HomeMy WebLinkAbout2009/09/01 Item 5
CITY COUNCIL
AGENDA STATEMENT
~(~ C1TYOF
~CHULA VISTA
ITEM TITLE:
SUBMITTED BY:
REVIEWED BY:
9/1/09, Item 5"
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVL"lG ~1\) AGREEMENT BETWEEN
THE CITY OF CHULA VISTA AND OTAY WATER
DISTRICT FOR JOL"lT PARTICIPATION TO PREPARE A
WASTEWATER RECLAMATION;jA t.ITY FEASIBILITY
STUDY \
,~
DIRECTOR OF PUBLIC WORKS
CITY MANAGER rf.- S r
ASSIST ANT CITY MANAGER 'S ')
4/5THS VOTE: YES 0 NO [g)
SUMMARY
City staff has been researching vanous options available to meet the City of Chula
Vista's long-term sewer treatment capacity needs. Constructmg a sewer treatment
facility in Chula Vista able to treat sewage to current recycled water standards is one
option being explored. As a result, the City of Chula Vista and Otay Water DIstrict
would like to partner in the preparation of a feasibility study analyzing the costs
associated with constructing such a plant. The proposed agreement being considered by
Council describes the terms under which such a feasibility study would be completed.
ENVIRONMENTAL REVIEW
The Environmental Review Coordinator has reviewed the proposed project for
compliance with the California Environmental Quality Act (CEQA) and has determined
that the project qualifies for a Class 6 categorical exemption pursuant to Section 15306
(Information Collection) of the State CEQA Guidelines because the proposal seeks to
obtain information as part of a study leading to an action which the City of Chula Vista
has not yet approved, adopted or funded. Thus, no further environmental review is
necessary.
RECOMMENDATION
Council adopt the resolution.
BOARDS/COMMISSION RECOMMENDATION
Not applicable.
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DISCUSSION
Background
The City of Chula Vista does not own or operate its own wastewater treatment plant.
Instead, the City, along with fourteen (14) other participating agencies, sends its
wastewater to the system managed by the Metropolitan Wastewater Department (Metro)
of the City of San Diego. Based on the City's agreement with Metro, the City currently
has 19.843 million gallons per day (mgd) of treatment capacity rights in the Metro
system. The City has also been allocated an additional 1.02lmgd as its proportionate
share of the capacity resulting from the completion of the l5mgd Southbay Water
Reclamation Plant. Therefore, the City has a total allocated capacity of20.864mgd. The
formal ratification of this additional capacity is expected to occur this year.
In 2005, the City completed the Wastewater Master Plan (WWi'vlP) update concurrent
with the General Plan update. As part of that effort, the City analyzed the impacts of
various land use alternatives at buildout. It was determined that under the "preferred"
land use alternative, which was ultimately adopted, the City would be generating
approximately 26.2mgd at buildout, meaning the City needs to increase its treatment
capacity by approxiinately 5.34mgd.
Recent sewer flow data verified by staff in December 2008 indicates flows have
decreased approximately 1.4% over the past year (most likely due to increased water
conservation efforts, foreclosures, and building vacancies). This decline in sewage
volume has continued into 2009 with the City of Chula Vista currently generating
approximately 16.5 mgd. While staff continues to monitor the overall flow volume
generated within the City, the most recent development projections (last updated in
December, 2008) predict that the City would require additional treatment capacity as
early as 2018.
Wastewater Capacitv Options
The City can increase its treatment capacity through one of two options: I) Purchase
additional treatment capacity rights in the Metro System from another Metro Agency or
2) Construct an independent wastewater treatment plant in Chula Vista. Since the
identification of the treatment capacity constraint, the City has engaged in a variety of
activities (studies and discussions) both independently, and with other agencies,
exploring these options. For example, the Metro Joint Powers Authority (of which Chula
Vista is a member) retained an independent consultant in 2007 to conduct a Capacity
Valuation Study to determine recommended pricing parameters that could be used by
participating agencies in the purchasing of treatment capacity in the system. The results
of this study suggested a recommended price for capacity in the Metro system of
approximately $15 per gallon per day. In addition, during preliminary discussions that
took place in 2007 between Chula Vista and San Diego City officials, the City of San
Diego was willing to sell treatment capacity. The price for additional capacity of San
Diego may be as high as $22 per gallon per day.
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Membrane Bioreactor (MER)
Although a significant amount of information regarding the cost of constmcting an
independent wastewater treatment plant has been accumulated through several studies
completed over the past several years, there are still questions that need to be answered
before the City can make a.decision on the best course of action to take. The City is
primarily focused on Membrane Bioreactor (MBR) treatment plants.
Conventional treatment plants typically involve three stages in the treatment process. In
general, these stages begin with the separation of solid materials such as rocks, gravel,
and rags, from the raw wastewater. Oncc separated, the wastewater enters large
sedimentation tanks or clarifiers where organic material within the wastewater is allowed
to settle, and oils and other similar liquids float to the surface and can be removed. The
sewage is then treated by micro-organisms that remove additional organic compounds
from the water. Finally, the wastewater is disinfected before bemg discharged from the
plant. Membrane Bioreactors combine and/or eltminate several of the steps involved in
the conventional process by filtering the wastewater through "membranes" made of
hollow plastic or ceramic fibers. The pores in each membrane that filter the wastewater
are so small that bacteria, organisms, and most other particles, can not pass through.
The advantages of the MBR treatment plant can physically be seen in a significantly
reduced plant size, as settling and treatment tanks are combined into one, much smaller
tank. The entire treatment process is so compact, it is often housed entirely within a
building. In addition, the water quality of the outgoing ("effluent") water is equal to or
better than conventional treatment processes and is ideal for reuse in recycled water
systems. The process itself is simpler than conventional systems, and the plant becomes
easier to operate and maintain. Lastly, MER plants are easily expandable by adding
additional membranes.
An MER plant, if constmcted within the City of Chula Vista, would reduce the volume of
sewage the City would need to send to Point Lorna for treatment, and could treat the
sewage to levels that meet or exceed current recycled water standards. Utilizing this
technology, the City could coordinate with local water agencies and recycled water users
to expand the region's recycled water supply. Bascd on previous studies and discussions
with local water agencies, the City has identified the Otay Water District (Otay) as the
primary user for any recycled water generated by a treatment facility within Chula Vista.
The Sweetwater Authority was considered a potential customer, but previous studies have
shown that, without a recycled water infrastmcture system already in place, it is not
economically feasible for the Sweetwater Authority to participate in the research and
development of a reclamation plant in Chula Vista at this time.
Consultant Scope of Work
City staff, in coordination with staff from Otay, is preparing to advertise a "Request For
Proposals" as a preliminary step towards hiring a consultant to prepare a feasibility study.
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Since the Chula Vista treatment plant may generate recycled water, Otay would like to
partner with the City for this study, and has already allocated funding that could be used
in this effort. The scope of work for the study (see attached for entire draft scope of
work) seeks to address issues including, but not limited to, the following:
Costs associated with the construction of a plant able to treat up to 6mgd
(previous studies only contemplated plant sizes able to treat up to 4mgd)
Costs associated with various "fail-safe" options that would accommodate
wastewater flows in case of power outage or plant failure
Improvements needed to deliver recycled water to the currently identified
primary user, Otay Water District, in addition to the amount of potential
revenue that would result
Available options and associated costs for the discharge of potentially unused
recycled water generated by the treatment plant
Gain an understanding of public concerns regarding such a project in the City
of Chula Vista through a community meeting facilitated by the consultant
Additional "optional" tasks the consultant may be asked to complete include research on
available grant funding options (and assistance in applying for said grants) used to help
fund the construction of the treatment plant, as well as analysis of public/private
partnerships that use private financing to fund plant construction. The cost associated
with both the mandatory and optional tasks described in the scope of work shall not
exceed $300,000. Staff proposes to limit the cost of the mandatory tasks to $200,000
which is to be shared by both agencies.
In order to proceed with advertising and awarding of a contract to complete the feasibility
study, the City and Otay must first enter into an agreement outlining the scope of the
study, roles of each agency, and funding responsibilities. According to the tenus of the
proposed agreement, Chula Vista shall act as the lead agency with respect to professional
engineering consultant acquisition and contracting, project management, and financing of
the project, and will therefore be responsible for such tasks as scheduling consultant
interviews, project team meetings, and payment of consultant invoices. Chula Vista will
also serve as the primary point of contact with the consultant. No additional
consideration shall be granted to Chula Vista as a result of these responsibilities. In all
other respects, the City and Otay will jointly and equally participate in any and all other
efforts of the project such as in making comments and providing direction in the
interview of potential consultants, reviewing the feasibility study, funding, and
overseeing the performance of the scope of work to be accomplished by a professional
engineering consulting firm. Lastly, under the terms of the agreement, Otay will
reimburse the City for half of the expenses of the feasibility study in an amount not to
exceed S 150,000.
Proposed Proiect Schedule
As detailed in the proposed scope of work, it is anticipated the feasibility study would be
completed in nine months or less. Within the first two months of the project, the
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consultant is to draft, and obtain approval from the City and Otay, of a "Technical
Memorandum" outlining the components of the feasibility study itself. In addition, they
are to establish a schedule for delivering the final report, and for holding the required
community meeting and Council workshop.
DECISION MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is
not site specific and consequently the 500 foot rule found in California Code of
Regulations section l8704.2(a)(1) is not applicable to this decision.
CURRENT FISCAL IMPACT
The proposed action is to approve an agreement between the City of Chula Vista and the
Otay Water District. Therefore, there is no fiscal impact to the General Fund. City staff
will bring an item before the Council to award the contract for the feasibility study.
Funding of the City's portion of the feasibility study is budgeted in Clr SW258 "Sewer
Capacity Analysis" which was originally created with the intent of financing the
preliminary engineering and design/planning effort. The current balance of SW258 is
$244,992.
ONGOING FISCAL IMPACT
None.
ATTACHMENTS
A. Agreement between the City ofChula Vista and Otay Water District including Scope
of Work for the feasibility study
Prepared by: Jim Newton, Senior Civil Engineer. Public Works Department
1vf"\EngineerIAGENDA ICAS2009\09-01-09\CAS jor MBRfeasibility sludv doc
5-5
Agreement Between the City of Chula Vista
and Otay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND
OTA Y WATER DISTRICT FOR JOINT PARTICIPATION TO PREPARE A
WASTEWATER RECLA1ViA nON FACILITY FEASIBILITY STUDY
This Agreement is entered into on ,2009, by and between the City of
Chula Vista (hereinafter referred to as Chula Vista) a Municipal Corporation, and the Otay Water
District (hereinafter referred to as Otay), a water district organized under the Municipal Water
District Law of 1911. Chula Vista and Otay are collectively referred to hereinafter as the Parties
and singularly, Party. Chula Vista and Otay, in consideration of their mutual covenants, and for
other valuable considerations, agree as follows:
RECITALS
A. The economy, employment, and quality of life within the San Diego County region is
dependent on a reliable and affordable water supply, which requires cooperation among local
water and sewer service agencies through the pursuit of goals that are of mutual and regional
benefit.
B. In 2005 Chula Vista completed a Wastewater Master Plan, concurrent with the update of
the City of Chula Vista's General Plan, which identified a shortage of wastewater collection
disposal capacity prior to the City of Chula Vista's ultimate build out.
C. Additional wastewater collection disposal capacity can be obtained by Chula Vista
through the construction of a wastewater reclamation facility within the City of Chula Vista or
by acquiring additional sewage disposal capacity from the City of San Diego or from other
participating agencies within the Metropolitan Sewerage System, per terms of the Regional
Wastewater Disposal Agreement.
D. The current Otay long-term projected recycled water demand established the need for
increased recycled water supply to satisfy the market demand.
E. The Parties intend to work jointly and cooperatively towards the completion ofa
feasibility study analyzing the potential construction of a wastewater reclamation facility within
the City of Chula Vista, which includes recycled water production for increased local supply.
F. Chula Vista; in coordination with Sweetwater Authority and Otay, have completed two
studies analyzing the feasibility of constructing a wastewater reclamation facility within the City
ofChula Vista utilizing Membrane Bioreactor (MBR) technology capable of producing recycled
water meeting Title 22 requirements. The MBR technology was found to be technically feasible.
G. The Parties wish to further analyze the feasibility of a wastewater reclamation facility
through the acquisition of professional engineering consulting services to provide additional
analyses regarding costs and physical improvements required to permifand construct a
wastewater reclamation facility..
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Agreement Between the City of Chula Vista
and Gtay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
H. The Parties each have determined that it is in their respective best interest and in the
interest of their customers and constituents to enter into this Agreement.
NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS:
1. All exhibits attached to this Agreement constitute an integral part of this Agreement and
are incorporated into the terms hereof.
2. The wastewater reclamation facility feasibility study is hereafter referred to as the
Project.
3. The Parties agree that neither this Agreement nor the completion of the Project, as herein
contemplated, is a project subject to CEQA.
4. Chula Vista and Otay staff expenses, for implementation and management of the Project
efforts, shall be paid for by each Party and not shared by or between the Parties and shall not be
included or considered in each Parties computation of its participation toward costs of the
Proj ect.
5. Chula Vista shall act as the lead agency with respect to professional engineering
consultant acquisition and contracting, project management, and fmancing of the Project, and
will therefore be responsible for such tasks as scheduling consultant interviews, project team
meetings, and payment of consultant invoices. Chula Vista will also 'serve as the primary point
of contact with the consultant. No additional consideration shall be granted to Chula Vista as a
result of these responsibilities. In all other respects, the Parties will jointly and equally
participate in any and all other efforts of the Project such as in making comments and providing
direction in the interview of potential consultants, reviewing the feasibility study, and overseeing
the performance of the scope of work to be accomplished by a professional engineering
consulting firm. This provision shall in no way affect the obligations of each Party under the
terms of this Agreement.
6. The Parties agree that the scope of work for the Project as provided in Exhibit "A",
attached to this Agreement, shall be used in the Chula Vista request for proposal for acquisition
of professional engineering consulting services for the Project.
7. The budget for the Project is currently set at $300,000 and each Party agrees to obligate
funds to the Project as follows:
a. Otay shall budget and contribute an amount not to exceed $150,000 for the
professional engineering consultant services required to complete the Project.
b. Chula Vista shall budget and contribute an amount not to exceed $150,000 for the
professional engineering consultant services required to complete the Project.
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Agreement Between the City of Chula Vista
and Otay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
c. Should the consultant fee submitted with the proposals received for the Project from
consultants be in excess of $300,000, Chula Vista may agree to be solely
responsible for the excess costs.. In this case, the Otay contribution would remain at
the not to exceed $150,000 amount. If Chula Vista chooses not to contribute
additional funds above its not to exceed $150,000 budget amount for the Project,
then Chula Vista will work with Otay to either reduce the proposed scope of work
as provided in Exhibit "A" in a manner such that the consultant could complete the
study within the $300,000 total budget or agree to increase the total budget
accordingly with costs shared at 50-50 between the Parties.
d. . Should the Parties to this Agreement agree to request the consultant to whom the
contract is awarded to complete any or all of the Optional Tasks described within
the Exhibit "A" scope of work, each of the Parties will pay 50% of the cost of the
performance of each agreed upon Optional Task.
e. Should either Party to this Agreement without the consent of the other Party request
the consultant to whom the contract is awarded to complete any or all of the
Optional Tasks described within the Exhibit "A" scope of work, the Party making
. the request shall be obligated to solely pay for the performance of the requested
Optional Task(s).
8. The Parties agree to amend this Agreement as may be necessary to address any changes
or additions to the Exhibit "A" scope of work for the Project, to address any increases in
contributions above $150,000 by either Party, or to address adding any or all of the Optional
Tasks described within Exhibit "A" for the Study that may arise. The Parties agree to negotiate,
approve, and execute any required amendments to this Agreement in a timely fashion.
9. The Parties shall seek, in good faith and within a reasonable time, to resolve any disputes
regarding this Agreement first by meeting and conferring among two designated staff
representatives, one each from Chula Vista and Otay. Any dispute that cannot be resolved by the
staff representatives may be referred by either Party to the Chula Vista City Manager and to the
Otay General Manager for resolution. Neither Party will resort to litigation until there is an
impasse between the Chula Vista City Manager and the Otay General Manager.
10. The current projected schedule for the Project is as follow:
. Award professional engineering consultant services contract: December 2009.
. Complete Project: February 2011.
11. Chula Vista shall invoice Otay monthly per the terms of this Agreement and any of its
amendments for Otay's portion of the invoiced amounts Chula Vista approves for payment to the
consultant for the Project. As long as Otay's budget, as established under paragraph 7.a., above
.or later agreed to by Otay in writing, is not exceeded, Otay shall be obligated to remit payment in
full within sixty (60) calendar days from the Chula Vista invoice date. If Chula Vista approves
for payment any amounts in excess of the budget established in paragraph 7 herein withoutthe
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Agreement Between the City of Chula Vista
and Otay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
prior written consent of Otay, Chula Vista shall bear sole responsibility for the amounts that
exceed budget unless Otay, in its sole discretion, agrees to pay any portion of the excess costs.
Invoices shall be sent to Otay at the address of2554 Sweetwater Springs Boulevard, Spring
Valley, CA 91978-2096, Attention: James Peasley.
12. In the event Otay fails to pay any amount when due, interest thereon shall accrue at the
rate often percent per annwn from the date when due until payment is received by Chula Vista.
13. All work products resulting from the professional engineering consultant services
provided for the Project shall be the joint property of Chula Vista and Otay.
14. The term ofthis Agreement shall be from the date first above indicated and shall continue
until when the Project is 100 % complete and all invoices have been paid unless this Agreement
is earlier terminated by mutual agreement of tlie Parties. .
IS. Each Party agrees to indemnify, defend at its expense, including attorneys' fees, and hold
the other harmless from and against all claims, costs, demands, losses, and liability of any nature
whatsoever, including but not limited to liability for bodily injury, sickness, disease or death,
property damage (including loss of use), or violation of law, caused by or arising out of any
error, omission, negligent act, or willful misconduct of that Party, its officers, directors,
employees, agents, volunteers, or. any other person acting pursuant to its control in performing
under this.Agreement.
16. The indemnification provisions of this Agreement shall survive termination of this
Agreement.
17. This Agreement, and any and all exhibits attached to it, represent the entire understanding
of the Parties as to those matters contained in it, and supersedes and cancels any prior oral or
written understandings, promises, or representations with respect to those matters covered in it.
18. All exhibits and Recitals contained herein are incorporated into this Agreement by this
reference.
19. This Agreement will be interpreted in accordance with the laws of the State of California.
If any action is brought to interpret or enforce any term of this Agreement, the action shall be
brought in a state or federal court in the County of San Diego, State of California; provided that
the dispute resolution procedure outlined in paragraph 21, below, has been completed.
California law shall apply, without regard to any conflict oflaws to the interpretation of any
provision of this Agreement.
20. This Agreement may be modified only by a subsequent written amendment executed by
the Parties. Either Party may give notice that it wishes to amend this Agreement at any time 'With
written notice. Any amendments will have to be mutually agreed upon by both Chula Vista and
Otay, in writing.
21. If a dispute arises out of, or relates to this Agreement, or the breach thereof, which cannot
be resolved by the Parties, the Parties will first submit to mandatory mediation under the Rules
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Agreement Between the City ofChula Vista
and Otay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
of the American Arbitration Association or any other neutral organization agreed upon before
having recourse in a court ofIaw. Any agreements resulting from mediation shall be
documented in writing by all Parties. Mediation shall be confidential in accordance with the
provisions of Cali fomi a law. All mediation results shall be "non-binding" and inadmissible for
any purpose in any legal proceeding, unless all Parties otherwise agree upon such admission in
writing.
22. No suit or arbitration shall be brought arising out of this agreement against the City
unless a claim has first been presented in writing and filed with the City and acted upon by the
City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may from time to time be amended, the provisions 6fwhich are incorporated by
this reference as if fully set forth herein, and such policies and procedures used by the City in the
implementation of same. Upon request by City, Gtay shall meet and confer in good faith with
City for the purpose of resolving any dispute over the terms of this Agreement.
23. No failure of a Party to insist upon the strict performance by the other of any covenant,
term, or condition of this Agreement, nor any failure to exercise any right or remedy consequent
upon a breach of any covenant, term, or condition of this Agreement, shall constitute a waiver of
any such breach or of such covenant, term, or c0l1dition. No waiver of any breach shall affect or
alter this Agreement, and each and every covenant, condition, and term hereof shall continue in
full force and effect to any existing or subsequent breach.
24. None of the Parties shall assign its respective obligations under this Agreement without
the prior written approval of the other Party. Any assignment in violation of this paragraph shall
constitute a default by the Party attempting the assignment and is grounds for immediate
termination of this Agreement or fo{the enforcement of any available equitable remedies, at the
discretion of the other Party. In no event shall any putative assignment create a contractual
relationship between the other Party and any putati ve assignee.
25. This Agreement and all rights and obligations contained herein shall be in effect whether
or not any or all Parties to this Agreement have been succeeded by another entity, and all rights
and obligations of the Parties shall be vested and binding on their successors-in-interest.
. 26. If the performance of any act required of the Parties is directly prevented or delayed by
reason of strikes, lockouts, labor disputes, vandalism, terrorism or other criminal act, unusual
governmental delays, acts of God, fire, floods, epidemics, freight embargoes, or other causes
beyond the reasonable control of the Party required to perform an act, that Party shall be excused
from performing that act for the period of time equal to the period of time of the prevention or
delay. In the event the Party claims the existence of such a delay, the Party claiming the delay
shall notify the other Party in writing of that fact within 14 calendar days after the beginning of
any such claimed delay.
27. The Parties agree that they have the right to be advised by counsel with respect to the
negotiations, terms, and conditions of this Agreement, and the decision whether to seek advice of
counsel with respect to this Agreement is the sole responsibility of each of the Parties. This
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Agreement Between the City of Chula Vista
and Otay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
Agreement shall not be construed in favor of or against any Party by reason of the extent to
which each Party participated in the drafting of this Agreement.
28. In the event anyone of the provisions of this Agreement shall for any reason be held
invalid, illegal, or unenforceable, the remaining provisions of this Agreement shall be
unimpaired, and the invalid, illegal, or unenforceable provision(s) shall be replaced by a
mutually acceptable provision, which being valid, legal, and enforceable, comes closest to the
intention of the Parties underlying the invalid, illegal, or unenforceable provision.
29. For purposes of this Agreement, the relationship of the Parties is that of independent
entities and not as agents of each other or as joint ventures or partners. The Parties shall
maintain sole and exclusive control over their personnel, agents, consultants, and operations.
30. Nothing in the provisions of this Agreement is inte'nded to create duties or obligations to
or rights in third parties or affect the legal liability of the Parties to this Agreement to third
parties.
31. This Agreement may be executed in multiple counterparts, which when taken together
shall constitute a single signed original as though all Parties had executed the same page.
32. If any part of this Agreement is abandoned or indefinitely delayed, due to circumstances
beyond the control of the Parties, this Agreement may be terminated by the either Party.
33. Any notice or instrument required to be given or delivered by this Agreement may be
given or delivered by depositing the same in any United States Post Office, certified mail, and
return receipt requested, postage prepaid, addressed to:
Otay Water District
General Manager
2554 Sweetwater Springs Blvd.
Spring Valley, CA 91978-2096
City ofChula Vista
Director of Public Works
276 Fourth Avenue
ChulaVista, CA 91910
and shall be effective upon receipt thereof.
34. This Agreement shall not be deemed to have been accepted and shall not be binding upon
either Party until duly authorized officers of both Parties have executed this Agreement.
35. Chula Vista and Otay execute this Agreement, thereby indicating that they have read and
understood same, and indicate their full and complete consent to its terms and conditions.
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Agreement Between the City ofChula Vista
and Gtay Water District for J oint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
36. The individuals executing this agreement represent and warrant that they have the legal
capacity and authority to do so on behalf of their respective legal entities.
37. This Agreeme.nt shall be deemed executed and effective as of the date first written above
on this Agreement.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first
written above.
City ofChula Vista
Otay Water District
By
James D. Sandoval
City Manager
By
Mark Watton
General Manager
Approved as to form and legality:
Bart Miesfeld
City Attorney
Otay Water District
General Counsel
Attachments: Exhibit "A"
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CONSULTANT SERVICES NEEDED TO FACILITATE THE CITY OF CHULA VISTA
ACQUISITION OF ADDITIONAL W ASTEW A TER DISPOSAL
CAP ACITY
REQUEST FOR PROPOSALS
AND SCOPE OF WORK
Project Narrative
In 2005, the City ofChula Vista (Ciiy) updated its Wastewater Master Plan (WWMP) concurrent
with the update of the City's General Plan. As part of that effort, the City analyzed the impact of
the "Preferred Land Use Alternative" at build out. It was determined that the City would be
generating more sewage flow than the City had the ability to dispose and/or treat. Therefore, the
City needs to increase its disposal and/or treatment capacity either through the acquisition of
additional capacity rights in the City of San Diego, (Metro System Capacity) or through the
construction of its own independent wastewater reclamation facility. Since the additional
sewage disposal and/or treatment need determination, the City has conducted or participated in a
variety of studies to explore these alternatives.
The purpose of this Request for Proposal (RFP) is to solicit and retain a consultant to conduct a
comprehensive analysis of the options under consideration, taking into account the findings of
previous studies, and advise the City and Otay Water District on the best course of action.
Previous Studies
City of Chula Vista Wastewater Reclamation Plant Studv bv Bro\\TI & Caldwell- April 2005
In June 2005, Sweetwater Authority (Sweetwater) completed a Recycled Water Master Plan
(R WMP) for its service area that identified potential recycled water customers, the infrastructure
to serve those customers, and their projected average annual recycled water demand. Concurrent
with Sweetwater's RWMP, the City retained the services of a consultant - Brown & Caldwell
(B&C) - to conduct a study that would evaluate the options available to the City to deal with its
projected Metro Systcm wastewater disposal capacity deficiency, estimated to be 5 mgd, The
B&C study evaluated a variety of options to deal with the City's projected capacity deficiency
including varying combinations of conventional "end of ihe pipe" secondary and MBR
reclamation type facilities. It compared the benefits/costs of those alternatives to acquiring
additional capacity in the Metro system. The study ultimately recommended the acquisition of
additional capacity in the Metro system as the most cost-effective alternative. A copy of the
B&C study is attached as Exhibit I. It is important to note that the B&C study was done with the
underlying assumption that the Dynergy (formerly Duke Energy) power plant, the key user
identified through Sweeiwater's' RWMP, would be the primary user of the recycled water
generated tram the reclamation plant. Since then, due to a variety of reasons, the Dynergy plant
is no longer considering utilizing recycled water for their cooling process, which further
impacted the findings of the B&C study.
5-13
City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 2 of 9
Joint Feasibilitv Studv for a Wastewater Reclamation Plant (MBR) bv RMC Water &
Environment - October 2007
In 2006, subsequent to the decision by Dynergy to pursue other options for their cooling process,
Otay Water District (Otay WD) indicated a need to augment their recycled water supply. In
addition, Sweetwater was also exploring the feasibility of developing and constructing an
independent recycled water distribution system in their service area. Consequently, the City of
Chula Vista, Sweetwater, and Otay WD, retained another consultant, RMC Water &
Environment, to prepare a feasibility study to evaluate the feasibility of constructing a Membrane
Bioreactor Wastewater Reclamation Plant (MBR). It was contemplated that the MBR plant
would reduce the City's reliance on the City of San Diego (Metro System) treatment facilities
while allowing the Sweetwater Authority and/or Otay WD to purvey recycled water to retail
recycled water customers within their service areas. The MBR plant would operate by
"scalping" flow off the existing wastewater trunk lines, while returning the resulting solids to the
Metro System. The MBR Study was completed in October 2007, and the results of that analysis
showed that the project was not economically advantageous for the Sweetwater Authority due to
the excessive cost associated with the construction of transmission and distribution lines required
to convey the projected recycled water demand of Sweetwater. However, the MBR study
suggested implementation costs associated with a Chula VistaJOtay WD '4 MOD MER facility
seemed comparable to that of the City obtaining capacity in the Metro System directly, and
should be further analyzed. A copy of the study is attached as Exhibit 2.
Metro Capacitv Valuation Studv bv Raftelis& Associates - November 2007
Concurrent with the Joint Feasibility Study, the Participating Agencies (PAs) in the Metro
System also retained a consultant, Raftelis & Associates, to prepare a Capacity Valuation Study
with the goal of determining a value for treatment capacity in the Metro system. The results of
that study would enable member agencies to trade, exchange; or lease capacity among
themselves. A copy of the most recent draft of the study is attached as Exhibit 3.
SCOPE OF WORK
The City is currently weighing two primary options for the acquisition of additional sewage
disposal capacity:
1. Purchase of additional Metro System capacity rights from another member agency,
including the City of San Diego, for a price within the range recommended by the
Capacity Valuation Study. .
2. Build a new wastewater reclamation facility in partnership with Otay WD and/or other
agenCIes.
5-14
City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 3 of 9
. Through the studies discussed above, the City has developed some level of understanding of the
benefits/costs, opportunities, and constraints associated with pursuing either option. The City is
now interested in retaining additional consultant services to better refine some of the elements of
the options under consideration. The cost for these services is not to exceed $200,000.
The tasks outlined below in the Scope of Work shall enable the Consultant to provide guidance
to the City and to Otay WD on the best course of action:
City and Otay WD Objectives
1. Provide reliable, cost-effective wastewater disposal service to accommodate both near-
term and long-term grow1h projections in a manner that protects, or even benefits, the
local environment. .
2. Ensure the City has adequate authority and control to meet City wastewater needs to
buildout.
3. Gain approval of our long-term servIce plan from the public, elected officials, and
regulatory agencies.
4. Develop increased local recycled water supply for the Otay WD.
City and Otay WD Project Goals:
I. Provide the City with information regarding an option to acqulflng additional Metro
System disposal capacity from another agency or agencies allowing City to meet
treatment capacity needs now, and to City buildout.
2. Provide the City information regarding a realistic preliminary plan and associated cost
estimates to develop a cost effective wastewater reclamation facility year-round (such as
an MBR plant) able to meet City needs now, and to City buildout.
3. Provide the City with information regarding a wastewater reclamation facility that would
increase the Otay WD supply of recycled water, and the impacts on such a facility
resulting from decreased recycled water demand during the winter months.
Task 1 - Collect Existing Data
The Consultant shall compile and review the following existing studies and documents:
o Sweetwater Recycled Water Master Plan
o City of Chula Vista Wastewater Master Plan by PBS&J - May 2005
o City of Chula Vista Wastewater Reclamation Plant Study by Brown & Caldwell- April
2005
o Joint Feasibility Study for a Wastewater Reclamation Plant (MBR) by R.J\1C Water &
Environment - October 2007
o Metro Capacity Valuation Study by Rafte!is& Associates - February 2008
5-15
City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 4 of 9
. City of Chula Vista's Build out Flow Projections - July 2008 - Wastewater Engineering
. Master Wastewater Disposal Agreement with the City of San Diego
. East Ofay Mesa Sewer Study by PBS&J on behalf of County of San Diego
. Otay Water District Draft Water Resources Master Plan by PBS&J
. Otay Water District Integrated Water Resources Plan, by CDM
. Draft Otay Water District North District Recycled Water System Development Project
Phase I Concept Study, by PBS&J
Task 2 - Treatment Analysis
A) Previous studies have evaluated MER plants able to treat up to 4 MGD. The
Consultant shall re-evaluate the MBR treatment option for planning, permitting,
environmental, design, construction management, and construction costs, including all
associated improvements required to support, a 6 MGD reclamation plant. Said plant
should be phased to meet short-term and long-term needs, but should ultimately be
fully constructed in no more than three phases;
Each phase should be able to produce recycled water meeting the requirements of Title
22 and the requirements of the existing Otay WD recycled water R WCWB permit.
Cost estimates for the plant should consider a design that would enclose all treatment
facilities within an aesthetically. pleasing building that would allow the plant to be
located in, or near, a residential community.
B) The Consultant shall evaluate up to three potential project sites proposed by City staff
to determine if the sites provide adequate acreage for each of the treatment facility
scenarios described above. This analysis should include, but not be limited to, "Site I"
as discussed in the RMC Study, provide land acquisition cost estimates, and a list of
facilities required (and their associated costs) in order to connect proposed sites to both
sewer and recycled water transmission lines.
Task 3 -Effluent Diversion Options
The Consultantshall prepare a detailed evaluation of various effluent diversion options:
A) Fail-safe Requirements - The Consultant shall evaluate and recommend the most cost-
effective, feasible option for providing a fail-safe mechanism for the reclamation plant
in case the plant becomes non-operational for any reason. Options to be considered
shall include, but not be limited to, on-site storage or re-introduction of the effluent
flows into a trunk sewer line and ultimately into the City of San Diego South Metro
Interceptor. The Consultant shall determine what penalties, if any, the City would need
to pay per day to the Metropolitan Wastewater District for any treatment capacity
volume violations associated with re-introduction of effluent flows from the plant into
the Metro System. Capital, operation, and maintenance related costs associated with
5-16
City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 5 of 9
each option identified should be analyzed over a 20-year period and discussed in the
report.
B) Effluent Diversion - Otay WD is currently designated as the primary user of the
recycled water to be generated by the proposed wastewater reclamation facility. The
Otay WD has updated long-term recycled water demand projections. It is projected
that the Otay WD may not be able to- take all the flow generated by the proposed
wastewater reclamation facility in the near term, especially during the winter months.
Consequently, the Consultant shall provide an evaluation of the Otay WD long-term
market demand for recycled water in relation to winter demand and current take or pay
requirements per terms of the existing SB WRP supply agreement with the City of San
Diego. This evaluation will consider the potential of the recycled water supply from
the Ralph W. Chapman Water Recycling Facility both being not available and available
to the eastern portion of the City and the demand increase associated with the recycled
water supply link to the Otay Mesa. The Consultant shall also determine the potential
revenue generated from water sales under the following scenarios:
a. Otay purchases all of the flow generated year-round by the MBR or other such
plant
b. Otay only purchases the amount of water they need in order to meet demand with
remaining recycled water being conveyed to the South Bay Ocean Outfall.
c. Otay only purchases the amount of water they need in order to meet demand with
remaining recycled water being conveyed into the Salt Creek drainage basin.
C) The Consultant shall also quantify the City of San Diego's cost for treating flow
through the South Bay Wastewater Reclamation Plant (SBWRP). Determine at the
SBWRP the cost of treatment to the secondary level and the cost of treatment to the
tertiary level, and their potential net revenue loss of not selling recycled water to the
Otay WD.
D) As identified in the R1\1C study, a wastewater reclamation facility to be potentially
located along Main Street ("Site 1") would require the construction of a transmission
pipeline to convey recycled water to the existing 30-inch diameter Otay WD recycled
water transmission main connecting the SBWRP with the Otay WD 450-1 Reservoir.
The Consultant shall re-evaluate the size and cost (including both capital and
maintenance costs over a 20 year period) to construct a transmission line from the
wastewater reclamation facility to the Otay WD existing recycled water transmission
main able to accommodate flows resulting from a 6 MGD treatment facility. The
Consultant shall also analyze the feasibility and discuss the capital, operational, and
maintenance costs associated with improvements that may be required to utilize the
existing 30-inch transmission main that will allow produced recycled water generated
by the proposed reclamation plant to flow into the South Bay Ocean Outfall via the
5-17
City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 60f 9
SBWRP systems during periods oftime when the Otay WD has insufficient demand for
recycled water.
E) The Consultant. shall determine the capital and maintenance costs associated with
constructing an independent dedicated transmission line to convey recycled water that
is able to convey up to 6 MGD from the existing Otay WD transmission main to the
South Bay Ocean Outfall over a 20 year period. This could be either a connection
directly to the South Bay Ocean Outfall or disposal via the existing International
Boundary and Water Commission ("IBWC") Treatment Facility system.
F) The Consultant shall evaluate the possibility of discharging excess recycled water
produced during low demand periods of the year, via live stream discharge into the Salt
Creek or other drainage basin and/or discharge via constructed wetlands, as a means to
dispose of all, or a portion of, treated effluent from the proposed reclamation facility.
The evaluation shall include permitting issues, constraints, potential discharge and
wetland locations within the City of Chula Vista or other viable locations, and all costs
associated with the permitting, construction, and maintenance of such facilities.
Task 4 - Permitting Requirements
The Consultant shall clearly identify all applicable regulatory agencies that have oversight on
wastewater reclamation facilities. The Consultant shall list these agencies and the permits
required including purpose of each permit from each agency, and the order that each permit
should be obtained. The Consultant shall also describe probable timeframes, required studies,
and costs associated with the acquisition of each permit.
Task 5 - Create a Matrix of Options
The Consultant shall create a matrix of all the results of the various wastewater reclamation
studies, including the study described herein, and show how these options compare to the "Metro
Capacity" costs shown in the Capacity Valuation Study.
Task 6 - Recommend Options
Based on City of Chula Vista and Otay WD Project Goals and Objectives as previously
described, the Consultant shall make a recommendation to proceed with one of the following:
A) Purchase of additional Metro System capacity rights from the City of San Diego or a
participating member agency - provide guidance on negotiation parameters and on the
determination of a "fair price."
B) Construct a wastewater reclamation facility in the City ofChula Vista. The study to be
accomplished as described herein along with previous studies have all analyzed the
costs for increasing the City's wastewater disposal capacity by building an MBR
5-18
City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 7 of 9
reclamation plant. The City chose this direction primarily based on the understanding
that MER plants need a relatively small footprint on which to operate, are relatively
easy to operate, are reasonably priced, and can be easily upsized should our treatment
needs grow in the future. The Consultant, having read the existing studies on the topic
and understanding the City's needs, shall briefly discuss whether or not an MBR plant
is the most appropriate type of facility to increase the City's sewer disposal capacity, or
if other treatment methods should be considered. The Consultant shall briefly
summarize their findings in the report should the construction of a treatment facility be
their recommendation, stating that either the City is correct in analyzing an MBR plant
as the best available option, or recommend an alternative treatment method with
specific reasons as to why such an option would provide a better alternative for the City
of Chula Vista than an MBR facility.
Task 7 - Meetings and Public Outreach
The Consultant shall assume the following meetings are required:
A) One two-hour kickoff meeting with City and Otay WD staff to review the existing
reports and data being provided to the Consultant, and to ensure understanding of the
desired scope of work.
B) Two two-hour workshops with City and Otay WD staff to review Consultant's draft
report, matrix of options, and recommendations.
C) One two-hour workshop with City of Chula Vista Council members.
D) One two-hour workshop with Otay WD Board of Directors.
E) One City of Chula Vista Council meeting.
F) One Otay WD Board of Directors Meeting.
The Consultant and the City along with Otay WD may recommend additional meetings that they
deem necessary to facilitate the achievement of the project goals and objectives.
In addition to the meetings described above, the Consultant will be expected to hold one
community meeting to introduce the concept of a Chula Vista wastewater reclamation facility,
obtaining the general public's opinion of the idea and any concerns they may have. The
Consultant will be expected to facilitate the meeting with assistance from City and Otay WD
staff at a location to be determined and provided by the City of Chula Vista.
Task 8 - Deliverables
A) Deliverables shall include an outline. of the Consultants' report (Technical
Memorandum) and Final Report.
5-19
City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 8 of 9
B) A progress report (one page bullet item summary of activities initiated, on-going,
and/or completed during the period) shall be included with the Consultant's monthly
mVOlce.
Task 9 - Schedule
The Consultant shall be allowed six weeks from receipt of the Notice to Proceed and receipt of
all background data shown in Task I to complete the Technical Memorandum, and two weeks
after the City and Otay WD review comments have been received to complete the final draft of
the Technical Memorandum. The Consultant shall allow two weeks each for the agencies
reviews of draft reports. By the time the Technical Memorandum is completed and approved by
the City and Otay WD, the Consultant shall establish a schedule for the delivery of the Final
Report acceptable to the Consultant, the City, and Otay WD. Said schedule shall not exceed 9
months from the notice to proceed.
Optional Tasks
Consultant shall prepare individual cost estimates for the optional tasks described below. These
tasks are optional in that the City and Otay WD mayor may not decide to ask the Consultant to
perform the work.
A) Preparing a Grant Application - The Consultant selected for the project may be asked
to prepare a grant application seeking funding from appropriate sources for either or all
of the planning, design, and/or construction of a wastewater reclamation facility.
B) The Consultant selected may be asked to provide an analysis of a San Diego County
Water Authority study regarding a regional brine line to determine potential project
cost savings for utilizing such a regional facility for disposal of excess recycled water
produced. Said analysis would be needed for each potential project site and account for
the improvements required to connect the reclamation facility to the proposed brine
line.
C) For companies or project teams that provide operation and facility financing services
under "design-build-operate-finance" agreements or other such public-private
partnerships: Evaluate the different facilities described in Task 2A over a 20-year and
30-year period, comparing the costs the City would incur under a traditional design-
build process (with the City operating the facility) versus a public-private partnership
(with funding and facility operation coming from private entities). Provide detailed
information regarding the manner in which such a partnership would work.
D) Identify large potential recycled water customers in Chula Vista west of 1-805 (such as
the San Diego Country Club), estimate the volume of recycled water they might
consume throughout the year, and determine the costs associated with building the
infrastructure necessary to deliver recycled water from the reclamation plant to each.
Firm Qualification Submittal Requirements:
5-20
City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 9 of 9
Interested applicants are requested to submit a summary of their qualifications. The statements
shall be concise and not exceed a total of 15 pages two-sided or 30 pages one-sided inclusive
of all appendices ""ith narrative font size no smaller than I O. The statement shall include the
following:
1. General description of the consulting firm with the name, address, contact number, along
with the firm's expertise, qualifications, and involvement in this type of consulting.
2. The office location of the principal consultant who will be providing the services.
3. Overall understanding of the scope of work and identification of unique characteristics of
this proj ect.
4. Record of completed similar work or projects within the last five years with a comparable
magnitude in size, scope of work, and include references and contact information.
5. List of specific experience demonstrating a complete understanding of MBR systems and
other treatment options, including their design, capital, and operating costs.
6. List of each key member of the team as well as any sub-consultant's team to be utilized
on this project along with individual staffs qualifications and recent experience within
the past five years in similar projects with your firm that has been completed and/or is
under construction.
7. List the name of the Project Manager, who will be the City's contact and his/her office
location during the term of the contract.
The selection process will be limited to the most qualified firms. In order to be considered, a
firm's qualifications must include special knowledge of MBR technology along with associated
design, capital, and operational costs. Additional consideration may be given to firms that have
completed design projects using MBR technology or have a record of success on similar work
for research and/or design of wastewater reclamation facilities.
The Selection Advisory Committee will evaluate the statements and then recommend the top
three to five most qualified firms to continue in the RIP evaluation process. The City and Otay
WD staff shall consist of the selection team.
J:\Engineer\SEWER\TREATNiENT PLAu"J"T\09 Feasibility Study\MBR Consultant Services RFP.doc
5-21
RESOLUTION NO. 2009
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING AN AGREEMENT BETWEEN
THE CITY OF CHULA VISTA AND OTA Y WATER DlSTRlCT
FOR JOINT PARTICIPATION TO PREPARE A
WASTEWATER RECLAIv1A TION FACILITY FEASIBILITY
STUDY
WHEREAS, in 2005, the City completed the Wastewater Master Plan (WWMP) update
concurrent with the General Plan update that identified a shortfall in the City of Chula Vista's
long-term sewer treatment capacity needs; and
WHEREAS, constructing a sewer treatment facility in Chula Vista able to treat sewage to
current recycled water standards is one option being explored as a method of addressing the
treatment capacity shortfall; and
WHEREAS, based on previous studies and discussions with local water agencies, the
City of Chula Vista has identified the Otay Water District as the primary user for any recycled
water generated by a treatment facility within Chula Vista; and
WHEREAS, both the City of Chula Vista and Otay Water District would like to partner
in the preparation of a feasibility study analyzing the costs associated with constructing such a
plant; and
WHEREAS, the City of Chula Vista and Otay Water District each agree to contribute up
to $150,000 towards such a feasibility study; and
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula
Vista does hercby approve of an agreement between the City of Chula Vista and Otay Water
District for joint participation to prepare a wastewater reclamation facility feasibility study.
Presented by
Richard A. Hopkins
Director of Public Works
5-22
THE ATTACHED AGREEMENT HAS BEEN REVIEWED
AND APPROVED AS TO FORM BY THE CITY
ATTORNEY'S OFFICE AND WILL BE
FOR.MALL Y SIGNED UPON APPROVAL BY
THE CITY COUN L
Dated: 8 L CCj
Agreement between City of Chula Vista and
Otay Water District for
J oint Participation to Prepare
A Wastewater Reclamation Facility Feasibility Study
5-23
Agreement Between the City of Chula Vista
and Otay wTater District for joim Participation w Prepare a
Wastewater Reclamation Facility Feasibility Study
AGREEMEI'ff BETWEEN THE CITY OF CHULA VISTA At"l)
OTAY WATER DISTRICT FOR JOINT PARTICIPATION TO PREPARE A
WASTEWATER RECLAt'ViA.TION FACILITY FEASIBILITY STUDY
This Agreement is entered into on , 2009, by and between the City of
Chula Vista (hereinafter referred to as Chula Vista) a Municipal Corporation, and the Otay Water
District (hereinafter referred to as Otay), a water district organized under the Municipal Water
District Law of 1911. Chula Vista and Otay are collectively referred to hereinafter as the Parties
and singularly, Party. Chula Vista and Otay, in consideration of their mutual covenants, and for
other valuable considerations, agree as follows:
RECITALS
A. The economy, employment, and quality of life within the San Diego County region is
dependent on a reliable and affordable water supply, which requires cooperation among local
water and sewer service agencies through the pursuit of goals that are of mutual and regional
benefit.
B. In 2005 Chula Vista completed a Wastewater Master Plan, concurrent with the update of
the City ofChula Vista's General Plan, which identified a shortage of wastewater collection
disposal capacity pFior to the City of Chula Vista's ultimate build out.
C. Additional wastewater collection disposal capacity can be obtained by Chula Vista
through the construction of a wastewater reclamation facility \-vithin the City of Chula Vista or
by acquiring additional sewage disposal capacity from the City of San Diego or from other
participating agencies within the Metropolitan Sewerage System, per terms of the Regional
Wastewater Disposal Agreement.
D. The current Otay long-term projected recycled water demand established the need for
increased recycled water supply to satisfy the market demand.
E. The Parties intend to work jointly and cooperatively towards the completion of a
feasibility study analyzing the potential construction of a wastewater reclamation facility within .
the City of Chula Vista, which includes recycled water production for increased local supply.
F. Chula Vista, in coordination with Sweetwater Authority and Otay, have completed two
studies analyzing the feasibility of constructing a wastewater reclamation facility within the City
ofChula Vista utilizing Membrane Bioreactor (MER) technology capable of producing recycled
water meeting Title 22 requirements. The MER technology was found to be technically feasible.
G. The Parties wish to further analyze the feasibility of a wastewater reclamation facility
through the acquisition of professional engineering consulting services to provide additional
analyses regarding costs and physical improvements required to permit and construct a
wastewater reclamation facility.
1 5-24
Agreement Between the City of Chula Vista
and Otay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
H. The Parties each have determined that it is in their respective best interest and in the
interest oftheir customers and constituents to enter into this Agreement.
NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS:
1. All exhibits attached to this Agreement constitute an integral part of this Agreement and
are incorporated into the terms hereof.
2. The wastewater reclamation facility feasibility study is hereafter referred to as the
Project.
3.' The Parties agree that neither this Agreement nor the completion of the Project, as herein
contemplated, is a project subject to CEQA.
4. Chula Vista and Otay staff expenses, for implementation and management of the Project
efforts, shall be paid for by each Party and not shared by or between the Parties and shall not be
included or considered in each Parties computation of its participation toward costs of the
Project.
'i Chula Vista shall act as the lead agency with respect to professional engineering
consultant acquisition and contracting, project management, and fmancing of the Project, and
will therefore be responsible for such tasks as scheduling consultant interviews, project team
meetings, and payment of consultant invoices. Chula Vista will also serve as the primary point
of contact with the consultant. No additional consideration shall be granted to Chula Vista as a
result of these responsibilities. In all other respects, the Parties will jointly and equally
participate in any and all other efforts of the Project such as in making comments and providing
direction in the interview of potential consultants, reviewing the feasibility study, and overseeing
the performance of the scope of work to be accomplished by a professional engineering
consulting fIrm. This provision shall in no way affect the obligations of each Party under the
terms of this Agreement.
6. The Parties agree that the scope of work for the Project as provided in Exhibit "A",
attached to this Agreement, shall be used in the Chula Vista request for proposal for acquisition
of professional engineering consulting services for the Project.
7. The budget for the Project is currently set at $300,000 and each Party agrees to obligate
funds to the Project as follows:
a. Otay shall budget and contribute an amount not to exceed $150,000 for the
professional engineering consultant services required to complete the Project.
b. Chula Vista shall budget and contribute an amount not to exceed $150,000 for the
professional engineering consultant services required to complete the Project.
5-25
2
Agreement Between the City of Chula Vista
and Olay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
c. Should the consultant fee submitted with the proposals received for the Project from
consultants be in excess of $300,000, Chula Vista may agree to be solely
responsible for the excess costs. In this case, the Otay contribution would remain at
the not to exceed $150,000 amount. If Chula Vista chooses not to contribute
additional funds above its not to exceed $150,000 budget amount for the Project,
then Chula Vista will work with Otay to either reduce the proposed scope of work
as provided in Exhibit "A" in a manner such that the consultant could complete the
study within the $300,000 total budget or agree to increase the total budget
accordingly with costs shared at 50-50 between the Parties.
d. Should the Parties to this Agreement agree to request the consultant to whom the
contract is awarded to complete any or all of the Optional Tasks described within
the Exhibit "A" scope of work, each of the Parties will pay 50% of the cost of the
performance of each agreed upon Optional Task.
e. Should either Party to this Agreement without the consent of the other Party request
the consultant to whom the contract is awarded to complete any or all of the
Optional Tasks described within the Exhibit "A" scope of work, the Party making
the request shall be obligated to solely pay for the performance of the requested
Optional Task(s).
8. The Parties agree to amend this Agreement as may be necessary to address any changes
or additions to the Exhibit "A" scope of work for the Project, to address any increases in
contributions above $150,000 by either Party, or to address adding any or all of the Optional.
Tasks described within. Exhibit "A" for the Study that may arise. The Parties agree to negotiate,
approve, and execute any required amendments to this Agreement in a timely fashion.
9. The Parties shall seek, in good faith and within a reasonable time, to resolve any disputes
regarding this Agreement fIrst by meeting and conferring among two designated staff
representatives, one each from Chula Vista and Otay.- Any dispute that cannot be resolved by the
staff representatives may be referred by either Party to the Chula Vista City Manager and to the
Otay General Manager for resolution. Neither Party will resort to litigation until there is an
impasse between the Chula Vista City Manager and the Otay General Manager.
10. The current projected schedule for the Project is as follow:
. Award professional engineering consultant services contract: December 2009.
. Complete Project: February 2011.
11. Chula Vista shall invoice Otay monthly per the terms of this Agreement and any of its
amendments for Otay's portion of the invoiced amounts Chula Vista approves for payment to the
consultant for the Project. As long as Otay's budget, as established under paragraph 7.a., above
or later agreed to by Otay in writing, is not exceeded, Otay shall be obligated to remit payment in
full within SLXty (60) calendar days from the Chula Vista invoice date. If Chula Vista approves
for payment any amounts in excess of the budget established in paragraph 7 herein without the
5-26
3
Agreement Between the City of Chul. Vista
and Otay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
prior written consent of Otay, Chula Vista shall bear sole responsibility for the amounts that
exceed budget unless Otay, in its sole discretion, agrees to pay any portion of the excess costs.
Invoices shall be sent to Otay at the address of 2554 Sweetwater Springs Boulevard, Spring
Valley, CA 91978-2096, Attention: James Peasley.
12. In the event Otay fails to pay any amount when due, interest thereon shall accrue at the
rate often percent per annum from the date when due until payment is received by Chula Vista.
13. All work products resulting from the professional engineering consultant services
provided for the Project shall be the joint property of Chula Vista and Otay.
14. The term of this Agreement shall be from the date first above indicated and shall continue
- until when the Project is 100 % complete and allinvoices have been paid unless this Agreement
is earlier terminated by mutual agreement of the Parties.
15. Each Party agrees to indemnify, defend at its expense, including attorneys' fees, and hold
the other harmless from and against all claims, costs, demands, losses, and liability of any nature
whatsoever, including but not limited to liability for bodily injury, sickness, disease or death,
property damage (including loss of use), or violation of law, caused by or arising out of any
error, omission, negligent act, or willful misconduct of that Party, its officers, directors,
employees, agents, volunteers, or any other person acting pursuant to its control in performing
under this Agreement.
16. The indemnification provisions of this Agreement shall survive termination of this
Agreement.
17. This Agreement, and any and all exhibits attached to it, represent the entire understanding
of the Parties as to those matters contained in it, and supersedes and cancels any prior oral or
written understandings, promises, or representations with respect to those matters covered in it.
18. All exhibits and Recitals contained herein are incorporated into this Agreement by this
reference.
19. This Agreement will be interpreted in accordance with the laws of the State of California.
If any action is brought to interpret or enforce any term of this Agreement, the action shall be
brought in a state or federal court in the County of San Diego, State of California; provided that
the dispute resolution procedure outlined in paragraph 21, below, has been completed.-
California law shall apply, without regard to any conflict of laws to the interpretation of any
provision of this Agreement.
20. This Agreement may be modified only by a subsequent written amendment executed by
the Parties. Either Party may give notice that it wishes to amend this Agreement at any time with
written notice. Any amendments will have to be mutually agreed upon by both Chula Vista and
Otay, in writing.
21. If a dispute arises out of, or relates to this Agreement, or the breach thereof, which cannot
be resolved by the Parties, the Parties will first submit to mandatory mediation under the Rules
5-27
4
Agreement Between the City of Cbula Vista
and Gtay Water Disnict for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
of the American Arbitration Association or any other neutral organization agreed upon before
having recourse in a court oflaw. Any agreements resulting from mediation shall be
documented in writing by all Parties. Mediation shall be confidential in accordance with the
provisions of California law. All mediation results shall be "non-binding" and inadmissible for
any purpose in any legal proceeding, unless all Parties otherwise agree upon such admission in
writing.
22. No suit or arbitration shall be brought arising out of this agreement against the City
unless a claim has first been presented in writing and filed with the City and acted upon by the
City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may from time to time be amended, the provisions of which are incorporated by
this reference as if fully set forth herein, and suth policies and procedures used by the City in the
implementation of same. Upon request by City, Otay shall meet and confer in good faith with
City for the purpose of resolving any dispute over the terms of this Agreement.
23. No failure of a Party to insist upon the strict performance by the other of any covenant,
term, or condition of this Agreement, nor any failure to exercise any right-or remedy consequent
upon a breach of any covenant, term, or condition of this Agreement, shall constitute a waiver of
any such breach or of such covenant, term, or condition. No waiver of any breach shall affect or
alter this Agreement, and each and every covenant, condition, and term hereof shall continue in
full force and effect to any existing or subsequent breach.
24. None of the Parties shall assign its rcspective obligations under this Agreement without
the prior written approval of the other Party. Any assignment in violation of this paragraph shall
constitute a default by the Party attempting the assignment and is grounds for immediate
termination of this Agreement or for the enforcement of any available equitable remedies, at the
discretion of the other Party. In no event shall any putative assignment create a contractual
relationship between the other Party and any putative assignee.
25. This Agreement and all rights and obligations contained herein shall be in effect whether
or not any or all Parties to this Agreement have been succeeded by another entity, and all rights
and obligations of the Parties shall be vested- and binding on their successors-in-interest.
26. If the performance of any act required of the Parties is directly prevented or delayed by
reason of strikes, lockouts, labor- disputes, vandalism, terrorism or either criminal act, unusual
governmental delays, acts of God, fire, floods, epidemics, freight embargoes, or other causes
beyond the reasonable control of the Party required to perform an act, that Party shall be excused
from performing that act for the period oftime equal to the period oftime of the prevention or
delay. In the event the Party claims the existence of such a delay, the Party claiming the delay
shall notify the other Party in writing of that fact within 14 calendar days after the beginning of
any such claimed delay.
27. The Parties agree that they have the right to be advised by counsel with respect to the
negotiations, terms, and conditions of this Agreement, and the decision whether to seek advice of
counsel with respect to this Agreement is the sole responsibility of each of the Parties. This
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5
Agreement Between the City of Chula Vista
and Gtay Water District for Jomt Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
Agreement shall not be construed in favor of or against any Party by reason of the extent to
which each Party participated in the drafting of this Agreement.
28. In the event anyone of the provisions of this Agreement shall for any reason be held
invalid, illegal, or unenforceable, the remaining provisions of this Agreement shall be
unimpaired, and the invalid, illegal, or unenforceable provision(s) shall be replaced by a
mutually acceptable provision, which being valid, legal, and enforceable, comes closest to the
intention of the Parties underlying the invalid, illegal, or unenforceable provision.
29. For purposes of this Agreement, the relationship of the Parties is that of independent
entities and not as agents of each other or as j oint ventures or partners. The Parties shall
maintain sole and exclusive control over their personnel, agents, consultants, and operations.
30. Nothing in the provisions of this Agreement is intended to create duties or obligations to
or rights in third parties or affect the legal liability of the Parties to this Agreement to third
parties.
31. This Agreement may be executed in multiple cqunterparts, which when taken together
shall constitute a single signed original as though all Parties had executed the same page.
32. .lf any part of this Agreement is abandoned or indefInitely delayed, due to circumstances
beyond the control of the Parties, this Agreement may be terminated by the either Party.
33. Any notice or instrument required to be given or delivered by this Agreement may be .
given or delivered by depositing the same in any United States Post Office, certified mail, and
return receipt requested, postage prepaid, addressed to:
Otay Water District
General Manager
2554 Sweetwater Springs Blvd.
Spring Valley, CA 91978-2096
City of Chula Vista
Director of Public Works
276 Fourth Avenue
Chula Vista, CA 91910
and shall be effective upon receipt thereof.
34. This Agreement shall not be deemed to have been accepted and shall not be binding upon
either Party until duly authorized officers of both Parties have executed this Agreement.
35. Chula Vista and Otay execute this Agreement, thereby indicating that they have read and
understood same, and indicate their full and complete consent to its terms and conditions.
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6
Agreement Between the City of Chula Vista
and Otay Water District for Joint Participation to Prepare a
Wastewater Reclamation Facility Feasibility Study
36. The individuals executing this agreement represent and warrant that they have the legal
capacity and authority to do'so on behalf of their respective legal entities.
37. This Agreement shall be deemed executed and effective as of the date fIrst written above
on this Agreement.
IN WID,TESS wHEREOF, the Parties have executed this Agreement as of the date fIrst
written above.
City of Chula Vista
Otay Water District
By:
James D. Sandoval
City Manager
By:
Mark Watton
General Manager
Approved as to form and legality:
Bart Miesfeld
City Attorney
Otay Water District
General Counsel
Attachments: Exhibit "A"
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7
CONSUL TAl "IT SERVICES NEEDED TO FACILITATE THE CITY OF CHULA VISTA
ACQUISITION OF ADDITIONAL WASTEWATER DISPOSAL
CAPACITY
REQUEST FOR PROPOSALS
AND SCOPE OF WORK
Project Narrative
In 2005, the City of Chula Vista (City) updated its Wastewater Master Plan (WWMP) concurrent
with the update of the City's General Plan. As part of that effort, the City analyzed the impact of
the "Preferred Land Use Alternative" at build out. It was determined that the City would be
generating more sewage flow than the City had the ability to dispose and/or treat. Therefore, the
.City needs to increase its disposal and/or treatment capacity either through the acquisition of
additional capacity rights in the City of San Diego, (Metro System Capacity) or through the
construction of its own independent wastewater reclamation facility. Since the additional
sewage disposal and/or treatment need determination, the City has conducted or participated in a
variety of studies to explore these alternatives.
The purpose of this Request for Proposal (RFP) is "to solicit and retain a consultant to conduct a
comprehensive analysis of the options under consideration, taking into account the findings of
previous studies, and advise the City and Otay Water District oI;lthe best WUrse of action.
Previous Studies
City of Chula Vista Wastewater Reclamation Plant Studv bv Brown & CaldweIl- April 2005
In June 2005, Sweetwater Authority (Sweetwater) completed a Recycled Water Master Plan
(R WMP) for its service area that identified potential recycled water customers, the infrastructure
to serve those customers, and their projected average annual recycled water demand. Concurrent
with Sweetwater's RWMP, the City retained the services of a consultant - Brown & Caldwell
(B&C) - to conduct a study that would evaluate the options available to the City to deal with its
projected Metro System wastewater disposal capacity deficiency, estimated to be 5 mgd, The
B&C study evaluated a variety of options to deal with the City's projected capacity deficiency
including varying combinations of conventional "end of the pipe" secondary and MBR
reclamation type facilities. It compared the benefits/costs of those alternatives to acquiring
additional capacity in the Metro system. The study ultimately recommended the acquisition of
additional capacity in the Metro system as the most cost-effective alternative. A copy of the
B&C study is attached as Exhibit 1. It is important to note that the B&C study was done with the
underlying assumption that the Dynergy (formerly Duke Energy) power plant, the key user
identified through Sweetwater's RWMP, would be the primary user of the recycled water
generated from the reclamation plant. Since then, due to a variety of reasons, the Dynergy plant
is no longer considering utilizing recycled water for their cooling process, which further
impacted the findings of.the B&C study.
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City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 2 of 9
Joint Feasibility Study for a Wastewater Reclamation Plant (MBR) by RMC Water &
Environment - October 2007
In 2006, subsequent to the decision by Dynergy to pursue other options for their cooling process,
Otay Water District (Otay WD) indicated a need to augment their recycled water supply. In
addition, Sweetwater was also exploring the feasibility of developing and constructing an
independent recycled water distribution system in their serVice area. Consequently, the City of
Chula Vista, Sweetwater, and Otay WD, retained another consultant, RMC Water &
Environment, to prepare a feasibility study to evaluate the feasibility of constructing a Membrane
Bioreactor Wastewater Reclamation Plant (MBR). It was contemplated that the MBR plant
would reduce the City's reliance on the City of San Diego (Metro System) treatment facilities
while allowing the Sweetwater Authority and/or Otay WD to purvey recycled water to retail
recycled water customers within their service areas. The MBR plant would operate by'
"scalping" flow off the existing wastewater trunk lines, while returning the resulting solids to the
Metro System. The MBR Study was completed in October 2007, and the results of that analysis
showed that the project was not economically advantageous for the Sweetwater Authority due to
the excessive cost associated with the construction of transmission and distribution lines required
to convey the projected recycled water demand of Sweetwater. However, the MBR study
suggested implementation costs associated with a Chula Vista/Otay WD 4 MGD MBR facility
seemed comparable to that of the City obtaining capacity. in the Metro System directly, and
should be further analyzed. A copy of the study is attached as Exhibit 2.
Metro Caoacitv Valuation Study by Raftelis & Associates - November 2007
Concurrent with the Joint Feasibility Study, the Participating Agencies (PAs) in the Metro
System also retained a consultant, Raftelis & Associates, to prepare a Capacity Valuation Study
with the goal of determining a value for treatment capacity in the Metro system. The results of
that study would enable member agencies to trade, exchange, or lease capacity among
themselves. A copy of the most recent draft of the study is attached as Exhibit 3.
SCOPE OF WORK
The City is currently weighing two primary options for the acquisition of additional sewage
disposal capacity:
I. Purchase of additional Metro System capacity rights from another member agency,
including the City of San Diego, for a price within the range recommended by the
Capacity Valuation Study.
2. Build a new wastewater reclamation facility in partnership with Otay WD and/or other
agenCIes.
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City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals .
Page 3 of 9
Through the studies discussed above, the City has developed some level of understanding of the
benefits/costs, opportunities, and constraints associated with pursuing either option. The City is
now interested in retaining additional consultant services to better refine some of the elements of
the options under consideration. The cost for these services is not to exceed $200,000.
The tasks outlined below in the Scope of Work shall enable the Consultant to provide guidance
to the City and to Otay WD on the best course of action:
City and Otay WD Objectives
I. Provide reliable, cost-effective wastewater disposal service to accommodate both near-
term and long-term growth projections in a manner that protects, or even benefits, the
local environment.
2. Ensure the City has adequate authority and control to meet City wastewater needs to
buildout.
3. Gain approval of our long-term service plan from the public, elected officials, and
regulatory agencies.
4. Develop increased local recycled water supply for the Otay WD.
City and Otay WD Project Goals: ...'- . .
1. Provide the City with information regarding an option to acqumng additional Metro
System disposal capacity from another agency or agencies allowing City to meet
treatment capacity needs now, and to Citybuildout.
2. Provide the City information regarding a realistic preliminary plan and associated cost
estimates to develop a cost effective wastewater reclamation facility year-round (such as
an MBR plant) able .to meet City needs now, and to City buildout.
3. Provide the City with information regarding a wastewater reclamation facility that would
increase the Otay WD supply of recycled water, and the impacts on such a facility
resulting. from decreased recycled water demand during the winter months.
Task 1 - Collect Existing Data
The Consultant shall compile and review the following existing studies and documents:
. Sweetwater Recycled Water Master Plan
. City ofChula Vista Wastewater Master Plan by PBS&J - May 2005
o City of Chula Vista Wastewater Reclamation Plant Study by Brown & Caldwell - April
2005
o Joint Feasibility Study for a Wastewater Reclamation Plant (MER) by RMC Water &
Environment - October 2007
o Metro Capacity Valuation Study by Raftelis'& Associates - February 2008
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City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 4 of 9
o City of Chula Vista's Build out Flow Projections - July 2008 - Wastewater Engineering
o Master Wastewater Disposal Agreement with the City of San Diego
o East Ofay Mesa Sewer Study by PBS&J on behalf of County of San Diego
. Otay Water District Draft Water Resources Master Plan by PBS&J
o 'Otay Water District Integrated Water Resources Plan, by CDM
o Draft Otay Water District North District Recycled Water System Development Project
Phase I Concept Study, by PBS&J
Task 2 - Treatment Analysis
A) Previous studies have evaluated MBR plants able to treat up to 4 MGD. The
Consultant shall re-evaluate the MBR treatment option for planning, permitting,
environmental, design, construction management, and construction costs, including all
associated improvements required to support, a 6 MGD reclamation plant. Said plant
should be phased to meet short-term and long-term needs, but should ultimately be
fully constructed in no more than three phases.
Each phase should be able to produce recycled water meeting the requirements of Title
22 and the requirements of th~ existing Otay WD recycled water RWCWB permit.
Cost estimates for the plant should consider a design that would enclose all treatment
facilities within an aesthetically. pleasing building that would allow the plant to be
located in, or near, a residential conununity.
B) The Consultant shall evaluate up to three potential project sites. proposed by City staff
to determine if the sites provide adequate acreage for each of the treatment facility
scenarios described above. This analysis should include, but not be limited to, "Site 1"
as discussed in the RMC Study, provide land acquisition cost estimates, and a list of
facilities required (and their associated costs) in order to connect proposed sites to both .
sewer and recycled water transmission lines.
Task 3 -Effluent Diversion Options
The Consultant shall prepare a detailed evaluation of various effluent diversion options:
A) Fail-safe Requirements - The Consultant shall evaluate and reconunend the most cost-
effective, feasible option for providing a fail-safe mechanism for the reclamation plant
in case the plant becomes non-operational for any reason. Options to be considered
shall include, but not be limited to, on-site storage or re-introduction of the effluent
flows into a trunk sewer line and ultimately into the City of San Diego South Metro
Interceptor. The Consultant shall determine what penalties, if any, the City would need
to pay per day to the Metropolitan Wastewater District for any treatment capacity
volume violations associated with re-introduction of effluent flows from the plant into
the Metro System. Capital, operation, and maintenance related costs associated with
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City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 50f 9
each option identified should be analyzed over a 2D-year period and discussed in the
report.
B) Effluent Diversion - Otay \VD is currently designated as the primary user of the
recycled water to be generated by the proposed wastewater reclamation facility. The
Otay WD has updated long-term recycled water demand projections. It is projected
that the Otay WD may not be able to" take all the flow generated by the proposed
wastewater reclamation facility in the near term, especially during the winter months.
Consequently, the Consultant shall provide an evaluation of the Otay WD long-term
market demand for recycled water in relation to winter demand and current take or pay
requirements per terms of the existing SBWRP supply agreement with the City of San
Diego. This evaluation will consider the potential of the recycled water supply from
the Ralph W. Chapman Water Recycling Facility both being not available and available
to the eastern portion of the City and the demand increase associated with the recycled
water supply link to the Otay Mesa. The Consultant shall also determine the potential
revenue generated from water sales under the following scenarios:
a. Otay purchases all of the flow generated year-round by the MBR or other such
plant
b. Otay only purchases t4e'arriounf"ofwater they need in order to meet demand Witll
remaining recycled water being conveyed to the South Bay Ocean Outfall.
c. Otay only purchases the amount of water they need in order to meet demand with
remaining recycled water being conveyed into the Salt Creek drainage basin.
C) The Consultant shall also quantify the City of San Diego's cost for treating flow
through the South Bay Wastewater Reclamation Plant (SBW"RP). Determine at the
SBWRP the cost of treatment to the secondary level and the cost Of treatment to the
tertiary level, and their potential net revenue loss of not selling recycled water to the
Otay WD.
D) As identified in the RMC study, a wastewater reclamation facility to be potentially
located along Main Street ("Site I") would require the construction of a transmission
pipeline to convey recycled water to the existing 3D-inch diameter Otay WD recycled
water transmission main connecting the SBWRP with the Otay WD 450-1 Reservoir.
The" Consultant shall re-evaluate the size and cost (including both capital and
maintenance costs over a 20 year period) to construct a transmission line from the
wastewater reclamation facility to the Otay WD existing recycled water transmission
main able to accommodate flows resulting from a 6 MGD treatment facility. The
Consultant shall also analyze the feasibility and discuss the capital, operational, and
maintenance costs associated with improvements that may be required to utilize the
existing 3D-inch transmission main that will allow produced recycled water generated
by the proposed reclamation plant to flow into the South Bay Ocean Outfall via the
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City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 6 of 9
SBWRP systems during periods of time when the Otay WD has insufficient demand for
recycl ed water.
E) The Consultant shall determine the capital and maintenance costs associated with
constructing an independent dedicated transmission line to convey recycled water that
is able to convey up to 6 MGD from the existing Otay WD transmission main to the
South Bay Ocean Outfall over a 20 year period. This could be either a connection
directly to the South Bay Ocean Outfall or disposal via the existing International
Boundary and Water Commission ("IBWC") Treatment Facility system.
F) The Consultant shall evaluate the possibility of discharging excess recycled water
produced during low demand periods of the year, via live stream discharge into the Salt
Creek or other drainage basin and/or discharge via constructed wetlands, as a means to
dispose of all, or a portion of, treated effluent from the proposed reclamation facility.
The evaluation shall include permitting issues, constraints, potential discharge and
wetland locations within the City of Chula Vista or other viable locations, and all costs
associated with the permitting, construction, and maintenance of such facilities.
Task 4 - Permitting Requirements
The Consultant shall clearly 'ideritify all applicable regulatory agencies that have oversight on
wastewater reclamation facilities. The Consultant shall list these agencies. and the permits
required including purpose of each permit from each agency, and the order that each permit
should be obtained. The Consultant shall also describe probable timeframes, required studies,
and costs associated with the acquisition of each permit.
Task 5 - Create a Matrix of Options
The Consultant shall create a matrix of all the results of the various wastewater reclamation
studies, including the study described herein, and show how these options compare to the "Metro
Capacity" costs shown in the Capacity Valuation Study.
Task 6 - Recommend Options
Based on City of Chula Vista and Otay WD Project Goals and Objectives as previously
described, the Consultant shall make a recommendation to proceed with one of the following:
A). Purchase of additional Metro System capacity rights from the City of San Diego or a
participating member agency - provide guidance on negotiation parameters and on the
determination of a "fair price."
B) Construct a wastewater reclamation facility in the CitY of Chula Vista. The study to be
accomplished as described herein along with previous studies have all analyzed the
costs for increasing the City's wastewater disposal capacity by building an MBR
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City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 7 of 9
reclamation plant. The City chose this direction primarily based on the understanding
that MBR plants need a relatively small footprint on which to operate, are relatively
easy to operate, are reasonably priced, and can be easily upsized should our treatment
needs grow in the future. The Consultant, having read the existing studies on the topic
and understanding the City's needs, shall briefly discuss whether or not an MER plant
is the most appropriate type of facility to increase the City's sewer disposal capacity; or
if other treatment methods should be considered. The Consultant shall briefly
summarize their fmdings in the report should the construction of a treatment facility be
their recommendation, stating that either the City is correct in analyzing an MER plant
as the best available option, or recommend an alternative treatment method with
specific reasons as to why such an option would provide a better alternative for the City
of Chula Vista than an MER facility.
Task 7 -Meetings and Public Outreach
The Consultant shall assume the following meetings are required:
A) One two-hour kickoff meeting 'With City and Ota)' WD staff to review the eXlstmg
reports and data being provided to the Consultant, and to ensure understanding of the
desired scope of work.
,:'
B) Two two-hour workshops with City and Otay WD staff to review Consultant's draft
report, matrix of options, and recommendations.
C) One two-hour workshop with City of Chula Vista Council members.
D) One two-hour workshop \.vith Otay WD Board of Directors.
E) One City of Chula Vista Council meeting.
F) One Otay WD Board of Directors Meeting.
The Consultant and the City along with Otay WD may recommend additional meetings that they
deem necessary to facilitate the achievement of the project goals and objectives.
In addition to the meetings described above, the Consultant will be expected to hold one
community meeting to introduce the concept of a Chula Vista wastewater reclamation facility,
obtaining the general public's opinion of the idea and any concerns they may have. The
Consultant will be expected to facilitate the meeting with assistance from City and Otay WD
staff at a location to be determined and provided by the City of Chula Vista.
Task 8 - Deliverables
A) Deliverables shall include an outline. of the Consultants' report (Technical
Memorandum) and Final Report.
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City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 8 of 9
B) A progress report (one page bullet item summary of activities initiated, on-going,
and/or completed during the period) shall be included with the Consultant's monthly
mVOlce.
Task 9 - Schedule
The Consultant shall be allowed six weeks from receipt of the Notice to Proceed and receipt of
all background data shown in Task I to complete the Technical Memorandum, and two weeks
after the City and Otay WD review comments have been received to complete the fmal draft of
the Technical Memorandum. The Consultant shall allow two weeks each for the agencies
reviews of draft reports. By the time the Technical Memorandum is completed and approved by
the City and Otay WD, the Consultant shall establish a schedule for the delivery of the Pinal
Report acceptable to the Consultant, the City, and Otay WD. Said schedule shall not exceed 9
months from the notice to proceed.
Optional Tasks
Consultant shall prepare individual cost estimates for the optional tasks described below. These
tasks are optional in that the City and Otay WD mayor may not decide to ask the Consultant to
perform the work.
A) Preparing a Grant Appli.;;ation. - The Consultant selected for the project may be asked
to prepare a grant application seeking funding from appropriate sources for either or all
of the planning, design, and/or construction of a wastewater reclamation facility.
B) The Consultant selected may be asked to provide an analysis of a San Diego County
Water Authority study regarding a regional brine line to determine potential project
cost savings for utilizing such a regional facility for disposal of excess recycled water
produced. Said analysis would be needed for each potential project site and account for
the improvements required to connect the reclamation facility to the proposed brine
line.
C) Por companies or project teams that provide operation and facility financing services
under "design-build-operate-fmance" agreements or other such public-private
partnerships: Evaluate the different facilities described in Task 2A over a 20-year and
30-year period, comparing the costs the City would incur under a traditional design-
build process (with the City operating the facility) versus a public-private partnership
(with funding and facility operation cOl11ing from private entities). Provide detailed
information regarding the manner in which such a partnership would work.
D) Identify large potential recycled water customers in Chula Vista west of 1-805 (such as
the San Diego Country Club), estimate the volume of recycled water they might
consume throughout the year, and determine the costs associated with building the
infrastructure necessary to deliver recycled water from the reclamation plant to each.
Firm Qualification Submittal Requirements:
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City of Chula Vista
Sewage Treatment Capacity Acquisition
Request for Proposals
Page 9 of 9
Interested applicants are requested to submit a sununary of their qualifications. The statements
shall be concise and not exceed a total of 15 pages two-sided or 30 pages one-sided inclusive
of all appendices with narrative font size no smaller than lO. The statement shall include the
following:
1. General description of the consulting firm with the name, address, contact number, along
with the firm's expertise, qualifications, and involvement in this type of consulting.
2. The ofiice location of the principal consultant who will be providing the services.
3. Overall understanding of the scope of work and identification of unique characteristics of
this proj ect.
4. Record of completed similar work or projects within the last five years with a comparable
magnitude in size, scope of work, and include references and contact information.
5. List of specific experience demonstrating a complete understanding ofMBR systems and
other treatment options, including their design, capital, and operating costs.
6. List of each key member of.theteamas'viell as any sub-consultant's team to be utilized
on this project along with individual staff s qualifications and recent experience within
the past five years in similar projects with your firm that has been completed and/or is
under construction.
7. List the name of the Project Manager, who will be the City's contact and hislher ofiice
location during the term of the contract.
The selection process will be limited to the most qualified firms. In order to be considered, a
firm's qualifications must include special knowledge of MBR technology along with associated
design, capital, and operational costs. Additional consideration may be given to firms that have
completed design projects using MER technology or have a record of success on similar work
for research and/or design of wastewater reclamation facilities.
The Selection Advisory Conunittee will evaluate the statements and then reconunend the top
three to five most qualified firms to continue in the RFP evaluation process. The City and Otay
WD staff shall consist of the selection team.
J:\Engincer\SEWER\TREATh1ENT PLANT\09 Feasibility Srudy\..'IvlBR Consultant Services RFP.doc
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