Project Initiation Memorandum
TO: John Rossi, City of Rialto; Stephen Dopudja, Dopudja and Wells Consulting Via: Peter Luchetti, Megan Matson, Rialto Water Services FROM: Chandrasekar Venkatraman (CV)
CC: Soheil Sadighi, Marlon Brosco, Troy McCoy, Michelle McLey, Rodrigo Vignau and Frank Garza
Subject: Project Initiation Memorandum for Trunk Sewer Improvement Project Sycamore Avenue and Baseline Road
Date: June 2, 2025
Purpose, summarize the project scope for:
● Upsizing the Sewer Main in Sycamore Ave., by installing approximately 5,300 LF of new dedicated 15-inch sewer trunk main from the Sycamore Sewer Lift Station south down Sycamore Ave to Baseline Road, and moving flows to Acacia Ave. via Baseline Road Action Requested: Approve proceeding with bidding, contracting and construction of the Trunk Sewer Improvement Project Sycamore Avenue and Baseline Road Sr Description Notes
1 Project Driver Population growth and increased development in the area, leading to higher sewage flow demands that exceed the
current system's capacity, compliance with current
regulations, prevention of sanitary sewer overflows
(SSOs), and accommodation of future development plans
in the area.
2 Need for Project ● Identified in Master Plan documents prepared by Dopudja and Wells Consulting in 2024.
● Identified by the Collections system team during
Closed Circuit Television (CCTV).
● Line is currently surcharged >80% and at risk for
overflows.
● Identified in previous 5 year Capital Plans.
3 Source of Funds ● Wastewater Enterprise Funds. Sufficient funds available in the Wastewater Funds to complete this
project.
● Potential to use Development Impact Fees.
● Separately, RWS is working on a 5 year cash flow
Sr Description Notes
model that projects OPEX/CAPEX sources and
uses of funds using a combination of rate revenue,
DIF, grants, reserves, general fund contributions
and rate increases supporting new debt. RWS is
illustrating cash flows on a fiscal year basis
because this approach informs the timing and
magnitude of rate increases.
4 Project Budget Needs Estimated project cost is approx. $5.52M - 95% of funds would be needed between
August’25 and June’26
- 5% of funds would be needed between July’26
and August’26 to complete construction
5 Timeline Start: Jun’25 and Complete: August’26
● Bidding: July’25
● Approvals: August’25
● Construction: September'25 - July’26
● Closeout: July’26 - August'26
6 Fees In accordance with Concession and O&M Agreement:
● O&M Project Development by Veolia & ERSCI,
Inc. (1%)
● Design and Permitting/Bidding Support by ERSCI
Inc. and Veolia (6%)
● Construction Phase Engineering Services by 3rd
Party Engineering Consultant and Veolia (5%)
● O&M Project Management Services by Veolia
(8%)
● Total Soft Costs = 20% including
Design-Engineering costs.
● The soft costs include 6% to 8% for outside design
firm and 12% - 14% for Veolia including direct
labor, PM-CM oversight, builder’s risk,
contracting, travel, overhead, etc.
7 Delivery Method Design-Bid-Build. Veolia has already engaged services of ERSCI and completed the design drawings and Request
for Bids document and paid for these services.
8 Procurement Methodology ● Contractor (Veolia) shall prepare and submit RFB documents for uploading into City’s PlanetBids
portal.
● Veolia shall manage the procurement process
including answering bid queries, issuing Addenda
Charter - Trunk Sewer Improvement Project Sycamore Avenue and Baseline Road Page 2 of 6
Sr Description Notes
(as necessary) with support from 3rd party
Engineering firm hired by Veolia.
● City and Veolia shall receive bids directly from
Contractors. Veolia shall complete bid leveling
and bid award recommendation.
● Veolia shall manage the project construction
through closeout, resolve punch list and issue
as-built drawings. as part of project closeout
documents..
9 Requested Approval
Timelines & Next Steps
● Water Sub-Committee: June 2025
● Utilities Commission: July 2025
● City Council: August 2025
10 Project Risks/Sensitivities Timely response and action required to enable the Contractor to complete pipeline work outside Morgan
Elementary during Summer vacation period
(June-August’25) or Winter Break (December’25) and
reduce traffic congestion and access problems.
11 Roles and Responsibilities ● Project Manager: Michelle McLey ● Construction Manager: Brandon Stallings
● Project Engineer: Jason Howard
● Rialto’s liaison: John Rossi
VERIFIED AGAINST APPROVED BUDGET & COVERAGE:
YES
NO
ACTION:
APPROVED
APPROVED AS NOTED
REVISE & RESUBMIT
REJECTED
On _____________, Veolia Capital Program Management (CPM) team submitted the Project Initiation Memo for the Sycamore Trunk Line Upsizing Project.
Based on our review of the Project Initiation Memo, and subsequent discussions, City of Rialto approves this Project, and directs the Veolia Capital Program Management team to move forward and obtain competitive bids for our review and approval.
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By: ______________________________________________________________
Name & Title: _____________________________________________________
Date: _____________________________________________________________
Charter - Trunk Sewer Improvement Project Sycamore Avenue and Baseline Road Page 4 of 6
Charter - Trunk Sewer Improvement Project Sycamore Avenue and Baseline Road Page 5 of 6
Trunk Sewer Improvement Project Sycamore Avenue and Baseline Road Gantt Chart Task StartEnd StatusTotal DaysRemainingJun-2025Jul-2025Aug-2025Sep-2025Oct-2025Nov-2025Dec-2025Jan-2026Feb-2026Mar-2026Apr-2026May-2026Jun-2026Jul-2026Water Subcomittee Review 6/23/256/27/25Not Started 4 10Pre-Bid Phase6/30/257/7/25Not Started 7 20Issue Request For Bid (RFB)7/7/257/11/25Not Started 4 24RFB Questions7/7/257/25/25Not Started 18 38Jobwalk 7/16/257/21/25Not Started 5 34RFB Response7/25/257/29/25Not Started 4 42Bid Open 8/4/258/4/25Not Started 0 48UC Review 8/19/258/22/25Not Started 3 66City Council Review 8/26/258/29/25Not Started 3 73Subcontracting9/1/259/12/25Not Started 11 87Kickoff Meeting9/15/259/15/25Not Started 0 90Procurement 9/15/255/22/26Not Started 249 339Construction 9/15/256/30/26Not Started 288 378Punch List 7/1/267/31/26Not Started 30 409Closeout 7/13/257/31/26Not Started 383 409 Rialto Unified School District Breaks:11/24/25 - 11/28/25 - Thanksgiving Break12/22/25 - 1/9/26 - Winter Break3/23/26 - 3/27/26 - Spring Break6/8/26 - 8/14/26 - Summer Break