City Council
Report
City Council Meeting: July 29, 2025
Agenda Item: 4.C
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To: Mayor and City Council
From: Rick Valte, Public Works Director, Public Works, Engineering and Street Services
Subject: Authorization of Third Modification to Agreement #11475 with Stantec Consulting Services, Inc. and First Modification to Agreement #11547 with Arcadis U.S., Inc. and for the Water Reservoir Upgrades, Seismic and Site Security Improvements
Recommended Action
Staff recommends that the City Council:
1. Adopt a finding of categorical exemptions pursuant to Sections 15301 and 15302 of the CEQA Guidelines;
2. Authorize the City Manager to negotiate and execute a third modification to agreement #11475 (CCS) in the amount of $646,847 (including no additional contingency) with Stantec Consulting Services, Inc. for additional design services for the Water Reservoir Upgrade and Improvement Project for the Public Works Department. This will result in an amended agreement with a new total amount not to exceed $4,336,139, with future year funding contingent on Council budget approval;
3. Authorize the City Manager to negotiate and execute a first modification to agreement #11547 (CCS) in the amount of $318,402 (including no additional contingency) with Arcadis U.S., Inc for additional design services for the Site Security Project for the Public Works Department. This will result in an amended agreement with a new total amount not to exceed $1,163,402, with future year funding contingent on Council budget approval; and
4. Authorize budget amendment as outlined in the Financial Impacts & Budget Actions section of this report (requires 5 votes).
Summary
The City of Santa Monica owns and operates four drinking water storage reservoirs (Arcadia, San Vicente, Mt. Olivette, and Riviera) with a combined storage capacity of approximately 40 million gallons to meet the water demands of the City’s residents and 2 of 6
businesses. These reservoirs were built between 1924 and 1962. Council previously awarded two agreements to design necessary upgrades to comply with new regulations (including seismic), improve security, and enhance operations to maintain reliable and high-quality drinking water for the City. The design to rehabilitate and upgrade the reservoirs is about 60% completed.
During preliminary geotechnical investigations, a mapped geologic fault was identified beneath the Arcadia Reservoir. This discovery limits reconstruction options and may impact the future capacity of the reservoir. In parallel, staff and Arcadis U.S., Inc. evaluated system-wide needs and identified additional site security upgrades at the Riviera, Mt. Olivette, and San Vicente reservoirs to further safeguard the City’s water infrastructure. A second modification was needed to provide additional design services, and a third modification is now required for Stantec. Staff recommends 1) a third modification to the contract for Stantec Consulting Services, Inc., in the amount of $646,847 for the addition of geotechnical engineering services to identify the exact location of the fault running underneath the Arcadia site and determine whether the fault is active and 2) a first modification to the contract for Arcadis U.S. Inc., in the amount of $318,402 for additional site security design services.
Discussion
To support the rehabilitation of the City’s four potable water storage reservoirs additional design services are needed to 1) perform geotechnical investigations to map the fault line location at the Arcadia Reservoir site and determine if said fault is active, and 2) perform security design for additional sites identified during the assessment period, including three of the City’s largest drinking water reservoirs – Riviera Reservoir, Mt Olivette Reservoir, and San Vicente Reservoir.
Geotechnical Investigations
The final Basis of Design Report prepared by Stantec Consulting Services, Inc. presents the approximate boundary of the existing fault found on the Arcadia Reservoir site. The fault would limit or place additional costly construction requirements on over 50% of the available property area (see Figure 1 below). The existing Arcadia Reservoir 3 of 6
has a capacity of approximately 5 million gallons and is over 100 years old. Due to the site restrictions caused by the approximate fault limits, the replacement reservoir is estimated at 0.5 million gallons, reducing the volume capacity of the Arcadia Reservoir by 90%.
The geotechnical field investigation would determine the precise fault location and deduce the area of land impacted by the fault. In addition to determining the exact location, the geotechnical study would also determine whether the existing fault is active or inactive. An inactive fault designation has the potential to remove site restrictions assigned to an active fault and would allow the City to reuse the existing water reservoir footprint for the proposed new reservoir and maintain the existing 5 million gallons storage capacity for the Arcadia Reservoir.
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Figure 1 –Approximate Impact area of the Santa Monica Fault on the Arcadia Water Treatment Plant Site.
Security Design
The final Basis of Design Report prepared by Arcadis U.S., Inc identifies site security improvements for all Water Resources Division’s physical assets. To develop complete construction drawings and specifications that meet the required security standards that were identified through preliminary design, an increase in the contract amount is necessary to incorporate all recommended security measures. Proposed upgrades include, but are not limited to, fencing, security cameras, lighting, badge access systems, and lock-and-key mechanisms. The Project initially included security design at only key locations; however, staff is now recommending to proceed with security improvements at all sites (including three of the City’s largest drinking water reservoirs – Riviera Reservoir, Mt Olivette Reservoir, and San Vicente Reservoir), to ensure the protection of all water infrastructure. This comprehensive approach supports the continued delivery of safe drinking water to the community and helps prevent unauthorized access or potential threats.
Past Council Actions
Meeting Date Description
August 22, 2023 Award RFP #SP2679 to Stantec Consulting Services, Inc. to provide engineering design services, develop construction documents, and provide engineering support during the
construction of the Reservoir Upgrades and Improvements Project for the Public Works Department
March 12, 2024 Award Professional Services Contract to Arcadis U.S. for Site Security Analysis & Updates to the City's Water, Wastewater, & Recycled Water Facilities
Environmental Review
The Project is categorically exempt as a Class 1 and Class 2 exemption pursuant to Sections 15301 and 15302 of the CEQA Guidelines. Section 15301 consists of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of 5 of 6
existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use. Section 15302 exempts replacement or reconstruction of existing structures and facilities where the new structure will be located on the same site as the structure being replaced and will have substantially the same purpose and capacity. This project would rehabilitate and upgrade four (4) existing reservoirs to comply with new regulations, improve security, and enhance operations to maintain reliable and high-quality drinking water for the City.
The improvements would consist of a comprehensive inspection and assessment of all components of the four reservoirs and the replacement of existing components with new components, without changing the existing footprint or foundations of the four reservoirs. Additionally, geotechnical investigation at the Arcadia site is necessary to determine fault line location and activity of the fault, if any. Furthermore, staff has determined that none of the Exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2, apply to this project.
Financial Impacts and Budget Actions
Staff seeks authority to appropriate additional funds from the Water Fund to include additional engineering and geotechnical design services with Stantec Consulting Services, Inc.
Approval of the recommended actions require the following budget amendment.
FY 2025-26 CIP Budget Amendment
Additional Appropriation of Funds Requested
Account Number Amount
C5007620.689740 $646,847
Total $646,847
Staff seeks authority to approve available funding from the Water and Wastewater Funds to increase the contract amounts with Stantec Consulting Services, Inc. for additional engineering and geotechnical design services, and with Arcadis U.S., Inc. for expanded site security analysis and updates.
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Contract Modification Request -Stantec Consulting Services, Inc.
Agreement
#
Current
Authorized
Amount
FY 2025-26
Modified Request
Amount
CIP Account # Total Revised
Contract Amount
11475 (CCS) $3,689,292 C5007620.689000 $3,689,292
$646,847 C5007620.689740 $646,847
Total $4,336,139
Contract Modification Request - Arcadis U.S., Inc
Agreement
#
Current
Authorized
Amount
FY 2025-26
Modified Request
Amount
Dept Account # Total Revised
Contract Amount
11547 (CCS) $549,250 $206,962 50500001.552010 $756,212
11547 (CCS) $211,250 $79,600 51500001.552010 $290,850
11547 (CCS) $42,250 $15,920 51500001.529420 $58,170
11547 (CCS) $42,250 $15,920 51500001.529450 $58,170
$845,000 $318,402 TOTAL $1,163,402
Future year funding is contingent on Council budget approval.
Prepared By: Alisha Flores, Civil Engineer
Approved Forwarded to Council
Attachments:
A. August 22, 2023 Staff Report (Web Link)
B. Stantec_LevineActDisclosure
C. Stantec_OaksInitiative
D. CT 11547 - Arcadis (Site Security)
E. CT 11475 - Stantec
F. CT 11475_Mod01 - Stantec
G. Arcadis_Levine Act
H. Arcadis_Oaks Initiative
I. March 19, 2024 Staff Report (Web Link)