Quarterly thereafter. 1.3 Subcontractor Selection Ongoing 1.4 Project Survey Form Apfil -2-O03 November 1. 2003 2. Storm Drain and Tributary Sampling 2.1 Sampling Plan for Storm Drains /Tributaries July 31, 2000 2.2 Implementation of ' ampling Plan Report January 1, 2002 3. Evaluation of Swimmer Shedding of BacteriaNiruses in the Dunes Etnba ment 3.1 Sampling Plan for Evaluating Swimmer Shedding May 31, 2001 3.2 Implementation of Sam hng Plan Report 1:?092 Nf av 1 2003 '4 ' `s' _ Evaluation of Vessel Waste Sources of Bacteria', 4.1 Sampling Plan for Vessel Waste July 31, 2001 4.2 Implementation of Sampling Plan Report Ma 1 2003 .-5 Comparison of Traditional Bacterial Indicators, Human Viruses /Coliphage Analyses. 5.1 Sampling Plan for BactenaNirus/Coli ha e May 31, 2001 5.2 Implementation of Sampling Plan Report &epte - "__, Ma 1 2003 Final Project Report _ November 1 2003 D. REPORTS a. Not later than September 15, 2000, and quarterly thereafter, during the life of this contract the Project Director shall provide a written progress report to the Contract Manager describing activities undertaken, accomplishment of milestones, and any problems encountered in the performance of the work under this Agreement, and delivery of intermediate products, if any. b. The Project Director shall submit to the Contract Manager for approval the reports containing the results of the work performed in accordance with the schedule of this Exhibit. c. Not later than p 'P l 1, 2003 November 1, 2003, the Project Director shall submit to the Contract Manager a final report of all the monitoring data collected pursuant to this contract. Page 6 of 6 EXIBHIT B — BUDGET AND PAYMENT PROVISIONS A. BUDGET 'BASK BUDGE' SWRCB No. 9- 074 - 180 -03 City of Newport Beach Task No. Description Previous Amount Amended Amount Revised Budget- Amount Z ' . Pro "ect Mina 'emeut - 1.1 Project Management $ 1,000 $ -0- $ 1,000 1.2 Quarterly Progress Reports $ 1,000 $ -0- $ 1,000 1.3 Subcontractor Selection $ 1,000 $ -0- $ 1,000 1.4 Project Survey Form 2 Storm Drain and:Tributary sampling 2.1 Sampling Plan for Storm Drains/Tributaries S 1,000 $ -0- $ 1,000 2.2 1nip lementationof Sampling Plan $120,000 $ -0- $120,000 3 - Evaluation of Swimmer Shedding of Bacteria/Viruses in the Dunes Emtiav'ment - 3.1 Sampling Plan for Evaluating Swimmer Shedding $ 1,250 $ -0- $ 1,250 3.2 ]m lementationofSampling Plan $150,000 $ 0- $150,000 4 Evaluation of Vessel'Waste$oureesofBacteria'.- 4.1 S l n Plan for Vessel Waste $ 1,250 $ 0- $ 1,250 4.2 lementation of Sampling Plan $ 50,000 $ 32,000 $ 82,000 - " 8 .. Comparison of Traditional Bacterial Tndicitors, Human Viruses /Coll ha a Analyses 5.1 Sampling Plan for Bacteria/Virus/Coli ha e $ 1,500 $ 1,500 5.2 Implementation of Sampling Plan $247,000 $247,000 >i. Total Cost, $575,000 $ 32,000 $607,000 In the event the funds provided by the SW RCB are used for this Agreement or future amendments to this Agreement for procurement of goods or subcontracted services, such procurements shall be made in accordance with the Contractor's federally approved or State -based purchasing system. B. LIMITATION OF FUNDING The maximum amount payable under this agreement shall not exceed $607,000. The maximum amount to be encumbered under this Agreement for the 1999 -00 fiscal year ending June 30, 2000 shall not exceed $175,000. The maximum amount to be encumbered under this Agreement for the 2000 -01 fiscal year ending June 30, 2001 shall not exceed $400,000. Page 1 of 3 EXIBHIT B — BUDGET AND PAYMENT PROVISIONS SWRCB No. 9- 074 - 180 -03 City of Newport Beach The maximum amount to be encumbered under this Agreement for the 2002 -03 fiscal vear ending June 30, 2003 shall not exceed $32,000. If funding is reduced or deleted by the Water Board for purposes of this program, the State shall have the option to either cancel this Agreement with no liability occurring to the State, or offer an amendment to the Contractor to reflect the reduced amount. C. INVOICING PROCEDURES The Contractor shall be paid quarterly in arrears, upon submission of an original and two copies of the invoice, which properly details all charges, expenses, direct and indirect costs. Invoices shall be submitted to: Linda Candelaria, Ph.D. Santa Ana Regional Water Quality Control Board 3737 Main Street, Suite 500 Riverside, CA 92501 -3339 The original and one (1) approved copy of the invoice or payment request will be forwarded to the State Water Board's Accounting Operations Section by the Contract Manager. Contractors who are certified as small businesses or recognized as non - profit organizations by the Office of Small and Minority Business will be paid in accordance with California Government Code, Title 1, Section 926.15. Invoices for all other contractors shall be paid within 45 calendar days. In either situation, payment of any invoice will be made only after receipt of a complete, adequately supported, properly documented and accurately addressed invoice or payment request. Failure to use the address exactly as provided above may result in return of the invoice or payment request to the Contractor. Payment shall be deemed complete upon deposit of the payment, properly addressed, postage prepaid, in the United States mail. All invoices must be approved by the Contract Manager. 2. Payments prior to satisfactory completion of all work required by the Agreement shall not exceed, in the aggregate, ninety percent (90 %) of the total earned with the balance to be paid upon satisfactory completion of the Agreement, and provided, further, that the State Water Board shall retain from the Contractors earnings for each period for which payment is made an amount equal to ten percent (10 %) of such earnings, pending satisfactory completion of the Agreement. 3. The invoice shall contain the following information: (a) The word "INVOICE" should appear in a prominent location at the top of the page(s); (b) Printed name of the Contractor; (c) Business address of the Contractor, including P.O. Box, City, State, and Zip Code; (d) Name of State Water Board /Regional Water Board being billed; (e) The date of the invoice; (f) The number of the Agreement upon which the claim is based; and (g) An itemized account of the services for which the State Water Board is being billed: (1) The time period covered by the invoice, i.e., the term "from" and "to "; (2) A brief description of the services performed; Page 2 of 3 EXIBHIT B — BUDGET AND PAYMENT PROVISIONS SWRCB No. 9- 074 - 180 -03 City of Newport Beach (3) The method of computing the amount due. The invoice shall detail the percentage of each task completed during the invoice period multiplied by the agreed upon cost to perform each task, as specified in the Budget less the ten percent (10 %) withhold, if any; (4) The total amount due; this should be in a prominent location in the lower right -hand portion of the last page and clearly distinguished from other figures or computations appearing on the invoice; the total amount due shall include all costs incurred by the Contractor under the terms of this Agreement; and (5) Original signature of Contractor (not required of established firms or entities using preprinted letterhead invoices). Page 3 of 3