DEPARTMENT Infrastructure Division AGENDA NO. 7b
MEETING DATE January 14, 2025
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Consent Calendar
Project Manager: Jimmy Leong
Approve an Increase to Contract Duration Contingency for Contract No. HH-1009, San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower Summary of Proposed
Commission Action:
Approve an increase of 60 calendar days to the duration contingency for Contract No. HH-1009, San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower , with Mountain Cascade Inc., for a revised duration limit of 557 calendar days (approximately one year and seven months), with no change to contract amount, to complete the installation of a culvert in a drainage during the 2025 dry season to meet new Calif ornia Department of Fish and Wildlife requirements.
Background: The S an Francisco Public Utilities Commission’s (SFPUC) San Joaquin Pipeline (Pipeline) Nos. 1, 2, and 3 consist of three parallel transmission pipelines (completed in 1932, 1953, and 1968, respectively) that cross the San Joaquin Valley from the east of Foothill Tunnel at Oakdale Portal to the west of Coast Range Tunnel at Tesla Portal, a distance of approximately 48 miles. A fourth partial pipeline (Pipeline No. 4 completed in 2012) consists of a 6.4- mile segment of pipe downstream of Oakdale and another 11- mile segment upstream of Tesla Portal. The Pipelines deliver Hetch Hetchy water to the San Francisco Bay Area. The P ipelines have been in service ranging from 12 to 92 years. SFPUC staff members and contractors need to enter the Pipelines regularly to perform condition assessment, maintenance, and repair work.
A recent hydraulic study shows that several of the existing valves in the Pipelines may be under-rated in design pressure tolerance for the potential water system surge pressure that could be triggered from an unplanned closure of the valves at the SFPUC’s downstream Tesla Treatment Facility. For safety reasons, the SFPUC initiated the San Joaquin Pipeline Valve and Safe Entry Improvement Project (Project), to increase the pressure rating of the valves ; install an open-ended surge tower to avoid any sy stem over -pressurization Agenda Title: HH-1009 San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower Commission Meeting Date: January 14, 2025
resulting from surges and/or valve closures ; provide safe pipeline isolations for personnel entry into the Pipelines; and allow shutdown of any section of the Pipelines without a complete system shutdown.
Staff has been implementing the Project in multiple phases, specifically phases 1A, 1B, 2A, 2B&C, and 3. Contract No. HH - 1009 is for the improvement work of Phase 3, to construct a new surge tower and ancillary facilities.
On January 9, 2024, by Resolution No. 24- 0002, this Commission awarded Contract No. HH-1009, San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower , to Mountain Cascade Inc., in the amount of $11,051,305 and for a duration of 452 consecutive calendar days.
The California Department of Fish and Wildlife (CDFW) has recently begun prohibiting the placement of permanent geotextile fabric (plastic) within jurisdictional waterbodies. The creek culvert design in Contract No. HH- 1009, awarded prior to this CDFW requirement, includes the use of permanent geotextile fabric.
Although obtain ing a variance to allow the use of permanent geotextile fabric may be possible, the CDFW indicated that a major amendment to the P roject’s Lake and Streambed Alteration Agreement permit would be required, including requirements for monitoring and as-needed maintenance in perpetuity to ensure that the material is never exposed and , potentially, additional compensation for drainage impacts . After discussions with CDFW staff, SFPUC staff determined a design change was preferred to comply with the new CDFW requirements . The Project’s permit requires work in the drainage to be completed during the dry season.
Due to the time required to redesign the culvert and drainage improvements, the work could not be completed before the start of the 2024/2025 wet season. Thus, this element of the Project must be postponed to April 15, 2025, or later , for work to occur in dry in- creek conditions.
Scope of Contract: The contract work location is at Tesla Portal in San Joaquin County.
The contract work consists of:
• Furnish and install 880 linear feet of 60-inch diameter welded steel surge pipe, fittings, and appurtenances.
• Furnish and install an approximately 63- foot-tall steel surge tower including a 60- inch diameter steel pipe surge shaft, a 132-inch diameter steel exterior shroud, and a reinforced concrete thrust block, and a transition spillway.
Agenda Title: HH-1009 San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower Commission Meeting Date: January 14, 2025
• Furnish and install a water recirculation system including a prefabricated pump building and the associated mechanical, electrical, and plumbing work.
• Demolish and rebuild approximately 195 linear feet of existing reinforced concrete spillway.
• Construct other associated works including culvert drainage improvements, grading, fencing, a new gravel access road, and removal of the old abandoned underground pipes.
Modifications to the
Contract:
Recommended Increase to Contract Duration Contingency:
Staff recommends the Commission approve an increase of 60 calendar days to the existing contract duration contingency, for a revised duration limit of 557 consecutive calendar days, to complete the culvert drainage improvement work during the 2025 dry season to meet new California Department of Fish and Wildlife
requirements, with no change to the contract amount.
Funding and Costs: Funding Source: Hetchy Capital Improvement Program, Project No. 10035575, San Joaquin Pipeline Valve and Safe Entry Improvements
Original Contract Amount: $11,051,305
Original 10% Cost Contingency: $1,105,130.50
Requested Additional Cost Contingency: $0
Total Contract Cost Limit: $12,156,435.50
Schedule: Notice-to-Proceed Date: February 26, 2024
Original Contract Duration: 452 consecutive calendar days Original 10% Duration Contingency: 45 calendar days
Requested Additional Duration Contingency: 60 calendar days Total Revised Contract Duration Limit: 557 consecutive calendar days
Environmental
Review:
On October 30, 2008, the San Francisco Planning Commission certified the Final Program Environmental Impact Report (Program EIR) (Case No. 2005.0159E) for the Water System Improvement Program.
On December 18, 2008, the San Francisco Planning Commission certified the Final Environmental Impact Report (Final EIR) for the San Joaquin Regional Water Quality Improvement Project (Case No. 2007.0427E), which is tiered from the Program EIR . On December 18, 2008, by Resolution No. 08-0234, this Commission approved the Tesla Treatment Facility and Lawrence Livermore Water Quality Agenda Title: HH-1009 San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower Commission Meeting Date: January 14, 2025
Improvement projects and adopted findings and a Mitigation Monitoring and Reporting Program required by the Californ ia Environmental Quality Act (CEQA).
On December 19, 2023 , the San Francisco Planning Department issued an Addendum to the Final EIR for the addition of a new surge shaft (above -ground tower) and related facilities at the Tesla Treatment Facility, and a recirculation system to prevent stagnant water from sitting in the proposed new 60-inch surge pipeline.
The work under this proposed modification to Contract No. HH- 1009 is within the scope of the Project authorized under the Final EIR and Addendum.
The Program EIR, CEQA findings , and Mitigation Monitoring and Reporting Program can be found at the following link :
https://sfpuc.sharefile.com/public/share/web-
sc700700e116449f881c511c8079aaa3e
The Final EIR, Addendum, Resolution No. 08-0234, and the CEQA Findings and Mitigation Monitoring and Report ing Program can be found at the following link:
https://sfpuc.sharefile.com/d-
s12fde2cfc5a646509b7864fb2b4138b2
Local Business
Enterprise Utilization
and Non-
Discrimination in
Contracting:
The Contract Monitoring Division established a 9% Local Business Enterprise (LBE) subcontracting requirement for this contract. The contractor committed to a 9.78% LBE subcontractor participation with its bid submittal, and this amount remains unchanged.
Agenda Title: HH-1009 San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower Commission Meeting Date: January 14, 2025
SITE LOCATION MAP
HH-1009 SAN JOAQUIN PIPELINE VALVE AND SAFE ENTRY IMPROVEMENTS PHASE 3 TESLA SURGE TOWER
Work will occur at Tesla Portal
Project Location 01 in the map below (circled)
HH-1009 Contract Work Location
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) owns and operates four San Joaquin Pipelines (Pipelines) that have been in service ranging from 12 to 92 years , and the SFPUC must enter the Pipelines regularly to perform condition assessment, maintenance, and repair work; and
WHEREAS, A recent hydraulic study shows that several of the existing valves in the Pipelines may be under -rated in design pressure tolerance for potential water system surge pressures that could be triggered by an unplanned closure of the valves at the SFPUC’s downstream Tesla Treatment Facility; and
WHEREAS, For safety reasons, the SFPUC initiated the San Joaquin Pipeline Valve and Safe Entry Improvements Project (Project), to increase the pressure rating of the valves; install an open-ended surge tower to avoid any system over -pressurization resulting from surges and/or valve closures; provide safe Pipeline isolations for personnel entry ; and allow shutdown of any sections of the Pipelines without a complete system shutdown; and
WHEREAS, SFPUC staff is implementing the P roject in phases, specifically Phases 1A, 1B, 2A, 2B&C, and 3, and c onstruction Contract No. HH-1009, San Joaquin Pipeline Va lve and Safe Entry Improvements Phase 3 Tesla Surge Tower, is for the improvement work of Phase 3, to construct a new surge tower and ancillary facilities; and
WHEREAS, On January 9, 2024, by Resolution No. 24-0002, this Commission awarded Contract No. HH-1009, San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower, to Mountain Cascade Inc.; and
WHEREAS, The original contract amount was for $11,051,305 and the original contract duration was 452 consecutive calendar days; and
WHEREAS, The contract Notice-to-Proceed date was February 26, 2024; and
WHEREAS, The California Department of Fish and Wildlife (CDFW) regulatory agency has implemented a new requirement in Lake and Streambed Alteration Agreements (LSAA) banning the use of geotextile (plastic) within jurisdictional waters/wetlands/riparian, and a change order is needed to change the c reek culvert design in Contract No. HH-1009, which includes the use of geotextile fabric, to comply with the new CDFW requirement; and
WHEREAS, Due to the time required for redesign and installation and a seasonal in-creek work window in the CDFW LSAA prohibiting wet season work, culvert installation drainage improvements could not be completed before the start of the 2024 wet season and will need to be postponed to the start of the dry season, as required in the CDFW LSAA, on April 15, 2025, or later to achieve dry in-creek conditions; and
WHEREAS, Staff recommends a n increase of 60 calendar days to the existing duration contingency, for a revised contract duration limit of 557 consecutive calendar days, to complete
the culvert drainage improvement work during the 2025 dry season to meet the new CDFW requirements, with no change to the contract amount; and
WHEREAS, The Contract Monitoring Division established a Local Business Enterprise (LBE) subcontracting participation of 9% for this contract, the contractor committed to a n LBE subcontractor participation of 9.78% with its bid submittal and this amount remains u nchanged; and
WHEREAS, On October 30, 2008, the San Francisco Planning Commission certified the Final Program Environmental Impact Report (Program EIR) (Case No. 2005.0159E) for the Water System Improvement Program, and
WHEREAS, On December 18, 2008, the San Francisco Planning Commission certified the Final Environmental Impact Report (Final EIR) for the San Joaquin Regional Water Quality Improvement Project (Case No. 2007.0427E), which is tiered from the Program EIR; and
WHEREAS, On December 18, 2008, by Resolution N o. 08-0234, this Commission approved the Tesla Treatment Facility and Lawrence Livermore Water Quality Improvement projects and adopted findings and a Mitigation Monitoring and Reporting Program required by the California Environmental Quality Act (CEQA); and
WHEREAS, On December 20, 2023, the San Francisco Planning Department issued an Addendum to the Final EIR for the addition of a new surge shaft (above-ground tower) and related facilities at the Tesla Treatment Facility, and a recirculation system to prevent stagnant water from sitting in the proposed new 60-inch surge pipeline; and
WHEREAS, The work under this modification is within the scope of the Project authorized under the Final EIR and Addendum; and
WHEREAS, The San Francisco Planning Department is the custodian of records, located in the file for Case Number 2007.0427E at 49 South Van Ness Avenue, Suite 1400, San Francisco, California, 94103, which have been made available for review by this Commission and the public, and those files are part of the record before this Commission; and
WHEREAS, Staff has made the Project files, including the Program EIR, Final EIR, Addendum to the Final EIR, Resolution No. 08- 0234, CEQA Findings and the Mitigation Monitoring and Reporting Program available for review by this Commission and the public, and those files are part of the record before this Commission; and
WHEREAS, This Commission has reviewed and considered the information contained in the Program EIR, Final EIR and Addendum, the CEQA Findings and Mitigation Monitoring and Reporting Program, and all written and oral information provided by the San Francisco Planning Department, the public, relevant public agencies, SFPUC staff and other experts, and the administrative files for the Project; and
WHEREAS, Funds are available from Project No. 10035575, San Joaquin Pipeline Valve and Safe Entry Improvements; now, therefore, be it
RESOLVED, This Commission has reviewed and considered the Program EIR, Final EIR the Addendum, and the record as a whole , and finds that the Final EIR is adequate for its use as the decision–making body for the Project , and incorporates the CEQA Findings and Mitigation
Monitoring and Reporting Program contained in Resolution No. 08-0234 by this reference thereto as though set forth in this Resolution; and be it
FURTHER RESOLVED, This Commission further finds that since the Final EIR and Addendum were finalized, there have been no substantial Project changes and no substantial changes in Project circumstances that would require major revisions to them du e to the involvement of new significant environmental effects or an increase in the severity of previously identified significant impacts, and there is no new information of substantial importance that would change the conclusions set forth in them; and be it
FURTHER RESOLVED, That this Commission hereby approves an increase of 60 calendar days to the existing duration contingency for Contract No. HH- 1009, San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 Tesla Surge Tower, with Mountain Cascade Inc., for a total duration contingency of 105 calendar days, and revised contract duration limit of 557 consecutive calendar days, with no change to the contract amount.
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of January 14, 2025.
Director of Commission Affairs
San Francisco Public Utilities Commission