Request to Approve Amendment No. 1 to Contract Number PRO.0168.B - Engineering Services for Transmission Pipelines
San Francisco Public Utilities Commission Meeting
September 24, 2024
PRO.0168.B Pipeline Facilities
• PRO.0168.B Pipeline facilities
Contract Scope Overview
• PRO.0168.B Engineering Services for Transmission Pipelines • Resolution No. 21-0117 (July 27, 2021)
• Contractor: Kennedy/Jenks Consultants, Inc. and AGS, Inc., Joint Venture • Contract amount: $7,000,000
• Contract duration: Eight (8) years
• The primary role of the Consultant is to provide planning and engineering services for large diameter water transmission pipeline facility projects identified within the Hetch Hetchy and Water Enterprise Capital Improvement Programs.
New Calaveras Dam &
Reservoir
Regional Pipeline Projects
(10-year CIP Funding)
New Calaveras Dam
Spillway
Capital Plan
(FY2020-21 thru
FY2029-30)
Capital Plan
(FY2024-25 thru
FY2033-34)
$318.9M $409.4M
PRO.0168.B Projects:
• Crystal Springs Pipeline 2 Rehabilitation Reaches
2 and 3 (K10 to K30)
• Sunol Valley Pipelines Seismic Upgrades –
SVWTP 78” Effluent Pipeline
• Sunol Valley Pipelines Seismic Upgrades –
Calaveras Pipeline
• Sunol Valley Pipelines Seismic Upgrades – San
Antonio Pipeline (SAPL) Replacement
• Sunol Valley Pipelines Seismic Upgrades –
Alameda Siphon #1-3
• Jail Waterline Replacement (SF Sheriff CIP)
• Palo Alto Pipeline Replacement
• Crystal Springs Pipeline 2 Reach 5 (K40 to K50)
• Regional PCCP Rehab (CS3, BDPL 4 & SAPL)
• Crystal Springs Pump Station Upgrades
• The needs assessment work has helped SFPUC to define project scopes and the SFPUC has significantly increased the latest capital program budgets to reflect the updated needs
Contract PRO.0168.B – Current Contract Budget &
Proposed Amendment 1 Modifications
5 Project Name Current Phase Current Contract
Budget
Proposed Amendment 1
Modifications
CSPL2 Rehabilitation Reaches 2 and 3 (K10
to K30) 35% Design $ 2,507,226
Design $ 950,000
ESDC* $ 1,500,000
CSPL2 Reach 5 (K40 -K50) 65% Design $ 2,240,907 ESDC $ 800,000 Regional PCCP Rehab (BDPL4) Planning $ 2,184,556 n/a Regional PCCP Rehab (BDPL4) - BDPL4 @
Milpitas Planning $ -
Planning $ 750,000
Design $ 1,250,000
ESDC $ 1,200,000
Regional PCCP Rehab (BDPL4) - BDPL Ph 1 Planning $ - Planning $ 350,000
Design $ 1,500,000
ESDC $ 500,000
Palo Alto Pipeline Replacement not started $ - NAR/AAR $ 1,200,000 Other projects not started $ - n/a Unencumbered n/a $ 67,311 n/a
TOTAL $ 7,000,000 $ 10,000,000
*ESDC – Engineering Services During Construction
CSPL2 Rehab – Reaches 2 and 3
6 • Replace four (4) miles of CSPL2, Reaches 2 and 3
• Capital plan budget increased from $56M to $82.8M
• Current Status: 35% Design (100% Design, Winter 2025) CSPL2 Rehab – Reach 5
7 • Lining replacement for four (4) miles of CSPL2, Reach 5 • Add access manholes and isolation valve
• Capital plan budget increased from $13M to $41.4M
• Current Status: 65% Design (100% Design, Winter 2024)
BDPL4 – PCCP Rehab @ Milpitas
• Strengthen BDPL4 at
Milpitas UPRR crossing for
additional loading
• Capital plan budget
increased from $0M to
$18M
• Current Status: Planning
(start Spring 2025)
BDPL4 – PCCP Rehab Phase 1
9 • Replace or slip-line up to 10 miles of Prestressed Concrete Cylinder Pipe (PCCP)
• Capital plan budget increased from $5.5M to $55.75M
• Liquefaction, lateral spreading, severe ground motion, slope instability • Current Status: Planning (AAR Dec 2024, CER Spring 2025)
Palo Alto Pipeline Replacement
• Rehab/replacement of 5.1 miles of 36-inch welded steel pipe • Capital plan budget remained the same at $90M
• Current Status: Planning (start Winter 2024)
Future Amendment or Other Means
11 Project Name Current Phase Current Contract
Budget
Proposed Amendment 1
Modifications
Future Amendment or Other
Means
CSPL2 Rehabilitation Reaches 2 and 3 (K10 to K30) 65% Design $ 2,507,226 Design $ 950,000 n/aESDC* $ 1,500,000 CSPL2 Reach 5 (K40 -K50) 100% Design $ 2,240,907 ESDC $ 800,000 n/a Regional PCCP Rehab (BDPL4) Planning $ 2,184,556 n/a $ - depends on results of Planning Regional PCCP Rehab (BDPL4) – BDPL4 @ Milpitas Planning $ - Planning $ 750,000
n/aDesign $ 1,250,000
ESDC $ 1,200,000
Regional PCCP Rehab (BDPL4) – BDPL Ph 1 Planning $ - Planning $ 350,000
n/aDesign $ 1,500,000
ESDC $ 500,000
Regional PCCP Rehab (BDPL4) – BDPL Ph 2 not started $ - n/a $ - Planning $ 4,000,000
Design $ 6,000,000
ESDC $ 2,000,000
Palo Alto Pipeline Replacement Planning $ - NAR/AAR $ 1,200,000 CER $ 1,800,000 Sunol Valley Pipelines Seismic Upgrades (SVWTP 78" and
Calaveras Pipeline) not started $ - n/a $ - TBD Sunol Valley Pipelines Seismic Upgrades (San Antonio
Pipeline Replacement and Alameda Siphon #1-3) not started $ - n/a $ - TBD Jail Waterline Replacement (SF Sheriff CIP) not started $ - n/a $ - TBD Regional PCCP Rehab (CS3) not started $ - n/a $ - TBD Regional PCCP Rehab (SAPL) not started $ - n/a $ - TBD Crystal Springs Pump Station Upgrades not started $ - n/a $ - TBD Unencumbered n/a $ 67,311 n/a n/a
TOTAL $ 7,000,000 $ 10,000,000
*ESDC – Engineering Services During Construction
12 DEPARTMENT
Infrastructure Division
AGENDA NO.
10 MEETING DATE
September 24, 2024
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Regular Calendar
Contract/Project Manager: Tedman Lee
Approve Amendment No. 1 to Contract No. PRO.0168.B, Engineering Services for Transmission Pipelines
Summary of
Proposed
Commission Action:
Approve Amendment No. 1 to Contract No. PRO.0168.B, Engineering Services for Transmission Pipelines , with Kennedy/Jenks Consultants, I nc., and AGS, Inc ., Joint Venture , increasing the contract amount by $10,000,000, for a total not-to-exceed contract amount of $17,000,000, with no change to the contract duration, to provide additional engineering design and support services for five transmission pipeline capital improvement projects funded by the Water Enterprise Capital Improvement Program , subject to Board of Supervisors approval under Charter Section 9.118.
Background: The San Francisco Public Utilit ies Commission (SFPUC) Regional Water System has over 300 miles of large potable water transmission pipelines ranging in diameter from 36- inch to 108- inch diameter and vary ing in age from 5 to over 90 years old. The SFPUC 10- year Capital Plan contains significant funding for major transmission pipeline rehabilitation and replacement projects that are critical to maintain reliable delivery of water to SFPUC’s customers.
On July 27, 2021, by Resolution No. 21- 0117, this Commission awarded Contract No. PRO.0168.B, Engineering Services for Transmission Pipelines, to Kennedy/Jenks Consultants, Inc., and AGS, Inc., Joint Venture (KJ-AGS, JV) , with a not -to-exceed contract amount of $7,000,000, and with a contract duration of eight years, to support the following projects:
• Crystal Springs Pipeline No. 2 Rehabilitation, Reaches 2 and 3 • Sunol Valley Pipelines Seismic Upgrades – Sunol V alley Water Treatment Plant 78” Effluent Pipeline
• Sunol Valley Pipelines Seismic Upgrades – Calaveras Pipeline • Sunol Valley Pipelines Seismic Upgrades – San Antonio Pipeline Replacement
• Sunol Valley Pipelines Seismic Upgrades – Alameda Siphon #1-3 • Jail Waterline Replacement
• Palo Alto Pipeline Replacement
• Crystal Springs Pipeline No. 2, Reach 5
• Regional Prestressed Concrete Cylinder Pipe Rehab
• Crystal Springs Pump Station Upgrades
Agenda Title: PRO.00168.B, Engineering Services for Transmission Pipelines Commission Meeting Date: September 24, 2024
The original amount of this contract was based on the budget of the 10-Year Water Enterprise Capital Improvement Program for fiscal -years 2019-2028, approved in February 2018, and provided for engineering support tasks and a portion of specialized engineering design work for the various transmission pipeline projects . At the time, SFPUC expected that staff would perform the majority of the engineering design work and engineering support during construction.
SFPUC has completed n eeds assessment work for several pipeline projects and better defined the project scopes; the SFPUC has significantly increased the project budgets in the latest capital program to reflect the updated needs.
On February 13, 2024, the SFPUC a dopted the most recent 10- Year Water Enterprise Capital Improvement Program for fiscal- years 2025- 2034, significantly increasing the budgets for several large diameter transmission pipeline projects to reflect the updated needs for the various transmission pipeline assets. Unforeseen site conditions have also increased the scope of specialized engineering work and engineering support tasks needed for several projects. This amendment will provide additional contracting capacity for engineering support services for selected projects that have significantly increased in scope (see Table 1 below). Other projects receiving engineering support from this contract may require additional capacity in the future after the scopes are further developed, either through this contract by a future amendment or by other means.
Scope of Contract : The primary role of the consultant is to provide planning and engineering services for large diameter water transmission pipeline facility projects identified within the Water Enterprise Capital Improvement Programs under the direction of the SFPUC Engineering Management Bureau.
The consultant will provide planning and engineering design and support services for large diameter (defined as 36 -inch diameter and larger) water transmission pipeline facilities and assist the SFPUC to inspect, repair and/or replace these water transmission pipelines.
The work under this contract consists of:
• Geotechnical field explorations, investigations, and laboratory testing;
• Hydraulic modeling;
• Corrosion testing and evaluation;
• Condition inspection and assessment of existing transmission pipelines;
• Assessment of seismic vulnerabilities of transmission pipelines crossing earthquake faults;
• Site surveying in remote locations;
• Hydraulic bypass and energy dissipation design for powerhouses ; and
Agenda Title: PRO.00168.B, Engineering Services for Transmission Pipelines Commission Meeting Date: September 24, 2024
• Preparation of reports for new and existing transmission pipelines.
Modifications to the
Contract:
Proposed Amendment No. 1 : Staff recommends Commission
authorization to increase the contract amount by $10,000,000 , with no change to the contract duration, for a total not-to-exceed contract amount of $17,000,000, and a total contract duration of eight years, in order to provide additional engineering design and support services for five transmission pipeline capital improvement projects funded by the Water Enterprise Capital Improvement.
Budget & Costs: Funding: Funds for this Amendment No. 1 will come from individual projects within the Water Enterprise 10 -Year Capital Improvements Program.
Original Not-To-Exceed Amount: $7,000,000
Proposed Amendment No. 1 Amount: $10,000,000
Total Not-To-Exceed Amount: $17,000,000
Schedule: Original Duration: Eight years
Proposed Amendment No. 1 Duration: Zero years
Total Not-to-Exceed Duration: Eight years
Environmental
Review:
Amendment of this professional services contract does not constitute a “project” under the California Environmental Quality Act Guidelines section 15378 because work will consist of engineering services only and does not involve a commitment to any specific project that may result in a direct or indirect physical change in the environment. Staff will not approve any work involving ground disturbance or any other physical changes to the environment, such as for geotechnical investigations, under this contract until the SFPUC has reviewed and considered any required environmenta l review and authorizes such work.
Amendment of this professional services contract is not an approval of any proposed project and SFPUC retains discretion to, among other things, modify proposed projects to mitigate significant environmental impacts, require the implementation of specific measures to mitigate any significant environmental impacts of the projects, or reject the project, following completion of environmental review.
Local Business
Enterprise
Utilization and Non-
Discrimination in
Contracting :
The Contract Monitoring Div ision (CMD) established a 15% Local Business Enterprise (LBE) subcontracting requirement (of the total value of services to be provided) for this contract KJ-AGS, JV committed to 15 % LBE participation, and this remains unchanged.
Attachment: 1. Contract Monitoring Division Memorandum
Agenda Title: PRO.00168.B, Engineering Services for Transmission Pipelines Commission Meeting Date: September 24, 2024
Table 1: PRO.0168.B Amendment No. 1 Summary
Proje ct Name Curre nt Contract
Budget
Proposed Contract
Budget
Design 950,000$
ESDC 1,500,000$
CSPL2 Reach 5 (K40 -K50) 2,240,907$ ESDC 800,000$ 3,040,907$ Planning 750,000$
Design 1,250,000$
ESDC 1,200,000$
Planning 350,000$
Design 1,500,000$
ESDC 500,000$
Palo Alto Pipeline Replacement -$ NAR/AAR 1,200,000$ 1,200,000$ Other projects 2,251,867$ -$ 2,251,867$ TOTAL 7,000,000$ 10,000,000$ 17,000,000$ 4,957,226$
$ 3,200,000
$ 2,350,000
Proposed Amendment 1 Modifications
CSPL2 Rehabilitation Reaches 2 and
3 (K10 to K30) 2,507,226$
Regional PCCP Rehab (BDPL4) –
BDP L4 @ Milpitas $ -
Regional PCCP Rehab (BDPL4) –
BDPL Phase 1 -$
Agenda Title: PRO.00168.B, Engineering Services for Transmission Pipelines Commission Meeting Date: September 24, 2024
Figure 1: SFPUC Transmission Pipelines and Facilities
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
W
HEREAS, On J uly 27, 2021, by Resolution No. 21-01117, the Commission awarded Contract No.
PRO.0168.B, Engineering Services for Transmission Pipelines , to Kennedy/Jenks Consultants, Inc. , and AGS, Inc., Joint Venture (KJ-AGS, JV) , to provide planning and engineering services for large diameter water transmission pipeline facility projects included within the Water Enterprise Capital Improvement Program, with a not-to-exceed contract amount of $7,000,000, and with a contract duration of eight years; and WHEREAS, Staff recommends the Commission approve Amendment No. 1 to increase the contract amount by $10,000,000, for a total not -to-exceed contract amount of $17,000,000, with no change to the contract duration, in order to provide additional engineering design and support services for selected transmission pipeline capital improvement projects that have had significant i ncreases in project scopes and budgets since the Commission first awarded this contract; and WHEREAS, The Contract Monitoring Division (CMD) established a subconsultant goal 15% Local Business Enterprise (LBE) subconsultant requirement (of the total value of services to be provided) for this contract and KJ-AGS, JV, committed to 15% LBE participation; and W HEREAS, Amendment of this professional services contract does not constitute a “project” under the California Environmental Quality Act Guidelines section 15378 because work will consist of engineering services only and does not involve a commitment to any specific project that may result in a direct or indirect physical change in the environment and staff will not approve any work involving ground disturbance or any other physical changes to the environment, such as for geotechnical investigations, under this contract until the SFPUC has reviewed and considered any required environmental review and authorizes such work; and WHEREAS, Amend ment of this professional services contract is not an approval of any proposed project and SFPUC retains discretion to, among other things, modify proposed projects to mitigate significant environmental impacts, require the implementation of specific measures to mitigate any significant environmental impacts of the projects, or reject the project, following completion of environmental review; and W HEREAS , Funds for this Amendment No. 1 are available from individual projects within the Water Enterprise Capital Improvement Program; now, therefore, be it RESOLVED, That this Commission hereby approves Amendment No. 1 to Contract No. PRO.0168.B, Engineering Se rvices for Transmission Pipelines , with KJ -AGS, JV, to provide additional planning and engineering services for selected transmission pipeline caital improvement projects under the Water Enterprise Capital Improvement Program, increasing the contract amount by $10,000,000, with no change to the contract duration, for a total not-to-
exceed contract amount of $17,000,000, and a total contract duration of eight years, subject to Board of Supervisors approval under Charter Section 9.118.
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of September 24, 2024.
Director of Commission Affairs
San Francisco Public Utilities Commission
City & County of San Francisco
London N. Breed, Mayor
Office of the City Administrator
Carmen Chu, City Administrator
Contract Monitoring Division
Stephanie Tang, Director
1455 Market Street, Suite 16A, San Francisco, CA 94103
Telephone (415) 554 0630
MEMORANDUM
Date: July 31, 2024
To: Tedman Lee, SFPUC
From: Jovi Cuntapay-Vitin on behalf of Jason Chow, CMD
Subject: CMD’s Modification #1 Review for PRO.0168.B Engineering Services for Transmission Pipelines
The SFPUC has requested a modification for the above referenced contract by increasing the contract amount by $10 ,000,000 for a total agreement amount of $17 ,000,000 with a total contract duration of eight (8) years. The modification request is necessary to provide additional engineering services for transmission pipelines in the Bay Area Region for Agreement B Projects. Engineering Services for pipeline rehabilitation and replacement projects include planning, needs and condition assessment, alternative analysis, conceptual engineering, preliminary and final design, construction bid support, engineering services during constructions, and start up and commissioning.
LBE Joint Venture Partner Participation Commitment:
At the time of award, Kennedy Jenks/AGS JV (“KJ/AGS JV”) received a 7.5% rating bonus because the proposed joint venture included 40% in prime level participation by AGS, the LBE joint venture partner. This commitment applies to the entire contract, including any amendments, modifications and/or change orders.
The breakdown of the to- date achieved/projected to be achieved prime level work by the joint venture KJ/AGS JV is as follows:
JV Partners JV
Commitment
JV Participation to-
Date
Projected JV
Participation—Including
Modification #1
Kennedy Jenks
(Non-LBE) 60% $1,407,707.48 63.58% $7,089,000.00 60%
AGS (LBE) 40% $806,264.44 36.42% $4,726,000.00 40%
TOTAL: $2,213,971.92 100% $11,815,000.00 100%
Based on the information provided the JV, they will meet their LBE JV partner participation commitment for the overall contract (see table above). However (also, see table above), the LBE JV partner is short of its original commitment to- date. Due to the fact that the JV is not too far off in meeting its LBE JV partner’s percentage commitment from time of proposal, CMD
reminded the JV of this potential issue and that this LBE JV participation commitment will need to be met at the end of the contract—the JV acknowledged to CMD that they understood.
The LBE subconsulting participation requirement established for this contract is 15%. Per CMD Form 2A, KJ/AGS JV committed to a 15% LBE participation for this contract. The LBE subconsulting participation commitment applies to the entire contract including any amendments, change orders and modifications . The LBE subconsulting participation reflected on KJ/AGS JV’s CMD Form 2A at the time of proposal is as follows:
Firm
Scope of Work
LBE
Status
Credited
Participation
CADNET Computer Aided Drafting
SF LBE-
WBE
(Micro) 5.00%
Joe Hill Consulting
Civil and Pipeline
Engineering
SF LBE-
OBE
(Small) 3.00%
MicroEstimating Inc.
Construction Cost
Estimating
SF LBE-
MBE
(Micro) 0.50%
Meridian Survey Engineering Surveying
SF LBE-
OBE
(Small) 4.00%
OLMM Consulting Engineers Structural Engineering
SF LBE-
MBE
(Small) 1.50%
SCA Environmental Inc. Hazardous Materials
SF LBE-
WBE
(Small) 1.00%
TOTAL: 15.00%
As of July 31, 2024, the LBE subconsulting participation achieved by KJ AGS JV, per submitted CMD Form 10 and its required attachments, is as follows:
Firm Scope of Work LBE Status Credited
Participation
Participation To-
Date—NOT
Including CMD’s
Modification #1
($2,576,312.07
Invoiced)
CADNET Computer Aided
Drafting
SF LBE-WBE
(Micro) 5.00% $10,493.21 0.41%
Joe Hill
Consulting
Civil and Pipeline
Engineering
SF LBE-OBE
(Small) 3.00% $0.00 0.00%
MicroEstimating
Inc.
Construction Cost
Estimating
SF LBE-MBE
(Micro) 0.50% $121,389.97 4.71%
Meridian Survey
Engineering Surveying SF LBE-OBE
(Small) 4.00% $56,397.64 2.19%
OLMM
Consulting
Engineers
Structural
Engineering SF LBE-MBE
(Small)
1.50% $29,460.63 1.14%
SCA
Environmental
Inc.
Hazardous
Materials SF LBE-WBE
(Small)
1.00% $0.00 0.00%
Based on the information provided by KJ/AGS JV to- date, the LBE participation is short of its original overall LBE subconsulting participation commitment (reflected in the table above).
Further, only four (4) of the six (6) listed LBE firms have been utilized on this contract thus far.
The LBE firms that have been utilized are: CADNET, MicroEstimating Inc., Meridian Survey Engineering and OLMM Consulting Engineers. As for the two (2) other listed LBE firms Joe Hill Consulting and SCA Environmental Inc., are assigned to on-going task orders and, hence, have not yet invoiced.
Based on the above table, to-date, KJ/AGS JV is currently falling short of its original overall LBE subconsulting participation commitment but is expected to meet its LBE commitment at closeout.
Additionally, SFPUC’s Modification #1 is for a proposed amount of $10,000,000. Out of the new Total Contract Amount of $17,000,000, KJ/AGS JV projects an LBE subconsulting participation amount of $2 ,550,000, which equates to 15 % LBE subconsulting participation – which is KJ/AGS JV’s commitment for this contract.
Based on the foregoing and taking into consideration the proposed increase and the original contract amount, KJ/AGS JV’s projected LBE participation for the entire contract, including Modification #1 is as follows:
The SFPUC staff and KJ/AGS JV shall continue to notify CMD of any changes that may impact LBE participation. Additionally, SFPUC staff and/or KJ/AGS JV must continue to notify CMD of any proposed sub additions and/or substitutions throughout the term of this contract. Contingent Firm Scope of Work LBE Status Credited
Participation
Participation To-
Date—NOT
Including CMD’s
Modification #1
($2,576,312.07
Invoiced)
TOTAL: 15.00% $217,741.45 8.45%
Firm Scope of Work LBE
Status
Credited
Participation
Projected Participation
for Entire Contract
Including CMD’s
Modification #1
CADNET Computer Aided
Drafting
SF LBE-
WBE
(Micro)
5.00% $850,000.00 5.00%
Joe Hill
Consulting
Civil and Pipeline
Engineering
SF LBE-
OBE
(Small)
3.00% $510,000.00 3.00%
MicroEstimating
Inc.
Construction
Cost Estimating
SF LBE-
MBE
(Micro)
0.50% $85,00.00 0.50%
Meridian Survey
Engineering Surveying
SF LBE-
OBE
(Small)
4.00% $680,000.00 4.00%
OLMM
Consulting
Engineers
Structural
Engineering
SF LBE-
MBE
(Small)
1.50% $255,000.00 1.50%
SCA
Environmental
Inc.
Hazardous
Materials
SF LBE-
WBE
(Small)
1.00% $170,000.00 1.00%
TOTAL: 15.00% $2,550,000.00 15.00%
upon the conditions set forth above, CMD concurs with this modification. Should you have any questions, please contact Jason Chow at [email protected].