HomeMy WebLinkAboutSUNSET BEACH SANITARY DISTRICT (SBSD) - 2001-04-02 RECEIVED
2006 JUL -6 PM 12: 2'
CITY CL£.;
Or
Council/Agency Meeting Held: HUNTN' 14 U.,CF
Deferred/Continued to:
*E ro ed ❑Conditionally Approved ❑Denied ity rk'S gnatu
Council Meeting Date: 7/17/2006 Department WNumber. PW 06-047
CITY OF HUNTINGTON BEACH
REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: HONORABLE MAYOR AN ITYk
MEMBERS
SUBMITTED BY: PEN LOPE C BRETH-GRA /DPDMINISTRATOR
PREPARED BY: ROBERT F. BEARDSLEY, PE, D]R PUBLIC WO
SUBJECT: Award Construction Contract for the Warner Avenue Gravity
Sewer; CC-1269
Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s)
Statement of Issue: On June 27, 2006, bids were received for the Warner Avenue Gravity
Sewer Project, CC-1269, and the project is ready to be awarded. A component of project
funding is a contribution from the Sunset Beach Sanitary District (SUNSET) that requires an
amendment to the current agreement between SUNSET and the City.
Funding Source: Funds are budgeted in the Sewer Service Fund, 51185201.82600.
Funding for this project includes Sewer Service Charge User Fees and an agreement with
SUNSET. SUNSET will reimburse the City's Sewer Service Fund $80,000 per year over a
ten-year period, plus approximately $300,000 for specific work items. The engineer's cost
estimate for this project is $5,900,000.
Recommended Action: Motion to:
1. Approve the project plans and specifications for the Warner Avenue Gravity Sewer, CC-
1269;
2. Accept the lowest responsive and responsible bid submitted by Vadnais Corporation, in
the amount of$6,118,725.00;
3. Authorize the Mayor and City Clerk to execute a construction contract in a form approved
by the City Attorney;
4. Authorize the Director of Public Works to expend up to fifteen percent (15%) in
construction change orders; and
5. Authorize the Mayor and City Clerk to execute Amendment No. 1 to the Agreement
between the City of Huntington Beach and the Sunset Beach Sanitary District.
Alternative Actionts):
Reject all bids and direct staff on how to proceed.
REQUEST FOR ACTION
MEETING DATE: 7/17/2006 DEPARTMENT ID NUMBER:PW 06-047
Analysis: This project will construct 4,100 feet of new gravity sewer main along Warner
Avenue, from Pacific Coast Highway to Los Patos Avenue. The project will be built in
conjunction with the ongoing replacement of Sewer Lift Station "D", allowing for the
abandonment of existing Lift Stations "B" and V. The construction of the new gravity sewer
is intended to save both capital and operating costs by reducing the number of sewage lift
stations to be maintained.
This project was previously advertised for bid in December 2004. The bids received were
substantially in excess of the initial $3.3 million estimate and the City Council subsequently
rejected all bids. In the post-bid analysis, it was discovered that the increased cost of steel
and the specialized construction method contributed to the bids coming in significantly higher
than anticipated. Staff reviewed the design with the consultant, and revisions were made in
an effort to reduce costs. Additional funds were also budgeted in the Sewer Service Fund for
the project.
Bids were opened publicly on June 27, 2006, and are listed in ascending order:
Rank Bidding Contractor Bid Amount
1. Vadnais Corp. $6,118,725.00
2. James W. Fowler $6,204,110.00
3. 1 Michels Pipeline $7,195,391.00
4. Affholder, Inc. $7,796,100.00
5. Miaden Buntich $8,310,600.00
6. BRH Garver $8,354,950.00
The reference check for Vadnais Corporation provided acceptable responses from past
clients. Staff recommends that the City Council accept the bid from Vadnais Corporation as
the lowest responsive and responsible bidder.
A contingency of approximately 15% is requested for this project due to the complexities of
the construction, depth of the excavation and potential for unforeseen conditions. These
funds are intended for use only in the event that field conditions warrant an additional
expenditure. In compliance with Resolution No. 2002-119, prior City Council authorization is
necessary so that construction will not be delayed.
Amendment No. 1 to the Agreement between the City of Huntington Beach and the Sunset
Beach Sanitary District (SUNSET), allows for a monetary contribution toward this project.
Special consideration in the design of this project allowed for the abandonment of SUNSET's
existing sewer lift station, located near the intersection of Pacific Coast Highway and Warner
Avenue. Abandonment of its lift station and construction of a new gravity sewer line is part of
the project. The agreement obligates SUNSET to fund these improvements, totaling
approximately $300,000. The City will pay the contractor for SUNSET's expenses during the
construction and SUNSET will reimburse the City immediately after the project is completed.
In add;tion, SUNSET agrees to contribute $800,000 over a 10-year period, to go toward the
funding of the overall project.
MDocuments and SettingslbazantdlLocal SetGngs7emporary Internet Files10LKM06-047 July 17 Erdman(Award Warner
Avenue Gravity Sewer).doc -2- 71512006 2:33 PM
REQUEST FOR ACTION
MEETING DATE: 7/1712006 DEPARTMENT ID NUMBER:PW 06-047
Public Works Commission Action:
The Public Works Commission reviewed and unanimously approved this project on June 18,
2003.
Environmental Status:
Pursuant to the California Environmental Quality Act (CEQA), the project requires a Negative
Declaration. COASTAL DEVELOPMENT PERMIT 03-15 and MITIGATED NEGATIVE
DECLARATION NO. 03-01 were acted upon by the Zoning Administrator of the City of
Huntington Beach on November 17, 2004, and conditionally approved.
Attachment(s):
� -
1. Location Map
2. Amendment No. 1 to Agreement between City of Huntington Beach
and Sunset Beach Sanitary District 3 copies)
G:1R C A12006106-047 July W Erdman(Award Warner Avenue Gravity Sewer).doc 3-
613012006 3:23 PM
ATTACHMENT # 1 of
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'$ ABANDON
7} EITSTING LIFT
STATION B WEATHERLY BAY
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\\ ABANDON EXISTING
VVV LIFT STATION D
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WARNER AVE.— L95 PARS
ABANDONMENT
OF E1aSTtN0 SBSD PROPOSED GRAVITY SEWER REPLACEMENT
LIFT STATION
ABANDON COSTING
LIFT STATION C BOI.SA CHICA ECOLOGICAL RESERVE PROPOSED LIFT
= STATION D
LOCATION
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A A
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DETAIL AREA
SHOWN ABOVE
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SCALE: 1' = W
WARNER AVENUE GRAVITY MAIN , CCU 1269 b ,e
CITY 4F HUNTINGTON BEACH 1619
DEPARTMENT OF PUBLIC WORKS 1 of 1
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ATTAC H M E N T #2
AMENDMENT NO. I TO AGREEMENT BETWEEN CITY OF
HUN77NOTON BEACH AND SUNSET BEACH SANITARY DISTRICT
This AMENDMENT is made and entered into this j1f day of
GGLY ,2006 by and between the CITY OF HUNTINGTON BEACH,a
California Municipal Corporation,hereinafter referred to as"CITY"and SUNSET
BEACH SANITARY DISTRICT,hereinafter referred to as"SUNSET",a special district
governed by the proAsions of the Sanitary District Act of 1923,.
WHEREAS CITY and SUNSET are parties to that certain agreement dated April
2,2001 entitled"Agreement for the Conveyance of Wastewater Between the City of
Huntington Beach and Sunset Beach Sanitary District"whereby SUNSET was afforded a
capacity right in CITY's existing and expanded wastewater facilities,which agreement
shall hereinafter be referred to as the"Original Agreement";and
WHEREAS CITY has entered into a contract hereinafter referred to as"Existing
Work"for the construction of certain pump stations and certain sewer lines at a depth and
location which will substantially reduce capital,operation and maintenance costs which
SUNSET would otherwise incur provided it remams connected to CITY's sewerage
system.
WHEREAS,CITY is about to let a separate contract for certain construction
work,hereinafter"Proposed Work",which%rill provide a point of connection between
the existing sewerage system of SUNSET and CITY's sewerage and pumping plant
system. CITY will include in this contract a separate bid item which will define the cost
of connecting the CITY's sewerage system to that of SUNSET.
WHEREAS CITY and SUNSET desire to agree on the compensation that is due
from SUNSET to CITY for said connection and for the benefits to be derived by
SUNSET from the manner in which the sewers and pumping plants of CITY will be
constructed .
NOW,THEREFORE,it is agreed between CITY and SUNSET as follows:
I. DESIGN,BUILD AND CONSTRUCTION SERVICES FOR SUNSET'S
NEW GRAVITY SEWER CONNECTION.
CITY will let for public bidding a contract for the construction of approximately
240 feet of I 8-inch connector pipe designed by SUNSET between SUNSET's Warner
Avenue pumping plant and a point at the intersection of Pacific Coast Highway and
Warner Avenue as more particularly described in the CITY's plans and specifications,
which are hereby incorporated by this reference,in a manner that will enable SUNSET to
abandon its existing Warner Avenue pumping plant.
4&M 428S-5424.1 I
CITY has listed this work as a separate bid item within the larger construction
contract,with the cost of said bid item estimated at$300,000.
At such time as the bids for the Proposed Work have been received and opened,
the bid item pertaining to the work described above shall be referred to the Board of
Directors of SUNSET. SUNSET's Board of Directors shall have the right to approve or
reject said bid item. In the event that said bid item is rejected,this Article I of
Amendment Number 1 shall be of no further force or effect. In the event that said bid
item is accepted by SUNSET's Board of Directors, SUNSET shall pay to CITY the
amount actually expended by CITY in reference to said bid item,no later than thirty-five
days after the date CITY records a Notice of Completion with respect to the Proposed
Work.
CITY shall be responsible to inspect and administer the contract for the Proposed
Work and for making all payments due to the contractor. SUNSET BEACH shall have
no responsibility to the CITY or to any other party with respect to the Proposed Work
other than making the payment described above within the time provided
2. ALLOCATION OF EXPENSE OF EXISTING WORK OF
CONSTRUCTION
The parties have determined that the sum of$800,000 is SUNSET's fair share of
the CITY's cost to design, administer and construct the Existing Work. CITY and
SUNSET agree that SUNSET will pay to the CITY,without interest,this amount in
yearly installments of$80,000 for ten consecutive years for a total cost sharing amount of
$800,000. The initial payment will be made by SUNSET on or before February 1,2007,
and each successive payment will be made on the anniversary of that date.
3. INSURANCE AND INDEMNITY
With respect to the Proposed Work CITY agrees to require its contractor to
famish to the CITY and to the DISTRICT a policy or certificate of liability insurance in
which the CITY and the DISTRICT are named as an insured or an additional insured
with the contractor. The policy furnished by the contractor shall be issued by an
insurance company authorized by the Insurance Commissioner to transact business in the
State of California with a policyholders rating of B+or higher and a financial class VII or
larger. Notwithstanding any inconsistent statement in the policy or any subsequent
endorsement,the CITY and DISTRICT shall be the insured or an additional insured in
respect to the Proposed Work whether liability is attributable to the contractor,the CITY
or the DISTRICT. The policy shall insure the CITY and the DISTRICT,their officers,
employees and agents while acting within the scope of their duties on the Proposed
Work,against all claims arising out of or in connection therewith.
The coverage shall provide the following minimum limits:
4824-4285-5424.1 2
Bodily injury
Each occurrence limit$1 million
Products/Complete Operations aggregate limit$1 million
General aggregate limit$1 million.
Property Damage$200,000 each occurrence, $500,000 aggregate.
The agreement between the CITY and its contractor shall further provide that the
contractor shall save,keep and hold the CITY and the DISTRICT,their officers and
agents and employees harmless from all damages, costs or expenses in law or equity that
may at any time arise or be set up because of damages to property,or of personal injury
received by reason of or in the course of performing the Proposed Work which may be
caused by any willful or negligent act or omission by the contractor, and any of the
contractor's employees, or any subcontractor. Neither the CITY nor the DISTRICT will
be liable for any accident,loss or damage to the Proposed Work prior to its completion
and acceptance.
All liability insurance policies shall bear an endorsement or have attached a rider
whereby it is provided that, in the event of expiration or proposed cancellation of such
policies for any reason whatsoever,the CITY and the DISTRICT shall be notified by
registered mail,return receipt requested,giving a sufficient time before the date thereof
to comply with any applicable law or statute,but in no event less than 30 days before
expiration or cancellation is effective.
4. REAFFIRMATION
The foregoing provisions shall amend the contract dated April 2, 2001 by an
addition to said contract.
Except as specifically modified herein, all other terms and conditions of the
Original Agreement shall remain in full force and effect.
IN WITNESS WHEREOF,the parties who have caused this Agreement to be
executed by and through their authorized officers on
SUNSET BEACH SANITARY DISTRICT CITY OF HUNTINGTON BEACH,a
municipal corporation of the State of
California
By: COUNTERPART
4824-4285-5424.1 3
IN WITNESS WHEREOF,the City of Huntington Beach has executed the aforesaid
AMENDMENT NO. 1 TO AGREEMENT BETWEEN CITY OF HUNTINGTON BEACH
AND SUNSET BEACH SANITARY DISTRICT by and through its authorized officers on
2006.
Mayor
City tlerk
REVIEWED AND APPROVED: APPROVED AS TO FORM:
Citj Administrator *-ZO4
ity Attorney
INIT TED AND APPROVED:
Director of Public Works
i
SUNSET BEACH SANITARY DISTRICT
P.O. Box 1185
Sunset Beach, California 90742 --//9s
(562) 493-9932
Minutes for the General Meeting of(lie Board of Directors
April 13th, 2006-7:00 p.m.
Sunset Beach NVoman's Cluh
President Woods called the meeting to order at 7:00 p.m..
The following directors were present: President John Woods, Secretary Bob Hendler,Treasurer
Greg Griffin, and Bill Bruton. Rob Argetsinger was absent.
The following staff were present: Superintendent Jim Caslin, Engineer Tom Dawes and Chris
Montana as clerk.
Minutes of the March 9" 2006 meetin *: The Directors read the minutes of the March 9'h, 2006
meeting. Director Griffin moved to approve the minutes as read. Director Hendler seconded.
Approved unanimously.
Current Bills: The Directors reviewed Claims Transmitted for Payment, dated April 13''', 2006, in
the amount of$182,305.80, plus SCE electric bills to be received which totaled $821.94, for a
grand total of$183,127.74. Director Griffin moved to approve the Claims as prepared. Director
Flendler seconded. Approved unanimously.
Treasurer's Report -Fund Balance: Treasurer Griffin reported the Fund Balance as of March 31,
2006 to be$894,418.13.
Superintendent's Maintenance Report: See attached.
Engineer's Report: See attached.
MOTION: Director Hendler moved to void Amendment 91 to the Agreement with the City of
Huntington Beach dated April 2, 2001, which had been approved at the January 12'. 2006
meeting, and to accept the new Amendment #I which provides that the Contractor, rather than
the City of Huntington Beach, will indemnify the District. All other terms of the agreement
remain the same. Director Griffin approved. Passed unanimously.
Adjournment- Director Hendler moved to adjourn the meeting. Director Griffin seconded. The
meeting was unanimously adjourned at 8:30 p.m.
JI-f
n Woods, President ob a"dler, Secretary
RCA ROUTING SH ET
INITIATING DEPARTMENT: Public Works
SUBJECT: Award Construction Contract for the Warner Avenue
Gravity Sewer; CC-1269
COUNCIL MEETING DATE: July 17, 2006
RCA ATTACHMENTS STATUS
Ordinance (w/exhibits & legislative draft if applicable) Attached ❑
Not Applicable
Resolution (w/exhibits & legislative draft if applicable) Attached ❑
Not Applicable
Tract Map, Location Map and/or other Exhibits Attached
Not Applicable ❑
Attached
Contract/Agreement (wlexhibits if applicable) Not Applicable ❑
Si ned in full b the Cit Attorne
Attached
Subleases, Third Party Agreements, etc. Not Applicable
(Approved as to form by City Attorne
Certificates of Insurance A d b Att Attached
pprove Y the Ci ryorne Y) Not Applicable
Attached
Fiscal Impact Statement (Unbudget, over$5,000) Not Applicable
If applicable) Attached
Bonds
pP ) Not Applicable
Attached Li
Staff Report (if applicable) Not Applicable
Commission, Board or Committee Re ort If applicable Attached
p ( pP ) Not Applicable
Find in s/Conditions for A roval and/or Denial Attached
9 pp Not A licable
EXPLANATION FOR MISSING ATTACHMENTS
REVIEWED RETURNED FORWARDED
Administrative Staff
Assistant City Administrator Initial
City Administrator Initial
rCity Clerk
EXPLANATION FOR RETURN OF ITEM:
Only)014
'(Below Sj�ac'e For City Clerk's Use
RCA Author: D.Erdman
CITY OF HUNTINGTON BE
2000 MAIN STREET CALIFORNIA 92648
OFFICE OF THE CITY CLERK
JOAN L. FLYNN
CITY CLERK
August 1, 2006
Sunset Beach Sanitary District
P. O. Box 1185
Sunset Beach, CA 90742-1185
To Whom It May Concern:
Enclosed for your records are two executed originals of Amendment No. 1
to the Agreement Between the City of Huntington Beach and Sunset
Beach Sanitary District.
Sincerely,
01V- 490i
Joan L. Flynn
City Clerk
JF:pe
Enclosure: Agreements
G:fol1owup:a;rmt Itr
(Telephonc_714-536-5227)
CITY OF HUNTINGTON BEACH
2000 MAIN STREET CALIFORNIA 92fi48
OFFICE OF THE CITY CLERK
CONNIE BROCKWAY
` CITY CLERK
LETTER OF TRAl\SNiITTAI.OF ITEM APPROVED RY TIIE CITY COM'CHJ
RF,DF.VF.LOPIIENT AGENCY OF THE CITY OF IIIUti-FINGTON BEACH
DATE: April 5, 2001
TO: Sunset Beach Sanitary District ATTENTION: Pres. of the Board of Dir.
Name
P.O. Box 1185 DEPARTNIENT:
Street
Sunset Beach. CA 90742 REGARDING: _Agreement for the
City.State,Zip
Conveyance of Wastewater
See Attached Action Agenda Item F-7 Date of Approval 4-2-01
Enclosed For Your Records Is An Executed Copy Of The Above Referenced Agenda Item.
Remarks:
tS Q"
Connie Brockway
City Clerk
Attachments: Action Agenda Page x Agreement x Bonds Insurance
RCA Deed Other
CC: R, Beardsley DPW x x
Name Department RCA Atreem nt Insurance Other
D. Webb DPW x X
. Name Deparnwnt RCA Agmemeat Insurance Other
Name Deparmxnt RCA Agmamat Insurance Other
Name Department RCA A=retrt+eot Insurance Other
X
Risk Nfanagement Dept. Insurance
I Td o p hens:714-536"S 227 f
6 6-w*11)s krl
t-.ZITY OF HUNTINGTON BEA�.4i(a�d1' DAMi
MEETING DATE: APRIL 2, 2001 DEPARTMENT ID MBER:PW 01-037
Council/Agency Meeting Held: 4Z-0)
Deferred/Continued to:
A proved O Condition ly Approved O Denied
6�1-0-0o— rJ M erk i nature
Council Meeting Date: APRIL 2, 2001 Department ID Number: PW 01-037
CITY OF HUNTINGTON BEACH
REQUEST FOR ACTION
V
SUBMITTED TO: HONORABLE MAYOR AND CITY CO UNC L ,
`V -�
SUBMITTED BY: RAY SILVER, CITY ADMINISTRATOR
PREPARED BY: ROBERT F. BEARDSLEY, DIRECTOR OF PUBLI �IIfORKS _ -
SUBJECT: APPROVE NEW AGREEMENT WITH SUNSET BEACH SANITARY
DISTRICT ``'
Statement of 15sUe,Funding Source, ecommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s)
Statement of Issue: Should the City approve a new agreement with Sunset Beach
Sanitary District detailing the terms and cost recovery for pumping wastewater through City-
owned pumping stations and sewer mains?
Funding Source: No funding is required. Recovery of costs for service is anticipated.
Recommended Action: Motion to:
Approve and authorize the Mayor and City Clerk to execute the Agreement for the
Conveyance of Wastewater Between the City of Huntington Beach and Sunset Beach
Sanitary District.
Alternative Action(s): Do not approve the new agreement; allow the existing agreement to
run its remaining term of 55 years without a specified cost recovery arrangement, and
instruct staff on how to proceed.
Anal: A new agreement between the City and Sunset Beach Sanitary District
(SBSD)will adequately provide for the recovery of all costs associated with the conveyance
of SBSD's sewage discharge. The agreement also specifies a Facilities Replacement
Charge for the future replacement or reconstruction of the facilities used for the
conveyance of wastewater from the community of Sunset Beach.
01-03T April 2 Webb(sunset Beach Sanitary) •2- 3122101 6:28 PM
rim
Y
�J REQUEST FOR ACTION*.)
MEETING DATE: APRIL 2, 2001 DEPARTMENT ID NUMBER:PW 01-037
BACKGROUND
Since 1970, wastewater originating in Sunset Beach has been conveyed by the Sunset
Beach Sanitary District (SBSD) to two sewer pump stations ("C" and "D") and gravity sewer
lines located within the jurisdiction of and owned by the City of Huntington Beach, which is
then conveyed through sewer trunk mains of the Orange County Sanitation District (OCSD)
to treatment facilities owned by the County. Terms of this conveyance have been
administered under an original agreement that set forth a term life of 55 years, which
governs until year 2025.
The original 1970 agreement established a maximum capacity of 250,000 gallons per day
(gpd) to be conveyed to the City's collection system. The reimbursement to the City was
set at $5.00 per million gallons of sewage flow. Through discussions and negotiations
between the City and SBSD, this reimbursement cost rose to $16 per million gallons by
1984. It was generally acknowledged by all parties, that even at the 1984 rate, the City is
not recovering the cost of wastewater conveyance for the community of Sunset Beach.
In 1984, a supplemental agreement was approved by the City of Huntington Beach and the
SBSD, which established a higher average capacity right of 350,000 gpd, with a maximum
allowable peak flow of 580,000 gpd. The agreement also established new rates to be
collected, beginning at the then current rate of$16 per million gallons, with annual
adjustments that would increase to $60 per million gallons by June 30, 1988. With each
fiscal year after that date, the amount would be adjusted upward or downward based upon
increases or decreases in the City's operation and maintenance expenses "attributable to a
change in its existing electrical utility rate as reflected in Southern California Edison
Company's Schedule No. PA-1, effective October 9, 1983."
In March 1991, an amendment to the 1984 agreement was approved to increase the billing
rate to $73.09 per million gallons beginning with Fiscal Year 1989-90. The rate was to be
adjusted each succeeding fiscal year based upon the Construction Cost Index as reported
in the Fourth Quarterly "ENR Market Trends" Published by Engineering News-Record for
the prior fiscal year. No provisions were made in the 1991 amendment for conveyance
charges after June 30, 1995. Since 1995, SBSD has continued paying for conveyance of
the wastewater at the existing rate under the terms of the old agreement, and is currently
paid through the Fiscal Year 199711998.
The SBSD Board, at its February 6, 2001 meeting, agreed to the terms and service
charges of a supplemental agreement that modified the terms of the 1970 Agreement.
Along with this, the SBSD Board also approved payments of service charges for the fiscal
years of 1998/1999 ($10,303.62) and 199912000 ($15,698.44). These amounts are based
on the terms of the existing agreement, and shall be remitted to the City of Huntington
Beach within 60 days of execution of the new agreement.
01-037 April 2 Webb(Sunset Beach Sanitary) -3- 3122101 6:28 PM
REQUEST FOR ACTION
MEETING DATE: APRIL 2, 2001 DEPARTMENT ID NUMBER:PW 01-037
PROPOSED AGREEMENT SUMMARY
Under the proposed new agreement, the Public Works Maintenance Division will prepare a
cost breakdown at the end of each fiscal year for all costs to pump and convey the sanitary
sewer flows from the community of Sunset Beach through facilities owned and operated by
the City of Huntington Beach to the trunk sewer lines of Orange County Sanitation District .
The report shall include costs for normal operation, maintenance and upkeep, and, will
accompany the City's invoice to the SBSD. The amount invoiced to the SBSD is based
upon the ratio of total flows that pass through the pump stations and the now generated by
the Sunset Beach community. SBSD will pay the city for its proportionate share of all costs
to operate and perform normal maintenance of the conveyance system.
Also included in the invoice will be a Facilities Replacement Charge, an agreed-upon
amortized cost of$12,310 per year for future improvement, removal, alteration,
replacement and reconstruction of the existing facilities. The funds from the Facilities
Replacement Charge will be retained in a special account designated for this purpose.
Should the facilities be abandoned, removed or no longer needed to convey SBSD's
wastewater, the unexpended facilities replacement funds shall be returned to the District.
As established in the proposed new agreement, SBSD's proportionate share of the
estimated average cost to the city is $250 per million gallons of wastewater conveyed.
There are currently 1,178 sewered dwellings in the community of Sunset Beach. The
estimated cost per dwelling under this new agreement will average an additional $2.00 per
month, or$24 per year. The cost per dwelling for the 1999/2000 fiscal year was $1.11 per
month, or$13.33 per year under the terms of the old agreement.
Environmental Status: Not applicable
Attachments):
• . . Description
1 Agreement for the Conveyance of Wastewater with the Sunset
Beach Sanitary District and the City of Huntington Beach
2 Resolution No.01-01 of the Board of Directors of the Sunset Beach
Sanitary District
RCA Author. David A. Webb,City Engineer
01-037 April 2 Webb(Sunset Beach Sanitary) .4- 03128/01 1:49 PM
V v
ATTACHMENT #1
AGREEMENT FOR THE CONVEYANCE OF WASTEWATER
BETWEEN THE CITY OF HUNTINGTON BEACH AND
SUNSET BEACH SANITARY DISTRICT
This Agreement is entered into this end day of April , 2001 , by and
between the CITY OF HUNTINGTON BEACH, a municipal corporation, hereinafter referred to
as"CITY", and SUNSET BEACH SANITARY DISTRICT, hereinafter referred to as"SUNSET", a
special district governed by the provisions of the Sanitary District Act of 1923, in recognition of
the following matters:
RECITALS
A. WHEREAS, the CITY is empowered to enter into contracts for the conveyance of
wastewater originating outside its boundaries and SUNSET is empowered to maintain and
operate sewers and other sanitary disposal matters either in or out of SUNSET through joint
powers agreements or through other means with any municipality.
B. WHEREAS, on or about December 23, 1970, CITY and SUNSET entered into an
agreement under terms of which CITY undertook to accept and transmit from SUNSErs
wastewater collection system to the trunk wastewater lines of ORANGE COUNTY SANITATION
DISTRICT, hereinafter referred to as "DISTRICT", wastewater originating within the boundaries
of SUNSET in the quantities and Under the terms and conditions therein set forth. Shortly
thereafter, on or about January 13, 1971, CITY and DISTRICT entered into an agreement
whereby DISTRICT undertook to accept, treat and discharge said wastewater in the quantities
and under the terms and conditions therein set forth.
C. Pursuant to the original December 23, 1970 Agreement, as modified by the May
7, 1984 Agreement, CITY and SUNSET agreed that it would be in the interest of all parties for
SUNSET to contract directly with the CITY for the conveyance of wastewater through CITY's
jmpXagme/seal beach/1212.00 t
sewer system and to contract directly with the DISTRICT for its acceptance, treatment, and
disposal of SUNSETs wastewater.
D. Said May 7, 1984 Agreement between the CITY and SUNSET was amended on
May 4, 1991 to adjust and amend the charges to be paid by SUNSET to CITY for the
conveyance of wastewater through the CITY's sewer system.
E. SUNSET has a continued need to provide for the discharge of wastewater, and a
dispute has arisen between SUNSET and CITY with respect to the terms of said agreement.
F. CITY and SUNSET desire hereby to compromise and settle the disputes
heretofore referred to and to provide long term capacity in the CITY'S lines for wastewater
originating within SUNSET.
NOW, THEREFORE, CITY and SUNSET do agree as follows:
1. DEFINITIONS. As used in this Agreement the following terms shall have
the meanings herein set forth:
(a) Average Flow means the daily average discharge of wastewater during the fiscal
year expressed as a rate of flow in million gallons per day, and shall be
computed by dividing the total gallons discharged during the fiscal year by the
number of days within such year.
(b) Capacity Right means the right of SUNSET to deliver and the obligation of CITY
to receive and convey to DISTRICT the stated flow of wastewater expressed in
terms of average flow and peak flow.
(c) Fiscal Year means the period between July 1 and the next succeeding June 30
inclusive, subject to slight modifications due to administrative and accounting
procedures of the parties hereto.
(d) Operation and Maintenance Costs means the actual costs incurred by CITY in a
given fiscal year for or in connection with the operation, maintenance, upkeep,
repair, improvement, alteration, renewal, replacement and reconstruction of the
jmpWag escal bc2ch112112.100 2
facilities used for the conveyance of wastewater pursuant to this Agreement.
Such costs shall include those relating to tools, equipment, labor, supplies,
materials, appliances, power, fuel, engineering and inspection. Operation and
maintenance costs shall be deemed to include overhead costs attributable to
administrative and supervisory functions, but only to the extent that such costs
are directly related to the services and facilities furnished to SUNSET by CITY
pursuant to this Agreement.
(e) Peak Flow means the maximum discharge of wastewater permitted under this
Agreement for any 24-hour period.
(f) Permitted Flow means the rate of flow set forth herein and is the maximum
amount of wastewater flow which SUNSET has the right to discharge into the
CITY's facilities under terms of this Agreement. Permitted flow is expressed as
an average flow or a peak flow or as both.
(g) Wastewater means the water carried wastes of the community derived from
public, residential, commercial or industrial sources.
2. CAPACITY RIGHT
(a) Obligation to Accept and Convey. As of the effective day of this Agreement,
CITY grants to SUNSET a capacity right in its existing and expanded facilities.
(b) Quantity,of Capacity Right. Said capacity right shall be an average flow of three
hundred and fifty thousand gallons (350,000) per day and a peak flow of five
hundred and eighty thousand gallons (580,000) per day.
3. POINT OF DELIVERY. CITY agrees to accept the flows set forth above from two
points of connection at Warner Avenue within the territorial limits of the CITY, as more
particularly described in Exhibit A hereto.
jnTN'aVv0sm1 bcach/1Z112J00 3
4. FLOW MEASUREMENT. SUNSET shall maintain at its expense a flow meter
and a recorder totalizer capable of measuring the quantities of wastewater discharged from
SUNSETS wastewater system through the wastewater system of CITY
SUNSET shall report the volume of wastewater contributed to the CITY's system as
determined by the aforesaid meter totalizer. Such reports, showing a summary month by month
for the entire term year, shall be made by SUNSET to CITY within 30 days of the end of the
term year. In the absence of such agreement, such reports shall be made on or before the
tenth (10'h)day of each month covering the preceding month.
Said meter shall be subject to inspection and testing by CITY at its expense.
5. RIGHT TO FUTURE CAPACITY. Should the capacity right afforded to SUNSET
by this Agreement prove in the future to be insufficient to meet the reasonable then present or
anticipated needs of SUNSET, CITY shall provide added capacity to SUNSET to the extent that
such additional capacity is available at the reasonable determination of CITY. To the extent that
such capacity is unavailable but can be made available in the reasonable determination of
CITY, SUNSET shall be responsible for all costs to achieve additional capacity. CITY and
SUNSET shall negotiate a written amendment to reflect terms of added capacity and costs of
construction to achieve added capacity.
6. CHARGES.
Within 60 days of executing this Agreement, SUNSET shall pay to CITY, the
following sums of monies for the respective fiscal years of conveyance of SUNSET's
wastewater:
For FY 1998/99 (July 1, 1998 through June 30, 1999) $10,303.62
($82.84 x 124.3798 mgd—per old agreement)
For FY 1990100 (July 1, 1999 through June 30. 2000) $15,698.44
($127.54 x 123.0856 mgd—per old agreement)
Commencing July 1,2000, SUNSET shall pay to CITY the portion of CITY's operation and
maintenance expenses attributable to the facilities utilized by SUNSET pursuant to this
jmpOOar.m'scal bcach112112,DO 4
Agreement that the average flow from SUNSET during the preceding fiscal year bears to the
total average flow in said facilities.
SUNSET shall submit to CITY on or before July 31 of each fiscal year the total flow for
the previous fiscal year ending ,tune 30. On or before September 1 of each year CITY shall
invoice SUNSET for their proportionate share of all costs from the prior fiscal year based upon
its actual operation, maintenance, upkeep and repair expenses for the preceding fiscal year.
The sum as determined above shall be paid by SUNSET to CITY within the period of 60 days of
receipt of a statement therefore.
7. CAPITAL FACILITIES REPLACEMENT CHARGES. The CITY is desirous of
establishing a Capital Facilities Replacement Fund for the replacement of the affected facilities
so that the facilities can be replaced as necessary. It is mutually agreed that SUNSET shall
contribute certain monies into said Fund based upon SUNSET's capacity allocation in said
conveyance facilities. SUNSET agrees to pay to CITY an annual charge of$12,310.00 which
shall be attributed to their proportionate shares of the capital replacement cost of the total value
of SUNSET's capital cost for 350,000 gallons per day capacity in the CITY's conveyance
facilities. The initial $12,310.00 to be paid by SUNSET to CITY to be placed in said FUND shall
be paid concurrently with SUNSET's annual payment for Operational and Maintenance Costs as
specified in paragraph 6 of this Agreement for the fiscal year ending .tune 30. 2001.
In the event that the affected facilities are abandoned, replaced by facilities owned and
operated by DISTRICT, or the ownership and operation of the affected facilities are assumed by
DISTRICT which would not require CITY to replace these affected facilities, CITY shall refund
all Capital Facilities Replacement monies paid by SUNSET to SUNSET.
8. DISPOSAL OF EXCESS WASTEWATERS. SUNSET agrees that in the event it
discharges wastewater to the CITY's conveyance system in excess of the total annual flow
based upon the average daily flow of 350,000 gallons per day, or as otherwise permitted by this
Jmp agredwal beadd12112'00 5
V
Agreement, SUNSET shall pay to CITY two (2) times the amount of the gallonage charge as
determined in paragraph 6 above for all wastewater in excess of the permitted flow.
9. MAINTENANCE OF SEWER LINES. SUNSET agrees to continue its efforts,as
far as is practicable, to reduce or eliminate surface waters and infiltration of ground waters into
its sewerage system, except as allowed by prior approval of the City. In the event CITY
determines or has reason to believe that SUNSET's system is failing to reasonably reduce or
exclude surface or underground inflowfinfiltration, CITY reserves the right to require an
inspection of the facilities owned and operated by SUNSET which are used for collection of
wastewater within SUNSET's service area. Said inspection shall be at no cost to CITY. A
report,with findings, shall be submitted to the City summarizing the results of the inspection.
The CITY shall request needed corrections of the inflowrinfiltration in writing.
10. ACTS OF GOD. Neither party hereto shall be liable for failure to comply with the
terms or conditions of this Agreement by reason of flood, fire, earthquake, or act of God,
provided, that due diligence is exercised to repair or replace facilities damaged and to perform
hereunder following such occurrence. CITY and SUNSET shall each pay their proportional
share to the net cost of such replacement, based upon the capacity ratio Yield and used by each
at such time.
11. RIGHT TO INSPECT.
(a) SUNSET shall have the right at all reasonable times to inspect all records of
CITY that pertain to its operation and maintenance expenses applicable to this
Agreement. CITY shall,at the request of SUNSET, advise SUNSET of the
manner in which CITY has determined the charges payable under Section 6 and
the records that were used in making such determination.
(b) CITY shall have the right at all reasonable times to inspect all records of
SUNSET that pertain to its operation and maintenance expenses applicable to
this Agreement. SUNSET shall, at the request of CITY, advise CITY of the
jmr,00a¢rcdseal bea&'12.'12.W 6
manner in which SUNSET has determined the charges payable under Section 6
and the records that were used in making such determination.
12. INDEMNITY. CITY shall protect, defend, indemnify and hold harmless
SUNSET, its officers, officials. employees and agents from and against any and all liability, loss,
damage, expenses, costs (including without limitation costs and fees of litigation of every
nature)arising out of or in connection with performance of this Agreement or its failure to
comply with any of its obligations contained in this Agreement, except such loss or damage
which was caused by the sole negligence or willful misconduct of the SUNSET.
SUNSET shall protect, defend, indemnify and hold harmless CITY, its officers, officials,
employees and agents from and against any and all liability, loss, damage, expenses, costs
(including without limitation costs and fees of litigation of every nature)arising out of or in
connection with performance of this Agreement or its failure to comply with any of its obligations
contained in this Agreement, except such loss or damage which was caused by the sole
negligence or willful misconduct of the CITY.
13. TERM. The term of this Agreement shall be 55 years from the effective
date hereof.
14. -SETTLEMENT OF PAST DISPUTES AND TERMINATION OF PRIOR
AGREEMENT. CITY and SUNSET enter into this Agreement in part in consideration of
resolving all disputes which either may have against the other arising out of all prior
agreements.
In consideration of the covenants and conditions herein set forth. CITY releases
SUNSET and SUNSET releases CITY from all claims, demand, or liability whatsoever arising
out of prior agreements.
Upon execution hereof, all prior agreements between CITY and SUNSET are
terminated.
jm;O)agredscal be2rh.+17113M 7
15. ASSIGNMENT. This Agreement shall not be assigned by either party
hereto without the express written consent of the other party to this Agreement provided that
such consent shall not unreasonably be withheld.
16. NOTICES. Any notice or special instructions required to be given in writing
under this Agreement shall be given either by personal delivery to SUNSETs agent or to CITY's
Director of Public Works as the situation shall warrant, or by enclosing the same in a sealed
envelope, certified mail, postage prepaid, and depositing the same in the United States Postal
Service, addressed as follows:
TO CITY: TO SUNSET:
Director of Public Works President of the Board of Directors
City of Huntington Beach Sunset Beach Sanitary District
2000 Main Street P.O. Box 1185
Huntington Beach, CA 92648 Sunset Beach, CA 90742
17. MODIFICATION. No waiver or modification of any language in this
Agreement shall be valid unless in writing and duly executed by both parties.
18. LEGAL SERVICES SUBCONTRACTING PROHIBITED. 'SUNSET and CITY
agree that CITY is not liable for payment of any subcontractor work involving legal services, and
that such legal services are expressly outside the scope of services contemplated hereunder.
SUNSET understands that pursuant to Huntington Beach City Charter Section 309, the City
Attorney is the exclusive legal counsel for CITY; and CITY shall not be liable for payment of any
legal services expenses incurred by SUNSET. This Section 18 does not affect in any way the
provisions contained in Section 12 of this Agreement.
19. ATTORNEYS FEES & ARBITRATION. In the event suit is brought by either
party to enforce the terms and provisions of this Agreement or to secure the performance
hereof, each party shall bear its own attorney fees.
jmp00asree/seal beac1V12/12100 8
i
In the event of a dispute regarding the interpretation or implementation of this
Agreement or any rights or obligations hereunder, the issues in dispute shall be submitted to
arbitration. (California Code of Civil Procedure, Part 3,Title 9, Section 1280 et seq.) For such
purpose, an agreed arbitrator shall be selected, or in the absence of such agreement, each
party shall select an arbitrator and the two arbitrators shall select a third. Discovery may be
conducted in connection with the arbitration proceeding pursuant to California Code of Civil
Procedure, Section 1283.05. The arbitrator, or three arbitrators acting as a board, shall take
such evidence and make such investigations as deemed appropriate and shall render a written
decision on the matter in question. The arbitrator/s shall decide each dispute and every dispute
in accordance with the laws of the State of California. The arbitrator's decision and award shall
be binding on both parties but subject to the judicial review for errors of fact or law in the
Superior Court for the County of Orange.
20. PARTIAL INVALIDITY. Should any provision of this Agreement be held by a
court of competent jurisdiction to be either invalid, void, or unenforceable, the remaining
provisions of this Agreement shall remain in full force and effect unimpaired by the holding, so
long as the reasonable expectations of the parties hereto are not materially impaired.
21. INTERPRETATION OF GOVERNING LAW. This Agreement shall be governed
by and construed pursuant to the laws of the State of California.
REST OF PAGE NOT USED
jmpWaglscai bocW12!12,W 9
22. ENTIRETY. This Agreement contains the entire agreement between the
parties respecting the subject matter of this Agreement and supercedes all prior understanding
and agreements whether oral or in writing_ The foregoing sets forth the entire Agreement
between the parties.
IN WITNESS WHEREOF, the parties have executed this Agreement, consisting of ten
(10) pages, including this page, on the dates set forth beside their respective signatures.
SUNSET BEACH SANITARY DISTRICT, a CITY OF HUNTINGTON BEACH, a
municipal corporation of the State of municipal corporation of the State of
California California
7&&,p V, 4"' -qx �
President M r
ATTE ATTEST: :-:_
Se etary City Clerk
APPROVE AS TO FORM: .
1-'"iCity Attorney
INITIAT D APPROVED:
Direct of Public or s
REVIEWED AND At� R D:
City Administrator
iwq0)Psrrua1 Ivacht12.71-M 10
v v
EXHIBIT A
s
City of nuntington Reach 12" Sanitary Sewer
\ 6" CI Force Main (1936)
Warner ` ~ ~ -- _ ._ Avenue
'Magnetic Flow Meter 6" PVC Force Alain (1998)
--Sunset Beach Sanitary District Pump Station 41
Exhibit "A"
Sunset Beach Sanitary District Conections to
City Of Hntington Beach Sewer System
v v
ATTACHMENT #2
RESOLUTION NO.01-01
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SUNSET BEACH SANITARY
DISTRICT APPROVING A NEW AND REVISED AGREEMENT WITH THE CITY OF
HUNTINGTON BEACH FOR THE CONVEYANCE OF WASTEWATER AND AUTHORIZING
THE PRESIDENT AND SECRETARY OF THE BOARD TO EXECUTE THE NEW AND
REVISED AGREEMENT
The Sunset Beach Sanitary District and the City of Huntington Beach entered into an Agreement for
the conveyance of the wastewaters from the Sanitary District through the City's sewer system to the
treatment and disposal facilities of the Orange County Sanitation District in December, 1970. This
original Agreement was modified in May, 1984 to reflect change conditions and to update the
provisions contained in the original Agreement. Since the Sanitary District has a continuing need to
transport their wastewaters to the treatment and disposal facilities of the Sanitation District, and a
dispute has risen between the Sanitary District and the City,the two parties have agreed to settle the
dispute and enter into a new Agreement.
THEREFORE BE IT RESOLVED
1. The Board of Directors have carefully reviewed the proposed new conveyance
Agreement,and
2. After careful review have agreed to the terms and conditions contained therein,and
3. Authorize the President of the Board and the Secretary of the Board to execute the
new Agreement on the behalf of the Sanitary District.
Passed this 8th day of February,2001 at the regular Board meeting
YEAS NAYS < —
c
President of the Board
"&'� a
eeretary of the Board
1. The Board of Directors have carefully reviewed the terms and conditions of the proposed
new Agreement with the City of Huntington Beach
Fife Notes
Office of the City Clerk
Huntington Beach, California
04-1 A&b City of Huntington Beach
P.O.Box 190-2000]Main Street
Huntington Beach,California 92648
HUNTINGTON BEACH �
~" From the desk of. . Connie Brockway
City Clerk .
Telephone: (714) h6-5404
�------�- Fax: (714)374-1557 ,
Internet: www.ci.huntinglon-bea6.ca.ns
��07
tci-�, a4o IwJ
r7h- .,5* 14- �r 0~ j-J lA"1,,-, ,ter-' ------
G S
RCA 'kOUTING HEFT
INITIATING DEPARTMENT: PUBLIC WORKS
SUBJECT: Approve New Agreement With Sunset Beach Sanitary
District
COUNCIL MEETING DATE; Aril 2, 2001
RCA ATTACHMENTS STATUS
Ordinance wlexhibits & legislative draft if applicable) Not Applicable
Resolution wlexhibits & legislative draft if applicable) Not Applicable
Tract Map, Location Map and/or other Exhibits Not Applicable
Contract/Agreement (wlexhibits if applicable)
Si ned in full by the City Attome Attached
Subleases, Third Party Agreements, etc.
(App,roved as to form by City Attome Not Applicable
Certificates of Insurance (Approved by the City Attome ) Not Applicable
Financial Impact Statement Unbud et, over$5,000 Not Applicable
Bonds If applicable) Not Applicable
Staff Report If applicable) Attached
Commission, Board or Committee Report If applicat!e)___,_r
Not Applicable Findin s/Conditions for Approval and/or Denial Not A licable
EXPLANATION FOR MISSING ATTACHMENTS
REVIEWED RETURNED FORWARDED
Administrative Staff
Assistant City Administrator initial
City Administrator Initial
City Clerk
EXPLANATION FOR RETURN OF ITEM: