AGENDA

BOARD OF DIRECTORS ORANGE COUNTY SANITATION DISTRICT

DISTRICT’S ADMINISTRATIVE OFFICES 10844 ELLIS AVENUE FOUNTAIN VALLEY, CA 92708

REGULAR MEETING

September 27, 2006 – 7:00 P.M.

1. Invocation and Pledge of Allegiance (Board of Supervisors – Director Silva)

2. Roll Call

3. Consideration of motion to receive and file minute excerpts of member agencies relating to appointment of Directors, if any.

City/Agency Active Director Alternate Director

Orange Carolyn Cavecche Jon Dumitru

4. Appointment of Chair pro tem, if necessary

5. Public Comments

6. The Chair, General Manager and General Counsel present verbal reports on miscellaneous matters of general interest to the Directors. These reports are for information only and require no action by the Directors.

a. Report of Chair; consideration of Resolutions or recommendations, presentations and awards

b. Report of General Manager

c. Report of General Counsel

7. Ratifying payment of claims of the District, by roll call vote, as follows:

ALL DISTRICTS 08/15/06 08/31/06 Totals $19,628,166.52 $24,509,685.16

DIRECTORS: Pursuant to Government Code Section 84308, you are required to disclose any campaign contribution greater than $250 received in the past twelve months from any party to a contract involving OCSD. This requires that you identify the contributor by name. Further, you may not participate in the decision making process to award a contract to such party. For reference, you are directed to the Register of Warrants as to all current contractors/vendors with OCSD. For the specifics of Government Code Section 84308, please see your Director’s Handbook or call the office of General Counsel.

09/27/06 Page 2

CONSENT CALENDAR

8. Consideration of motion to approve all agenda items appearing on the Consent Calendar not specifically removed from same, as follows:

a. Order the minutes for the regular meeting held on August 23, 2006, to be filed and deemed approved, as mailed

b. (1) Receive and file petition from Charles J. Walker requesting annexation of 1.988 acres to Orange County Sanitation District in the vicinity of Brier Lane and Highcliff Drive in an unincorporated area of Orange County; and,

(2) Adopt Resolution No. OCSD 06-19, authorizing initiation of proceedings to annex said territory to OCSD (Proposed Annexation No. OCSD 57 – Walker Annexation).

c. (1) Receive and file petition from Michael and Virginia Rue requesting annexation of 1.06 acres to Orange County Sanitation District in the vicinity of Skyline Drive and Reservoir Road in an unincorporated area of Orange County; and,

(2) Adopt Resolution No. OCSD 06-20, authorizing initiation of proceedings to annex said territory to OCSD (Proposed Annexation No. OCSD 58 – Rue Annexation).

d. Adopt Resolution No. OCSD 06-24, Levying Assessment Installments in lieu of the Payment of Sewer System Capital Facilities Capacity Charges Incidental to the Connection of Assessor’s Parcel No. 503-301-04 and 502-232-06 to the Sewer System

END OF CONSENT CALENDAR

9. Consideration of items deleted from Consent Calendar, if any.

COMMITTEE REPORTS AND RECOMMENDED ACTIONS

10. STEERING COMMITTEE

Consent Calendar

a. Order draft Steering Committee Minutes for the meeting held on August 23, 2006, to be filed.

b. Adopt Resolution No. OCSD 06-21, Declaring Support of Proposition 1E.

Non-Consent Calendar

c. Consideration of items deleted from Steering Committee Consent Calendar, if any

09/27/06 Page 3

11. OPERATIONS, MAINTENANCE AND TECHNICAL SERVICES COMMITTEE (OMTS)

OMTS Consent Calendar

a. Order draft Operations, Maintenance and Technical Services Committee Minutes for the regular meeting held on September 6, 2006, to be filed.

b. (1) Ratify approval of Amendment No. 1 to the sole source agreement with UC Riverside for the project titled “Seasonal Evaluation of Reproductive Status and Exposure to Environmental Estrogens in Hornyhead Turbot at the Municipal Wastewater Outfall of Orange County”, for an additional amount of $50,000 for year two of the contract, for a total amount not to exceed $100,000; and,

(2) Approve an extension to the contract for year three for said project for an additional amount of $50,000, for a total amount not to exceed $150,000.

c. (1) Authorize the General Manager to accept a $76,098 credit for Trunkline Chemical Treatment Strategy in the Miller-Holder, Knott and Baker-Gisler Trunklines from U.S. Peroxide, LLC; and,

(2) Authorize the General Manager to utilize up to $60,100 of the $76,098 credit for the relocation of the chemical dosing tank to be completed by U.S. Peroxide, LLC.

d. Approve a Consulting Services Agreement with TMV Systems Engineering, for Process Control System Historical Replacement, Specification No. CS-2006-281BD, providing technical consulting, implementation support and software purchase, in the amount of $357,902, and a contingency of $17,098 for a total amount not to exceed $375,000.

e. Authorize the re-appropriation of $450,000 from Biosolids Production Siting Study, SP-105; Environmental Compliance Assessment Program, SP-104; and, Odor Control Study, Job No. P2-95, approved projects in the FY 06-07 CIP, to fund the FY 06-07 Research Program projects not included in the current CIP.

OMTS Non-Consent Calendar

f. Consideration of items deleted from OMTS Calendar, if any.

12. PLANNING, DESIGN AND CONSTRUCTION COMMITTEE (PDC)

PDC Consent Calendar

a. Order draft Planning, Design and Construction Committee Minutes for the regular meeting held on September 14, 2006, to be filed.

b. Receive and file the Collection System Strategic Plan Update dated April 2006, prepared by MWH Americas, Inc. for the Collection System Model and Strategic Plan Update, Job No. J-101.

c. Item removed.

09/27/06 Page 4

d. (1) Ratify Change Order No.1 to Plant No. 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3, with Denboer Engineering and Construction, Inc., authorizing an addition of $37,762 and 159 calendar days, increasing the total contract amount to $1,360,762; and (2) Accept Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3, as complete, authorizing execution of the Notice of Completion and approving the Final Closeout Agreement. e. (1) Approve plans and specifications for 66-Inch Ellis Avenue Trunk Sewer, Contract No. I-10A, on file at the office of the Board Secretary;

(2) Approve Addenda Nos. 1, 2, 3, 4, and 5 to the plans and specifications;

(3) Receive and file bid tabulation and recommendation; and

(4) Award a construction contract to Barnard Soletanche, a joint venture, for 66-Inch Ellis Avenue Trunk Sewer Contract No. I-10A, for an amount not to exceed $32,232,600. f. (1) Ratify Change Order No. 4 to Plant Utilities Rehabilitation and Refurbishment, Job No. P2-82, with Olsson Construction, authorizing an addition of $1,040, and an additional 457 calendar days, increasing the total contact amount to $2,883,385; and,

(2) Accept Plant Utilities Rehabilitation and Refurbishment, Job No. P2-82, as complete, authorizing execution of the Notice of Completion and approving the Final Closeout Agreement. g. Ratify Change Order No. 10 to Secondary Treatment Facilities Process Upgrades at Plant No. 2, Job No. P2-47-3, with Morrow-Meadows Corporation, authorizing an addition of $295,560, increasing the total contract amount to $7,640,167. h. (1) Ratify Change Order No. 1 to Sunflower Interceptor Manhole Rehabilitation, Contract No. 7-21, with Sancon Engineering, Inc., authorizing an addition of $583,821, increasing the total contract amount to $2,103,021, and 79 additional calendar days; and,

(2) Approve a budget amendment for Sunflower Interceptor Manhole Rehabilitation, Job No. 7-21, in the amount of $278,000, for a total budget of $3,572,000. i. Ratify Change Order No. 2 to Rehabilitation of the14th Street Pump Station, Contract No. 5-51, and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52, with Kiewit Pacific Company, authorizing an addition of $256,079 and 14 calendar days, increasing the total contract amount to $12,095,223.

09/27/06 Page 5

j. (1) Ratify Change Order No. 11 to Gisler-Redhill Trunk Improvements, Reach “A”, Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler-Redhill North Trunk Improvements, Contract No. 7-41; and City of Tustin Project Nos. 6106 and 6151, with ARB, Inc., authorizing an addition of $400,676, increasing the total contract amount to $22,003,110;

(2) Decrease Phase 4 of Contract No. 7-41 budget by $1,300,000 for a total project budget amount of $15,460,857; and,

(3) Increase Phase 4 of Contract No. 7-36 budget amount by $1,300,000 for a total project budget amount of $8,357,433.

k. Ratify Change Order No. 28 to Primary Clarifiers 16-31 and Related Facilities, Job No. P1-37, with Margate Construction, authorizing an addition of $83,637, increasing the total contract amount to $72,760,157.

l. Ratify Change Order No. 20 to Bushard Trunk Sewer Rehabilitation, Job No. I-2-4, with Steve P. Rados, Inc., authorizing an addition of $151,375, increasing the total contract amount to $30,679,877.

m. Approve a Professional Design Services Agreement with The Austin Company to prepare a Feasibility Study for Laboratory Refurbishment at Plant No. 1, Job No. J-97, for an amount not to exceed $122,400.

n. (1) Approve Amendment No. 5 to the Professional Services Agreement with Camp, Dresser, & McKee for Rehabilitation of Odor Control Facilities, Job No. J-71-8, providing for an adjustment to the burdened labor rates for an additional amount of $109,668, increasing the total amount not to exceed $5,028,372.

o. Approve Amendment No. 8 to the Professional Service Agreement with Tran Consulting Engineers for additional construction support services for Sunflower Interceptor Manhole Rehabilitation, Contract No. 7-21, for an additional amount of $7,625, increasing the total amount not to exceed $1,270,697.

p. Approve a Settlement Agreement with Parsons Engineering Science for Area Classification Study Implementation Plan, Plant Nos. 1 and 2, Job No. J-35-2, for a reimbursement amount of $610,667.

PDC Non-Consent Calendar

q. Consideration of items deleted from PDC Consent Calendar, if any.

13. FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE (FAHR)

FAHR Consent Calendar

a. Order draft Finance, Administration and Human Resources Committee Minutes for the meeting held on September 13, 2006, to be filed.

b. Adopt Resolution No. 06-22, amending Resolution No. OCSD 98-33, amending Human Resources Policies and Procedures Manual.

09/27/06 Page 6

c. Adopt Resolution No. OCSD 06-23, Adoption of District’s 2006 Conflict of Interest Code, and Repealing Resolution No. OCSD 04-24.

d. Receive and file report of General Manager approved purchases in amounts exceeding $50,000 in accordance with Board purchasing policies.

e. Receive and file the FY 2005-06 Quarterly Financial Report for the period ended June 30, 2006.

f. Approve revisions to SAFETY-POL-101, Injury and Illness Prevention Program Policy, as provided for in Resolution No. OCSD 02-5 regarding the District’s Injury and Illness Prevention Program.

FAHR Non-Consent Calendar

g. Consideration of items deleted from FAHR Consent Calendar, if any.

14. LEGISLATIVE AFFAIRS COMMITTEE

Legislative Affairs Consent Calendar

a. Order Legislative Affairs Committee Minutes for the meeting held on September 12, 2006 to be filed.

Legislative Affairs Non-Consent Calendar

b. Consideration of items deleted from Legislative Affairs Consent Calendar, if any.

15. GWR SYSTEM STEERING COMMITTEE (GWRSSC)

GWRSSC Consent Calendar

a. Order Joint Groundwater Replenishment System Steering Committee Minutes for the meeting held on September 11, 2006, to be filed.

b. Approve a Professional Services Agreement with Faubel Public Affairs for one year of outreach support services for the Groundwater Replenishment System, Job No. J-36, for an amount not to exceed $255,850 to be cost shared equally (OCSD’s portion $127,925) with the Orange County Water District.

GWRSSC Non-Consent Calendar

c. Consideration of items deleted from GWRSSC Consent Calendar, if any.

09/27/06 Page 7

NON-CONSENT CALENDAR

16. Closed Session

CLOSED SESSION: During the course of conducting the business set forth on this agenda as a regular meeting of the Board, the Chair may convene the Board in closed session to consider matters of pending real estate negotiations, pending or potential litigation, or personnel matters, pursuant to Government Code Sections 54956.8, 54956.9, 54957 or 54957.6, as noted.

Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c) employment actions or negotiations with employee representatives; or which are exempt from public disclosure under the California Public Records Act, may be reviewed by the Board during a permitted closed session and are not available for public inspection. At such time as the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information.

a. Convene in closed session, if necessary

b. Reconvene in regular session

c. Consideration of action, if any, on matters considered in closed session

17. Other business and communications or supplemental agenda items, if any

18. Matters which a Director may wish to place on a future agenda for action and staff report.

19. Future Meeting Date: The next Board of Directors regular meeting is scheduled for October 25, 2006, at 7:00 p.m.

20. Adjournment

09/27/06 Page 8

Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2, this agenda has been posted in the main lobby of the District’s Administrative offices not less than 72 hours prior to the meeting date and time above. All written materials relating to each agenda item are available for public inspection in the office of the Board Secretary.

Items Not Posted: In the event any matter not listed on this agenda is proposed to be submitted to the Board for discussion and/or action, it will be done in compliance with Section 54954.2(b) as an emergency item or because there is a need to take immediate action, which need came to the attention of the Board subsequent to the posting of agenda, or as set forth on a supplemental agenda posted in the manner as above, not less than 72 hours prior to the meeting date.

Public Comments: Any member of the public may address the Board of Directors on specific agenda items or matters of general interest. As determined by the Chair, speakers may be deferred until the specific item is taken for discussion and remarks may be limited to three minutes.

Matters of interest addressed by a member of the public and not listed on this agenda cannot have action taken by the Board of Directors except as authorized by Section 54954.2(b). If you wish to speak, please complete a Speaker’s Form (located at the table outside of the Board Room) and give it to the Board Secretary.

Consent Calendar: All matters placed on the Consent Calendar are considered as not requiring discussion or further explanation and unless any particular item is requested to be removed from the Consent Calendar by a Director, staff member or member of the public in attendance, there will be no separate discussion of these items. All items on the Consent Calendar will be enacted by one action approving all motions, and casting a unanimous ballot for resolutions included on the consent calendar. All items removed from the Consent Calendar shall be considered in the regular order of business.

Members of the public who wish to remove an item from the Consent Calendar shall, upon recognition by the Chair, state their name, address and designate by number the item to be removed from the Consent Calendar.

The Chair will determine if any items are to be deleted from the Consent Calendar.

Items Continued: Items may be continued from this meeting without further notice to a Committee or Board meeting held within five (5) days of this meeting per Government Code Section 54954.2(b)(3).

Meeting Adjournment: This meeting may be adjourned to a later time and items of business from this agenda may be considered at the later meeting by Order of Adjournment and Notice in accordance with Government Code Section 54955 (posted within 24 hours).

Accommodations for the Disabled: The Board of Directors Meeting Room is wheelchair accessible. If you require any special disability related accommodations, please contact the Orange County Sanitation District Board Secretary’s office at (714) 593-7130 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested.

09/27/06 Page 9

NOTICE TO DIRECTORS: To place items on the agenda for the Regular Meeting of the Board of Directors, items shall be submitted to the Board Secretary no later than the close of business 14 days preceding the Board meeting. The Board Secretary shall include on the agenda all items submitted by Directors, the General Manager and General Counsel and all formal communications.

Interim General Manager James D. Ruth (714) 593-7110 [email protected] Acting Assistant General Manager Bob Ghirelli (714) 593-7400 [email protected] Board Secretary Penny Kyle (714) 593-7130 [email protected] Director/Engineering David Ludwin (714) 593-7300 [email protected] Director/Finance & Admin Services Lorenzo Tyner (714) 593-7550 [email protected] Director/Information Technology Patrick Miles (714) 593-7280 [email protected] Director/Operations & Maintenance Jim Herberg (714) 593-7020 [email protected] Acting Director/Technical Services Ed Torres (714) 593-7080 [email protected] Director/Regional Assets & Services Nick Arhontes (714) 593-7210 [email protected] General Counsel Brad Hogin (714) 564-2606 [email protected]

H:\dept\agenda\Board Agendas\2006 Board Agendas\092706 agenda.doc

Meeting Date To Bd. of Dir. BOARD OF DIRECTORS 09/27/06 Item Number Item Number AGENDA REPORT 7 Orange County Sanitation District

FROM: Lorenzo Tyner, Director of Finance and Administrative Services Originator: Lenora Crane, Executive Assistant

SUBJECT: PAYMENT OF CLAIMS OF THE ORANGE COUNTY SANITATION DISTRICT

GENERAL MANAGER'S RECOMMENDATION

Ratify Payment of Claims of the District by Roll Call Vote.

CONFLICT OF INTEREST NOTIFICATION

Pursuant to Government Code Section 84308, you are required to disclose any campaign contribution greater than $250 received in the past twelve months from any party to a contract involving the Orange County Sanitation District. Further, you may not participate in the decision making process to award a contract to such party.

For reference, you are directed to the Register of Warrants as to all current contractors/vendors with the District.

In general, you must disclose the basis of the conflict by identifying the name of the firm or individual who was the contributor.

For the specifics of Government Code Section 84308, please see your Director’s Handbook or call the office of General Counsel.

SUMMARY

See attached listing.

PRIOR COMMITTEE/BOARD ACTIONS

N/A

PROJECT/CONTRACT COST SUMMARY

N/A

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 7.Claims Paid.doc Revised: 01/04/06 Page 1 BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

N/A

ALTERNATIVES

N/A

CEQA FINDINGS

N/A

ATTACHMENTS

1. Copies of Claims Paid reports from 08/01/06 to 08/15/06 and 08/16/06 to 08/31/06

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 7.Claims Paid.doc Revised: 01/04/06 Page 2

Claims Paid From 08/01/06 to 08/15/06

Warrant No. Vendor Amount Description Accounts Payable - Warrants 83237 BioMerieux Vitek, Inc. $ 64,650.00 Instrument Parts & Supplies 83238 Black & Veatch Corporation 498,964.07 Engineering Services P1-76 & P1-102 83239 City of Fountain Valley 35,662.13 Water Use 83240 Propipe 21,258.65 Sewerline Video Inspections 83241 Southern California Edison 225,311.38 Power 83242 US Peroxide, L.L.C. 75,166.76 Odor & Corrosion Control Treatment for Coll. Sys.; Hydrogen Peroxide & Ferrous Chloride 83243 J R Filanc Construction 2,376,151.90 Construction P1-82 & P1-76 83244 Carlin and Ceccia 62,754.28 Claim Settlement 83245 Carlin and Ceccia Trust 67,245.72 Claim Settlement 83246 LA Chemical 1,548.37 Bleach 83247 A-1 Enterprises, Inc. 1,408.00 Fencing 83248 Airgas Safety, Inc. 725.05 Safety Supplies 83249 American Fidelity Assurance Company 578.80 Employee Voluntary Cancer Insurance 83250 ASCE Continuing Education 985.00 Training Registration 83251 ASSE American Society of Safety Engineers 140.00 Membership 83252 AssurX, Inc. 5,513.00 Software Maintenance & Support - CATSWEB 83253 AT & T Universal Biller 1,448.52 Telephone Service 83254 American Telephone & Telegraph Corp. 465.61 Telephone Service 83255 BEC-Building Electronic Controls, Inc. 931.30 Fire Alarm System Maintenance 83256 Bell Pipe & Supply Co. 518.38 Mechanical Parts & Supplies 83257 Court Trustee 98.62 Wage Garnishment 83258 California Hazardous Services, Inc. 1,600.00 Underground Storage Tank Testing 83259 California Relocation Services, Inc. 262.50 Office Files Moving/Relocation Services 83260 Cingular Wireless Airtime 394.57 Wireless Services 83261 City of Tustin 1,031.30 Water Use 83262 Click Tracks Analytics, Inc. 7,034.00 Maintenance & Support - Bronze Server 83263 Columbia Analytical Services, Inc. 16,464.00 Analysis of Wastewater, Industrial Wastewater & Biosolids 83264 Compressor Components of California 19,837.69 Maintenance & Repair Services - Cooper Compressor & LSVB Ignition Coils 83265 Corporate Express 2,367.86 Office Supplies 83266 Cross Current Corporation 1,200.00 Professional Services - Network Penetration Testing 83267 CWEA Annual Conference 125.00 Training Registration (California Water Environment Association) 83268 CWEA Membership 235.00 Membership & Training Registration (Calif. Water Environment Assoc.) 83269 Don Grayson, Ph.D., Consulting 9,455.72 Professional Services - OCSD & IT Management Review 83270 Ecology Control Industries 12,099.37 Hazardous Waste Disposal 83271 Electra Bond, Inc. 1,578.54 Repair & Maintenance Services - Fusion Bond Coating of Pump Parts 83272 Electrical Reliability Services 7,084.00 Professional Services - Electrical Reliability Testing for Capital Projects 83273 Employee Benefits Specialists, Inc. 10,394.99 Reimbursed Prepaid Employee Medical & Dependent Care 83274 EquipCo 366.47 Instrument Maint. 83275 Court Order 420.00 Wage Garnishment 83276 Fedex Corporation 375.80 Freight Services 83277 First American Real Estate Solutions 450.00 On-Line Orange County Property Information 83278 Fountain Valley Rancho Hand Wash 1,099.99 Vehicle Washing & Waxing Services 83279 Franchise Tax Board 134.94 Wage Garnishment 83280 Gerard Daniel Worldwide 82.45 Mechanical Parts & Supplies 83281 Goldenwest Window Service 1,680.00 Groundskeeping Services 83282 Guarantee Records Management 286.30 Off-Site Records Storage 83283 Hill's Boat Service 624.44 Engine Oil Change Service - Ocean Monitoring Vessel Nerissa 83284 Home Depot 6.87 Misc. Repair & Maintenance Material

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Claims Paid From 08/01/06 to 08/15/06

Warrant No. Vendor Amount Description 83285 Hub Auto Supply 401.82 Vehicle Parts & Supplies 83286 Human Capital Institute, Inc. 199.00 Membership 83287 City of Huntington Beach 16,706.75 Water Use 83288 Industrial Metal Supply 2,148.05 Metal 83289 Innerline Engineering 4,541.08 Sewerline Video Inspections 83290 Internal Revenue Service 125.00 Wage Garnishment 83291 Intl. Union of Oper. Eng. AFL CIO Local 501 4,449.78 Dues Deduction 83292 IPI Grammtech, Inc. 16,410.00 NT Server Maintenance - Silver 83293 Iron Mountain 100.00 Storage Fee - Bid Documents P1-37 83294 Keith Boger 990.00 Training Registration 83295 Keye Productivity Center 199.00 Training Registration 83296 Konnie Kim Fine Art 233.82 Picture Framing Service 83297 Liebert Cassidy 8,200.50 Professional Service - Human Resources 83298 Court Order 150.00 Wage Garnishment 83299 Lorman Education Services 578.00 Training Registration 83300 M. J. Schiff and Associates, Inc. 1,250.00 Professional Services - Current Testing & Reporting 83301 Maintenance Technology Corp. 1,097.23 Mechanical Parts & Supplies 83302 Malcolm Pirnie, Inc. 9,463.43 Professional Services I-2-4 83303 MBC Applied Environmental Sciences 2,957.21 Aerial Survey of Kelp Beds - Newport Harbor Entrance to Ventura County 83304 McMaster Carr Supply Co. 1,471.89 Mechanical Parts & Supplies 83305 Mesa Consolidated Water District 17.91 Water Use 83306 Midway Mfg. & Machining Co. 2,709.75 Repair & Maintenance Services - Impellar 83307 MK Electric, Inc. 13,600.00 Construction FE05-42 & FE05-40 83308 Court Order 225.00 Wage Garnishment 83309 Municipal Information Systems 125.00 Application Fee - Excellence In Information Technology Practices Certification Program 83310 Municipal Water District of O.C. 5,255.00 OCSD Share of Hazard Mitigation Plan & Meeting Registration - Division 610 83311 National Bond & Trust 1,960.28 U.S. Savings Bonds Payroll Deductions 83312 OCEA 592.28 Dues Deduction 83313 Oracle Corporation 10,218.74 Software Maintenance - Internet Developer Suite 83314 Oxygen Service Company 238.20 Specialty Gases 83315 Parker Supply Company 797.42 Mechanical Parts & Supplies 83316 Peace Officers Council of CA 1,521.00 Dues Deduction, Supervisors & Professionals 83317 Primary Source Office Furnishings, Inc. 10,340.44 Office Furniture & Fixtures, Installation & Office Reconfiguration Services 83318 Project Management Institute 154.00 Membership 83319 Quest Software 2,955.24 Software Maintenance 83320 Red Wing Shoes 139.64 Safety Shoes 83321 RPM Electric Motors 1,419.07 Motor 83322 Scott Specialty Gases, Inc. 58.19 Cylinder Rentals & Demurrage 83323 Scottel Voice & Data, Inc. 2,284.79 Telephone System Maintenance 83324 SkillPath Seminars 199.00 Training Registration 83325 Court Order 721.50 Wage Garnishment 83326 Southern California Edison 33.64 Power 83327 Sparkletts 1,758.41 Drinking Water/Cooler Rentals 83328 Standard and Poors Corp. 5,000.00 COP Contract Service 83329 Summit Steel 1,270.27 Metal 83330 Terminix International 850.00 Pest Control 83331 Thermo Electron North America, L.L.C. 2,249.65 Lab Parts & Supplies 83332 Thompson Industrial Supply, Inc. 8,703.64 Mechanical Parts & Supplies 83333 Time Warner Communication 51.07 Cable Services

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Claims Paid From 08/01/06 to 08/15/06

Warrant No. Vendor Amount Description 83334 UC Regents 1,200.00 Training Registration 83335 United Parcel Service 27.19 Parcel Services 83336 United States Postal Service 5,000.00 Postage 83337 United Way 160.00 Employee Contributions 83338 Xerox Corporation 21,024.86 Xerox Phaser Printer, Maintenance & Cost Per Copy Expenses 83339 Court Order 597.50 Wage Garnishment 83340 Zimmerman Yacht Maintenance 201.00 Repair & Maintenance Service - Ocean Monitoring Vessel Nerissa 83341 James E. Colston 336.99 Meeting/Training Expense Reimbursement 83342 Lilia Kovac 6.76 Meeting/Training Expense Reimbursement 83343 Canh Q. Nguyen 683.05 Meeting/Training Expense Reimbursement 83344 Fred J. O'Brien 44.52 Meeting/Training Expense Reimbursement 83345 Edmund L. Pendleton 106.00 Meeting/Training Expense Reimbursement 83346 George L. Robertson 170.00 Meeting/Training Expense Reimbursement 83347 Henry R. Salgado 43.56 Meeting/Training Expense Reimbursement 83348 Alexander Shaaban 558.16 Meeting/Training Expense Reimbursement 83349 John W. Swindler 217.56 Meeting/Training Expense Reimbursement 83350 Robert J. Thiede 38.56 Meeting/Training Expense Reimbursement 83351 Walter W. Williams 48.00 Meeting/Training Expense Reimbursement 83352 Ken H. Wong 53.00 Meeting/Training Expense Reimbursement 83353 City of Fountain Valley 220.00 Encroachment Permit Re Relocation of Plt. 1 Garfield Ave. Entrance 83354 Disneyland Resourt - Group Tickets 2,325.00 Reimbursed Employee Activities 83355 Employee Activity Committee 10,000.00 Service Award Expense - 06/07 83356 Basic Chemical Solutions, L.L.C. 31,319.84 Sodium Bisulfite & Sodium Hydroxide 83357 Black & Veatch Corporation 175,106.28 Engineering Services P1-76, J-77 & J-79-1 83358 Blue Cross of California 406,231.50 Medical Insurance Premium 83359 Brown & Caldwell 800,827.33 Professional Services P2-91, P1-37, P2-90, and Notices & Ads 83360 Carollo Engineers 235,625.47 Professional Services P2-66 & P1-71 83361 Delta Dental 57,942.52 Dental Insurance Plan 83362 Earth Tech, Inc. 34,205.27 Professional Services P2-79 & P1-106 83363 GHD, L.L.C. 42,361.90 Professional Services - Asset Management Program 83364 Hill Brothers 35,064.56 Chemicals - Odor & Corrosion Control - Newport Trunkline 83365 IPMC c/o Parsons 1,291,084.00 Engineering Services - Integrated Program/Project Management, Temporary Staffing, Mat'l. & Supplies 83366 Kaiser Foundation Health Plan 67,015.56 Medical Insurance Premium 83367 Kemiron Companies, Inc. 199,428.14 Ferric Chloride 83368 Lee & Ro, Inc. 158,397.60 Professional Services 5-49, 5-50, P2-47-3 83369 MDS Consulting 39,280.80 Professional Surveying Services I-2-4 83370 NALCO Company 32,080.83 Anionic Polymer 83371 Occidental Energy Marketing, Inc. 85,715.20 Natural Gas for CenGen/CoGen 83372 Pioneer Americas, Inc. 261,075.05 Sodium Hypochlorite 83373 Polydyne, Inc. 64,995.13 Cationic Polymer MO 3-11-92 83374 RMS Engineering & Design, Inc. 26,771.45 Engineering Services - Evaluation of North County Property Acquisition 83375 Southern California Edison 106,556.87 Power 83376 Synagro West, Inc. 320,989.46 Residuals Removal MO 3-29-95 83377 Tule Ranch/Magan Farms 247,521.25 Residuals Removal MO 3-29-95 83378 US Peroxide, L.L.C. 183,918.05 Odor & Corrosion Control Treatment for Coll. Sys.; Hydrogen Peroxide & Ferrous Chloride 83379 Waters Corporation 229,871.59 Lab Instrument - Liquid Chromatograph Triple Quadrupole Mass Spectrometer & Training 83380 Woodruff Spradlin & Smart 117,151.29 Legal Services MO 7-26-95 83381 Workforce Software, Inc. 37,393.00 Professional Services - J-104 83382 ARB, Inc. 611,107.45 Construction 7-36 & 7-41

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Claims Paid From 08/01/06 to 08/15/06

Warrant No. Vendor Amount Description 83383 Kiewit Pacific Co. 285,477.30 Construction 5-51 & 5-52 83384 Steve P. Rados, Inc. 1,109,134.80 Construction I-2-4 83385 Union Bank of California 32,163.55 Construction 7-41 & 7-36, Retention 83386 Union Bank of California 123,237.20 Construction I-2-4, Retention 83387 Wells Fargo Bank Mac C7300-012 31,719.70 Construction 5-51 & 5-52, Retention 83388 Chicago Title Company 150,000.00 Escrow Installment for Garden Grove Property Purchase 83389 A & G Electropolish 3,822.97 Instrument Parts & Supplies 83390 A W Chesterton 644.30 Mechanical Parts & Supplies 83391 A-1 Enterprises, Inc. 774.00 Fencing 83392 Absolute Standards, Inc. 538.00 Lab Parts & Supplies 83393 ACS Hydraulics, Inc. 497.92 Motor Repairs 83394 Advance Business Graphics 552.79 Printing Services - No. 10 Envelopes w/Logo 83395 AETC 3,406.53 Instrument Parts & Supplies (Advance Engine Technology Corp.) 83396 Agilent Technologies, Inc. 601.90 Lab Parts & Supplies 83397 Airgas Safety, Inc. 3,574.83 Safety Supplies 83398 American Airlines 1,485.40 Travel Services 83399 AMPS Abundant 1,946.50 Instrument Parts & Supplies 83400 Amtech Elevator Services 1,400.00 Monthly Elevator Maintenance at Plts. 1 & 2 83401 Apak Batteries 1,060.61 Battery Packs 83402 Applied Industrial Technology 185.35 Mechanical Parts & Supplies 83403 Aquarium Doctor 116.21 Human Resources Aquarium Service 83404 Ashbrook Corporation 6,395.82 Winklepress Parts & Supplies 83405 AT & T California/MCI 37.52 Telephone Service 83406 ATCC 57.20 Lab Parts & Supplies (American Type Culture Collection) 83407 Awards & Trophies Company 69.82 Awards & Trophies 83408 Barrel Accessories and Supply Company 51.45 Valves 83409 Battery Specialties 282.39 Batteries 83410 Bee Man Pest Control, Inc. 425.00 Pest Control 83411 BioMerieux Vitek, Inc. 576.57 Lab Parts & Supplies 83412 Bidquip Products 1,591.86 Storage Cabinet, Drawers & Inserts for Lab Vials 83413 BOC Edwards, Inc. 51.31 Lab Parts & Supplies 83414 Bornemann Pumps, Inc. 8,464.84 Pumps 83415 Burlington Safety Laboratory of CA, Inc. 571.50 Safety Testing & Recertification of Hot Gloves - Div. 860 83416 California Auto Collision 1,904.73 Vehicle Repair & Repainting - V-430 83417 California Relocation Services, Inc. 112.50 Office Files Moving/Relocation Services 83418 CASA 11,200.00 2006 Litigation Pledge & Meeting Registration - Division 110 83419 City of Huntington Beach 2,841.00 Coastal Development Permit 83420 CLE International 495.00 Training Registration 83421 Cole Parmer Instrument Co. 334.35 Lab Parts & Supplies 83422 CompEd Solutions 199.00 Training Registration 83423 Consolidated Elect Distributors, Inc. 599.48 Electrical Parts & Supplies 83424 Consumers Pipe & Supply Co. 1,139.31 Plumbing Parts & Supplies 83425 Control Factors Seattle, Inc. 1,040.00 Filter 83426 Controlled Motion Solutions 82.85 Pump 83427 Corporate Express 5,887.06 Office Supplies 83428 Crane Veyor Corp. 3,122.32 Maintenance Agreement - Qtrly. Inspections, Certification & Quadrennial Testing 83429 Computational Systems, Inc. (CSI) 276.82 Repair & Maintenance Material 83430 D. R. McNatty & Associates 1,195.00 Training Registration 83431 DAE Instruments 631.45 Electrical Parts & Supplies

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Claims Paid From 08/01/06 to 08/15/06

Warrant No. Vendor Amount Description 83432 Dapper Tire Co. 2,670.96 Truck Tires 83433 David's Tree Service 1,825.00 Tree Maint. Service 83434 Desert Pumps & Parts, Inc. 12,991.43 Pump Parts & Supplies 83435 Dezurik Water Controls 1,199.04 Mechanical Parts & Supplies 83436 Dionex Corporation 644.55 Lab Parts & Supplies 83437 Diskeeper Corporation 1,107.50 Software Maintenance - VAX & VMS 83438 Dunn Edwards Corporation 169.94 Paint Supplies 83439 Easy Frame Sign Company, Inc. 2,965.82 Signs & EMS Decals with Logos 83440 Electrical Reliability Services 6,802.00 Professional Services - Electrical Reliability Testing for Capital Projects 83441 Employers Group 825.00 On-Site Training - Note Taking Training 83442 Enchanter, Inc. 3,000.00 Ocean Monitoring & Outfall Inspection & Maintenance 83443 Environmental Resource Association 2,340.05 Lab Parts & Supplies 83444 Environmental Science Associate (ESA) 18,236.60 Professional Services 5-58 & I-2-4 83445 Ewing Irrigation Industrial 287.66 Landscape Irrigation Parts & Supplies 83446 FEDEX Corporation 118.29 Freight Services 83447 Ferguson Enterprises, Inc. 916.22 Valves 83448 Fisher Scientific 15,671.03 Lab Parts & Supplies 83449 Flat & Vertical, Inc. 220.50 Core Drilling 83450 Franklin Covey 422.48 Office Supplies 83451 Fuller Truck Accessories 2,127.94 Truck Parts & Supplies 83452 City of Fullerton 208.93 Water Use 83453 Garland Manufacturing Co. 8,316.00 Mechanical Parts & Supplies - Treatment Tank Wear Rails 83454 Garratt Callahan Company 11,618.32 Chemicals 83455 Gates Fiberglass Installers 4,909.25 Removal and Replacement of Fiberglass Blast Damper 83456 Geomatrix Consultants, Inc. 3,965.00 Soils, Concrete & Other Materials Testing 83457 Gierlich-Mitchell, Inc. 14,834.11 Mechanical Parts & Supplies 83458 Glendale Adventist Occupational 20,025.00 On-Site Medical Services - Audiometric Testing 83459 Government Finance Officers Association 55.00 Books & Publications 83460 Grainger, Inc. 1,137.00 Mechanical Parts & Supplies 83461 Green Parrot 114.43 Meeting Supplies 83462 GTSI Corporation 9,757.05 (3) Computers & Hardware/Software 83463 Hach c/o Ponton Industries 14.41 Lab Parts & Supplies 83464 Harrington Industrial Plastics, Inc. 1,783.14 Mechanical Parts & Supplies 83465 Hatch & Kirk, Inc. 2,497.78 Mechanical Parts & Supplies 83466 HDR Engineering, Inc. 7,965.00 Professional Services P2-82 83467 Hewlett Packard Company 312.48 Computer Hardware/Software - (2) HP JetDirect Cards 83468 Home Depot 1,045.26 Misc. Repair & Maintenance Material 83469 Hose Express, L.L.C. dba Pirtek Santa Ana 3,997.38 Mobile Hose Service 83470 Idexx 2,672.20 Lab Parts & Supplies 83471 Industrial Distribution Group 909.73 Mechanical Parts, Tools & Paint 83472 Innerline Engineering 15,516.30 Sewerline Video Inspections 83473 Inplant Sales, L.L.C. 2,637.34 Mechanical Parts & Supplies 83474 Ironman Parts & Services 195.24 Mechanical Parts & Supplies 83475 JG Tucker And Son, Inc. 870.08 Traffic Road Cones 83476 Jamison Engineering Contractors, Inc. 4,852.00 Remove/Replace Manhole Covers for CCTV Contractor Inspection of Interplant Lines 83477 Jays Catering 2,840.29 Meeting Expenses 83478 JEM Industries 3,360.00 Repair & Maintenance Services - Fueling System at Plt. 2 83479 Johnstone Supply 930.09 Mechanical Parts & Supplies 83480 Keith Boger 395.00 Training Registration

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Claims Paid From 08/01/06 to 08/15/06

Warrant No. Vendor Amount Description 83481 Kforce, Inc. 2,402.40 Temporary Employment Services 83482 Kiesel Environmental Lab 360.00 Outside Laboratory Services 83483 Kleinfelder, Inc. 3,323.00 Soils, Concrete & Other Materials Testing 5-52 & 2-24-1 83484 L&N Image Apparel 49.18 OCSD Windbreaker - w/Logo & "Security" Lettering 83485 Lorman Education Services 299.00 Training Registration 83486 Lucci's Gourmet Foods, Inc. 407.45 Meeting Expense 83487 Massachusetts Mutual Life Insurance 145.41 Executive Disability Plan Premium 83488 Maintenance Superintendents Assoc. 95.00 Membership 83489 Malcolm Pirnie, Inc. 14,244.22 Professional Services I-2-4 83490 Manpower Professional 3,876.00 Temporary Employment Services 83491 Matheson Tri Gas, Inc. 158.42 Lab Parts & Supplies 83492 MBC Applied Environmental Sciences 3,191.34 Aerial Survey of Kelp Beds - Newport Harbor Entrance to Ventura County 83493 Mc Junkin Corp. 55.43 Plumbing Supplies 83494 McMaster Carr Supply Co. 2,050.90 Mechanical Parts & Supplies 83495 Medlin Controls Co. 341.92 Instrument Parts & Supplies 83496 Mid West Associates 407.51 Pump Parts & Supplies 83497 Mine Safety Appliances Company 319.74 Calibration Services 83498 Mooring Systems, Inc. 2,748.00 Open Tripod for Mooring Program 83499 MWH Americas, Inc. 14,103.67 Professional Services P2-74 83500 National Institute of Standards & Technology 558.00 Lab Parts & Supplies 83501 National Plant Services, Inc. 3,920.00 Vacuum Truck Services 83502 Neal Supply Co. 26.71 Plumbing Supplies 83503 New Horizons, C.L.C. of Santa Ana 3,500.00 Training Registration 83504 Nextel Communications 910.61 Cellular Phones & Air Time 83505 NRG Thermal Services, L.L.C. 794.55 Mechanical Parts & Supplies 83506 Numatic Engineering - Remit 196.66 Mechanical Parts & Supplies 83507 OCB Reprographics 248.09 Printing Service - MO 1/26/00 83508 Office Depot Business Services Division 4,852.82 Office Supplies 83509 Olympus America, Inc. 1,377.74 Replacement Lens for Videoscope 83510 Omega Industrial Supply, Inc. 1,134.16 Janitorial Supplies 83511 OMNI Western Incorporated 34.70 Hardware 83512 Orange County Water District 522.10 Meeting Expense 83513 Orange Courier 132.48 Courier Services 83514 Orange Fluid System Technologies, Inc. 1,376.82 Plumbing Parts & Supplies 83515 Oxygen Service Company 1,455.90 Lab Parts & Supplies 83516 Pacific Mechanical Supply 252.95 Plumbing Parts & Supplies 83517 Pak-Sher 681.50 Meeting & Travel Registrations - GWRS Project - Division 110 83518 PCG Industries 145.00 Repair & Maintenance Services - Gearbox Shaft 83519 PCS Express, Inc. 411.85 Courier Service 83520 PerkinElmer Las 366.00 Lab Parts & Supplies 83521 PL Hawn Company, Inc. 4,129.04 Electrical Parts & Supplies 83522 Plumbers Depot, Inc. 3,195.87 Mechanical Parts & Supplies 83523 Port Supply 13.78 Monitoring Vessel Parts & Supplies - Nerissa 83524 Praxair, Inc. 54.04 Lab Parts & Supplies 83525 Primary Source Office Furnishings, Inc. 5,163.89 Office Furniture & Fixtures, Installation & Office Reconfiguration Services 83526 Project Management Institute 119.00 Membership 83527 Propipe 4,671.58 Sewerline Cleaning - City of Tustin & Unincorporated County Property 83528 Prudential Overall Supply 5,929.58 Uniforms & Related Articles 83529 R L Abbott & Associates 3,000.00 Kern County Biosolids Consulting Services

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Claims Paid From 08/01/06 to 08/15/06

Warrant No. Vendor Amount Description 83530 Resource Trends, Inc. 4,000.00 Professional Services - Biosolids EMS Values Study & Reporting 83531 Restek Corp. 274.08 Lab Parts & Supplies 83532 Rockhurst College Continuing Education 179.00 Training Registration 83533 Royale Cleaners 6.00 Dry Cleaning Services 83534 RPM Electric Motors 4,615.05 Motor & Motor Repairs 83535 RSA Sutter Soil Products 1,540.83 Soil Materials 83536 Rutland Tool & Supply 148.51 Mechanical Parts & Tools 83537 Soil & Plant Laboratory, Inc 972.50 Soil Sample Analysis 83538 Safety-Kleen 485.95 Parts, Washer Lease, & Service 83539 Sancon Engineering, Inc. 14,205.00 Construction - Manhole Rehabilitation Project 83540 Santa Ana River Flood Protection Agency 1,200.00 FY 2006-07 Membership 83541 Schneider Automation, Inc. 518.28 Computer Maintenance Agreement 83542 Sea Coast Designs, Inc. 714.38 Lab Parts & Supplies 83543 City of Seal Beach Finance Dept. 279.54 Water Use 83544 SETAC 820.00 Membership & Training Registration 83545 Seton Name Plate 397.44 Outdoor Safety Mirror 83546 Sigma Aldrich, Inc. 42.91 Lab Parts & Supplies 83547 Smith Emery Company 230.00 Soils, Concrete & Other Materials Testing I-2-4 83548 Smith Pipe & Supply, Inc. 65.17 Landscape Irrigation Supplies 83549 Southwest Valve & Equipment 1,743.32 Mechanical Parts & Supplies 83550 Spec Services, Inc. 7,283.66 Engineering Services J-33-1 83551 The Staywell Company 1,174.43 Training Supplies - First Aid/CPR/AED 83552 Strategic HR 325.00 Training Registration 83553 Sunset Industrial Parts 100.05 Mechanical Parts & Supplies 83554 T & D Communications 1,833.90 Telecommunications Cabling Service - Repair Copper/Fiber Infrastructure 83555 TekSystems 6,216.00 Temporary Employment Services 83556 The Standard Insurance Company 197.00 Executive Disability Insurance 83557 Thompson Industrial Supply, Inc. 1,949.10 Mechanical Parts & Supplies 83558 Tony's Lock & Safe Service & Sales 171.06 Locks & Keys 83559 Truck & Auto Supply, Inc. 2,633.34 Automotive Parts & Supplies 83560 US Filter Corp. 150.00 Service Agreement - DI Water Systems at Plants 1 & 2 83561 ULine 231.91 Truck Parts & Supplies 83562 U. S. Geological Survey 15,497.40 Professional Services - Deployment Current Meter Off Huntington Beach 07-06 to 10-06 83563 Ultra Scientific 414.66 Lab Parts & Supplies 83564 Underground Service Alert of So. Calif 1,609.60 Membership - Underground Utility Identification/Notification Service 83565 The Unisource Corporation 671.07 Office Supplies 83566 United Parcel Service 15.96 Parcel Services 83567 Vapex, Inc. 714.00 Instrument Parts & Supplies 83568 Verizon California 714.22 Telephone Services 83569 Verizon Wireless 307.87 Wireless Telephone Services 83570 Vernes Plumbing 1,920.00 Service Contract - Testing & Cert. Backflow Devices at Plts. 1 & 2 & Pump Sta. 83571 Vision Service Plan CA 9,874.56 Vision Service Premium 83572 VWR Scientific Products 11,289.09 Lab Parts & Supplies 83573 The Wackenhut Corporation 4,131.13 Security Guards 83574 Wartsila Automation 3,688.15 Mechanical Parts & Supplies 83575 Waste Markets Corp. 8,084.02 Maint. Agree. - Grit & Screenings Removal & Digester Mat'l Removal 83576 Waxie Sanitary Supply 1,866.06 Janitorial Supplies 83577 West Marine/E&B Discount Marine 113.44 Mechanical Parts & Supplies 83578 Wright Way Developments 320.00 Instrument Repair & Maintenance Services

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Claims Paid From 08/01/06 to 08/15/06

Warrant No. Vendor Amount Description 83579 Xyon Business Solutions, Inc. 7,560.00 Temporary Employment Services 83580 Teotimo C. Albia 58.00 Meeting/Training Expense Reimbursement 83581 Emilio Ariston 100.00 Meeting/Training Expense Reimbursement 83582 Rajkumar Bellan 54.00 Meeting/Training Expense Reimbursement 83583 Jie K. Chang 53.00 Meeting/Training Expense Reimbursement 83584 Kimberly A. Erickson 48.33 Meeting/Training Expense Reimbursement 83585 Mike J. Herrera 84.00 Meeting/Training Expense Reimbursement 83586 Larry E. Lazorek 58.00 Meeting/Training Expense Reimbursement 83587 Denise M. Martinez 35.07 Meeting/Training Expense Reimbursement 83588 Jeffrey L. Peterson 58.00 Meeting/Training Expense Reimbursement 83589 William F. Pierce 48.00 Meeting/Training Expense Reimbursement 83590 South Coast Air Quality Management Dist. 1,541.34 Permit Fee - Portable Odor Control System 83591 David A. Usher 53.00 Meeting/Training Expense Reimbursement 83592 Conex International 8,415.00 Legal Services - Construction Management P2-60 83593 Employee Activity Committee 108.00 IDEA Award Expense - 10% of Award 83594 Orange County Sanitation District 14,337.76 Worker's Comp. Reimb. 83595 South Coast Air Quality Management Dist. 644.59 Employee Commute Reduction Program 83596 The Standard Insurance Company 2,663.68 Executive Disability Insurance Total Accounts Payable - Warrants $11,881,298.38

Payroll Disbursements 33897 - 33991 Employee Paychecks $ 130,413.50 Biweekly Payroll 08/02/06* 33996 - 33998 Employee Paychecks 826.88 Interim Payroll 08/03/06 34075 - 34079 Employee Paychecks 1,466.00 Interim Payroll 08/15/06** 128954 - 129516 Direct Deposit Statements 1,096,232.42 Biweekly Payroll 08/02/06 Total Payroll Disbursements $ 1,228,938.80 *Printed out of sequence on 07/28/06 for 08/02/06 payroll date **Printed out of sequence on 08/15/2006 after biweekly payroll run of 08/16/06 Wire Transfer Payments OCSD Payroll Taxes & Contributions$ 637,862.45 Biweekly Payroll 08/02/06 Deutsche Bank 461,031.42 Series 2006 Certificates of Participation July Interest Payment Lloyds TSP Bank plc 51,754.63 Series 2001 COPs Standby Purchase Agreement Commitment Fee (05/01/06-08/01/06) Chase Manhattan Bank 66,582.48 Series 2000 Refunding COPs Standby Purchase Agreement Commitment Fee (05/01/06-07/31/06) JP Morgan Chase Bank 5,191,542.53 Series 1993 Refunding Certificates of Participation July Interest & Principal Payment Depfa Bank 56,071.90 Series 2006 Certificates of Participation Commitment Fee (05/01/06-07/31/06) Societe Generale, NY Branch 53,083.93 Series 1993 Refunding COPs Standby Letter of Credit Commission 8/1/06 Total Wire Transfer Payments 6,517,929.34

Total Claims Paid 08/01/06 - 08/15/06 $19,628,166.52

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Warrant No. Vendor Amount Description

Accounts Payable - Warrants 83597 Hewlett Packard Company $ 57,687.78 (1) Printer, (1) Server, and (50) PCs 83598 Pacific Investment Management Co. 132,458.83 Investment Management Service Res. 83599 Sunset Beach Sanitary District 333,594.99 Cooperative Projects Reimbursement Program 83600 So Cal Gas Company 38,098.18 Natural Gas 83601 UBS Financial Services, Inc. 26,306.88 Remarketing Fee - 1992 Advanced Refunding COPs 83602 County of Orange Auditor Controller 45,480.60 County Assessor's Property Attributes 2006-07 Roll Year 83603 American Water Works Association 150.00 Membership 83604 Accurate Environmental Services, Inc. 4,000.00 Services - Relative Accuracy Test Audit for (3) CGS Engines 83605 Airgas Safety, Inc. 241.61 Freight Charges 83606 American Express 19,218.91 Purchasing Card Program, Misc. Supplies & Services 83607 Arch Wireless Operating Company, Inc. 1,022.14 Wireless Services 83608 AT & T Universal Biller 1,957.84 Telephone Service 83609 AT & T California/MCI 758.55 Telephone Service 83610 American Telephone & Telegraph Corp. 32.17 Telephone Service 83611 Awards & Trophies Company 64.12 Awards & Plaques 83612 Balance Consulting, Inc. 1,090.00 Training Registration 83613 Basic Chemical Solutions, L.L.C. 23,591.57 Sodium Bisulfite & Sodium Hydroxide 83614 Bell Pipe & Supply Co. 2,167.84 Mechanical Parts & Supplies 83615 Bennett Bowen Lighthouse 191.73 Repair & Maintenance Services - Biosystems Monitors 83616 Bergmann Associates, Inc. 1,077.50 Software Maintenance - Dig Smart 83617 Bondlogistix, L.L.C. 2,000.00 Prof. Serv. - Preparation of Interim Arbitrage Rebate Report Re 1992 Series COPs 83618 Brithinee Electric 728.75 Electrical Parts & Supplies 83619 City of Tustin 5,000.00 Permit Fees 7-37 83620 Court Trustee 98.62 Wage Garnishment 83621 California Auto Collision 546.50 Truck Body Repair - V-440 83622 Carl Warren & Co. 1,407.92 Insurance Claims Administrator 83623 CASA 100.00 Meeting Registration - Division 660 83624 Challen 3,285.00 OCSD Hats for O & M 83625 Compressor Components of California 14,998.80 (24) LSVB Pilot Fuel Check Valves 83626 County of Orange Auditor Controller 35.00 Encroachment Permit 7-39 83627 County of Orange Auditor Controller 105.00 Encroachment Permit 7-36 83628 County of Orange Auditor Controller 3,140.00 Assessor's Preliminary 2006-07 Roll & Cross-Reference File 83629 County of Orange Health Care Agency 4,871.00 Underground Storage Tank, Hazardous Material, & State Fees 83630 County of Orange Health Care Agency 1,056.00 Underground Storage Tank, Hazardous Material, & State Fees 83631 County of Orange Health Care Agency 4,803.00 Underground Storage Tank, Hazardous Material, & State Fees 83632 County of Orange Health Care Agency 559.00 Underground Storage Tank, Hazardous Material, & State Fees 83633 County of Orange Health Care Agency 559.00 Underground Storage Tank, Hazardous Material, & State Fees 83634 CSAC Excess Insurance Authority 3,166.62 Employee Assistance Program 83635 Culligan of Orange County 48.15 Maint. Agreement - Cen Gen Water Softener System 83636 CWEA Membership 220.00 Membership (Calif. Water Environment Assoc.) 83637 D. R. McNatty & Associates 2,590.00 Training Registration 83638 Devise Technical Products 16,975.00 Repair & Maintenance Services - Plt. 2 Junction Box Slide Gate 83639 DHL Express USA, Inc. 39.98 Freight Services 83640 Edfund 310.49 Wage Garnishment 83641 Employee Benefits Specialists, Inc. 10,479.60 Reimbursed Prepaid Employee Medical & Dependent Care 83642 Court Order 420.00 Wage Garnishment

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Warrant No. Vendor Amount Description

83643 Fedex Corporation 74.27 Freight Services 83644 Franchise Tax Board 118.55 Wage Garnishment 83645 Frys Electronics 377.11 Computer Supplies 83646 Green Parrot 119.06 Meeting Supplies P2-80 83647 GTSI Corporation 33.70 Computers & Hardware/Software 83648 Hill Brothers 4,718.16 Chemicals - Odor & Corrosion Control - Newport Trunkline 83649 Internal Revenue Service 125.00 Wage Garnishment 83650 Intl. Union of Oper. Eng. AFL CIO Local 501 4,449.78 Dues Deduction 83651 Irvine Ranch Water District 6.75 Water Use 83652 Kelly Paper 131.49 Paper 83653 Kleinfelder, Inc. 5,543.00 Soils, Concrete & Other Materials Testing 83654 L & N Uniform Supply Co., Inc. 1,314.19 Polo Shirts 83655 Lance Soll and Lunghard 12,823.00 Professional Services - Internal Auditors 83656 Court Order 150.00 Wage Garnishment 83657 Lorman Education Services 1,734.00 Training Registration 83658 M. J. Schiff and Associates, Inc. 8,468.60 Engineering Services J-106 83659 McGraw Hill Companies, DBA ENR 15,432.00 Notices & Ads - Various Jobs FY 06-07 83660 McMaster Carr Supply Co. 248.37 Mechanical Parts & Supplies 83661 Midway Mfg. & Machining Co. 17,132.25 Repair & Maintenance Services - Bellmer Belt Press Drive Roller 83662 Court Order 225.00 Wage Garnishment 83663 Municipal Water District of O.C. 10,000.00 Water Emergency Response Organization of Orange County (WEROC) Funding 06-07 83664 MVA Architects 237.50 Professional Services - North County Yard Preferred Site Evaluation 83665 National Bond & Trust 1,960.28 U.S. Savings Bonds Payroll Deductions 83666 OCEA 601.53 Dues Deduction 83667 Onesource Distributors, Inc. 64.78 Electrical Parts & Supplies 83668 Orange Courier 21.57 Courier Services 83669 PBS & J 17,575.00 Professional Services 2-41 83670 PCG Industries 800.00 Pump Repairs 83671 Peace Officers Council of CA 1,530.00 Dues Deduction, Supervisors & Professionals 83672 PerkinElmer Las 2,300.00 Training Registration 83673 Pitney Bowes 506.31 Repair Service - Automated Electronic Mail Opener 83674 Platinum Advisors 20,000.00 Legislative Advocacy Efforts & Participation in Legislative Affairs Committee Meetings 83675 Primavera Systems, Inc. 8,309.00 Software Maintenance 83676 Prodata 295.00 Software Maintenance 83677 Public Resources Advisory Group 1,232.32 Financial Advisory Services 83678 R.F. MacDonald Co 646.41 Repair & Maintenance Services - Cleaver Brooks Boiler 83679 Science Applications International 18,505.47 Ocean Monitoring MO 6-8-94 83680 Scottel Voice & Data, Inc. 2,284.79 Telephone System Maintenance 83681 Smith Pipe & Supply, Inc. 2,658.73 Landscape Irrigation Supplies 83682 Court Order 721.50 Wage Garnishment 83683 Southern California Edison 2,970.20 Power 83684 Summit Steel 851.31 Metal 83685 Systems Solution Company 3,797.80 Installation of Access Control Card Reader for Purchasing Contracts Management Trailer 83686 Thomas V. Gerlinger 2,730.00 Lab Analyses 83687 Thompson Industrial Supply, Inc. 4,055.20 Mechanical Parts & Supplies 83688 T-Mobile 108.33 Wireless Air Time 83689 Tri-State Seminar On-the-River 315.00 Training Registration

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Warrant No. Vendor Amount Description

83690 United Parcel Service 113.75 Parcel Services 83691 United Way 160.00 Employee Contributions 83692 US Peroxide, L.L.C. 11,896.67 Odor & Corrosion Control Treatment for Coll. Sys.; Hydrogen Peroxide & Ferrous Chloride 83693 Verizon 77.53 Telephone Service 83694 Verizon California 118.77 Telephone Services 83695 Vortex Corp. 1,099.95 Bi-Annual Maintenance on Roll-Up Doors at Plant 1 83696 Water Environment Federation 182.00 Membership 83697 Weston Solutions, Inc. 14,055.00 Outside Laboratory Services - Core Ocean Monitoring Program 83698 Yellow Transportation, Inc. 1,098.34 Freight Charges 83699 Court Order 597.50 Wage Garnishment 83700 1-800-Conference(R) 425.86 Telephone Conference Calls 83701 David Andrade 94.00 Meeting/Training Expense Reimbursement 83702 Nicholas J. Arhontes 20.00 Meeting/Training Expense Reimbursement 83703 Emilio Ariston 73.00 Meeting/Training Expense Reimbursement 83704 Layne T. Baroldi 583.30 Meeting/Training Expense Reimbursement 83705 Thomas M. Blanda 188.16 Meeting/Training Expense Reimbursement 83706 James L. Burror 150.00 Meeting/Training Expense Reimbursement 83707 William D. Cassidy 520.32 Meeting/Training Expense Reimbursement 83708 Olga Cervantes 52.00 Meeting/Training Expense Reimbursement 83709 Victoria L. Francis 270.16 Meeting/Training Expense Reimbursement 83710 Richard Gallegos 131.76 Meeting/Training Expense Reimbursement 83711 Thomas S. Hendy 698.98 Meeting/Training Expense Reimbursement 83712 Steven E. Howard 1,183.09 Meeting/Training Expense Reimbursement 83713 Jeffrey L. Key 63.00 Meeting/Training Expense Reimbursement 83714 Patrick W. McNelly 48.00 Meeting/Training Expense Reimbursement 83715 Tom B. Meregillano 30.00 Meeting/Training Expense Reimbursement 83716 Michael D. Moore 486.90 Meeting/Training Expense Reimbursement 83717 Adam A. Nazaroff 1,165.41 Meeting/Training Expense Reimbursement 83718 Mahin Talebi 1,532.40 Meeting/Training Expense Reimbursement 83719 Robyn A. Wilcox 173.00 Meeting/Training Expense Reimbursement 83720 Ken H. Wong 4.81 Meeting/Training Expense Reimbursement 83721 City of Westminster 295.00 Encroachment Permit 03-58 83722 City of Anaheim 2,659.00 Permit & Inspection Fees 03-58 83723 City of Fullerton 2,638.00 Permit & Inspection Fees 03-58 83724 Garden Grove, City of 305.00 Permit & Inspection Fees 03-58 83725 County of Orange 260.00 Permit & Inspection Fees J-77 83726 CWEA 125.00 Training Registration 83727 Tifco Industries 119.82 Mechanical Parts & Supplies 83728 Yvonne L. Schwab 80.00 Claim Settlement 83729 Tires Wrehouse 3,898.39 Tires 83730 Air Products & Chemicals, Inc. 25,829.07 O & M Agreement Oxy. Gen. Sys. MO 8-8-89 83731 AKM Consulting Engineers 29,317.50 Professional Services - Part-Time Dig Alert Technician 83732 ALFA-LAVAL INC. 53,713.38 Spiral Heat Exchanger for Digester No. 16 83733 Basic Chemical Solutions, L.L.C. 43,951.12 Sodium Bisulfite & Sodium Hydroxide 83734 Brown & Caldwell 538,213.13 Professional Services P2-90 & P2-91 83735 Camp Dresser & Mckee, Inc. 122,005.78 Engineering Service J-71-8 83736 Kemiron Companies, Inc. 159,932.32 Ferric Chloride

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Warrant No. Vendor Amount Description

83737 Lee & Ro, Inc. 28,574.87 Professional Services 5-50, 5-51 & 5-52 83738 Malcolm Pirnie, Inc. 403,695.62 Professional Services J-79, 11-26, I-10 & P2-80 83739 MetLife Life Insurance Company 36,575.61 Group Life, Manager Add'l. Life, Short & Long-Term Disability & Optional Term Life Ins. 83740 Occidental Energy Marketing, Inc. 183,549.97 Natural Gas for CenGen/CoGen 83741 Orange County Water District 3,858,358.95 Joint GWRS Project J-36 83742 Pioneer Americas, Inc. 242,390.87 Sodium Hypochlorite 83743 Polydyne, Inc. 39,918.76 Cationic Polymer MO 3-11-92 83744 RBF Consulting 38,653.12 Engineering Services 2-41 & 7-38 83745 SAWPA 649,120.84 FEMA Project Grant Funding 2-41-4 83746 Southern California Edison 314,283.39 Power 83747 Tule Ranch/Magan Farms 255,739.97 Residuals Removal MO 3-29-95 83748 Voided Check - - 83749 Helix Electric, Inc. 286,493.49 Construction SP-81 83750 J F Shea Construction, Inc. 4,969,151.18 Construction P2-66 83751 J R Filanc Construction 1,489,470.30 Construction P1-82 83752 Margate Construction, Inc. 387,600.00 Construction P1-37 83753 Mike Bubalo Construction Co., Inc. 610,821.00 Construction I-2-4A 83754 Union Bank of California 31,832.61 Construction SP-81, Retention 83755 South Coast Air Quality Management Dist. 27,009.92 Permit Fees - Annual Emission, Operation & Misc. Fees 83756 J F Shea Construction, Inc. 327,769.00 Construction J-77 83757 California Business Bank 278,632.20 Construction I-2-4A, Retention 83758 Ken Thompson, Inc. 144,627.30 Construction 2-41-4B 83759 Absolute Standards, Inc. 1,800.00 Lab Parts & Supplies 83760 Accu Sludge 458.78 Lab Parts & Supplies 83761 AccuStandard 2,125.72 Lab Parts & Supplies 83762 Agilent Technologies, Inc. 434.79 Lab Parts & Supplies 83763 Airgas Safety, Inc. 3,468.79 Safety Supplies 83764 Airgas - West 9.30 Demurrage 83765 American Fidelity Assurance Company 536.00 Employee Voluntary Cancer Insurance 83766 AppleOne Employment Service 6,643.41 Temporary Employment Services 83767 Applied Industrial Technology 451.18 Mechanical Parts & Supplies 83768 Aquatic Bioassay and Consulting Labs, Inc. 1,130.00 Whole Effluent Toxicity Testing 83769 AT & T Universal Biller 2,058.35 Telephone Service 83770 AT & T California/MCI 2,737.87 Telephone Service 83771 American Telephone & Telegraph Corp. 25.02 Telephone Service 83772 AWSI 229.00 Department of Transportation Program Management & Testing 83773 Bar Tech Telecom, Incorporated 450.22 Telephone Equipment 83774 Battery Specialties 38.14 Batteries 83775 Bee Man Pest Control, Inc. 575.00 Pest Control 83776 Bell Pipe & Supply Co. 1,266.19 Mechanical Parts & Supplies 83777 Ben Meadows Company, Inc. 133.31 Lab Parts & Supplies 83778 BioMerieux Vitek, Inc. 1,437.52 Lab Parts & Supplies 83779 Black & Veatch Corporation 18,789.08 Engineering Services P1-76 83780 Boyle Engineering Corporation 18,865.96 Professional Services I-2-4 83781 Bucknam & Associates, Inc. 2,818.00 Professional Services - Pavement Management 83782 California Hazardous Services, Inc. 1,500.00 Underground Storage Tank Certification 83783 California Relocation Services, Inc. 941.25 Office Files Moving/Relocation Services

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Warrant No. Vendor Amount Description

83784 Callan Associates, Inc. 3,759.50 Investment Advisor 83785 Cameron Compression Systems 1,278.10 Mechanical Parts & Supplies 83786 Cameron Welding Supply 432.79 Welding Parts & Supplies 83787 Cardlock Fuel Systems, Inc. 21,710.22 Fuel Card Program - District Vehicles & Monitoring Vessel 83788 Cincinnati Incorporated 680.00 Repair & Maintenance Services - Press Break 83789 Cingular Wireless Airtime 5,043.55 Wireless Services 83790 CMAA 55.00 Training Registration 83791 Compressor Components of California 4,480.00 Repair & Maintenance Services - (32) LSVB Pilot Fuel Valves 83792 Computer Protection Technology, Inc. 6,193.31 Computer Batteries Maintenance Agreement 83793 Consumers Pipe & Supply Co. 120.95 Plumbing Parts & Supplies 83794 Corporate Express 6,373.27 Office Supplies 83795 Corporate Image Maintenance, Inc. 168.00 Custodial Services Spec. No. 9899-09 83796 County Wholesale Electric Co. 271.65 Electrical Parts & Supplies 83797 CR&R, Inc. 1,905.00 Container Rentals 83798 David's Tree Service 8,030.00 Tree Maint. Service 83799 DDB Engineering, Inc. 1,312.96 Professional Services - Grant Management 83800 Delta Packaging Products, Inc. 147.58 Lab Parts & Supplies 83801 Dionex Corporation 412.88 Lab Parts & Supplies 83802 E. Sam Jones Distributors, Inc. 473.07 Electrical Parts & Supplies 83803 Elect Air 574.74 Valve 83804 Electrical Reliability Services 1,210.50 Professional Services - Electrical Reliability Testing for Capital Projects 83805 Emergency Management Network, Inc. 7,700.00 On-Site Fire Extinguisher Safety Training 83806 Employers Group 4,375.00 On-Site Training - Supervisory Training 83807 Enchanter, Inc. 6,500.00 Ocean Monitoring & Outfall Inspection & Maintenance 83808 Environmental Compliance Inspection Svce. 920.00 Professional Services - Fats, Oil Grease (FOG Program) Inspections 83809 Ewing Irrigation Industrial 2,212.22 Landscape Irrigation Parts & Supplies 83810 FEDEX Corporation 178.76 Freight Services 83811 First American Real Estate Solutions 345.00 On-Line Orange County Property Information 83812 Fisher Scientific 3,319.47 Lab Parts & Supplies 83813 Flat & Vertical, Inc. 1,529.00 Core Drilling 83814 Flo Systems, Inc. 936.84 Pump Parts & Supplies 83815 Fountain Valley Rancho Hand Wash 1,052.00 Vehicle Washing & Waxing Services 83816 Franklin Covey 184.23 Office Supplies 83817 Fuller Truck Accessories 1,035.19 Truck Parts & Supplies 83818 Gailey Associates, Inc. 1,854.54 Investigation Services 83819 Ganahl Lumber Company 1,564.58 Lumber/Hardware 83820 Garratt Callahan Company 1,104.87 Chemicals 83821 G. E. Supply 4,457.22 Electrical Parts & Supplies 83822 George Yardley Co. 1,997.25 Instrument Parts & Supplies 83823 Gierlich-Mitchell, Inc. 11,615.45 Mechanical Parts & Supplies 83824 Goldenwest Window Service 730.00 Groundskeeping Services 83825 Grainger, Inc. 340.38 Mechanical Parts & Supplies & Fixtures 83826 Graphic Distributors 212.91 Photographic Supplies 83827 Graybar Electric Company 44.90 Electrical Parts & Supplies 83828 Great Western Sanitary Supplies 20.90 Janitorial Supplies 83829 GTSI Corporation 6,504.70 (2) Panasonic Toughbook Computers & Misc. Hardware/Software 83830 Guarantee Records Management 670.78 Off-Site Records Storage

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Warrant No. Vendor Amount Description

83831 Haaker Equipment Company 1,599.06 Misc. Vehicle, Parts, Repairs & Service 83832 Hach c/o Ponton Industries 913.05 Lab Parts & Supplies 83833 Harold Primrose Ice 240.00 Ice For Samples 83834 Hill Brothers 21,873.17 Chemicals - Odor & Corrosion Control - Newport Trunkline 83835 Home Depot 1,181.19 Misc. Repair & Maintenance Material 83836 Hub Auto Supply 826.44 Vehicle Parts & Supplies 83837 Industrial Distribution Group 2,162.81 Mechanical Parts, Supplies, Locks & Tools 83838 Industrial Filter Manufacturers, Inc. 1,008.53 Filters 83839 Industrial Metal Supply 1,117.37 Metal 83840 Information Handling Services 2,770.00 Software Maintenance & Support - NFPA Data Pages 83841 Interstate Batteries of Cal Coast 493.11 Batteries for Vehicles & Carts 83842 Iron Mountain 100.00 Storage Fee - Bid Documents P1-37 83843 ISI, Inc. 1,661.80 Software Maintenance & Support - Infortel for Windows 1000 with Polling Software & Rate Table Updates 83844 J & L Industrial Supply 115.80 Tools 83845 JG Tucker and Son, Inc. 1,460.01 (35) Flag Bracket Kits for Mounting Flags on Traffic Control Signs 83846 Jamison Engineering Contractors, Inc. 23,844.60 Rep. & Maint. Svrs. - Plts. 1 & 2 - Gate, Antennas, Fan Modif., Trickling Filters, Leak & Sampling Line 83847 Jays Catering 489.90 Meeting Expenses 83848 Johnson & Associates, L.L.C. 5,000.00 Professional Services - 2006 OCSD Market Survey 83849 Kforce, Inc. 1,716.00 Temporary Employment Services 83850 Kiesel Environmental Lab 360.00 Outside Laboratory Services 83851 Kleinfelder, Inc. 15,507.90 Soils, Concrete & Other Materials Testing 83852 L&N Image Apparel 78.09 OCSD Staff Jackets w/Logo - Medical Team 83853 Lifecom Safety, Inc. 2,202.84 Specialty Gases 83854 Lorman Education Services 339.00 Training Registration 83855 Lucci's Gourmet Foods, Inc. 315.05 Meeting Expense 83856 Maintenance Products, Inc. 5,333.63 Mechanical Parts & Supplies 83857 Mandic Motors 155.00 Towing Services 83858 Manpower Professional 5,376.00 Temporary Employment Services 83859 Marvac Electronics 50.81 Electrical Parts & Supplies 83860 McMahan Business Interiors 5,043.41 Miscellaneous Office Furniture 83861 McMaster Carr Supply Co. 88.39 Mechanical Parts & Supplies 83862 Medlin Controls Co. 172.72 Mechanical Parts & Supplies 83863 Morgan Company 1,751.09 Auto Parts & Supplies - Installation of Rear-Mounted Winch on V-552 83864 Motion Industries, Inc. 47.71 Electrical Parts & Supplies 83865 Greater LA Chapter Nat'l. Safety Council 825.00 Membership 83866 Neal Supply Co. 36.09 Plumbing Supplies 83867 New Horizons, C.L.C. of Santa Ana 600.00 Training Registration 83868 Nickey Petroleum Co., Inc. 258.44 Grease 83869 NRG Thermal Services, L.L.C. 6.66 Mechanical Parts & Supplies 83870 Nu Way Laser Engraving 2,222.84 Asset Tags 83871 OCB Reprographics 22,866.92 Printing Service - MO 1/26/00 83872 Office Depot Business Services Division 5,711.74 Office Supplies 83873 Onesource Distributors, Inc. 2,606.35 Electrical Parts & Supplies 83874 Orange County Hose Company 237.63 Hydraulic Hose Supplies & Parts 83875 Orange County Vector Control District 383.20 Pest Control 83876 Orange Fluid System Technologies, Inc. 6.45 Plumbing Parts & Supplies 83877 Oxygen Service Company 825.40 Specialty Gases and Lab Parts & Supplies

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Warrant No. Vendor Amount Description

83878 Pacific Mechanical Supply 311.81 Plumbing Supplies 83879 Parker Supply Company 1,766.69 Filters 83880 Parsons Water & Infrastructure, Inc. 13,677.88 Professional Services J-35-1 83881 Patriot Video Productions 21.55 Video & Editing Services 83882 PCG Industries 4,550.00 Repair & Maintenance Services - Pump Shaft 83883 Peripheral Manufacturing, Inc. 57.25 Back-Up Tapes & Degaussing of DLT Tapes 83884 PL Hawn Company, Inc. 125.42 Electrical Parts & Supplies 83885 Platinum Advisors 5,000.00 Legislative Advocacy 83886 Port Supply 42.55 Boots for Employee Assigned to Ocean Monitoring Activities 83887 Praxair, Inc. 303.86 Lab Parts & Supplies 83888 Pre-Paid Legal Services, Inc. 861.85 Employee Voluntary Legal Service Insurance Premium 83889 Primary Source Office Furnishings, Inc. 6,536.94 Office Furniture & Misc. Equipment 83890 Propipe 5,576.67 Sewerline Video Inspections 83891 Prudential Overall Supply 2,132.12 Uniforms & Related Articles 83892 Q Air Calif. - Div. Pump Engineering 1,549.47 Air, Oil & Separator Filters 83893 Reliastar Life Insurance Company 8,656.98 Voluntary Life, Cancer & Supplemental Short-Term Disability Insurance 83894 Rae Systems, Inc. 608.79 Instrument Repairs 83895 Rainbow Disposal Co. 3,104.33 Trash Removal 83896 Restek Corporation 822.61 Lab Parts & Supplies 83897 RMS Engineering & Design, Inc. 1,497.50 Engineering Services - Design Services for Plt. 1 Scrubber Complex Draining Pipe Repairs 83898 Rockwell Engineering & Equipment Co. 6,757.08 Pump Parts & Supplies 83899 RPM Electric Motors 10,135.29 Motor Repairs 83900 Rutland Tool & Supply 319.60 Mechanical Parts & Tools 83901 Safe T Rack Systems, Inc. 513.00 Lab Parts & Supplies 83902 Sancon Engineering, Inc. 5,325.00 Construction - Manhole Rehab. Project 83903 Science Applications International 19,282.81 Ocean Monitoring & Strategic Process Studies 83904 Scott Specialty Gases, Inc. 60.12 Demurrage 83905 Sheshunoff 454.95 Publication 83906 Shureluck Sales & Engineering 1,630.55 Mechanical Parts & Supplies 83907 Siemens Water Technology Corp. 1,182.58 Service Agreement - DI Water Systems at Plants 1 & 2 83908 Skalar, Inc. 3,293.87 Lab Parts, Supplies & Instrument Maintenance 83909 Society for Human Resource Management 160.00 Membership 83910 Softchoice Corp. 6,486.91 Software 83911 Southern California Edison 33.26 Power 83912 Southern California Trane Service 4,110.03 Mechanical Parts & Supplies 83913 Southern Counties Lubricants 8,445.10 Oil & Grease 83914 Sparkletts 2,914.94 Drinking Water/Cooler Rentals 83915 St. Croix Sensory, Inc. 1,640.00 Olfactometry Testing Services 83916 Stanley Steamer International, Inc. 368.00 Carpet Cleaning Services 83917 Seven Trent Laboratories, Inc. 700.00 Outside Laboratory Services 83918 Sunset Industrial Parts 18.18 Mechanical Parts & Supplies 83919 Technical Service Group, Inc. 1,381.60 SCADA System VAX Service Agreement 83920 Synagro West, Inc. 982.48 Residuals Removal MO 3-29-95 83921 TekSystems 7,770.00 Temporary Employment Services 83922 Terminix International 984.00 Pest Control 83923 The Jankovich Company 1,604.83 Oil 83924 Thermo Forma, Inc. 3,244.47 Maintenance Services - (3) Laboratory Incubators

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Warrant No. Vendor Amount Description

83925 Thompson Industrial Supply, Inc. 6,917.47 Mechanical Parts & Supplies 83926 Times Community News 150.00 Notices & Ads 83927 Todd Painting, Inc. 1,820.00 Painting Services 83928 Tony's Lock & Safe Service & Sales 500.46 Locks & Keys 83929 Townsend Public Affairs 5,000.00 Legislative & Executive Advocate for Grant Funding 83930 Tri-State Seminar On-the-River 45.00 Training Registration 83931 Truck & Auto Supply, Inc. 303.68 Automotive Parts & Supplies 83932 Ultra Scientific 390.30 Lab Parts & Supplies 83933 United Pacific Services, Inc. 19,617.51 Landscape Maintenance at Plants 1 & 2 and Pump Stations 83934 United Parcel Service 1,762.05 Parcel Services 83935 University of Southern California 350.00 Training Registration 83936 US Equipment Co., Inc. 286.98 Air Filters 83937 Verizon California 81.95 Telephone Services 83938 Vernes Plumbing 2,040.00 Service Contract - Testing & Cert. Backflow Devices at Plts. 1 & 2 & Pump Sta. 83939 Village Nurseries 160.46 Landscaping Supplies 83940 Vortex Corp. 4,995.87 Repair, Maint. & Testing Svrs. - Plt. 2 Entrance Gate, Plt. 2 Rolling Steel Doors, & Engrg. Trailer Gate 83941 VWR Scientific Products 10,968.16 Lab Parts & Supplies 83942 The Wackenhut Corporation 8,075.11 Security Guards 83943 Waste Markets Corp. 22,314.95 Maint. Agree. - Grit & Screenings Removal & Digester Mat'l Removal 83944 WEF 144.00 Membership - Water Environment Federation 83945 Wells Supply Co. 247.35 Mechanical Parts & Supplies 83946 Westcliff Medical Labs 235.00 Lab Services - Work Related Injuries 83947 Western States Controls 1,664.87 Portable Calibrator 83948 XEROX Corporation 16,918.37 Stationery & Office Supplies 83949 Yale/Chase Materials Handling, Inc. 134.03 Electric Cart & Cart Parts 83950 Voided Check - - 83951 Deirdre E. Bingman 615.56 Meeting/Training Expense Reimbursement 83952 Marc A. Brown 107.21 Meeting/Training Expense Reimbursement 83953 James E. Colston 36.00 Meeting/Training Expense Reimbursement 83954 Robert P. Ghirelli 1,090.03 Meeting/Training Expense Reimbursement 83955 Ingrid G. Hellebrand 119.57 Meeting/Training Expense Reimbursement 83956 Penny M. Kyle 34.25 Meeting/Training Expense Reimbursement 83957 Kathleen T. Millea 673.45 Meeting/Training Expense Reimbursement 83958 John Mirkovich 58.00 Meeting/Training Expense Reimbursement 83959 Adam A. Nazaroff 108.10 Meeting/Training Expense Reimbursement 83960 Quynh D. Nguyen 290.59 Meeting/Training Expense Reimbursement 83961 Fred J. O'Brien 182.99 Meeting/Training Expense Reimbursement 83962 Padilla, Gilbert 48.00 Meeting/Training Expense Reimbursement 83963 Joan E. Parker-Frey 124.85 Meeting/Training Expense Reimbursement 83964 Jamiann M. Questa 141.66 Meeting/Training Expense Reimbursement 83965 Mark S. Roberts 101.00 Meeting/Training Expense Reimbursement 83966 Richard E. Schlegel, Jr. 1,306.03 Meeting/Training Expense Reimbursement 83967 Aanderaa Instruments 4,601.37 Coastal Monitoring Buoy Preparation & Deployment 83968 Orange County Sanitation District 1,835.41 Petty Cash Reimb. 83969 South Coast Air Quality Management Dist. 17,526.74 Permit Fees - Annual Emission, Operation & Misc. Fees 83970 Raceway Ford 36,866.79 (1) Ford F250 Super Cab 4X4 XLT with Utility Body 83971 Southern California Edison 105,545.43 Power

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Warrant No. Vendor Amount Description

83972 Synagro West, Inc. 300,495.46 Residuals Removal MO 3-29-95 83973 Woodruff Spradlin & Smart 130,126.10 Legal Services MO 7-26-95 83974 Ameron International 1,427,052.40 Construction I-2-4 83975 Mike Prlich & Sons 64,737.00 Construction FEO5-20 83976 Morrow Meadows Corp. 85,500.00 Construction FE02-59 FE02-60 83977 Garden Grove Sanitary District 225,591.02 Cooperative Projects Reimbursement Program 83978 Acrylic Designs, Inc. 215.03 Brochure Boxes for OCSD Construction Literature 83979 Air Cleaning Solutions 215.39 Air Filters 83980 Airgas Safety, Inc. 2,405.65 Safety Supplies 83981 Altiris, Inc. 690.00 Software - Wise Package Studio Professional - AUP 83982 AT & T California/MCI 105.51 Telephone Service 83983 American Telephone & Telegraph Corp. 233.66 Telephone Service 83984 Aurora Pictures, Inc. 1,528.00 Safety Videos 83985 Autodesk University/Enterprise Event 4,035.00 Meeting Registration - Division 740 83986 Basic Chemical Solutions, L.L.C. 24,946.95 Sodium Bisulfite & Sodium Hydroxide 83987 BMC Business Machines Consultants, Inc. 126.50 Maintenance Service - HP9000 Multifunctional Copier/Scanner 83988 CA Emissions Program 5.35 Vehicle Emissions Program 83989 California Municipal Statistics, Inc. 300.00 Debt Statement for Comprehensive Annual Financial Report 6/30/06 83990 Carollo Engineers 3,286.67 Professional Services - Annual Rate Study 83991 CH2M Hill 14,951.10 Engineering Services - Needs Assessment for Environmental Compliance Awareness Program 83992 CMAA 85.00 Training Registration 83993 Compressor Components of California 1,248.00 Repair & Maintenance Services - (32) Coils LSVB Ignition 83994 Conrad & Associates, L.L.P. 14,028.00 Professional Services - Financial Auditing Services 83995 County Of Orange Auditor Controller 70.00 Encroachment Permit P2-68 83996 Dieterich-Post 1,476.08 Hanging Plans Cabinet and Clamps 83997 Docusource, L.L.C. 2,367.00 Phone & Software Updates Annual Subscription 83998 Ecology Control Industries 5,386.90 Hazardous Waste Disposal 83999 Edfund 137.66 Wage Garnishment 84000 Employee Benefits Specialists, Inc. 10,535.15 Reimbursed Prepaid Employee Medical & Dependent Care 84001 Fedex Corporation 320.51 Freight Services 84002 Filnet Conference Headquarters 1,095.00 Training Registration 84003 First American Real Estate Solutions 450.00 On-Line Orange County Property Information 84004 Franchise Tax Board 558.94 Wage Garnishment 84005 Frasco Profiles 788.75 Human Resources Background Checks 84006 Gailey Associates, Inc. 2,034.00 Investigation Services 84007 Hill Brothers 17,365.29 Chemicals - Odor & Corrosion Control - Newport Trunkline 84008 City of Huntington Beach 16,184.16 Water Use 84009 Industrial Threaded Products, Inc. 300.22 Inventory Fasteners 84010 Internal Revenue Service 125.00 Wage Garnishment 84011 Irvine Ranch Water District 8.57 Water Use 84012 IRWD - Remitted Permit Fees 1,570.00 Reconciliation User Fee Refund Program 84013 Keye Productivity Center 179.00 Training Registration 84014 Kiesel Environmental Lab 360.00 Outside Laboratory Services 84015 Lam Lighting, Inc. 109.54 Reconciliation User Fee Refund Program 84016 LA Testing 16.00 Asbestos Analyses 84017 Lexis Nexis Matthew Bender 156.25 Books & Publications 84018 M. J. Schiff and Associates, Inc. 6,905.64 Temporary Employment Services

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Warrant No. Vendor Amount Description

84019 McMaster-Carr 438.41 Fiberglass Ladders w/Hardware 84020 McGraw Hill Companies, DBA ENR 5,144.00 Notices & Ads - Various Jobs FY 06-07 84021 McMaster Carr Supply Co. 2,874.77 Mechanical Parts & Supplies 84022 Mid West Associates 4,882.17 Motor 84023 Midway Mfg. & Machining Co. 2,215.34 Mechanical Parts & Supplies 84024 Mission Uniform Service 38.73 Uniform Rentals 84025 Morgan Company 624.95 Mechanical Parts & Supplies 84026 NASSCO/PACP 50.00 Books & Publications 84027 National Bond & Trust 1,924.04 U.S. Savings Bonds Payroll Deductions 84028 City of Newport Beach 96.87 Water Use 84029 O C Tanner Recognition Company 1,268.83 Employee Service Awards Program 84030 OCB Reprographics 651.11 Printing Service - MO 1/26/00 84031 OCEA 610.78 Dues Deduction 84032 Parker Supply Company 797.42 Stair Step Covers & Yellow Safety Stripe 84033 Pioneer Americas, Inc. 19,681.54 Sodium Hypochlorite 84034 Polydyne, Inc. 550.28 Cationic Polymer MO 3-11-92 84035 Sancon Engineering, Inc. 13,010.00 Construction - Manhole Rehab. Project & Fold 84036 SBC Long Distance 1,365.49 Long Distance Telephone Services 84037 Schneider Automation, Inc. 6,133.14 Computer Maintenance Agreement 84038 Stanford Center for Professional Dev. 3,950.00 Training Registration 84039 The Staywell Company 849.53 Training Supplies - First Aid/CPR 84040 Summit Steel 54.45 Metal 84041 Toytoa Racing Development #2 1,570.00 Reconciliation User Fee Refund Program 84042 Terminix International 50.00 Pest Control 84043 Time Warner Communication 51.07 Cable Services 84044 Tri-State Seminar On-the-River 90.00 Training Registration 84045 UC Regents 1,250.00 Membership - Environmental Engineering Affiliates 84046 United Parcel Service 14.44 Parcel Services 84047 United Way 60.00 Employee Contributions 84048 US Peroxide, L.L.C. 3,198.89 Odor & Corrosion Control Treatment for Coll. Sys.; Hydrogen Peroxide & Ferrous Chloride 84049 Verizon Wireless 302.23 Wireless Telephone Services 84050 4 Imprint, Inc. 7,605.63 Promotional Products 84051 Margate Construction, Inc. 13,684.50 Construction J-67 84052 Shabbir S. Basrai 923.81 Meeting/Training Expense Reimbursement 84053 Jude Brooks 140.89 Meeting/Training Expense Reimbursement 84054 Corina M. Chaudhry 139.65 Meeting/Training Expense Reimbursement 84055 James E. Colston 156.49 Meeting/Training Expense Reimbursement 84056 Daisy G. Covarrubias 165.00 Meeting/Training Expense Reimbursement 84057 John Dullaghan 20.00 Meeting/Training Expense Reimbursement 84058 Mike J. Herrera 714.86 Meeting/Training Expense Reimbursement 84059 Dean R. Karels 43.00 Meeting/Training Expense Reimbursement 84060 Paul Loehr 18.87 Meeting/Training Expense Reimbursement 84061 Robert D. Michaels 1,066.60 Meeting/Training Expense Reimbursement 84062 Anthony P. Monary 710.26 Meeting/Training Expense Reimbursement 84063 Subash Mysore 107.00 Meeting/Training Expense Reimbursement 84064 Jagadish C. Oruganti 99.00 Meeting/Training Expense Reimbursement 84065 John W. Swindler 122.66 Meeting/Training Expense Reimbursement

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Warrant No. Vendor Amount Description

84066 South Coast Air Quality Management Dist. 336.46 Odor Control System at Westside Pump Station 3-52 84067 Orlando A. Tafolla 62.00 Meeting/Training Expense Reimbursement 84068 Bobby L. Unsell 62.06 Meeting/Training Expense Reimbursement 84069 Joanne Ward 72.00 Meeting/Training Expense Reimbursement 84070 Paul Ward 749.79 Meeting/Training Expense Reimbursement 84071 Bryan Willis 231.77 Meeting/Training Expense Reimbursement 84072 City of Fountain Valley 1,071.94 Permit Fee P1-102 84073 County of Orange Auditor Controller 225.00 Administrative Fee - Adjustments to Property Tax Bills 84074 County of Orange Auditor Controller 315.00 Administrative Fee - Adjustments to Property Tax Bills 84075 Michael Ford 1,163.84 Reconciliation User Fee Refund Program 84076 Dorothy Schultz 1,595.33 Reconciliation User Fee Refund Program 84077 South Coast Air Quality Management Dist. 1,695.47 Odor Control System at Ellis Pump Station J-71-8 Total Accounts Payable - Warrants $ 19,807,929.79

Payroll Disbursements 33999 - 34074 Employee Paychecks $ 128,411.50 Biweekly Payroll - 08/16/06 34080 - 34661 Employee Paychecks 96,759.25 Interim Payroll - Reissues & Retro Range Adjustments - 08/17/06-08/23/06* 34662 - 34740 Employee Paychecks 143,032.88 Biweekly Payroll - 08/30/06 34741 - 34744 Employee Paychecks 4,884.59 Interim Payroll - 08/24/06 129517 - 130070 Direct Deposit Statements 1,151,582.21 Biweekly Payroll 08/16/06 130071 - 130624 Direct Deposit Statements 1,214,120.86 Biweekly Payroll 08/30/06 Total Payroll Disbursements $ 2,738,791.29 *Printed out of order due to interim payroll of 8/15/06 Wire Transfer Payments OCSD Payroll Taxes & Contributions$ 658,159.65 Biweekly Payroll 08/16/06 OCSD Payroll Taxes & Contributions 750,220.73 Biweekly Payroll 08/30/06 US Bank 554,583.70 Series 2000 A & B Refunding COPs August Interest Payment Total Wire Transfer Payments $ 1,962,964.08

Total Claims Paid 08/16/06 - 08/31/06 $ 24,509,685.16

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FROM: David Ludwin, Director of Engineering Originator: Bob Chenowith, Senior Engineering Associate

SUBJECT: PROPOSED ANNEXATION NO. OCSD-57 – WALKER ANNEXATION

GENERAL MANAGER'S RECOMMENDATION

(1) Receive and file petition from Charles J. Walker requesting annexation of 1.988 acres to Orange County Sanitation District (OCSD) in the vicinity of Brier Lane and Highcliff Drive, in an unincorporated area of Orange County; and (2) Adopt Resolution No. OCSD 06-19, authorizing initiation of proceedings to annex said territory to OCSD (Proposed Annexation No. OCSD-57 – Walker Annexation).

SUMMARY

• OCSD received a request from Charles Walker and Michael Bokosky to annex two parcels which total 1.988 acres to OCSD. The two property owners will pump up to an existing OCSD eight-inch sewer manhole on Brier Lane.

• OCSD will issue two sewer connection permits after Annexation is approved. OCSD Capital Facilities Capacity Charges (CFCC) has already been paid in the amount of $8040.00.

• The assessor parcel numbers are 503-301-04 and 503-301-09.

• Charles Walker has also included a petition for approval to finance his Annexation fees through the OCSD five-year payment plan program.

• The property owner has submitted an application to the Local Agency Formation Commission Orange County (LAFCO) for approval and processing.

PROJECT/CONTRACT COST SUMMARY

This annexation is in accordance with the terms of the negotiated agreement with the County of Orange regarding A.B.8 Tax Exchange for annexing properties. The Board of Directors approved this action and it became effective March 14, 1989. Under this Tax Exchange, OCSD does not receive a percentage of the basic levy, and instead, collects a higher annexation fee. The fee of $9,162.18 includes the following:

OCSD Processing Fee 500.00 CA Environmental Quality Act Filing Fee 43.00 Revenue Area Planning Study Fee 200.00 OCSD Annexation Acreage Fee $8,419.18 TOTAL ANNEXATION FEE $9,162.18

PRIOR COMMITTEE/BOARD ACTIONS

N/A

BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

The Board of Directors adopted and approved a policy at the September 2003 Board meeting, allowing property owners currently on septic tanks to make annual payments for the Capital Facilities Capacity Charge and Annexation Fees over a period not to exceed five years at zero percent interest. The fees are to be collected on the property tax bill. Also, there is a provision that property owners must connect to the local sewer system within three years from the time the sewer line is installed to qualify for the zero percent interest, five-year payment program for said fees.

ALTERNATIVES

N/A

CEQA FINDINGS

Notice of Exemption will be filed.

ATTACHMENTS

1. Map and Legal Description

RLC:sa H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 8(b).Walker Annex.doc

Revised: 8/20/01 Page 2

Meeting Date To Bd. of Dir. BOARD OF DIRECTORS 09/27/06 Item Number Item Number AGENDA REPORT 8(c) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: Bob Chenowith, Senior Engineering Associate

SUBJECT: PROPOSED ANNEXATION NO. OCSD-58 – RUE ANNEXATION

GENERAL MANAGER'S RECOMMENDATION

(1) Receive and file petition from Michael and Virginia Rue requesting annexation of 1.06 acres to Orange County Sanitation District (OCSD) in the vicinity of Skyline Drive and Reservoir Road, in an unincorporated area of Orange County; and (2) Adopt Resolution No. OCSD 06-20, authorizing initiation of proceedings to annex said territory to OCSD (Proposed Annexation No. OCSD-58 – Rue Annexation).

SUMMARY

• OCSD received a request from Michael Rue to annex one parcel which totals 1.06 acres to OCSD. The property will connect to an existing OCSD eight-inch sewer that flows to La Vereda Drive, which then connects to an existing eight-inch OCSD sewer in Treasure Lane.

• OCSD will issue a sewer connection permit and collect the OCSD sewer capacity fees for one five (5) bedroom home that will be built on the site. The assessor parcel number is 502-422-09.

• The property owner has submitted an application to the Local Agency Formation Commission Orange County (LAFCO) for approval and processing.

PROJECT/CONTRACT COST SUMMARY

This annexation is in accordance with the terms of the negotiated agreement with the County of Orange regarding A.B.8 Tax Exchange for annexing properties. The Board of Directors approved this action and it became effective March 14, 1989. Under this Tax Exchange, OCSD does not receive a percentage of the basic levy, and instead, collects a higher annexation fee. The fee of $11,292.10 includes the following:

OCSD Processing Fee $ 500.00 OCSD sewer connection permit (5 bedroom home) 6,060.00 OCSD Planning fee 200.00 CA Environmental Quality Act Filing Fee 43.00 OCSD Annexation Acreage Fee __4,489.10 TOTAL ANNEXATION FEE $11,292.10

PRIOR COMMITTEE/BOARD ACTIONS

N/A

BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

N/A

ALTERNATIVES

N/A

CEQA FINDINGS

Notice of Exemption will be filed.

ATTACHMENTS

Map and Legal Description

RLC:sa H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 8(c).Rue Annex.doc

Revised: 8/20/01 Page 2

Meeting Date To Bd. of Dir. BOARD OF DIRECTORS 09/27/06 Item Number Item Number AGENDA REPORT 8(d) Orange County Sanitation District

FROM: Lorenzo Tyner, Director of Finance Originator: Mike White, Controller

SUBJECT: INSTALLMENT PAYMENTS FROM 2 PROPERTY OWNERS ABANDONING THEIR SEPTIC TANKS FOR ANNEXATION AND CAPITAL FACILITIES CAPACITY CHARGES

GENERAL MANAGER'S RECOMMENDATION

Adopt Resolution No. OCSD 06-24, Levying Assessment Installments in lieu of the Payment of Sewer System Capital Facilities Capacity Charges Incidental to the Connection of Assessor’s Parcel No. 503-301-04 and 502-232-06 to the Sewer System.

SUMMARY

Currently our records show there are approximately 2,000 properties within the Sanitation District service area on septic tanks, rather than sanitary sewers. A smaller number is estimated to exist within the County but not currently annexed to our service area.

These septic tanks can be shown to contribute to the bacterial contamination of urban runoff. This could be a result of failing systems or of contamination leaching through the soil and emerging to be carried away as urban runoff.

There are many steps required of a property owner who desires to move from an on-site septic tank to the regional sanitary sewer system. If not in the service area, the property must be annexed to a local sewering agency as well as to the Sanitation District. A lateral must be constructed from the building on the property to the local sewer and a local and OCSD CFCC, or “connection fee,” must be paid. If a local sewer is not available, then that sewer must be constructed. The septic tank must be emptied and then properly abandoned by a licensed contractor. The total cost for these services varies by property and proximity to a local sewer, but it is always substantial. District staff has estimated the cost to abandon a septic tank and to build a 100-foot vitrified clay pipe connection to an existing local sewer to be between $12,000 and $15,000.

In the past, Directors have discussed methods of encouraging property owners to abandon their septic tanks and to connect to the sanitary sewers. General Counsel has

Form No. DW-102 Agenda Report – Board Dept. 220 Revised: 9/21/2006 Page 1 consistently advised that our existing Ordinance does not allow fees to be waived or set aside.

In order to minimize the impact and encourage property owners to move off of septic tanks and onto the local sewer system, the Board approved in September 2003, the payment of annexation and CFCC through installments, by levy on the County tax rolls and included on the property tax bill, over a five-year period at zero percent interest.

Since Board approval of this program in September 2003, this is the second request staff has received to pay annexation fees and CFCC through installments. Following is a summary of the two parcels requesting approval of installment payments along with the total fees:

Total Annexation Fee Parcel No. And/Or CFCC

503-301-04 $10,832.18 502-232-06 4,360.00

Total $15,192.18

Parcel 503-301-04 is part of the proposed annexation number OCSD57-Walker Annexation being considered within item 8.b. on this September 27, 2006 Board agenda.

PRIOR COMMITTEE/BOARD ACTIONS

In September 2003, the Board adopted a policy allowing property owners currently on septic tanks to make annual payments for the Capital Facilities Capacity Charge and Annexation Fee over a period not to exceed five years, at zero percent interest, to be collected on the property tax bill and to provide that property owners must connect to the local sewer system within three years from the time the sewer line is installed to qualify for the zero percent interest, five-year payment program for said fees.

In June 2006, the Board adopted Resolution No. 06-16, Levying Assessment Installments In Lieu of the Payment of Sewer System Annexation Fees and Capital Facilities Capacity Charges Incidental to the Connection of Assessor’s Parcel Nos. 502- 353-05, 502-352-06, 502-353-01, 502-361-04, 502-362-06, 502-362-05, 502-362-07, 502-362-09, 502-362-08, and 502-362-11 to the Sewer System.

PROJECT/CONTRACT COST SUMMARY

N/A

Form No. DW-102 Agenda Report – Board Dept. 220 Revised: 9/21/2006 Page 2 BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

N/A

ALTERNATIVES

N/A

CEQA FINDINGS

N/A

ATTACHMENTS

Proposed Resolution

MW

Form No. DW-102 Agenda Report – Board Dept. 220 Revised: 9/21/2006 Page 3

RESOLUTION NO. OCSD 06-24

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT LEVYING ASSESSMENT INSTALLMENTS IN LIEU OF THE PAYMENT OF SEWER SYSTEM CAPITAL FACILITIES CAPACITY CHARGES INCIDENTAL TO THE CONNECTION OF ASSESSOR’S PARCEL NO. 503-301-04 and 502-232- 06 TO THE SEWER SYSTEM.

* * * * * * * * * * * * * *

WHEREAS, in accordance with the provisions of Ordinance No. OCSD-30B, the owner of property located in the District’s service area, which is being connected to the sewer system, has filed a petition requesting this Board to levy assessment installments in lieu of the payment of the sewer system Capital Facilities Capacity Charges which ordinarily would be due and payable at the time of connecting such property to the sewer system; and,

WHEREAS, this Board has considered such petition at a public meeting, notice of which was duly served on each owner of an interest in the fee title to the property; and,

WHEREAS, this Board now desires to grant such petition and levy the assessment installments in lieu of payment of sewer system Capital Facilities Capacity Charges requested therein in the manner provided for by Ordinance No. OCSD-30B.

NOW, THEREFORE, THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT DOES HEREBY RESOLVE, DETERMINE AND ORDER:

Section 1: This Board finds that:

A. All owners of an interest in the fee title to the property described in the Petition for Assessment attached hereto, have executed and filed said petition requesting this Board to levy assessment installments in lieu of the payment of sewer system CFCCs which ordinarily would be due and payable at the time of connecting such premises to the sewer system; and; and

B. Such premises are or were served by a private sewer system consisting of a septic tank and leach field system that was or will be abandoned at the time of the connection of the premises to the sewer system; and

C. Levying assessment installments in lieu of payment of sewer system CFCCs for such premises, either individually or in combination with other premises similarly connected to the sewer system will not seriously compromise the District’s ability to fund any anticipated expansion of the sewer system.

1

D. The total amount of the sewer system Capital Facilities Capacity Charges that have or become due and payable at the time of connecting such premises to the sewer system is set forth in the Petition for Assessment.

E. In accordance with the provision of Ordinance No. OCSD-30B, assessments in lieu of the payment of sewer system Capital Facilities Capacity Charges shall be and are hereby levied against such premises in five installments during the years and in the amounts provided for in the schedule of assessment installments also as set forth in the Petition for Assessment.

F. The Board Secretary is directed to canvas a copy of this Resolution to be served on each owner of an interest in the fee total to such premises, to execute an affidavit or declaration attesting to such service after completing same, and to transmit a certified copy of this resolution and such affidavit or declaration to the Finance Director/Treasurer.

G. Upon receipt of a certified copy of this Resolution, the Finance Director/Treasurer is directed to attach the affidavit or declaration attesting to the service of this resolution in the manner provided for herein to the certified copy of the resolution and to cause such documents to be recorded in the official records of the County of Orange, and the Finance Director/Treasurer to transmit the Resolution to the County of Orange Auditor-Controller with a request that the assessment installments levied hereby and set forth herein be added to the County tax rolls at the time and in the manner provided for herein.

H. After recordation of a certified copy of this Resolution in the manner provided for herein, the assessment installments levied by this Resolution shall become a lien on the premises as described in the Petition for Assessment, which shall have the priority and effect of an assessment lien as provided for in Article 33, Chapter 4, Part 1, Division 2, Title 5 of the California Government Code (commencing with Section 52930) or any other law of the State of California applicable to assessment liens levied by a county sanitation district.

I. After transmittal of a certified copy of this Resolution to the County of Orange Auditor-Controller in the manner provided for herein, the assessment installments levied by this Resolution shall be payable in the same manner and at the same time as general taxes of the County of Orange on real property are payable, and such assessment installments and all interest therein shall become delinquent at the same time and bear the same proportional penalty and interest after delinquency as do the general taxes of the County of Orange on real property.

2

Section 2: This Resolution shall become effective immediately upon adoption.

PASSED AND ADOPTED at a regular meeting of the Board of Directors held September 27, 2006.

Chair

ATTEST:

Board Secretary

3 Meeting Date To Bd. of Dir. STEERING COMMITTEE 09/27/06 09/27/06 Item Number Item Number AGENDA REPORT 10(b) Orange County Sanitation District

FROM: Robert P. Ghirelli, Acting Assistant General Manager Originator: Michael Gold, Legislative Affairs Liaison

SUBJECT: Support of Proposition 1E

GENERAL MANAGER'S RECOMMENDATION

Adopt Resolution No. OCSD 06-21, Declaring Support of Proposition 1E.

SUMMARY

Proposition 1E is part of the Governor and Legislature’s overall infrastructure package that was approved in May of this year and allocated $4.1 billion as follows:

Central Valley flood control repairs and improvements $3 billion Flood control subventions $500 million Stormwater management $300 million Flood protection corridors and bypasses $290 million

The area of most significance to OCSD is the “Flood Control Subvention” amount because it impacts the SARI line.

If approved, the County of Orange Flood Control District (OCFCD) would receive approximately $120 million in subvention funds. The County has already agreed that these funds would be used to fund its portion of the SARI line relocation.

The other area of possible significance to the District is the $300 million allocated to stormwater management. This amount could be used as a source of grants for future district projects. As stated in the enabling legislation, the funds should be used (emphasis added):

• “…to manage stormwater runoff to reduce flood damage and where feasible, provide other benefits, including groundwater recharge, water quality improvement, and ecosystem restoration.”

If passed, these funds would be available on a competitive basis, probably through the Regional Water Quality Control Boards.

Form No. DW-102 Agenda Report – SC Dept. 320 Revised: 9/21/2006 Page 1 Clearly, Proposition 1E would provide an benefit to OCSD because with its passage, a large portion of the funding for relocating the SARI line would be in place and the County has indicated its preference to use local, rather than Federal dollars.

Of the bond measures, Proposition 1E has very little organized opposition (some of the other infrastructure measures are opposed by Republicans) so taking a position in support of Proposition 1E would not be too controversial.

Moreover, just this month the Public Policy Institute conducted a poll of California voters revealing voters favor Proposition 1E:

• Prop. 1E (Levees/Flood-$4.09b) Yes: 56% No: 35%

PRIOR COMMITTEE/BOARD ACTIONS The Legislative Affairs Committee recommended support of Proposition 1E at the September 12, 2006 meeting.

PROJECT/CONTRACT COST SUMMARY N/A

BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

ALTERNATIVES N/A

CEQA FINDINGS N/A

ATTACHMENTS Proposed Resolution

Form No. DW-102 Agenda Report – SC Dept. 320 Revised: 9/21/2006 Page 2

RESOLUTION NO. OCSD 06-21

A RESOLUTION OF THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT DECLARING SUPPORT OF PROPOSITION 1E

WHEREAS, Proposition 1E, the Disaster Preparedness and Flood Prevention Act of 2006, is a statewide ballot measure that will go before California voters on the November 2006 ballot; and

WHEREAS, Proposition 1E is part of a $37 billion infrastructure package approved by the Legislature and signed by Governor Schwarzenegger in May; and

WHEREAS, if approved by voters, Proposition 1E would authorize $4.1 billion in general obligation bonds to make critically needed improvements to California’s levee system and better protect the state from Hurricane Katrina- style flooding; and

WHEREAS, Proposition 1E would provide $3 billion to improve and maintain levees and other flood control facilities in the Central Valley and the Sacramento-San Joaquin River Delta, an area increasingly vulnerable to large- scale levee failure that could leave more than 23 million Californians without a key water supply source; and

WHEREAS, Proposition 1E would provide $500 million to help fund the state’s share of local flood control projects outside the Central Valley for the next 10 years, including $120 million to Orange County for the relocation of the Santa Ana River Interceptor (SARI) line; and

WHEREAS, Proposition 1E would provide $290 million for new levees, flood corridors and bypasses, as well as for completion of flood hazard maps and much-needed floodplain mapping; and

WHEREAS, Proposition 1E would provide $300 million in grant funding for local projects to control stormwater runoff consistent with integrated regional water management efforts; and

WHEREAS, passage of Proposition 1E would ensure that critical investments are made in flood control projects and facilities to help protect communities and infrastructure from destructive floods;

NOW, THEREFORE, BE IT RESOLVED, that the Board of Directors of the Orange County Sanitation District formally supports Proposition 1E on the November ballot.

PASSED AND ADOPTED at a regular meeting held September 27, 2006.

______Chair

ATTEST:

______Board Secretary

Meeting Date To Bd. of Dir. OMTS COMMITTEE 09/06/06 09/27/06 Item Number Item Number AGENDA REPORT OMTS06-39 11(b) Orange County Sanitation District

FROM: Ed Torres, Acting Director of Technical Services Originator: Jeffrey L. Armstrong, Ph.D., Senior Scientist

SUBJECT: SOLE SOURCE CONTRACT TO UNIVERSITY OF CALIFORNIA, RIVERSIDE

GENERAL MANAGER'S RECOMMENDATION

1. Ratify approval of Amendment No. 1 to the sole source agreement with UC Riverside for the project titled Seasonal Evaluation of Reproductive Status and Exposure to Environmental Estrogens in Hornyhead Turbot at the Municipal Wastewater Outfall of Orange County, for an additional amount of $50,000 for year two of the contract, for a total amount not to exceed $100,000; and,

2. Approve an extension to the contract for year three for said project for an additional amount of $50,000, for a total amount not to exceed $150,000.

SUMMARY

• The release of endocrine disrupting chemicals (EDCs) from wastewater treatment plants is known to have adverse effects on freshwater fish. There is little information about the effects of EDCs from wastewater treatment plants on marine fishes. Preliminary findings from UC Riverside on fish off the southern California coast indicate feminization of fish. • To help address this question, EPA and the Regional Water Quality Control Board (RWQCB) included, in our current ocean discharge permit, the requirement to conduct a study to determine the level of endocrine disruption in fish within the District’s ocean monitoring area. The UC Riverside study partially satisfies this permit requirement. • The techniques used in this study were developed by Dr. Dan Schlenk at UC Riverside and thus he is the only contractor able to provide this service for the District.

PRIOR COMMITTEE/BOARD ACTIONS

N/A

PROJECT/CONTRACT COST SUMMARY

The cost of this project is $50,000 per year for three years for a total not to exceed $150,000.

Page 2 BUDGET IMPACT This item has been budgeted. (Line item: 96; 620.53320) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

The release of endocrine disrupting chemicals (EDCs) from wastewater treatment plants are known to have adverse affects on biota (e.g., fish). The majority of these studies have been conducted in Europe focusing on rivers and in various freshwater systems in the United States. However, there is very limited information on the effects of EDCs in fish associated with marine wastewater outfalls. The question of the potential for endocrine disruption in marine fishes has recently gained national attention because of the preliminary work done by UC Riverside off the Southern California coast. A requirement for a strategic process study addressing this issue was included in the District’s current ocean discharge permit.

The purpose of this study is to better characterize the extent of the endocrine disruption of fish in the District’s monitoring area and to identify the source(s) of the endocrine disruption using new techniques developed in the laboratory of Dr. Daniel Schlenk, professor of aquatic toxicology at the University of California, Riverside. Under the supervision of Dr. Schlenk, the study is being conducted primarily by doctoral student Mary Ann Rempel and constitutes her doctoral dissertation research project.

Techniques were developed by Dr. Schlenk; he is the only contractor able to provide this type of service for the District. This three-year project and funds supports: the doctoral student in Dr. Schlenk’s laboratory who will be working full-time on the project, supplies, and travel expenses at a cost of $50,000 per year. This project partially fulfills the District’s requirement in the current NPDES permit for a study evaluating biomarkers for contaminant exposure in fish, specifically the level of endocrine disruption in fish collected in the District’s monitoring area.

The results of this study will be presented at professional scientific meetings, published in peer-reviewed scientific journals, and will be included in the District’s Marine Monitoring Annual Report. Furthermore, the contract funds a doctoral student from an under-represented demographic class (women in science).

ALTERNATIVES N/A

CEQA FINDINGS N/A

ATTACHMENTS N/A

JA:wh C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 11(b).UC Riverside.doc Revised: 9/21/2006 (wh)

Meeting Date To Bd. of Dir. OMTS COMMITTEE 09/06/06 09/27/06 Item Number Item Number AGENDA REPORT OMTS06-40 11(c) Orange County Sanitation District

FROM: Edward M. Torres, P.E., Acting Director of Technical Services Originator: Shabbir Basrai, Engineer, Environmental Compliance Services Division

SUBJECT: ODOR CONTROL CHEMICAL CONTRACT CREDIT IN THE AMOUNT OF $76,098, AND APPLICATION OF $60,100 OF THE CREDITED AMOUNT FOR RELOCATING CHEMICAL DOSING TANK AT SEAL BEACH PUMP STATION

GENERAL MANAGER'S RECOMMENDATION

1. Authorize the General Manager to accept a $76,098 credit for Trunkline Chemical Treatment Strategy in the Miller-Holder, Knott and Baker-Gisler Trunklines from U.S. Peroxide, LLC. 2. Authorize the General Manager to utilize up to $60,100 of the $76,098 credit for the relocation of the chemical dosing tank to be completed by U.S. Peroxide, LLC.

SUMMARY

• U.S. Peroxide, LLC is contracted by the District to provide ferrous chloride and hydrogen peroxide chemicals, chemical dosing facilities, and support services for controlling odors and corrosion at three locations in the collection system, including the Seal Beach Pump Station. • As part of this program, U.S. Peroxide, LLC is obligated to provide 35-37% ferrous chloride. However, over the last two years, U.S. Peroxide, LLC has provided ferrous chloride of 33.18% average concentration. • As the District paid U.S. Peroxide, LLC based upon 35-37% ferrous chloride concentration, U.S. Peroxide, LLC has consented to reimburse the District for the difference of $76,098. • The ferrous chloride dosing tank in its current location at the Seal Beach Pump Station is unsightly and the District has received numerous complaints from citizens asking for the tank to be removed or concealed. • At the July 7, 2006 OMTS Committee Meeting (OMTS 06-35), the Committee accepted the $76,098 credit due to the District and directed staff to evaluate options for reducing the public view of the dosing tank in consultation with the City of Seal Beach and report back to the September 2006 OMTS. • Staff has evaluated four options, including relocation of the chemical dosing tank. Table 1 in the Alternatives section provides details of the options. • Staff is recommending implementation of Option #4 – Tank Relocation, based upon low project cost estimates, and this option is favored by the City of Seal Beach. • The remaining credit balance of at least $15,998 would be reimbursed by U.S. Peroxide, LLC to the District in the form of a discount on the unit chemical price during the contract term, which ends 7/31/07.

PRIOR COMMITTEE/BOARD ACTION

For purchasing hydrogen peroxide for District’s collection system use: 1. Contract with U.S. Peroxide, LLC. for demonstration of the chemical process on June 5, 2002. 2. Contract with U.S. Peroxide, LLC on June 4, 2003.

At the July 7th, 2006 OMTS Committee Meeting, the Committee moved and seconded and duly carried to direct staff to accept the $76,098 credit due to the District and evaluate other options for reducing the public view of the dosing tank in consultation with the City of Seal Beach and report back to the September 2006 OMTS Committee Meeting (OMTS 06-35).

PROJECT/CONTRACT COST SUMMARY

N/A

BUDGET IMPACT

This item has been budgeted. (Line Item: ___ ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

The funds for relocating the chemical dosing tank will be appropriated from the credited amount from U.S. Peroxide, LLC.

ADDITIONAL INFORMATION

N/A

ALTERNATIVES

Table 1: Options Evaluated for Reducing the Visibility of the Chemical Dosing Tank

Option Description Estimated Comments Cost 1. Physical Barrier - Construct a fence with a $38,258 Lowest cost option. Fence barrier screen along the Undesirable from an pump station perimeter aesthetics perspective along Seal Beach Blvd (construction site look). and Westminster Also not acceptable to the City of Seal Beach 2. Physical Barrier - Construct a three walled $152,113 Most expensive option. Building structure to shield the Would completely tank screen tank from public view.

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 11(c).US Peroxide.doc

Option Description Estimated Comments Cost 3. Landscaping Construct a berm and $109,440 Expensive option. plant trees and shrubs Would increase landscape maintenance costs. Would still be able to partially view tank. 4. Tank Relocation Relocate the tank to a Not to Low cost. Would new location away from exceed substantially reduce the major thoroughfares $60,100 visual of tank. Future landscaping associated with pump station remodel will enhance this option. Preferred option by City of Seal Beach.

CEQA FINDINGS

N/A

ATTACHMENTS

N/A

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 11(c).US Peroxide.doc

Meeting Date To Bd. of Dir. OMTS COMMITTEE 09/06/06 09/27/06 Item Number Item Number AGENDA REPORT OMTS06-41 11(d) Orange County Sanitation District

FROM: James D. Herberg, Director of Operations and Maintenance Originator: Robert C. Thompson, Process Controls Manager

SUBJECT: PROCESS DATA HISTORIAN REPLACEMENT

GENERAL MANAGER'S RECOMMENDATION

Approve a Consulting Services Agreement with TMV Systems Engineering for Process Control Systems Historical Replacement, Specification No. CS-2006-281BD, providing technical consulting, implementation support and software purchase, in the amount of $357,902, and a contingency of $17,098 for a total amount not to exceed $375,000.

SUMMARY

• OCSD has implemented computerized automation system for monitoring, controlling, and collecting data for our sewage pump stations and treatment facilities using Supervisory Control and Data Acquisition (SCADA) software.

• Presently data collection is done using a module included in the SCADA software. There are three separate systems: a system for the Pump stations; a system for Plant 1; and a system for Plant 2.

• The SCADA software for all three systems is the same. It is based on 1980’s VAX computer technology produced by Digital Equipment Corp (DEC). These platforms are robust and secure, but were not designed to handle the data requirements of current technology. These 1980’s storage technologies, especially disk drives, are slow and limited in capacity.

• The recommended Process Data Historian replacement will extend the life of the District’s SCADA systems and improve staff’s ability to troubleshoot and optimize the Treatment Plants.

• Proposals for replacement of the Process Data Historian were received from five firms. A staff review committee has evaluated the proposals and recommends awarding a consulting services agreement to TMV Systems Engineering for a total fee not to exceed $375,000.

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 11(d).CS-2006-281.doc Form No. DW-102-2 Agenda Report – OMTS Dept. 320 Revised: 9/21/2006

Page 1 PRIOR COMMITTEE/BOARD ACTIONS

None

PROJECT/CONTRACT COST SUMMARY

The total project budget for equipment purchases, staff labor, overhead, and contingency is $558,000. At this time Staff is requesting approval for a consultant contract not to exceed $375,000.

BUDGET IMPACT

This item has been budgeted. (Line item: Section 8, Page 86, Project J-103) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

No change is being requested to the current project budget.

ADDITIONAL INFORMATION

Background The Orange County Sanitation District installed the current SCADA systems in 1994 and 1995. The SCADA systems are comprised of two coordinated systems: Programmable Logic Controllers and Human Machine Interfaces. The Programmable Logic Controllers are wired to the plant equipment (motors, values, sensors) and make the automated, logical decisions which free Operators from mundane, routine tasks.

The Human Machine Interface is a computer system that communicates with all Programmable Logic Controllers in a plant or pump station and visually displays the status of the processes and allows staff to effectively remotely control the treatment plants and pump stations. The Human Machine Interface also provides an alarm handling function to alert operations staff of abnormal conditions that occur in the plant or pump station. The last function of the Human Machine Interface is to collect and store a history of process performance data. This is commonly referred to as a process historian.

The process historian is the data repository that is the primary source of information for regulatory reporting and plant performance monitoring. As the District adds facilities and improves the monitoring and control of existing facilities, the current Human Machine Interface is stressed. The VAX based computer system is very reliable and secure. However, the computer’s ability to write, store and access a growing volume of data is a weak link.

At installation, the system was able to store and readily display process data for more than one year. Currently, only three months of data are readily accessible. Staff is C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 11(d).CS-2006-281.doc Form No. DW-102-2 Agenda Report – OMTS Dept. 320 Revised: 9/21/2006

Page 2 satisfied with the process visualization and alarm handling capabilities of the current system, but the historian data handling module is causing system reliability problems.

In addition to the storage limitations and reliability issues, the current historian has the ability to graph data, although it is a slow and laborious process. The proposed system not only offers a web-based tool to quickly graph data, but also the capability to quickly export data to Excel for staff use, as well as some other advanced analysis tools in the application itself.

To summarize, the new process data historian system will extend the life of the existing Human Machine Interface system, improve the reliability of the system, improve process data accessibility to staff and give staff improved analytical tools.

Consultant Selection Process The project and purchasing process has been slow and deliberate. In May of 2005, the District solicited proposals based on a staff-developed specification. The specification called for a relatively complex system to gather data directly from the Programmable Logic Controllers. The proposals were evaluated and judged to be too complex and too costly. None of the vendors had a system to offer that met all the needs without trying to replace the entire Human Machine Interface. Staff simplified the approach and re-issued the request for proposals in May 2006.

The submitted proposals include all installation, project management, application and technical training, and consulting services necessary to complete implementation of the Historian Replacement Project. The purchasing process is summarized by the following:

• The request for proposal resulted in five viable responses (Enterprise Automation, Telvent, TMV-Proficy, TMV-Wonderware, and Wunderlich-Malec) Respondents’ proposals were then judged by a panel comprised of five staff from Information Technology and Operations and Maintenance. • The panel rated and scored the proposals based on the qualifications of the firms and staffing, technical strength, work plan, ease of configuration management and cost. The final scores are listed below. • Pricing ranged from a low of $274,279 to a high of $548,727.

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 11(d).CS-2006-281.doc Form No. DW-102-2 Agenda Report – OMTS Dept. 320 Revised: 9/21/2006

Page 3

The scores of the five evaluators (A through E) were:

Proposer A B C D E Average TMV Wonderware 880 705 680 720 715 3700 Telvent 846 591 671 681 636 3425 TMV Proficy 815 690 615 630 650 3400 Enterprise Automation 609 654 614 614 544 3035 Wunderlich Malec 355 585 585 590 400 2515

ALTERNATIVES

Do nothing at this time and study replacement of the three SCADA systems. Replacement of these systems is estimated to cost from $4 to 6 million for the Human Machine Interface only. Replacing the Human Machine Interface at this time will also negatively impact the ongoing Capital Improvement Program.

CEQA FINDINGS N/A

ATTACHMENTS N/A

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 11(d).CS-2006-281.doc Form No. DW-102-2 Agenda Report – OMTS Dept. 320 Revised: 9/21/2006

Page 4 Meeting Date To Bd. of Dir. OMTS COMMITTEE 09/06/06 09/27/06 Item Number Item Number AGENDA REPORT OMTS06-42 11(e) Orange County Sanitation District

FROM: Ed Torres, Acting Director of Technical Services Originator: Jeff Brown, Senior Engineer, Environmental Compliance Services

SUBJECT: REVIEW OF KEY RECOMMENDATIONS FROM REALIGNMENT OF RESEARCH PROGRAM STRATEGIC INITIATIVE; RE-APPROPRIATION OF CIP FUNDS FOR FY 06-07 RESEARCH PROJECTS

GENERAL MANAGER'S RECOMMENDATION

Authorize the re-appropriation of $450,000 from 1) Biosolids Production Siting Study, SP-105, 2) Environmental Compliance Assessment Program, SP-104, and 3) Odor Control Study, P2-95, all approved projects in the FY 06-07 CIP, to fund the FY 06- 07 Research Program projects not included in the current CIP.

SUMMARY

• Historically, District staff has been involved in research activities. The research has consisted of individual projects focusing on specific issues of concern rather than a comprehensive “Research Program.” As a result, research projects have often experienced delays or other difficulties as these activities compete for resources and funding and are given lower priority than traditional, and more immediately pressing, projects. • In response, staff initiated, and the Board of Directors approved, a strategic initiative to reevaluate the approach that has been used to support research and to make appropriate changes to improve the efficiency and effectiveness of these activities. • Staff has completed an evaluation and developed recommendations to improve the research activities in the following four areas: Organizational Structure, Funding Flexibility, Commitment of Department Resources, and Outsourcing vs. In-house Staffing. • Staff will provide additional detail on the key findings and recommendations from the evaluation of the research activities at the Board meeting. • Staff is requesting Board approval to reallocate CIP funds from three (3) low priority projects (see Attachment 1) whose scope of work has changed to fund four (4) research projects proposed for FY 06-07 (see Attachment 2), which were not included in the current year budget. There will be no net increase in the CIP budget.

Page 2 PRIOR COMMITTEE/BOARD ACTIONS

Research projects that lead to new or modified District facilities historically have been funded in the CIP budget. The Board’s approval of research projects has varied over the years, ranging from block funding all projects under one line item (e.g., Research Projects), funding projects according to type or category of project (e.g., primary / secondary treatment, odor control), and as individual projects. In fiscal year 05-06, the Board approved individual research projects.

PROJECT/CONTRACT COST SUMMARY

No net effect on budget. This will redirect budgeted funds from projects whose scope of work has changed to research-related projects that, unlike in previous years, were not included in either the CIP or the operating budgets.

Historically, the District budgeted annually approximately 2.5 FTE in the operating budget and $1,000,000 in the CIP budget for implementing research projects, with the number of projects that can be managed by existing staff varying between 3 and 8 depending on the projects’ scope and complexity.

BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. X This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

The District has a long history of research involvement aimed at improving process efficiency or reducing operational or capital costs. Recent examples of this include:

• collaborations with Universities to develop and demonstrate biological scrubbers to remove odors from foul air before it is discharged from the treatment processes, • a multi-year program to investigate membrane treatment (microfiltration) of various process streams, and • the first United States investigation of an innovative modification to conventional primary treatment (anaerobic baffled reactor).

A key recommendation from the Strategic Initiative study is for flexibility to reallocate funds among approved research projects as research needs change, within the overall limit of Board-approved Research Program funding for that year.

Form No. DW-102-3 Agenda Report – PDC Dept. 320 Revised: 9/21/2006

Page 3 Additional recommendations involve formation of technical advisory and management review committees to facilitate interdepartmental involvement and consensus on the research priorities for the District.

ALTERNATIVES

Alternatives include not implementing the research projects or deferring them to a future time. The disadvantage with these alternatives is the lost or deferred opportunity to identify and then to implement technologies or processes, such as improved odor control that would reduce the cost of operating our facilities or enable us to deliver higher levels of service to our community at lower costs.

CEQA FINDINGS

N/A

ATTACHMENTS

1. Proposed projects to transfer funds to research program 2. CIP Project Detail Sheets for proposed research projects

Form No. DW-102-3 Agenda Report – PDC Dept. 320 Revised: 9/21/2006

PROPOSED PROJECTS TO TRANSFER FUNDS TO RESEARCH PROJECTS FY 06-07

Project # Budget Description Total FY 06-07 Amount to Reason Book Projected Cash be Page Budget Flow Transferred P2-95 Section 8 Odor Control $150,000 $150,000 $150,000 Odor Control for Plant 2 Solids – Pg 81 Study Storage Facility will be studied and constructed as part of project P2- 92 which will upgrade odor control for solids dewatering facilities. SP-104 Section 8 Environmental $1,183,000 $853,000 $200,000 Development and implementation – Pg 93 Compliance of ECAP pilot program will be staff Assessment driven vs. consultant driven, Program resulting in cost savings. (ECAP) SP-105 Section 8 Biosolids $500,000 $150,000 $100,000 Siting In-county biosolids – Pg 109 production composting facility at Prima siting study Deshecha Landfill does not appear to be technical feasible, reducing amount of funds needed to complete study of this option. Total $450,000

Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-84 12(b) Orange County Sanitation District

FROM: David A. Ludwin, Director of Engineering Originator: Ann Tobin, Engineer

SUBJECT: COLLECTION SYSTEM MODEL AND STRATEGIC PLAN UPDATE, JOB NO. J-101

GENERAL MANAGER'S RECOMMENDATION

Receive and file the Collection System Strategic Plan Update dated April 2006, prepared by MWH Americas, Inc., for the Collection System Model and Strategic Plan Update, Job No. J-101.

SUMMARY

• This project developed a hydraulic model of the Orange County Sanitation District (Sanitation District) collection system and evaluated the trunk system capacity which was last updated with the 1999 Strategic Plan.

• The completion and filing of this Collection System Strategic Plan allows the Sanitation District to stay in compliance with the Capacity Assurance Planning requirement of the Waste Discharge Requirements adopted by the Regional Water Quality Control Board in April 26, 2002.

• Fifteen capital improvement projects are recommended to address collection system capacity deficiencies through 2030. The capital cost for these projects is $99.8 million.

• These fifteen projects replace the Sanitation District’s past sewer capacity planning included in the Fiscal Year 2005-06 Budget Book totaling $182 million. Thus, this Strategic Plan reduced the Sanitation District’s capital program by about $83 million.

• The computer model will also continue to be a valuable tool to the Sanitation District staff. This is because the Sanitation District staff will be able to adjust the timing of sewer capacity related projects as land uses changes are proposed by the Cities, as well as, the large high-rise developments being proposed throughout the service area.

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 12(b).J-101.doc Revised: 01/04/06 Page 1 PRIOR COMMITTEE/BOARD ACTIONS

February 23, 2005: Approval of Professional Service Agreement (PSA) with MWH Americas, Inc. for engineering services not to exceed $434,456.

PROJECT/CONTRACT COST SUMMARY

No expenditure is being requested.

BUDGET IMPACT

This item has been budgeted. (Line item: FY 05-06 Section 8 - Page 123) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

A major part of Collection System Model and Strategic Plan Update, Job No J-101, was the development of a new collection system model to replace Sanitation District’s 1999 Strategic Plan efforts. The new model uses recently collected GIS information, 2005 population estimates, and the most recent land use data. The model also incorporates changes in service area boundaries and demographics, as well as, several years of flow monitoring data from the Sanitation District’s Long-Term Flow Monitoring Project.

This new model was used to re-examine, update, and optimize the Sanitation District’s planning for the collection system, particularly the proposed capacity related capital improvements. Based on the evaluation of trunk system capacity, fifteen capital improvement projects are recommended to address capacity deficiencies projected to occur through 2030 (Table ES-1 of the attached Executive Summary). Project locations are shown in Figure ES-1 of the attached Executive Summary. The total planning-level capital cost for the recommended projects is $99.8 million (in 2005 dollars). Three projects, the Bristol Trunk in Santa Ana, the Dover Trunk in Newport Beach, and the Lake Street in Huntington Beach are recommended for immediate assignment to the Program Management Office (PMO), with construction to start in 2009. The other 13 projects have been scheduled based on the modeling, but should be investigated further to confirm priorities, scheduling, and to better detail potential solutions.

The total capital cost for the recommended projects, $99.8 million, is less than the $182 million in capital costs for capacity related projects based on the 1999 Strategic Plan. The 1999 study projected higher flows and greater capacity needs than the current study. The new hydraulic model, developed under Job No. J-101, with additional flow monitoring data and updated population projections, indicates that additional capacity will not be required in much of the Santa Ana Interceptor as previously anticipated.

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 12(b).J-101.doc Revised: 01/04/06 Page 2 ALTERNATIVES

No alternative.

CEQA FINDINGS

This project is exempt from CEQA.

ATTACHMENTS

Executive Summary from the Strategic Plan Update, April 2006

AT:sa H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 12(b).J-101.doc

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 12(b).J-101.doc Revised: 01/04/06 Page 3 ´

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OCSD Strategic Plan Update Figure ES-1 Recommended Capacity Improvement Projects Legend

Projects Major OCSD Sewers

File: Figure ES-2.mxd Major Streets and Highways OCSD Service Area Updated 3/30/06 0 1 2 4 6 8 Miles

Orange County Sanitation District ES-2 Strategic Plan Update Job No. J-101 - Volume 1 April, 2006 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-87 Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: Pam Koester, Project Manager

SUBJECT: PLANT 2, UTILITY CORRIDOR, PARKING AND PUMP STATION FOR CONTRACTOR STAGING, JOB NO. P2-66-3

GENERAL MANAGER'S RECOMMENDATION

(1) Ratify Change Order No.1 to Plant No. 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3, with Denboer Engineering and Construction, Inc., authorizing an addition of $37,762 and 159 calendar days, increasing the total contract amount to $1,360,762; and (2) Accept Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3, as complete, authorizing execution of the Notice of Completion and approving the Final Closeout Agreement.

SUMMARY

• The project included excavation, regrading for a new contractor parking lot and roadways, including a pump station and electrical facilities for contractor staging at Plant No. 2.

• RMS Engineering & Design, Inc. prepared the plans and specifications and the contract was awarded to Denboer Engineering and Construction, Inc. on September 26, 2005.

• Change Order No. 1 includes seven items of added work, two items of deleted work, and a time extension. There are three nonreimbursable design errors and no reimbursable design errors associated with this change order. The contract includes liquidated damages of $200 per day and no bonus provisions. The project is now 100% complete.

PRIOR COMMITTEE/BOARD ACTIONS

The contract was awarded by the PDC Committee on September 26, 2005. Please refer to the attached Change Order Status Performance Report for information on all previous change orders.

Page 1 PROJECT/CONTRACT COST SUMMARY

Original Contract Price $ 1,323,000 Previously Authorized Change Order $ 0 This Change Order (Add) $ 37,762 Change Orders to Date $ 37,762 Percent Increase to Date 2.85% Amended Contract Price $ 1,360,762

BUDGET IMPACT

This item has been budgeted. (Line item: FY2004-2005 Budget Section 8, P128) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

Contact Schedule

Contact start date September 26, 2005 Original contact completion date February 22, 2006 Total number of change orders to date 1 Revised Completion Date July 31, 2006 Actual contact completion date July 31, 2006 Days subject to liquidated damages 0

Change Order No. 1 Content

Item Description Amount Days Type

1 Ductbank Relocation $27,529 0 Unknown Condition

2 V-Ditch Interference $1,850 0 Nonreimbursable Design Error

3 8-Inch Diameter Force Main $10,803 0 Unknown Condition

4 12Kv Ductbank Realignment $3,845 0 Unknown Condition

5 Time Extension $0 159 Other

6 Telephone Conduit Modification $3,825 0 Nonreimbursable Design Error

7 Asphalt Credit ($32,357) 0 Staff Requested Design Change

Page 2

8 Input/Output Control Device $490 0 Nonreimbursable Design Error

9 Parking Lot Elevation Change $21,847 0 Staff Requested Design Change

10 Light Fixture Substitute ($70) 0 Staff Requested Design Change

Total Change Order No. 1 $37,762 159

This item 5 involves a time extension to the contract which was caused by several issues which were outside of the Contractor's control. A combination of paving delays and time requested to resolve electrical issues caused this project time extension.

The P2-66 contract's excavation operations involved the transporting of soil by large trucks along the east perimeter road in the same area that paving work was to occur on this project. Staff decided to delay the work on the P2-66-3 project and allow the work on the P2-66 project to proceed. The exact timing of this conflict could not have been anticipated during the design of this project. This time extension avoided conflicts and delays to the excavation operations of the P2-66 project, which is a $200 million dollar project. Part of the delay was due to the identification of electrical design issue during construction which took time to evaluate and resolve. Prior to the time the evaluation was being performed, the Sanitation District had already taken beneficial occupancy of the majority of this project which included the completed pump station and parking lot and all associated piping. The Contractor has agreed that this extension of contract time is non compensable. It was further agreed upon that the Sanitation District will not assess any liquidated damages on this contract associated with this delay.

ALTERNATIVES

N/A

CEQA FINDINGS

Exempt

ATTACHMENTS

1. Budget Information Table 2. Change Order Status Report 3. Change Order Performance Report 4. Change Order 5. Location Description of Change Order

DR:dm:kf H:\ntglobal\Agenda Draft Reports\PDC\P2-66-3 AR CO #1 090706.doc

Page 3 BUDGET INFORMATION TABLE Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging JOB NO. P2-66-3

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 1,800 $ 209 $ - $ 209 $ 209 $ - $ 209 $ 209 100%

Phase 2 - Preliminary Design $ - $ 150 $ - $ 150 $ 150 $ 150 $ 150 100%

Phase 3 - Design $ 74,000 $ 282,766 $ - $ 282,766 $ 282,766 $ - $ 282,766 $ 238,035 84%

Phase 4 - Construction $ 687,200 $ 1,480,000 $ 37,762 $ 1,517,762 $ 1,480,000 $ 37,762 $ 1,517,762 $ 1,416,267 93%

Phase 5 - Commissioning $ 900 $ 22,000 $ - $ 22,000 $ 22,000 $ - $ 22,000 $ 17,708 80%

Phase 6 - Close-Out $ 900 $ 13,000 $ - $ 13,000 $ 13,000 $ - $ 13,000 $ 2,864 22%

Phase 7 - Contingency $ 100,000 $ 1,999,173 $ (37,762) $ 1,961,411 $ (37,762) $ (37,762)

PROJECT TOTAL $ 864,800 $ 3,797,298 $ - $ 3,797,298 $ 1,798,125 $ - $ 1,798,125 $ 1,675,233 93%

Reimbursable Costs

PROJECT NET $ 864,800 $ 3,797,298 $ - $ 3,797,298 $ 1,798,125 $ - $ 1,798,125 $ 1,675,233 93%

PSA/Contract

Design PSA $ 100,000 $ 100,000 $ - $ 100,000 $ 100,000 $ - $ 100,000 $ 100,000 100%

Construction Contract $ 680,000 $ 1,323,000 $ 37,762 $ 1,360,762 $ 1,323,000 $ 37,762 $ 1,360,762 $ - 0%

EDMS 003811364 CHANGE ORDER STATUS REPORT Plant No. 2, Utility Corridor, Parking and Pump Station for Contractor Staging JOB NO. P2-66-3

AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT 09/26/05 $1,323,000 $1,323,000 N/A 150 150 CO NO. 1 PENDING $37,762 $1,360,762 2.85% 159 309

EDMS 003810975 CHANGE ORDER PERFORMANCE REPORT PLANT 2 UTILITY CORRIDOR, PARKING & PUMP STATION FOR CONTRACTOR STAGING JOB NO. P2-66-3, CHANGE ORDER NO.1

Contractor: DENBOER ENGINEERING & CONSTRUCTION, INC. Project Category: EXPANSION Design Consultant: RMS ENFINEERING & DESIGN, INC. Contract % Complete: 100% Original Contract Price: $1,323,000 CHANGE ORDER TYPES TRACKED INFORMATION ONLY

Reimbursable Design Non-Reimbursable Subtotal CO Types Unknown Condition Staff Requested Change Other Total Errors Design Errors Tracked1

Change Orders $42,177 3.19% ($10,580) -0.80% $0 0.00% $6,165 0.47% $37,762 2.85% $0 0.00% $37,762 2.85% this Period Change Orders to $0 0.00% $0 0.00% $0 0.00% $0 0.00% $0 0.00% $0 0.00% $0 0.00% Date Change Order Total $42,177 3.19% ($10,580) -0.80% $0 0.00% $6,165 0.47% $37,762 2.85% $0 0.00% $37,762 2.85% Program < 3.00% < 1.00% 0.00% < 1.00% < 5.00% 0.00% < 5.00% Performance Goals 1 The Change Order Management Plan tracks the preceding four change order types

Version 3/1/2006

EDMS 003811168

Page 1 of 8

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Denboer Engineering & Construction, Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3 Consultant: RMS Engineering & Design, Inc.

Amount of this Change Order (Add) $37,762.00

In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved.

ITEM 1 – DUCTBANK RELOCATION

This item is for labor, materials, and equipment to relocate an existing unforeseen irrigation electrical ductbank that conflicted with the specified parking lot paving elevations and a new ductbank. The Contractor was directed to remove and replace the existing 1-inch irrigation conduit encased in concrete where it conflicted with the new fiber optic ductbank at the east side of the 12Kv Service Center Building. It was determined to be cost effective to incorporate approximately 80 feet of the existing 1-inch low voltage irrigation control conduit in the same concrete encasement with the specified fiber optic ductbank which included two 1 ½-inch conduits. The Contractor was also directed to install a traffic load rated underground pull box where the irrigation electrical ductbank left the fiber optic ductbank. The existing irrigation electrical ductbank was an undisclosed utility not shown on the contract plans. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with the General Requirements, Section 41.B.2, (Reference FCO No. 1).

ADDED COST THIS CHANGE ORDER ITEM: $27,529.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 2 – V-DITCH INTERFERENCE

This item is for labor, and equipment to remove a spoils pile which interfered with the construction of the specified “V”-ditch. The contract plans and specifications required the Contractor to construct a “V”-ditch channel and fencing on the east road. Contrary to that shown on the plans, a spoils pile and some concrete material encroached on the planned improvements. The Contractor was directed to move the excess materials from the road so work could continue. The work associated with this change order item was negotiated with the Contractor in accordance with the General Requirements, Section 41.B.1, (Reference FCO No. 2).

ADDED COST THIS CHANGE ORDER ITEM: $1,850.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 2 of 8

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Denboer Engineering & Construction, Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3 Consultant: RMS Engineering & Design, Inc.

ITEM 3 – 8-INCH DIAMETER FORCE MAIN

This item is for labor, materials, and equipment to modify the 8-inch pump discharge piping. Differing site conditions and unknown utilities required modifications to the specified piping alignment. The Contractor was directed to modify the specified pipe alignment between stations 25+88.70 and station 22+97.60 due to unforeseen utility conflicts. The modifications involved additional excavation, support of unforeseen utilities and additional piping fittings. The Contractor encountered three unknown pipes crossing the contract alignment requiring adjusting the discharge pipe elevation. The Contractor was also directed to move the pipe alignment between stations 10+00.00 and 11+00.00 to avoid unforeseen and buried utilities. The work associated with this change order item was negotiated with the Contractor in accordance with the General Requirements, Section 41.B.1, (Reference FCO No. 3).

ADDED COST THIS CHANGE ORDER ITEM: $10,803.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 4 – 12KV DUCTBANK REALIGNMENT

This item is for labor, materials, and equipment to relocate a new 12Kv ductbank. The contract plans required the installation of a 12Kv ductbank by the new electrical distribution building. The required elevation for entering the manhole electrical vault was not shown on the contract plans. During excavation, an existing communication ductbank was found to be in conflict. The Contractor was directed to relocate the new 12Kv ductbank at the communication ductbank and enter the manhole at the lowest elevation possible. The contract plans did not adequately depict the existing field conditions. The extra costs of this item are associated with additional trenching asphalt removal, replacement, and additional core drilling. The work associated with this change order item was negotiated with the Contractor in accordance with the General Requirements, Section 41.B.1, (Reference FCO No. 4).

ADDED COST THIS CHANGE ORDER ITEM: $3,845.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 3 of 8

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Denboer Engineering & Construction, Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3 Consultant: RMS Engineering & Design, Inc.

ITEM 5 – TIME EXTENSION

This item is for a time extension to the contract which was caused by several issues which were outside of the Contractor’s control. A combination of paving delays and research time for electrical issues caused this project time extension.

The P2-66 contract’s excavation operations involved the transporting of soil by large trucks along the east perimeter road in the same area that paving work was to occur on this project. Staff decided to delay the work on the P2-66-3 project and allow the work on the P2-66 project to proceed. The exact timing of this conflict could not have been anticipated during the design of this project. This time extension avoided conflicts and delays to the excavation operations of the P2-66 project, which is a $200 million dollar project. Also included in this item is the delay caused by staff needing to confirm the exact location of the electrical disconnect switches and wire to be installed per this contract at the newly installed electrical switchgear building. The electrical disconnect switches are for future and existing temporary power that the Sanitation District provides to construction project’s staging areas. During construction, the Sanitation District staff discussed potential changes to the future construction project’s staging area electrical needs (i.e., 2 projects vs 3 projects). This necessitated a reevaluation of the size and number of disconnected switches to be provided under P2-66-3. This evaluation was completed on May 18, 2006 and delayed the completion of a small portion of the work in the switchgear building. The result of this evaluation was to install the disconnect switches as shown on the P2-66-3 plans. Prior to the time this evaluation was being performed; the Sanitation District had taken beneficial occupancy of the majority of this project which included the completed pump station and parking lot.

The paving delay and research time caused a delay of 159 calendar days to this project. The new final contract completion date is July 31, 2006. The Contractor has agreed that this extension of contract time is non compensable. It was further agreed upon that the Sanitation District will not assess any liquidated damages on this contract associated with this delay. The work associated with this change order item was negotiated with the Contractor in accordance with the General Requirements, Section 41.B.1, (Reference FCO No. 5).

ADDED COST THIS CHANGE ORDER ITEM: $0.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 159 Calendar Days

Page 4 of 8

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Denboer Engineering & Construction, Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3 Consultant: RMS Engineering & Design, Inc.

ITEM 6 – TELEPHONE CONDUIT MODIFICATION

This item is for labor, materials, and equipment to extend a 2-inch telephone conduit into the fiber optic/SS J-box and to core drill two 3-inch diameters holes through 12-inch thick concrete floor and wall at the 12Kv Service Building at Plant No. 2. The termination of the 2-inch telephone conduit was not defined in the contract documents but was needed to provide an operating system. This item also included the labor to install a Sanitation District supplied telephone box, which was used to terminate the conductors inside of the 12Kv Service Building. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with the General Requirements, Section 41.B.2, (Reference FCO No. 6).

ADDED COST THIS CHANGE ORDER ITEM: $3,825.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 7 – ASPHALT CREDIT

This item is for a deletion of a portion of the asphalt paving included in this contract. The P2-66 project will have large trucks hauling soil for the next two years at the north end of Plant No. 2 causing probable damage and will be completed on a separate contract. The work associated with this change order item negotiated with the Contractor in accordance with the General Requirements, Section 41.B.1, (Reference FCO No. 7).

CREDIT THIS CHANGE ORDER ITEM: ($32,357.00) TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 8 – INPUT/OUTPUT CONTROL DEVICE

This item is for labor, materials, and equipment for the Contractor to provide one new SEL-2505 input/ output control device and associated wiring for the PLC panel located at Plant No. 2. The input/output control device was not shown in the contract plans, but was necessary to read the input/output data from the pump control panel. The work associated with this change order item was negotiated with the Contractor in accordance with the General Requirements, Section 41.B.1, (Reference FCO No. 8).

ADDED COST THIS CHANGE ORDER ITEM: $490.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 5 of 8

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Denboer Engineering & Construction, Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3 Consultant: RMS Engineering & Design, Inc.

ITEM 9 – PARKING LOT ELEVATION CHANGE

This item is for labor, materials, and equipment for the Contractor to adjust the elevation across the proposed parking lot with constant fall to the proposed catch basin elevation. This change created an excess of 2,200 cubic yards of soil. The excess soil was transported approximately 300 yards to the south of the job site on the Plant No. 2 property. The change in the elevation created more rainwater storage in the event of an electrical or mechanical failure at the new pump station. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with the General Requirements, Section 41.B.2, (Reference FCO No. 9).

ADDED COST THIS CHANGE ORDER ITEM: $21,847.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 10 – LIGHT FIXTURE SUBTITUTE

This item is for a light fixture substitute which was requested by the Contractor and approved by staff. This item was negotiated with the contractor. The work associated with this change order item was negotiated with the Contractor in accordance with the General Requirements, Section 41.B.1, (Reference FCO No. 10).

CREDIT THIS CHANGE ORDER ITEM: ($70.00) TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

TOTAL ADDED COST THIS CHANGE ORDER ITEM: $37,762.00 TOTAL TIME EXTENSION THIS CHANGE ORDER ITEM: 159 Calendar Days

Page 6 of 8

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Denboer Engineering & Construction, Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3 Consultant: RMS Engineering & Design, Inc.

The additional work contained within this change order can be performed incidental to the prime work and within the time allotted for the original contract and any extensions to the contract time made by and all previously issued change orders. It is therefore mutually agreed that a 159 day extension of time to perform the work is required for this change order, and no direct or indirect, incidental or consequential costs, expenses, losses or damages have been or will be incurred by Contractor, except as expressly granted and approved by this change order.

SUMMARY OF CONTRACT TIME

Original Contract Date: September 26, 2005 Original Contract Time: 150 Calendar Days Original Completion Date: February 22, 2006 Time Extension this C.O.: 159 Calendar Days Total Contract Time Extension: 309 Calendar Days Revised Contract Time: 309 Calendar Days Revised Final Completion Due Date: July 31, 2006 Time Subject to Liquidated Damages: N/A

Original Contract Price $ 1,323,000.00 Prev. Authorized Changes $ 0.00 This Change (Add) $ 37,762.00 Amended Contract Price $ 1,360,762.00

Page 7 of 8

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Denboer Engineering & Construction, Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3 Consultant: RMS Engineering & Design, Inc.

Board Authorization Date: September 27, 2006

ORANGE COUNTY SANITATION DISTRICT

Recommended by:

______Tod Haynes, P.E. Date Engineering and Construction Division Manager

Approved by:

David A. Ludwin P.E. Date Director of Engineering

Accepted by:

DENBOER ENGINEERING & CONSTRUCTION, INC.

______Contractor Date

Page 8 of 8

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Denboer Engineering & Construction, Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Plant 2, Utility Corridor, Parking and Pump Station for Contractor Staging, Job No. P2-66-3 Consultant: RMS Engineering & Design, Inc.

EDMS 003810986 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-88 12(e) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: David May, IPMC Project Manager

SUBJECT: CONTRACT NO. I-10A, 66-INCH ELLIS AVENUE TRUNK SEWER

GENERAL MANAGER'S RECOMMENDATION

(1) Approve plans and specifications for 66-Inch Ellis Avenue Trunk Sewer Contract No. I-10A, on file at the office of the Board Secretary; (2) Approve Addenda Nos. 1, 2, 3, 4, and 5 to the plans and specifications; (3) Receive and file bid tabulation and recommendation; and (4) Award a construction contract to Barnard Soletanche, Joint Venture for 66-Inch Ellis Avenue Trunk Sewer, Contract No. I-10A, for an amount not to exceed $31,232,600.

SUMMARY

• Contract No. I-10A is one of two construction contracts bid under Job No. I-10, Rehabilitation of Ellis Avenue Pump Station. Job No. I-10 is necessary for Orange County Sanitation District (Sanitation District) to better balance flows between Plant No. 1 and Plant No. 2, and to better meet Ground Water Replenishment System’s needs.

• The purpose of Contract No. I-10A is to construct a new 66-inch Ellis Avenue Trunk Sewer. The new pipe will convey flows previously destined for Plant No. 2 to Plant No. 1 via the Ellis Avenue Pump Station.

• Malcolm Pirnie, Inc. completed the plans and specifications for Contract No. I-10A in June 2006. Sealed bids were received on August 8, 2006. Bid Summary information on Contract No. I-10A is as follows:

Project Budget: $ 79,385,705 Construction Contract Budget: $ 59,378,000 Engineer’s Estimate: $ 25,874,812 Lowest Responsive Bid: $ 31, 232,600 Highest Responsive Bid: $ 38,161,702 Number of Bids: 3

Page 1 • The Director of Engineering recommends the award of the construction contract for Contract No. I-10A, 66-Inch Ellis Avenue Trunk Sewer, to the lowest, responsive responsible bidder, Barnard Soletanche Joint Venture, in an amount not to exceed $31,232,600.

PRIOR COMMITTEE/BOARD ACTIONS

Approval of a Professional Services Agreement (PSA) with Malcolm Pirnie, Inc. in September, 2002 and five subsequent amendments to the PSA as noted in the attached PSA Status Report.

PROJECT/CONTRACT COST SUMMARY

Authorization of $31,232,600 for construction is being requested. This contract was budgeted under Rehabilitation of Ellis Avenue Pump Station, Job No. I-10. The total budget for Job No. I-10 is $79,385,705. See attached Budget Information Table for more information.

$59,378,000 out of the total project budget is allocated for construction contracts. The construction contract budget was developed to cover the construction contract cost of Contract No. I-10A, 66-Inch Ellis Avenue Trunk Sewer and Contract No. I-10B, Ellis Pump Station. Staff requests that $832,383 be moved from Contingency (Phase 7) to Construction (Phase 4) to cover the anticipated cost of Contract I-10B, Ellis Avenue Pump Station, which will bid on September 28,2006. Budget versus contract cost is shown below for clarification.

Contract No. Current Budget Contract Cost/New Budget

I-10A $27,000,000 $31,232,600 I-10B $32,378,000 $28,977,783ª $60,210,383b Total $59,378,000

a Engineer’s estimate for I-10B b Contract cost total exceeds budget by $832,383

BUDGET IMPACT

This item has been budgeted. (Line item: 06/07 Budget Book: Page 47) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

Page 2 ADDITIONAL INFORMATION

The 66-Inch Ellis Avenue Trunk Sewer is necessary to convey up to 50 mgd of flow destined for Plant No. 2. Upon completion of this construction and upon completion of the Ellis Avenue Pump Station, flows from the Knott and Magnolia trunks will be able to be diverted to Plant No. 1. The Ellis Avenue Pump Station is located entirely within the Sanitation District’s Plant No. 1. The new facilities give the Sanitation District better ability to balance flows at the two treatment plants, as well as support Ground Water Replenishment System’s needs. Construction is anticipated to last through April, 2008.

Advertisement for bids occurred on June 8, 2006. Sealed bids were received on August 8, 2006. There were a total of three bids received. Bids received were within the budget approved for the construction phase of the project. Bids were over the engineers estimate. Construction of the new piping will be by tunneling versus the more common open Comment [k1]: I recommend that we don’t say anything about trench or micro tunneling construction methods. Tunneling was selected to minimize Engineer’s estimate here. traffic disruption on heavily traveled Ellis Avenue between Brookhurst Street and the 405 Freeway on ramp. Tunneling will require a launching shaft near the Administration Building and a receiving shaft. Only the receiving shaft is located in Ellis Avenue between Callens Way and shopping center entrances. Having only one street excavation site for the receiving shaft significantly minimizes traffic disruption that the project could have caused with open trench methods.

The construction contract calls for noise and vibration monitoring during construction to ensure compliance with all applicable ordinances and regulations. Work is limited to hours allowed by the City of Fountain Valley (City) ordinance and Environmental Impact Report (EIR) mitigation measures.

Due to the complex nature of the work and the potential for unforeseen conditions, a contract provision requiring a Dispute Review Board (DRB) has been added. The DRB consists of three members, all experts in tunneling projects, to help resolve disputes. The DRB member travel and compensation costs are paid for equally by the contractor and the Sanitation District. There are minor added staff costs to schedule and hold meetings, provide documentation, prepare meeting minutes, etc.

The DRB conducts regular site walks and meetings. They bring to bear their experience and expertise and hear disputes, which can not be resolved by staff and the contractor. The DRB decisions are non-binding; however, they are admissible in court. Any DRB decision resulting in a change to the contract is subject to Board approval. The DRB member experience, perceived impartiality and on-going involvement, will help to curb issues before they escalate into major disputes.

Staff has initiated advanced public outreach measures to notify nearby residential and business neighbors. Continued public outreach will be maintained during construction, including periodic newsletters, fact sheets, web site information updates, and community meetings. The engineers estimate was evaluated. It was determined that fuel pricing, labor costs, and relatively small number of bidders all contributed to the higher bid price.

Page 3 The grouping of bids also indicates that the bid received is the market value of the work. The Los Angeles County Sanitation District bid a project very similar to this project at the same time and received a low bid in excess of the bid received for this project.

In addition to the above, staff re-evaluated whether bidding this project based upon micro tunneling would provide cost savings. Staff concluded that micro tunneling may offer approximately 5 percent construction savings. However, when the time delay in executing the work, and the added staff and consultant costs are factored into the decision, this option is not attractive. Staff is therefore recommending award of the contract as bid.

ALTERNATIVES

Prepare new bid documents to perform the project construction by micro tunneling or pipe jacking methods. It is estimated that these methods might cost 5-10% less than tunneling methods, however, they require shafts approximately every 1000 feet of the alignment. This would mean an additional five to six shafts on Ellis Avenue and significantly affect traffic when the shafts were being used. In addition, the work areas around the shafts would be substantially larger as they would need to support soil hauling and pipe staging and placement. This method would result in significantly more public impact in the areas of traffic and noise. Staff would need six to eight months to revise the bid documents to prepare for rebidding allowing this method of construction.

CEQA FINDINGS

A Project EIR was certified by the Board of Directors in May 2005.

ATTACHMENTS

1. Budget Information Table 2. PSA Status Report 3. BID Tabulation

DM:sp:kf H:\ntglobal\Agenda Draft Reports\PDC\I-10 AR 06-09-06 Construction Contract.doc

Page 4 BUDGET INFORMATION TABLE REHABILITATION OF ELLIS AVENUE PUMP STATION, JOB NO. I-10

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 152,000 $ 152,000 $ 152,000 $ 152,000 $ 152,000 $ 151,411 100%

Phase 2 - Preliminary Design $ 2,325,000 $ 3,406,000 $ 3,406,000 $ 3,406,000 $ 3,406,000 $ 3,490,346 102%

Phase 3 - Design $ 2,258,000 $ 2,730,000 $ 2,730,000 $ 2,730,000 $ 2,730,000 $ 2,346,109 86%

Phase 4 - Construction $ 44,217,000 $ 64,840,000 $ 832,383 $ 65,672,383 $ - $ 31,232,600 $ 31,232,600 $ 26,200 0%

Phase 5 - Commissioning $ 321,000 $ 593,000 $ 593,000 $ - $ - $ 14,023 0%

Phase 6 - Close-Out $ 67,000 $ 473,000 $ 473,000 $ - $ - $ - 0%

Phase 7 - Contingency $ 8,141,000 $ 7,125,000 $ (832,383) $ 6,292,617 $ - 0%

PROJECT TOTAL $ 57,481,000 $ 79,319,000 $ 79,319,000 $ 6,288,000 $ 37,520,600 $ 6,028,089 16%

Reimbursable Costs

PROJECT NET $ 57,481,000 $ 79,319,000 $ 79,319,000 $ 6,288,000 $ 37,520,600 $ 6,028,089 16%

PSA/Contract

Design PSA $ 3,186,027 $ 4,799,255 $ 4,799,255 $ 4,799,255 $ 4,799,255 $ 4,105,617 86%

Construction Contract I-10 $ 21,514,546 $ 59,378,000 $ - $ 59,378,000 $ 31,232,600 $ 31,232,600 $ - 0%

EDMS: 003816388 Professional Services Agreement Status Report

REHABILITATION OF ELLIS AVENUE PUMP STATION, JOB NO. I-10A

Total Project Budget: $79,318,525 Consultant: Malcolm Pirnie, Inc.

Accumulated Date Amendment Description Cost Costs 9/25/2002 Original PSA Engineering & Construction support services $3,186,027 $3,186,027 Additional engineering services for investigation 11/19/2003 1 $400,055 $3,586,082 into 11 alternative sites for pump station location Modify contract language due to project duration 6/22/2005 2 $0 $3,586,082 increase Additional engineering services for additional 8/24/2005 3 geotechnical investigations, additional utility $313,194 $3,899,276 investigations, and additional survey services Additional engineering services for Bushard 9/28/2005 4 Diversion Box design, tunneling design, schedule $899,979 $4,799,255 extension, and electrical design services Additional engineering services for electrical 10/26/05 5 $198,479 $4,997,734 design of power feed to the Ellis Pump Station

EDMS: 003813891

09/06/06

ORANGE COUNTY SANITATION DISTRICT B I D T A B U L A T I O N S

CAPITAL IMPROVEMENTS PROGRAM CONSTRUCTION CONTRACTS

JOB NO. I-10 REPLACEMENT OF THE ELLIS AVE PUMP STATION

CONTRACT NO. I-10A 66-INCH ELLIS AVENUE TRUNK SEWER

August 8, 2006 11:00 a.m. Total Addenda: 5

Engineer’s Estimate $25,874,812 Engineer’s Budget $64,839,618 CONTRACTOR TOTAL BID

1. Barnard Soletanche Joint Venture $ 31,232,600

2. J.F. Shea Construction, Inc. $ 32,320,501

3. Kenny Construction Co. $ 38,161,702

The Bid Evaluation Team has determined that BARNARD SOLETANCHE JOINT VENTURE is the Lowest Responsive, Responsible Bidder. A recommendation is made to execute a contract with BARNARD SOLETANCHE JOINT VENTURE in the amount of $31,232,600, subject to concurrence of the Board of Directors. This amount is within the approved project budget.

______(CA’s Name) SENIOR CONTRACT ADMINISTRATOR, Evaluation Team Chairperson Contracts, Purchasing & Materials Management

DM:JJ:jo 003814790

Page 1 of 1 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-89 12(f) Orange County Sanitation District

FROM: David A. Ludwin, Director of Engineering Originator: Murthy Umesh, Project Manager

SUBJECT: PLANT UTILITIES REHABILITATION AND REFURBISHMENT, JOB NO. P2-82

GENERAL MANAGER'S RECOMMENDATION

(1) Ratify Change Order No. 4 to Plant Utilities Rehabilitation and Refurbishment, Job No. P2-82, with Olsson Construction, authorizing an addition of $1,040, and an additional 457 calendar days, increasing the total contact amount to $2,883,385; and (2) Accept Plant Utilities Rehabilitation and Refurbishment, Job No. P2-82, as complete, authorizing execution of the Notice of Completion and approving the Final Closeout Agreement.

SUMMARY

• This contract is for construction of miscellaneous improvements to utility and pumping systems at Plant Nos. 1 and 2. The improvements consist of replacement of corroded portions of steam lines, modifications to the Plant Water and Reclaimed Water Systems, rehabilitation and replacement of equipment and utilities in Plant Water Pump Station, modifications to old chlorine pump station, and miscellaneous activities supporting these major project elements.

• Cathcart Garcia VonLangen Engineers (now HDR, Inc.) prepared the plans and specifications and the construction contract was awarded on January 28, 2004.

• Change Order No. 4 includes two items of added work, one item of deleted work, and one time extension. There is one nonreimbursable and no reimbursable design errors associated with this change order. The contract includes liquidated damages of $200 per day and no bonus provisions. The contract is now 100% complete.

PRIOR COMMITTEE/BOARD ACTIONS

The contract was awarded by the Board of Directors on January 28, 2004. Please refer to the attached Change Order Status Report for information on all previous change orders.

Page 1 PROJECT/CONTRACT COST SUMMARY

Original Contract Price $2,778,985 Previously Authorized Change Order $ 103,360 This Change Order (Add) $ 1,040 Change orders to Date $ 104,400 Percent Increase to Date 3.76% Amended Contract Price $2,883,385

BUDGET IMPACT

This item has been budgeted. (Line item: Job No. P2-82 FY 04/05 Section 8, Page 96) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

Contract Schedule

Contract start date March 23, 2004 Original contract completion date January 16, 2005 Total number of change orders to date 4 Current contract completion date April 3, 2005 Revised completion date June 27, 2006 Days subject to liquidated damages N/A

Change Order No. 4 Content

Item Description Amount Days Type 1 Sealing of Pipe Wall Penetrations $ 4,317 0 Nonreimbursable Design Error 2 24-Inch Butterfly Valve $ 5,573 0 Unknown Condition 3 Piping & Valving Credit $ (8,850) 0 Staff Requested Design Change 4 PWPS Power Delays $ 0 457 Staff Requested Design Change Total – Change Order No. 4 $ 1,040 457

Item 4 is for a time extension due to the delay of providing a permanent power source to the backup Plant Water Pump Station (PWPS). The replacement of electrical gear in the PWPS was included in Job No. J-33-1A and was accomplished much later than this project needed it. Staff researched other electrical power sources and did not find a cost effective source of power. The P2-82 project could not test the backup pumping system without a source of power. This delay added 457 calendar days to the contract completion date. The Contractor has agreed to a non-compensable time extension for this delay.

Page 2

ALTERNATIVES

None

CEQA FINDINGS

A Notice of Exemption was filed with the Clerk-Recorder of the County of Orange on September 15, 2003 for the work taking place under this contract.

ATTACHMENTS

1. Budget Information Table 2. Change Order Status Report 3. Change Order Performance Report 4. Change Order 5. Location Description of Change Order

DR:dm H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 12(f).P2-82.doc

Page 3 BUDGET INFORMATION TABLE PLANT UTILITIES REHABILITATION AND REFURBISHMENT JOB NO. P2-82

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 13,000 $ 46,659 $ 46,659 $ 46,659 $ 46,659 $ 46,659 100%

Phase 2 - Preliminary Design $ 120,000 $ 27,294 $ 27,294 $ 27,295 $ 27,295 $ 27,295 100%

Phase 3 - Design $ 39,000 $ 846,027 $ 846,027 $ 846,027 $ 846,027 $ 846,027 100%

Phase 4 - Construction $ 626,000 $ 3,795,290 $ 1,040 $ 3,796,330 $ 3,795,290 $ 1,040 $ 3,796,330 $ 3,650,150 96%

Phase 5 - Commissioning $ 202,000 $ 122,316 $ - $ 122,316 $ 122,316 $ 122,316 $ 32,125 26%

Phase 6 - Close-Out $ - $ 32,025 $ 32,025 $ 32,025 $ 32,025 $ 3,758 12%

Phase 7 - Contingency $ - $ 305,325 $ (1,040) $ 304,285 $ - $ - $ -

PROJECT TOTAL $ 1,000,000 $ 5,174,936 $ - $ 5,174,936 $ 4,869,612 $ 1,040 $ 4,870,652 $ 4,606,014 95%

Reimbursable Costs

PROJECT NET $ 1,000,000 $ 5,174,936 $ - $ 5,174,936 $ 4,869,612 $ 1,040 $ 4,870,652 $ 4,606,014 95%

PSA/Contract

Design PSA $ 39,000 $ 754,246 $ - $ 754,246 $ 754,246 $ 754,246 $ 710,000 94%

Construction Contract $ 626,000 $ 2,882,345 $ 1,040 $ 2,883,385 $ 2,882,345 $ 1,040 $ 2,883,385 $ 2,882,345 99.96%

EDMS 003812133 CHANGE ORDER STATUS REPORT PLANT UTILITIES REHABILITATION AND REFURBISHMENT JOB NO. P2-82

AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT 1/28/2004 $2,778,985 $2,778,985 N/A 300 300 CO NO. 1* 1/17/2005 $13,898 $2,792,883 0.50% 0 300 CO NO. 2** 3/3/2005 $37,016 $2,829,899 1.83% 70 370 CO NO. 3** 5/5/2005 $52,446 $2,882,345 3.72% 0 370 CO NO. 4 PENDING $1,040 $2,883,385 3.76% 457 827 *Approved by General Manager per delegated authority by Board Resolution 04-08 **PDC approval per delegated authority by Board Resolution 04-08

EDMS: 003788606 CHANGE ORDER PERFORMANCE REPORT PLANT UTILITIES REHABILITATION AND REFURBISHMENT JOB NO. P2-82, CHANGE ORDER NO.4

Contractor: OLSSON CONSTRUCTION, INC. Project Category: REHABILITATION Design Consultant: CVGL ENGINEERING Contract % Complete: 100% Original Contract Price: $2,778,985 CHANGE ORDER TYPES TRACKED INFORMATION ONLY

Reimbursable Design Non-Reimbursable Subtotal CO Types Unknown Condition Staff Requested Change Other Total Errors Design Errors Tracked1

Change Orders $5,573 0.20% ($8,850) -0.32% $0 0.00% $4,317 0.16% $1,040 0.04% $0 0.00% $1,040 0.04% this Period Change Orders to $91,890 3.31% ($702) -0.03% $0 0.00% $2,554 0.09% $93,742 3.37% $9,618 0.35% $103,360 3.72% Date Change Order Total $97,463 3.51% ($9,552) -0.34% $0 0.00% $6,871 0.25% $94,782 3.41% $9,618 0.35% $104,400 3.76% Program < 3.00% < 1.00% 0.00% < 1.00% < 5.00% 0.00% < 5.00% Performance Goals 1 The Change Order Management Plan tracks the preceding four change order types

Version 3/1/2006

EDMS 003812143

Page 1 of 4

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Olsson Construction, Inc. C.O. No.: Four (4) Date: September 27, 2006 Job: Plant Utilities Rehabilitation & Refurbishment, Job No. P2-82 Consultant: HDR, Inc.

Amount of this Change Order (Add) $1,040.00

In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved.

ITEM 1 – SEALING OF PIPE WALL PENETRATIONS

This item is for labor, materials, and equipment for the Contractor to seal existing pipe and conduit wall penetrations located inside and outside of the Plant Water Pump Station (PWPS) at Plant No. 2. The penetrations were sealed with a synthetic rubber caulking. The existing overflow pipe that leads from the PWPS's wet well into Headworks was filled with slurry on this contract. High water level inside of the existing wet well had no overflow drain. All existing pipe and conduit wall penetrations that were located below the high water level were leaking water into existing basement, valve pits, and tunnels at Plant No. 2. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Div. 00 and Section 50 of the General Requirements (Reference FCO No. 1).

ADDED COST THIS CHANGE ORDER ITEM: $4,317.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 2 – 24-INCH BUTTERFLY VALVE

This item is for labor, materials, and equipment for the Contractor’s first attempt to replace an existing 24-inch diameter butterfly valve and spool with a new 24-inch diameter knife gate valve and spool in the valve pit outside of the PWPS. Due to the field failure of existing isolation valves inside of the valve pit, the Contractor could not accomplish the removal of the existing 24-inch diameter buttery valve and the work area was flooded. The Contractor was required to reinstall the existing valve and pump out the below ground valve pit. The Sanitation District is responsible for all field isolations at the PWPS. The existing isolation valves did not completely seat, which created additional costs for the Contractor. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Div. 00 and Section 50 of the General Requirements (Reference FCO No. 2).

ADDED COST THIS CHANGE ORDER ITEM: $5,573.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 2 of 4

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Olsson Construction, Inc. C.O. No.: Four (4) Date: September 27, 2006 Job: Plant Utilities Rehabilitation & Refurbishment, Job No. P2-82 Consultant: HDR, Inc.

ITEM 3 – PIPING AND VALVING CREDIT

The Contractor was directed to delete a portion of the work inside of the PWPS. This included the initial demolition work, the installation of 12-inch and 24-inch diameter steel pipe, gate valves, and pipe couplings. Operations staff at Plant No. 2 was unable to provide the Contractor the full 20 days of access to the pump station as stated in the contract documents to accomplish the specified work and not compromise treatment plant operations. Staff determined that the work could be postponed and that the full operational use of the PWPS would not be compromised by the deletion of this work. Pipe and fittings and various valves were given to the Sanitation District for installation in a future project. This item was negotiated with the Contractor. The work associated with this change order item was accomplished in accordance with Div. 00 and Section 49 of the General Requirements (Reference FCO No. 3).

CREDIT THIS CHANGE ORDER ITEM: ($8,850.00) TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 4 – PWPS POWER DELAYS

This time extension was due to the delay of providing a permanent power source to the backup PWPS. The placement of electrical gear in the PWPS was included in Job No. J-33-1A and was accomplished much later than this project needed it. Staff researched other electrical power source and did not find a cost effective source of power. The P2-82 project could not test the backup pumping system without a source of power. This delay added 457 calendar days to the contract completion date. The Contractor has agreed to a non-compensable time extension for this delay. The work associated with this change order item was accomplished in accordance with Div. 00 and Section 49 of the General Requirements (Reference FCO No. 4).

ADDED COST THIS CHANGE ORDER ITEM: $0.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 457 Calendar Days

TOTAL ADDED COST THIS CHANGE ORDER ITEM: $1,040.00 TOTAL TIME EXTENSION THIS CHANGE ORDER ITEM: 457 Calendar Days

Page 3 of 4

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Olsson Construction, Inc. C.O. No.: Four (4) Date: September 27, 2006 Job: Plant Utilities Rehabilitation & Refurbishment, Job No. P2-82 Consultant: HDR, Inc.

The additional work contained within this change order can be performed incidental to the prime work and within the time allotted for the original contract and any extensions to the contract time made by and all previously issued change orders. It is therefore mutually agreed that a 457 day extension of time to perform the work is required for this change order, and no direct or indirect, incidental or consequential costs, expenses, losses or damages have been or will be incurred by Contractor, except as expressly granted and approved by this change order.

SUMMARY OF CONTRACT TIME

Original Contract Date: March 23, 2004 Original Contract Time: 300 Calendar Days Original Completion Date: January 16, 2005 Time Extension this C.O.: 457 Calendar Days Total Contract Time Extension: 527 Calendar Days Revised Contract Time: 827 Calendar Days Revised Final Completion Due Date: June 27, 2006 Time Subject to Liquidated Damages: N/A Actual Final Completion Date: June 27, 2006

Original Contract Price $ 2,778,985.00

Prev. Authorized Changes $ 103,360.00

This Change (Add) $ 1,040.00 Amended Contract Price $ 2,883,385.00

Page 4 of 4

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Olsson Construction, Inc. C.O. No.: Four (4) Date: September 27, 2006 Job: Plant Utilities Rehabilitation & Refurbishment, Job No. P2-82 Consultant: HDR, Inc.

Board Authorization Date: September 27, 2006

ORANGE COUNTY SANITATION DISTRICT

Recommended by:

______Tod Haynes, P.E. Date Engineering and Construction Division Manager

Approved by:

David A. Ludwin P.E. Date Director of Engineering

Accepted by:

Olsson Construction, Inc.

______Contractor Date

EDMS 003812135 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-90 12(g) Orange County Sanitation District

FROM: David A. Ludwin, Director of Engineering Originator: Bob Schirripa, IPMC Project Manager

SUBJECT: SECONDARY TREATMENT FACILITIES PROCESS UPGRADES AT PLANT NO. 2, JOB NO. P2-47-3

GENERAL MANAGER'S RECOMMENDATION

Ratify Change Order No. 10 to Secondary Treatment Facilities Process Upgrades at Plant No. 2, Job No. P2-47-3, with Morrow-Meadows Corporation, authorizing an addition of $295,560, increasing the total contract amount to $7,640,167.

SUMMARY

• Job No. P2-47-3 provides for the rehabilitation of electrical equipment, instrumentation, and controls for the secondary treatment facilities located at Plant No. 2. • Lee & Ro prepared the plans and specifications and the contract was awarded to Morrow-Meadows Corporation on September 24, 2003. • Change Order No. 10 includes eight items of added work. There are three nonreimbursable design errors and no reimbursable design errors associated with this change order. The contract includes liquidated damages of $2,000 per day and no bonus provisions. The project is now 99% complete.

PRIOR COMMITTEE/BOARD ACTIONS

The contract was awarded by the Board of Directors on September 24, 2003. Please refer to the attached Change Order Status Report for information on all previous change orders.

PROJECT/CONTRACT COST SUMMARY

Original Contract Price $ 4,712,000 Previously Authorized Changes $ 2,632,607 This Change (add)(deduct) $ 295,560 Change Orders to Date $ 2,928,167 Percentage Increase to Date 62.14% Amended Contract Price $ 7,640,167

As part of Change Order No. 6 in August 2005, staff informed the Board that there was considerable work being added to P2-47-3 that was originally planned to be performed

Page 1 by several other projects. This was repeated as part of Change Order No. 7 in December 2005 and Change Order No. 8 in May 2006.

The goal is to only perform the work identified in the scope documents. However, from time to time, it becomes necessary to perform work from other projects whose scopes are similar to the current project. The performance of the work in this manner provides a cost effective way of accomplishing the overall goal of the CIP program by avoiding future conflicts, improving the safety of the cable tray system throughout the secondary treatment plant and result in cost savings to the overall construction program. The work added to this project came primarily from three other projects, namely, J-33-1A, P2-74, and J-47. It should be noted that of the $2,928,167 change orders to date, $2,467,618 is attributed to “other” projects. If the “other” category is excluded, the total change order percentage for P2-47-3 is 9.77%. Please refer to the attached Change Order Performance Report.

BUDGET IMPACT

This item has been budgeted. (Line item: Section 8 – Page 64) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

Contract Schedule

Contract Start Date November 6, 2003 Original Contract Completion Date March 4, 2005 Total Number of Change Orders to Date 10 Current Contract Completion Date May 30, 2006 Projected Contract Completion Date September 30, 2006 Actual Completion Date N/A Days Subject to Liquidated Damages N/A

Change Order No. 10 Content

Description Amount Days Type Item No. 1 Replacement of Tray Rated Cable 237,852 0 Other Nonreimbursable 2 Aeration Mixer Stanchion Relocations 6,989 0 Design Error

3 Vibration Switch Replacements 4,074 0 Unknown Staff Requested 4 Removal of Existing Power Capacitors 4,274 0 Design Change Nonreimbursable 5 Re-Route Fiber Optic Cable for JB-1 21,618 0 Design Error 6 PLC Motor Running Signal Revisions 14,102 0 Other Pressure Switch and VFD Signal Nonreimbursable 7 Modifications 3,342 0 Design Error Page 2 8 Convert PEPS PLC Isolators 3,309 0 Other Total Change Order No. 10 $295,560 0

Item 1 involves the labor, material, and equipment to replace approximately 36,000 feet of existing non-tray rated cable with tray rated cable in the Scott Tunnel Cable Tray System. This contract specified new cable is to be installed in an existing cable tray system. Other existing cable in this cable tray system installed over 20 years ago, does not meet current electrical code requirements. Job No. J-47 will address this issue throughout other areas of the treatment plants in the near future. Staff determined that it would be cost effective to replace a portion of the deficient cabling under this contract which would also avoid future conflicts.

ALTERNATIVES

None

CEQA FINDINGS

This project was included in the Strategic Plan EIR that was certified on October 27, 1999. A Notice of Determination was filed on October 29, 1999.

ATTACHMENTS

1. Budget Information Table 2. Change Order Status Report 3. Change Order Performance Report 4. Change Order 5. Location and Photo Description of Change Order

CH:dm H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 12(g).P2-47-3.doc

Page 3 BUDGET INFORMATION TABLE SECONDARY TREATMENT FACILITIES PROCESS UPGRADES AT PLANT NO. 2 P2-47-3

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS ESTIMATED ESTIMATED BUDGET PROPOSED TOTAL PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION EXPENDITURE EXPENDED TO INCREASE AUTHORIZATION BUDGET BUDGET BUDGET DATE REQUEST TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 260 $ 260 $ - $ 260 $ 260 $ - $ 260 $ 260 100%

Phase 2 - Preliminary Design $ 6,427 $ 6,427 $ - $ 6,427 $ 6,427 $ - $ 6,427 $ 6,427 100%

Phase 3 - Design $ 709,134 $ 709,134 $ 709,134 $ 709,134 $ 709,134 $ 708,846 100%

Phase 4 - Construction $ 9,561,078 $ 9,620,093 $ 295,560 $ 9,915,653 $ 9,620,093 $ 295,560 $ 9,915,653 $ 9,405,362 95%

Phase 5 - Commissioning $ 417,921 $ 358,906 $ 358,906 $ 358,906 $ 358,906 $ 369,108 103%

Phase 6 - Close-Out $ 39,977 $ 39,977 $ - $ 39,977 $ 39,977 $ - $ 39,977 $ 131 0%

Phase 7 - Contingency $ 736,088 $ 736,088 $ (295,560) $ 440,528 $ - $ - $ - $ - 0%

PROJECT TOTAL $ 11,470,885 $ 11,470,885 $ - $ 11,470,885 $ 10,734,797 $ 295,560 $ 11,030,357 $ 10,490,134 95%

Reimbursable Costs 0%

PROJECT NET $ 11,470,885 $ 11,470,885 $ - $ 8,703,000 $ 10,734,797 $ 295,560 $ 11,030,357 $ 10,490,134 95%

PSA/Contract

Design PSA $ 637,709 $ 637,709 $ - $ 637,709 $ 637,709 $ - $ 637,709 $ 614,815 96%

Construction Contract $ 5,617,217 $ 7,344,607 $ 295,560 $ 7,640,167 $ 7,344,607 $ 295,560 $ 7,640,167 $ 7,261,230 95%

EDMS 003814025 CHANGE ORDER STATUS REPORT SECONDARY TREATMENT FACILITIES PROCESS UPGRADES AT PLANT NO. 2 JOB NO. P2-47-3

CUMULATIVE AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST ITEM PERCENTAGE TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT 9/24/2003 $4,712,000 $4,712,000 0.00 485 485 CO NO. 1 10/27/2004 $205,903 $4,917,903 4.37 0 485 CO NO. 2 12/15/2004 $12,765 $4,930,668 4.64 0 485 CO NO. 3 2/23/2005 $331,811 $5,262,479 11.11 0 485 CO NO. 4 3/23/2005 $526,958 $5,789,437 22.87 215 700 CO NO.5 5/25/2005 $95,602 $5,885,039 24.89 0 700 CO NO. 6 8/24/2005 $31,879 $5,916,918 25.57 21 721 CO NO. 7 12/17/2005 $94,137 $6,011,055 27.57 99 820 CO NO. 8 5/24/2006 $1,251,353 $7,262,408 54.13 17 837 CO NO. 9 7/19/2006 $82,199 $7,344,607 55.87 100 937 CO NO. 10 Pending $295,560 $7,640,167 62.14 0 937

EDMS 003814017 CHANGE ORDER PERFORMANCE REPORT SECONDARY TREATMENT FACILITIES PROCESS UPGRADES AT PLANT NO. 2 JOB NO. P2-47-3, CHANGE ORDER NO. 10

Contractor: MORROW-MEADOWS CORPORATION Project Type: REHABILITATION Design Consultant: LEE & RO Contract % Complete: 99% Original Contract Price: $4,712,000 CHANGE ORDER TYPES TRACKED INFORMATION ONLY

Reimbursable Design Non-Reinbursable Design Subtotal CO Types Unknown Condition Staff Requested Change Other Total Errors Errors Tracked1

Change Orders $4,074 0.09% $4,274 0.09% $0 0.00% $31,949 0.68% $40,297 0.86% $255,263 5.42% $295,560 6.27% this Period Change Orders to $81,097 1.72% $152,971 3.25% $37,954 0.81% $148,230 3.15% $420,252 8.92% $2,212,355 46.95% $2,632,607 55.87% Date Change Order Total $85,171 1.81% $157,245 3.34% $37,954 0.81% $180,179 3.82% $460,549 9.77% $2,467,618 52.37% $2,928,167 62.14% Program < 3.00% < 1.00% 0.00% < 1.00% < 5.00% 0.00% < 5.00% Performance Goals 1 The Change Order Management Plan tracks the preceding four change order types

Version 3/1/2006

EDMS 003814035 Page 1 of 7

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Morrow-Meadows Corporation C.O. No.: Ten (10) Date: September 27, 2006 Job: Secondary Treatment Facilities Process Upgrades at Plant No. 2 Job No. P2-47-3 Consultant: Lee & Ro

Amount of this Change Order (Add) $295,560.00

In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved.

ITEM 1 - REPLACEMENT OF TRAY RATED CABLE

This item is for labor, material, and equipment needed to replace approximately 36,000 feet of existing non-tray rated cable with Flame Retardant/Heat Resistant tray rated cable located in Scott Tunnel. Existing 18-inch and 36-inch cable trays are overloaded and contain non-tray rated single conductor wires. The contract documents require the Contractor to replace the existing Aeration Mixer Motor wiring. Additional Cable Tray capacity for the Aeration Mixer Motor wiring was needed in order to comply with the National Electric Code (NEC). As a result, the Contractor was required to re-route new multi-conductor tray rated cables to the existing 36-inch tray in order to prevent cable tray overfill and in order to comply with NEC requirements. Also included in this item is the installation of approximately 1,400 feet of PVC coated aluminum and galvanized conduit. Project J-47, the Cable Tray Upgrades Project, will correct these deficiencies in most areas of the treatment plants. These upgrades are now needed in order to avoid installing new work out of code compliance, prevent future re-work, and in order to provide continuous reliable secondary treatment, in light of the Sanitation District’s move towards Full Secondary Treatment. The work associated with FCO No. 12 (Item 1 of Change Order 10) replaces non-tray rated cabling with tray rated cabling located in the Scott Tunnel. FCOs Nos. 32 and 68 (Item 8 of Change Order 8) replaces non-tray rated cabling with tray rated cabling located in the East and West Return Activated Pump Stations. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Division 1, Section 44.B.1 of the General Requirements (Reference FCO012).

ADDED COST THIS CHANGE ORDER ITEM: $237,852.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 2 of 7

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Morrow-Meadows Corporation C.O. No.: Ten (10) Date: September 27, 2006 Job: Secondary Treatment Facilities Process Upgrades at Plant No. 2 Job No. P2-47-3 Consultant: Lee & Ro

ITEM 2 - AERATION MIXER STANCHION RELOCATIONS

This item is for labor, material, and equipment needed to reroute electrical conduit for the aerator mixer motors E1, E2, F1, F2, and G1. Pursuant to the contract documents, the Contractor was required to install 6-inch x 6-inch x 48-inch stanchions at aeration mixer motors E1, E2, F1, F2, and G1. The Contractor noticed that a conflict was created at the motor upon installation of the stanchions over the existing in-deck conduit. This relocation required additional conduit and wire to complete the installation. In order to improve maintenance, a junction box was added for each of the five referenced aeration mixer motors in order to locate the stanchions away from the aeration mixer motors. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Division 1, Section 44.B.1 of the General Requirements (Reference FCO040).

ADDED COST THIS CHANGE ORDER ITEM: $6,989.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 3 - VIBRATION SWITCH REPLACEMENTS

This item is for labor, material, and equipment needed to remove and replace two inoperative aeration motor mixer vibration switches (aeration mixers G4 & E4) located on the East Aeration Basins. During the commissioning phase of this project, it was discovered that two existing aeration motor vibration switches were non-operable. The Contractor was also required to calibrate all existing 32 vibration switches on all of the East Side Aeration Mixer Motors. It was not known during the design phase of this project that the vibration switches were inoperable due to the fact that the associated facilities had not been in operation for several years. Calibration of the East Side Aeration Motor Mixer vibration switches was not included in the scope of work specified in the contract documents. All vibration switches must be operable and calibrated in order to provide adequate motor protection and improve safety to plant personnel. These switches were replaced by the Contractor to avoid delays to the project completion. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Division 1, Section 44.B.1 of the General Requirements (Reference FCO056).

ADDED COST THIS CHANGE ORDER ITEM: $4,074.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 3 of 7

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Morrow-Meadows Corporation C.O. No.: Ten (10) Date: September 27, 2006 Job: Secondary Treatment Facilities Process Upgrades at Plant No. 2 Job No. P2-47-3 Consultant: Lee & Ro

ITEM 4 - REMOVAL OF EXISTING POWER CAPACITORS

This item is for labor, material, and equipment needed to remove 16 externally mounted power capacitors located on the 16 West Side Aeration Mixer Motors. The existing power capacitors are no longer needed and the demolition of these power capacitors was omitted from the contract documents. Removal of the power capacitors was required in order to comply with the Sanitation District’s practice not to abandon equipment in place and in order to improve maintenance access. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Division 1, Section 44.B.1 of the General Requirements (Reference FCO113).

ADDED COST THIS CHANGE ORDER ITEM: $4,274.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 5 - RE-ROUTE FIBER OPTIC CABLE FOR JB-1

This item is for labor, material, and equipment needed to re-route the contract specified fiber to Junction Box 1 (JB-1). During the construction phase, a transformer was discovered, blocking access to the Fiber Termination Unit (FTU) at JB-1. The transformer was not shown on the contract documents. In addition, the contract specified trench layout included 450 degrees of bends. The contract limits the maximum total degree of bends to 270 degrees. As a result, the Contractor was required to re-route the fiber optic cable in order to comply with the specifications and avoid the transformer. The new conduit run decreased the required fiber optic cable by 400 feet. This item includes a credit for the decreased amount of fiber optic cable required. It also resulted in 76 additional terminations, 2 additional pull points, 76 additional labels, 4 additional 18-strand fan-out kits, six 6-port panels, one additional 72-port FTU, and 48 additional tests and reports required to accommodate the modification to the conduit run. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Division 1, Section 44.B.1 of the General Requirements (Reference FCO118).

ADDED COST THIS CHANGE ORDER ITEM: $21,618.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 4 of 7

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Morrow-Meadows Corporation C.O. No.: Ten (10) Date: September 27, 2006 Job: Secondary Treatment Facilities Process Upgrades at Plant No. 2 Job No. P2-47-3 Consultant: Lee & Ro

ITEM 6 - PLC MOTOR RUNNING SIGNAL REVISIONS

This item is for labor, material, and equipment needed to remove existing signals wires and provide new signal wires at MCC-DB & DBS. Under Project J-33-1A, the buckets for MCC-DB and DBS were replaced and the existing controls were revised. This information was not included in the P2-47-03 Project contract documents. As a result, in order to coordinate the two projects and comply with new Sanitation District standards, the PLC motor running signal needed to be wired from the terminals and powered from the control circuit. In order to adhere to the Sanitation District documentation standards, the Contractor was also required to update the loop drawings. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Division 1, Section 44.B.1 of the General Requirements (Reference FCO121).

ADDED COST THIS CHANGE ORDER ITEM: $14,102.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 7 - PRESSURE SWITCH AND VFD SIGNAL MODIFICATIONS

This item is for labor, material, and equipment needed to replace the existing pressure switch at the WAS pump #1. During commissioning, it was discovered that the existing pressure switch had failed and was in need of replacement. The VFD communications were deleted because the communication links for the existing VFDs were established to the new Modbus Network, but data transfer was unsuccessful. Since the VFD communication was not critical to operations, it was decided to delete it in order to proceed with the contract required testing. This deletion caused additional work to the Contractor and it was decided to perform this work to avoid delay to the testing of the Modbus Network. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Division 1, Section 44.B.1 of the General Requirements (Reference FCO122).

ADDED COST THIS CHANGE ORDER ITEM: $3,342.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 5 of 7

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Morrow-Meadows Corporation C.O. No.: Ten (10) Date: September 27, 2006 Job: Secondary Treatment Facilities Process Upgrades at Plant No. 2 Job No. P2-47-3 Consultant: Lee & Ro

ITEM 8 - CONVERT PEPS PLC ISOLATORS

This item is for labor, material, and equipment needed to convert two contract specified single channel I/I isolators in the Primary Effluent Pump Station (PEPS) PLC Panel to 2-channel I/I isolators. This will send the PEPS Wet Well level signals to the Effluent Pump Station Annex (EPSA). The PEPS wet well level signals will be used to control the EPSA. This modification was required in order to accommodate the EPSA project, avoid re-work and the associated additional costs, and minimize system shut-downs. The costs associated with FCO No. 126 included the difference in cost between the single channel and 2-channel isolators, additional splitter installation and panel wiring, interconnection drawing modifications, loop drawing modifications, and loop calibration. The work associated with this change order item was accomplished by the Contractor’s force account in accordance with Division 1, Section 44.B.1 of the General Requirements (Reference FCO126).

ADDED COST THIS CHANGE ORDER ITEM: $3,309.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

TOTAL ADDED COSTS THIS CHANGE ORDER: $295,560.00 TOTAL TIME EXTENSION THIS CHANGE ORDER: 0 Calendar Days

Page 6 of 7

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Morrow-Meadows Corporation C.O. No.: Ten (10) Date: September 27, 2006 Job: Secondary Treatment Facilities Process Upgrades at Plant No. 2 Job No. P2-47-3 Consultant: Lee & Ro

The additional work contained within this change order was performed incidental to the prime work and within the time allotted for the original contract and any extensions to the contract time made by this and all previously issued change orders. The Sanitation District and Contractor agreed that the added costs described above constitutes full and equitable consideration for all the impacts occurred by the Contractor, and no other direct or indirect, incidental or consequential costs, expenses, losses, or damages have been or will be incurred by Contractor, except as expressly granted and approved by this change order.

SUMMARY OF CONTRACT TIME

Original Contract Date: November 6, 2003 Original Contract Time: 485 Calendar Days Original Completion Date: March 4, 2005 Time Extension this C.O.: 0 Calendar Days Total Contract Time Extension: 452 Calendar Days Revised Contract Time: 937 Calendar Days Revised Final Completion Due Date: May 30, 2006 Projected Completion Due Date: September 30, 2006 Time Subject to Liquidated Damages: N/A Actual Final Completion Date: N/A

Original Contract Price $ 4,712,000 Prev. Authorized Changes $ 2,632,607 This Change (Add) (Deduct) $ 295,560 Amended Contract Price $ 7,640,167

Page 7 of 7

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Morrow-Meadows Corporation C.O. No.: Ten (10) Date: September 27, 2006 Job: Secondary Treatment Facilities Process Upgrades at Plant No. 2 Job No. P2-47-3 Consultant: Lee & Ro

Board Authorization Date: September 27, 2006

ORANGE COUNTY SANITATION DISTRICT

Recommended by:

______Tod Haynes, P.E. Date Engineering and Construction Division Manager

Approved by:

David A. Ludwin P.E. Date Director of Engineering

Accepted by:

MORROW-MEADOWS CORPORATION

______Contractor Date

EDMS 003814020

Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-91 12(h) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: Gino Rapagna, IPMC Project Manager

SUBJECT: SUNFLOWER INTERCEPTOR MANHOLE REHABILITATION, CONTRACT NO. 7-21

GENERAL MANAGER'S RECOMMENDATION

(1) Ratify Change Order No. 1 to Sunflower Interceptor Manhole Rehabilitation, Contract No. 7-21, with Sancon Engineering, Inc., authorizing an addition of $583,821, increasing the total contract amount to $2,103,021, and 79 additional calendar days; and (2) Approve a budget amendment for Sunflower Interceptor Manhole Rehabilitation, Job No. 7-21, in the amount of $278,000, for a total budget of $3,572,000.

SUMMARY

• This contract is for the rehabilitation or repair of 40 manholes and repair of pipelines at several locations on the Sunflower Interceptor Sewer.

• Tran Consulting Engineers prepared the plans and specifications and the contract was awarded to Sancon Engineering, Inc. on June 22, 2005.

• This change order includes eighteen items of additional work, and two items of deleted work. There are no reimbursable design errors and no nonreimbursable design errors associated with this change order. Liquidated damages for this contract are $500 per day and no bonus provisions. The contract is now 99% complete.

• A budget amendment is requested to cover costs for this change order. To meet projected expenditures, the attached Budget Information Table shows the requested budget increase and a redistribution of funds between project phases.

PRIOR COMMITTEE/BOARD ACTIONS

The construction contract was awarded to Sancon Engineering, Inc. by the Board of Directors on June 22, 2005.

Revised: 06/04/03 Page 1 PROJECT/CONTRACT COST SUMMARY

Original Contract Price $ 1,519,200 Previously Authorized Changes $ 0 This Change (Addition) $ 583,821 Change Orders to Date $ 583,821 Percentage Increase to Date 38.43% Amended Contract Price $ 2,103,021

BUDGET IMPACT

This item has been budgeted. (Line item: Section 8- Page 50) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item).

ADDITIONAL INFORMATION

Contract Schedule

Contract Start Date September 12, 2005 Original Contract Completion Date July 3, 2006 Total Number of Change Orders to Date 1 Current Contract Completion Date September 20, 2006 Actual Contract Completion Date TBD Days subjected to Liquidated Damages 0

Change Order No. 1 Content

Item Description Amount Days Type No. 1 Deletion of Scrubber Units $ (58,186) 0 Other and Field Office Trailer 2 Asphalt Repair @ MH Sta. $ 7,090 0 Unknown Conditions 133+01 3 Replacement of MH Frame & $ 1,925 0 Unknown Conditions Cover @ MH Sta. 29+00 4 Chemical Grouting to Seal $ 19,672 0 Unknown Conditions Manhole Leaks 5 Replacement of Manhole $ 207,730 72 Unknown Conditions Bench Liners 6 Rehabilitation of Manhole @ $ 23,905 7 Staff Requested Change MH Sta. 3+50 7 Installation of Gas Flaps $ 57,600 0 Staff Requested Change 8 Asphalt Demolition @ MH Sta. $ 11,908 0 Unknown Conditions 164+50

Revised: 06/04/03 Page 2 Item Description Amount Days Type No. 9 Vent Piping Protection and $ 6,598 0 Unknown Conditions Vault Encasement Demolition @ MH Sta. 172+98 10 Deletion of Paving, Detector $ (3,498) 0 Other Loops and Striping @ MH 164+50 11 Extensive Surface Preparation $ 141,416 0 Unknown Conditions of Manhole Shafts 12 Pipeline Liner Patch Repairs $ 54,705 0 Unknown Conditions 13 Liner Repair @ MH Sta. $ 900 0 Unknown Conditions 42+39 14 Pipeline Liner Seam Repairs $ 96,170 0 Unknown Conditions 15 Loss of Production and $ 15,886 0 Other Equipment Due to Increased Sewage Flows Total Change Order No. 1 $ 583,821 79

Item No. 5 is for additional cost associated with rehabilitation of deteriorated manhole benches and replacement of associated bench liners at 36 locations. Assessment of existing conditions, during planning and design, indicated the need for liner seam repairs but not for total rehabilitation of the benches. During construction, it was found that bench deterioration was more significant than anticipated, thus requiring full rehabilitation of the benches including replacement of bench liners.

Item No. 6 is for additional cost associated with rehabilitation of a manhole which was not originally part of the construction work. During project planning and design, it was understood that this manhole would not need rehabilitation. During the course of the construction, with new information available to the District, O&M staff found that the manhole did need rehabilitation and requested that the work be added to the contract.

Item No. 11 is for additional cost associated with an increased level of effort to clean and prepare the interior surfaces of 15 manholes, to an acceptable extent, prior to application of new protective coatings. The condition of existing concrete necessitated sand blasting, which is more significant than suggested in the contract documents or typically performed for similar work.

Item No. 14 is for additional cost associated with an increased quantity of pipeline liner seam repair. At the time condition assessment work was performed for this project to identify pipeline repair needs, typical assessment methods included visual identification of seam failures. Current methods employ the use of mechanical probing of liner joints to identify seam defects. Use of this newer method by the contractor and inspector to check for unidentified defects, resulted in finding more seam defects than originally identified. Initially, it was decided to repair the additional defects as part of this contract. As construction progressed, it became apparent that the potential amount of additional

Revised: 06/04/03 Page 3 pipeline repair work was too significant to add to this contract. With this understanding, project team members and other internal stakeholders decided to stop constructing pipeline repairs under this contract unless they were known to be critical. Furthermore, it was decided to recommend that a separate project be implemented to conduct a more detailed condition assessment in order to better understand and define pipeline repair needs.

Item No. 15 is for additional cost associated with an emergency evacuation of the pipeline. On one occasion, while the contractor was working within the pipeline, the contractor detected increasing sewage level within the pipeline. Per formalized safety procedures, this necessitated immediate evacuation. Sewage rose to a level which caused irreparable damage to equipment which was left in the pipeline. The increase in sewage level was caused by a scheduled downstream shutdown of Plant No. 1, which had not been considered in scheduling and allowing the contractor’s work. Review and understanding of the causes of this miscommunication resulted in improvements to procedures for work plan/schedule review and communications to assure that similar events would not occur.

ALTERNATIVES

None

CEQA FINDINGS

This project has been determined to be exempt from CEQA under Article 19 (Categorical Exemptions), Section 15301 (d) Existing facilities, restoration or rehabilitation of deteriorated or damaged structures. A Notice of Exemption has been filed.

ATTACHMENTS

1. Budget Information Table 2. Change Order Status Report 3. Change Order Performance Report 4. Change Order 5. Change Order Location Map 6. Change Order Supporting Photographs

GJR:eh H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 12(h).7-21.doc

Revised: 06/04/03 Page 4 BUDGET INFORMATION TABLE SUNFLOWER INTERCEPTOR MANHOLE REHABILITATION CONTRACT NO. 7-21

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 17,000 $ 36,000 $ (245) $ 35,755 $ 35,755 $ 35,755 $ 35,755 100%

Phase 2 - Preliminary Design $ 215,000 $ 186,000 $ 485 $ 186,485 $ 186,485 $ 186,485 $ 186,485 100%

Phase 3 - Design $ 264,400 $ 835,000 $ 556 $ 835,556 $ 835,556 $ 835,556 $ 835,556 100%

Phase 4 - Construction $ 3,511,000 $ 1,926,000 $ 566,831 $ 2,492,831 $ 1,901,385 $ 583,821 $ 2,485,206 $ 1,576,573 63%

Phase 5 - Commissioning $ 482,300 $ 79,000 $ (77,696) $ 1,304 $ 1,304 $ 1,304 $ 1,304 100%

Phase 6 - Close-Out $ - $ 32,000 $ (11,931) $ 20,069 $ 20,069 $ 20,069 $ 469 2%

Phase 7 - Contingency $ 897,900 $ 200,000 $ (200,000) $ - $ - $ -

PROJECT TOTAL $ 5,387,600 $ 3,294,000 $ 278,000 $ 3,572,000 $ 2,980,554 $ 583,821 $ 3,564,375 $ 2,636,142 74%

Reimbursable Costs

PROJECT NET $ 5,387,600 $ 3,294,000 $ 278,000 $ 3,572,000 $ 2,980,554 $ 583,821 $ 3,564,375 $ 2,636,142 74%

PSA/Contract

Design PSA $ 561,760 $ 644,983 $ 7,625 $ 652,608 $ 644,983 $ 644,983

Construction Contract $ 2,949,240 $ 1,597,000 $ 506,021 $ 2,103,021 $ 1,519,200 $ 583,821 $ 2,103,021

EDMS: 003787549 CHANGE ORDER STATUS REPORT SUNFLOWER INTERCEPTOR MANHOLE REHABILITATION CONTRACT NO. 7-21

AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT 6/22/2005 $1,519,200 $1,519,200 0.00 295 295 CO NO. 1 PENDING $583,821 $2,103,021 38.43% 79 374

EDMS 003814383 CHANGE ORDER PERFORMANCE REPORT SUNFLOWER INTERCEPTOR MANHOLE REHABILITATION CONTRACT NO. 7-21, CHANGE ORDER NO. 1

Contractor: SANCON ENGINEERING, INC. Project Category: COLLECTIONS Design Consultant: TRAN CONSULTING ENGINEERS Contract % Complete: 99% Original Contract Price: $1,519,200 CHANGE ORDER TYPES TRACKED INFORMATION ONLY

Reimbursable Design Non-Reinbursable Design Subtotal CO Types Unknown Condition Staff Requested Change Other Total Errors Errors Tracked1

Change Orders $548,114 36.08% $81,505 5.36% $0 0.00% $0 0.00% $629,619 41.44% ($45,798) -3.01% $583,821 38.43% this Period Change Orders to $0 0.00% $0 0.00% $0 0.00% $0 0.00% $0 0.00% $0 0.00% $0 0.00% Date Change Order Total $548,114 36.08% $81,505 5.36% $0 0.00% $0 0.00% $629,619 41.44% ($45,798) -3.01% $583,821 38.43% Program < 3.00% < 1.00% 0.00% < 1.00% < 5.00% 0.00% < 5.00% Performance Goals 1 The Change Order Management Plan tracks the preceding four change order types

EDMS: 003814398 Version 3/1/2006 Page 1 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

Amount of this Change Order (Add) $583,821

In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved.

ITEM 1 - DELETION OF SCRUBBER UNITS AND FIELD OFFICE TRAILER

This item is a negotiated credit for the deletion of the scrubber units and the Contractor’s OCSD field office trailer. During Construction, the Contractor proposed that OCSD delete the scrubber units and, instead, provide chemical dosing for odor control. A six week lead time to procure the scrubbers was eliminated by switching to chemical dosing. Chemical dosing was provided by OCSD and coordinated by the Contractor. In addition, the Contractor proposed eliminating its field office trailer requirement due to the time span of the project and the close proximity of the project to both OCSD's Plant No.1 offices and SANCON's offices. (Reference FCO No. 1)

Both proposals were accepted by OCSD, and a deduct was negotiated as follows: 1) Deletion of OCSD office trailer (specification 01590): Deduct $16,286 2) Deletion of Scrubber Units (specification 01998): Deduct $41,900 Total Deduct: $58,186

DEDUCTED COST THIS CHANGE ORDER ITEM: ($58,186) TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 2 - ASPHALT REPAIR @ MH STA. 133+01

This item compensates the Contractor for additional labor, equipment and material required to repair the asphalt surface around the manhole at Station 133+01. Paving around the manhole was discovered to be in poor condition and replacement was the only option. In order to install the new manhole cover and components, the area needed to be ground to a stable base and repaved. This allowed the sewer manhole to be installed to the correct grade. This was not part of the Contract Work. Pursuant to Division 1, Section 40 of the General Requirements the Contractor proceeded on a Force Account basis. (Reference FCO No. 2)

ADDED COSTS THIS CHANGE ORDER ITEM: $7,090 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days Page 2 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

ITEM 3 - REPLACEMENT OF MH FRAME & COVER @ MH STA. 29+00

This item compensates the Contractor for additional labor, equipment and material required to replace the existing manhole frame and cover at Station 29+00. During construction of the project, OCSD O&M staff advised that the frame and cover was in deteriorated condition and needed replacement. This was not part of the Contract Work. Pursuant to Division 1, Section 40 of the General Requirements the Contractor proceeded on a Force Account basis. (Reference FCO No. 3)

ADDED COSTS THIS CHANGE ORDER ITEM: $1,925 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 4 - CHEMICAL GROUTING TO SEAL MANHOLE LEAKS

This item compensates the Contractor for additional labor, equipment and material required to seal leaks in manholes at Stations 67+75, 71+98, 80+52 and 125+55. The leak at manhole 67+75 was discovered prior to conducting work in the manhole. The other three leaks resulted from the necessary removal of unsound (corroded) concrete during cleaning and preparation of the interior surface of the manholes. Chemical grout was used to successfully seal all of the leaks. This was not part of the original contract work. Pursuant to Division 1, Section 40 of the General Requirements the Contractor proceeded on a Force Account basis. (Reference FCO Nos. 4, 5, 7 and 16)

ADDED COSTS THIS CHANGE ORDER ITEM: $19,672 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 5 - REPLACEMENT OF MANHOLE BENCH LINERS

This item compensates the Contractor for additional labor, equipment and material for the replacement of the PVC bench liners in several manholes and one junction structure. Contract documents only indicated repair of existing failed bench liner seams. During construction, the Contractor found that the existing bench liners were not adhered to the base and that concrete beneath the liners was damaged. The Contractor proposed to remove the existing liners, repair the concrete benches and install new PVC liners. OCSD negotiated a unit price for work to be performed in manholes and a separate price for work to be performed in the one junction structure, which was larger than the manholes. Pursuant to Division 1, Section 40 of the General Requirements the work proceeded on an as needed basis with a not-to-exceed total of thirty-eight (38) locations. The final number of benches Page 3 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

that were repaired was thirty-six (36). This work eliminated the need for work associated with Bid Item No. 10 (Bench Liner Seam Repair) and Bid Item 13-B** (Additional Bench Liner Seam Repair). (Reference FCO Nos. 6 and 15)

ADDED COSTS THIS CHANGE ORDER ITEM: $207,730 TIME EXTENSION THIS CHANGE ORDER ITEM: 72 Calendar Days

ITEM 6 - REHABILITATION OF MANHOLE @ MH STA. 3+50

This item compensates the Contractor for additional labor, equipment and materials required for the rehabilitation of the manhole at Station 3+50, which was not originally included in the contract work. During the course of the project, OCSD staff had the opportunity to inspect the full depth of the structure and found that the manhole was not properly protected. Epoxy coating of the interior surfaces will protect the manhole and prolong it’s useful life. This manhole is larger than the majority of the manholes in the contract work and this is reflected in the increased cost. Also included in the added work is the replacement of the PVC bench liner. As this work could not be done concurrently with the other manholes, a time extension was granted. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated an agreed upon lump sum cost for this work. (Reference FCO No. 8)

ADDED COSTS THIS CHANGE ORDER ITEM: $23,905 TIME EXTENSION THIS CHANGE ORDER ITEM: 7 Calendar Days

ITEM 7 - INSTALLATION OF GAS FLAPS

This item compensates the Contractor for additional labor, equipment and materials required to install gas flaps in many of the rehabilitated manholes. O&M staff requested that all lateral connections have a PVC flap installed to prevent sewer gases from escaping from the manholes. Pursuant to Division 1, Section 40 of the General Requirements, this work proceeded on an as needed basis. (Reference FCO No. 9)

ADDED COSTS THIS CHANGE ORDER ITEM: $57,600 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 8 - ASPHALT DEMOLITION @ MH STA. 164+50

Page 4 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

This item compensates the Contractor for additional work associated with demolition of asphalt, around the manhole at Station 164+50, which was thicker than anticipated. Contrary to what was indicated on the contract documents and to what was found at other locations of the project, asphalt around this manhole was found to be up to 22 inches in thickness, up to 14 inches greater than anticipated. Saw cutting of this thickened asphalt required the use of additional equipment. Time needed to procure this equipment resulted in lost productivity. However, no additional time was requested by the Contractor. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated and agreed upon a lump sum cost for this work. (Reference FCO No. 10)

ADDED COSTS THIS CHANGE ORDER ITEM: $11,908 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 9 - VENT PIPING PROTECTION AND VAULT ENCASEMENT DEMOLITION @ MH STA. 172+98

This item compensates the Contractor for additional work associated with replacement of the manhole at Station 172+98. In the course of this work, it was determined that existing fiberglass vent piping, to remain in place, would require more protection than anticipated or shown on the contract documents. Also, at this same location, the base of the manhole had more than anticipated concrete encasement, resulting in greater difficulty in replacing the manhole shaft. Neither of these conditions could have been anticipated from review of the contract documents or prior inspection. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated and agreed upon a lump sum cost for this work. (Reference FCO No. 11)

ADDED COSTS THIS CHANGE ORDER ITEM: $6,598 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 10 - DELETION OF PAVING, DETECTOR LOOPS AND STRIPING @ MH 164+50

This item is a negotiated credit for the deletion of the paving, detector loops and striping around the manhole at Station 164+50, at the intersection of Sunflower Ave. and Bristol St. This work was deleted at the request of the City of Costa Mesa. The City advised that they were planning to perform work within the intersection in the near future and would need to remove and replace the proposed paving, loops and striping. This would be a duplication of effort and an unnecessary expense. Therefore, the proposed items were deleted from the work. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated and agreed upon a lump sum deduction for this work. Page 5 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

(Reference FCO No. 12)

DEDUCTED COST THIS CHANGE ORDER ITEM: ($3,498) TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 11 - EXTENSIVE SURFACE PREPARATION OF MANHOLE SHAFTS

This item compensates the Contractor for additional labor, equipment and materials associated with the unforeseen extra work required to expose sound concrete in 15 manholes. The industry standard (10,000 psi) for pressure washing manholes, which was anticipated to be sufficient for this project, was not sufficient to reveal a sound base for application of the proposed protective coating. Ultimately, it was necessary to use sand blasting as the method for removing the unsound concrete. This resulted in additional effort and equipment. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated and agreed upon a lump sum cost for this work. (Reference FCO No. 13)

ADDED COSTS THIS CHANGE ORDER ITEM: $141,416 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 12 - PIPELINE LINER PATCH REPAIRS

This item compensates the Contractor for additional labor, equipment and material for the repair of pipe liner failures that were not identified on the contract documents. During the course of the work, four liner failures were identified where the existing liner was not adhered to the pipeline interior and the underlying concrete was damaged. These failures occurred at Stations 35+09, 37+64, 49+07 and 49+23. Concrete and PVC patch-type repairs were necessary at these locations in order to ensure the structural integrity of the pipeline. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated and agreed upon a lump sum cost for this work. (Reference FCO Nos. 14 and 21)

ADDED COSTS THIS CHANGE ORDER ITEM: $54,705 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 13 - LINER REPAIR @ MH STA. 42+39

This item compensates the Contractor for additional labor, equipment and material for the repair of the PVC liner and a gas flap within the manhole at Station 42+39. While performing pipeline liner repairs, Page 6 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

unknown damage to the PVC liner and damage to a gas flap was discovered. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated and agreed upon a lump sum cost for this work. (Reference FCO No. 18)

ADDED COSTS THIS CHANGE ORDER ITEM: $900 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 14 - PIPELINE LINER SEAM REPAIRS

This item compensates the Contractor for additional labor, equipment and material for the repair of pipe liner seam failures that were not identified on the contract documents. Including fixed and adjustable bid items, 91 feet of seam repair was included in the bid. During the course of the work, it was determined that needed pipeline liner repairs were more extensive than anticipated. Over and above what was included in the bid, an additional 135.45 linear feet of seam weld repair was completed before instructing the contractor to cease identification and repair of additional seam failures. A unit price of $825.00 per linear foot of seam weld, per Bid Item 13C, was initially requested as additional compensation. Upon further negotiation, the unit price was reduced to $710 based on economy of scale associated with the increase in quantity of seam repair. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated and agreed upon a lump sum cost for this work. (Reference FCO No. 19)

ADDED COSTS THIS CHANGE ORDER ITEM: $96,170.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 15 - LOSS OF PRODUCTION AND EQUIPMENT DUE TO INCREASED SEWAGE FLOWS

This item is to compensate the Contractor for delay due to an increase in flows which occurred in the pipeline while the crew was performing pipe liner repairs. Because of the unanticipated flow and water level increase, caused by a change in operation of downstream facilities, the construction crew needed to immediately evacuate the pipeline, leaving equipment behind. A generator and welding machine were among the equipment left behind which was damaged and not salvageable. The Contractor suspended work until safe conditions were reestablished and confirmed. No injuries were reported. Impacts to the Contractor included lost production and damaged, unsalvageable equipment. Pursuant to Division 1, Section 40 of the General Requirements, OCSD and Sancon Engineering negotiated and agreed upon a lump sum cost for this work. (Reference FCO No. 20)

Page 7 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

ADDED COSTS THIS CHANGE ORDER ITEM: $15,886 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 8 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

The additional work contained within this Change Order can be performed incidental to the prime work and within the time allotted for the original Contract and any extensions to the Contract time made by this and all previously issued Change Orders. It is therefore mutually agreed that sixty seven working days is required for this Change Order, and no direct or indirect, incidental or consequential costs, expenses, losses or damages have been or will be incurred by Contractor, except as expressly granted and approved by this Change Order.

SUMMARY OF CONTRACT TIME

Original Contract Date: September 12, 2005 Original Contract Time: 295 Original Completion Date: July 3, 2006 Time Extension this C.O.: 79 Calendar Days Total Contract Time Extension: 79 Calendar Days Revised Contract Time: 374 Calendar Days Revised Final Completion Due Date: September 20, 2006 Time Subject to Liquidated Damages: 0 Actual Final Completion Date: TBD

Original Contract Price $1,519,200 Prev. Authorized Changes $0 This Change (Add) $583,821 Amended Contract Price $2,103,021

Page 9 of 9

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Sancon Engineering Inc. C.O. No.: One (1) Date: September 27, 2006 Job: Sunflower interceptor Manhole Rehabilitation, Contract No. 7-21 Consultant: Tran Consulting Engineers

Board Authorization Date: September 27, 2006

ORANGE COUNTY SANITATION DISTRICT

Recommended by:

______Tod Haynes, P.E. Date Engineering and Construction Division Manager

Approved by:

David A. Ludwin P.E. Date Director of Engineering

Accepted by:

SANCON ENGINEERING, INC.

______Contractor Date

EDMS: 003814190 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/07/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-92 12(i) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: Umesh Murthy, CIP Project Manager

SUBJECT: REHABILITATION OF THE 14th STREET PUMP STATION, CONTRACT NO. 5-51, AND REHABILITATION OF THE “A” STREET PUMP STATION, CONTRACT NO. 5-52

GENERAL MANAGER'S RECOMMENDATION

Ratify Change Order No. 2 to Rehabilitation of the14th Street Pump Station, Contract No. 5-51, and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52, with Kiewit Pacific Company authorizing an addition of $256,079 and 14 calendar days, increasing the total contract amount to $12,095,223.

SUMMARY

• This contract is for construction of a new 14th Street Pump Station at 1510 W. Balboa Boulevard and construction of a new “A” Street Pump Station at 810 W. Balboa Boulevard in the City of Newport Beach. The existing pump stations are about 50 years old and do not meet current standards of performance and safety.

• Lee & Ro, Inc. prepared the plans and specifications, and the construction contract was awarded to Kiewit Pacific Company on September 22, 2004.

• Change Order No. 2 includes fifteen items of added work and one item of deleted work. There are no reimbursable design errors and three nonreimbursable design errors associated with this change order. The contract includes liquidated damages of $1000 per day and no bonus provisions. The contract is 89% complete.

PRIOR COMMITTEE/BOARD ACTIONS

The contract was awarded to Kiewit Pacific Company by the Board of Directors on September 22, 2004. Please refer to the attached Change Order Status Report.

Page 1

PROJECT/CONTRACT COST SUMMARY

Original Contract Price: $ 11,697,780 Previously Authorized Change Order: $ 141,364 This Change Order (Add): $ 256,079 Change Orders to Date: $ 397,443 Percent Increase to Date: 3.40% Amended Contract Price: $ 12,095,223

BUDGET IMPACT

This item has been budgeted. (Line item: 2005-06 Budget Book, Page 8-25 & 8-26) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

The two new pump stations will replace the two existing pump stations that have been operating since the 1950s.

The new “A” Street Pump Station will have a capacity of 1.2 mgd. The new 14th Street Pump Station will have a capacity of 2.6 mgd. Both stations will have enhanced instrumentation and controls equipment, improving the ability of the District to operate and maintain the facilities remotely.

Contract Schedule

Contract Start Date: November 10, 2004 Original Contract Completion Date: June 7, 2006 Total Number of Change Orders to Date: 2 Current Contract Completion Date: October 12, 2006 Days Subject to Liquidated Damages: TBD Liquidated Damages Assessment: N/A

Page 2 Change Order No. 2 Content Item No. Description Amount Days Type Contract No. 5-51 Credit for Number of Dowels in 1 Tremmie Slab $(745) 0 Unknown Conditions 2 Christmas 2005 Delay $18,423 0 Other Delays Due to Potential 3 Contaminated Soil $22,230 0 Unknown Conditions Undisclosed and Unmarked Utility Interference with 4 Mainline Sewer Alignment $9,425 0 Unknown Conditions Undisclosed and Unmarked Utilities at Existing 14th Street 5 Pump Station $25,927 0 Unknown Conditions Modification of Alignment and Connection Detail to Existing Nonreimbursable Design 6 Manhole $8,827 0 Error Undisclosed Storm Drain 7 Encasement and Utility $10,533 0 Unknown Conditions Remove and Replace Arrow Board at 14th Street Pump 8 Station $3,896 0 Other Contract No. 5-52 9 Annual Parking Permits $2,745 0 Other Modification of Structural Nonreimbursable Design 10 Details at Sump Trench $3,173 0 Error 11 Additional Potholing $12,030 0 Unknown Conditions Undisclosed and Unmarked Utilities at “A” Street Pump 12 Station $18,703 0 Unknown Conditions Undisclosed Below Grade Structure at Balboa and “A” 13 Street $23,786 0 Unknown Conditions Contract No. 5-51 and No. 5-52 Change Metal Doors to Staff Requested Design 14 Fiberglass Reinforced Plastic $3,389 0 Change Time Extension for 2004 15 Christmas Delay $0 14 Other 16 Retention Reduction $0 0 Other Revision of Water-Proof Pipe Staff Requested Design 17 Penetration Details $22,109 0 Change Nonreimbursable Design 18 Electrical Modifications $71,628 0 Error Total – Change Order No. 2 $256,079 14

Page 3

Item 16 – This item is for a reduction of retention from 10% to 5% at the request of the contractor. The project is now 90% complete. All contract work is anticipated to be complete in November 2006.

Item 18 – This item is for electrical drawing revisions to add a third control power transformer that will provide an independent control power source as a safety feature for each main pump; conduits were added to ensure the separation of intrinsically safe circuits from non-intrinsically safe circuits that are required per electrical code and other modifications that were necessary to correct inconsistencies in the contract documents and to comply with electrical code requirements. The above items were not included in the contract documents and were required for safety reasons.

ALTERNATIVES

None

CEQA FINDINGS

A Mitigated Negative Declaration was filed with the Clerk-Recorder of the County of Orange on December 2002, for Contract No. 5-51. A Mitigated Negative Declaration was filed with the Clerk-Recorder of the County of Orange on March 2003, for Contract No. 5-52.

ATTACHMENTS

1. Budget Information Tables – Contract Nos. 5-51 and 5-52 2. Change Order Status Report 3. Change Order Performance Report 4. Change Order No. 2 5. Photo Description of Change Order

UM:BP:bm:eh H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 12(i).5-51.doc

Page 4 BUDGET INFORMATION TABLE Rehabilitation of the 14th Street Pump Station CONTRACT NO. 5-51

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 8,965 $ 9,000 $ 9,000 $ 9,000 $ 9,000 $ 8,965 100%

Phase 2 - Preliminary Design $ 41,000 $ 41,000 $ 41,000 $ 41,000 $ 41,000 $ 41,000 100%

Phase 3 - Design $ 1,113,458 $ 1,371,000 $ 1,371,000 $ 1,371,000 $ 1,371,000 $ 1,371,000 100%

Phase 4 - Construction $ 2,907,142 $ 7,434,000 $ 141,836 $ 7,575,836 $ 7,092,963 $ 141,836 $ 7,234,799 $ 6,900,000 95%

Phase 5 - Commissioning $ 123,707 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 350 0%

Phase 6 - Close-Out $ 30,927 $ 63,000 $ 63,000 $ 63,000 $ 63,000 $ 18 0%

Phase 7 - Contingency $ 391,554 $ 555,000 $ (141,836) $ 413,164 $ - $ - $ -

PROJECT TOTAL $ 4,616,753 $ 9,673,000 $ - $ 9,673,000 $ 8,776,963 $ 141,836 $ 8,918,799 $ 8,321,333 93%

Reimbursable Costs

PROJECT NET $ 4,616,753 $ 9,673,000 $ - $ 9,673,000 $ 8,776,963 $ 141,836 $ 8,918,799 $ 8,321,333 93%

PSA/Contract

Design PSA $ 242,795 $ 949,853 $ - $ 949,853 $ 949,853 $ - $ 949,853 $ 875,000 92%

Construction Contract $ 2,370,729 $ 6,181,464 $ 141,836 $ 6,323,300 $ 6,181,464 $ 141,836 $ 6,323,300 $ 5,400,000 85%

EDMS: 003814222 CHANGE ORDER STATUS REPORT REHABILITATION OF THE 14TH STREET PUMP STATION REHABILITATION OF THE "A" STREET PUMP STATION CONTRACT NOS. 5-51 AND 5-52

AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT 11/10/2004 $11,697,780 $11,697,780 0.00 575 575 CO NO. 1 6/28/2006 $141,364 $11,839,144 1.21% 113 688 CO NO. 2 Pending $256,079 $12,095,223 3.40% 14 702

EDMS: 003814242 CHANGE ORDER PERFORMANCE REPORT REHABILITATION OF THE 14TH STREET PUMP STATION REHABILITATION OF THE "A" STREET PUMP STATION CONTRACT NOS. 5-51 AND 5-52, CHANGE ORDER NO. 2

Contractor: KIEWIT PACIFIC COMPANY Project Type: COLLECTIONS Original Contract Price: Design Consultant: LEE & RO Contract % Complete: 90% $11,697,780 $1 349 065 CHANGE ORDER TYPES TRACKED INFORMATION ONLY

Reimbursable Design Non-Reinbursable Design Subtotal CO Types Unknown Condition Staff Requested Change Other Total Errors Errors Tracked1

Change Orders $121,889 1.04% $28,671 0.25% $0 0.00% $80,455 0.69% $231,015 1.97% $25,064 0.21% $256,079 2.19% this Period Change Orders to $0 0.00% $5,678 0.05% $0 0.00% $15,512 0.13% $21,190 0.18% $120,174 1.03% $141,364 1.21% Date Change Order Total $121,889 1.04% $34,349 0.29% $0 0.00% $95,967 0.82% $252,205 2.16% $145,238 1.24% $397,443 3.40% Program < 3.00% < 1.00% 0.00% < 1.00% < 5.00% 0.00% < 5.00% Performance Goals 1 The Change Order Management Plan tracks the preceding four change order types

EDMS: 003814244 Page 1 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

Amount of this Change Order (Add) $256,079.00

In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved.

Contract No. 5-51

ITEM 1 – CREDIT FOR NUMBER OF DOWELS IN TREMMIE SLAB

This item is a credit for the number of dowels required to be installed in the tremmie slab at the 14th Street Pump Station from 102 to 72 dowels. The reduction in the tremmie slab thickness from 22 to 8 feet resulted in a reduction of the anchorage force requirements to offset the buoyant forces. A credit of $30,000 at each pump station was negotiated for the reduction in slab thickness in Change Order No. 1, Item 8. The credit for this item of work was accomplished by a negotiated price pursuant to Section No. 44(B)1 of the General Requirements (Reference FCO No. 004).

CREDIT THIS CHANGE ORDER ITEM: $(745.00) TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 2 – CHRISTMAS 2005 DELAY

This item is to compensate the contractor for equipment standby costs due to a two-week postponement of the mainline sewer installation work along Balboa Boulevard between14th Street and 15th Street. The City of Newport Beach requested that the contractor not perform any construction on Balboa Boulevard during the Christmas Holiday season from December 19, 2005 to January 3, 2006. This time restriction was not included in the contract documents. The extra costs consist of equipment standby delays for nine working days, which excluded Holidays and time spent on extra work for a two-day period. The costs associated with this change order were negotiated with the contractor pursuant to Section 44(B)1 of the General Requirements (Reference FCO No. 026).

ADDED COSTS THIS CHANGE ORDER ITEM: $18,423.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days Page 2 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

ITEM 3 – DELAYS DUE TO POTENTIAL CONTAMINATED SOIL

This item is to compensate the contractor for delays incurred due to potential contaminated soil being in the mainline sewer trench at Station No. 11+14. The contractor detected a strong odor during soil excavation that was suspected to be gasoline contamination. Upon performing soil testing along the alignment, OCSD determined that no soil contamination above minimum thresholds existed in the soil. Due to liability and safety concerns for hazardous material exposure, the contractor requested that the Sanitation District arrange to take soils samples and perform air sampling along the perimeter of the selected pot holes. The soils sampling results were negative. There were no contaminated soils shown in the contract documents. The extra costs consisted of equipment standby during a 7-day period, operating costs for the dewatering system, and lost labor production. This item was accomplished by contractor’s force account pursuant to Section No. 44(C) of the General Requirements (Reference FCO No. 021).

ADDED COSTS THIS CHANGE ORDER ITEM: $22,230.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 4 – UNDISCLOSED AND UNMARKED UTILITY INTERFERENCE WITH MAINLINE SEWER ALIGNMENT

During potholing ahead of the new mainline sewer installation, an undisclosed and previously abandoned12-inch Ductile Iron Pipe (DIP) was found within the limits of the contractor’s trench excavation between Station Nos. 14+80 to 17+60. This abandoned line interfered with the construction of the new 21-inch gravity line. The extra costs consisted of additional potholing at four locations, removal, and haul off of 280 feet of DIP. This work was accomplished by the contractor’s force account in accordance with Section No. 44(c) of the General Requirements (Reference FCO No. 013).

ADDED COSTS THIS CHANGE ORDER ITEM: $9,425.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days Page 3 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

ITEM 5 – UNDISCLOSED AND UNMARKED UTILITIES AT EXISTING 14TH STREET PUMP STATION

During excavation for the mainline sewer installation at Station No. 17+42 (located adjacent to the existing 14th Street Pump Station), the contractor hit and damaged an undisclosed and unmarked 2-inch SCE power conduit serving the existing pump station, two street light conduits, and an irrigation conduit with controller wires (Station No. 17+80). For the damaged SCE power conduit, the contractor assisted the electrical subcontractor by potholing to locate and expose the conduit, provided additional shoring (lagging), relocated the conduit, and incurred 2 1/2 days of standby time. The contractor relocated the above city street lighting conduit out of the trench zone and temporarily removed and replaced the above irrigation conduit. At the force main junction structure (Station No. 10+72), the contractor performed additional potholing to determine if the structure could be built at the design location and that there was no utility interference from suspected street lighting conduits and irrigation lines running through the medians. This work was accomplished by contractor’s force account in accordance with Section No. 44(C) of the General Requirements (Reference FCO No. 016).

ADDED COSTS THIS CHANGE ORDER ITEM: $25,927.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 6 – MODIFICATION OF ALIGNMENT AND CONNECTION DETAIL TO EXISTING MANHOLE

The design plans show the new 21-inch VCP sewer to terminate into the existing 48-inch manhole at the intersection of 14th Street and Balboa Boulevard. However, the angle of entry of the new 21-inch pipe to the existing 15-inch pipe leaving the manhole is less than 10 degrees. To make the connection would destroy one-fourth of the outlet side of the manhole and make it very difficult to install and maintain a bypass until the new line is put into service. Therefore, staff decided to move new Manhole No. 4 approximately 36 feet into the 14th Street intersection, providing more of an angle to make the new connection. This provided enough of an angle to core drill into the existing manhole base and avoid the requirement for bypass pumping. No manhole connection detail was included in the contract documents. The extra work consisted of saw cutting for the revised alignment, potholing at the connection point, additional dewatering and removal of an undisclosed 18-inch VCP abandoned sewer line between the existing manhole to the revised location for Manhole No. 4. This work was accomplished by the contractor’s force account in accordance with Section No. 44(C) of the General Requirements (Reference FCO No. 017).

ADDED COSTS THIS CHANGE ORDER ITEM: $8,827.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days Page 4 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

ITEM 7 – UNDISCLOSED STORM DRAIN ENCASEMENT AND UTILITY

During installation of the new 21-inch sewer line between Station Nos. 12+75 to 13+03, the contractor encountered an undisclosed 2-inch gas line and concrete encasement around a city 18-inch reinforced concrete pipe (RCP) storm drain pipe. To lay the new sewer line past the gas line at Station No. 12+75, the contractor had to change the shoring method from a box shield to speed shores and timber lagging. At Station No. 13+03, the contractor was required to remove the interfering portion of the concrete encasement to allow enough clearance for the sewer line to cross and to maintain the design alignment. The gas line was undisclosed and unmarked on the contract plans, and the storm drain encasement was undisclosed. The contractor’s extra cost consisted of lost production time, change in shoring method, and demolition and haul off of concrete encasement. The work associated with this change order item was accomplished by force account pursuant to Section 44(c) of the General Requirements (Reference FCO No. 024).

ADDED COSTS THIS CHANGE ORDER ITEM: $10,533.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 8 – REMOVE AND REPLACE ARROW BOARD AT 14TH STREET PUMP STATION

This item is for labor needed to remove and reinstall an arrow board on Balboa Boulevard, adjacent to the 14th Street Pump Station during the Memorial Day weekend, and during the weekend of 6/3/06 to 6/4/06. The City of Newport Beach requested that unrestricted traffic flow be maintained for all westbound lanes, including the parking lane, between the hours of 9:00 AM to 6:00 PM (arrow board removed). The arrow board was reinstalled at 6:00 PM on the above designated days to allow the third lane or the parking lane to be used exclusively for parking and not as a traffic lane. The aforementioned was not included in the contract approved traffic control plans. The work associated with this change order item was accomplished by force account, pursuant to Section No. 44(c) of the General Requirements (Reference FCO No. 025).

ADDED COSTS THIS CHANGE ORDER ITEM: $3,896.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days Page 5 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

Contract No. 5-52

ITEM 9 – ANNUAL PARKING PERMITS

This item is to provide four, City of Newport Beach, annual parking permits to be used by the “A” Street alley residences (two middle units). Access to the residence garages were restricted due to the shoring wall and fencing encroaching into the alley adjacent to the ”A” Street Pump Station. The City of Newport Beach requested that the contractor provide these annual permits. These permits were not provided for in the contract documents. This work was negotiated with the contractor pursuant to Section 44(B)1 of the General Requirements (Reference FCO No. 003).

ADDED COSTS THIS CHANGE ORDER ITEM: $2,745.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 10 – MODIFICATION OF STRUCTURAL DETAILS AT SUMP TRENCH

This item is for extra labor and materials to modify the structural details under the sump trench at the “A” Street Pump Station and compensate the contractor for additional rebar that was installed on each side and below the sump trench. Additional #7 bars and #9 bars were added to the sides and under the sump trench to provide adequate structural reinforcement. This additional reinforcement was not shown on the contract drawings. The extra costs are for re-detailing and labor to install the additional rebar. This work was negotiated with the contractor pursuant to Section 44(B)1 of the General Requirements (Reference FCO No. 011).

ADDED COSTS THIS CHANGE ORDER ITEM: $3,173.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days Page 6 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

ITEM 11 – ADDITIONAL POTHOLING

This item is for labor, equipment, and materials for extra potholing to determine the feasibility for the revised alignment adjacent to the “A” Street Pump Station from Station No. 0+21 to 1+87. The justification for the realignment was due to the potential interference of a number of undisclosed existing utilities for the original design alignment in the adjacent alley and in “A” Street, and the difficulty of supporting in place these utilities for a deep sewer in the alley. The extra work consisted of saw cutting concrete and asphalt pavement, excavation, traffic control, and dewatering when required. The work associated with this change order item was accomplished by the contractor’s force account in accordance with Section 44(c) of the General Requirements (Reference FCO No. 012).

ADDED COSTS THIS CHANGE ORDER ITEM: $12,030.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 12 – UNDISCLOSED AND UNMARKED UTILITIES AT “A” STREET PUMP STATION.

During the installation of the new gravity sewer lines adjacent to the new “A” Street Pump Station, the contractor encountered numerous changed conditions (Reference Plan Change Revision No. C1001D). Beginning with Line No. 2 between the curb and gutter and Manhole No. 6, the contractor encountered two undisclosed utilities and a concrete pavement street section that was thicker than shown on the contract drawings. Between Manhole No. 6 and Manhole No. 7, the contractor had to modify the alignment to avoid an undisclosed and unmarked force main junction structure and an undisclosed utility. Between Manhole No.7 and Manhole No. 5, the contractor had to modify the alignment of the new 12-inch sewer line to avoid a conflict with the old pump stations below grade concrete wall. Between Manhole No. 5 and Manhole No. 4, the contractor encountered four undisclosed and unmarked utilities and a concrete pavement section that was deeper from what was shown on the contract documents. The aforementioned undisclosed utilities and thicker pavement was not shown in the original contract plans nor were they shown on the revised plan change. The extra costs incurred by the contractor consisted of changing the shoring method (box shield to hand digging), re-saw cutting for revised alignments, additional saw cutting due to thicker pavement section, additional potholing for undisclosed utilities, and delay costs. This work was accomplished by contractor’s force account in accordance with Section no. 44(C) of the General Requirements (Reference FCO No. 022).

ADDED COSTS THIS CHANGE ORDER ITEM: $18,703.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days Page 7 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

ITEM 13 – UNDISCLOSED BELOW GRADE STRUCTURE AT BALBOA AND “A” STREET

This item is for labor, equipment, and material costs for delays and for the reinstallation of a 12-inch sewer line between Manhole No. 5 (Station No. 1+38) to an undisclosed below grade vault structure located at station 1+80, plus two undisclosed and unmarked utilities. The 12-inch sewer line was installed per the contract profile up to the location of the vault structure and was backfilled. It was determined by the contractor that this sewer line was obstructed by an over poured footing for the vault structure. To provide an unobstructed alignment, the profile was revised to penetrate at the wall of the structure above the footing and the contractor was required to demolish a portion of the wall to provide an opening. The extra costs consisted of delays to determine if the undisclosed utilities were abandoned in place or were live; the removal of an already installed pipe, and the reinstallation of shoring and dewatering system, plus re-grading the bottom of the trench, and relaying the 12-inch sewer line. The work associated with this change order item was accomplished by the contractor’s force account, pursuant to Section 44(c) of the General Requirements. (Reference FCO No. 014).

ADDED COSTS THIS CHANGE ORDER ITEM: $23,786.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Contract No. 5-51 and No. 5-52

ITEM 14 – CHANGE METAL DOORS TO FIBERGLASS REINFORCED PLASTIC (FRP)

This item is for extra costs to change four external and two internal metal doors including frames and transoms to fiberglass reinforced plastic (FRP) doors. The District’s O&M Division requested that the contractor change the door materials due to the corrosive marine environment adjacent to the Balboa Peninsula. During the design phase, FRP doors were not included in the District’s Standard Specifications. The extra incremental cost is primarily for materials, fiberglass doors, frames, louvers, transoms, etc. The costs associated with this change order item were negotiated with the contractor pursuant to section No. 44B.1 of the General Requirements (Reference FCO #005). (50% to Contract No. 5-51, $1,694.50) (50% to Contract No. 5-52, $1,694.50)

ADDED COSTS THIS CHANGE ORDER ITEM: $3,389.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days Page 8 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

ITEM 15 – TIME EXTENSION FOR 2004 CHRISTMAS DELAY

The City of Newport Beach (City) requested that the construction of the below grade shoring system, required for the projects at the “A” Street Pump Station and the 14th Street Pump Station, not begin until after the end of the 2004 Christmas Holiday or December 27, 2004. This item is to extend the contract duration in order to accommodate the City and the residents located adjacent to these projects. District staff has reviewed the scheduled impact and recommended approval of a 14 calendar day time extension to reflect the delay in the start date of December 13, 2004 to December 27, 2004. The contractor agrees that this delay is for time only and is noncompensable. This work was defined in a letter from the City on December 11, 2004, and was negotiated with the contractor pursuant to Section 44(B)1 of the General Requirements.

ADDED COSTS THIS CHANGE ORDER ITEM: $0.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 14 Calendar Days

ITEM 16 – RETENTION REDUCTION

This project is now 90% complete and all work to date has been completed in accordance with the contract requirements. The contractor has requested a reduction in retained funds from 10% percent to 5% percent. Staff recommends that the contractor’s request to reduce the retention withheld from 10% to 5% be accepted. Reference Kiewit Pacific Company’s letter dated July 12, 2006.

ADDED COSTS THIS CHANGE ORDER ITEM: $0.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 17 – REVISION OF WATERPROOF PIPE PENETRATION DETAILS

This item is for labor, equipment, and materials required to revise the waterproof pipe penetration details in the 14th Street and “A” Street contract drawings, from a type of rubber expansion joint filler to the use of link seals and hydrotite for all pipe penetrations. Hydrotite is a composite material that expands when it comes in to contact with water. In addition, the contractor had to add sleeve extensions onto the existing sleeves through the wet well wall. The Sanitation District’s Regional Assets and Services Division requested that the contractor revise the type of waterproof penetration details, based on feedback from other existing pump stations (i.e., leaking groundwater into the station pump room). The identified pipe penetrations are for six pump suction pipes, six re-circulating lines, six bleed-off lines from the pumps to the wet well, eight deck pipe penetrations, two sump pump penetrations, and for the sewer line coming from the bathroom into the wet well. The extra work consisted of labor to chip back into the wet well walls to attach the sleeve extensions, and labor to install and adjust the line seals and hydrotite. This work was accomplished by contractor’s force

Page 9 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

account in accordance with Section No. 44(c) of the General Requirements (Reference FCO No. 28). (50% to Contract No. 5-51, $11,054.50) (50% to Contract No. 5-52, $11,054.50)

ADDED COSTS THIS CHANGE ORDER ITEM: $22,109.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 18 – ELECTRICAL MODIFICATIONS

This item is for all labor, equipment, and materials for the following work at the 14th Street and “A” Street Pump Stations:

• The addition of a transformer to the Main Sewage Pump (MSP) circuits to ensure that the motor protection relays have an independent source of power. The contract drawings showed two control power transformers (CPT) for the main sewage pump, one for VFD control and the other constant speed control. If the VFD was de-energized while the pump was running on the bypass starter, the motor protection relays would also be de-energized. This would result in a safety hazard since the pumps would be operating without the protective relays. A third CPT was added to ensure the motor protection would not be affected.

• National Electrical Code (NEC) requires intrinsically safe circuits and non-intrinsically safe circuits to be run in separate conduits. Therefore, since the main pump moisture detector circuits are intrinsically safe circuits, separate conduits are required.

• As part of these revisions, modifications were made in the layout of the PLC panel hardware to better coordinate and conform to OCSD Design Guidelines.

The additional costs consist of labor to revise submitted shop drawings and labor and materials to install additional wire and conduits. This work was negotiated with the contractor pursuant to Section 44(B) 1 of the General Requirements (Reference FCO No. 029). (42.68 percent to Contract No. 5-51, $30,570.83) (57.32 percent to Contract No. 5-52, $41,057.17)

ADDED COSTS THIS CHANGE ORDER ITEM: $71,628.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

TOTAL ADDED COSTS THIS CHANGE ORDER: $256,079.00 TOTAL TIME EXTENSION THIS CHANGE ORDER: 14 Calendar Days Page 10 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

The additional work contained within this change order can be performed incidental to the prime work and within the time allotted for the original contract and any extensions to the contract time made by this change order and all previously issued change orders. It is, therefore, mutually agreed that a 14 calendar day extension of time to perform the work is required for this change order, and that no direct or indirect, incidental or consequential costs, expenses, losses or damages have been or will be incurred by the Contractor, except as expressly granted and approved by this change order.

SUMMARY OF CONTRACT TIME

Original Contract Date: November 10, 2004 Original Contract Time: 575 Calendar Days Original Completion Date: June 7, 2006 Time Extension this C.O.: 14 Calendar Days Total Contract Time Extension: 127 Calendar Days Revised Contract Time: 702 Calendar Days Revised Final Completion Due Date: October 12, 2006 Time Subject to Liquidated Damages: TBD Actual Final Completion Date: N/A

Original Contract Price $ 11,697,780.00 Prev. Authorized Changes $ 141,364.00 This Change (Add) $ 256,079.00 Amended Contract Price $ 12,095,223.00

Page 11 of 11

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Kiewit Pacific Company C.O. No.: Two (2) Date: September 27, 2006 Job: Rehabilitation of the 14th Street Pump Station; Contract No. 5-51; and Rehabilitation of the “A” Street Pump Station, Contract No. 5-52 Consultant: Lee & Ro, Inc.

Board Authorization Date: September 27, 2006

ORANGE COUNTY SANITATION DISTRICT

Recommended by:

______Umesh Murthy, P.E. Date CIP Project Manager

Approved by:

David A. Ludwin P.E. Date Director of Engineering

Accepted by:

Kiewit Pacific Company

______Contractor Date

EDMS: 003814152 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-93 12(j) Orange County Sanitation District

FROM: David A. Ludwin, Director of Engineering Originator: Hardat Khublall, CIP Project Manager

SUBJECT: GISLER-REDHILL TRUNK IMPROVEMENTS, REACH “A”, CONTRACT NO. 7-36; ORANGE TRUNK IMPROVEMENTS, CONTRACT NO. 7-39; GISLER-REDHILL/NORTH TRUNK IMPROVEMENTS, CONTRACT NO. 7-41; AND CITY OF TUSTIN PROJECT NOS. 6106 AND 6151

GENERAL MANAGER'S RECOMMENDATION

(1) Ratify Change Order No. 11 to Gisler-Redhill Trunk Improvements, Reach “A”, Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler-Redhill North Trunk Improvements, Contract No. 7-41; and City of Tustin Project Nos. 6106 and 6151, with ARB, Inc., authorizing an addition of $400,676, increasing the total contract amount to $22,003,110; (2) Decrease Phase 4 of Contract No. 7-41 budget by $1,300,000 for a total project budget amount of $15,460,857; and (3) Increase Phase 4 of Contract No. 7-36 budget amount by $1,300,000 for a total project budget amount of $8,357,433.

SUMMARY

• Contract No. 7-41 located in the City of Tustin, City of Orange, and unincorporated areas of the County of Orange, consists of improvements to relieve hydraulic deficiencies on the Gisler-Redhill North Trunk Sewer along Newport Avenue, El Camino Real, and Prospect Avenue. Contract No. 7-39 is located in the City of Tustin and in the unincorporated areas of the County of Orange, and consists of improvements to relieve hydraulic deficiencies on the Orange Trunk Sewer along Holt Avenue, 17th Street, and Hewes Avenue. Contract No. 7-36, located in the City of Tustin, consists of improvements to relieve hydraulic deficiencies on the Gisler-Redhill Trunk Sewer Improvements along Redhill Avenue from Mitchell Avenue to La Colina Drive. The 1999 Strategic Plan identified these reaches of sewers as hydraulically deficient and in need of replacement.

• AKM Consulting Engineers prepared the plans and specifications and the construction contract was awarded to ARB, Inc. on January 28, 2004.

• Change Order No. 11 includes five items of added work to Contract No. 7-36. There are no reimbursable or nonreimbursable design errors associated with this change order. The contract includes liquidated damages of $1,000 per day and no bonus provisions. The contract is now 100% complete.

Page 1 PRIOR COMMITTEE/BOARD ACTIONS

The construction contract was awarded by the Board on January 28, 2004 for a lump sum amount of $18,375,999. Please see attached Change Order Status Report for information on all previous change orders.

PROJECT/CONTRACT COST SUMMARY

Original Contract Price $ 18,375,999 Previously Authorized Change Order $ 3,226,435 This Change Order (Add) $ 400,676 Change Orders to Date $ 3,627,111 Percent Increase to Date 19.74% Amended Contract Price $ 22,003,110

BUDGET IMPACT

This item has been budgeted. (Line item: Contract No. 7-36 FY 05/06, Section 8, page 34, and Contract No. 7-41 FY 05/06, Section 8, page 38. These projects are not referenced in the FY 06/07 Budget book because they were initially scheduled to be completed prior to the beginning of FY06/07) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

This Agenda Report also requests approval to transfer $1,300,000 from Phase 4 of Contract No. 7-41 to Phase 4 of Contract No. 7-36. These projects are being done as one contract with ARB, Inc. This additional budget is needed to process this and pending change orders. No overall budget increase is being requested for these three contracts.

The table below shows all reimbursable costs for these projects:

Amount Amount Contract No. Description Requested Received 6106 & 6151 City of Tustin, Waterline Projects $665,211 $665,211 7-41 *Level3 Communications, Fiber Optic Cable Interference $231,428 $65,932 AKM Consulting Engineers, 10-inch EOCWD Waterline, 7-41 $84,064 $0 Reimbursable Design Error. TOTAL $980,703 $731,143 * Level3 Communications is disputing $165,496.

ADDITIONAL INFORMATION

Contract Schedule

Contract Start Date April 5, 2004 Original Contract Completion Date November 25, 2005 Total Number of Change Orders to Date 11 Current Contract Completion Date March 31, 2006 Days Subject to Liquidated Damages TBD Liquidated Damages Assessment TBD

Page 2

Change Order No. 11 Content

Item No. Description Amount Days Type Contract No. 7-36 Sidewalk, Curb and Gutter 1 $16,400 0 Other Replacement, Sta. 50+00. Sewer Alignment Modification, 2 $43,500 0 Unknown Conditions Sta. 57+57 to 61+08. Connection of One Additional 8-inch House Service Lateral, 3 One Additional 6-inch House $90,683 0 Unknown Conditions Connection and Five Additional 4-inch House Connections. Sinkhole Repairs at Sta. 30+00 4 $236,093 0 Unknown Conditions and 45+20. 5 Field Closure, Sta. 75+43. $14,000 0 Other Total – Change Order No. 11 400,676 0

Item No. 3 is for the connection of one 8-inch house service lateral, one 6-inch house connection, and five 4-inch house connections, which were found during construction, and were not shown in contract drawings.

Item No. 4 is for the repair of two sinkholes that were found several weeks after sewer installation and asphalt paving was completed. The sinkholes developed due to leakage of two 6-inch asbestos cement (ACP) waterlines. These two City of Tustin’s waterlines were installed approximately 50 years ago and were found to be badly deteriorated and very fragile. Contract documents required the Contractor to protect in place the waterlines. Staff believes that during sewer installation both waterlines were carefully protected by the Contractor, but because of its poor condition, the lines may have developed minor leaks several weeks after asphalt paving was completed. The additional work was completed on June 26, 2006, but this item only covers costs up to May 31, 2006.

The Contractor (ARB, Inc.) submitted a Request for Equitable Adjustment (REA) on July 13, 2006, for an amount of $11,042,573 to the Sanitation District. Included in the REA is compensation for Pending Change Orders (CO), starting from CO No.10 for a total of $1,630,751. CO No. 10 previously approved by the Board on August 23, 2006, along with this pending CO No.11, if approved, would reduce the Contractor’s REA by $491,429.

ALTERNATIVES

None

Page 3 CEQA FINDINGS

This project was included in the 1999 Strategic Plan Program Environmental Impact Report certified on October 27, 1999. A Notice of Determination was filed on October 29, 1999.

ATTACHMENTS

1. Budget Information Table – Contract Nos. 7-36, 7-39, and 7-41. 2. Change Order Status Report 3. Change Order Performance Report 4. Change Order 5. Location Description of Change Order No. 11

RC:bm:kf H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 12(j).7-36.doc

Page 4 BUDGET INFORMATION TABLE GISLER-REDHILL TRUNK IMPROVEMENTS, REACH "A" CONTRACT NO. 7-36, CO #11

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 45,000 $ 29,810 $ 29,810 $ 29,810 $ 29,810 $ 29,810 100%

Phase 2 - Preliminary Design $ 1,504 $ 1,504 $ 1,504 $ 1,504 $ 1,504 100%

Phase 3 - Design $ 369,000 $ 581,679 $ 581,679 $ 581,679 $ 581,679 $ 581,679 100%

Phase 4 - Construction $ 6,386,000 $ 6,186,756 $ * 1,300,000 $ 7,486,756 $ 6,186,756 $ 400,676 $ 6,587,432 $ 5,709,378 87%

Phase 5 - Commissioning $ 94,272 $ 94,272 $ 94,272 $ 94,272 $ 16,417 17%

Phase 6 - Close-Out $ 23,050 $ 23,050 $ 23,050 $ 23,050 $ 442 2%

Phase 7 - Contingency $ 1,032,000 $ 140,362 $ 140,362

PROJECT TOTAL $ 7,832,000 $ 7,057,433 $ 1,300,000 $ 8,357,433 $ 6,917,071 $ 400,676 $ 7,317,747 $ 6,339,230 87%

Reimbursable Costs

PROJECT NET $ 7,832,000 $ 7,057,433 $ 1,300,000 $ 8,357,433 $ 6,917,071 $ 400,676 $ 7,317,747 $ 6,339,230 87%

PSA/Contract

Design PSA $ 223,176 $ 331,522 $ 331,522 $ 331,522 $ 331,522 $ 320,485 97%

Construction Contract $ 4,246,442 $ 4,757,218 $ 400,676 $ 5,157,894 $ 4,757,218 $ 400,676 $ 5,157,894 $ 4,693,305 91%

* Budget transfer from Phase 4, Contract No. 7-41 to Phase 4, Contract No. 7-36. EDMS: 003814162 BUDGET INFORMATION TABLE ORANGE TRUNK IMPROVEMENTS CONTRACT NO. 7-39, CO #11

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 46,000 $ 46,564 $ 46,564 $ 46,564 $ 46,564 $ 46,564 100%

Phase 2 - Preliminary Design $ 1,000 $ 1,391 $ 1,391 $ 1,391 $ 1,391 $ 1,391 100%

Phase 3 - Design $ 396,000 $ 411,471 $ 411,471 $ 411,471 $ 411,471 $ 411,471 100%

Phase 4 - Construction $ 4,250,000 $ 4,764,634 $ 4,764,634 $ 4,764,634 $ 4,764,634 $ 4,764,275 100%

Phase 5 - Commissioning $ 61,000 $ 61,735 $ 61,735 $ 61,735 $ 61,735 $ 37,735 61%

Phase 6 - Close-Out $ 17,000 $ 12,134 $ 12,134 $ 12,134 $ 12,134 $ 3,505 29%

Phase 7 - Contingency $ 527,000 $ - $ - $ -

PROJECT TOTAL $ 5,298,000 $ 5,297,929 $ - $ 5,297,929 $ 5,297,929 $ - $ 5,297,929 $ 5,264,941 99%

Reimbursable Costs

PROJECT NET $ 5,298,000 $ 5,297,929 $ - $ 5,297,929 $ 5,297,929 $ - $ 5,297,929 $ 5,264,941 99%

PSA/Contract

Design PSA $ 224,098 $ 235,238 $ 235,238 $ 235,238 $ 235,238 $ 235,238 100%

Construction Contract $ 4,113,733 $ 4,268,354 $ 4,268,354 $ 4,268,354 $ 4,268,354 $ 4,261,398 100%

EDMS: 003814169 BUDGET INFORMATION TABLE GISLER-REDHILL/NORTH TRUNK IMPROVEMENTS CONTRACT NO. 7-41, CO #11

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 40,000 $ 41,000 $ 41,000 $ 41,000 $ 41,000 $ 39,736 97%

Phase 2 - Preliminary Design $ 1,000 $ 18,000 $ 18,000 $ 18,000 $ 18,000 $ 15,429 86%

Phase 3 - Design $ 628,000 $ 680,000 $ 680,000 $ 680,000 $ 680,000 $ 644,071 95%

Phase 4 - Construction $ 13,128,000 $ 16,050,450 $ * (1,300,000) $ 14,750,450 $ 16,050,450 $ (1,300,000) $ 14,750,450 $ 14,064,225 95%

Phase 5 - Commissioning $ 183,000 $ 216,000 $ 216,000 $ 216,000 $ 216,000 $ 21,283 10%

Phase 6 - Close-Out $ 45,000 $ 46,000 $ 46,000 $ 46,000 $ 46,000 $ 3,305 7%

Phase 7 - Contingency $ 1,334,000 $ 440,550 $ 440,550 $ -

PROJECT TOTAL $ 15,359,000 $ 17,492,000 $ (1,300,000) $ 16,192,000 $ 17,051,450 $ (1,300,000) $ 15,751,450 $ 14,788,049 94%

Reimbursable Costs $ 731,143 $ 731,143 $ 731,143 $ 731,143

PROJECT NET $ 15,359,000 $ 16,760,857 $ (1,300,000) $ 15,460,857 $ 16,320,307 $ 15,020,307 $ 14,788,049 98%

PSA/Contract

Design PSA $ 368,684 $ 420,641 $ 420,641 $ 420,641 $ 420,641 $ 415,530 99%

Construction Contract $ 10,015,823 $ 12,576,862 $ 12,576,862 $ 12,576,862 $ 12,576,862 $ 12,429,693 99% * Budget transfer from Phase 4, Contract No. 7-41 to Phase 4, Contract No. 7-36. EDMS: 003814167 CHANGE ORDER STATUS REPORT GISLER-REDHILL TRUNK SEWER IMPROVEMENTS, ORANGE TRUNK SEWER IMPROVEMENTS, AND GISLER-REDHILL NORTH TRUNK SEWER CONTRACT NOS. 7-36, 7-39, AND 7-41 AND CITY OF TUSTIN PROJECT NUMBERS 6106 AND 6151 - CO #11

AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT 1/28/2004 $18,375,999 $18,375,999 0.00% 600 600 CO NO. 1 11/24/2004 $349,612 $18,725,611 1.90% 20 620 CO NO. 2 2/23/2005 $169,223 $18,894,834 2.82% 15 635 CO NO. 3 4/27/2005 $571,975 $19,466,809 5.94% 20 655 CO NO.4 7/20/2005 $493,263 $19,960,072 8.62% 9 664 CO NO.5 9/28/2005 $209,252 $20,169,324 9.76% 21 685 CO NO.6 2/22/2006 $55,000 $20,224,324 10.06% 5 690 CO NO.7 4/26/2006 $169,962 $20,394,286 10.98% 27 717 CO NO.8 6/28/2006 $497,394 $20,891,680 13.69% 9 726 CO NO.9 7/19/2006 $643,271 $21,534,951 17.19% 0 726 CO NO.10 8/23/2006 $67,483 $21,602,434 17.56% 0 726 CO NO.11 Pending $400,676 $22,003,110 19.74% 0 726

EDMS:003814163 CHANGE ORDER PERFORMANCE REPORT GISLER-REDHILL TRUNK SEWER IMPROVEMENTS, ORANGE TRUNK SEWER AND GISLER-REDHILL NORTH TRUNK SEWER, CONTRACT NOS. 7-36, 7-39, AND 7-41 AND CITY OF TUSTIN PROJECT NUMBERS 6106 AND 6151 CHANGE ORDER NO. 11

Contractor: ARB, INC Project Type: COLLECTIONS Design Consultant: AKM CONSULTING ENGINEERS Contract % Complete: 100 Original Contract Price: $18,375,999 CHANGE ORDER TYPES TRACKED INFORMATION ONLY

Reimbursable Design Nonreinbursable Design Subtotal CO Types Unknown Condition Staff Requested Change Other Total Errors Errors Tracked1

Change Orders $279,593 1.52% $0 0.00% 0.00% $90,683 0.49% $370,276 2.01% $30,400 0.17% $400,676 2.18% this Period Change Orders to $1,501,779 8.17% $197,071 1.07%* $387,439 2.11% $529,951 2.88% $2,616,240 14.24% $610,195 3.32% $3,226,435 17.56% Date Change Order Total $1,781,372 9.69% $197,071 1.07% $387,439 2.11% $620,634 3.38% $2,986,516 16.25% $640,595 3.49% $3,627,111 19.74% Program < 3.00% < 1.00% 0.00% < 1.00% < 5.00% 0.00% < 5.00% Performance Goals 1 The Change Order Management Plan tracks the preceding four change order types

* To be Negotiated

EDMS# 003814164 Version 3/1/2006 Page 1 of 6 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: ARB, INC. C.O. No.: Eleven (11) Date: September 27, 2006 Job: Gisler Redhill North Trunk Sewer, Reach “A”. Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler Redhill/North Trunk Sewer Improvements; Contract No. 7-41; and City of Tustin Project Numbers 6106, and 6151

Consultant: AKM Consulting Engineers

Amount of this Change Order (Add) $400,676.00

In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved.

Contract No. 7-36

ITEM 1 – SIDEWALK, CURB AND GUTTER REPLACEMENT, STA. 50+00.

This item is to compensate the Contractor for additional costs to remove and replace sidewalk and curb and gutter panels around four existing trees, located north of Bryan Avenue and Red Hill Avenue intersection. During construction, the City of Tustin (City) requested the Sanitation District to remove and replace four existing trees installed in the sidewalk, and located seven to eight feet from the edge of the sewer trench. The City was concerned about the potential damage to the trees' root system due to the excavation of the proposed sewer trench. The City’s major concern was the loss of the sinker roots, which are the primary roots for tree stability, and for added safety, the City required to have four trees removed and replaced. The sidewalk, curb and gutter near the trees had to be removed and replaced. Contract documents did not require the Contractor to do this work. The removal and replacement of the trees was done by an on-call Landscaping Contractor retained by the Sanitation District. The additional cost includes sidewalk, curb and gutter removal and replacement, and additional pothole excavations for City’s Tree Arborists observation of the trees root system. This item was accomplished by Contractor’s Force Account and was determined by Sanitation District pursuant to Division 1, Section 44(B)2 of the General Requirements (Reference FCO No. 69).

ADDED COST THIS CHANGE ORDER ITEM: $16,400.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days per OCSD ARB reserving its rights as noted herein. Page 2 of 6 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: ARB, INC. C.O. No.: Eleven (11) Date: September 27, 2006 Job: Gisler Redhill North Trunk Sewer, Reach “A”. Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler Redhill/North Trunk Sewer Improvements; Contract No. 7-41; and City of Tustin Project Numbers 6106, and 6151

Consultant: AKM Consulting Engineers

ITEM 2 – SEWER ALIGNMENT MODIFICATION, STA. 57+57 to 61+08.

This item is for extra costs associated with the modification of the contract sewer alignment from sewer station 57+57 to 61+08, on Red Hill Ave and First Street-Kalua Lane intersection. During construction, the Contractor found that thrust blocks for two 6-inch asbestos cement waterlines conflicted with the proposed sewer alignment. The proposed alignment was modified between sewer stations 57+57 to 61+08 to resolve the interference. The thrust blocks were not shown in contract drawings. The extra work consisted of additional excavation, additional asphalt removal and replacement, additional pothole excavations to locate the waterline thrust blocks, and modification of the sewer manhole located at station 61+00 to a drop manhole, for the connection of an existing 8- inch house service lateral. This item was accomplished by Contractor’s Force Account and was determined by Sanitation District pursuant to Division 1, Section 44(B)2 of the General Requirements (Reference FCO N0. 80).

ADDED COST THIS CHANGE ORDER ITEM: $43,500.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days per OCSD ARB reserving its rights as noted herein.

ITEM 3 – CONNECTION OF ONE ADDITIONAL 8-INCH HOUSE SERVICE LATERAL, ONE ADDITIONAL 6-INCH HOUSE CONNECTION AND FIVE ADDITIONAL 4-INCH HOUSE CONNECTIONS.

This item is for extra costs associated with the connection of one 8-inch house service lateral at approximate sewer station 64+85, five 4-inch house connections at sewer stations 43+76, 70+50, 70+60 (at Lateral “I-2”), 73+00 and 74+30, and one 6-inch house connection at sewer station 74+60. The one 8-inch house service lateral, together with the one 6-inch house connection and the five 4- inch house connections were found during construction and were not shown in the contract drawings. The additional work consisted of additional excavation and backfill, installation and connection of the house service laterals and house connections, additional shoring, and pavement removal and replacement. This item does not cover costs for the installation of the additional final asphalt cap, which if justified by the Contractor will be included in a future change order. This item was accomplished by Contractor’s Force Account and was determined by Sanitation District pursuant to Division 1, Section 44(B)2 of the General Requirements (Reference FCO N0. 81).

ADDED COST THIS CHANGE ORDER ITEM: $90,683.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days per OCSD ARB reserving its rights as noted herein. Page 3 of 6 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: ARB, INC. C.O. No.: Eleven (11) Date: September 27, 2006 Job: Gisler Redhill North Trunk Sewer, Reach “A”. Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler Redhill/North Trunk Sewer Improvements; Contract No. 7-41; and City of Tustin Project Numbers 6106, and 6151

Consultant: AKM Consulting Engineers

ITEM 4 – SINKHOLE REPAIRS AT STA. 30+00 AND 45+20.

This item is for additional costs for the repairs of two sinkholes developed around existing 6-inch asbestos cement (ACP) waterlines. The first sinkhole was located between El Camino and San Juan intersections on Red Hill Avenue, at approximate sewer station 30+00, and the second was located at Lance Drive and Red Hill Avenue intersection, at approximate sewer station 45+20. Both waterlines were protected in place by the Contractor during sewer installation. The final asphalt cap was completed over the first sinkhole and base paving was done over the second sinkhole several weeks before the sinkholes developed. The sinkholes developed due to leakage of the 6-inch ACP waterlines. For the first sinkhole, the 6-inch waterline was shown in contract drawings and is located parallel to the new sewer trench. A house connection was installed at this location and crossed the 6- inch waterline perpendicularly. For the second sinkhole, the 6-inch waterline was shown in contract drawings and crossed the sewer trench perpendicularly. At both locations, the waterlines were badly deteriorated and very fragile. The first sinkhole was approximate 70-feet long, 5-feet wide, and 10- feet deep; and the second sinkhole was approximate 300-feet long, 6-feet wide, and 10-feet deep. The additional work consisted of pavement removal and replacement, trench excavation, removal of wet and loose backfill material, slurry backfill, waterline repair and replacement. The additional work was completed on June 26, 2006, but this item only covers costs up to May 31, 2006. Additional costs for this item will be included in a future change order. This item was accomplished by Contractor’s Force Account and was determined by Sanitation District pursuant to Division 1, Section 44(B)2 of the General Requirements (Reference FCO N0. 85 and No. 87).

ADDED COST THIS CHANGE ORDER ITEM: $236,093.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days per OCSD ARB reserving its rights as noted herein. Page 4 of 6 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: ARB, INC. C.O. No.: Eleven (11) Date: September 27, 2006 Job: Gisler Redhill North Trunk Sewer, Reach “A”. Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler Redhill/North Trunk Sewer Improvements; Contract No. 7-41; and City of Tustin Project Numbers 6106, and 6151

Consultant: AKM Consulting Engineers

ITEM 5 – FIELD CLOSURE, STA. 75+43.

This item is for additional costs to install a field closure at sewer station 75+43 per OCSD Standard S- 040. During construction, the City of Tustin (City) requested the Sanitation District to start the sewer installation on Contract No. 7-36 at an upstream location at sewer station 75+43 located at Irvine-Red Hill Avenue intersection, instead of the scheduled start at station 9+91 at Mitchell-Red Hill Avenue intersection. The City requested this change due to the City's project that was in progress in the vicinity of the Mitchell-Red Hill Ave intersection. As a result of this change, a field closure was needed to connect the new sewer installed upstream at sewer station 75+43 with the new sewer installed downstream of this location. The additional work consisted of additional excavation, construction of concrete field closure, and additional backfill. This item was accomplished by Contractor’s Force Account and was determined by Sanitation District pursuant to Division 1, Section 44(B)2 of the General Requirements (Reference FCO N0. 86).

ADDED COST THIS CHANGE ORDER ITEM: $14,000.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days per OCSD ARB reserving its rights as noted herein.

TOTAL ADDED COSTS THIS CHANGE ORDER: $400,676.00 TOTAL TIME EXTENSION THIS CHANGE ORDER: 0 Calendar Days

Page 5 of 6 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: ARB, INC. C.O. No.: Eleven (11) Date: September 27, 2006 Job: Gisler Redhill North Trunk Sewer, Reach “A”. Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler Redhill/North Trunk Sewer Improvements; Contract No. 7-41; and City of Tustin Project Numbers 6106, and 6151

Consultant: AKM Consulting Engineers

The compensation set forth in this change order comprises the total compensation due to the contractor by OCSD, including all of contractor’s subcontractors and suppliers, for the direct cost to perform the work or change described in this change order, but does not include any compensation for contractors, or its subcontractors and suppliers, extra costs caused by or resulting from delays, impacts (including productivity impacts) and/or disruptions arising out of, related to and/or caused by the work or change described in this change order, if any. By executing this change order, the contractor shall not be deemed to waive its right to seek additional time and/or compensation for delays, impacts (including productivity impacts) and/or disruptions arising out of, related to and/or caused by the work or change described in this change order, all such rights and/or claims are hereby expressly reserved by contractor for itself and its subcontractors and suppliers. Nothing contained herein shall be deemed as a waiver by OCSD of the contractor’s contractual obligations set forth in the contract with OCSD for this project.

SUMMARY OF CONTRACT TIME

Original Contract Date: April 5, 2004 Original Contract Time: 600 Calendar Days Original Completion Date: November 25, 2005 Time Extension this C.O.: 0 Calendar Days Total Contract Time Extension: 126 Calendar Days Revised Contract Time: 726 Calendar Days Revised Final Completion Due Date: March 31, 2006 Time Subject to Liquidated Damages: TBD Actual Final Completion Date: N/A

Original Contract Price $18,375,999.00 Prev. Authorized Changes $ 3,226,435.00 This Change (Add) $ 400,676.00 Amended Contract Price $22,003,110.00

Page 6 of 6 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: ARB, INC. C.O. No.: Eleven (11) Date: September 27, 2006 Job: Gisler Redhill North Trunk Sewer, Reach “A”. Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler Redhill/North Trunk Sewer Improvements; Contract No. 7-41; and City of Tustin Project Numbers 6106, and 6151

Consultant: AKM Consulting Engineers

Board Authorization Date: September 27, 2006

ORANGE COUNTY SANITATION DISTRICT

Recommended by:

______Hardat Khublall, P.E. Date CIP Project Manager

Approved by:

David A. Ludwin P.E. Date Director of Engineering

Accepted by:

ARB, INC.

______Contractor Date

EDMS: 003814160

Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-94 12(k) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: Michael Puccio, CIP Project Manager

SUBJECT: PRIMARY CLARIFIERS 16-31 AND RELATED FACILITIES, JOB NO. P1-37

GENERAL MANAGER'S RECOMMENDATION

Ratify Change Order No. 28 to Primary Clarifiers 16-31 and Related Facilities, Job No. P1-37, with Margate Construction, authorizing an addition of $83,637, increasing the total contract amount to $72,760,157.

SUMMARY

• Job Number P1-37, Primary Clarifiers 16-31 and Related Facilities, includes the construction of 16 new primary clarifiers with all support equipment, improvements to existing Primary Clarifiers 6-15, and improvements to Primary Clarifiers 1-5. • Brown and Caldwell prepared the plans and specifications and the contract was awarded to Margate Construction on October 24, 2001. • This change order includes four items of additional work. There are three nonreimbursable design errors associated with this change order. Liquidated damages on this project are $3,000 per day and there are no bonus provisions. The project is 94.79% complete.

PRIOR COMMITTEE/BOARD ACTIONS

The contract was awarded by the Board of Directors on October 24, 2001. Please refer to the attached Change Order Status Report for more information on previous change orders.

PROJECT/CONTRACT COST SUMMARY

Original Contract Price $ 70,366,000 Previously Authorized Changes $ 2,310,520 This Change Order (Add) $ 83,637 Change Orders to Date $ 2,394,157 Percentage Increase to Date 3.40 % Amended Contract Price $ 72,760,157

BUDGET IMPACT

This item has been budgeted. (Line item: Section 8, CIP, P1-37, Page 52) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item) 1

ADDITIONAL INFORMATION

Contract Schedule Contract Start Date January 7, 2002 Original Contract Completion Date November 7, 2005 Total Number of Change Orders to Date 28 Current Contract Completion Date February 15, 2007 Actual Completion Date N/A Days Subject to Liquidated Damages 0

Change Order No. 28 Content

Item No. Description Amount Days Type Foul Air Ducting and Electrical Bridge Nonreimbursable 1 Conflict $ 18,233 0 Design Error Nonreimbursable 2 North Gallery Cable Tray Conflict $ 22,312 0 Design Error Primary Clarifiers 3, 4, 5 Offset Nonreimbursable 3 4-inch Release Piping $ 1,892 0 Design Error 4 Construction Schedule Payment $ 41,200 0 Other Total Change Order $ 83,637 0

Item 4 consists of a payment to the contractor for schedule preparation. The bid Schedule of Values indicates that the District will pay a specific given amount for schedule preparation and monthly updates and instructs bidders to not include that amount as part of their proposed bid. The contractor subsequently did not include this amount in the bid as instructed. A change order must be issued to add this amount to compensate the contractor for the schedule preparation and for the quantity of monthly updates he must produce. A future change order will be needed to adjust the quantity of monthly updates to a final amount at contract completion.

ALTERNATIVES

No alternatives are proposed.

CEQA FINDINGS

This project was included in the Strategic Plan EIR that was certified on October 27, 1999. A Notice of Determination was filed on October 29, 1999.

ATTACHMENTS

1. Budget Information Table 2. Change Order Status Report 3. Change Order Performance Report 4. Change Order 5. Location and Photo Description of Change Order

MP:el:kf H:\ntglobal\Agenda Draft Reports\PDC\P1-37 CO-28-AR.doc

2 BUDGET INFORMATION TABLE Primary Clarifiers No. 16-31 and Related Facilities Job No. P1-37

ORIGINAL CURRENT PROPOSED PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED PROJECT/PHASE AUTHORIZED PROJECT BUDGET REVISED AUTHORIZED AUTHORIZATION TOTAL EXPENDITURE TO EXPENDED BUDGET BUDGET INCREASE BUDGET TO DATE REQUEST AUTHORIZATION DATE TO DATE(%)

Phase 1 - Project Development $ 175,062 $ 175,062 $ 173,000 $ 173,000 $ 173,000 100%

Phase 2 - Preliminary Design $ 317,201 $ 317,201 $ 317,000 $ 317,000 $ 317,000 100%

Phase 3 - Design $ 4,626,092 $ 4,626,092 $ 4,595,000 $ 4,595,000 $ 4,626,092 101%

Phase 4 - Construction $ 84,892,569 $ 83,637 $ 84,976,206 $ 83,104,537 $ 83,637 $ 83,188,174 $ 79,089,381 95%

Phase 5 - Commissioning $ 330,209 $ 330,209 $ 396,000 $ 396,000 $ 117,183 30%

Phase 6 - Closeout $ 62,541 $ 62,541 $ 61,000 $ 61,000 $ 14,978 25%

Phase 7 - Contingency $ 523,334 $ (83,637) $ 439,697 $ -

PROJECT TOTAL $ - $ 90,927,008 $ - $ 90,927,008 $ 88,646,537 $ 83,637 $ 88,730,174 $ 84,337,634 95%

Reimbursable Costs

PROJECT NET $ - $ 90,927,008 $ - $ 90,927,008 $ 88,646,537 $ 83,637 $ 88,730,174 $ 84,337,634 95%

PSA/Contract

Design PSA $ 6,787,436 $ 6,787,436 $ 6,787,436 $ 6,787,436 $ 6,089,418 90%

Construction Contract $ 72,676,520 $ 83,637 $ 72,760,157 $ 72,676,520 $ 83,637 $ 72,760,157 $ 68,891,585 95%

EDMS:003813431 CHANGE ORDER STATUS REPORT PRIMARY CLARIFIERS 16-31 AND RELATED FACILITIES JOB NO. P1-37 AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE (DAYS) DATE COST TO DATE INCREASE (DAYS) CONTRACT 6/23/1999$ 70,366,000.00 $ 70,366,000.00 0.00 1400 1400 CO NO. 1 12/19/2001$ 0.00 $ 70,366,000.00 0.00 0 1400 * CO NO. 2 8/1/2002$ 75,214.00 $ 70,441,214.00 0.11 49 1449 ** CO NO. 3 10/21/2002$ 48,736.00 $ 70,489,950.00 0.18 0 1449 CO NO. 4 12/18/2002$ 356,059.00 $ 70,846,009.00 0.68 82 1531 CO NO. 5 2/26/2003$ 33,527.00 $ 70,879,536.00 0.73 0 1531 CO NO. 6 4/23/2003$ 54,992.00 $ 70,934,528.00 0.81 21 1552 CO NO. 7 6/25/2003$ 14,750.00 $ 70,949,278.00 0.83 0 1552 CO NO. 8 8/27/2003$ 5,363.00 $ 70,954,641.00 0.84 0 1552 CO NO. 9 10/22/2003$ 187,452.00 $ 71,142,093.00 1.10 0 1552 CO NO. 10 11/19/2003$ 56,041.00 $ 71,198,134.00 1.18 0 1552 CO NO. 11 12/4/2003$ 20,680.00 $ 71,218,814.00 1.21 0 1552 CO NO. 12 2/25/2004$ 22,390.00 $ 71,241,204.00 1.24 0 1552 CO NO. 13 3/24/2004$ 784.00 $ 71,241,988.00 1.24 0 1552 CO NO. 14 5/26/2004$ 67,455.00 $ 71,309,443.00 1.34 0 1552 CO NO. 15 10/27/2004$ 67,937.00 $ 71,377,380.00 1.44 143 1695 CO NO. 16 12/15/2004$ (160,121.00) $ 71,217,259.00 1.21 0 1695 CO NO. 17 2/23/2005$ 127,478.00 $ 71,344,737.00 1.39 0 1695 CO NO. 18 3/23/2005$ 61,690.00 $ 71,406,427.00 1.48 0 1695 CO NO. 19 4/27/2005$ 116,710.00 $ 71,523,137.00 1.64 0 1695 CO NO. 20 5/25/2005$ 84,955.00 $ 71,608,092.00 1.77 28 1723 CO NO. 21 7/20/2005$ 100,648.00 $ 71,708,740.00 1.90 0 1723 CO NO. 22 9/28/2005$ 48,078.00 $ 71,756,818.00 1.97 0 1723 CO NO. 23 10/26/2005$ 117,648.00 $ 71,874,466.00 2.14 0 1723 CO NO. 24 12/21/2005$ 97,562.00 $ 71,972,028.00 2.28 0 1723 CO NO. 25 2/22/2006$ 116,822.00 $ 72,088,850.00 2.44 0 1723 CO NO. 26 5/24/2006$ 272,749.00 $ 72,361,599.00 2.84 142 1865 CO NO. 27 6/28/2006$ 314,921.00 $ 72,676,520.00 3.28 0 1865 CO NO. 28 Pending$ 83,637.00 $ 72,760,157.00 3.40 0 1865 ** Approved by PDC Committee per delegated authority by Board Resolution 99-23 * Approved by General Manager per delagated authority by Board Resolution 99-23 EDMS:003813430 CHANGE ORDER PERFORMANCE REPORT PRIMARY CLARIFIERS 16-31 AND RELATED FACILITIES JOB NO. P1-37, CHANGE ORDER NO. 28

Contractor: MARGATE CONSTRUCTION Project Type: PLANT EXPANSION Design Consultant: BROWN & CALDWELL Contract % Complete: 94.79% Original Contract Price: $70,366,000 CHANGE ORDER TYPES TRACKED INFORMATION ONLY

Staff Requested Reimbursable Design Non-Reimbursable Subtotal CO Types Unknown Condition Other Total Change Errors Design Errors Tracked1

Change Orders to $738,165 1.05% $11,695 0.02% $189,499 0.27% $1,498,052 2.13% $2,437,411 3.46% ($126,891) -0.18% $2,310,520 3.28% Date Change Orders $0 0.00% $0 0.00% $0 0.00% $42,437 0.06% $42,437 0.06% $41,200 0.06% $83,637 0.12% this Period Change Order Total $738,165 1.05% $11,695 0.02% $189,499 0.27% $1,540,489 2.19% $2,479,848 3.52% ($85,691) -0.12% $2,394,157 3.40%

1 The Change Order Management Plan tracks the preceding four change order types

EDMS:003813435 Page 1 of 4

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Margate Construction, Inc. C.O. No.: Twenty Eight (28) Date: September 27, 2006 Job: Primary Clarifiers 16-31 and Related Facilities, Job No. P1-37 Consultant: Brown and Caldwell

Amount of this Change Order (Add)(Deduct) $83,637.00

In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved.

ITEM 1 – FOUL AIR DUCTING AND ELECTRICAL BRIDGE CONFLICT

This item provides additional foul air ducting to avoid conflict with the new electrical cable tray bridge at the top deck of Primary Clarifiers 6-15 main gallery. The new foul air ducting along the east and west side of the center feed channel on Primary Clarifiers 6-15 conflicts with the new electrical bridge and associated cable tray and conduits running from the new westside control building to the new eastside control building. In a previous change, the Orange County Sanitation District (Sanitation District) raised the height of the foul air piping to make traversing under it easier for Operations personnel. The conflict that now exists is a result of that change. This change involves the fabrication and installation of two new fiberglass 32-inch diameter 90 degree double elbows, the additional fabrication of 14-inch fiberglass pipe already in the field, and installation of 20 feet of new 14-inch fiberglass pipe. The work associated with this Change Order was negotiated with the Contractor pursuant to Section 48 (B) 1 of the General Requirements (Reference FCO-P137-336).

ADDED COST THIS CHANGE ORDER ITEM: $18,233.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 2 – NORTH GALLERY CABLE TRAY CONFLICT

This item resolves a conflict between the new electrical cable tray to be located on the Primary Clarifiers 6-15 main gallery and the existing air piping and sump pump discharge piping mounted on the gallery walls. This change corrects the conflict by relocating the air piping and modifying the new tray to go around the sump pump discharge piping. The work associated with this Change Order was negotiated with the Contractor pursuant to Section 48 (B) 1 of the General Requirements (Reference FCO-P137-337).

ADDED COST THIS CHANGE ORDER ITEM: $22,312.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 2 of 4

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Margate Construction, Inc. C.O. No.: Twenty Eight (28) Date: September 27, 2006 Job: Primary Clarifiers 16-31 and Related Facilities, Job No. P1-37 Consultant: Brown and Caldwell

ITEM 3 – PRIMARY CLARIFIERS 3, 4, AND 5 OFFSET 4-INCH RELEASE PIPING

This item provides and installs three 4-inch 45 degree elbows in the steam release piping to avoid the new flat cover truss. The contract drawings did not require the relocation of the steam release piping. This item is related to a previous change order item, (Change Order 27, Item 4), in which this piping was added. Subsequent to that change, it was discovered that the piping arrangement shown in the previous change order conflicts with the new covers and additional pipe fittings are needed to complete the installation. The work associated with this Change Order was negotiated with the Contractor pursuant to Section 48 (B) 1 of the General Requirements (Reference FCO-P137-338).

ADDED COST THIS CHANGE ORDER ITEM: $1,892.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

ITEM 4 – CONSTRUCTION SCHEDULE PAYMENT

This item compensates the Contractor for schedule preparation based upon costs proposed in the schedule of prices of the contract. This item includes costs for the interim baseline schedule, the baseline schedule, and selected schedule updates up through March 31, 2006. Any accepted schedule updates beyond this date will be compensated for in a future change order. The payment schedule specifically instructed bidders to not include the cost of scheduling into the bid and proceeded to give the bidders a proposed payment for these items.

The following is a breakdown of this item as proposed in the Bid Schedule of Values:

• Interim Baseline L.S. $ 1,200 • Baseline L.S. $10,000 • Updates 30ea. $1,000/ea $30,000 $41,200

As a result, the costs for scheduling were not included in the contract price. The work associated with this Change Order was negotiated with the Contractor pursuant to Section 48 (B) 1 of the General Requirements and Special Provision Section 32 (Reference FCO-P137-341).

ADDED COST THIS CHANGE ORDER ITEM: $41,200.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

TOTAL ADDED COST THIS CHANGE ORDER: $83,637.00 TIME EXTENSION THIS CHANGE ORDER: 0 Calendar Days Page 3 of 4

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Margate Construction, Inc. C.O. No.: Twenty Eight (28) Date: September 27, 2006 Job: Primary Clarifiers 16-31 and Related Facilities, Job No. P1-37 Consultant: Brown and Caldwell

The additional work contained in this Change Order can be performed incidental to the prime work and within the time allotted for the original Contract and any extensions to the Contract time made by this and all previously issued Change Orders. The Sanitation District and Contractor agree that the added cost described above constitutes full and equitable consideration for all the impacts incurred by the Contractor, and no other direct or indirect, incidental or consequential costs, expenses, losses or damages have been or will be incurred by Contractor, except as expressly granted and approved by this Change Order.

SUMMARY OF CONTRACT TIME

Original Contract Date: January 7, 2002 Original Contract Time: 1,400 Days Original Completion Date: November 7,2005 Time Extension this C.O: 0 Days Total Contract Time Extension: 465 Days Revised Contract Time: 1,865 Days Revised Final Completion Due Date: February 15, 2007 Time Subject to Liquidated Damages: N/A Actual Final Completion Date: N/A

Original Contract Price $ 70,366,000.00 Prev. Authorized $ 2,310,520.00 This Change (Add) (Deduct) $ 83,637.00 Amended Contract Price $ 72,760,157.00

Page 4 of 4

ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Margate Construction, Inc. C.O. No.: Twenty Eight (28) Date: September 27, 2006 Job: Primary Clarifiers 16-31 and Related Facilities, Job No. P1-37 Consultant: Brown and Caldwell

Board Authorization Date: September 27, 2006

ORANGE COUNTY SANITATION DISTRICT

Recommended by:

______Michael Puccio, P.E. Date CIP Project Manager

Approved by:

______David A. Ludwin, P.E. Date Director of Engineering

Accepted by:

MARGATE CONSTRUCTION

______Contractor Date

MP:el EDMS:003813432 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-95 12(l) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: David May, IPMC Project Manager

SUBJECT: BUSHARD TRUNK SEWER REHABILITATION, JOB NO. I-2-4

GENERAL MANAGER'S RECOMMENDATION

Ratify Change Order No. 20 to Bushard Trunk Sewer Rehabilitation, Job No. I-2-4, with Steve P. Rados, Inc., authorizing an addition of $151,375, increasing the total contract amount to $30,679,877.

SUMMARY

• Job No. I-2-4, Bushard Trunk Sewer Rehabilitation, includes the installation of 21,600 linear feet (just over four miles) of 108-inch reinforced concrete pipe, manholes, junction structures, and miscellaneous utility relocations.

• Boyle Engineering Corporation prepared the plans and specifications and the contract was awarded to Steve P. Rados, Inc. (SPR) on June 26, 2002.

• Scope changes and timing constraints required modification of Job No. I-2-4 to include new Job No. I-2-4A, the work in the Ellis-Bushard Intersection.

• The Mediation Settlement Agreement required further modification of Job No. I-2-4 to include new Job No. I-2-4P, the fabrication and delivery of 108-inch and 96-inch pipe.

• There are no reimbursable or nonreimbursable design errors associated with this change order. Liquidated damages on this contract are $2,000 per calendar day and the bonus provisions are $750 per calendar day. The contract is now 54% complete.

PRIOR COMMITTEE/BOARD ACTIONS

The contract was awarded by the Board of Directors on June 26, 2002. Please refer to the attached Change Order Status Report for information on all previous change orders.

Page 1

PROJECT/CONTRACT COST SUMMARY

Original Contract Price $ 30,003,210 Previously Authorized Changes $ 525,292 This Change Order (CO No. 20, Add) $ 151,375 Change Orders to Date $ 676,667 Percent Increase to Date 2.26% Amended Contract Price $ 30,679,877

BUDGET IMPACT

This item has been budgeted. (Line item: FY 05/06 Budget Book, Page 8-48) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

Contract Schedule

Contract Start Date September 16, 2002 Original Contract Completion Date March 18, 2004 Total Number of Change Orders to Date 20 Current Contract Completion Date June 20, 2007 Actual Completion Date N/A Days Subject to Liquidated Damages N/A

Change Order No. 20 Content

Item No. Description Amount Days Type 1 Time of Completion $0 0 Other 2 Increase of Bid Item 2.3, $620 0 Other 84-Inch RCP 3 Increase of Bid Item 6.4b, $3,850 0 Other 60-Inch City Manholes 4 Increase of Bid Item 6.4c, $9,100 0 Other 72-Inch City Manholes 5 Increase of Bid Item 7.2, $42,805 0 Other Utility Relocation 6 Increase of Bid Item 8.7, City $95,000 0 Other Inspection Fees Total Change Order No. 20 $151,375 0

Item 1 - When installation of the project pipe and related materials began in March 2003, the Contractor encountered problems and delays. The problems and delays were mainly associated with the 108-inch reinforced concrete pipe. The Orange County Sanitation District (Sanitation District), the Contractor, and the pipe supplier disagreed about the causes of and responsibilities for the problems and delays. The parties

Page 2

entered into a Mediation Settlement Agreement (Agreement) on August 1, 2005. Item 1.3.4 of the Agreement specifies the establishment of a revised date for project completion. This change order sets a new final completion date for the project in accordance with the Agreement. The date was determined based on project stoppage time, manufacturing duration for new pipe, and a new Contractor baseline schedule for the balance of the work. Accordingly, all time extensions granted in prior change orders are null and void. The new completion date will be subject to time extensions in accordance with the terms of the prime contract.

Items 2 through 6: These items reflect an adjustment of engineer’s bid item quantities for work completed during the first phase of this project. In addition, Item 6 includes an increase in funds to cover anticipated future costs.

Typically, changes to original contract quantities would be reflected in the final “Adjustment of Engineer’s Quantities Change Order” considered by the Board of Directors with the contract closeout agreement. Recently, staff has determined that quantity adjustments need to be supported by change orders as they occur. Accordingly, items two through six capture such adjustments made to date on this project.

ALTERNATIVES

None

CEQA FINDINGS

This project was included in the 1999 Strategic Plan Program EIR certified on October 27, 1999. A Notice of Determination was filed on October 29, 1999. Additional CEQA documentation for the project was included in Addendum No. 3 to the EIR approved on December 19, 2001. Addendum No. 8 to the program EIR was certified at the February 2006 Board meeting. These Addenda do not change CEQA findings.

ATTACHMENTS

1. Budget Information Table 2. Change Order Status Report 3. Change Order Performance Report 4. Change Order

MB:dm:bm:sp H:\ntglobal\Agenda Draft Reports\PDC\I-2-4 AR CO #20 091406.doc

Page 3 BUDGET INFORMATION TABLE Bushard Trunk Sewer Rehabilitation CONTRACT NO. I-2-4, CO #20

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS ESTIMATED ESTIMATED BUDGET PROPOSED TOTAL PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION EXPENDITURE EXPENDED TO INCREASE AUTHORIZATION BUDGET BUDGET BUDGET DATE REQUEST TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 74,000 $ 75,000 $ 75,000 $ 75,000 $ 75,000 $ 74,649 100%

Phase 2 - Preliminary Design $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 9,328 93%

Phase 3 - Design $ 2,168,000 $ 2,176,000 $ 2,176,000 $ 2,168,000 $ 2,168,000 $ 2,175,812 100%

Phase 4 - Construction $ 48,142,000 $ 63,687,000 $ 151,375 $ 63,838,375 $ 48,142,000 $ 151,375 $ 48,293,375 $ 31,481,513 65%

Phase 5 - Commissioning $ 416,000 $ 530,000 $ 530,000 $ 326,000 $ 326,000 $ 251,509 77%

Phase 6 - Close-Out $ 72,000 $ 384,000 $ 384,000 $ 40,000 $ 40,000 $ 1,657 4%

Phase 7 - Contingency $ 2,698,000 $ 2,594,000 $ (151,375) $ 2,442,625 $ 2,698,000 $ 2,698,000 0%

PROJECT TOTAL $ 53,580,000 $ 69,456,000 $ - $ 69,456,000 $ 53,459,000 $ 151,375 $ 53,610,375 $ 33,994,468 63%

Reimbursable Costs $ (60,795)

PROJECT NET $ 53,580,000 $ 69,456,000 $ - $ 69,456,000 $ 53,459,000 $ 151,375 $ 53,610,375 $ 34,055,263 64%

PSA/Contract

PDSA - Boyle $ 845,300 $ 2,467,825 $ 2,467,825 $ 2,467,825 $ 2,467,825 $ 124,282 5%

PDSA - Earth Tech $ 2,000,000 $ 2,052,593 $ 2,052,593 $ 2,052,593 $ 2,052,593 $ 1,769,124 86%

PDSA - Malcolm Pirnie $ - $ 223,045 $ 223,045 $ 223,045 $ 223,045 $ 84,417 38%

PDSA - Albert Grover $ - $ 153,000 $ 153,000 $ 153,000 $ 153,000 $ 88,000 58%

Contract I-2-4P - Ameron $ - $ 7,884,725 $ 7,884,725 $ 7,884,725 $ 7,884,725 $ 967,841 12%

I-2-4 Contract - Rados $ 30,003,210 $ 30,528,502 $ 151,375 $ 30,679,877 $ 30,528,502 $ 151,375 $ 30,679,877 $ 20,773,895 68%

I-2-4A Contract - Bubalo $ 10,000,000 $ 10,375,842 $ 10,375,842 $ 10,375,842 $ 10,375,842 $ - 0% Southern California Edison $ - $ 350,000 $ 350,000 $ 350,000 $ 350,000 $ - 0%

EDMS 003814272 CHANGE ORDER STATUS REPORT BUSHARD TRUNK SEWER REHABILITATION JOB NO. I-2-4 CO #20

AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT June 26, 2002 $30,003,210 $30,003,210 550 550 CO NO. 1* April 23, 2003 $150,000 $30,153,210 0.50% 0 550

CO NO. 2 June 25, 2003 $107,724 $30,260,934 0.86% 2*** 552 CO NO. 3 October 22, 2003 $44,293 $30,305,227 1.01% 1*** 553 CO NO. 4 February 25, 2004 $380,251 $30,685,478 2.27% 0 553 CO NO. 5 March 24, 2004 $409,301 $31,094,779 3.64% 0 553 CO NO. 6 May 26, 2004 $27,612 $31,122,391 3.73% 5*** 558 CO NO. 7 June 23, 2004 $163,618 $31,286,009 4.28% 0 558 CO NO. 8 July 21, 2004 $230,317 $31,516,326 5.04% 0 558 CO NO. 9 September 22, 2004 $153,119 $31,669,445 5.55% 0 558 CO NO. 10 November 17, 2004 $242,360 $31,911,805 6.36% 0 558 CO NO. 11 December 15, 2004 $0 $31,911,805 6.36% 49*** 607 CO NO. 12 December 15, 2004 $0 $31,911,805 6.36% 27*** 634 CO NO. 13 February 23, 2004 $225,331 $32,137,136 7.11% 7*** 641 CO NO. 14 March 23, 2005 $98,750 $32,235,886 7.44% 0 641 CO NO. 15 June 22, 2005 $28,253 $32,264,139 7.54% 0 641 CO NO. 16** August 22, 2005 $3,422,266.80 $35,686,405.80 18.94% 0 641 CO NO. 17 October 26, 2005 $23,707.00 $35,710,112.80 19.02% 0 641 CO NO. 18 February 22, 2006 -$823,407.00 $34,886,705.80 16.28% 0 641 CO NO. 19 July 19, 2006 -$4,358,204.00 $30,528,501.80 1.75% 0 641 CO NO. 20 Pending $151,375.00 $30,679,876.80 2.26% 0 N/A*** *Approved by PDC Committee per delegated authority by Board Resolution 99-23 **Approved by General Manager pursuant to Settlement Agreement and Release effective 8/1/05 ***Authorized Time to Date was replaced with a new contract end date of June 20, 2007, per terms of the Settlement Agreement and Release. Accordingly, all time extensions granted in prior change orders are null and void.

EDMS 003814273 CHANGE ORDER PERFORMANCE REPORT BUSHARD TRUNK SEWER REHABILITATION JOB NO. I-2-4, CHANGE ORDER NO. 20

Contractor: STEVE P. RADOS Project Category: COLLECTIONS Design Consultant: BOYLE ENGINEERING Contract % Complete: 54% Original Contract Price: $30,003,210 CHANGE ORDER TYPES TRACKED INFORMATION ONLY

Reimbursable Design Non-Reimbursable Subtotal CO Types Unknown Condition Staff Requested Change Other Total Errors Design Errors Tracked1

Change Orders $0 0.00% $0 0.00% $0 0.00% $0 0.00% $0 0.00% $151,375 0.50% $151,375 0.50% this Period Change Orders to $869,893 2.90% $1,080,992 3.60% $0 0.00% $3,440,446 11.47% $5,391,331 17.97% ($4,866,039) -16.22% $525,292 1.75% Date Change Order Total $869,893 2.90% $1,080,992 3.60% $0 0.00% $3,440,446 11.47% $5,391,331 17.97% ($4,714,664) -15.71% $676,667 2.26% Program < 3.00% < 1.00% 0.00% < 1.00% < 5.00% 0.00% < 5.00% Performance Goals 1 The Change Order Management Plan tracks the preceding four change order types

Version 3/1/2006

EDMS 003814290 Page 1 of 5 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Steve P. Rados, Inc. C.O. No.: Twenty (20) Date: September 27, 2006 Job: Bushard Trunk Sewer Rehabilitation, Job No. I-2-4 Consultant: Boyle Engineering Corporation

Amount of this Change Order (Add) $151,375.00

In accordance with contract provisions, the following changes in the contract and/or contract work are hereby authorized and as compensation, the following additions to or deductions from the contract price are hereby approved.

Item 1 – TIME OF COMPLETION

This item provides a new final completion date for the project in accordance with Item 1.3.4 of the Settlement Agreement and Release (agreement). The agreement requires establishment of a new final completion date acceptable to both the Contractor and the Orange County Sanitation District (Sanitation District), based on availability of new pipe and a reasonable time to finish the balance of the work. By mutual agreement, the new final completion date will be June 20, 2007. The date is based on a Contractor revised baseline schedule for the balance of the work, accepted on May 5, 2006. Accordingly, all time extensions granted in prior change orders are null and void. The new completion date will be subject to time extensions in accordance with the terms of the prime contract.

Contract Time Summary:

Notice To Proceed: September 16, 2002 Original Contract Time: 550 Calendar Days Original Completion Date: March 18, 2004 Time Extension Prior Change Orders: Re-Set to 0 Calendar Days Time Extension This Change Order: N/A Revised Completion Date: June 20, 2007

ADDED COST THIS CHANGE ORDER ITEM: $0.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Item 2 – INCREASE OF BID ITEM 2.3, 84-INCH RCP

This item is for a contract quantity increase of Bid Item No. 2.3, the 84-inch reinforced concrete pipe. The original contract quantity of 185 linear feet is increased by one foot to 186 linear feet. Accordingly, the original bid item amount of $114,700 is increased by $620 to $115,320. Interfering 54-inch storm drain and 36-inch waterline pipes required realignment of the 84-inch sewer at the Banning-Bushard intersection between approximate sewer stations 40+18 and 42+11. The locations of storm drain and waterline as shown on the plans were obtained from City Record Drawings, which did not match actual field locations. The resulting new alignment required the installation of one additional foot of 84-inch sewer pipe. (Reference FCO I24-33)

ADDED COST THIS CHANGE ORDER ITEM: $620.00 Page 2 of 5 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Steve P. Rados, Inc. C.O. No.: Twenty (20) Date: September 27, 2006 Job: Bushard Trunk Sewer Rehabilitation, Job No. I-2-4 Consultant: Boyle Engineering Corporation

TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Item 3 – INCREASE OF BID ITEM 6.4B, 60-INCH CITY MANHOLES

This item is for a contract quantity increase of Bid Item No. 6.4b, 60-inch City of Huntington Beach manholes. The original contract quantity of six manholes is increased by one unit to a total of seven manholes. Accordingly, the original bid item amount of $23,100 is increased by $3,850 to $26,950. The manhole quantity was incorrectly shown in the contract schedule of prices.

ADDED COST THIS CHANGE ORDER ITEM: $3,850.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Item 4 – INCREASE OF BID ITEM 6.4C, 72-INCH CITY MANHOLES

This item is for a contract quantity increase of Bid Item No. 6.4c, 72-inch City of Huntington Beach manholes. The original contract quantity of six manholes is increased by two units to a total of eight manholes. Accordingly, the original bid item amount of $27,300 is increased by $9,100 to $36,400. The manhole quantity was incorrectly shown in the contract schedule of prices.

ADDED COST THIS CHANGE ORDER ITEM: $9,100.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Item 5 – INCREASE OF BID ITEM 7.2, UTILITY RELOCATION

This item is for an adjustment to Bid Item No. 7.2, relocation of utilities by others. The original bid item amount of $100,000, established by the Sanitation District, is increased by $42,805 to $142,805. This original bid item amount was estimated too low, and has been exceeded by the utility relocations to date, as listed below:

• Relocation of approximately 350 feet of 3-inch gas line in the Indianapolis-Bushard intersection, $120,465. • Relocation of approximately 30 feet of 2-inch gas line on Bushard at Main Sewer Station 124+00, $9,711. • Relocation of approximately 30 feet of 2-inch gas line on Bushard at Main Sewer Station 114+70, $10,139. • Relocation of a cable TV line on Banning between approximate Main Sewer Stations 27+00 and 40+00, $2,490.

ADDED COST THIS CHANGE ORDER ITEM: $42,805.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

Page 3 of 5 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Steve P. Rados, Inc. C.O. No.: Twenty (20) Date: September 27, 2006 Job: Bushard Trunk Sewer Rehabilitation, Job No. I-2-4 Consultant: Boyle Engineering Corporation

Item 6 – INCREASE OF BID ITEM 8.7, CITY INSPECTION FEES

This item is for an adjustment to Bid Item No. 8.7, City inspection fees. The original bid item amount of $300,000, established by the Sanitation District, is increased by $95,000 to $395,000. City of Huntington Beach inspection fees have been higher than originally anticipated due to extended project duration and inspection efforts associated with homeowner complaints. Additionally, inspection fees by the Orange County Public Facilities and Resources Department (OCPFRD), and the City of Fountain Valley, have been added to this bid item.

Summary:

$6,080 City of Huntington Beach Paid December 2002 $17,112 City of Huntington Beach Paid February 2003 $289,071 City of Huntington Beach Paid June 2003 $12,400 OCPFRD Paid June 2003 $60,000 City of Huntington Beach Anticipated to End of Project $10,337 City of Fountain Valley Anticipated to End of Project ------∑ $395,000

ADDED COST THIS CHANGE ORDER ITEM: $95,000.00 TIME EXTENSION THIS CHANGE ORDER ITEM: 0 Calendar Days

TOTAL ADDED COST THIS CHANGE ORDER: $151,375.00 TOTAL TIME EXTENSION THIS CHANGE ORDER: 0 Calendar Days Page 4 of 5 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Steve P. Rados, Inc. C.O. No.: Twenty (20) Date: September 27, 2006 Job: Bushard Trunk Sewer Rehabilitation, Job No. I-2-4 Consultant: Boyle Engineering Corporation

The additional work contained within this change order can be performed incidental to the prime work and within the time allotted for the original contract and any revisions to the contract time made by this change order. It is therefore mutually agreed that no extension of time to perform the work is required for this change order, and that no direct or indirect, incidental or consequential costs, expenses, losses or damages have been or will be incurred by the Contractor, except as expressly granted and approved by this change order, and as reserved by the Settlement Agreement and Release.

SUMMARY OF CONTRACT TIME

Original Contract Date: September 16, 2002 Original Contract Time: 550 Calendar Days Original Completion Date: March 18, 2004 Time Extension this C.O.: N/A Total Contract Time Extension: Re-Set to 0 Calendar Days Revised Contract Time: N/A Revised Final Completion Due Date: June 20, 2007 Time Subject to Liquidated Damages: N/A Actual Final Completion Date: N/A

Original Contract Price $30,003,210.00 Prev. Authorized Changes $ 525,292.00 This Change (Add) $ 151,375.00 Amended Contract Price $30,679,877.00

Page 5 of 5 ORANGE COUNTY SANITATION DISTRICT 10844 ELLIS AVENUE, P.O. BOX 8127 FOUNTAIN VALLEY, CALIFORNIA 92728-8127

CHANGE ORDER

Contractor: Steve P. Rados, Inc. C.O. No.: Twenty (20) Date: September 27, 2006 Job: Bushard Trunk Sewer Rehabilitation, Job No. I-2-4 Consultant: Boyle Engineering Corporation

Board Authorization Date: September 27, 2006

ORANGE COUNTY SANITATION DISTRICT

Recommended by:

Tod E. Haynes, P.E. Date Engineering and Construction Manager

Approved by:

David A. Ludwin, P.E. Date Director of Engineering

Accepted by:

Steve P. Rados, Inc.

______Contractor Date

EDMS 003814276 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-96 12(m) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: Bob Schirripa, IPMC Project Manager

SUBJECT: LABORATORY REFURBISHMENT AT PLANT NO. 1, JOB NO. J-97

GENERAL MANAGER'S RECOMMENDATION

Approve a Professional Design Services Agreement with The Austin Company to prepare a Feasibility Study for Laboratory Refurbishment at Plant No. 1, Job No. J-97, for an amount not to exceed $122,400.

SUMMARY

• The purpose of this project is to assess the future needs of the Laboratory along with the cost and effort that will be required to bring it into compliance with building codes. The Laboratory and subsequent modifications were built without a building permit from the City of Fountain Valley. In order to receive a permit for new Laboratory modifications, the entire Laboratory will need to be retroactively permitted first. The Orange County Sanitation District (Sanitation District) has done this on other buildings that were originally built without a permit, but the Laboratory is much larger and more complicated so this study is recommended before more work is done.

• Requests for proposal were sent to eight architectural/engineering firms. Four of the eight architectural/engineering firms provided a proposal to the Sanitation District. The proposals were evaluated in accordance with defined Sanitation District procedures and staff recommends the approval of the Professional Design Services Agreement to The Austin Company.

• Once the feasibility study is completed, staff will make a recommendation on a project that will be in next year’s budget.

PRIOR COMMITTEE/BOARD ACTIONS

None

PROJECT/CONTRACT COST SUMMARY

Please see the attached Budget Information Table. A total of $122,400 for consulting services is requested for authorization.

Revised: 06/04/03 Page 1

BUDGET IMPACT

This item has been budgeted. (Line item: Section 8, Page 101). This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item).

ADDITIONAL INFORMATION

The Consultant will perform a feasibility study:

• To identify the modifications required to bring the Laboratory Building up to current building codes and obtain an occupancy permit from the City of Fountain Valley.

• To determine the construction cost for the various modifications to the laboratory rooms within the Laboratory as delineated in the Scope of Work.

ALTERNATIVES

The City of Fountain Valley has determined that an occupancy permit will be required to make any future modifications to the Laboratory. Performing the feasibility study now would identify the costs associated with any permit requirements and allow the Sanitation District to make informed decisions for future Laboratory projects.

CEQA FINDINGS

This project is exempt per CEQA. A notice of exemption will be filed at the appropriate time.

ATTACHMENTS

1. Budget Information Table 2. PSA Status Report 3. Summary of Staff Evaluation of Proposals

RS:kf:bm:kf H:\ntglobal\Agenda Draft Reports\PDC\J-97 AR 080306.doc

Revised: 06/04/03 Page 2 BUDGET INFORMATION TABLE LABORATORY REFURBISHMENT AT PLANT NO. 1 JOB NO. J-97

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS ESTIMATED ESTIMATED BUDGET PROPOSED TOTAL PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION EXPENDITURE TO EXPENDED TO INCREASE AUTHORIZATION BUDGET BUDGET BUDGET DATE REQUEST DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 106,000 $ 450,000 $ - $ 450,000 $ 182,363 $ 122,400 $ 304,763 $ 82,767 27%

Phase 2 - Preliminary Design $ 104,000 $ 35,000 $ - $ 35,000 $ 34,487 $ - $ 34,487 $ 34,487 0%

Phase 3 - Design $ 770,000 $ - $ - $ - $ 130 $ 130 $ 130 100%

Phase 4 - Construction $ 4,930,744 $ - $ - $ -

Phase 5 - Commissioning $ 79,000 $ - $ - $ -

Phase 6 - Close-Out $ 21,000 $ - $ - $ - $ -

Phase 7 - Contingency $ 902,149 $ 50,000 $ - $ 50,000 $ -

PROJECT TOTAL $ 6,912,893 $ 535,000 $ - $ 535,000 $ 216,980 $ 122,400 $ 339,380 $ 117,384 35%

Reimbursable Costs

PROJECT NET $ 6,912,893 $ 535,000 $ - $ 535,000 $ 216,980 $ 122,400 $ 339,380 $ 117,384 35%

PSA/Contract

Design PSA $ 250,000 $ 250,000 $ 122,400 $ 122,400

Construction Contract $ - $ -

EDMS:003811981 Professional Design Services Agreement Status Report

LABORATORY REFURBISHMENT AT PLANT NO. 1 JOB NO. J-97

Total Project Budget: $535,000 Consultant: The Austin Company

Accumulated Date Amendment Description Cost Costs Design engineering services for a feasibility study to Pending Original determine the requirements to bring the Laboratory Building $122,400 $122,400 up to current codes in order to obtain an occupancy permit from the City of Fountain Valley and to construct various modifications to the existing laboratory rooms

RS:kf

EDMS:003811980

09/06/06 LABORATORY REFURBISHMENT AT PLANT NO. 1

J-97

Staff Evaluation of Proposals to Provide Engineering Services

The following interested consulting firms received Requests for Proposals:

• Glumac International • AC Martin Partners, Inc. • Alexander & Hibbs • The Austin Company • Bauer & Wiley • Carrier Johnson • HMC Architects • JLP Architects, Inc.

Carrier Johnson declined to submit a proposal and no proposals were received from Glumac International, Alexander & Hibbs, and Bauer & Wiley. As a result, there were four (4) responsive proposals received on May 24, 2006. Proposals were reviewed in-house by a review panel from May 25, 2006 to June 15, 2006. Each proposal was graded from 1 to 10 (10 being best) in six categories described below:

1. Project Approach and Understanding of the Scope of Work (31%) – Rates the team’s understanding of the Scope of Work included in the RFP and their approach to the work, methodology, and task breakdown. 2. Plan for Managing and Performing the Work (19%) -- Rate the team's project management techniques and methods and procedures for performing the tasks. 3. Applicable Related Project Experience (19%) – Rates the team’s overall total number of years experience and roles performing engineering services as it relates directly to the design and construction of this project. This also rates the team’s recent experience on applicable projects as it relates directly to the design and construction support for this project. 4. Applicable Staff Qualifications (19%) – A comparison of the team’s educational background and professional qualifications as they relate to the Scope of Work for this project. 5. Team Organization and Use of Subconsultants (6%) – Addresses the appropriateness of assignments to consultant staff and/or subconsultants to consultant teams. 6. Proposed Schedule (6%) - Does the proposed schedule meet District needs and can the Consultant meet the schedule.

EDMS: 003811982 The four (4) proposals were evaluated. After reviewing and grading the proposals, the four consulting firms were ranked according to the score achieved. The following summarizes the attached ranking results for the four firms: 1. The Austin Company: 1626 Points 2. HMC Architects 1494 Points 3. AC Martin Partners 1474 Points 4. JLP Architects 1336 Points

The following is a summary of how the evaluation team collectively viewed the top ranked consultant:

The Austin Company

The Austin Company had the highest-ranked proposal based on meeting the OCSD requirements for understanding the Scope of Work, project approach, management techniques, applicable project experience, and team organization. Specifically, the project manager for The Austin Company has over 20 years experience in this type of work including a feasibility study for the Orange County Water District (OCWD). In addition, The Austin Company has performed similar work for other local agencies and facilities. Because of this, The Austin Company is able to perform the work without the use of subconsultants which provides for better control of the project and a single point of contact.

Fee Proposals

After the final ranking of proposals, the sealed fee proposals submitted by the all of the firms were opened. The total fee received from the consultants arranged in order of the final ranking was

The Austin Company $122,400 HMC Architects $203,682 AC Martin Partners, Inc. $102,479 JLP Architects, Inc. $ 94,829

As indicated from the above summary, The Austin Company’s fee was in line with the other fees and represented a value slightly less than 50% of the $250,000 budget allocated for this work.

Summary

Based on the results that ranked The Austin Company highest technically, coupled with a fee that is approximately 65% less than the next highest ranked firm, staff recommends that The Austin Company be awarded the Professional Design Services Agreement (PDSA) for Laboratory Refurbishment at Plant No. 1, Job No. J-97 for a design fee not to exceed $122,400.

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EDMS: 003811982 TABLE 1.0

Laboratory Refurbishment at Plant No. 1/J-97

STAFF EVALUATION OF PROPOSALS FOR CONSULTING SERVICES

AC Martin Firm JLP Architects The Austin Co. HMC Architects Partners Reviewer A 252 304 262 292 Reviewer B 236 226 208 226 Reviewer C 182 308 274 208 Reviewer D 214 248 242 230 Reviewer E 174 260 232 238 Reviewer F 278 280 276 280 Total Score (1,920 Points Maximum) 1336 1626 1494 1474 Average Score (320 Points Maximum) 222.7 271.0 249.0 245.7 Feasibility Study Completion 16 16 16 16 Proposed (Weeks) Prime Consultant Fee $49,490 $122,400 $99,652 $44,748 Subconsultant Fee $45,339 $0 $28,000 $57,731

Proposed Not to Exceed Fee $94,829 $122,400 $203,682 $102,479

EDMS: 003811982 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-97 12(n) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: Bob Schirripa, IPMC Project Manager

SUBJECT: REHABILITATION OF ODOR CONTROL FACILITIES, JOB NO. J-71-8

GENERAL MANAGER'S RECOMMENDATION

(1) Approve Amendment No. 5 to the Professional Services Agreement with Camp, Dresser, & McKee for Rehabilitation of Odor Control Facilities, Job No. J-71-8 providing for an adjustment to the burdened labor rates for an additional amount of $109,668, increasing the total amount not to exceed $5,028,372.

SUMMARY

• In October 2003, the Orange County Sanitation District (Sanitation District) issued a Professional Services Agreement (PSA) to Camp, Dresser, & McKee (CDM) to provide engineering services for the Rehabilitation of Odor Control Facilities, Job No. J-71-8. This project upgrades the odor control facilities at the Metering and Diversion, Headworks, and Primary Clarifiers in Plant No. 1.

• Amendment No. 5 modifies the currently approved PSA by the following:

o Increases the burdened labor rates to bring them up to date with the scheduled completion of the work included in the PSA.

o Provides consultant support services during the bidding and construction of the Temporary Odor Control Facilities for Ellis Pump Station and Trunkline.

o Provides for potholing in the Headworks and Primary Treatment areas in an effort to identify as many underground obstructions and pipelines as possible in order to minimize change orders attributed to this situation during construction.

o Develop construction cost estimates and life cycle cost estimates for the additional odor modeling runs that were authorized in Amendment No. 4.

o Develop plans showing power being supplied to the air compressor in the Headworks from Power Building (PB) 3A instead of PB 10 because of space constraints in PB 10.

PRIOR COMMITTEE/BOARD ACTIONS

The attached PSA Status Report summarizes all Board actions.

Page 1

PROJECT/CONTRACT COST SUMMARY

The attached contract Amendment No. 5 letter from CDM dated July 18, 2006, summarizes the scope and costs associated with the proposed Amendment No. 5. Authorization is requested to increase the value of the PSA by $109,668, which will result in a total PSA not to exceed $5,028,372.

BUDGET IMPACT

This item has been budgeted. (Line item: Section 8 – Page 79) This item has been budgeted, but there are insufficient funds. This item has not been budgeted Not applicable (information item)

Contingency funds will be used to pay for the increased cost. Please see the attached Budget Information Table for additional information.

ADDITIONAL INFORMATION

The work identified in proposed Amendment No. 5 has been determined by staff as necessary for the successful completion and implementation of Rehabilitation of Odor Control Facilities, Job No. J-71-8. As listed below, the work identified in the proposed Amendment No. 5 was the result of adjusting the burdened labor of the consultant and the allocation of unused budget from Amendment No. 4 to different scope items.

o The original scope of Job No. J-71-8 included the facilities to control the odors from the Ellis Pump Station, Job No. I-10. With the delay in the commencement of construction activities of three years for Job No. J-71-8, it became necessary to provide temporary odor control facilities for Job No. I-10 for the period of time between the completion of Job No. I-10 and the completion of Job No. J-71-8. This three year delay is a result of the work done during the CIP Oversight Committee workshops and their efforts to reduce the overall rate increases. Their additional work includes support during bidding and construction. The total estimate for this task is $22,740.

o The Final Design Submittal (FDS) for the project has been delayed for 14 months. The FDS was originally scheduled to be completed in September 2005, but is now scheduled to be completed in October 2006. There were two primary reasons or causes for this delay. The first reason was the odor modeling for Plant No. 1 and 2 based on odor units which was approved in Amendment No. 2. Odor units are a better indicator of nuisance odors than the previous measure of Hydrogen Sulfide. The second reason was the development of scope reduction scenarios in order to reduce the capital cost of the project to support the efforts of the CIP Oversight Committee’s efforts to limit rate increases. During this time, the design portion of the project progressed on a very slow basis in order to maintain continuity and to retain the essential members of the design team. CDM continued to work on areas of the design that would not be affected by the ultimate decision of OCSD. For these continued efforts, CDM incurred additional costs for project management, additional progress meetings (16 meetings), and invoice preparation (8 invoices). An additional $161,913 is required to cover additional costs.

Page 2 o In order to reduce changes during construction, we are proposing that the Sanitation District consider additional underground utility research (potholing) on this project. We are proposing that a maximum of 30 potholes be completed. CDM’s time for this project includes managing the subconsultants doing the field work, determining the locations to be researched, overseeing the field activities, and summarizing the findings in a technical memorandum. The estimated cost for this task is $69,450.

o CDM was authorized to do nine additional odor modeling runs for the P1-102 project as part of Amendment No. 4. CDM was requested to do this work because the P1-102 project changed during design and needed to be remodeled. CDM did the original modeling. It was not envisioned that the additional modeling runs would need to include a cost estimate of the odor control technologies as well as an estimate of the operating costs. This task includes the cost to develop the capital cost estimates and operating costs. CDM requests an additional $6,617 to complete this work.

o The Sanitation District recently requested that the CDM team provide power for the Headworks air compressor from Power Building 3A instead of Power Building 10 because Power Building 3A has backup power which is necessary for this essential equipment. The estimate for this task is $8,550.

o The original completion date for the design of this project was September 2005. However, the design completion date was delayed until October 2006 because of the reexamination of the CIP program and its impact on the sewer rates that are charged by the Sanitation District. This re-scoping of the project coupled with the delay in the design effort resulted in an overall delay of 14 months. Accordingly, the labor rates used to develop the original PSA in October 2003 did not account for 14 month delay. CDM requests that the burdened labor rates be adjusted beginning from September 2005. Staff has reviewed the requested increase and has confirmed that it is reasonable based on the Consumer Price Index (CPI) for the Los Angeles-Riverside- Orange County area as published by the U.S. Department of Labor. This requires a budget increase of $109,668.

ALTERNATIVES

No viable alternatives are being presented for consideration.

CEQA FINDINGS

This project was included in the Sanitation District’s Strategic Plan Program EIR. The EIR was certified on October 27, 1999 and a Notice of Determination was filed on October 29, 1999. In addition, a Notice of Exemption was filed with the County of Orange on February 24, 2004.

ATTACHMENTS

1. Budget Information Table 2. PSA Status Report 3. Letter from CDM dated July 18, 2006

RS:kf H:\ntglobal\Agenda Draft Reports\PDC\J-71-8 PSA Amendment 5 AR 090706.doc

Page 3 BUDGET INFORMATION TABLE REHABILITATION OF ODOR CONTROL FACILITIES JOB NO. J-71-8

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS ESTIMATED ESTIMATED BUDGET PROPOSED TOTAL PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION EXPENDITURE EXPENDED TO INCREASE AUTHORIZATION BUDGET BUDGET BUDGET DATE REQUEST TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 46,180 $ 46,175 $ 46,175 $ 46,180 $ 46,180 $ 46,175 100% Phase 2 - Preliminary Design $ 1,359,368 $ 1,365,434 $ 1,365,434 $ 1,359,368 $ 1,359,368 $ 1,365,434 100%

Phase 3 - Design $ 5,074,395 $ 6,481,193 $ 109,668 $ 6,590,861 $ 5,074,395 $ 109,668 $ 5,184,063 $ 4,140,957 80%

Phase 4 - Construction $ 41,296,902 $ 30,867,839 $ 30,867,839 $ 2,220,028 $ - $ 2,220,028 $ 165,878 7% Phase 5 - Commissioning $ 351,986 $ 483,472 $ 483,472 $ 210,018 $ 210,018 $ (21,516) -10%

Phase 6 - Close-Out $ 84,145 $ 135,463 $ 135,463 $ 55,189 $ 55,189 $ 377 1%

Phase 7 - Contingency $ 5,494,414 $ 5,074,441 $ (109,668) $ 4,964,773 $ - 0%

PROJECT TOTAL $ 53,707,390 $ 44,454,017 $ - $ 44,454,017 $ 8,965,178 $ 9,074,846 $ 5,697,305 63%

Reimbursable Costs

PROJECT NET $ 53,707,390 $ 44,454,017 $ - $ 44,454,017 $ 8,965,178 $ 9,074,846 $ 5,697,305 63%

PSA/Contract

Design PSA $ 2,103,123 $ 4,918,704 $ 109,668 $ 5,028,372 $ 4,918,704 $ 109,668 $ 5,028,372 $ 4,186,193 83%

Construction Contract $ 21,031,232 $ 38,810,571 $ - $ 38,810,571 $ - $ -

EDMS: 003813394 Professional Services Agreement Status Report

REHABILITATION OF ODOR CONTROL FACILITIES JOB NO. J-71-8

Total Project Budget: $53,707,390 Consultant: Camp, Dresser, & McKee (CDM)

Accumulated Date Amendment Description Cost Costs 10/22/03 Original Design engineering services for modifications of odor control facilities at Metering & Diversion, Headworks, and $3,197,522 $3,197,522 Primary Facilities in Plant No. 1. Additional design services required for the expansion of 9/22/04 Amendment 1 Power Building No. 4 and associated electrical equipment $377,685 $3,575,207 as well as the implementation of electrical design changes as a result of project J-25-4. Additional design services required for the expansion of Power Building 3A including the cost for relocating existing $645,674 $4,220,881 11/17/04 Amendment 2 equipment to the new expansion. Also, additional design services for the modeling of Plant Nos. 1 & 2 based on odor units instead of H2S equivalents along with the feasibility studies to determine the proper treatment processes. Elimination of Loop Diagrams; additional odor modeling 6/22/200 Amendment 3 work; additional design services to incorporate Ellis Pump $370,651 $4,591,532 5 Station into the Headworks Odor Control System; the re- design of plant water de-chlorination system; and Relocation of Power Building 3A expansion

09/06/06 Professional Services Agreement Status Report

REHABILITATION OF ODOR CONTROL FACILITIES JOB NO. J-71-8

Design for temporary odor control facilities for Ellis Pump Station & Trunkline; Pump selection for Waste Sidestream $327,172 $4,918,704 Pump Station; Development of drawings for redundant air 3/22/06 Amendment 4 conditioner for Control Center computer room; Incorporation of new nameplate schedule; additional odor modeling for P1-102 facilities; and Preparation of separate bid packages for Headworks and Primary Treatment odor control Adjust burdened labor rates to account for decision to extend the final design submittal until Oct 2006; Allocate $109,668 $5,028,372 unused budget from Amendment No. 4 regarding the splitting of the project to support the bidding and construction of the Ellis Pump Station Temporary Odor Control Facilities, Acknowledge the delay in the Pending Amendment 5 commencement of construction activities until July 2009, Performing potholing in an effort to discover underground obstructions prior to construction, Develop construction cost estimates for the additional odor modeling runs authorized in Amendment No. 4, Preparation of plans in order to feed power to the air compressor located in the Headworks from PB3A instead of PB10, and Modification of scope to produce a final design submittal 3 in lieu of a final design submittal

RS:kf EDMS: 003813392

09/06/06 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-98 12(o) Orange County Sanitation District

FROM: David Ludwin, Director of Engineering Originator: Gino Rapagna, IPMC Project Manager

SUBJECT: SUNFLOWER INTERCEPTOR MANHOLE REHABILITATION, CONTRACT NO. 7-21

GENERAL MANAGER'S RECOMMENDATION

Approve Amendment No. 8 to the Professional Service Agreement with Tran Consulting Engineers for additional construction support services for Sunflower Interceptor Manhole Rehabilitation, Contract No. 7-21, for an additional amount of $7,625, increasing the total amount not to exceed $1,270,697.

SUMMARY

• This contract is for the rehabilitation or repair of 40 manholes and repair of pipelines at several locations on the Sunflower Interceptor Sewer.

• Tran Consulting Engineers prepared the plans and specifications and the construction contract was awarded to Sancon Engineering, Inc. on June 22, 2005.

• The project is nearing the end of construction. Tran Consulting Engineers and CSI Services have depleted their construction services budget due to the addition of change order work that required inspection. This amendment will provide additional budget for performance of inspection services necessary to complete the project.

• The additional fees are based on estimates prepared by Tran Consulting Engineers and their subconsultant, CSI Services. All work performed and billed will be on an as requested basis by Sanitation District staff, as necessary to support the project.

PRIOR COMMITTEE/BOARD ACTIONS

See attached PSA Status Report.

PROJECT/CONTRACT COST SUMMARY

This Professional Service Contract (PSA) covers three separate projects. The total not to exceed amount that is associated with the Sunflower Interceptor Manhole Rehabilitation, Contract No. 7-21, is $652,608. The balance of the PSA amount is for work associated with the Santa Ana Trunk Sewer, Contract No. I -17, and the Bushard Trunk Sewer, Contract No. I-2-4.

Page 1 BUDGET IMPACT

This item has been budgeted. (Line item: Section 8 – Page 34 of Budget) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

See attached Budget Information Table for allocation of budget associated with Contract No. 7-21.

ADDITIONAL INFORMATION

This project involves manhole rehabilitation, including removal of unsound, corroded concrete and application of coatings for corrosion protection and longevity. In the past, the District has predominantly used polyurethane coatings for manhole shaft protection. For this project, based on O&M staff and Consultant recommendations, two different types of coating materials (polyurethane and epoxy) will be used. This will allow future comparison of performance of the two coatings. If adequate performance is achieved with the epoxy coating, it may be considered a cost-effective alternative to polyurethane coating.

In order to appropriately compare performance of the two coatings in the future, it was necessary to establish uniform baseline conditions during installation. District staff do not have sufficient experience in protective coating application inspection, as necessary to assure conformance to standards of the National Association of Corrosion Engineers (NACE), the Society of Protective Coatings (SSPC), and the American Society for Testing and Materials (ASTM). Therefore, it was necessary to retain third party (expert) surface preparation and coating inspection services. CSI was contracted as a subconsultant to Tran Consulting Engineers, the project's design engineer. CSI has extensive background in protective coating inspection. Their services thus far on this project have been satisfactory.

Construction of the project commenced in January 2006. Additional inspection efforts have been necessary to complete the contract and change order work. As necessary in response to project needs, Tran Consulting Engineers and CSI Services have depleted their current construction services budget. This amendment will provide additional budget for performance of inspection services necessary to complete the project.

ALTERNATIVES

Sanitation District inspectors could have been assigned to perform the inspection services required. This alternative was not pursued by the Sanitation District staff since the Sanitation District inspectors did not have the necessary experience and training in this type of protective coating application. Additionally, it was desired to provide inspection continuity between completed work and outstanding work.

Page 2 CEQA FINDINGS

This project has been determined to be exempt from CEQA under Article 19 (Categorical Exemptions), Section 15301 (d) Existing facilities, restoration or rehabilitation of deteriorated or damaged structures. A Notice of Exemption has been filed.

ATTACHMENTS

1. Budget Information Table 2. PSA Status Report 3. Proposal Letter from Tran Consulting Engineers

GJR:bm:eh H:\ntglobal\Agenda Draft Reports\PDC\7-21 AR PSA Amend 8.doc

Page 3 BUDGET INFORMATION TABLE SUNFLOWER INTERCEPTOR MANHOLE REHABILITATION CONTRACT NO. 7-21

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 17,000 $ 35,755 $ 35,755 $ 35,755 $ 35,755 $ 35,755 100%

Phase 2 - Preliminary Design $ 215,000 $ 186,485 $ 186,485 $ 186,485 $ 186,485 $ 186,485 100%

Phase 3 - Design $ 264,400 $ 835,556 $ 835,556 $ 835,556 $ 835,556 $ 835,556 100%

Phase 4 - Construction $ 3,511,000 $ 2,492,831 $ 2,492,831 $ 2,485,206 $ 7,625 $ 2,492,831 $ 1,576,573 63%

Phase 5 - Commissioning $ 482,300 $ 1,304 $ 1,304 $ 1,304 $ 1,304 $ 1,304 100%

Phase 6 - Close-Out $ - $ 20,069 $ 20,069 $ 20,069 $ 20,069 $ 469 2%

Phase 7 - Contingency $ 897,900 $ - $ - $ - $ -

PROJECT TOTAL $ 5,387,600 $ 3,572,000 $ - $ 3,572,000 $ 3,564,375 $ 7,625 $ 3,572,000 $ 2,636,142 74%

Reimbursable Costs

PROJECT NET $ 5,387,600 $ 3,572,000 $ - $ 3,572,000 $ 3,564,375 $ 7,625 $ 3,572,000 $ 2,636,142 74%

PSA/Contract

Design PSA $ 561,760 $ 652,608 $ 652,608 $ 644,983 $ 7,625 $ 652,608

Construction Contract $ 2,949,240 $ 2,103,021 $ 2,103,021 $ 2,103,021 $ 2,103,021

EDMS: 003814994 Professional Services Agreement Status Report

SUNFLOWER INTERCEPTOR MANHOLE REHABILITATION CONTRACT NO 7-21

Total Project Budget: $3,571,960 Consultant: Tran Consulting Engineers

Accumulated Date Amendment Description Cost Costs Provide physical inspection and engineering services to evaluate the structural integrity of Bushard Trunk 1/17/2001 Original PSA Sewer I-2-4 ($268,859), Santa Ana Trunk Sewer I-17 $900,000 $900,000 ($300,207), Sunflower Interceptor Sewer 7-21 ($330,935) Contract No. I-2-4: Additional labor, material, and equipment necessary to operate the flow diversion 4/17/2001 1 $24,990 $924,990 structures. Increase original amount of $268,859 by $24,990 to $293,849 Additional labor, material, and equipment necessary to operate the flow diversion structures for Contract No.1-17 & No. 7-21. Increase original amount for 9/06/2001 2 $47,099 $972,089 Contract No. 1-17 from $300,207 by $11,519 to $311,726 and for Contract No. 7-21 from 330,935 by $35,580 to $366,515 Contract No. I-2-4: Additional labor, material, and equipment necessary to set-up and remove by-pass 4/04/2002 3 pumps, flow evaluation, field investigation, and $12,515 $984,604 technical analysis. Increase original amount from $293,849 by $12,515 to $306,364

Page 1 of 2 Contract No. 7-21: Additional engineering services necessary for the design of rehabilitation of the 5/20/2004 4 manholes and portions of trunk sewers. Increase $152,093 $1,136,697 original amount from $366,515 by $152,093 to $518,608 Contract No. 7-21: Additional engineering services necessary to develop and test a diversion plan 4/27/2005 5 including flow rate measurement necessary for the $66,087 $1,202,784 pipeline repair. Increase original amount from $518,608 by $66,087 to $584,695 Contract No. 7-21: Additional engineering services necessary to inspect the new type coatings in 9/28/2005 6 $29,600 $1,232,384 accordance with NACE, SSPC, and ASTM standard testing practices Contract No. 7-21: Additional engineering services necessary to complete inspection of coating 5/24/2006 7 $30,688 $1,263,072 application in manholes and rehabilitation of the interceptor lining. Contract No. 7-21: Additional engineering services PENDING 8 necessary to complete inspection of coating $7,625 $1,270,697 application in manholes.

(*) This Professional Service Contract (PSA) covers three separate projects and the accumulated cost is for the combined contract. The total not to exceed amount for Engineering Services for Sunflower Interceptor Manhole Rehabilitation, Contract No. 7-21, is $652,608. The balance of the cost is for work on the Santa Ana Trunk Sewer, Contract No. I -17, and the Bushard Trunk Sewer, Contract No. I-2-4

EDMS: 003814385

Page 2 of 2 Meeting Date To Bd. of Dir. PDC COMMITTEE 09/14/06 09/27/06 Item Number Item Number AGENDA REPORT PDC06-99 12(p) Orange County Sanitation District

FROM: Dave Ludwin, Director of Engineering Originator: Umesh Murthy, CIP Project Manager

SUBJECT: AREA CLASSIFICATION STUDY IMPLEMENTATION PLAN PLANT NOS. 1 AND 2, JOB NO. J-35-2

GENERAL MANAGER'S RECOMMENDATION

Approve Settlement Agreement with Parsons Engineering Science for Area Classification Study Implementation Plan, Plant Nos. 1 and 2, Job No. J-35-2, for a reimbursement amount of $610,667.

SUMMARY

• This project implements a study of Plant Nos. 1 and 2 to comply with the National Electrical Code (NEC) and National Fire Protection Association (NFPA) 820 Standards. The work includes modification of ventilation systems to meet the code requirements, replacement or modification of electrical systems, installation of a fire alarm system in the tunnels, and replacement/relocation of digester and natural gas piping.

• The plans and specifications were prepared by Parsons Engineering Science/ Lee & Ro, and the contract was awarded to J.F. Shea Construction, Inc. on June 26, 2002. The construction was completed on February 28, 2006 and the closeout agreement to the construction contract was approved by the Board on April 26, 2006.

• The total change order percent to the construction contract is 33.2%. There have been ongoing discussions by staff with the Design Consultant regarding the quality of the design work which had led to the high change order percentage on this project. Staff has reported these discussions to the PDC Committee at its September 2004, December 2004, February 2005, May 2005, June 2005, August 2005, December 2005, and April 2006 meetings.

• If the proposed Settlement Agreement is approved, Parsons will provide a total reimbursement of $610,667 to the Sanitation District to resolve the dispute relating to excessive omissions and errors on this project.

Page 1

PRIOR COMMITTEE/BOARD ACTIONS

Please see attached list of approved PSA, amendments, construction contract, and change orders.

PROJECT/CONTRACT COST SUMMARY

Construction Contract – JF Shea Construction Inc.

Original Contract $14,066,442 Total Change Orders $ 4,669,105 Percentage Increase 33.2 % Final Contract Price $18,735,547

Design Contract – Parsons Engineering Science, Inc.

Original PSA $ 2,280,580 Amendments 1-6 $ 2,247,441 Final PSA Amount $ 4,528,021

BUDGET IMPACT

This item has been budgeted. (Line item: 2005-2006 Budget Section 8, page 111) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

The project’s total change order percentage is 33.2%. The breakdown of all change orders as a percentage of the construction contract is as follows:

Staff Requested Design Change: 8.62% Nonreimbursable Design Error 22.28% Reimbursable Design Error .99% Unknown Condition 0.82% Other .48% Total Percentage Increase 33.2%

The reimbursements with Parsons Engineering Science were negotiated based on the following criteria:

1. Additional Staff labor costs incurred by the Sanitation District to process change order items due to excessive design errors on this project.

2. Additional costs incurred by the Sanitation District due to reduced competition in change order items.

Page 2 3. Repeat design work done by the Design Consultant during the design and construction phase of this project.

4. Costs incurred by the Sanitation District due to reimbursable design errors.

Based on the negotiations, the Design Consultant has agreed to reimburse the Sanitation District a total amount of $610,667. Staff finds this reimbursement amount to be reasonable and recommends approval of the Settlement Agreement. The amount of $310,667 has been reimbursed through credits on work already done by Parsons and the remaining $300,000 will be a cash reimbursement to the Sanitation District. Please see the attached Settlement Agreement.

ALTERNATIVES

N/A

CEQA FINDINGS

This project is categorically exempt from CEQA requirements.

ATTACHMENTS

1. Budget Information Table 2. Change Order Status Report 3. PSA Status Report 4. Settlement Agreement

UM:bm:kf H:\ntglobal\Agenda Draft Reports\PDC\J-35-2 AR Sept 2006 PDC.doc

Page 3 BUDGET INFORMATION TABLE AREA CLASSIFICATION STUDY IMPLEMENTATION PLAN, PLANT NOS. 1 & 2 JOB NO. J-35-2

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS ESTIMATED ESTIMATED BUDGET PROPOSED TOTAL PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION EXPENDITURE EXPENDED TO INCREASE AUTHORIZATION BUDGET BUDGET BUDGET DATE REQUEST TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 106,000 $ 159,000 $ 159,000 $ 159,000 $ 159,000 $ 159,000 100%

Phase 2 - Preliminary Design $ 682,000 $ 672,000 $ 672,000 $ 672,000 $ - $ 672,000 $ 672,000 100%

Phase 3 - Design $ 3,745,000 $ 3,072,000 $ 3,072,000 $ 3,072,000 $ 3,072,000 $ 3,072,000 100%

Phase 4 - Construction $ 21,307,170 $ 24,086,822 $ - $ 24,086,822 $ 24,086,822 $ - $ 24,086,822 $ 24,086,822 100%

Phase 5 - Commissioning $ 281,328 $ 431,000 $ - $ 431,000 $ 431,000 $ - $ 431,000 $ 400,000 93%

Phase 6 - Close-Out $ 70,332 $ 618,000 $ - $ 618,000 $ 618,000 $ - $ 618,000 $ 400,000 65%

Phase 7 - Contingency $ 3,153,170 $ - $ - $ - $ - $ -

PROJECT TOTAL $ 29,345,000 $ 29,038,822 $ - $ 29,038,822 $ 29,038,822 $ - $ 29,038,822 $ 28,789,822 99%

Reimbursable Costs* $ - $ -

PROJECT NET $ 29,345,000 $ 29,338,822 $ - $ 29,338,822 $ 29,038,822 $ - $ 29,038,822 $ 28,789,822 99%

PSA/Contract

Design PSA $ 3,411,411 $ 4,528,021 $ - $ 4,528,021 $ 4,528,021 $ 4,528,021 $ 4,250,000 94%

Construction Contract $ 14,066,442 $ 18,735,547 $ - $ 18,735,547 $ 18,735,547 $ - $ 18,735,547 $ 18,735,547 100%

*The reimbursement will be shown as a reimbursable cost once payment has been made.

EDMS: 003815060 CHANGE ORDER STATUS REPORT Area Classification Study Implementation Plan, Plant Nos. 1 and 2 JOB NO. J-35-2

AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT June 26, 2002 $14,066,442 $14,066,442 0.00% 1006 1006

CO NO. 1* May 1, 2003 $115,280 $14,181,722 0.82% 0 1006

CO NO. 2* September 4, 2003 $83,195 $14,264,917 1.41% 0 1006 CO NO. 3 October 22, 2003 $269,345 $14,534,262 3.33% 0 1006 CO NO. 4 November 19, 2003 $197,094 $14,731,356 4.73% 0 1006 CO NO. 5 February 25, 2004 $214,954 $14,946,310 6.26% 0 1006 CO NO. 6 March 24, 2004 $142,606 $15,088,916 7.27% 0 1006 CO NO. 7 April 28, 2004 $194,205 $15,283,121 8.65% 0 1006 CO NO. 8 Sept. 22, 2004 $166,328 $15,449,449 9.83% 0 1006 CO NO. 9 Dec. 15, 2004 $527,005 $15,976,454 13.58% 0 1006 CO NO. 10 Feb. 23, 2005 $469,382 $16,445,836 16.92% 0 1006 CO NO. 11 May 25, 2005 $349,285 $16,795,121 19.39% 0 1006 CO NO. 12 June 22, 2005 $175,562 $16,970,683 20.65% 0 1006 CO NO. 13 August 24, 2005 $324,670 $17,295,353 23.00% 0 1006 CO NO. 14 December 21, 2005 $365,822 $17,661,175 25.56% 0 1006 CO NO. 15 April 26, 2006 $1,056,372 $18,717,547 33.07% 256 1262 CO NO. 16 April 26, 2006 $18,000 $18,735,547 33.19% 0 1262 *Approved by PDC Committee per delegated authority by Board Resolution 99-23

EDMS: 003815059 Professional Services Agreement Status Report

Area Classification Study Implementation Plan

Job No. J-35-2

Total Project Budget: $25,283,000 Consultant: Parsons Engineering Science, Inc. Start Date of Project: May 24, 2000

Approval Amendment Description Cost Accumulated Costs Date Area Classification Study Implementation 5/24/00 Original PSA Plan for Plant Nos. 1 and 2 $2,255,680 $2,255,680

Test Digester Value Engineering 12/20/00 1 $24,900 $2,280,580

Addition one utility PLC and six remote 1/21/02 2 $24,900 $2,305,480 I/O’s for Plant No. 2

6/26/02 3 Construction Support Services $965,264 $3,270,744

11/20/02 4 Additional Design Effort $140,667 $3,411,411

12/17/03 5 Additional Construction Support Services $539,610 $3,951,021

Additional Construction Support Services, 02/23/05 6 Record Drawings, O and M Manuals, $577,000 $4,528,021 Training, and Conduit Tagging

EDMS: 003815052

SETTLEMENT AGREEMENT

This Settlement Agreement ("Agreement") is entered into as of September 27, 2006 by and between ORANGE COUNTY SANITATION DISTRICT, a California public entity (the “District”) and Parsons Engineering Science, Inc., collectively referred to as the "Parties," with reference to the following facts:

RECITALS

A. On May 24, 2000, the District and Parsons Engineering Science, Inc. entered into a Professional Services Agreement for the Area Classification Study and Implementation Plan for Project J-35-2 (“Project”). Under this agreement, Parsons Engineering Science, Inc. performed design work and provided engineering services during construction on the Project.

B. The Project construction is complete; however, a few documentation deliverables under the May 24, 2000 agreement are outstanding, including, but not limited to, O & M Manuals. In addition, payments, credits and refunds by the Parties remain outstanding for this Project.

C. From 2000 through 2006, the District issued and approved numerous change orders to the contractor, J.F. Shea Construction, resulting from design changes on the Project.

D. The District considers the total costs of construction, including the numerous design and construction change orders and labor costs, excessive due to perceived design errors and omissions by Parsons Engineering Science, Inc. E. In the interest of resolving this dispute, Parsons Engineering Science, Inc. is willing to directly reimburse the District in the amount of Three Hundred Thousand Dollars ($300,000).

F. To that end, the Parties hereto desire to compromise, settle, and fully resolve all differences and disputes between and among them, both known and unknown, that arise out of the District’s claim described more fully herein as to those specific design change orders attached hereto and incorporated herein by reference as Exhibit “A.”

NOW THEREFORE, in consideration of the recitals, terms, promises, conditions, and mutual covenants contained herein, the Parties agree as follows:

AGREEMENT

1. Recitals Incorporated by Reference.

Each of the Recitals is incorporated by reference as part of this Agreement.

1

2. Scope of Dispute.

The Parties hereby agree that this Agreement is entered into and executed solely to resolve the subject dispute related to purported design errors and omission claims identified by the District as set forth more fully herein and as referenced by Exhibit “A.”

3. Terms of Settlement.

A. Parsons Engineering Science, Inc. shall pay and the District shall accept as full and final settlement of this dispute, the total amount of $300,000 to be paid in one installment, within fifteen (15) days of the execution of this Agreement.

B. Parsons Engineering Science, Inc. shall provide to District a total sum of $310,667 in credits, as required by Amendment No. 5, dated September 17, 2003, and Amendment No. 6, dated February 23, 2005. Amendments No. 5 and 6 are amendments to the May 24, 2000 Professional Services Agreement entered into by the Parties. Payment of said credits shall be in accordance with the individual payment terms identified in Amendments No. 5 and 6. In addition, Amendment No. 4, dated June 23, 2004, documented a credit to Parsons Engineering Science, Inc. of $140,667 of the $310,667 total amendment value.

C. Pursuant to this Agreement, the total reimbursement by Parsons Engineering Science, Inc. to the District, for this Project, shall be $610,667.

D. The parties further agree that the conditions under which this Agreement was executed shall have no adverse impact nor will in any way affect the good faith negotiations between the parties in future business transactions.

4. No Admission of Liability.

Parsons Engineering Science, Inc. denies it has committed any wrongdoing or malfeasance in connection with the design and construction of the Project, in general, or as may be alleged in this dispute. Nothing in this Agreement shall be construed as an admission of liability by or against the Parties.

5. Governing Law.

This Agreement shall be governed by and construed in accordance with the laws of the State of California. 6. Venue and Jurisdiction.

For purposes of venue and jurisdiction, this Agreement shall be deemed made and to be performed in Orange County, State of California.

7. Counterparts.

This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one document.

2

8. Modification.

This Agreement may be modified only by mutual agreement in writing executed by all of the Parties to this Agreement.

9. Headings.

The headings of the paragraphs of this Agreement have been included only for convenience, and shall not be deemed in any manner to modify or limit any of the provisions of this Agreement, or be used in any manner in the interpretation of this Agreement.

10. Prior Understanding.

This Agreement contains the entire agreement between the Parties to this Agreement with respect to the subject matter of this Agreement and the Property. It is intended as a final expression of the Parties' agreement, as a complete and exclusive statement of the terms of such agreement, and supersedes all negotiations, stipulations, understandings, agreements, representations and warranties, if any, with respect to such subject matter of this Agreement, which precede or accompany the execution of this Agreement.

11. Interpretations.

Whenever the context so requires in this Agreement, all words used in the singular shall be construed to have been used in the plural (and vice versa), each gender shall be construed to include any other genders, and the words "person" and "they" shall be construed to include a natural person, a corporation, a firm, a partnership, a joint venture, a trust, an estate or any other entity.

12. Severability.

Each provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. If any provision of this Agreement or the application of such provision to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Agreement, or the application of such provision to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected by such invalidity or unenforceability, unless such provision or such application of such provision is essential to this Agreement.

3

13. Successors-in-Interest and Assigns.

The Parties shall not assign or delegate to any other person this Agreement or any rights or obligation under this Agreement. Subject to any restriction on transferability contained in this Agreement, this Agreement shall be binding upon and shall inure to the benefit of the successors-in-interest and assigns of each party to this Agreement. Nothing in this paragraph shall create any rights enforceable by any person not a party to this Agreement, except for the rights and obligations of the successors-in-interest and assigns of each party to this Agreement, unless such rights are expressly granted in this Agreement to other specifically identified persons.

14. Waiver.

Any waiver of a default under this Agreement must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement. No delay or omission in the exercise of any right or remedy shall impair such right or remedy or be construed as a waiver. A consent to or approval of any act shall not be deemed to waive or render unnecessary consent to or approval of any other or subsequent act.

15. Drafting Ambiguities.

Each party to this Agreement and its legal counsel have reviewed and revised this Agreement. The rule of construction that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or of any amendments or exhibits to this Agreement. This Agreement shall not be deemed prepared or drafted by one Party or the other, or its attorneys, and will be construed accordingly.

16. Attorneys’ Fees.

In the event of any litigation which shall include arbitration or judicial reference to interpret or enforce the terms of this Agreement, the prevailing party shall be entitled to recover its reasonable attorneys’ fees and costs, including any costs and fees to enforce any judgment therein.

17. Time of Essence.

In consideration of the facts and circumstances of this matter, and the terms, conditions and provisions of this Agreement, the parties expressly acknowledge and agree that time is of the essence and that all deadlines and time periods provided under this Agreement are absolute and final.

4

18. Notices.

Unless otherwise provided for herein, all notices and/or payments under this Agreement shall be hand delivered or mailed first class as follows:

A. To Parsons: Parsons Engineering Science, Inc. Attn: Richard Trembath, PE, Senior Vice President 100 West Walnut Street Pasadena, California 91124

With a copy to - Richard G. Shields Vice President Parsons Water & Infrastructure Inc. 100 West Walnut Street Pasadena, CA 91124

B. To District: Orange County Sanitation District Attn: David Ludwin, Director of Engineering 10844 Ellis Avenue Fountain Valley, California 92708-7018

All hand deliveries shall be deemed received as of the delivery date. All first class mail shall be deemed received five (5) calendar days from the date of mailing. Any Party may change the person or address for notice by giving notice pursuant to this section.

19. Representations and Warranties.

The Parties hereby represent that they have the authority to enter into this Agreement and that they have not previously assigned, transferred, or purported to have assigned or transferred in any manner, any of the claims described above in this “Settlement Agreement."

5

IN WITNESS WHEREOF, the District and Parsons Engineering Science, Inc., Parties hereto, have each approved and executed this Agreement on the dates set forth opposite their respective signatures.

ORANGE COUNTY SANITATION DISTRICT

By ______Chair, Board of Directors Date

By ______Secretary, Board of Directors Date

Approved as to Form:

______Bradley R. Hogin Date District Counsel

PARSONS ENGINEERING SCIENCE, INC.

By ______

Title ______

UM:bm EDMS: 003815520

Attachment(s) EXHIBIT “A”

6

EXHIBIT “A”

SCOPE OF DISPUTE / SETTLEMENT AGREEMENT

LIST OF DESIGN CHANGE ORDERS

7 EXHIBIT "A" CHANGE ORDERS Area Classification Study Implementation Plan, Plant Nos. 1 and 2 JOB NO. J-35-2

AUTHORIZED AUTHORIZED TIME APPROVAL CONTRACT CONTRACT COST PERCENTAGE ITEM TIME TO DATE DATE COST TO DATE INCREASE (DAYS) (DAYS)

CONTRACT June 26, 2002 $14,066,442 $14,066,442 0.00% 1006 1006

CO NO. 1* May 1, 2003 $115,280 $14,181,722 0.82% 0 1006

CO NO. 2* September 4, 2003 $83,195 $14,264,917 1.41% 0 1006 CO NO. 3 October 22, 2003 $269,345 $14,534,262 3.33% 0 1006 CO NO. 4 November 19, 2003 $197,094 $14,731,356 4.73% 0 1006 CO NO. 5 February 25, 2004 $214,954 $14,946,310 6.26% 0 1006 CO NO. 6 March 24, 2004 $142,606 $15,088,916 7.27% 0 1006 CO NO. 7 April 28, 2004 $194,205 $15,283,121 8.65% 0 1006 CO NO. 8 Sept. 22, 2004 $166,328 $15,449,449 9.83% 0 1006 CO NO. 9 Dec. 15, 2004 $527,005 $15,976,454 13.58% 0 1006 CO NO. 10 Feb. 23, 2005 $469,382 $16,445,836 16.92% 0 1006 CO NO. 11 May 25, 2005 $349,285 $16,795,121 19.39% 0 1006 CO NO. 12 June 22, 2005 $175,562 $16,970,683 20.65% 0 1006 CO NO. 13 August 24, 2005 $324,670 $17,295,353 23.00% 0 1006 CO NO. 14 December 21, 2005 $365,822 $17,661,175 25.56% 0 1006 CO NO. 15 April 26, 2006 $1,056,372 $18,717,547 33.07% 256 1262 CO NO. 16 April 26, 2006 $18,000 $18,735,547 33.19% 0 1262 *Approved by PDC Committee per delegated authority by Board Resolution 99-23

EDMS: 003815517

Meeting Date To Bd. of Dir. FAHR COMMITTEE 09/13/06 09/27/06 Item Number Item Number AGENDA REPORT FAHR06-59 13(b) Orange County Sanitation District

FROM: Lorenzo Tyner, Director of Finance & Administrative Services Originator: Jeff Reed, Acting Human Resources & Employee Relations Manager

SUBJECT: CHANGES AND ADDITIONS TO THE ORANGE COUNTY SANITATION DISTRICT (OCSD) PERSONNEL POLICIES AND PROCEDURES MANUAL AS AUTHORIZED BY RESOLUTION 98-33

GENERAL MANAGER'S RECOMMENDATION

Adopt Resolution No. OCSD 06-22, amending Resolution No. OCSD 98-33, amending the Human Resources Policies and Procedures Manual.

SUMMARY

In support of recent organizational changes, it is the intent of staff, with Board approval, to re-title the Human Resources Policies and Procedures Manual to the “OCSD Board of Directors Personnel Policies and Procedures Manual”. All modifications to existing policies or additions/deletions of policies will be coordinated with General Counsel. Human Resources Division staff will continue to administer the program in concert with the General Manager and will serve as the liaison with General Counsel on policy development.

The following table outlines recommended changes to OCSD policies:

Policy Number and Reason For Policy Changes Subject B10.00 – Conflict of • Updating Conflict of Interest Code (Exhibit A) to reflect accurate Interest Code and Code designated positions. of Ethics B150.00 – Recruitment • Remove employment of relatives information to incorporate into and Selection the new Nepotism policy. • New policy. Establish guidelines and procedures to avoid nepotism and conflicts of interest in employment decisions; including hiring, promoting, evaluating, awarding salary, and B160.00 – Nepotism discipline. This policy is written to ensure that the basis for employment decisions is based on the individual’s qualifications for the position, ability, and performance.

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 13(b).HR Policy.doc Page 1 Policy Number and Reason For Policy Changes Subject • Add submittal of electronic receipts for reimbursement to allow for greater efficiency in processing. C110.00 – Travel • Outline process on reimbursement without a receipt for process clarification. (Lost / unavailable receipts memo) • Add “for any reason” to employee termination repayment schedule for clarification. • Incorporate repayment information into the application and D90.00 – Tuition request for reimbursement forms for employee Reimbursement acknowledgement and understanding. Program • Add an application submittal limitation of 30 days prior to the course start date in order to streamline the administrative process and ensure tracking accuracy. • Add language that the use of private vehicles for OCSD F41.00 – Vehicle Usage business requires supervisor approval in order to limit liability and reduce employee relation issues.

PRIOR COMMITTEE/BOARD ACTIONS

• OCSD policy revisions were presented at the June 2006 FAHR Committee and Board of Directors meetings.

PROJECT/CONTRACT COST SUMMARY

N/A

BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

B10.00 – Conflict of Interest Code and Code of Ethics California Government Code section 87300 requires that all local agencies conduct a biannual review of their Conflict of Interest Codes and make necessitated changes. The OCSD Conflict of Interest Code is updated to periodically ensure accuracy with organizational position control.

B150.00 – Recruitment and Selection This policy is being modified to remove nepotism information in order to establish a standalone policy that provides more information on acceptable employment practices

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 13(b).HR Policy.doc Page 2 for familial relationships. Policy B160.00 – Nepotism is identified as a related document for future reference.

B160.00 – Nepotism This is a new policy designed to avoid favoritism in employment and personnel decisions involving employees and employment applicants who are near relatives and share or may share a working relationship. The policy restricts all OCSD employees, employment applicants, and contracted employees from being in a supervisor- subordinate relationship with a near relative unless approved by the General Manager.

C110.00 – Travel In order to process travel reimbursement requests in an orderly and efficient manner, this policy is being amended to clarify the process by which employees are reimbursed in the event that a receipt is lost or unavailable. In addition, this policy is being modified to include the submission of electronic receipts for reimbursement since many travel receipts are available online or electronically.

D90.00 – Tuition Reimbursement Program The amendments to this policy clarify the Tuition Reimbursement Program process to ensure that OCSD is repaid for tuition expenses owed in the event of an employee’s termination for any reason. Language describing repayment terms is also being added to the Tuition Reimbursement Program Application and Request for Reimbursement form. The timeline for employee application submittals is being changed to limit submission to thirty (30) days prior to the course start date, in order to allow for administrative efficiency and equal opportunity for employees to participate in the program. These changes are an effort to ensure that the budgeted amount for the program is not depleted by individuals who submit their reimbursement requests early (such as a year in advance), which leaves little or no money allocated for employees taking courses in later semesters.

F41.00 – Vehicle Usage In an effort to limit OCSD’s liability for private vehicle usage, language is being added to this policy to ensure that the use of an employee’s personal vehicle for OCSD business requires supervisor approval. It is anticipated that supervisory control will limit employee private vehicle usage and encourage employees to use the OCSD vehicle pool for traveling on OCSD business. This change is also being made in an effort to avoid employee relations issues in the future.

Throughout the aforementioned policies, housekeeping changes were made as a result of recent organizational changes. The employee classification of “Director of Finance/Treasurer” and “Director of Human Resources” has been changed to “Director of Finance & Administrative Services”. The classification “Secretary of the District” has been changed in some instances to “Clerk of the Board”, to reflect the job duties of the new Clerk of the Board position. “Human Resources Manager” has been changed to “Human Resources & Employee Relations Manager”, and “Human Resources Department” has been changed to “Human Resources Division”.

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 13(b).HR Policy.doc Page 3

ALTERNATIVES

N/A

CEQA FINDINGS

N/A

ATTACHMENTS

1. B10.00 (Conflict of Interest Code and Code of Ethics) 2. B150.00 (Recruitment and Selection) 3. B160.00 (Nepotism) 4. C110.00 (Travel) 5. D90.00 (Tuition Reimbursement Program) 6. F41.00 (Vehicle Usage) 7. Resolution No. OCSD 06-22

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 13(b).HR Policy.doc Page 4

Orange County Policy Number: B10.00 Sanitation District Effective Date: September 27, 2006 Personnel Policies October 22, 1997

Subject: CONFLICT OF INTEREST Supersedes: October 22, 1997 CODE AND CODE OF ETHICS

Approved by: Board of Directors Lisa L. Tomko

1.0 PURPOSE

1.1. The purpose of this policy is to establish uniform guidelines and procedures for issues related to conflict of interest and a code of ethics.

2.0 ORGANIZATIONAL UNITS AFFECTED

2.1. This policy applies generally to all employees, and specifically to officers and employees of the District who hold Designated Positions, as defined and listed in the OCSD Conflict of Interest Code on in Joint Resolution 91-36, as amended by Resolution 95-1, and as specified herein.

3.0 DEFINITIONS

4.0 POLICY

4.1.1 The proper operation of the District requires that its employees be independent, impartial and responsible to the public, that decisions and policy be made in conformance with organizational authority, and that public office not be used for personal gain. Consequently, it is the District policy to ensure that employees adhere to all of the provisions of the California Political Reform Act of 1974 (Government Code Section 87100 et seq.), and the regulations set forth in Title 2, Division 6, Chapter 7, Article 1, of the California Code of Regulations, known as the Fair Political Practices Commission Regulations, which constitute in part, the District Conflict of Interest Code.

5.0 PROCEDURE

5.1. District employees shall avoid a conflict of interest in any matter where they may have a financial or personal interest in the outcome, and such interest is adverse to the public interest, or where a personal bias or prejudice leaves them incapable of making a fair and impartial judgment with regard to that matter. Certain designated employees, as specified in this manual, are required annually

1 to file a Statement of Economic Interest in accordance with provisions of the Political Reform Act.

5.1.1. Officers and employees of the District who hold Designated Positions, as defined and listed on “Exhibit A” in Joint Resolution 91-36, as amended by Resolution 95-1, are deemed to make or participate in the making of decisions which may have a material effect on a financial interest. Accordingly, those officers and employees must file a Statement of Economic Interest with the District.

5.1.2. Financial statements of the members of the Boards of Directors and the General Manager are held on file by the Clerk of the Orange County Board of Supervisors. Statements for all other persons are retained by the District Board Secretary Clerk of the Board.

5.2. District employees are bound to uphold the Constitution of the United States and of the State of California, and to carry out the laws of the nation, state and local government agencies, and the ordinances, resolutions, rules, policies and procedures of the District. District employees are bound to observe the highest standards of morality and to perform the duties of their position regardless of personal consideration, recognizing that the public interest must be of primary concern and that their conduct must be above reproach.

5.3. Employees shall not use nor permit the use of District-owned property, vehicles, equipment, or material except when such services are available to the public generally or are provided as District policy for the use of such employee in the conduct of District business.

5.4. Employees shall not use their own time nor that of another District employee during working hours for personal convenience or profit.

5.5. District employees shall not grant, in the course of their employment, any special consideration, treatment or advantage to any person beyond that which is generally available in the same circumstance.

5.6. District employees shall not willfully and knowingly disclose, for personal gain, to any other person, confidential information acquired in the course of District employment, nor shall any employee use any such information for personal gain.

5.7. District employees shall not receive, directly or indirectly, any compensation, reward or gift from any source except the District for any service, advice, assistance or other action related to the conduct of District business, except fees for speeches or published works on subjects related to District business except as follows:

5.7.1. Acceptance of food and drinks of nominal value in the ordinary course of District business;

5.7.2. Acceptance of gifts, favors or entertainment where there is an obvious familial or personal relationship between the employee or his immediate family and the donor, and it is that relationship that motivates the gratuity;

2 5.7.3. Purchase of articles or admissions at advantageous rates where such rates are offered to all District employees;

5.7.4. Acceptance of unsolicited advertising or promotional items of nominal value;

5.7.5. Acceptance of incidental transportation provided it is furnished in connection with the employee’s official duties and of a type customarily provided;

5.7.6. A gift or gratuity that is prohibited by this policy shall be returned to the donor. If such return is not possible, it shall be turned over to a public or charitable organization and the matter reported to the employee’s supervisor.

6.0 EXCEPTIONS

7.0 PROVISIONS AND CONDITIONS

8.0 RELATED DOCUMENTS

8.1. California Political Reform Act of 1974 (Government Code Section 87100 et seq.)

8.2. Title 2, Division 6, Chapter 7, Article 1, of the California Code of Regulations, known as the Fair Political Practices Commission Regulations

8.3 Joint Boards Resolution 91-36, as amended by Resolution 95-1, The District Conflict of Interest Code

8.4 District Statement of Economic Interest.

3 RESOLUTION NO. OCSD 06-__

ADOPTING DISTRICT’S 2006 CONFLICT OF INTEREST CODE

A RESOLUTION OF THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT ADOPTING THE DISTRICT’S 2006 CONFLICT OF INTEREST CODE AND REPEALING RESOLUTION NO. OCSD 04-24

WHEREAS, the Political Reform Act of 1974, Government Code Sections 81000, et seq., (the “Act”), requires a local governmental agency to adopt a Conflict of Interest Code pursuant thereto; and,

WHEREAS, the Orange County Sanitation District adopted Resolution No. OCSD 04-24 on September 22, 2004, adopting such a Code by incorporating the provisions of Section 18730 of Title 2 of the California Code of Regulations pursuant to the Act, which Code was approved by the Orange County Board of Supervisors, as the Code-reviewing body; and,

WHEREAS, Exhibit “A” must be amended to correct the list of Designated Employees by revising the titles of existing positions, and by deleting the titles of positions that have been eliminated.

NOW, THEREFORE, the Board of Directors of Orange County Sanitation District,

DOES HEREBY RESOLVE, DETERMINE AND ORDER:

Section 1: That the Code entitled “2006 Conflict of Interest Code of the Orange County Sanitation District”, a copy of which is attached hereto and incorporated herein by reference, be, and is hereby approved and adopted for the District, subject to the approval thereof by the Orange County Board of Supervisors, which is the designated Code-reviewing body pursuant to California Government Code Section 87303.

4 Section 2: That the Clerk of the Board is hereby authorized and instructed to submit a copy of this Resolution and the Code hereby adopted to the Orange County Board of Supervisors, and to request said Board of Supervisors to approve said Code in accordance with California Government Code Section 87303.

Section 3: That Resolution No. OCSD 04-24, adopted September 22, 2004, adopting a revised Conflict of Interest Code of the Orange County Sanitation District, is hereby repealed, effective ten (10) days after approval of the District’s 2006 Code adopted herein by the Orange County Board of Supervisors.

PASSED AND ADOPTED at a regular meeting held September 27, 2006.

______Chair

______Board Secretary

5 2006 CONFLICT OF INTEREST CODE OF THE ORANGE COUNTY SANITATION DISTRICT

Section 1: Purpose. The purpose of this 2006 Conflict of Interest Code of the Orange County Sanitation District, is to comply with the requirements of the California Political Reform Act of 1974 (California Government Code Sections 87100 et seq.), and particularly the requirement to adopt and promulgate a local Conflict of Interest Code (California Government Code Section 87300).

Section 2: Designated Positions. The positions listed on Exhibit “A’, attached hereto and incorporated herein by reference, are Designated Positions. Officers and employees holding those positions are Designated Employees, and are deemed to make, or participate in the making, of decisions which may foreseeably have a material effect on economic interests.

Section 3: Disclosure Categories. Each Designated Employee shall disclose on Fair Political Practices Commission Form 700, all required information for the following disclosure categories, and as specified for the Designated Position:

Category I - Investments Category II - Interests in Real Property Category Ill - Income Category IV - Business Positions

Section 4: Incorporation by Reference of Section 18730 of Title 2 of the California Code of Regulations. Pursuant to authority of Section 18730 of Title 2 of the California Code of Regulations, the Regulations set forth in Title 2, Division 6, Chapter 7, Articles 1-3, and any amendments thereto, duly adopted by the Fair Political Practices Commission, along with the attached Exhibit “A”, in which officers and employees of the District are designated and disclosure categories are set forth, are hereby incorporated by reference and constitute the Conflict of Interest Code of the Orange County Sanitation District.

Section 5: Place of Filing for Statements of Economic Interest. Persons occupying Designated Positions shall file Statements of Financial Interest with the Orange County Sanitation District Board Secretary. Upon receipt of the Statements of the Board of Directors and General Manager, the District’s Board Secretary shall make and retain a copy and forward the original of these Statements to the Clerk of the Orange County Board of Supervisors. Statements for all other persons occupying Designated Positions will be retained by the District.

6 Section 6: Severability. If any article, section, subsection, paragraph, subparagraph, sentence, clause, or phrase of this Code is for any reason held to be invalid, unconstitutional, or unenforceable, such decision shall not affect the validity of the remaining portions of this Code. The District declares that it would have adopted this Code and each article, section, subsection, paragraph, subparagraph, sentence, clause, and phrase thereof irrespective of the fact that any one or more of such portions of this Code be declared invalid, unconstitutional, or unenforceable.

Section 7: Effective Date: The District’s 2006 Conflict of Interest Code shall take effect ten (10) days after approval by the Orange County Board of Supervisors, acting as the Code-reviewing body, pursuant to Government Code Section 87303.

7 2006 CONFLICT OF INTEREST CODE OF THE ORANGE COUNTY SANITATION DISTRICT

EXHIBIT “A”

DESIGNATED POSITIONS

Designated Position Disclosure Categories

General Manager I, II, III, IV Assistant General Manager I, II, III, IV Director of Engineering I, II, III, IV Director of Finance/Treasurer & Administrative Services I, II, III, IV Director of Information Technology I, II, III, IV Director of Operations & Maintenance I, II, III, IV Director of Technical Services I, II, III, IV Director of Regional Assets & Services I, II, III, IV Accounting Manager I, II, III, IV Clerk of the Board I, II, III, IV Contract and Purchasing Manager I, II, III, IV Controller I, II, III, IV Engineering Manager I, II, III, IV Environmental Assessment Manager I, II, III, IV Human Resources & Employee Relations Manager I, II, III, IV Information Technology Manager I, II, III, IV Public Information Manager I, II, III, IV Laboratory Manager I, II, III, IV Maintenance Manager I, II, III, IV Operations Manager I, II, III, IV Process Controls Manager I, II, III, IV Source Control Manager I, II, III, IV Accounting Supervisor I, II, III, IV Chief Plant Operator I, II, III, IV Purchasing Supervisor I, II, III, IV Contracts Supervisor I, II, III, IV Senior Construction Inspection Supervisor I, II, III, IV Construction Inspection Supervisor I, II, III, IV Engineering Supervisor I, II, III, IV Environmental Supervisor I, II, III, IV Human Resources Supervisor I, II, III, IV Information Technology Supervisor I, II, III, IV Laboratory Supervisor I, II, III, IV Maintenance Supervisor I, II, III, IV

8 2006 CONFLICT OF INTEREST CODE OF THE ORANGE COUNTY SANITATION DISTRICT

EXHIBIT “A”

DESIGNATED POSITIONS

Designated Position Disclosure Categories Senior Maintenance Supervisor I, II, III, IV Materials Control Supervisor I, II, III, IV Operations Supervisor I, II, III, IV Safety & Health Supervisor I, II, III, IV Secretary of the District I, II, III, IV Source Control Supervisor I, II, III, IV Principal Accountant I, II, III, IV Senior Financial Analyst I, II, III, IV Principal Financial Analyst I, II, III, IV Buyer I, II, III, IV Senior Buyer I, II, III, IV Capital Improvement Program Project Manager I, II, III, IV Construction Inspector I, II, III, IV Senior Construction Inspector I, II, III, IV Contracts Administrator I, II, III, IV Senior Contracts Administrator I, II, III, IV Principal Contracts Administrator I, II, III, IV Senior Engineer I, II, III, IV Legislative Affairs Liaison I, II, III, IV Legal and Regulatory Affairs Liaison I, II, III, IV Regulatory Specialist I, II, III, IV Senior Regulatory Specialist I, II, III, IV Senior Scientist I, II, III, IV

General Counsel I, II, III, IV *Consultants I, II, III, IV

*The governing body of the District shall determine on a case-by-case basis whether a particular Consultant is required to comply with the disclosure requirements in this Section. If the governing body determines that a particular Consultant must comply with the disclosure requirements of this Section, the governing body shall notify the Consultant in writing. The written notification shall include a description of the Consultant’s duties, and based upon those duties, a statement of the extent of disclosure requirements. The governing body’s notification is a public record and shall be retained for public inspection by the Board Secretary.

9

Orange County Policy Number: B150.00

Sanitation District Effective Date: March 23, 2005 Personnel Policies September 27, 2006

Subject: RECRUITMENT AND SELECTION Supersedes: July 21, 2004 March 23, 2005

Approved by: Lisa L. Tomko Board of Directors

1.0 PURPOSE

1.1 The purpose of this policy is to establish uniform guidelines and procedures for Orange County Sanitation District (OCSD) recruitment activities.

2.0 ORGANIZATIONAL UNITS AFFECTED

2.1 This policy applies to all OCSD departments, divisions, sections and employees.

3.0 DEFINITIONS

3.1 Recruitment is the process of attracting qualified individuals to apply for jobs that are open within the organization, whether internal or external.

3.2 Internal recruitment means considering only present employees as applicants for job openings within the organization.

3.3 Open recruitment means attracting applicants from outside the organization, as well as internally to apply for job openings within the organization.

3.4 Planned Recruitment is the process of recruiting a candidate for a position held by an existing OCSD employee who plans to retire or leave the agency.

3.5 Probationary Period - Initial as defined in applicable Memorandum of Understanding (MOU) provisions, includes at least the first 6 months or 26 weeks of employment with OCSD beginning with the date of hire. This period is regarded as an extension of the hiring process, and provides an opportunity for both the employee and OCSD management to assess, over a substantial period of time, whether or not the hiring decision was appropriate. Employees, who have not yet successfully completed their initial probationary period, serve “at-will” and may be released from employment without cause or recourse to any appeal or grievance procedures.

3.6 Probationary Period - Promotional as defined in applicable MOU provisions, includes at least the first 6 months or 120 days of employment with OCSD, beginning with the effective date of promotion. This period is regarded as an extension of the selection process, and provides an opportunity for both the employee and OCSD management to assess, over a substantial period of time, whether or not the decision was appropriate. “At-will” employees do not serve a promotional probationary period.

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3.7 Probationary Period – Reassignment or Lateral Transfer as defined in applicable MOU provisions, includes at least the first 26 weeks of employment with OCSD, beginning with the effective date of the reassignment or lateral transfer. This period provides an opportunity for both the employee and OCSD management to assess, over a substantial period of time, whether or not the decision was appropriate.

3.8 Relative is any person related by one of the following familial relationships to any employee at OCSD: spouse, mother, father, brother, sister, child, step child, step parent, grandmother, grandfather, grandchild, cousin, aunt, uncle, mother-in-law, father-in-law, brother-in-law or sister-in-law.

4.0 POLICY

4.1 OCSD is an Equal Opportunity Employer (EOE). OCSD does not discriminate on the basis of race, religion, color, national origin, disability, pregnancy, martial status, age, gender, sexual orientation, or participation in any protected class/activity.

4.2 It is OCSD’s policy to provide nondiscriminatory, lawful, and consistent guidelines and procedures to all recruitment processes, whether internal or open.

5.0 PROCEDURE

5.1 PERSONNEL REQUISITION

5.1.1 A personnel requisition is the first step for the hiring manager/supervisor to communicate staffing needs to the Human Resources Department Division. If the recruitment requires testing (hands-on, written, essay, etc.) as part of the recruitment process, the testing methods must be reviewed for validity and reliability by the Human Resources Department Division prior to the initiation of a personnel requisition.

5.1.2 The hiring manager/supervisor completes the personnel requisition and receives the appropriate signatures required before sending it to the Human Resources Department Division.

5.1.3 The recruiter reviews the requisition to make sure the qualifications are appropriate for the position. If changes are necessary, the recruiter will work with the appropriate manager/supervisor.

5.2 EMPLOYMENT OPPORTUNITY BULLETINS/POSTINGS

5.2.1 The recruiter prepares the employment opportunity bulletin, also known as a posting. Each posting will include the following information:

• Wage range • Department • Brief job description • Required qualifications • Desired qualifications • Posting/closing dates • Procedure for applying • Brief benefits overview

5.2.2 The recruiter provides the draft posting to the hiring manager/supervisor for approval.

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5.2.3 Upon approval, all job postings for Student Intern and management positions may be advertised as an open recruitment (internal and external) at the beginning of the recruitment process. All other job postings shall be advertised as internal recruitments for ten business days unless authorized by the Director of Finance & Administrative Services Human Resources, or designee. During the internal posting process, if there is at least one internal applicant and he/she meets the minimum qualifications for the position, that applicant will be interviewed. If an internal applicant is not selected or if there are no internal applicants, the position shall be advertised as an external recruitment.

5.2.4 Internal job opportunities will be posted to the intranet which is accessible to all OCSD employees.

5.2.5 Internal Job Announcement Notifications are sent via e-mail to all OCSD employees for internal and external recruitments.

5.3 ADVERTISING

5.3.1 Advertising for positions at OCSD ensures positions are filled with the best- qualified candidate for the job. OCSD shall make every reasonable effort to advertise external positions to all segments of the public to ensure EOE guidelines are followed.

5.3.2 All positions are advertised on the Internet and may be posted in other media when deemed appropriate. Technical and hard-to-fill positions are advertised on trade specific websites.

5.3.3 Trade magazines and other forms of advertising may be used for hard-to-fill or specialized positions.

5.4 APPLICANT SCREENING

5.4.1 Applications and resumes shall only be accepted electronically after March 2005. All other application material will be accepted at the interview process. Unsolicited application material will not be accepted at anytime.

5.4.2 Once an application and/or resume is received and reviewed, it will only be selected for further consideration if the minimum job requirements for the open position are met.

5.4.3 The hiring manager/supervisor is given access to files on the online application program pertinent to the job opening for which the manager submitted a personnel requisition. The manager may review applications that meet the minimum qualifications to determine which candidates may be interviewed.

5.4.4 All materials (e.g., applications, resumes, interviewer notes, interview packets, packets, etc.) submitted by applicants/candidates during the interview process are confidential and are considered OCSD property and must be returned to the Human Resources Department Division upon completion of the hiring process. All recruitment files are maintained by OCSD in accordance with established record keeping guidelines.

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5.5 INTERVIEW PROCESS

5.5.1 The interview panel members are selected along with the interview date(s). Applicants are scheduled, interview questions are prepared, and the interview panel conducts the actual interview.

5.5.2 The recruiter and the hiring supervisor work together to select the interview panel. However, the recruiter makes the final decision to ensure consistency. The ideal interview panel will include the hiring supervisor, one employee within the department, two individuals outside the department, and the recruiter, or another member of the Human Resources Department Division. Normally, subordinates within the hiring department are not included in the interview panel.

5.5.3 The recruiter and the hiring manager work together to establish a set of questions for the candidates.

5.5.4 The recruiter prepares interview packets and distributes them to the interview panel. Packets include: • An overview of the interview process • A copy of the interview schedule • A copy of the employment bulletin opportunity/posting • Copies of candidate applications • Interview questions and evaluation forms for each candidate

5.5.5 The interview panel will meet at least one half hour before the interview. The panel will finalize the interview questions that are recommended by the hiring supervisor and the recruiter. The panel may add or delete questions. The panel will gain an understanding from the hiring supervisor about the criteria with which to select the ideal candidate, and adopt the appropriate criteria.

5.5.6 The recruiter facilitates the interview process. When interviews are completed, the interview panel members evaluate each candidate interviewed. The top three candidates are identified and ranked in order of preference based on the criteria established prior to the interview. The recruiter collects the documentation at the end of the interview process.

5.5.7 The final candidate is selected from the top three candidates when a majority decision is reached. If a majority decision cannot be reached, the General Manager or designee will make the final determination based on the input of the hiring supervisor, the panel, and the Human Resources Department Division. If a majority decision is reached, and the hiring supervisor does not agree with the final decision, he or she may appeal for a final decision from the General Manager or designee.

5.6 RECRUITMENT APPEALS PROCESS

5.6.1 Employees should bring recruitment process and decision-making issues to the attention of the Human Resources & Employee Relations Manager as soon as possible. The manager will review the issue and provide a written response within five business days from the issue notification date.

5.6.2 If the issue is not resolved to the employee’s satisfaction, the employee may file a written statement concerning the problem to the Director of Finance & Administrative Services Human Resources within ten business days of receipt

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of the manager’s decision. Upon request by either party, a meeting may be held to discuss the issue and establish remedies.

5.6.3 The employee will be provided a written response from the Director of Finance & Administrative Services Human Resources, or designee, within ten business days after their statement is received. The decision of the Director of Finance & Administrative Services Human Resources, or designee, is final (see policy F50.00, Problem Solving Procedure and F60.00, Grievance Procedure).

5.6.4 Time limits may be extended for cause upon mutual consent of the parties.

5.7 EMPLOYMENT OFFERS

5.7.1 The recruiter and hiring supervisor determine an appropriate starting salary for all candidates, except those designated as “at-will” employees, based on a Salary Offer Analysis. This analysis will include the applicant’s:

• Qualifications • Years of experience • Educational background • Salary history • Parity within the department

5.7.2 The Human Resources Compensation Analyst reviews the recommended salary, and approves or makes additional recommendations. All salary offers that are either at or beyond step 4 of the range will require the approval of the Director of Finance & Administrative Services Human Resources, or designee. Under no circumstances should panel members (excluding the Human Resources representative) or any other OCSD employee discuss salary offers with candidates or make promises of any kind. Human Resources staff are the only employees authorized to engage in salary discussions with job candidates.

5.7.3 The recruiter completes a status change form for the candidate and initiates the background investigation. Background investigation results are provided to the candidate by OCSD’s background screening firm.

5.7.4 When the status change form is approved, the recruiter makes a verbal employment offer to the candidate, which is contingent upon results of a background investigation, pre-employment physical and drug screening. Upon acceptance of the employment offer, the recruiter sends regret letters to unsuccessful candidates. Internal candidates are contacted personally prior to receiving regret letters.

5.7.5 The recruiter schedules the pre-employment physical and drug screen for the candidate, works with the supervisor to establish a potential start date and prepares a formal offer letter for the candidate.

5.7.6 When the recruiter (or designee) has cleared the background investigation, pre-employment physical and drug screening results, the applicant will be contacted to confirm the employment offer.

5.7.7 The recruiter coordinates the candidate’s start date.

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5.7.8 In the event that a candidate is selected and voluntarily or involuntarily vacates the position prior to completing the required six month probationary period, the Human Resources Department Division, at the request of the hiring manager, may exercise the option to extend an offer to the second candidate from the original interview process.

5.8 PLANNED RECRUITMENT

5.8.1 In instances where an existing OCSD employee plans to retire or leave the agency, the Department Head may request to initiate the planned recruitment process by notifying the Director of Finance & Administrative Services Human Resources, or designee. If approved, the Human Resources Department Division shall begin the recruitment process for the anticipated vacancy using the internal recruitment process. The Human Resources Department Division must have a minimum of six months notice to consider a planned recruitment, a signed memo from the existing OCSD employee stating his/her retirement or leave date, and at least one budgeted but vacant position that OCSD can borrow from.

5.8.2 The Planned Recruitment process will be initiated, as scheduling permits, prior to the individual leaving OCSD in order to allow for an adequate amount of cross training.

5.8.3 If a candidate is selected from the internal recruitment process, the candidate shall remain in his/her existing position with the same salary and benefits while cross-training in the new position as scheduling permits.

5.8.4 The candidate shall assume the salary, benefits and full range of duties of the vacant position the first business day that the position is vacant. The position used to initiate the planned recruitment will then be returned to the “pool” within the Human Resources Division 540 full-time equivalent (FTE) budget for use with other planned recruitments.

5.8.5 The date the candidate assumes the vacant position shall be the first day of the candidate’s six-month probationary period. The six-month probationary period will be utilized as an opportunity for the candidate and OCSD management to assess whether or not the decision was appropriate. The candidate may be returned to his/her previous position if the decision is determined to be inappropriate.

5.8.6 If a candidate is not selected from the internal recruitment process, the position will be posted for external candidates immediately to ensure an adequate amount of time for cross-training.

6.0 EXCEPTIONS

6.1 EMPLOYMENT OF FORMER EMPLOYEES

6.1.1 Employment of former employees for full-time equivalent or part-time positions shall be subject to and conducted in accordance with this policy.

6.1.2 Employment of a former employee is subject to the approval of the General Manager and the Director of Finance & Administrative Services Human Resources.

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6.1.3 In all cases, approval of the General Manager and the Director of Finance & Administrative Services Human Resources shall be received prior to an offer of employment to a former employee.

6.1.4 OCSD policy prohibits the rehire of former full-time, regular employees or “at- will” employees who: were terminated for workplace misconduct; resigned while charges were pending against the employee; resigned while serving a suspension; failed to provide two weeks written notice in advance of resignation depending upon employment status, unless approved by the Director of Finance & Administrative Services Human Resources, or designee; or failed to return to work following an absence without leave of 40 consecutive work hours without notifying the immediate supervisor or the Human Resources Department Division with an acceptable reason for their absence.

6.1.5 If any former employee commences doing business wherein the employee, his/her spouse, or members of his/her immediate family are sole proprietors, or majority or controlling shareholders or owners of a corporation, partnership or other business entity, such business shall not be retained as an independent contractor or consultant to provide service directly to OCSD for a period of one year after leaving OCSD’s employment. Thereafter, said business entity shall be allowed to contract with OCSD upon compliance with all resolutions and regulations of OCSD then in effect, relating to the procurement of services.

6.1.6 If any former employee becomes employed by any firm or business entity in which the former employee, his/her spouse or members of his/her immediate family own less than the majority or controlling interest in said entity, said entity shall not be prohibited from contracting with the OCSD. However, the former employee shall not perform work on OCSD projects for a period of one year after leaving OCSD employment; nor shall such former employee contact OCSD officers or employees for the purpose of attempting to influence any OCSD decision, including but not limited to, the award of contract, issuance of permits, or compromise of administrative civil penalties, for a like period of one year. Said services shall be obtained only in accordance with all rules and procedures of OCSD relating to procurement.

6.1.7 Any OCSD employee who receives an offer of employment or a request to discuss potential employment from any person or business entity performing services for OCSD shall report such contact to his or her immediate supervisor, who shall decide whether any change in assignment is necessary or appropriate while the offer or discussions are pending.

6.1.8 The prohibitions of this policy may be waived by the Finance, Administration and Human Resources Committee of the Boards of Directors if, on a case-by- case basis, it is determined to be in the best interests of OCSD to do so.

6.1.9 All former employees who are rehired will be placed on an initial probationary period as defined in this policy. All prior service with OCSD will not be counted for accrual purposes including, but not limited to, leaves of absence and seniority.

6.2 RE-EMPLOYMENT OF OCSD RETIRED EMPLOYEES

6.2.1 The General Manager may, with the written approval of the Board Chair, employ on an as-needed basis, a former employee retired from OCSD when

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the individual possesses knowledge and expertise of unique and particular benefit to OCSD. The length of service performed in any one year shall be limited in accordance with the provisions prescribed by the Orange County Employees’ Retirement System (currently 120-day maximum).

6.2.2 As-needed service, by a former employee retired from OCSD, shall be compensated at the same current hourly rate of the retired employee’s position classification, or if no such classification exists, at a rate not to exceed that paid for the most comparable classification. The retired employee shall not be entitled to receive any benefits otherwise payable to OCSD employees. In the event any employment under this provision involves work assignments outside of Orange County, the current expense reimbursement policy established for regular employees will apply.

6.2.3 On occasion, OCSD may offer an early retirement incentive to staff under economic conditions in which it is deemed necessary. Employees who select an early retirement incentive offered by OCSD may not be eligible for rehire.

6.3 EMPLOYMENT OF RELATIVES

6.3.1 Except as otherwise provided by law, no employee, prospective employee or applicant shall be denied employment or benefits of employment solely on the basis of his or her familial relationship with an employee of the agency or a member of the Board of Directors.

6.3.2 OCSD will make reasonable efforts to assign job duties to eliminate any potential for an adverse impact on supervision, safety, security or morale, or potential conflicts of interest.

6.4 LATERAL TRANSFERS

6.4.1 Employees may request a lateral transfer to a budgeted vacant position within the same classification of another department. For a lateral transfer to be considered, the employee must have demonstrated satisfactory performance within the last six months of the request and have no pending disciplinary action. The lateral transfer must be of benefit to OCSD.

6.4.2 Employees who wish to be considered for a lateral transfer shall notify the Human Resources Department Division in writing of their intent prior to recruitment of the budgeted position. Employees who are interested in a lateral transfer, but are unaware of any budgeted vacant positions within the same classification, may contact the Human Resources Department Division. The employee’s written intent must be approved by any affected department head and the Director of Finance & Administrative Services Human Resources. In the event a transfer is approved and accepted by the employee, the department from which the employee is transferring may determine the effective date based upon operational requirements and a reasonable period of time to acquire a suitable replacement.

6.4.3 Lateral transfers do not normally involve increased levels of duties and responsibilities, or otherwise qualify as promotions, and therefore do not involve salary adjustments.

6.4.4 In the event an adjustment appears warranted based on extenuating circumstances, the adjustment must have written approval from the department head prior to being extended to the employee.

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7.0 PROVISIONS AND CONDITIONS

7.1 The interview process for Student Intern positions shall be an abbreviated version of the process outlined in section 5.5 and will be administered by the appropriate division manager/supervisor and a Human Resources representative.

7.2 OCSD’s Board of Directors must approve unbudgeted positions for new hires or promotions before any internal or open recruitment effort is initiated.

7.3 Hiring an individual into a budgeted position requires the approval of the Department Head and General Manager.

7.4 Promoting an individual into a budgeted position requires the approval of the Division Manager, Department Head or General Manager.

7.5 OCSD retains the right to refuse to place a relative under the direct supervision of an OCSD employee where such has a potential for creating an adverse impact on supervision, safety, security or morale.

7.6 OCSD retains the right to refuse to place relatives in the same department, division, or facility where such has a potential for creating an adverse impact on supervision, safety, security or morale, or involves potential conflicts of interest.

7.7 Employees on Performance Improvement Plans are not eligible for promotional opportunities.

7.8 INITIAL PROBATIONARY PERIOD

7.8.1 Unless designated as an “at-will” Executive Management Team (EMT) member or Student Intern, all new employees and employees who are reassigned or laterally transferred serve a probationary period. In accordance with applicable MOUs and policies, the probationary period begins with the date of hire, reassignment, or transfer and extends to at least the first day of the pay period following twenty-six weeks of employment without a break in service. For new employees, this probationary period is regarded as an extension of the hiring process, and provides an opportunity for both the employee and OCSD’s management to assess, over a substantial period of time, whether or not the hiring decision was appropriate and resulted in a relationship that adequately meets the needs of both the individual and OCSD.

7.8.2 The probationary period may be extended by mutual agreement between OCSD and the employee, prior to the expiration of the probationary period. An employee’s probationary period may be extended when there is a need to further assess the individual’s abilities to satisfactorily perform the duties required for their job classification. Probationary employees may be released by OCSD at any time during the probationary period (including any extension) without cause or reason.

7.8.3 A probationary employee’s work performance is closely monitored during this period to ensure that the employee understands the duties, responsibilities and management expectations of the position, and to allow an opportunity for the supervisor or manager to provide proper direction and guidance. Employees who do not demonstrate the potential for meeting performance expectations for their position within a reasonable period of time may be released prior to the completion of the Probationary Period. Probationary

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employees shall serve at the will of OCSD during this period. In the event of release of a probationary employee, the employee shall not be entitled to receive any severance pay.

7.9 PROMOTIONAL PROBATIONARY PERIOD

7.9.1 All promoted employees, except those designated as “at-will” employees, shall serve a promotional probationary period lasting at least 120 days or 6- months, depending upon the applicable MOU provisions, beginning with the effective date of promotion. This period is regarded as an extension of the selection process, and provides an opportunity for both the employee and OCSD management to assess, over a substantial period of time, whether or not the decision was appropriate.

7.10 REFERENCE CHECKS

7.10.1 Employment with OCSD is contingent upon a pre-employment screening process which includes a physical examination, drug/alcohol test and background investigation. Candidates must also be able to provide documentation authorizing their legal right to work in the United States as per the Immigration Reform and Control Act of 1986.

7.10.2 OCSD may verify information contained in the job application of a prospective employee with the prospective employee’s authorization.

7.10.3 Inquiries to OCSD employees regarding reference or employment verification checks of former or present employees shall be discussed with or referred to Human Resources prior to any response.

8.0 RELATED DOCUMENTS

8.1 OCSD Student Intern Program guidelines

8.2 Policy F50.00, Problem Solving Procedure

8.3 Policy F60.00, Grievance Procedure

8.4 Policy C180.00, At-Will Policy

8.5 Policy B160.00, Nepotism

8.6 Local 501, Operations and Maintenance Unit MOU

8.7 Administrative and Clerical Unit MOU

8.8 Engineering Unit MOU

8.9 Technical Services Unit MOU

8.10 Professional Group MOU

8.11 Supervisor Group MOU

Page 10 of 10 NEW POLICY

Orange County Policy Number: B160.00 Sanitation District Personnel Policies Effective Date: September 27, 2006

Subject: NEPOTISM Supersedes:

Approved by: Board of Directors

1.0 PURPOSE

1.1 To avoid the possibility of nepotism in hiring, promoting, evaluating, awarding salary, and disciplining employees and to ensure that the basis for employment decisions are based on the individual’s qualifications for the position, ability, and performance. OCSD does not tolerate favoritism, the appearance of favoritism, conflicts of interest or the appearance of conflicts of interest in employment and personnel decisions.

2.0 ORGANIZATIONAL UNITS AFFECTED

2.1 This policy applies to all employees regardless of their organizational unit, and employment applicants. Additionally, all persons who perform any services for OCSD including persons working under contract, regardless of their employment status, are covered by this policy.

3.0 DEFINITIONS

3.1 Near relative means a relative within the third degree by blood or marriage, including an individual’s: spouse grandparent nephew fiancée grandchild cousin domestic partner great-grandparent sister-in-law parent/stepparent great-grandchild brother-in-law sister/stepsister aunt son-in-law brother/stepbrother uncle daughter-in-law child/stepchild niece dependent

Near relatives shall also include persons who fall into the above categories by a previous marriage or adoption.

3.2 Supervisory Relationship means a supervisor-subordinate relationship between near relative employees, whether direct or indirect, that has the ability to impact the terms and conditions of employment, including, but not limited to, appointment, transfer, promotion, demotion, layoff, suspension, termination, recall, work assignments, performance evaluations, merit increases, training, or any other administrative action that may affect an employee; or near relatives reporting to the same immediate supervisor.

Page 1 of 4 NEW POLICY

4.0 POLICY

4.1 It is the policy of OCSD not to discriminate in its employment and personnel actions with respect to its employees and applicants on the basis of marital and familial status.

4.2 Notwithstanding the above statement, OCSD retains the right to refuse to appoint a person to a position in the same department, division or facility, wherein his or her relationship to another employee has the potential for creating an adverse impact on supervision, safety, security, or morale, or involves a potential conflict of interest. The department head shall have the authority and responsibility for determining if such a potential for adverse impact exists or does not exist.

4.3 Near relatives of employees or of members of the Board of Directors shall not be hired, promoted or transferred into positions in which one near relative may supervise, directly or indirectly, any other relative, or work in a capacity which would allow an employee to evaluate or control the terms, conditions or performance circumstances of employment of a near relative.

4.4 Near relatives of members of the Board of Directors shall not be employed in any position where there is a potential for adversely impacting the safety, security, morale or efficiency of supervision of other employees, or in which there may be created a potential conflict of interest.

4.5 No person shall be appointed, promoted, demoted, flexibly placed, or transferred to any position, whether exempt, permanent, provisional, acting, part-time, or temporary, in any division of any department, where such person's near relative already holds a position which would create a supervisory relationship.

4.6 No employee shall interview, recommend, or in any way be involved in the selection or disciplinary process of his or her near relative.

4.7 All current employees of OCSD on the effective date of this policy will not be allowed to remain in positions where they are in a supervisory relationship with a near relative, except in those situations where a direct level of supervision or the ability to impact the terms or conditions of employment of a relative does not occur.

4.8 There shall be no appointments to any position at OCSD of a near relative of any member of the Board of Directors or Executive Management Team without the express written approval of the Chair of the Board of Directors and the General Manager.

4.9 Any individual having appointive power shall not appoint or promote any of their near relatives to any position at OCSD.

4.10 Hiring, reinstatement, promotion or transfer which will result in near relatives of employees working in the same department may be permitted, but only in such cases where direct supervision or the ability to impact the terms or conditions of employment of the near relative does not exist.

4.11 In cases whereby persons who are near relatives are employed in the same department, action shall be taken by the Department Head, Division Manager, or Supervisor to protect against situations which:

Page 2 of 4 NEW POLICY

• may interfere with response to public health emergencies; • may adversely impact working conditions; • may jeopardize confidentiality; and, • may suggest a conflict of interest.

4.12 Remedies to the cases referred to in Section 4.11 may include, but are not necessarily limited to, shift change, reassignment to another position or location, transfer, or dependent upon a case-by-case basis, possible termination of one of the involved employees.

4.13 All appointments, transfers or promotions of near relatives under this policy will be evaluated under guidance of this policy and in terms of the extent to which the relationship could have an adverse effect on the operations of OCSD. This policy does not necessarily preclude the near relative or an OCSD employee applying for an OCSD position or promotion. The policy provides that the General Manager, or designee, may withhold approval to appoint a relative if such an appointment is not in the best interest of OCSD or does not follow this policy.

4.14 In those cases in which the aforementioned relationships exist, or in which employees marry or acquire a covered relationship, the Human Resources Division shall be responsible to ensure that work assignments are made or other steps taken so as to avoid conflicts of interest or violation of this policy. If no conflict of interest exists because employees have no working interrelationship, supervisory or evaluative control over one another, no action shall be necessary. If conflict exists, action may include reassignment to another position, work location, or work shift. If such reassignment or other alternative is not deemed appropriate by OCSD, one of the conflicted individuals may have to resign or be terminated.

4.15 Employees are responsible for immediately notifying their supervisor or the Human Resources Division of an impending marriage or relationship with another employee of OCSD.

4.16 No persons who have a near relative working at OCSD may be hired without the approval of the General Manager, or designee. No OCSD employee who is related to any other OCSD employee may be transferred or promoted within OCSD without the approval of the General Manager, or designee.

4.17 The General Manager is responsible for enforcing this policy with the assistance of the Human Resources Division.

4.18 OCSD reserves the right to take action when relationships or associations of employees impact its mission.

4.19 OCSD retains the right to refuse to place a relative under the direct supervision of an OCSD employee, or place relatives in the same department, division, or facility, where such has a potential for creating an adverse impact on supervision, safety, security or morale.

4.20 OCSD will make reasonable efforts to assign job duties to eliminate any potential for an adverse impact on supervision, safety, security or morale, or potential conflicts of interest.

4.21 Except as otherwise provided by law, no employee, prospective employee or applicant shall be excluded from the competitive hiring and examination process

Page 3 of 4 NEW POLICY

or denied employment or benefits of employment solely on the basis of his or her familial relationship with an employee of the agency or a member of the Board of Directors.

5.0 PROCEDURE

5.1 OCSD employees shall submit the Near Relative Notification form, which is attached to this policy, to the Human Resources Division within 30-days of the effective date of this policy, if they currently have near relatives working for OCSD or within 30-days of becoming a near relative of another OCSD employee. Failure by an employee to complete and submit the required Near Relative Notification to the Human Resources Division may be grounds for disciplinary action, up to and including termination of employment.

5.2 If the Human Resources Division determines that employment of near relatives in a supervisory relationship violates this policy, the Human Resources Division may transfer one of the employees to a vacant position in another division or department for which he or she is qualified. The determination of which employee will be transferred will be based upon the promotion of effective and efficient operations of OCSD. Transfer must be to the same or equivalent position in another department without loss of classification, salary or benefits to the employee who is transferred. No regular, full-time employee shall be terminated at the time of the implementation of this policy as a result of a supervisory relationship with a near relative.

5.3 Any employee, contractor, or member of the Board of Directors who knowingly violates this policy may be subject to disciplinary action, up to and including termination of employment.

5.4 In cases involving a near relative of a member of the Board of Directors, the matter will be referred to the Steering Committee, General Manager, and General Counsel for resolution.

6.0 EXCEPTIONS

6.1 The General Manager may authorize exceptions to this policy whenever he or she determines that the best interests of OCSD so require. If an exception is granted, it shall be in writing and a copy placed in the employee’s personnel file.

7.0 PROVISIONS AND CONDITIONS

8.0 RELATED DOCUMENTS

8.1 Near Relative Notification Form

8.2 Policy B150.00, Section 6.1 Employment of Former Employees

Page 4 of 4 NEW POLICY

Orange County Sanitation District

NEAR RELATIVE NOTIFICATION

EMPLOYEE INFORMATION

Employee Name:

Job Title: Phone Number:

Department: Division:

NEAR RELATIVE INFORMATION

Near Relative Name:

Job Title: Relationship:

Department: Division: Check all that apply: 1. None: † 2. Supervisory Relationship: † Direct † Indirect † Same supervisor 3. Sharing of Duties: † On the same work assignment † Related work assignments 4. Other (identify):

Note: Attach separate sheet for additional Near Relatives.

I hereby certify that this is a true and correct statement and that I have identified all of my near relatives who work for the Orange County Sanitation District in any and all capacities.

Signature: ______Date: ______

Orange County Policy Number: C110.00 Sanitation District Effective Date: December 21, 2005 Personnel Policies September 27, 2006

Subject: TRAVEL Supersedes: July 20, 2005 December 21, 2005

Approved by: Lisa L. Tomko Board of Directors

1.0 PURPOSE

1.1 The purpose of this policy is to establish uniform guidelines and procedures pertaining to off-site travel for job-related meetings and training functions.

2.0 ORGANIZATIONAL UNITS AFFECTED

2.1 This policy applies to all Orange County Sanitation District (OCSD) employees.

3.0 POLICY

3.1 It is OCSD’s policy to reimburse employees for authorized travel and business expenses in accordance with the procedures of this policy.

4.0 PROCEDURE

4.1 GENERAL INFORMATION

4.1.1 OCSD will reimburse employees for reasonable travel expenses incurred in the course of representing OCSD at job-related meetings or training functions provided that approval is obtained in advance.

4.1.2 Employees are to exercise every effort to minimize travel and meeting expenses by utilizing the least expensive method of travel.

4.1.3 Related documents and forms are listed in section 7.0. The forms associated with this policy are accessible through the OCSD Internet, MyOCSD.

4.1.4 In determining whether a function shall be considered a meeting or a training function, determine how the majority of time is spent during the function. If the majority of time is spent in a convention or conference-type atmosphere, the function shall be considered a meeting. If the majority of the time is spent learning new skills, then the function shall be considered training.

4.1.5 Travel Approval – The procedures for obtaining approval to attend off-site meetings or training functions shall be established within each department/ division. The Travel Authorization Request form can be used to facilitate the approval process and is accessible through MyOCSD.

4.1.6 Travel arrangements shall be made as far in advance as possible to take advantage of discounted or reduced fares and rates.

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4.1.7 Business travel expenses incurred in excess of those described in this policy are not reimbursable. For example, if employees choose to drive instead of fly from Los Angeles to Phoenix, the total reimbursement will not exceed the amount that would have been incurred had air travel been used (e.g., mileage, lodging and meal expense reimbursements resulting from car travel cannot exceed the amount that would have been required if air travel had been used).

4.1.8 Employees will be responsible for repaying OCSD for any expenses paid on their behalf by OCSD that are subsequently determined to be excessive.

4.1.9 OCSD’s reimbursement plan has been developed to be considered an “accountable plan” by the IRS. The plan includes a combination of reimbursements based upon receipts and a “per diem” component approved by the IRS. You should check with your income tax preparer if you have any questions. Travel reimbursement amounts are not reported on your annual W-2.

4.2 REIMBURSEMENT

4.2.1 A Travel Expense Reimbursement form and a Daily Expense Breakdown form (if applicable) shall be completed if any eligible out-of-pocket expenses have been incurred. In addition, the employee shall also attach applicable receipts such as airfare itinerary, detailed hotel receipt, electronic receipts, rental car contract and receipt, etc. Receipts are not required for authorized meals.

4.2.2 A Travel Expense Reimbursement form shall be completed and submitted no later than two weeks after the travel has occurred.

4.2.3 Original receipts, including electronic receipts, are required for all reimbursable expenses except meals regardless of the dollar amount. If a receipt is missing, a lost/unavailable receipts memo must be prepared detailing the date, the expense and the amount of the missing receipt. The memo must be signed by the Department Head and attached to the Travel Expense Reimbursement package. See section 4.7 for meals.

4.2.4 The approval level required on the Travel Expense Reimbursement form is based on total expenses incurred. Employees cannot approve their own travel expenses.

4.2.5 The designated department/division travel coordinator is responsible for auditing and signing the Travel Expense Reimbursement form. They shall also ensure that all applicable forms are completed and attached; applicable receipts are attached, when required; and appropriate signatures have been obtained.

4.2.6 Travel and reimbursement requests shall be forwarded to the appropriate division; Accounting for meetings or the Human Resources Employee Development division for training functions.

4.3 LODGING

4.3.1 Lodging shall be in a hotel, motel or lodge. Hotel/motel rooms shall be standard (single occupancy) rather than deluxe accommodations. The employee shall pay lodging expenses directly. Direct billings to OCSD for employee lodging will not be accepted unless the circumstances are unavoidable and written authorization from the General Manager’s office is obtained in advance.

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4.3.2 Meals or other reimbursable charges on the hotel bill will be applied towards, and must not exceed, the daily reimbursement maximum.

4.3.3 Overnight stays may be allowed for meetings or training functions lasting more than one day in OCSD’s general geographical area (Orange, Los Angeles, Ventura, San Bernardino, Riverside, San Diego, Imperial and Kern Counties) when the travel time involved is significant. Such matters will be determined on a case-by-case basis and at the discretion of the appropriate supervisor, manager or department head.

4.3.4 Making Reservations - When making hotel reservations, always ask for the lowest available rate the hotel is offering (e.g., government, season special), which may be lower than the convention/conference rate.

4.3.5 Canceling Reservations - A traveler canceling the reservation shall do so according to the hotel’s policy in order to avoid charges. OCSD does not reimburse for non-canceled reservations, early departure, or late cancellation charges unless approved by the Department Head via an “Exceptions-Unauthorized Expenditures” memo.

4.4 GROUND TRANSPORTATION

4.4.1 Employees shall select the most economical, practical means of ground transportation that is appropriate for the particular site.

4.4.2 Reimbursement for personal auto usage for business will be calculated per the current Internal Revenue Service (IRS) guidelines. This rate is subject to change.

4.4.3 Automobile mileage is reimbursable if an employee is required to use a personal vehicle for travel within OCSD’s general geographical area, which includes Orange, Los Angeles, Ventura, San Bernardino, Riverside, San Diego, Imperial and Kern Counties. Mileage is based upon the following:

ƒ If an employee drives round-trip from their residence to a meeting or training function, the round-trip mileage the employee would have driven from his/her residence to work must be subtracted from the round-trip mileage to the event. Any excess mileage is reimbursable to the employee at the current IRS approved rate.

ƒ If an employee drives round-trip from work to a meeting or training function, the round-trip mileage from OCSD to the event is reimbursable at the current IRS approved rate.

4.4.4 OCSD shall pay local transportation costs from the employee’s residence to the departure airport and from the departure airport to the employee’s residence. Local transportation to and from a departing airport shall be by bus, shuttle or taxi. If the employee uses his/her personal vehicle, then mileage is reimbursable at the current IRS approved rate.

4.4.5 The reimbursable mileage for air travel departures is the mileage between the last stop (e.g., OCSD or employee’s residence) and the terminal. The reimbursable mileage for air travel arrivals is the mileage between the terminal and the first stop (e.g., OCSD or employee’s residence).

4.4.6 Parking at the departure airport is reimbursable with receipts.

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4.4.7 Round-trip mileage expenses are reimbursable when family chauffeuring is the most economical alternative.

4.4.8 OCSD vehicles may be used to transport business guests (see Policy F41.00, Vehicle Usage: section 4.6.9).

4.4.9 Travel while at the local destination may be by shuttle, bus or taxi, as needed. A rental car may be allowed when it is more economical.

4.5 AUTO RENTALS

4.5.1 Rental Car Reservations - Employees shall utilize either OCSD’s designated travel agency or the Internet, whichever is more cost effective, to secure rental car reservations. Internet reservations may require employees to charge their personal credit card. Employees will be reimbursed for pre-approved reservations made on their personal credit card after they submit a detailed receipt of the charges. Reservations made through the Internet require a written statement from the employee detailing the cost savings.

4.5.2 Rented autos shall only be used when no other means of transportation is economically feasible. Use of airport or hotel shuttles is encouraged.

4.5.3 Class size - Intermediate or standard model, mid-size car (Class C), or the smallest size compatible with the specific need, are to be used. Exceptions shall be explained on an “Exceptions-Unauthorized Expenditures” memo signed by the Department Head. The original copy of the car rental contract and receipt must be attached to the “Travel Expense Reimbursement” form.

4.5.4 Insurance – OCSD is insured or self-insured for damage to rental cars used on company business. ONLY the “Loss Damage Waiver Fee” is to be accepted and is reimbursable. Any additional insurance purchased for the rental car is not reimbursable.

4.5.5 Rental Contract - When completing the rental agency contract, sign for OCSD, not as an individual (i.e. Orange County Sanitation District, CA, by (your name).

4.5.6 Gas Surcharge – OCSD will not pay fuel surcharges.

4.5.7 Damage - In the event of damage to rental cars, all details of the event reported to the police and/or the rental firm shall also be provided to OCSD Safety Division within 24 hours of the incident.

4.6 AIR TRAVEL

4.6.1 Airline Reservations – Employees shall utilize OCSD’s designated travel agency or the Internet, whichever is more cost effective, to secure airline reservations. Internet reservations may require employees to charge their personal credit card. Employees will be reimbursed for pre-approved reservations made on their personal credit card after they submit a detailed receipt of the charges.

4.6.2 Frequent Flyer Miles - Employees who belong to frequent flyer programs are entitled to personally use all bonuses accrued by them on company business. Under no circumstances, however, may employees purchase more expensive tickets in order to

Page 4 of 8 accumulate frequent flier mileage or upgrade the class of service. First or Business Class upgrades may be used as long as the original ticket still represents the lowest practical airfare.

4.6.3 Excess Baggage Fees – OCSD will not reimburse for excess baggage fees if not related to company business. This includes sporting equipment.

4.6.4 Alternative Airports - Alternative airports within close proximity (Los Angeles, Long Beach, and Ontario) shall be used if the savings exceed $150.

4.6.5 Lost or Unused Tickets/Ticket Changes – Once an employee accepts an airline ticket on behalf of OCSD, he or she is responsible for it. If the employee loses his/her ticket, the employee must incur any related fees. Unless directed by OCSD management, an employee who fails to use or changes an airline ticket for his/her convenience shall incur any related fees. It is the employee’s responsibility to contact the agency that issued their ticket to find out how to remedy lost, unused or ticket change situations.

4.6.6 Flight Limitations – There shall be no more than four (4) OCSD employees total per flight.

4.6.7 Saturday Night Stay-over – OCSD may require a Saturday night stay- over if the stay- over results in significant cost savings to OCSD. In general, it is expected that business meetings that start on Tuesday or end on Thursday will not justify a reimbursement for Saturday night stay-over.

Saturday night stay-over expenses are reimbursable only if the sum of the airfare plus the expenses of the additional lodging, meals and incidentals resulting from the stay- over are less than the lowest available airfare without the stay-over.

4.6.8 Flight Insurance – Flight insurance is not reimbursable.

4.7 MEALS/INCIDENTALS

4.7.1 On overnight stays, or travel beyond the normal work day, OCSD employees are entitled to a “per diem” reimbursement per day depending upon the destination. The daily maximum includes amounts for breakfast, lunch and dinner and an allowance for incidentals. Receipts are not required to receive the per diem amount.

4.7.2 Per Diem amounts have been approved by the Board of Directors and comply with the Federal Meals Incidental Expense Rates found in the Code of Federal Regulations 301- 11.18. Use of these rates allows OCSD’s reimbursement plan to be considered an “accountable plan” by the IRS. The file containing the daily rates and governing destinations is accessible through MyOCSD.

4.7.3 When a training function or meeting does not involve overnight stay, the meal reimbursement shall not exceed the individual maximums above for the meals that are appropriate for travel times.

4.7.4 Provided Meals - Meal expenses are not reimbursable if furnished as part of the event and included in the registration or if provided by others.

4.7.5 Meals served by airlines are not counted as a full meal. If an airline serves breakfast, for example, an employee remains eligible for the breakfast per diem.

Page 5 of 8 4.8 GROUP EXPENSE REIMBURSEMENT

4.8.1 When employees travel in a group, they shall pay their own expenses. If this is not practical, one member of the group may pay. Expense reimbursement form shall include:

• Names of the individuals for whom the expense has been incurred • Department number(s) to be charged • Circumstances involved

Expenses for meals etc. cannot exceed individual maximums on an average per employee basis.

4.8.2 When more than one OCSD employee is present for a business meal, the expense(s) must be reported by the most senior OCSD person. The cost of business meals should be in line with per diem rates.

4.9 COMBINING BUSINESS AND PERSONAL TRAVEL

4.9.1 If an employee combines business and personal travel, the personal travel expenses will be paid directly by the employee. For trips in which the primary purpose is personal, OCSD pays only that portion of the trip directly related to business.

4.9.2 Business travel is based on actual business expenses incurred. Therefore, no adjustment is permitted between expense categories (e.g., funding extra airfare expense in exchange for reduced lodging in a private home on a personal side trip).

4.9.3 In general, it is not appropriate for family members to accompany employees on business trips. Any costs incurred on behalf of family members are not reimbursable.

4.10 FOREIGN TRAVEL

4.10.1 Regardless of when expense reports are submitted, the exchange rate for converting foreign currency expenses into U.S. dollars will be the rate in effect at the time the U.S. dollars are converted to foreign currency and supported by receipts.

4.11 TELEPHONE CALLS

4.11.1 Business telephone calls and modem services are reimbursable with receipt. On overnight stays, a $4.25 per day allowance is provided for personal telephone calls. Employees with OCSD-issued cellular phones are encouraged to use their cellular phones for calls.

4.12 CASH ADVANCE

4.12.1 Cash advances may be requested for overnight stays FOR EMERGENCY PURPOSES ONLY. The minimum request amount per trip is $100. The maximum request amount is $250 per trip. To receive a cash advance, the traveler is required to complete a “Request for Emergency Cash Advance” form, obtain proper signatures and submit the completed form to the Accounting Division.

Page 6 of 8 4.13 NON-REIMBURSABLE EXPENSES

4.13.1 Expenses that are personal (not directly connected with OCSD business) are not reimbursable unless there are extenuating circumstances approved by the General Manager. These include, but are not limited to the following:

• Clothing and toiletries • Personal side trips, personal entertainment and personal trip insurance • Fees for use of recreational, health and gym facilities • Home maintenance, baby sitting and pet boarding expenses • Personal legal charges and traffic violations • Loss or theft of cash, travelers checks, travel tickets and credit cards • Loss, theft or damage to personal property such as luggage, auto and clothing • Medical expenses • Accident related costs resulting from an employee’s business use of a personal auto • Tips exceeding 15% • Movies • Alcohol

4.14 AGENCY/VENDOR-REIMBURSED EXPENSES

4.14.1 When any meeting or training fees are to be reimbursed by an outside agency or vendor, the agency/vendor shall provide a letter to the employee stating exactly which expenditures will be reimbursed. The letter shall accompany the employee’s reimbursement package. The designated travel coordinator shall prepare a letter to the agency/vendor listing all expenditures that the agency/vendor has agreed to reimburse and enclose a copy of the agency/vendor authorization letter and copies of all receipts. This letter is copied to the employee and to Accounts Receivable in the Finance Department so that the payment can be credited to the proper account.

4.15 REIMBURSEMENT FOR NON-OCSD EMPLOYEES

4.15.1 Occasionally, OCSD requests others to travel either to OCSD properties or on behalf of OCSD. In those instances, the Department Head shall prepare a letter authorizing the travel. After completing the travel, the traveler submits a detailed invoice along with a payment request voucher to Accounts Payable for processing. A copy of the authorization letter shall accompany the payment request voucher.

4.16 EXCEPTIONS

4.16.1 Exceptions to the policy shall be indicated on the original Travel Expense Reimbursement form. Additionally an Exceptions-Unauthorized Expenditures memo shall be completed, signed by the Department Head and attached to the package.

Page 7 of 8 5.0 PROVISIONS AND CONDITIONS

5.1 Employees shall have Department Head approval in writing before agreeing to appear on a panel or to give a presentation on behalf of OCSD. Failure to do so may preclude attendance.

6.0 RELATED DOCUMENTS

6.1 Travel Expense Reimbursement form

6.2 Airfare Payment Request Voucher form

6.3 Registration Payment Request Voucher form

6.4 Request for Travel Authorization form

6.5 Lost – Unavailable Receipts memo

6.6 Request for Emergency Cash Advance form

6.7 Federal Meals and Incidental Expense Rates per Code of Federal Regulations (CFR 301-11.18)

6.8 Policy F10.00, Rules of Conduct

6.9 Policy C190.00, Variable Non Base Pay

6.10 Policy F41.00, Vehicle Usage Policy

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Orange County Policy Number: D90.00 Sanitation District Effective Date: April 26, 2006 Personnel Policies September 27, 2006

Subject: TUITION REIMBURSEMENT Supersedes: December 15, 2004 PROGRAM April 26, 2006

Approved by: Lisa L. Tomko Board of Directors

1.0 PURPOSE

1.1 This program is designed to encourage self-development of Orange County Sanitation District (OCSD) employees by providing qualifying employees with tuition reimbursement for job-related educational courses at accredited colleges, universities, or other institutions approved by the Human Resources (HR) Employee Development (ED) Division, provided that such courses are primarily for the purpose of:

1.1.1 Increasing capabilities in the employee’s present position within OCSD;

1.1.2 Preparing for positions to which the employee could be reasonably expected to advance within OCSD; and/or

1.1.3 Updating professional and/or technical capabilities that are pertinent and beneficial to OCSD.

2.0 ORGANIZATIONAL UNITS AFFECTED

2.1 This policy applies to all OCSD qualifying employees.

3.0 DEFINITIONS

3.1 Qualifying Employees – All OCSD employees who have completed their initial probationary period of employment and work more than 19 hours per week.

3.2 Tuition Reimbursement – A program in which qualifying employees who successfully complete OCSD approved courses, on their own time, at accredited colleges, universities or other institutions approved by the HR ED Division, within the guidelines of this policy, can be reimbursed for eligible expenses incurred.

4.0 POLICY

4.1 OCSD will reimburse employees who successfully complete educational courses that serve the mission and goals of OCSD, at the sole determination of OCSD, in compliance with this policy based upon the number of hours worked per week as follows:

HOURS OF WORK PER WEEK PERCENT OF REIMBURSEMENT 0 – 19 NOT ELIGIBLE – 0% 20 – 29 50% 30 – 39 75% 40 100%

Page 1 of 4 4.2 Employees may be reimbursed for the following:

4.2.1 Specific, job-related Associate, Baccalaureate, and Graduate degree program courses.

4.2.1.1 Requests for reimbursement of courses above the Bachelor degree level require special approval by the Department Head, Human Resources and the General Manager. Such requests will be subject to a more extensive process, including an analysis to determine the value to OCSD of the proposed courses or degree program.

4.2.2 Specific, job-related courses through accredited colleges or universities.

4.2.3 Specific, job-related courses offered through an institution of study approved by the ED HR Division.

4.2.3.1 The employee’s Division Manager is responsible for determining whether or not the course is “job-related.”

4.3 When an employee successfully completes a course with a grade of “C” or better and within the guidelines of this policy, OCSD will reimburse the employee for eligible expenses incurred, based on the number of hours worked per week, not to exceed $5,250 per calendar year. Reimbursements are paid through payroll.

Examples of eligible and ineligible expenses are:

Eligible Expenses Ineligible Expenses • Tuition • Travel • Registration fees • Optional student fees • Laboratory fees • Doctoral dissertation fees • Parking fees • Masters thesis fees • Health fees • Supplemental textbook costs • Application fees • Supplies and materials used for the • Required textbooks and materials course and retained by the employee per the course syllabus after course completion (i.e., paper, • Supplies required per the course pencils, notebooks, diskettes, etc.) syllabus not to exceed $100.00 • Graduation or diploma fees per course

5.0 PROCEDURE

5.1 To participate in the Tuition Reimbursement Program, employees must submit a completed Tuition Reimbursement Application and a copy of the course description which includes the course cost, course start/end date, and number of units for each course to the ED Division or HR Division Department NO EARLIER THAN 30 days prior to the course start date and NO LATER THAN one day prior to the course start date. Tuition Reimbursement Applications received in the HR Division more than 30 days prior to the course start date will not be processed and will be returned to the employee for future submittal. Tuition Reimbursement Applications received in the ED HR Division on or after the course start date will not be approved.

5.1.1 The Director of Finance & Administrative Services Human Resources (or designee) will sign completed applications. A copy of the approved application will be forwarded to the employee to be re-submitted upon course completion.

5.1.2 Incomplete applications will be returned to the employee with explanation(s) attached. Page 2 of 4

5.2 Upon course completion, the employee must complete and submit a Request for Tuition Reimbursement along with (1) an official record of the final grade, (2) itemized receipts for eligible expenses, (3) a copy of the course syllabus (if requesting reimbursement for required textbooks, materials and/or supplies) and (4) a copy of the original approved Tuition Reimbursement Application for each course to the ED Division within 60 calendar days following the course end date.

5.2.1 The Director of Finance & Administrative Services Human Resources (or designee) will sign completed requests. Copies of the approved request will be forwarded to the employee and submitted to the Accounting Division for reimbursement.

5.2.2 Incomplete requests will be returned to the employee with explanation(s) attached.

6.0 EXCEPTIONS

6.1 If an employee terminates employment or gives notice of termination prior to the completion of a course, no reimbursement will be made.

6.2 Reimbursement may be authorized whenever the employee’s manager and HR Manager (or designee) determines that there is substantial benefit to be derived by OCSD when an employee takes a course that does not meet the requirements of this policy.

7.0 PROVISIONS AND CONDITIONS

7.1 This policy does not apply to student interns or temporary employees.

7.2 Requests for Tuition Reimbursement received in the HR ED Division more than 60 days after the course end date will not be approved.

7.3 Tuition Reimbursement Applications received in the HR Division more than 30 days prior to the course start date will not be accepted and will be returned to the employee for re- submittal at a later date.

7.4 Tuition Reimbursement Applications received in the HR ED Division on or after the course start date will not be approved.

7.4.1 Reimbursement requests must be received by payroll by the second-to-last pay period of the calendar year to be applied to an employee’s reimbursement limit for that calendar year.

7.4.2 Reimbursement requests received by payroll on or after the last pay period of the calendar year will be applied to the employee’s reimbursement limit for the following year.

7.5 Employees, who for any reason, voluntarily terminates employment with OCSD and received reimbursement through the Tuition Reimbursement Program within 36 months of resignation, shall be subject to the following:

7.5.1 Should an employee, for any reason, voluntarily terminate employment with OCSD 1-12 months after receiving reimbursement, he/she shall repay OCSD 100% of the funds received through this program within the twelve-month period prior to the date of his/her voluntary termination.

7.5.2 Should an employee, for any reason, voluntarily terminate employment with OCSD 13-24 months after receiving reimbursement, he/she shall repay OCSD

Page 3 of 4 66% of all funds received through this program within the twenty-four month period prior to the date of his/her voluntary termination.

7.5.3 Should an employee, for any reason, voluntarily terminate employment with OCSD 25-36 months after receiving reimbursement, he/she shall repay OCSD 33% of all funds received through this program within the thirty-six month period prior to the date of his/her voluntary termination.

7.6 Reimbursement will be at the discretion of OCSD provided the employee meets the criteria specified in this policy.

8.0 RELATED DOCUMENTS

8.1 Fair Labor Standards Act, as amended.

8.2 Sections 127 and 132-J8 of the Internal Revenue Code.

8.3 Tuition Reimbursement Pre-Approval Application

8.4 Request for Tuition Reimbursement Form

Page 4 of 4 Orange County Sanitation District TUITION REIMBURSEMENT PRE-APPROVAL APPLICATION

To participate in the Tuition Reimbursement Program, the employee must complete and submit a Tuition Reimbursement Pre-Approval Application (this form) and a copy of the course description for each course which includes the course cost, course start/end date and number of units to the Employee Development Division NO LATER THAN one day prior to the course start date. If the course is part of a Master's degree program or higher, a justification memo, which includes the reason the degree will benefit the District, must also be attached. REQUESTS RECEIVED ON OR AFTER THE COURSE START DATE WILL NOT BE APPROVED.

1. Check box to indicate that you have read through the paragraph above.

2. Employee Name: ______Emp #: ______Division: ______Extension: ______

3. Employment Status: Regular, full-time Part-time (# of hours per week: ______) Temporary Probationary (probation ends [month/year]: ______) Contract

4. Normal Work Schedule (indicate days of week and hours of work): ______

5. Name and location (city, state) of College, University or Institution of study:______

6. Do you expect to receive any other type of Tuition Assistance? YES NO

7. COURSE INFORMATION: COURSE ESTIMATED START END START END COURSE TITLE UNITS NUMBER COSTS DATE DATE TIME TIME

8. If you are requesting reimbursement for a course that is part of a Master's degree program or higher, a justification memo, which includes the reason the degree will benefit the District, must be attached.

Degree Program? YES If yes, indicate type of degree and field of study ______

NO If no, indicate reason for taking course ______

9. By signing this application, I understand that the District will reimburse the associated costs for the course in accordance with Policy D90.00 of the Human Resources Policies and Procedures Manual.

Should I terminate employment with OCSD 1-12 months after receiving reimbursement, I agree to repay the District 100% of the funds received through this program within the twelve-month period prior to the date of my termination. Should I terminate employment with the District 13-24 months after receiving reimbursement, I agree to repay the District 66% of all funds received through this program within the twenty-four month period prior to the date of my termination. Should I terminate employment with the District 25-36 months after receiving reimbursement, I agree to repay the District 33% of all funds received through this program within the thirty-six month period prior to the date of my termination.

Repayment of tuition reimbursements resulting from early employment termination is due and payable in full upon the actual termination of employment for any reason. The participant hereby authorizes OCSD to withhold from his/her final pay, including sick leave, vacation leave, personal leave and compensatory time payoff, for all tuition reimbursement balances owed. Any remaining tuition reimbursement balance will be repaid to OCSD in equal installments over the following 12 months.

EMPLOYEE SIGNATURE: ______DATE: ______

BY SIGNING THIS APPLICATION, I AGREE THAT THE COURSE INDICATED ABOVE IS MISSION SPECIFIC AND/OR JOB RELATED.

DIVISION MANAGER’S APPROVAL SIGNATURE: ______DATE: ______

IF THE COURSE IS PART OF A MASTER'S DEGREE PROGRAM OR HIGHER, THE FOLLOWING SIGNATURES ARE ALSO REQUIRED:

DEPARTMENT HEAD'S APPROVAL SIGNATURE: ______DATE: ______

GENERAL MANAGER'S SIGNATURE: ______DATE: ______

Your application for reimbursement has NOT been approved. ______Your application for reimbursement has been APPROVED. A blank Request for Tuition Reimbursement form is attached.

You have $______remaining for reimbursement this calendar year. DIRECTOR OF HUMAN RESOURCES (OR DESIGNEE) SIGNATURE: ______DATE: ______

ATTACHMENT A Orange County Sanitation District REQUEST FOR TUITION REIMBURSEMENT

Upon course completion, the employee must complete and submit a Request for Tuition Reimbursement (this form) along with an official record of the final grade, itemized receipts for eligible expenses, a copy of the course syllabus (if requesting reimbursement for required textbooks, materials or supplies) and a copy of the original approved Tuition Reimbursement Application for each course to the Employee Development Division within 60 calendar days following the course end date. LATE REQUESTS WILL NOT BE APPROVED.

1. Employee Name: ______Division: ____ Extension: _____

2. COURSE INFORMATION:

COURSE ACTUAL START END COURSE TITLE NUMBER COSTS DATE DATE

3. ALL of the following eligible expense documents are attached:

‰ Official Record of final grade(s)

‰ Receipt(s) for tuition and eligible fees

‰ A copy of the course syllabus (if requesting reimbursement for required textbooks, materials and/or supplies)

‰ A copy of the original approved Tuition Reimbursement Application 4. I request reimbursement in the amount of $ ______.

Should I terminate employment with OCSD 1-12 months after receiving reimbursement, I agree to repay the District 100% of the funds received through this program within the twelve-month period prior to the date of my termination. Should I terminate employment with the District 13-24 months after receiving reimbursement, I agree to repay the District 66% of all funds received through this program within the twenty-four month period prior to the date of my termination. Should I terminate employment with the District 25-36 months after receiving reimbursement, I agree to repay the District 33% of all funds received through this program within the thirty-six month period prior to the date of my termination.

Repayment of tuition reimbursements resulting from early employment termination is due and payable in full upon the actual termination of employment for any reason. The participant hereby authorizes OCSD to withhold from his/her final pay, including sick leave, vacation leave, personal leave and compensatory time payoff, for all tuition reimbursement balances owed. Any remaining tuition reimbursement balance will be repaid to OCSD in equal installments over the following 12 months.

Employee Signature: ______Date: ______

FOR OFFICE USE ONLY

Your Tuition Reimbursement Request has NOT been approved. Explanation(s) attached. Your Tuition Reimbursement Request been APPROVED in the amount of $ ______and forwarded to the Accounting Division on ______, reference #: ______.

Director of Human Resources (or designee) Signature: ______Date: ______

ATTACHMENT B

Orange County Policy Number: F41.00

Sanitation District Effective Date: September 28, 2005 Personnel Policies September 27, 2006

Subject: Vehicle Usage Supersedes: October 24, 2002 September 28, 2005

Approved by: Lisa L. Tomko Board of Directors

1.0 PURPOSE

1.1 The purpose of this policy is to establish uniform guidelines and procedures for the administration, utilization, and disposition of Orange County Sanitation District (OCSD) vehicles.

2.0 ORGANIZATIONAL UNITS AFFECTED

2.1 This policy applies to all OCSD employees and Student Interns regardless of their organizational unit.

3.0 DEFINITIONS

3.1 OCSD Vehicles are all OCSD -owned cars, trucks, carts, bicycles, and special motorized equipment.

3.2 Emergency for the purposes of this policy is an illness or injury of the car-pooler, carpool driver or car-pooler’s immediate family member, or unscheduled overtime requested by the employee’s immediate supervisor resulting in the car-pooler missing the vanpool or carpool departure time.

3.3 Authorized Drivers are all OCSD employees and Student Interns who participate in the DMV Employer Pull Notice (EPN) Program. Exceptions are outlined in section 6.0 of this policy.

3.4 Authorized Passengers are persons that are accompanied by OCSD staff for the purpose of conducting business with OCSD.

3.5 Standby is time during which an employee is not required to be at the work location or at the employee’s residence but is required to be available and ready for immediate return to work.

3.6 Employer Pull Notice (EPN) Program was established by the California Department of Motor Vehicles (DMV) to provide employers and regulatory agencies with a means of promoting driver safety through the ongoing review of employee driver records.

3.7 Hands-Free Devices are accessories that allow the driver of a vehicle to use wireless communication without holding any equipment.

4.0 POLICY

4.1 Vehicle Assignments

Page 1 of 7 4.1.1 OCSD vehicles and equipment are assigned to departments depending on their need for such vehicle(s) and/or equipment to accomplish their mission. Division supervision shall designate or assign drivers or operators to specific vehicle(s) for conducting OCSD business during working hours only.

4.1.2 Pool vehicles are assigned to and managed by the Fleet Services Division for the purpose of providing temporary assigned vehicles for OCSD business.

4.1.3 OCSD vehicles and equipment shall not be loaned to contractors, other agencies, cities, or other organizations or companies except as provided for in section 6.1.

4.2 Use of Personal Vehicles for OCSD Business

4.2.1 The use of a private vehicle to conduct OCSD business shall require the approval of the employee’s immediate supervisor.

4.2.2 The use of private vehicles to conduct OCSD business shall be reimbursed in accordance with policy C110.00 (Travel) not to exceed the prevailing rate allowed by the Internal Revenue Service.

4.2.3 The employee’s or Student Intern’s private vehicle insurance is the primary insurance on the vehicle. OCSD shall not be responsible for the replacement, or repair of any private vehicle, not otherwise owned, rented, or leased by OCSD and used to conduct OCSD business, if said vehicle is damaged or destroyed during the course of such use. Prior to said use, the employee’s private vehicle shall have automobile insurance coverage that meets or exceeds the minimum requirements of the DMV for public liability and property damage. Drivers are responsible for ensuring that their personal vehicle insurance is valid for business use.

4.3 Use of Pool Vehicles

4.3.1 Pool vehicles are maintained by Fleet Services Division for:

4.3.1.1 Use by any authorized driver requiring transportation to conduct OCSD business on a trip-by-trip or as-needed basis.

4.3.1.2 Use by any authorized driver or while a regularly assigned vehicle or mobile equipment is undergoing service or repairs.

4.3.2 Pool vehicles should not be used for extended out-of-town business unless all other options, least costly to OCSD, have been considered and eliminated.

4.3.3 Pool vehicles may be reserved in advance on a first come first serve basis by contacting the appropriate Fleet Services Division personnel.

4.3.4 Overnight use of an OCSD pool vehicle must have prior approval by an OCSD manager level or above. The manager should consider all options (i.e., using personal vehicle instead) and shall choose the option that is the least costly to OCSD. An employee whose OCSD business requires an early morning departure will be allowed to check-out the vehicle the night prior to the travel day.

4.3.5 Drivers should avoid parking pool vehicles overnight in a public parking facility such as an airport. Costs for airport shuttles, public transportation, or personal vehicle use shall be reimbursed in accordance with policy C110.00 (Travel).

Page 2 of 7 4.3.6 OCSD vanpool vehicles are limited to the approved route and schedule as assigned by the vanpool coordinator. Vanpool vehicles may be used for other OCSD purposes during working hours.

4.3.7 Vanpoolers and carpoolers may check out a pool vehicle in the event of an emergency that requires their immediate or delayed departure from work.

4.3.8 Returned pool vehicles shall be refueled when less than one-half tank of fuel remains. All trash and personal items must be removed from the pool vehicle. Any mechanical problems shall be reported immediately to Fleet Services Division.

4.4 OCSD Vehicle Parking

4.4.1 OCSD vehicles shall be parked and locked in assigned parking spaces or designated areas.

4.4.2 OCSD vehicle keys are to remain in a secured area.

4.4.3 OCSD vehicles shall not be parked in visitor, carpool, vanpool, handicapped parking spaces or red zones.

4.4.4 Employees with a Disabled Persons Parking Permit issued by the DMV shall be authorized to use handicapped parking spaces for their assigned OCSD vehicle.

4.4.5 On call employees who take OCSD vehicles home shall park OCSD vehicle in a garage, carport, or driveway if possible and not on a private or public street.

4.5 Employee Personal Vehicle Parking

4.5.1 Personal vehicles shall be parked in employee parking areas only.

4.5.2 OCSD parking permits shall be visibly displayed in personal vehicles.

4.5.3 Personal vehicles shall not park in visitor, assigned parking spaces, or adjacent to red or green curbs. 4.6 Driver Responsibility

4.6.1 License: While operating an OCSD vehicle, or driving a personal vehicle, on official OCSD business, the driver must possess a valid State of California, Department of Motor Vehicles (DMV) Driver’s License, and shall comply with the requirements of the California Vehicle Code and local regulations and ordinances. The consequences for failing to comply with any law, regulation or ordinance shall be the responsibility of the driver. Drivers required to operate a commercial vehicle must possess a valid State of California, DMV Commercial Driver’s License with the proper endorsements.

4.6.2 DMV Records: All employees and Student Interns operating OCSD vehicles on public roadways shall be required to participate in the DMV EPN Program. Employees with a class A or B license are automatically added to the EPN Program.

4.6.2.1 Employees and Student Interns shall complete a DMV authorization form. Those individuals who do not complete the DMV authorization form are not authorized to operate OCSD vehicles.

Page 3 of 7

4.6.2.2 Records of class A and B licenses shall be presented to the California Highway Patrol upon request.

4.6.2.3 As part of the EPN program, OCSD shall verify that an authorized driver has a valid driver’s license(s) and that the license(s) is not suspended, restricted, or revoked. Other information reported by DMV may be used to determine an authorized driver’s ability to operate a vehicle. 4.6.3 Private Use:

4.6.3.1 OCSD vehicles shall be used only for purposes of OCSD business and not for personal business or pleasure by any person. This includes, but is not limited to, stopping for a meal break or running a personal errand unless such activity is during the course of official OCSD business. OCSD vehicles can not be used for the sole purpose of personal business. No one except authorized drivers and authorized passengers, as outlined in this policy, may be transported in an OCSD vehicle at anytime.

4.6.3.2 The transportation of personal property within an OCSD vehicle is prohibited with the exception of an employee's lunch or property ordinarily used by the employee while conducting OCSD business.

4.6.4 Care of Vehicles: Each employee having custody of an OCSD vehicle shall exercise due caution and prudence in the operation of such vehicle and shall minimize the risk of damage to such vehicle. Only OCSD related stickers are authorized on OCSD vehicles.

4.6.5 Smoking: Smoking is prohibited in OCSD owned vehicles.

4.6.6 Cell phones: While operating an OCSD vehicle, the driver must utilize a hands- free device and use the one touch or voice activated calling feature when using a cell phone. If a hands-free device is not available, the driver must pull over to a safe location in order to use a cell phone. Hands-free devices shall be provided in selected OCSD vehicles.

4.6.7 Vehicles not in Use: OCSD vehicles are for use during working hours only. OCSD vehicles shall otherwise be parked and locked at assigned OCSD facilities. OCSD vehicle keys shall remain in a secured area. Keys for vehicles assigned to individuals may be kept overnight or during the weekend by the individual. OCSD vehicles shall be made available to an assigned department if the employee who is assigned the OCSD vehicle will gone for any extended period of time.

4.6.8 Stand-by Use: OCSD vehicles may be taken home by those employees on paid stand-by duty during the period of such stand-by duty. If possible, the vehicle shall be parked in a garage, carport, or driveway and not on a private or public street. Vehicles shall only be used for the express purpose of responding when called back to work and not for personal purposes.

4.6.8.1 With the permission of the employee's manager, employees may use assigned OCSD vehicles in lieu of personal vehicles for transportation to places/events to facilitate their availability during authorized stand- by. However, OCSD vehicles may not be parked at or near bars,

Page 4 of 7 casinos, adult entertainment establishments or other locations likely to reflect poorly on OCSD.

4.6.9 Status Changes Affecting Drivers License: Drivers of OCSD vehicles are required to notify their supervisor, in writing, immediately upon the following:

4.6.9.1 If their driver’s license is revoked, suspended, restricted, or expired.

4.6.9.2 If they are cited for a major moving violation, to include but not limited to the following:

4.6.9.2.1 Driving under the influence of alcohol, drugs or a combination of both.

4.6.9.2.2 Hit and run.

4.6.9.2.3 Reckless driving.

4.6.9.2.4 Leaving the scene of an accident.

4.6.9.2.5 Eluding or fleeing a police officer.

4.6.9.2.6 Speed contests or drag racing.

4.6.10 Passengers: Only OCSD authorized drivers and authorized passengers, as outlined in this policy, are allowed in OCSD vehicles. Unauthorized passengers, including but not limited to hitchhikers and family members, are prohibited in OCSD vehicles. Drivers and passengers shall use seat belts and shoulder restraints at all times while the vehicle is in motion. No driver shall allow or cause any passenger to ride in or on any vehicle other than in a proper passenger seat equipped with legal seat belts.

4.6.11 Toll Roads: Drivers are responsible for ensuring the payment of any toll road expense while operating an OCSD or personal vehicle. Toll road expenses are reimbursable if the costs were incurred while performing official OCSD business. Requests for toll road reimbursement must be submitted on a Travel Expense Reimbursement Form.

4.7 Safe Driving Habits and Vehicle Safety Practices

4.7.1 OCSD vehicles shall be operated in compliance with all applicable state and local laws and ordinances. The consequences for failing to comply with any law, regulation, or ordinance, such as speeding citations or toll road fines, shall be the responsibility of the driver.

4.7.2 Drivers are to drive defensively and maintain control of the vehicle at all times and be aware of personal limitations, road conditions, weather, visibility, and traffic.

4.7.3 No driver shall operate a vehicle at a speed greater than is reasonable and prudent for the conditions, having due regard for weather and visibility, the traffic on, and the surface and width of, the highway and in no event at a speed which endangers the safety of persons or property.

Page 5 of 7 4.7.4 No person will operate an OCSD vehicle while under the influence of alcohol or illegal drugs. Also, over-the-counter or prescription medications that are reasonably known to adversely influence the safe operation of a vehicle are prohibited.

4.7.5 In inclement weather, rain, fog, etc., drivers are required to turn on vehicle headlights.

4.7.6 Drivers are responsible for the secure placement and proportionate distribution therein of the load to be transported. Whenever the load extends beyond the bed or body of such vehicles, the driver will use clearance flags or signs, properly displayed, indicating a long or wide load, as required by California Vehicle Code.

4.7.7 Drivers are responsible to ensure that vehicles are not overloaded.

4.7.8 Whenever it is necessary to hook up a trailer to a truck, caution should be exercised and, if needed, the assistance of a fellow employee shall be obtained.

4.8 Accident Reports

4.8.1 OCSD requires employees and Student Interns to report a wide variety of incidents ranging from loss of OCSD property to injuries. All job related incidents or any incident involving OCSD property is to be reported no matter how slight. Drivers and/or operators of vehicles and equipment are required to complete a Vehicle Accident Report in the event of a vehicle accident, vehicle damage, vehicle theft, vehicle vandalism, property damage, and other vehicle related incidents. Reports and investigations shall be completed in accordance with SAFETY-POL-202, Accident Investigations. The drug testing requirement as described in the OCSD Substance Abuse Policy shall apply.

4.9 Responsibility Assignments

4.9.1 Employees

4.9.1.1 Employees are responsible for compliance with all provisions of this policy when using OCSD or private vehicles to conduct OCSD business. For purposes of this policy the actual driver and/or operator of the vehicle or equipment shall be the responsible employee.

4.9.1.2 Employees and Student Interns are responsible for the costs of any ticket, citation, and/or any other liability that may be imposed due to a violation of law, regulation, and/or ordinance as a result of their operation of a vehicle.

4.8.2 Directors, Managers, and Supervisors

4.8.2.1 It is the responsibility of supervisory personnel to ensure the policies of this document are understood by the employees under his or her immediate supervision.

5.0 PROCEDURES

6.0 EXCEPTIONS

6.1 Contractors who meet the requirements of this policy may, in limited situations, use an OCSD vehicle with Department Head Authorization.

Page 6 of 7

7.0 PROVISIONS AND CONDITIONS

8.0 RELATED DOCUMENTS

8.1 DMV Employer Pull Notice Program

8.2 California Vehicle Code

8.3 Policy C110.00, Travel

8.4 Policy E80.00, Cellular Telephones

8.5 Policy F40.00, Use of District Property

Page 7 of 7

RESOLUTION NO. OCSD 06-22

AMENDING RESOLUTION NO. OCSD 98-33 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT AMENDING THE PERSONNEL POLICIES AND PROCEDURES

***************************** The Board of Directors of the Orange County Sanitation District,

DOES HEREBY RESOLVE, DETERMINE AND ORDER:

Section 1: That Exhibit “A” of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. B10.00, Conflict of Interest Code and Code of Ethics, set forth in Attachment No. 1, attached hereto and incorporated herein by reference.

Section 2: That Exhibit “A” of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. B150.00, Recruitment and Selection, set forth in Attachment No. 2, attached hereto and incorporated herein by reference.

Section 3: That Exhibit “A” of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. B160.00, Nepotism, set forth in Attachment No. 3, attached hereto and incorporated herein by reference.

Section 4: That Exhibit “A” of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. C110.00, Travel, set forth in Attachment No. 4, attached hereto and incorporated herein by reference.

Section 5: That Exhibit “A” of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. D90.00, Tuition Reimbursement Program, set forth in Attachment No. 5, attached hereto and incorporated herein by reference.

Section 6: That Exhibit “A” of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. F41.00, Vehicle Usage, set forth in Attachment No. 6, attached hereto and incorporated herein by reference.

Section 7: That Exhibit “A” of Resolution No. OCSD 98-33 is hereby amended by re- titling the Human Resources Policies and Procedures Manual to the “OCSD Board of Directors Personnel Policies and Procedures Manual”.

Section 8: That all other terms and conditions of Resolution No. OCSD 98-33, as previously recommended, shall remain in full force and effect.

Section 9: That all future amendments to Resolution No. OCSD 98-33 be made by Resolution.

PASSED AND ADOPTED at a regular meeting held September 27, 2006.

______Chair ATTEST: ______Board Secretary

Meeting Date To Bd. of Dir. FAHR COMMITTEE 09/13/06 09/27/06 Item Number Item Number AGENDA REPORT FAHR06-60 13(c) Orange County Sanitation District

FROM: Brad Hogin, General Counsel

SUBJECT: ADOPTION OF DISTRICT’S 2006 CONFLICT OF INTEREST CODE

GENERAL MANAGER'S RECOMMENDATION

Adopt Resolution No. OCSD 06-23, Adoption of District’s 2006 Conflict of Interest Code, and Repealing Resolution No. OCSD 04-24.

SUMMARY

Please see attached memorandum from General Counsel dated August 31, 2006.

PRIOR COMMITTEE/BOARD ACTIONS

September 22, 2004 – Board amended Conflict of Interest Code.

PROJECT/CONTRACT COST SUMMARY N/A

BUDGET IMPACT This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION N/A

ALTERNATIVES N/A

CEQA FINDINGS N/A

ATTACHMENTS 1. General Counsel Memo 2. Proposed Resolution 3. 2006 Conflict of Interest Code

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 13(c).Conflict of Interest Code.doc Revised: 8/20/98 Page 1 L AW O FFICES O F W OODRUFF , S PRADLIN & S MART A P ROFESSIONAL C ORPORATION

MEMORANDUM

Chair and Members of the Board of Directors TO: Orange County Sanitation District FROM: Bradley R. Hogin, Esq. DATE: August 31, 2006 RE: 2006 Conflict of Interest Code

The District is required to re-adopt its Conflict of Interest Code every two years. The Resolution revises the District’s list of designated employees that are required to file statements of economic interest. The changes are necessary because some positions have been deleted, some positions have been added, and certain changes have been made to classification names.

General Counsel recommends that the Board adopt the 2006 Code, thus keeping the District in compliance with state law. Upon adoption, the Code will be submitted to the County Board of Supervisors as the code-reviewing body.

Bradley R. Hogin General Counsel

517636.1 RESOLUTION NO. OCSD 06-23

ADOPTING DISTRICT’S 2006 CONFLICT OF INTEREST CODE

A RESOLUTION OF THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT ADOPTING THE DISTRICT’S 2006 CONFLICT OF INTEREST CODE AND REPEALING RESOLUTION NO. OCSD 04-24

WHEREAS, the Political Reform Act of 1974, Government Code Sections 81000, et seq., (the “Act”), requires a local governmental agency to adopt a Conflict of Interest Code pursuant thereto; and,

WHEREAS, the Orange County Sanitation District adopted Resolution No. OCSD 04-24 on September 22, 2004, adopting such a Code by incorporating the provisions of Section 18730 of Title 2 of the California Code of Regulations pursuant to the Act, which Code was approved by the Orange County Board of Supervisors, as the Code- reviewing body; and,

WHEREAS, Exhibit “A” must be amended to correct the list of Designated Employees by revising the titles of existing positions, and by deleting the titles of positions that have been eliminated.

NOW, THEREFORE, the Board of Directors of Orange County Sanitation District,

DOES HEREBY RESOLVE, DETERMINE AND ORDER:

Section 1: That the Code entitled “2006 Conflict of Interest Code of the Orange County Sanitation District”, a copy of which is attached hereto and incorporated herein by reference, be, and is hereby approved and adopted for the District, subject to the approval thereof by the Orange County Board of Supervisors, which is the designated Code-reviewing body pursuant to California Government Code Section 87303. Section 2: That the Secretary of the District is hereby authorized and instructed to submit a copy of this Resolution and the Code hereby adopted to the Orange County Board of Supervisors, and to request said Board of Supervisors to approve said Code in accordance with California Government Code Section 87303.

Section 3: That Resolution No. OCSD 04-24, adopted September 22, 2004, adopting a revised Conflict of Interest Code of the Orange County Sanitation District, is hereby repealed, effective ten (10) days after approval of the District’s 2006 Code adopted herein by the Orange County Board of Supervisors.

PASSED AND ADOPTED at a regular meeting held September 27, 2006.

______Chair

______Board Secretary

H:\dept\gmo\Board Services\BS\Resolutions\2006\Conflict of Interest.doc 2006 CONFLICT OF INTEREST CODE OF THE ORANGE COUNTY SANITATION DISTRICT

Section 1: Purpose. The purpose of this 2006 Conflict of Interest Code of the Orange County Sanitation District, is to comply with the requirements of the California Political Reform Act of 1974 (California Government Code Sections 87100 et seq.), and particularly the requirement to adopt and promulgate a local Conflict of Interest Code (California Government Code Section 87300).

Section 2: Designated Positions. The positions listed on Exhibit “A’, attached hereto and incorporated herein by reference, are Designated Positions. Officers and employees holding those positions are Designated Employees, and are deemed to make, or participate in the making, of decisions which may foreseeably have a material effect on economic interests.

Section 3: Disclosure Categories. Each Designated Employee shall disclose on Fair Political Practices Commission Form 700, all required information for the following disclosure categories, and as specified for the Designated Position:

Category I - Investments Category II - Interests in Real Property Category Ill - Income Category IV - Business Positions

Section 4: Incorporation by Reference of Section 18730 of Title 2 of the California Code of Regulations. Pursuant to authority of Section 18730 of Title 2 of the California Code of Regulations, the Regulations set forth in Title 2, Division 6, Chapter 7, Articles 1-3, and any amendments thereto, duly adopted by the Fair Political Practices Commission, along with the attached Exhibit “A”, in which officers and employees of the District are designated and disclosure categories are set forth, are hereby incorporated by reference and constitute the Conflict of Interest Code of the Orange County Sanitation District.

Section 5: Place of Filing for Statements of Economic Interest. Persons occupying Designated Positions shall file Statements of Financial Interest with the Orange County Sanitation District Board Secretary. Upon receipt of the Statements of the Board of Directors and General Manager, the District’s Board Secretary shall make and retain a copy and forward the original of these Statements to the Clerk of the Orange County Board of Supervisors. Statements for all other persons occupying Designated Positions will be retained by the District. Section 6: Severability. If any article, section, subsection, paragraph, subparagraph, sentence, clause, or phrase of this Code is for any reason held to be invalid, unconstitutional, or unenforceable, such decision shall not affect the validity of the remaining portions of this Code. The District declares that it would have adopted this Code and each article, section, subsection, paragraph, subparagraph, sentence, clause, and phrase thereof irrespective of the fact that any one or more of such portions of this Code be declared invalid, unconstitutional, or unenforceable.

Section 7: Effective Date: The District’s 2006 Conflict of Interest Code shall take effect ten (10) days after approval by the Orange County Board of Supervisors, acting as the Code-reviewing body, pursuant to Government Code Section 87303.

2006 CONFLICT OF INTEREST CODE OF THE ORANGE COUNTY SANITATION DISTRICT

EXHIBIT “A”

DESIGNATED POSITIONS

Designated Position Disclosure Categories

General Manager I, II, III, IV Assistant General Manager I, II, III, IV Director of Engineering I, II, III, IV Director of Finance/Treasurer I, II, III, IV Director of Information Technology I, II, III, IV Director of Operations and Maintenance I, II, III, IV Director of Technical Services I, II, III, IV Director of Regional Assets & Services I, II, III, IV Accounting Manager I, II, III, IV Contract and Purchasing Manager I, II, III, IV Controller I, II, III, IV Engineering Manager I, II, III, IV Environmental Assessment Manager I, II, III, IV Human Resources Manager I, II, III, IV Information Technology Manager I, II, III, IV Public Information Manager I, II, III, IV Laboratory Manager I, II, III, IV Maintenance Manager I, II, III, IV Operations Manager I, II, III, IV Process Controls Manager I, II, III, IV Source Control Manager I, II, III, IV Accounting Supervisor I, II, III, IV Chief Plant Operator I, II, III, IV Purchasing Supervisor I, II, III, IV Contracts Supervisor I, II, III, IV Senior Construction Inspection Supervisor I, II, III, IV Construction Inspection Supervisor I, II, III, IV Engineering Supervisor I, II, III, IV Environmental Supervisor I, II, III, IV Human Resources Supervisor I, II, III, IV Information Technology Supervisor I, II, III, IV Laboratory Supervisor I, II, III, IV Maintenance Supervisor I, II, III, IV

2006 CONFLICT OF INTEREST CODE OF THE ORANGE COUNTY SANITATION DISTRICT

EXHIBIT “A”

DESIGNATED POSITIONS

Designated Position Disclosure Categories Senior Maintenance Supervisor I, II, III, IV Materials Control Supervisor I, II, III, IV Operations Supervisor I, II, III, IV Safety & Health Supervisor I, II, III, IV Secretary of the District I, II, III, IV Source Control Supervisor I, II, III, IV Principal Accountant I, II, III, IV Senior Financial Analyst I, II, III, IV Principal Financial Analyst I, II, III, IV Buyer I, II, III, IV Senior Buyer I, II, III, IV Capital Improvement Program Project Manager I, II, III, IV Construction Inspector I, II, III, IV Senior Construction Inspector I, II, III, IV Contracts Administrator I, II, III, IV Senior Contracts Administrator I, II, III, IV Principal Contracts Administrator I, II, III, IV Senior Engineer I, II, III, IV Legislative Affairs Liaison I, II, III, IV Legal and Regulatory Affairs Liaison I, II, III, IV Regulatory Specialist I, II, III, IV Senior Regulatory Specialist I, II, III, IV Senior Scientist I, II, III, IV

General Counsel I, II, III, IV *Consultants I, II, III, IV

*The governing body of the District shall determine on a case-by-case basis whether a particular Consultant is required to comply with the disclosure requirements in this Section. If the governing body determines that a particular Consultant must comply with the disclosure requirements of this Section, the governing body shall notify the Consultant in writing. The written notification shall include a description of the Consultant’s duties, and based upon those duties, a statement of the extent of disclosure requirements. The governing body’s notification is a public record and shall be retained for public inspection by the Board Secretary. Meeting Date To Bd. of Dir. FAHR COMMITTEE 09/13/06 09/27/06 Item Number Item Number AGENDA REPORT FAHR06-61 13(d) Orange County Sanitation District

FROM: Lorenzo Tyner, Director of Finance and Administrative Services

Originator: Marc Dubois, C.P.M., Contracts/Purchasing Manager

SUBJECT: GENERAL MANAGER APPROVED PURCHASES

GENERAL MANAGER'S RECOMMENDATION

Receive and file report of General Manager approved purchases in amounts exceeding $50,000 in accordance with Board purchasing policies.

SUMMARY

In May 1998, the FAHR Committee and the Board approved changes to the staff purchasing authority. One of the changes was to increase the dollar threshold before Board authority was required for purchases of goods or services, excluding public works purchases, to $100,000.

When approving this change, the Committee asked for periodic reports showing purchases approved by the General Manager for amounts between $50,000 and $100,000. Subsequent to receiving the initial report, the Committee requested that future reports be placed on the Consent Calendar.

Vendor Name Amount Department Description/Discussion California State University, Sole Source for demographic $55,001 Engineering Fullerton (CSUF) Foundation research memberships. Forensic analysis P2 truck Kars Advance Materials, Inc. $94,000 Engineering loading facility. Emergency weld work P2 truck Frost Company $95,000 Engineering loading facility. Document review and RMS Engineering & Design, Inc. $60.000 O & M inspection for Project SP-117. Sole Source for Software TMV Systems Engineering, Inc. $60,000 O & M services. United Pumping Service $60,000 O & M Vacuum services. CSI Computational Systems $72,000 O & M Quality assurance inspections. Jamison Engineering $72,980 O & M Rehab barscreens at Plant 2.

Form No. DW-102 Agenda Report – Board Dept. 320 Revised: 9/21/2006 Page 1 Vendor Name Amount Department Description/Discussion

National Plant Service $80,000 O & M Vacuum services. Oxygen for activated sludge Air Products & Chemicals $95,000 O & M treatment. Regional Assets & David’s Tree Service $60,000 Tree Trimming services. Services Sole Source for Closed Circuit Regional Assets & DGA Consultants $70,000 Television (CCTV) Data Services Evaluation. Sole Source for Automated Biomerieux Vitek, Inc. $60,000 Technical Services Bacterial Identification System.

Section 4.03.B of Resolution 04-08, the Orange County Sanitation District’s Delegation of Authority Resolution, authorizes the Contracts/Purchasing Manager to purchase items that have been previously authorized by the Board as identified in the annual OCSD budget. During the budget adoption process, the lists of these items were highlighted for the Directors. For these reasons, purchases that fell into these categories are not included in this report.

PRIOR COMMITTEE/BOARD ACTIONS

N/A

PROJECT/CONTRACT COST SUMMARY

N/A

BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

N/A

ALTERNATIVES

N/A

CEQA FINDINGS

N/A

ATTACHMENTS

None.

Form No. DW-102 Agenda Report – Board Dept. 320 Revised: 9/21/2006 Page 2 Meeting Date To Bd. of Dir. FAHR COMMITTEE 09/13/06 09/27/06 Item Number Item Number AGENDA REPORT FAHR06-62 13(e) Orange County Sanitation District

FROM: Michael D. White, Controller

SUBJECT: QUARTERLY FINANCIAL REPORT FOR THE PERIOD ENDED JUNE 30, 2006

GENERAL MANAGER'S RECOMMENDATION

Receive and file the FY 2005-06 Quarterly Financial Report for the period ended June 30, 2006.

SUMMARY

Attached in a separately bound document is the Quarterly Financial Report for the period ended June 30, 2006 for the Orange County Sanitation District’s investments, interest rate exchange agreement (Swap), and Certificates of Participation. The operating financial review portion of this report will be presented in October as part of the Comprehensive Annual Financial Report.

At a previous Finance, Administration and Human Resources (FAHR) Committee meeting, Committee members requested information regarding the Sanitation District’s rates; specifically a comparison with other agencies. When provided, this information is included with the operating financial review portion of the Quarterly Report, which will be presented in October. However, as this information is currently available, it has been included as an attachment to this report. This information indicates that the Sanitation District’s rates continue to compare favorably with other agencies.

PROJECT/CONTRACT COST SUMMARY

N/A

BUDGET IMPACT

This item has been budgeted. This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 13(e).Quarterly Financial Report.doc Revised: 8/20/98 Page 1 ADDITIONAL INFORMATION

None.

ALTERNATIVES

N/A

CEQA FINDINGS

N/A

ATTACHMENTS

1. Attached in a separately bound document is the Quarterly Financial Report covering the period ended June 30, 2006 for the District’s investments, interest rate exchange agreement (Swap), and Certificates of Participation.

2. Agency Rate Comparison

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 13(e).Quarterly Financial Report.doc Revised: 8/20/98 Page 2 Agency Comparison Single Family Residence (SFR) User Fees

2005 2006 % Agency Svc. Trt. SFR SFR Incr. Comments 1 City of San Diego B 2 $ 422 $ 422 0.0% Currently developing new rates 2 City of San Francisco B 3 $ 357 $ 405 13.2% 3 Vallejo Sanitation/Flood Control District B 3 $ 358 $ 393 10.0% 4 City of Los Angeles B 4 $ 294 $ 345 17.4% 5 Dublin San Ramon Services District B 3 $ 327 $ 327 0.0% Rate discussion scheduled for Aug. 1 Board Mtg. 6 City of Oxnard B 3 $ 298 $ 298 0.0% No rate increases scheduled at this time. 7 Central Contra Costa Sanitary District B 4 $ 280 $ 289 3.2% 8 Union Sanitary District B 3 $ 216 $ 229 6.0% 9 City of Hayward B 3 $ 198 $ 227 14.9% Rate Effective January 1, 2006 10 East Bay Municipal Utility District T 4 $ 206 $ 214 3.8% 11 Sacramento County T 3 $ 204 $ 204 0.0% 12 Oro Loma Sanitary District B 3 $ 173 $ 193 11.6% 13 City of Fresno B 3 $ 178 $ 178 0.0% Currently working on rate review 14 City of Visalia B 3 $ 166 $ 174 5.0% 15 Modesto Municipal Sewer District No. 1 B 3 $ 171 $ 171 0.0% Currently developing new rates 16 Orange County Sanitation District B 2 $ 151 $ 166 9.8% 17 Irvine Ranch Water District B 5 $ 120 $ 157 30.5% 18 City of Bakersfield B 3 $ 125 $ 135 8.0% 19 Los Angeles County T 4 $ 96 $ 102 6.3% Average Increase with OCSD 7.3% Average Increase without OCSD 7.4%

Legend: Services Provided B Collection and treatment services T Treatment services only

Treatment Level 1 Primary treatment 2 Advanced primary or primary with some secondary 3 Secondary Treatment 4 Advanced Secondary or secondary with some tertiary 5 Tertiary treatment

Meeting Date To Bd. of Dir. FAHR COMMITTEE 09/13/06 09/27/06 Item Number Item Number AGENDA REPORT FAHR06-63 13(f) Orange County Sanitation District

FROM: Robert Ghirelli, Assistant General Manager Originator: James Matte, Safety and Health Supervisor

SUBJECT: SAFETY POLICY, INJURY AND ILLNESS PREVENTION PROGRAM POLICY

GENERAL MANAGER'S RECOMMENDATION

Approve revisions to SAFETY-POL-101, Injury and Illness Prevention Program Policy, as provided for in Resolution No. OCSD 02-5 regarding the District’s Injury and Illness Prevention Program.

SUMMARY

OCSD staff is revising the Injury and Illness Prevention Program Policy (SAFETY-POL- 101) to update policy requirements in accordance with revised workplace procedures, and change responsibilities in light of recent organizational changes.

Additional changes to the Injury and Illness Prevention Program Policy are being requested to add a new policy, Water Resource Protection (SAFETY-POL-116). The new program incorporates requirements to protect potable, recycled, plant and gap water systems at OCSD as well as require backflow prevention and is being made to due to changes mandated by the City of Fountain Valley to Plant # 1potable water system. OCSD staff is requesting the cancellation of SAFETY-POL-115, Backflow Prevention. The requirements of this policy are being incorporated into the new SAFETY-POL-116, Water Resources Program. The cancellation of SAFETY-POL-115 eliminates duplication of requirements in multiple policies. This policy is a best management practice. There are no increased administrative costs associated with these changes.

OCSD staff is requesting the cancellation of SAFETY-POL-404, Return to Work Program. The requirements of this policy are being incorporated into the existing SAFETY-POL-402, Workers’ Compensation Benefits, Leave and Return to Work Program. The cancellation of SAFETY-POL-404 eliminates duplication of requirements in multiple policies.

This document is presented for your review and adoption represents OCSD’s revised written Injury and Illness Prevention Program that conforms to applicable regulations found in the California Code of Regulations.

PRIOR COMMITTEE/BOARD ACTIONS

Approval of Resolution No. OCSD 02-5 regarding the District’s Injury and Illness Prevention Program.

PROJECT/CONTRACT COST SUMMARY

N/A

BUDGET IMPACT

This item has been budgeted. (Line item: ) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

N/A

ALTERNATIVES

N/A

CEQA FINDINGS

N/A

ATTACHMENTS

1. Injury and Illness Prevention Program Policy (SAFETY-POL-101) Rev 5

C:\Documents and Settings\garcia\My Documents\POSTING FOLDER\Item 13(f).Safety and Health Policies.doc Revised: 8/20/01 Page 2

ORANGE COUNTY SANITATION DISTRICT

Safety and Health Division

SAFETY-POL-101 Injury and Illness Prevention Program

APPROVALS

Approved by: Date:______General Manager

Approved by: Date:______Director of Human Resources ManagerAssistant General Manager

Approved by: Date:______/Safety and Health Supervisor

PROCEDURE REVISION HISTORY Rev. Date Approval 0 01/27/2002

1 09/25/2002

2 02/25/2004

3 06/24/2004

4 03/22/2006

5 09/27/06

This document is controlled when viewed online. When downloaded and printed, this document becomes UNCONTROLLED, and users should check the Safety and Health Division public folder to ensure that they have the latest version.

Injury and Illness Prevention Program SAFETY-POL-101

Contents

1. Purpose ...... 4 2. Definitions...... 4 3. Requirements ...... 5 3.1 Program Responsibilities ...... 6 3.1.1 Administration...... 6 3.1.2 Management and Supervision ...... 7 3.1.3 Employee...... 7 3.1.4 Employee Safety Rules ...... 8 3.2 Hazard Awareness and Analysis ...... 10 3.2.1 Pre-Use Analysis ...... 10 3.2.2 Comprehensive Safety and Health Surveys ...... 10 3.2.3 Periodic Self Inspections of Work Areas...... 11 3.2.4 Routine Hazard Analysis ...... 11 3.2.5 Employee Reports of Hazards...... 11 3.2.6 Incident and Accident Investigations...... 12 3.2.7 Pattern Analysis...... 12 3.3 Hazard Prevention and Control ...... 12 3.3.1 Professional Expertise...... 12 3.3.2 Written Safety and Health Policies and Procedures ...... 13 3.3.3 Process Controls and Personal Protective Equipment ...... 13 3.3.4 Emergency Preparedness and Planning ...... 13 3.3.5 Preventative Maintenance ...... 14 3.4 Safety Training ...... 14 3.4.1 Training Profiles...... 14 3.4.2 Employee Training...... 15 3.5 Safety Communication...... 15 3.5.1 Signage ...... 15 3.5.2 SafetyLine...... 15 3.5.3 Safety Awareness for Everyone (SAFE) Bulletins ...... 15 3.5.4 Memorandums...... 16 3.5.5 Safety Intranet ...... 17 3.5.6 Verbal Communication ...... 17 3.5.7 Safety Committee ...... 17 3.5.8 Safety Suggestion Box ...... 17 3.5.9 Rewards and Recognition Programs ...... 17 3.5.10 Post Incident Safety Stand Down ...... 17 3.5.11 Safetygram ...... 18

Injury and Illness Prevention Program SAFETY-POL-101

3.6 Safety Policy Enforcement and Discipline ...... 18 3.6.1 Safety Policy Enforcement...... 19 3.6.2 Incorporation by Reference ...... 19 3.6.3 Discipline for Safety Policy Infractions ...... 19 3.7 Accident and Incident Investigations...... 19 3.8 Recordkeeping ...... 19 3.8.1 Inspection Records...... 19 3.8.2 Training Records ...... 20 3.8.3 Exposure Monitoring and Medical Records ...... 20 3.9 Integration of Safety Compliance Initiatives...... 20 3.10 Coordination of Contractor Programs ...... 20 4. References...... 20 5. Attachments ...... 23 1. Purpose ...... 25 2. Requirements ...... 25 2.1 Written Compliance Programs...... 25

Number: SAFETY-POL-101 Orange County Sanitation OCSD Revision Number: 5

Injury and Illness Prevention Program Date: September 27, 2006 Approved by:

1. Purpose

Every California employer must establish, implement and maintain a written Injury and Illness Prevention (IIPP) Program and a copy must be maintained at each worksite. The requirements for establishing, implementing and maintaining an effective written Injury and Illness Prevention Program are contained in Title 8 of the California Code of Regulations, Section 3203 (8 CCR 3203). The purpose of this Injury and Illness Prevention Program (IIPP) is to ensure OCSD establishes implements and maintains a safety and health program.

2. Definitions

CMMS Computerized Maintenance Management System Imminent Hazard Any condition or practice in a place of employment that constitutes a hazard which could reasonably be expected to cause death or serious physical harm immediately or before the imminence of the hazard can be eliminated through regular enforcement procedures. Injury and Illness A written program stating what the OCSD, management and Prevention Plan employees will do with respect to safety. Manager Employee who : • manages, plans, supervises and coordinates the operations and activities of one or more major OCSD divisions and works under general direction or administrative direction of a Department Director of the General Manager, exercising discretion in applying general goals and policy statements and in resolving organizational and service delivery problems and; • Organizes and directs the work of subordinate staff, and; • Assumes significant responsibility for a variety of personnel activities in such areas as selection, training and disciplinary actions and;

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Injury and Illness Prevention Program SAFETY-POL-101

• Assumes significant responsibility for the preparation and administration of the assigned budget(s) Process A series of actions or operations directed toward a result. Program The person assigned the task of maintaining and auditing the Administrator Injury and Illness Prevention Program Red Tag A red colored tag placed by an employee prohibiting the use tools or equipment because of the belief that the use of the tool or equipment will result in an accident or injury. Supervisor Employee who: • Supervises, assigns and reviews the work of subordinates in assigned sections or work units and; • Works under direction or general direction of higher level supervisory or management staff, exercising discretion in selecting appropriate resources to use in accomplishing assigned work and; • Assumes responsibility for recommending a variety of personnel actions in such areas as performance evaluation, training, selection and disciplinary measures and; • Ensures that appropriate policies and procedures are followed by subordinates and; • Monitors, coordinates and assists in developing the budget for assigned area

Safety Committee A committee made up of employees representing OCSD management and represented employees who meet to set safety goals and objectives and to solve safety related issues

3. Requirements

The required elements listed below are the ten elements of the Injury and Illness Prevention Program as required by the California Occupational Safety and Health Administration (Cal- OSHA). Specific details of each element may be found in specific referenced standard operating procedures, where applicable.

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3.1 Program Responsibilities

This section outlines the responsibilities for the implementation and maintenance of this Injury and Illness Prevention Program.

3.1.1 Administration

1. The Safety and Health Division (Safety) shall be responsible for maintaining the written Injury and Illness Prevention Program. A. The Safety and Health Supervisor shall be the IIPP Program Administrator. 2. The Executive Management team (EMT) shall ensure that OCSD's safety programs have sufficient resources to maintain a safe and healthful workplace. Resources include but are not limited to: A. A competent safety staff. B. An adequate budget to maintain and improve the safety and emergency response health program. C. An adequate budget for required controls to minimize safety and health risks to OCSD personnel, suppliers and the public. D. An adequate budget for required personal protective equipment as determined by Safety. E. Time for OCSD staff to attend required safety training at a frequency and duration determined by Safety. 3. The Safety and Health Division, in coordination with affected divisions, shall be responsible for ensuring that safety policy, safety procedures, safety programs and safe work practices are developed. 4. Safety and Health Division personnel shall have the authority to ensure that unsafe operations are stopped and that unsafe tools and equipment are removed from service in accordance with SAFETY-SOP-101.2, Red Tag Authority or if they believe, in their professional judgment, an imminent danger exists.

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5. OCSD's General Manager shall be responsible for ensuring OCSD managers and supervisors comply with the provisions of this IIPP and other safety and health programs. 6. The Assistant General Manager over the Safety and Health Division shall be responsible for ensuring the IIPP and other safety and health programs are implemented. 7. A copy of this IIPP shall be available to all employees either in an electronic or hard copy format.

3.1.2 Management and Supervision

1. Management and supervision shall ensure employees are provided with the proper tools and personal protective equipment. 2. Management and supervision shall ensure employees follow safe work practices, including but not limited to the wearing of personal protective equipment. 3. Management and supervision shall ensure employees are appropriately disciplined for infractions of safety rules, policies, procedures and programs. 4. Management and supervision shall ensure periodic inspections of work areas are completed and documented in accordance with SAFETY-SOP-101.1, Periodic Workplace Inspections. 5. Management and Supervision shall ensure that unsafe operations are stopped and that unsafe tools and equipment are removed from service in accordance with SAFETY- SOP-101.2, Red Tag Authority. 6. Management and supervision shall ensure identified hazards are reported, documented and corrected. 7. Management and supervision shall ensure that this policy Formatted: Bullets and Numbering and all referenced documents are enforced.

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3.1.3 Employee

1. Employees shall comply with safe work practices, policies, procedures and safety programs. 2. Employees shall conduct daily inspections of their work area to check for unsafe conditions. This includes but is not limited to: A. Personal protective equipment B. Safety equipment such as fire extinguishers, safety showers and eyewashes C. Tools and equipment D. Vehicles. 3. Employees shall correct unsafe conditions as soon as possible, including the replacement of personal protective equipment. 4. Employees shall report unsafe conditions that cannot be corrected to supervision immediately and submit a CMMS request. 5. Employees shall attend safety training at the scheduled time. 6. Employees escorting contractors, vendors or visitors shall ensure that the proper personal protective equipment is used at all times and all safe work practices are observed.

3.1.4 Employee Safety Rules

OCSD has established a set of generic safety rules that apply to all OCSD employees, visitors and contractors. Violators of these rules can be subject to disciplinary action, contract termination or removal from the site.

1. Maintain work area(s) in an orderly manner. 2. Obey all posted safety and traffic control signs and markings. 3. Oil, grease, paint and other slippery substances are to be

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cleaned up immediately. 4. Report all unsafe conditions to supervision or Maintenance (through the Computerized Maintenance Management System(CMMS System)) 5. Report all accidents to your supervisor, regardless of severity of the accident. 6. Aisles and walkways are to be kept clear of tripping hazards and obstructions at all times. 7. Do not operate tools or equipment that you have not been trained to operate. 8. Engaging in horseplay or scuffling with fellow employees is prohibited at all times. 9. Pay close attention to your surroundings and do not read while walking. 10. Employees using prescription medication shall inform their supervisor of the medication use, type and possible effects when they report to work. 11. Walk only in designated walkways and roadways. Do not take shortcuts through process or storage areas. 12. Do not block access to safety equipment, electrical panels, fire extinguishers, etc. 13. Do not disconnect or over ride any machines interlock device. 14. Do not walk around barricades, tape or other devices being used to block access to unsafe conditions. 15. Do not smoke or use open flames in any area which has been designated a “NO SMOKING” area. 16. Observe all CAUTION” and “ DANGER” signs throughout the plant. 17. Ladders are to be properly secured prior to use. When a ladder cannot be secured, a fellow employee must hold it. 18. Operation of equipment or machinery without proper guards

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and/or signaling devices is prohibited. 19. The unauthorized removal of guards or disconnecting of signaling devices is prohibited. 20. Personal protective equipment, safety glasses, hard hats, hearing protection, etc, shall be worn in all areas where required. 21. Extension cords shall not be used for installations for periods longer than one (1) week. 22. Extension cords shall be inspected for defects prior to use. 23. Always use the proper tool for the job.

3.2 Hazard Awareness and Analysis

OCSD has developed procedures for identifying and evaluating work place hazards, including scheduled periodic inspections to identify unsafe conditions and work practices. Inspection guidelines may be found in SAFETY-SOP-101.1, Periodic Workplace Inspection Procedures.

3.2.1 Pre-Use Analysis

Engineering, Operation and Maintenance, Process Engineering, Facilities Maintenance, Purchasing or any other division proposing any process change that has the potential to impact the safety and health of OCSD employees, contractors or visitors shall, in coordination with Safety, conduct a pre-use analysis to determine the impact on safety.

3.2.2 Comprehensive Safety and Health Surveys

The Safety and Health Division, in coordination with management and supervision, shall determine the scope and frequency for any comprehensive safety, health or industrial hygiene surveys. Survey scope and frequency shall be based upon: 1. Regulatory requirements.

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2. Literature review for new information on recognized hazards. 3. Whenever new substances, processes, procedures, or equipment are introduced to the workplace that represent a new occupational safety and health hazard. 4. Employee input when applicable. 5. The best judgment of Safety. The frequency of inspections shall not exceed one inspection per calendar quarter.

3.2.3 Periodic Self Inspections of Work Areas

1. Division management and supervision shall be responsible for conducting periodic inspections of each work area to identify and evaluate hazards. 2. Periodic inspections shall be conducted in accordance with SAFETY-SOP-101.1, Periodic workplace Inspections. 3. Whenever new substances, processes, procedures, or equipment are introduced to the workplace that represent a new occupational safety and health hazard, supervision and/or management shall contact Safety to assist in a pre-Use Assessment. 4. Whenever a manager/supervisor is made aware of a new or previously unrecognized hazard, Safety shall be contacted. 5. Division management and supervision shall not rely on periodic inspections performed by other divisions or committees as a substitute for required inspections.

3.2.4 Routine Hazard Analysis

The Safety Division routinely conducts hazard analysis of OCSD operations and construction activities for jobs the Safety Division deems hazardous and all confined space entries.

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3.2.5 Employee Reports of Hazards

Employees are encouraged to report known and potential safety and health hazards. Mechanisms for reporting these hazards include: 1. Reports to management and supervision 2. Reports through CMMS 3. Electronic mail (e-mail) to SafetyLine or Safety and Health staff 4. Safety Suggestion boxes 5. Safety and Health committee meetings 6. Reports to an employee's bargaining unit representative 7. Face to face meetings with Safety and Health staff.

3.2.6 Incident and Accident Investigations

Incident and accident investigations are conducted on all incidents requiring a Property Disposition Report, all motor vehicle accidents and all Cal-OSHA recordable injuries. Other incidents may be investigated at the discretion of Safety. Accident investigations shall be conducted in accordance with SAFETY-POL-202, Accident Investigation and Reporting. Incident and accident investigations are conducted on all incidents involving $ 1,000.00 of property damage, all motor vehicle accidents and all Cal-OSHA recordable injuries. Other incidents may be investigated at the discretion of Safety. Accident investigations shall be conducted in accordance with SAFETY-POL-202, Accident Investigation and Reporting.

3.2.7 Pattern Analysis

Cal-OSHA logs and accident investigations shall be periodically reviewed by Safety to determine if any accidents or near misses have similarities.

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3.3 Hazard Prevention and Control

Accidents are prevented through the timely recognition and correction of hazards before someone is injured or property is damaged.

3.3.1 Professional Expertise

OCSD will ensure that Safety and Health Division staff is adequately trained in the hazards inherent to a wastewater treatment plant. This includes providing staff with the resources necessary to perform assigned jobs, including but not limited to the following: 1. Annual professional development 2. Certification maintenance as required by the certification authority. 3. Professional memberships. 4. Reference materials, such as: A. Books B. Codes, laws, regulations and consensus standards C. Internet access in accordance with established OCSD policy.

3.3.2 Written Safety and Health Policies and Procedures

OCSD will develop and maintain safety policies, procedures and programs to ensure compliance with applicable Federal OSHA and Cal-OSHA requirements. Safety Policies and Procedure titles may be found in SAFETY-SOP-000.1 Control of Polices, Procedures, Programs.

3.3.3 Process Controls and Personal Protective Equipment

OCSD shall use engineering controls to reduce employee exposures to physical and chemical hazards. Personal protective equipment shall be used when engineering controls

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are not feasible, have not been installed, or when emergency situations dictate such use. OCSD shall provide all required personal protective equipment.

3.3.4 Emergency Preparedness and Planning

OCSD has developed an Integrated Emergency Response Plan designed to prepare OCSD and employees for all types of emergencies, including but not limited to: 1. Medical emergencies 2. Fires 3. Earthquakes 4. Floods 5. High water flows 6. Utility outages 7. Hazardous materials spills 8. Threatened or actual terrorist activities 9. Tsunamis 10. Workplace violence incidents

3.3.5 Preventative Maintenance

The operations and facilities maintenance divisions have developed a preventative maintenance program to ensure critical equipment does not fail and that safety related equipment is properly maintained. The CMMS system tracks the scheduled maintenance of these items.

3.4 Safety Training

Safety training is required for all OCSD employees. New employees shall receive a New Employee Safety Orientation to familiarize them with the hazards of a wastewater treatment plant and OCSD safety policies and procedures. Safety training is typically based on job classification, hazards that will be

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anticipated in a job and the employee's actual job duties.

3.4.1 Training Profiles

The Safety and Health Division shall meet with the manager or supervisor of each employee to determine which safety training classes shall be attended by each employee. Once a safety training profile has been developed for an employee, the training listed on the profile is mandatory. The Safety and Health Division and manager/supervisor shall use the following criteria to determine safety training requirements: 1. Job description 2. Actual job duties 3. The anticipated job tasks of the employee 4. Anticipated future job tasks 5. Regulatory requirements 6. OCSD requirements based on : i. Previous job task requirements ii. Best industry practices.

3.4.2 Employee Training

Employees shall receive safety training before they are required to perform a task and at the frequency specified in specific safety policies and procedures.

3.5 Safety Communication

OCSD utilizes several methods to communicate safety and health requirements, safety warnings and safety tips to all employees.

3.5.1 Signage

OCSD posts hazard-warning signs where necessary to communicate safety and health requirements, safety warnings and safety tips to all employees. Signage is posted in

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accordance with Title 8 CCR §3340. Accident Prevention Signs.

3.5.2 SafetyLine

SafetyLine is a short tip on a variety of safety topics that affect OCSD staff both on and off the job. SafetyLine is distributed to all OCSD employees with e-mail accounts on payday.

3.5.3 Safety Awareness for Everyone (SAFE) Bulletins

SAFE bulletins are issued on specific safety related items explaining how something should be done, or explaining how specific components of a safety program are to be implemented. Requirements and guidelines for developing SAFE Bulletins may be found in SAFETY-POL-103, Safety Awareness for Everyone (SAFE) Bulletins. 1. SAFE Bulletins shall be considered OCSD policy for items not covered by specific policies. 2. A list of SAFE Bulletins may be found in SAFE Bulletin 000, List of SAFE Bulletins. 3. SAFE Bulletins shall be reviewed at least every 3 years. 4. SAFE Bulletins greater than three (3) years old shall not be considered OCSD policy.

3.5.4 Memorandums

The Safety and Health Division will periodically issue memorandums regarding specific safety, health and hazardous waste issues. 1. Memorandums shall be limited to a single topic. 2. Memorandums may be issued for the following reasons: a. To clarify an existing policy b. To implement a new policy on an emergency basis c. Memorandums implementing new policy requirements shall only be in force until: i. A new policy has been developed; or

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ii. A SAFE bulletin has been developed; or iii. A Ninety (90) day time period has elapsed d. To provide information e. To offer recommendations

3. A memorandum shall not revoke or supercede an adopted policy, unless authorized by the Director of Human Resources Assistant General Manager and the General Manager by signature. 4. E-mail shall not replace a memorandum.

3.5.5 Safety Intranet

The Safety and Health Division maintains an intranet site where employees can go to obtain information on safety and health issues.

3.5.6 Verbal Communication

Safety and Health Division staff is available for contact regarding concerns over safety and health issues. 1. Verbal communication shall not be used to change OCSD policy.

3.5.7 Safety Committee

OCSD has agreed to form a labor-management safety committee to address work related safety concerns. In addition, subject specific safety sub committees may be formed at any time with the concurrence of the Labor-Management Safety Committee to address specific safety concerns. Safety Committees shall be governed in accordance with SAFETY- SOP-000.7, Safety Committees.

3.5.8 Safety Suggestion Box

There are Safety Suggestion Boxes located around both Plant 1 and Plant 2. The purpose of the boxes is to allow employees to

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submit suggestions to Safety either by identifying themselves or anonymously.

3.5.9 Rewards and Recognition Programs

The Safety and Health Division has developed a rewards and recognition program for employees who go above and beyond safe work practices and consistently display a positive safety attitude.

3.5.10 Post Incident Safety Stand Down

A Safety Stand Down is a procedure in which all managerial personnel shall order a review of pertinent safety requirements for their employees. The review shall be a minimum of 30 minutes to discuss safety issues that affect their specific work group or to discuss an incident that may have occurred on a OCSD job site. The Safety Stand Down shall occur no later than the next work shift following an incident.

A Safety Stand Down shall occur when any of the following conditions occur:

1. An injury to an OCSD employee that requires a report be made to Cal-OSHA. 2. A fatality that occurred to any persons on any OCSD job site. 3. Any accident that results in the overnight hospitalization of 2 or more employees, OCSD personnel or contractor personnel. 4. OCSD’s General Manager, in consultation with the Safety and Health Division determines the need for a Safety Stand Down. A. Department and Division Managers and Supervisors may call for a Safety Stand Down at any time for their respective department and/or division. The Safety and Health Division shall be responsible for disseminating information regarding any incident requiring a Safety Stand Down and any additional information requested by

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management.

3.5.11 Safetygram

Safetygrams are developed by the Safety and Health Division for use by management and supervision as safety tailgate meeting topics. The topics are designed to be approximately five (5) minutes in length.

3.6 Safety Policy Enforcement and Discipline

All employees, including managers and supervisors, are responsible for complying with safe and healthful work practices. All employees are responsible for complying with safety rules, policies and procedures.

3.6.1 Safety Policy Enforcement

Each employee has a responsibility to ensure that work is performed in a safe manner. Employees shall report violations of safety rules and policies in accordance with established OCSD procedures.

3.6.2 Incorporation by Reference

Documents listed in the reference section shall be considered OCSD policy.

3.6.3 Discipline for Safety Policy Infractions

Employees who violate safety rules, policies and procedures are subject to disciplinary action, up to and including termination. Discipline shall be implemented in accordance with established OCSD policies, and bargaining unit MOUs where appropriate. Supervision and management shall be responsible for disciplining workers for failure to comply with safe and healthful work practices. The Safety and Health Division shall concur in writing with all disciplinary items related to any policy covered under this document or any other document enforced by the Safety and Health Division.

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3.7 Accident and Incident Investigations

All accidents and near misses shall be investigated promptly. Accident and incident investigation shall be conducted in accordance with Safety-POL-202, Accident Investigation and Reporting.

3.8 Recordkeeping

Records shall be maintained in accordance with specific Cal- OSHA requirements. Records not mentioned below are maintained in accordance with specific policies and procedures.

3.8.1 Inspection Records

Records of safety inspections shall be kept 12 months after the last item found deficient has been corrected. Copies of safety inspections shall be kept in the Safety and Health Office at Plant No. 1.

3.8.2 Training Records

Employee safety training records shall be maintained in an electronic database. These records are retained for the length of OCSD employment, plus five (5) years.

3.8.3 Exposure Monitoring and Medical Records

Exposure monitoring and medical records shall be retained in accordance with SAFETY-POL-403, Access to Employee Medical Records and Title 8 California Code of Regulations, §3204. Access to Employee Exposure and Medical Records.

3.9 Integration of Safety Compliance Initiatives

One goal of OCSD's safety and health program is to ensure that safety programs are not in conflict with one another. A second goal is to ensure that OCSD's overall mission can be accomplished while providing a safe and healthful work environment and achieving overall compliance with all applicable regulations and laws.

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3.10 Coordination of Contractor Programs

OCSD requires all contractors that conduct business with the OCSD to have a safety program in place and conform to OCSD, state and federal requirements as required by approved purchase orders, contracts and specifications. Project Managers, Resident Engineers and Construction Inspectors who represent OCSD assigned to a project are responsible for enforcing the safety and health requirements of the contract.

4. References

Title 8 California Code of Regulations, §3203. Injury and Illness Prevention Program Title 8 California Code of Regulations, §3204. Access to Employee Exposure and Medical Records Title 8 California Code of Regulations, §3340. Accident Prevention Signs California Labor Code, Sections 142.3, 4558 and 6401.7 California Government Code, Section 11346. California Code of Regulations, Title 8, Division 1, Department of Industrial Relations California Code of Regulations, Title 8 Industrial Relations California Code of Regulations, Title 13 Motor Vehicles California Code of Regulations, Title 17 Public Health California Code of Regulations, Title 19 Public Safety California Code of Regulations, Title 22, Social Security California Code of Regulations, Title 23 Waters California Code of Regulations, Title 26, Toxics

California Code of Regulations, Title 27 Environmental Protection

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Code of Federal Regulations, 29 CFR Part 1910 Code of Federal Regulations, 29 CFR Part 1926 Code of Federal Regulations, 40 CFR, Protection of the Environment Code of Federal Regulations, 49 CFR Transportation SAFETY-SOP-000.1, Control of Polices, Procedures, Programs SAFETY-SOP-000.7, Safety Committees

SAFETY-SOP-101.1, Periodic Workplace Inspections SAFETY-SOP-101.2, Red Tag Authority SAFETY-POL-102, Personal Protective Equipment SAFETY-POL-103, Safety Awareness for Everyone (SAFE) Bulletins SAFETY-POL-104, Permit Required Confined Spaces SAFETY-POL-105, Hazardous Energy Control SAFETY-POL-106, Hearing Conservation SAFETY-POL-107, Hazard Communication Program SAFETY-POL-108, Contractor Safety Programs SAFETY-POL-109, Respiratory Protection Program SAFETY-POL-110, Radiation Safety Program SAFETY-POL-111, Chemical Hygiene Plan SAFETY-POL-112, Integrated Emergency Response Program SAFETY-POL-113 Exposure to Pathogens Program SAFETY-POL-114 Hazardous Waste Management SAFETY-POL-116 Water Resources SAFETY-POL-115 Backflow Prevention SAFETY-POL-201, Fire Prevention

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SAFETY-POL-202, Accident Investigation and Reporting SAFETY-POL-203, Ergonomics SAFETY-POL-204, Fall Protection SAFETY-POL-205, Electrical Safety SAFETY-POL-301, Vehicle Safety Operations (including carts and bicycles) SAFETY-POL-302, Marine Safety SAFETY-POL-303, Crane Safety SAFETY-POL-304, Forklift Operation SAFETY-POL-401, Medical Examinations SAFETY-POL-402, Workers’ Compensation Benefits, and Leave and Return to Work Programs SAFETY-POL-403, Access to Employee’s Medical Records SAFETY-POL-404, Return to Work Programs

5. Attachments

Attachment A: OCSD Safety and Health Programs

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Attachment A: OCSD Safety and Health Programs

Contents

1. 2. Requirements ...... 25 2.1 Written Compliance Programs...... 25

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1. Purpose

To promote a safe work environment for all employees and to ensure the OCSD meets the safety-related legal requirements for written compliance programs.

2. Requirements

It is the OCSD’s policy to provide a safe work environment for its employees. The OCSD is committed to ensuring compliance with all safety-related legal requirements and providing the necessary training to meet these requirements.

2.1 Written Compliance Programs

The written compliance programs, which are detailed in specific Safety Policies, Procedures or Safety Programs (SPs), covered by this policy are: 1. Injury and Illness Prevention Program This program is mandated by Cal-OSHA CCR Title8, §3203, Injury and Illness Prevention Program. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-101, Injury and Illness Prevention Program and SAFETY-SP-101 OCSD Safety and Health Program. The program includes information on safety commitment and responsibilities, hazard recognition, hazard assessment and control, safety communications, safety training, accident reporting and investigation, safety committees, and recordkeeping. 2. SAFETY-POL-102, Personal Protective Equipment Program This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Section (§) 3380, Personal Protective Devices. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-102 Personal Protective Equipment. This program includes the requirements for selection, use, and care for devices designed for head, eye, body, hand, and foot protection. Deleted: 4 Deleted: 02/22/2006

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3. SAFETY-POL-103, Safety Awareness For Everyone (SAFE) Bulletins SAFE bulletins are bulletins issued on specific safety related items explaining how something should be done, or explaining how specific components of a safety program are to be implemented. SAFE Bulletins shall be considered OCSD policy for items not covered by specific policies. SAFE Bulletins shall be reviewed at least every 3 years. SAFE Bulletins older than 3 years old shall not be considered OCSD policy. The policy for the development of SAFE Bulletins may be found in SAFETY-POL-103, Safety Awareness for Everyone (SAFE) Bulletins 4. SAFETY-POL-104, Permit Required Confined Spaces This program is mandated by Cal-OSHA CCR Title 8, § 5157, Permit-Required Confined Spaces. To meet the intent of the regulation, the OCSD has developed SAFETY-POL- 104, Permit Required Confined Spaces and SAFETY-SP- 104 Permit Required Confined Spaces. This program includes the requirements for the entrant, attendant, entry supervisor, and rescue team for confined space entry activities. 5. SAFETY-POL-105, Hazardous Energy Control This program is mandated by Cal-OSHA CCR Title 8, § 3314 Cleaning, Repairing, Servicing and Adjusting Prime Movers, Machinery and Equipment. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-105, Hazardous Energy Control Programs and SAFETY-SP-105 Hazardous Energy Control. This program includes the requirements for working on or around equipment that is energized or has the potential to contain residual energy. 6. SAFETY-POL-106, Hearing Conservation This program is mandated by Cal-OSHA CCR Title 8, § 5097, Hearing Conservation. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-106, Hearing Conservation Programs and SAFETY-SP-106 Hearing Conservation. This program includes the requirements for designating areas where hearing protection is required and the selection, use, and care for hearing

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protection devices. 7. SAFETY-POL-107, Hazard Communication Program This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Section (§) 5194, Hazard Communication. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-501, Hazard Communication. This program includes the requirements for training, use, labeling, Material Safety Data Sheets (MSDS) and employee training and education. 8. SAFETY-POL-108 Contractor Safety Programs This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Subchapter 4, Construction Safety Orders. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-108, Contractor Safety Programs. This program includes the requirements for Contractor oversight for safety and health related issues by the OCSD during the completion of contracts. 9. SAFETY-POL-109, Respiratory Protection This program is mandated by Cal-OSHA CCR Title 8, § 5144, Respiratory Protection. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-109 Respiratory Protection Program. This program includes the duties of the program administrator, supervisor, and respiratory user. Also defined in the program are the requirements for the selection, inspection, use, maintenance, and storage of respiratory protection devices. 10. SAFETY-POL-110 Radiation Safety Program This program is mandated by CCR Title 17, Division 1, Chapter 5, Subchapter 4, Radiation and Cal-OSHA Title 8, § 5076, Radiation and Radioactivity, Administrative Procedures. To meet the intent of the regulation, the OCSD has developed SAFETY-POL-110 Radiation Safety Program. This program includes the requirements for nuclear gauge users, contractors, service representatives, and visitors who enter into restricted areas where radioactive materials are used or stored. 11. SAFETY-POL-111, Chemical Hygiene Plan

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This program is mandated by Cal-OSHA CCR Title 8, § 5191, Occupational Exposure to Hazardous Chemicals in Laboratories. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-111 Chemical Hygiene Plan and Appendix B of the Laboratory Operating Procedures Manual. This program includes the duties of the Chemical Hygiene Officer, supervisor, and laboratory employee. 10. SAFETY-POL-112, Integrated Emergency Response Program This program is mandated by Cal-OSHA CCR Title 8, § 3220 Emergency Action Plan, § 3221 Fire Prevention Plan, § Hazardous Waste Operations and Emergency Response; CCR Title 19, § 2620 et seq. and Health and Safety Code § 25500 et seq. Minimum Standards for Business, § 2400 et seq. Standardized Emergency Management Systems; Title 22, § 66265.30 through 37, Preparedness and Prevention Plan, § 66265.50 through 56, Contingency Plan and Emergency Procedures; 40 Code of Federal Regulations (CFR) Part 112, Spill Prevention Control and Countermeasure Plan. To meet the intent of all the regulations, the OCSD has developed SAFETY-POL-112, Integrated Emergency Response Plan and SAFETY-SP- 112 Integrated Emergency Response Plan. This plan is divided into Volumes I and II. Volume I, Emergency Preparedness, contains the specific plans for preparing for an emergency. Volume II, Emergency Procedures, contains the specific plans and procedures to be implemented in response to an emergency. 13. SAFETY-POL-113, Exposure to Pathogens Program (Bloodborne Pathogens) This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Section (§) 5193, Bloodborne Pathogens for our Emergency Medical Team. Other aspects of the program are voluntary, but follow best industry practices. To meet the intent of the regulation referenced above, the OCSD has developed SAFETY-POL-113 Exposure to Pathogens and SAFETY-SOP-113-1 Exposure Control Plan. 14. SAFETY-POL-114, Hazardous Waste Management

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This program is mandated by Cal-EPA, California Code of Regulations (CCR), Title 22, Division 4.5 Hazardous Waste Management. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-502 Hazardous Substance Management. This program includes the requirements for identification, packaging, labeling and disposal of hazardous waste. Requirements for training employees are also included 15. SAFETY-POL-115 Backflow Prevention Program- CANCELLED This program is mandated California Department of Health Services Regulations, found in Titles 17 and 22 of the California Code of Regulations that require specific actions and practices be performed when safeguarding potable water systems. 16. SAFETY-POL-116 Water Resources This program is mandated California Department of Health Services Regulations, found in Titles 17 and 22 of the California Code of Regulations that require specific actions and practices be performed when safeguarding potable, recycled and plant water systems. 17. SAFETY-POL-201, Fire Prevention Programs This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Sections (§) 3220, Emergency Action Plan, 3221, Fire Prevention Plan and 6150-6184, Fire Protection. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-201 Fire Prevention. This program includes the requirements for the training of employees on evacuations, and fire systems maintenance, testing and upkeep. 18. SAFETY-POL-202, Accident Investigations This program is mandated by Cal-OSHA, California Code of Regulations, Title 8, Sections §330, Definitions, §3203. Injury and Illness Prevention Program; Title 8 California Code of Regulations, Chapter 7, Subchapter 1. Occupational Injury or Illness Reports and Records and Title 8 California Code of Regulations Chapter 3.2. , Subchapter 2, Article 3. Reporting Work-Connected Injuries, §342. Reporting Work-

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Connected Fatalities and Serious Injuries. To meet the intent of this regulation, the OCSD has developed SAFETY- POL-202 Accident Investigation. This program includes the requirements for the training of employees and supervisors on reporting and documenting industrial near misses and accidents. 19. SAFETY-POL-203, Ergonomics This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Section (§) 5110, Ergonomics. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-203 Ergonomics. This program includes the requirements for evaluation of workstations, the selection, use, and care for devices designed to reduce hazards in the work place that can lead to repetitive motion and cumulative trauma injuries. 20 SAFETY-POL-204, Fall Protection This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Chapter 4, Subchapter 4, Construction Safety Orders and Subchapter 7, General Industry Safety Orders. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-204, Fall Protection. This program includes the requirements for use of fixed, portable and personal fall protection equipment. 21. SAFETY-POL-205, Electrical Safety This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Sections (§) 2299-2974, Electrical Safety Orders. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-205 Electrical Safety. This program includes the requirements for electrical installations, work practices when working on electrical equipment and the required personal protective equipment. 22. SAFETY-POL-301, Vehicle Safety This program is mandated by Cal-OSHA, as a general requirement of the OCSD's Injury and Illness Prevention Program. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-301, Vehicle Safety. This program includes the requirements for vehicle inspection, vehicle maintenance and driver surveillance.

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23. SAFETY-POL-302, Marine Safety This program is mandated by Cal-OSHA, as a general requirement of the OCSD's Injury and Illness Prevention Program. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-302, Marine Safety. 24. SAFETY-POL-303, Crane Safety This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Chapter 4, Subchapter 7, Group 13, Cranes and Other Hoisting Equipment. To meet the intent of this regulation, the OCSD has developed SAFETY- POL-303, Crane Safety. This program includes the requirements for training of personnel, inspection and maintenance of cranes. 25. SAFETY-POL-304, Forklift Operation This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Article 25, Industrial Trucks. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-304, Forklift Operation. This program includes the requirements for training of personnel, inspection and maintenance of forklifts. 26. SAFETY-POL-401, Medical Programs This program is mandated by several different Cal-OSHA standards in California Code of Regulations (CCR), Title 8, Chapter 4, subchapter 7, General Industry Safety Orders. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-401, Medical Examinations. This program includes the requirements for conducting medical surveillance on employees exposed to potentially hazardous work environments. 27. SAFETY-POL-402, Workers’ Compensation Benefits, Leave and Return to Work Program. This program is represents the OCSD’s compliance with the requirements of the California Code of Regulations, Title 8, Chapter 4.5 and 8, relating to Workers’ Compensation and Occupational Injury Return to Work Programs. This program is designed to return injured employees back to work on restricted duty. This program results in unspecified costs

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savings to the OCSD in terms of reduced workers compensation benefits, reduced disability payments and reduced costs associated with hiring temporary employees and overtime.

28. SAFETY-POL-403, Access to Employee Medical Records This program is mandated by Cal-OSHA, California Code of Regulations (CCR), Title 8, Section (§) 3204, Access to Employee Medical Records. To meet the intent of this regulation, the OCSD has developed SAFETY-POL-403, which instructs employees how to access their occupationally related medical files.

29 SAFETY-POL-404, Return to Work Programs-CANCELLED This program is a best industry practiced designed to return injured employees back to work on restricted duty. This program results in unspecified costs savings to the OCSD in terms of reduced workers compensation benefits, reduced disability payments and reduced costs associated with hiring temporary employees and overtime. 2930.SAFETY-POL-405, Safety and Health Training Administration This program is a best industry practice that explains how the safety and health training program is managed and implemented.

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FROM: David Ludwin, Director of Engineering Originator: Wendy Sevenandt, CIP Project Manager

SUBJECT: GROUNDWATER REPLENISHMENT SYSTEM, JOB NO. J-36

GENERAL MANAGER'S RECOMMENDATION

Approve a Professional Services Agreement with Faubel Public Affairs for one year of outreach support services for the Groundwater Replenishment System, Job No. J-36, for an amount not to exceed $255,850 to be cost shared equally (Orange County Sanitation District portion $127,925) with the Orange County Water District.

SUMMARY

• Faubel Public Affairs has been the public relations consultant for the Groundwater Replenishment System (GWR) for the past year.

• Faubel’s original Professional Services Agreement was approved with the provision that it could be renewed for two one-year extensions.

• Staff and the GWR System Public Information and Education (PIE) Committee are recommending renewing Faubel’s contract for an additional year.

• On September 11, 2006, the GWR System Steering Committee passed the recommendation that the Boards approve the Agreement.

PRIOR COMMITTEE/BOARD ACTIONS

January 25, 2006 - Approve Amendment No. 1 to the Professional Services Agreement with Faubel Public Affairs for $69,000 for an opinion research survey.

October 26, 2005 - Approve Professional Services Agreement to Faubel Public Affairs for $292,560 for outreach support services for the GWR System.

PROJECT/CONTRACT COST SUMMARY

Authorization of $127,925 from the Construction Phase budget is being requested as shown in the attached Budget Information Table.

Page 1 BUDGET IMPACT

This item has been budgeted. (Line item: page 107 CIP – Water Management Projects) This item has been budgeted, but there are insufficient funds. This item has not been budgeted. Not applicable (information item)

ADDITIONAL INFORMATION

See attached GWR System Steering Committee Agenda Item Submittal.

ALTERNATIVES

There are no alternatives.

CEQA FINDINGS

The Environmental Impact Report/Environmental Impact Statement (EIR/EIS) for the GWR System was certified by the Orange County Sanitation District (Sanitation District) and the Orange County Water District (OCWD) Boards of Directors on March 24, 1999. Addendum No. 1 was approved on March 28, 2001. Addendum No. 2 was approved by the Sanitation District on January 23, 2002, and by OCWD on January 16, 2002. Amendment No. 3 was approved by the Sanitation District on March 24, 2004 and by the GWR System Steering Committee on December 1, 2003.

ATTACHMENTS

1. Budget Information Table 2. Agenda Item Submittal to the GWRSSC RE: Continuation of Groundwater Replenishment (GWR) System Outreach: Faubel Contract for 2006-2007

WS:kf

H:\dept\agenda\Board Agenda Reports\2006 Board Agenda Reports\0906\Item 15(b).GWR.doc

Page 2 BUDGET INFORMATION TABLE GROUNDWATER REPLENISHMENT (GWR) SYSTEM JOB NO. J-36

PROPOSED ORIGINAL CURRENT PROPOSED FUNDS THIS PROPOSED ESTIMATED ESTIMATED BUDGET PROJECT/PHASE AUTHORIZED PROJECT REVISED AUTHORIZED TO AUTHORIZATION TOTAL EXPENDITURE EXPENDED TO INCREASE BUDGET BUDGET BUDGET DATE REQUEST AUTHORIZATION TO DATE DATE(%) /DECREASE

Phase 1 - Project Development $ 700,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,227 102%

Phase 2 - Preliminary Design $ 3,320,000 $ 3,320,000 $ 3,320,000 $ 3,320,000 $ 3,320,336 100%

Phase 3 - Design $ 9,849,000 $ 15,616,000 $ 15,616,000 $ 15,616,000 $ 15,616,000 $ 15,615,861 100%

Phase 4 - Construction $ 98,481,000 $ 220,995,000 $ 220,995,000 $ 216,117,646 $ 127,925.00 $ 216,245,571 $ 157,944,251 73%

Phase 5 - Commissioning $ 1,024,000 $ 1,024,000 $ 1,024,000 $ 1,024,000 $ 451,841 44%

Phase 6 - Close-Out $ 86,000 $ 86,000 $ 86,000 $ 86,000 $ 81,761 95%

Phase 7 - Contingency $ 12,895,000 $ 7,500,000 $ 7,500,000 $ - 0%

PROJECT TOTAL $ 121,925,000 $ 248,551,000 $ - $ 248,551,000 $ 236,173,646 $ 127,925.00 $ 236,301,571 $ 177,424,277 75%

Reimbursable Costs $ 45,000,000 $ 45,000,000 $ 45,000,000 $ 45,000,000 36,920,089 82%

PROJECT NET $ 121,925,000 $ 203,551,000 $ - $ 203,551,000 $ 191,173,646 $ 127,925.00 $ 191,301,571 $ 140,504,188 73%

PSA/Contract

Design PSA $ 19,504,103 $ 19,504,103 $ 19,312,682 $ 19,312,682 $ 17,386,084 90% Construction Manangement Services PSA $ 7,050,000 $ 7,050,000 $ 6,944,180 $ 6,944,180 $ 4,771,099 69%

Construction Contract $ 203,664,438 $ - $ 203,664,438 $ 199,873,422 $ 199,873,422 $ 152,890,755 76%

EDMS:003816287 AGENDA ITEM SUBMITTAL

Meeting Date: September 11, 2006 Budgeted: Yes Budgeted Amount: $600,000 To: Groundwater Replenishment Cost Estimate: $255,850 System Steering Committee Funding Source: OCWD/OCSD/Grants Program/Line No.: GWRSAT-17200.40015

From: Virginia Grebbien. General Counsel Approval: Yes James Ruth Project Report Approved: Yes CEQA Compliance: Yes

Staff Contact: R. Wildermuth/B. Colson

Subject: CONTINUATION OF GROUNDWATER REPLENISHMENT (GWR) SYSTEM OUTREACH: FAUBEL CONTRACT FOR 2006-2007

SUMMARY

Faubel Public Affairs has been the public relations consultant for the GWR System for the past year. Faubel’s original Professional Services Agreement was approved with the provision that it could be renewed for two one-year extensions. Staff and the PIE Committee are recommending renewing Faubel’s contract for an additional year.

RECOMMENDATION

Agendize for the September 20 OCWD and September 27 OCSD Board meetings: Authorize the issuance of a Professional Service Agreement to Faubel Public Affairs for $255,850 for outreach support services for the GWR System for 2006-2007.

DISCUSSION/ANALYSIS

General Outreach Support

The GWR System is an indirect potable reuse project that will greatly enhance the seawater barrier protecting Orange County’s large groundwater basin, and also provide additional water to help meet future water needs in an arid region.

Like all indirect potable reuse projects, there is the requirement for extensive public education and outreach. Indirect potable reuse projects have a mixed record of public acceptance, based on the timelines and effectiveness of the public outreach efforts. The GWR System was fortunate to start its outreach efforts early in the project development stage.

This contract extension provides assistance to continue our outreach program. Based on last year’s survey, the outreach effort will focus on talking to more women’s groups. In addition, there will be planning for a start up or commissioning ceremony this coming Fall. The rest of the outreach effort remains essentially the same as the previous year consisting of the following activities:

• Provide strategic counsel on all public information and education efforts by OCWD and OCSD for the GWR System • Attend GWR System Steering Committee meetings and PIE meetings, attend and monitor OCSD and OCWD meetings as needed • Develop and implement strategy for political management • Draft weekly and monthly updates to appropriate recipients • Meet and communicate on a monthly basis with appropriate staff members at OCSD/OCWD • Develop creative new outreach approaches such as obtaining support from women’s groups, public officials and opinion leaders • Follow up with groups to which we provide a presentation in an effort to garner and endorsement letter • Follow up with groups who decline a presentation with a GWR kit to provide information about the project • Develop and update all project collateral materials • Coordinate activities of the Speakers’ Bureau and endeavor to arrange 200 presentations prior to the project completion in Fall 2007 • Draft all necessary reports and correspondence concerning the GWR System • Coordinate all special events, including ceremonies marking the completion of major system components • Develop and coordinate a meeting for the Community Leadership Advisory Council and develop a plan to maximize their effectiveness • Coordinate media relations and media outreach efforts and public service announcement placement • Closely monitor media, web reports and web logs and provide a weekly report on any mention of the project or other similar projects • Maintain all GWR System outreach records (print and electronic) • Assist new GWR electronic communications consultant to expand e- marketing efforts and provide recommendations for enhancement of the GWR System web site (www.gwrsystem.com) • Provide preliminary preparation for project completion event in the Fall of 2007.

Below are the proposed team members, hourly rates and total budgeted hours:

Strategy R. Faubel $195/hr 120 hours Project Mgt. B. Lochrie $150/hr 605 hours Political Outreach J. Stratman $150/hr 150 hours Events L. Ball $115/hr 150 hours Speaker’s Bureau K. Dela $95/hr 820 hours Speaker’s Bureau Support: T. Arhansadr $70/hr 290 hours Admin H. Gartreau $75/hr 50 hours Total $255,850 2,185 hrs

PRIOR COMMITTEE ACTIONS

Jan. 9, 2006 The GWR System Steering Committee recommends authorizing the issuance of Amendment No. 1 to the Professional Service Agreement of Faubel Public Affairs in the amount of $69,000 in order for Probolsky Research, as a sub consultant to Faubel Public Affairs, to conduct a 2006 opinion research survey.

Oct. 10, 2005 The GWR System Steering Committee recommends authorizing the issuance of a Professional Service Agreement to Faubel Public Affairs for $292,560 for outreach support services for the GWR System; and authorizing the issuance of a Professional Service Agreement to KW Communications for $86,640 for construction outreach services for the GWR System; and authorizing the issuance of a Professional Service Agreement to JD Communications for $74,385 for construction outreach services for the GWR System; and authorizing the issuance of a Professional Service Agreement to Tashiro Choi and Associates for $42,480 for multicultural outreach services for the GWR System; and authorizing establishing a budget of $20,000 for construction outreach expenses.

Sept. 29, 2005 The Public Information and Education (PIE) Subcommittee voted to recommend Faubel Public Affairs as the Public Relations Firm for the Groundwater Replenishment System Outreach and Continuation of Three Outreach Specialists.

July 11, 2005 Public Information and Education (PIE) Program: Request for Proposal (RFP) for Replacement Public Relations Firm for the Groundwater Replenishment System Outreach and Continuation of Three Outreach Specialists.

Sept. 13, 2004 The GWR System Steering Committee recommends authorizing issuance of a one-year Professional Services Agreement to Porter Novelli in the amount of $615,000 for the GWRS Public Information and Education Program.

July 15, 2004 The Public Information and Education (PIE) Subcommittee voted to recommend the Porter Novelli task order for renewal to the Steering Committee for $615,000 for one year.

Oct. 22, 2003 OCSD Board approved a one-year task order for Porter Novelli in the amount of $900,000.

Oct. 15, 2003 OCWD Board approved a one-year task order for Porter Novelli in the amount of $900,000.

Sept. 8, 2003 The GWR System Steering Committee recommends a one-year task order for Porter Novelli in the amount of $900,000. Aug. 26, 2003 The Public Information and Education (PIE) Subcommittee voted to recommend the Porter Novelli task order for renewal to the JCC for $900,000 for one year, with the condition that the $132,000 allocated in the budget for direct mail, advertising and phone banks cannot be utilized until further discussion and approval of the PIE.

Oct. 17, 2001 OCWD Board approved a two-year task order for NCG Porter Novelli in the amount of $1,800,000, not to exceed $900,000 per year.

Sept. 26, 2001 OCSD Board approved a two-year task order for NCG Porter Novelli in the amount of $1,800,000, not to exceed $900,000 per year.

Aug. 27, 2001 The JCC selected NCG Porter Novelli as the Public Information and Education firm for Phase IV of the GWR Public Outreach Program.

June 11, 2001 The Joint Groundwater Replenishment System Cooperative Committee (JCC) approved a Request for Proposals (RFP) to solicit public relations teams for a level of effort of $900,000 per year for two years, with an option to renew for at least an additional $900,000 per year for two additional years.