TO: Members of the Governing Board
FROM: Christopher Silke, District Engineer
REPORT BY: Anna Martinez, Assistant Engineer
SUBJECT: Approval of Amendment No. 4 to Agreement No. 240306B (LBRID) with GHD, Inc.
RECOMMENDATION
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Approve and authorize Amendment No. 4 to Agreement No. 240306B (LBRID) with GHD, Inc. to increase the contract amount by $16,000 increasing total compensation from $441,649 to $457,649 to provide additional construction management and inspection services for the “Wastewater Ponds Groundwater Inflow Mitigation Project, LB 18-02.” (Fiscal Impact: $16,000 Expense, Lake Berryessa Resort Improvement District; Budgeted; Discretionary)
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BACKGROUND
Heavy precipitation in the winter of 2017 filled the District’s wastewater ponds requiring overland disposal of wastewater from the District’s treated wastewater Pond 7 to prevent damage to the earthen pond berm should the pond exceed capacity and overflow. The overland discharge was in violation of the District’s Waste Discharge Requirements issued by the Central Valley Regional Water Quality Control Board (Regional Board). The Regional Board issued a Notice of Violation (NOV) in response to the discharge requiring the District to complete a water balance evaluation and submit a Work Plan if it was found that there is insufficient storage and/or disposal capacity.
The District Board authorized Agreement No. 170871B with GHD, Inc. in May 2017 to provide engineering study services necessary to address the requirement of the NOV. GHD concluded the lack of any pond liner barrier or means to intercept groundwater flow upgradient of the ponds was responsible for large seepage inflow volume as soils became saturated in the winter of 2017. They recommended additional drainage improvements alongside Ponds 1 through 3 to reduce surface water runoff during intense storm events. GHD, on behalf of the District, submitted a workplan to the Regional Board conceptualizing design options to reduce groundwater inflow into the ponds so that the District would have sufficient pond storage in years with higher-than-average precipitation. Based on the GHD report, the Regional board issued a Time Schedule Order to the District to complete a project that would reduce inflow into the ponds and increase capacity for winter storms.
Amendment No. 1 to Agreement No. 170871B with GHD, Inc. was approved in March 2018 to finalize project elements, including surveying as-built bathymetry of the storage ponds to estimate capacities, performing geotechnical exploration borings to bedrock or boulder refusal, sampling soils for classification, obtaining contiguous northern perimeter surface topography adjacent to all ponds, and furnishing a geotechnical opinion on the suitability for constructing a groundwater cutoff wall.
GHD, Inc. stated in their initial geotechnical report that the wastewater ponds’ site soils were conducive to an engineered vertical trench and drain pipe collector at the underlying bedrock interface surrounding the northerly perimeter of Ponds 1, 2, 3, 7 & 8. District staff compiled all technical project documentation and maps into a Final Feasibility Report filed with the Regional Board in May 2018. Preliminary total project costs (i.e., engineering, permitting, administration, and construction) to install a vertical trench drain, replace the vintage 10" tar-coated steel pond inlet pipe, re-grade drainage channels at the site and build earthen berm heights at Ponds 1 - 3 were estimated to be $1,250,000. A Clean Water State Revolving Fund (CWSRF) project application in the amount of $2,000,000 was filed with the State Water Resources Control Board, Division of Financial Assistance (DFA) in September 2018 seeking principal forgiveness to cover preliminary engineering, engineering design, permitting, administrative, and construction costs.
Included with the application was LBRID Resolution 2018-05 authorizing the District Engineer to submit a principal forgiveness financial assistance application to the State Water Resources Control Board Division of Financial Assistance (DFA) and take related action to receive funding for the Project. State officials with the Small Community Wastewater Grant Program oversight stated that the District could be eligible for principal forgiveness if it maintained a designation as a Disadvantaged Community (DAC). Rural Community Assistance Corporation (RCAC) was hired by the District to update its Median Household Income (MHI) because the DAC status had expired on December 31, 2017. The RCAC certified results of the District's income survey found the MHI to be $43,200 which was significantly below 80% of the statewide income average for DAC classification at that time.
Amendment No. 2 to Agreement No. 170871B with GHD, Inc. was approved in September, 2018, and expanded the scope of services to include additional design and bid-phase consulting services increasing the contract amount by $106,247 for a new maximum of $184,858.
Amendment No. 3 to Agreement No. 170871B with GHD, Inc. was approved in March 2019 to expand the scope of services for Stormwater Inflow / Infiltration Monitoring as ordered by the Central Valley Regional Water Quality Board. Engineering fees for the contract supplement added $46,488 to the budget for an adjusted total of $231,346.
Amendment No. 4 to Agreement No. 170871B with GHD, Inc. was approved in January 2020 expanding the scope of services to include a Preliminary Engineering Report in accordance with DFA Guidelines thereby increasing the consulting fees by $8,196 to a new maximum amount of $239,542.
Preliminary design plans and technical specifications for the project, including the addition of widening and raising the earthen berm height of Ponds 1 -3, were submitted to SWRCB and Central Valley RWQCB for review and comment in the fall of 2023.
In early 2024, the DFA signaled that issuance of a funding agreement was imminent, and staff recommended that the Board approve a new Agreement (240306B) with GHD, Inc. in the amount of $60,188 to begin additional geotechnical design tasks related to upgrading the original treatment pond berms that would lead to preparation of final plans and specifications upon receipt and acceptance of the State Water Resources Control Board Funding Agreement.
In May 2024, the District Engineer received and signed a Groundwater Inflow Mitigation funding agreement as authorized by Resolution 2018-05, and on July 2, 2024, a fully executed funding agreement was issued by DFA in the amount of $2,265,934.
On July 23, 2024, Amendment No. 1 to Agreement No. 24036B with GHD, Inc. was approved by the Board and increased compensation of the contract by $125,883 to $186,071. The Agreement added scope and increased compensation to the Agreement that would allow GHD, Inc. to complete the Plans and Specifications for the project as a whole - splitting the project scope into two phases thereby front loading construction of Phase I - the vertical trench drain - before winter 2025 followed by bid and construction of Phase II - the earthen berm plus inlet pipe work - over the 2025 construction season when site conditions are favorably dry.
Phase I of the project - installation of the vertical trench drain - was advertised for sealed bids on August 20, 2024 and was awarded to the lowest responsive bidder, Benchmark Civil Construction of Napa, CA, on November 12, 2024. Also approved at the November 12, 2024 meeting was Amendment No. 2 to Agreement No. 24036B with GHD, Inc. for construction management and inspection services for Phase I of the Project. Amendment No. 2 increased compensation of the GHD contract by $126,499 to $312,570. Construction of Phase I finished in May 2025, on time, under budget with the trench drain functioning per its designed intent.
Phase II of the project - rehabilitation of the earthen berms plus replacement of inlet pipe network - was advertised for sealed bids on November 10, 2025 and was awarded to the lowest responsive bidder, 2C Land and Timber Management Corp of Folsom, CA, on March 24, 2026. As with Phase I, also approved at the March 24, 2026 meeting was Amendment No. 3 to Agreement No 24036B with GHD, Inc. for construction management and inspection services for Phase II of the Project, increasing compensation of the GHD contract by $129,079 to $441,649.
Construction of Phase II is still in progress due to a labor strike that delayed access to backfill material needed for project completion. The delay required the extension of the construction timeline which increased the number of days that site inspectors will need to be onsite for additional field testing. To ensure the project is built per the construction drawings and specifications, District staff now recommends approval of Amendment No. 4 to Agreement 24036B with GHD, Inc, increasing the maximum compensation approved under Amendment No. 3 by $16,000 to a new maximum total of $457,649 for construction management and inspection services necessary to bring the project to successful completion.
Requested Action:
1. Approve Amendment No. 4 to Agreement 24036B with GHD, Inc, for $16,000, increasing maximum compensation to $457,649 for construction management and inspection services.
FISCAL IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
Yes |
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Where is it budgeted? |
LBRID Capital Improvement Projects Budget, Fund 5220, Sub-Division 5220500, Project 19007 |
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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
LBRID received and accepted a CWSRF funding agreement as authorized by Resolution 2018-05. The design and construction appropriations allow staff to implement wastewater pond upgrades and comply with RWQCB Time Schedule Order. |
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Is the general fund affected? |
No |
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Future fiscal impact: |
The project is nearing completion after spanning multiple fiscal years. The grant award is expected to cover current year project costs and reimburse LBRID for expenses incurred in prior fiscal years for design services. |
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Consequences if not approved: |
Completion of the Project may be stalled exposing the District to potential enforcement action by RWQCB. |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is categorically exempt from CEQA pursuant to CEQA Guidelines section 15301 as the repair, maintenance, or minor alteration of existing public facilities involving negligible or no expansion of existing or former use.