HomeMy WebLinkAbout08 - Irvine Avenue Water Main - University Drive to Bristol Street SouthCITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 8
April 25, 2006
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Public Works Department
R.Gunther, P.E.
949 - 644 -3311
rgunther @city.newport- beach.ca.us
SUBJECT: IRVINE AVENUE WATER MAIN — UNIVERSITY DRIVE TO BRISTOL
STREET SOUTH — COMPLETION AND ACCEPTANCE OF CONTRACT
NO. 3411
RECOMMENDATIONS:
1. Accept the work.
2. Authorize staff to encumber $69,133.50 from the Water Transmission Main Master
Plan Improvement account balance to W.A. Rasic for work completed.
3. Authorize the City Clerk to file a Notice of Completion.
4. Authorize the City Clerk to release the Labor and Materials bond 35 days after
the Notice of Completion has been recorded in accordance with applicable
portions of the Civil Code.
5. Release the Faithful Performance Bond one (1) year after Council acceptance.
DISCUSSION:
On October 26, 2004, the City Council authorized the award of the Irvine Avenue Water
Main — University Drive to Bristol Street South contract to W.A. Rasic Construction.
The contract provided for the replacement of 4,350 linear feet of 12 -inch transmission
main within Irvine Avenue between University Drive and South Bristol Street. In
addition to the City water mains, the project constructed water and sewer improvements
for Costa Mesa Sanitary District (CMSD) and Irvine Ranch Water District (IRWD).
Cooperative agreements with these entities were approved by the City Council on May
11, 2004. The City was the lead agency for the total contract.
Additional work requested by IRWD was approved by Council on August 23, 2005 that
was for water main construction for the Santa Ana Heights Fire Protection
Improvements located in Riverside Drive, Kline Drive, and Anniversary Lane. This
additional work was funded by IRWD.
Irvine Avenue Water Main — University Drive to Bristol Street South - Completion And Acceptance of Contract No. 3411
April 25, 2006
Page 2
The contract has now been completed to the satisfaction of the Public Works
Department. A summary of the contract cost is as follows:
The final overall construction cost, including change orders, was 13.6% percent over
the Council approved revised contract amount. An increase of $12,800 over the
original bid amount was due to replacing a higher number of traffic loops. Seventeen
change orders in the amount of $414,290.78 were issued on this project. List A
includes change orders related to the original scope of work and totals $362,163.70.
List B includes the Council approved additional IRWD work (change order 12) and two
change orders totaling $52,127.08.
A. Change Orders to Original Contract Work
CO 1 - Slurry backfill (required by County)
CO 2 - Delay for Sewer Overflow
CO 3 - Additional slurry backfill (required by County)
CO 4 - Add. Demo — CMSD $3,211.69 & valve tests
CO 5 - Delays due to Ground Water - Various days
CO 6 - Various IRWD extras
CO 7 - Slurry Backfill - IRWD water line
CO 8 - Pothole data for future water main work
CO 9 - Delay at extra work at Mesa @ Irvine
CO 10 - Demo slurry backfill, CMSD
CO 11 - CAB backfill, City water main
CO 13 - IRWD - delay time, water line repair
CO 14 - Additional CAB backfill
CO 15 - Slurry backfill, delay time
CO 16 - Add't water service, cost increase.
CO 17 - Add't AC paving on Irvine and Anniversary
C018 - Overlayed section of Irvine @ Orchard
Total of original contract change orders:
$54,500.00
3,353.22
32, 700.00
5,044.84
15, 917.99
25,966.39
22,672.00
35,652.96
20,941.27
16,758.27
18,120.59
9,863.88
3,875.67
9,780.98
4,629.84
60, 751.60
21.634.20
$362,163.70
City
Facilities
CMSD
Facilities
IRWD
Facilities
Total
Original bid amount
$1,621,617.00
$422,025.00
$413,425.00
$2,457,067.00
Additional IRWD Work
(per City Council 8/23/05
$689,082.00
$689,082.00
Total contract amount
$1,621,617.00
$422,025.00
$1,102,507.00
$3,146,149.00
Actual amount of original bid
items constructed
$1,628,817.00
$425,625.00
$415,425.00
$2,469,867.00
Actual amount of added
IRWD work constructed
$689,082.00
$689,082.00
Total amount of change
orders
$252,771.72
$35,640.17
$125,878.89
$414,290.78
Final contract cost
$1,881,588.72
$461,265.17
$1,230,385.89
$3,573,239.78
4% administration fee
i --
--
1 $49,215.44
$49,215.44
Amount Billable
$461,265.17
1 $1,279,601.33
$1,740,866.50
The final overall construction cost, including change orders, was 13.6% percent over
the Council approved revised contract amount. An increase of $12,800 over the
original bid amount was due to replacing a higher number of traffic loops. Seventeen
change orders in the amount of $414,290.78 were issued on this project. List A
includes change orders related to the original scope of work and totals $362,163.70.
List B includes the Council approved additional IRWD work (change order 12) and two
change orders totaling $52,127.08.
A. Change Orders to Original Contract Work
CO 1 - Slurry backfill (required by County)
CO 2 - Delay for Sewer Overflow
CO 3 - Additional slurry backfill (required by County)
CO 4 - Add. Demo — CMSD $3,211.69 & valve tests
CO 5 - Delays due to Ground Water - Various days
CO 6 - Various IRWD extras
CO 7 - Slurry Backfill - IRWD water line
CO 8 - Pothole data for future water main work
CO 9 - Delay at extra work at Mesa @ Irvine
CO 10 - Demo slurry backfill, CMSD
CO 11 - CAB backfill, City water main
CO 13 - IRWD - delay time, water line repair
CO 14 - Additional CAB backfill
CO 15 - Slurry backfill, delay time
CO 16 - Add't water service, cost increase.
CO 17 - Add't AC paving on Irvine and Anniversary
C018 - Overlayed section of Irvine @ Orchard
Total of original contract change orders:
$54,500.00
3,353.22
32, 700.00
5,044.84
15, 917.99
25,966.39
22,672.00
35,652.96
20,941.27
16,758.27
18,120.59
9,863.88
3,875.67
9,780.98
4,629.84
60, 751.60
21.634.20
$362,163.70
Irvine Avenue Water Main — University Drive to Bristol Street South - Completion And Acceptance of Contract No. 3411
April 25, 2006
Page 3
B. Additional IRWD Work and Related Change Orders
CO 12 - Santa Ana Hgts Fire Protection Line $689,082.00
CO 12A - CAB for Backfill on Anniversary $27,303.08
CO12B - Added 14 Water services on Riverside $24,824.00
Change orders related to added IRWD work: $52,127.08
Environmental Review:
The project was determined to be exempt from the California Environmental Quality Act
(CEQA) pursuant to Section 15302 of the CEQA Implementing Guidelines at the time
the project was authorized by the City Council. This exemption covers the replacement
or reconstruction of existing public facilities with negligible expansion of the facilities into
areas that are environmentally sensitive. For the additional work requested by IRWD,
environmental clearances were obtained by that agency.
Funding Availability:
CMSD and IRWD were billed for their work during the course of construction and a final
billing will be made that reimburses the Water Enterprise Fund. The total cost of the
CMSD and IRWD facilities was $461,265.17 and $1,230,385.89, respectively.
Additionally, the agreement with IRWD allowed for a 4 percent administration fee which
totals $49,215.44 and will reimburse the Water Enterprise Fund for expenses related to
the IRWD improvements. The reimbursement agreement with CMSD did not provide for
a City administration fee mainly because their facilities were being reconstructed at the
City's request. The reconstructed and relocated CMSD facilities allowed the City water
transmission main to be installed at a lesser cost justifying the waiver of the
administrative fee. Sufficient funds are available from the following account to pay for
all costs related to this project:
Account Description Account Number Amount
Water Transmission Main Master Plan Improvement 7501- C5500386 $3,573,239.78
All work was completed by February 24, 2006, the scheduled completion date plus the
addition of days for the Council approved IRWD work.
Prepared by:
R. Gun er, P.E.
Construction Engineer
Submitted by:
St en
ublic WbfG Director
Attachment: Council Staff Report Authorizing Additional IRWD Work, August 23, 2005
CITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
ATTACHMENT
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
msinaco 6 @ 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:
1. 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. 1 to Reimbursement Agreement with IRWD for twine 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:
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 :WSERStPBWkShared\COUNCIL1FY05- 06108- 23Vwine Ave H20- Amendment 1 with IRWD.DOC
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. 05105 -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.
IRVINE RANCH WATER DISTRICT
0
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
By:
Mayor
ATTEST:
By:
City Clerk
APPROVED AS TO FORM:
By:
Assistant City Attorney for
City of Newport Beach
f usmA b lohn, d,n rc - outsidcJcmd -mfsd -wive 0923054 imbu mt-==d no l.doc
Rev. 05/05 -3-
Dated:
Dated:
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
DRTVF
Furnish/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
Furnish/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
Fumish/install 1 -inch copper water service
1
EA
$1,850.00
$1,850.00 j
KLINE
8
DRIVE
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
Furnish/Install 6 -inch R/W gate valve.
1
EA
$1,300.00
$1,300.00
12
Furnish/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
ANNIVERSARY
15
LANE
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 R/W 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)
BID
Total Base Bid
ALTERNATES
$656,632.00
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
W.41fBU6181CP
I IDT RA M 'Won 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:
REM
.II n 5 2r'
Fubhc Works DepaV..mc -A
, ° -ach
As part of the Santa Ana Heights Water Company (SAH WC) 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. Altemate 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 bome 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 concerns, please feel free to contact Mr. Chuck Borkman at (949) 453 -5790.
Yours truly,
Gregory P. Heiertz, P.E.
Director of Engineering and Planning
GPH/CB /GC /db
Cc: Mike Sinacori, City of Newport Beach
Enclosures: Bid Summary
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CITY OF NEWPORT BEACH
PUBLIC WORKS DEPARTMENT
Stephen G. Baduln, 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: Siil Patapoff, City Engineer
Mike Sinacorl, 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.c8.us
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 2- 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 _1
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 borne 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 borne 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, IRWD 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
AgrNewpon
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 (I) 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 (I) 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.
AgrNewport
Rev. 10/03 -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 $ 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 -$-
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 I I 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 attomeys' 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 CH WATER DISTRICT
By --� Dated
Gen gral Manag
ATTEST:
B Zj' :e ��^ Dated
yS rec etary /Assistant Secretary
APPROVED AS TO FORM:
By Dated ✓G�t� /O soil
Ranch Water District
CITY OF NEWPORT BEACH
By
Dated_ S - k 1 -0q
APPROVED AS TO FORM:
City Attorney for
City of wport Beach
By
AgrNewport
Rev. 10/03 -7-
Dated
IRVINE AVENUE WATER MAIN REPLACEMEW
City of Newport Beach
BUDGET AMENDMENT
2005 -06
EFFECT ON
BUDGETARY FUND BALANCE:
Increase Revenue Estimates
Iq
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: $sos,3s3.o1
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)
Description
Division Number 7501 Distribution and Piping
Account Number C5500386 Water Transmission Master Plan Imp.
Division Number
Account Number
Division Number
Account Number
Division Number
Account Number
Signed
cial Approval: AdminisffCative Services Director
Signed: 1 �jA.
Signed:
City Manager
Amount
Debit Credit
$805,393.01
$805,393.01
Automatic
Date
r
ate
City Council Approval: City Clerk Date