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CITY of MARINA California American Water Temporary Slant Test Well Project 11-06-13

CITY of MARINA California American Water Temporary Slant Test Well Project 11-06-13

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California American Water Monterey Peninsula Water Supply Project, California Public Utilities Commission, California Coastal Commission
California American Water Monterey Peninsula Water Supply Project, California Public Utilities Commission, California Coastal Commission

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11/22/2013

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  November 1, 2013 Item No.
8g(3)
 Honorable Mayor and Members City Council Meeting of the Marina City Council of November 6, 2013
CITY COUNCIL CONSIDER ADOPTING RESOLUTION NO. 2013 - , APPROVING AMENDMENT #1 TO A CONTRACT BETWEEN THE CITY OF MARINA AND SWCA ENVIRONMENTAL CONSULTANTS OF SAN LUIS OBISPO, CALIFORNIA, FOR ENVIRONMENTAL PLANNING SERVICES RELATED TO THE CALIFORNIA AMERICAN WATER TEMPORARY SLANT TEST WELL PROJECT; AND AUTHORIZE CITY MANAGER TO EXECUTE THE CONTRACT AMENDMENT ON BEHALF OF THE CITY, SUBJECT TO FINAL REVIEW AND APPROVAL BY THE CITY ATTORNEY REQUEST:
It is requested that the City Council: 1.
 
Consider adopting Resolution No. 2013- , approving Amendment #1 to a contract  between the City of Marina and SWCA Environmental Consultants of San Luis Obispo California, for environmental planning services related to the California American Water Temporary Slant Test Well project, and; 2.
 
Authorize City Manager to execute the contract amendment on behalf of the City, subject to final review and approval by the City Attorney.
BACKGROUND:
On October 19, 2012, California American Water (Cal Am) submitted an incomplete application for a Coastal Development Permit for a temporary slant test well for the Monterey Peninsula Water Supply Project (MPWSP). The data from the test well will be used to design the MPWSP system. On November 7, 2012, the City Council adopted Resolution 2012-168, approving a Fee Agreement between the City of Marina and California American Water for provision of planning and attorney services related to review and processing of a slant test well project located at the north-
west corner of the Lonestar California, Inc. site, Marina (APN’S 203
-011-019 & 203-011-001); authorizing the Finance Director to make the appropriate accounting and budgetary entries, and; authorizing the City Manager to execute the Fee Agreement on behalf of City subject to final review and approval by the City Attorney. The Fee Agreement was fully executed on December 14, 2012. On March 12, 2013 California American Water submitted a revised but still incomplete application for the project, and on July 2, 2013 California American Water submitted a further revised and complete application for a new, preferred location for the temporary slant test well within the operational area of the CEMEX Inc. property located in the northwest Marina (APN 203-011-019).
74
 
 On July 31, 2013, pursuant to Resolution No. 2013-16 which sets the City Manager purchasing and contract authority without prior City Council approval for amounts up to $25,000, a Purchase Order in the amount of $20,189 for preparation of an Initial Study for the project was executed. SWCA Consultants Finance Director also requested that a Contract for Services be prepared, in addition to the Purchase Order. The contract, allowing for services up to $24,999 (
“EXHIBIT A”
) was reviewed by the City Attorney and on October 11, 2013 was fully executed. A second Purchase Order in the amount of $3,047 was executed on October 16, 2013 to allow for a second site visit by the consultants to the CEMEX site. Thus, authorized expenditures under the Contract for Services and Purchase Orders total $23,236. The authorized work, preparation of an Initial Study for the Cal Am Slant Test Well Project, is complete.
ANALYSIS:
The next steps are to prepare additional technical studies identified through the agency referral  process during preparation of the Initial Study, and prepare the environmental document. The City is currently consulting with the Sierra Club pursuant to a 1986 Settlement Agreement for  projects within the Coastal Zone and has not yet determined what environmental document will  be required (Environmental Impact Report or Mitigated Negative Declaration). The Executive Committee of the Ventana Chapter of the Sierra Club meet on November 6, 2013 and may or may not make a recommendation to the City on that day. As such, it is not yet known what the Scope of Services, including Schedule and Budget for the environmental document will be. On November 29, 2013
staff met with Cal Am’s Project Manager and determined that in order
to keep the project moving forward two amendments to the contract with SWCA would be requested of City Council. Amendment #1 (attached to
“EXHIBIT A”
) will allow for the technical studies to be prepared. It is anticipated that Amendment #2, which will address the environmental document, will be presented for review and consideration at a future Council meeting. Due to the tight timeframe for preparation of the Scope of Services (two days) for Amendment #1, the costs are based on very conservative assumptions
and represent a ‘maximum  billable’ amount
in order to allow the work to proceed.
This work will be completed by SWCA Consultants, Inc. and reviewed by staff and the City’s
 professional advisors on a cost recovery basis under the existing Fee Agreement. An additional deposit by California American Water in the amount of $20,000 is anticipated to  be made to FY 2013-14 General Fund Deposit Account No. 11.161.56310.4004 this week to ensure that adequate funding is contained in the FY 2013-14 General Fund Expenditure Account  No. 11.161.65890.4004. A financial reconciliation is scheduled within the next two weeks to guarantee that the account remains in good standing.
CONCLUSION:
 This request is submitted for City Council consideration and possible action.
75
 
 Respectfully submitted,  ____________________________ Theresa Szymanis, AICP Planning Services Manager City of Marina
REVIEW AND CONCUR 
:  _____________________________ Christine di Iorio, AICP Community Development Director City of Marina  _____________________________ Layne P. Long City Manager City of Marina
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