BOARD OF DIRECTORS REGULAR BOARD MEETING AGENDA … · 94584 Sturdivan Emergency Management...

_______________________________________________________________________________________________55439 29 Palms Hwy., Yucca Valley, Ca 92284-2503 | 760.365.8333 | www.hdwd.com | email: [email protected]

BOARD OF DIRECTORSREGULAR BOARD MEETING

AGENDA Wednesday, May 22, 2019

5:30 PM

Action may be taken on any item listed on the agenda.

CALL TO ORDER/PLEDGE OF ALLEGIANCE

ROLL CALL

1. APPROVAL OF THE AGENDA

2. PUBLIC COMMENTThis is the opportunity for members of the public to address the Board on matters within the Board’sjurisdiction that are not listed on the Agenda. Please limit comments to three (3) minutes or less. Statelaw prohibits the Board of Directors from discussing or taking action on items not included on theagenda.

3. CONSENT CALENDARItems on the Consent Calendar are acted upon by one motion, unless a Board member wishes an itemto be acted upon separately, in which case it will be removed from the Consent Calendar.

3.A. DEMAND LISTSDemand list 94485 - 94668 1.pdfDemand list-2754 - 2777.pdfACH 05 15 19.pdfPayroll Demand 04 25 2019.pdf

3.B. 2019 04 24 Regular Board Meeting Minutes2019_04_24_Regular_Board_Meeting_Minutes.docx

4. DEPARTMENT ITEMS

4.A. PAVING ANALYSIS FOR PHASE 1 OF THE WASTEWATER PROJECTFor information only.

4.B. UNITED STATES GEOLOGICAL SURVEY JOINT FUNDING AGREEMENT FOR FY 2019-20Board to authorize the General Manager to enter into a joint funding agreement with the UnitedStates Geological Survey in the amount of $365,000.00.2019 04 14 USGS Joint Funding Agreement Proposal for FY 2019 2020.docx

1

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361292/Demand_list_94485_-_94668_1.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361293/Demand_list-2754_-_2777.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361294/ACH_05_15_19.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361295/Payroll_Demand_04_25_2019.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361300/__2019_04_24_Regular_Board_Meeting_Minutes.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/345206/2019_04_14_USGS_Joint_Funding_Agreement_Proposal_for_FY_2019_2020.pdf

55439 29 Palms Hwy., Yucca Valley, Ca 92284-2503 | 760.365.8333 | www.hdwd.com | email: [email protected]

4.C. PHASE I ENVIRONMENTAL SUPPORT SERVICES: CHANGE ORDER NO. 01Board to authorize the General Manager to amend and increase an agreement with JerichoSystems, Inc. in the amount of $12,800.00.Change Order No. 1

4.D. PIPELINE BID PACKAGE C: CHANGE ORDER 0020Staff recommends the Board of Directors authorize the General Manager to approve ChangeOrder 0020 for Pipeline Bid Package C in the amount of $181,010.00.

4.E. PIPELINE BID PACKAGE C: CHANGE ORDER 0021Staff recommends the Board of Directors authorize the General Manager to approve ChangeOrder 0021 for Pipeline Bid Package C in the amount of $248,207.57.

4.F. PIPELINE BID PACKAGE C: CHANGE ORDER 0022Staff recommends the Board of Directors authorize the General Manager to approve ChangeOrder 0022 for Pipeline Bid Package C in the amount of $6,285.00.

4.G. PIPELINE BID PACKAGE D: CHANGE ORDER 0002Staff recommends the Board of Directors authorize the General Manager to approve ChangeOrder 0002 for Pipeline Bid Package D in the amount of $56,430.00.

4.H. RESOLUTION 19-18 SUMMARILY VACATE EASEMENTBoard to approve vacating easement previously acquired through the San Bernardino CountyFlood wash.0587-292-16-Resolution 19-18.docx0587-292-16-Vacate.pdf

4.I. INTERNET SERVICE AT PLANT - SPECTRUMBoard to approve Ed Muzik, General Manager, to enter into an agreement with Spectrum to bringbroadband fiber internet service to the plant for use with computers, phones, security systems,and other wireless devices. img05102019_0001.pdf

4.J. WASTEWATER RECLAMATION FACILITY: CHANGE ORDER 07TBD

4.K. RESOLUTION #19-17 AMENDING CHAPTER 5.15 GENERAL RULES TO COMPLY WITH SENATEBILL 7Board to consider adoption Resolution #19-17, adding Section 5.15.300 to the Hi-Desert WaterDistrict Code regarding individual metering and sub-metering of newly constructed multi unitresidential and mixed use structures.

2

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/347291/HDWD_Const_Mon_CO_1.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/356718/0587-292-16-Resolution_19-18.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/358883/0587-292-16-Vacate.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/358893/img05102019_0001.pdf


HDWD Resolution 19-17 - Dist Code Amend re-SB 7 (Individual Metering_Submetering)-c2.docx

4.L. WELL 24 REPAIRStaff recommends that the Board authorize the General Manager to accept the low bid of$53,361.13 from Layne Christensen Company to perform repairs and start up of well 24. Well #24 Quote.pdfHi Desert 24 Pump Repairs and Install.pdf

5. INFORMATION ITEMS

5.A. FINANCIAL STATEMENTS FOR THE MONTH ENDED MARCH 31, 2019FOR INFORMATION ONLYMarch 2019 Financial Statements for Board Meeting 05.22.19.pdf

5.B. RUNNING TOTAL OF CHANGE ORDERS FOR THE WASTEWATER PROJECTChange Orders Summary_Wastewater Project.pdf

5.C. WASTEWATER UPDATE For Information Only.

6. DIRECTORS' REPORTS/COMMENTSFor information purposes only on subjects not covered by the agenda and no action to be taken.

7. MANAGERS' REPORTSFor information purposes only on subjects not covered by the agenda and no action to be taken.

Construction Project Coordinator – Samantha Mena Chief Financial Officer – Jonathan Abadesco

Human Resources & Risk Manager – Lani BrownCommunications & Legislative Officer – Jennifer PolandDirector of Water Operations – Tony CulverGeneral Manager – Ed Muzik

8. FUTURE AGENDA ITEMS REQUESTED BY THE BOARD

8.A. FUTURE AGENDA ITEMS REQUESTED BY THE BOARDFor Information OnlyFuture Agenda Item List.pdf

9. ADJOURNMENT

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https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/355502/HDWD_Resolution_19-17_-_Dist_Code_Amend_re-SB_7__Individual_Metering_Submetering_-c2.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/360709/Well__24_Quote.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/360710/Hi_Desert_24_Pump_Repairs_and_Install.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361258/March_2019_Financial_Statements_for_Board_Meeting_05.22.19.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361323/Change_Orders_Summary_Wastewater_Project.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361398/_2019_Weekly_Staff_Meeting_Matrix.pdf


Materials related to any item on this Agenda submitted to the Board of Directors or Committee Membersafter distribution of the agenda packet are available for public inspection in the Hi-Desert Water Districtoffice at 55439 29 Palms Hwy, Yucca Valley, California during normal business hours. All documentssupporting this agenda are available on the District website at subject to staff’s ability to post thedocuments before the meeting.

Reasonable Accommodation: Upon request, this notice will be made available in appropriate alternativeformats to persons with disabilities. Any person with a disability, who requires a modification oraccommodation to view the agenda or to participate in the public comment portion of the Board meeting,should direct such a request to Ed Muzik, Secretary of the Board of Directors, at 760-365-8333 [email protected]. Please allow two business days for your request to be processed.

Disruptive Conduct: If any meeting of the District is willfully disrupted by a person or by a group ofpersons so as to render the orderly conduct of the meeting impossible, a meeting may be recessed or theperson or persons willfully disrupting the meeting may be ordered to leave the meeting. Disruptiveconduct includes addressing the Board or Committee without first being recognized, not addressing thesubject before the Board or Committee, repetitively addressing the same subject, failing to relinquish thepodium when requested to do so, or otherwise preventing the Board or Committee from conducting itsmeeting in an orderly manner. Your cooperation is appreciated.

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Report Date: 05/15/19 Period: 04/15/19 - 05/15/19

Checks: 94485 - 94668

Check No. Payable To Amount Description

94485 ACWA/JPIA 6,346.40 May Dental/Vision/EAP Premium

94486 AUS West Lockbox 387.62

94487 Desert Pacific Exterminators LLC 85.00

94488 Accela Inc. 10,498.91 04/01/19 - 06/30/19 Maintenance Agreement

94489 Valley's Finest Enterprise 706.87

94490 Yucca Valley Chamber Of Commer 485.00

94491 Frontier Communications 50.65

94492 Hi-Grade Materials 4,089.00 Inventory Supplies

94493 Inland Water Works Supply 1,640.71 Inventory Supplies

94494 Secretary of State 6.00

94495 Apco Plumbing 981.62

94496 Core & Main LP 248.38

94497 Hi-Grade Materials 3,697.50 Asphalt for CRP

94498 Kimberly Jones 77.46 Expense Reimbursement

94499 Master Meter Inc. 1,500.00 Annual Meter Reading Support

94500 Precision Lock Service 120.00

94501 Advanced Imaging Solutions, Inc. 75.00

94502 Backflow Solutions 495.00

94503 CP Autoworks 270.00

94504 Christian Elias 214.88 Boot Allowance

94505 Warren Basin Watermaster 7,351.24 12/27/18 - 03/25/19 Pumping Charges

94506 Customer Refund 958.12 Bulk Meter Refund

94507 Customer Refund 126.72






94513 Apple, Inc. 1,644.98 IT Hardware


94515 Best Best & Krieger LLP 4,243.49 February Legal Services

94516 Builder's Supply 31.32

94517 California Newspaper 92.40

94518 Core & Main LP 3,671.83 Inventory Supplies

94519 E.S. Babcock & Sons, Inc. 100.00

94520 Granicus, LLC. 7,562.76 IT Agenda Management Software & Encoding Appliance

94521 Hach 1,033.76 Operating Supplies for Water Testing

94522 Home Depot Credit Services 2,895.85 March Billing

94523 Inland Water Works Supply 1,150.67 Inventory Supplies

94524 McCall's Meter Sales & Service 1,150.97 Repair and Flow Test Meter

94525 Michael Baker International, Inc. 3,800.00 Survey Work

94526 Morongo Basin Historical Society 50.00

94527 O'Reilly Automotive, Inc 69.89

94528 Raftelis Financial Consultants, Inc. 3,480.00 February Professional Services

94529 RDO Equipment/Powerplan 4,172.77 One Month Rental of Excavator with Ripper

94530 The SoCo Group 1,149.91 April Diesel Fuel

94531 The Gas Company 301.14

94532 Sun Life Financial 2,380.67 May Premium

94533 Superior Tank Solutions, INC 203,000.00 Rehab at Western Hills Tank & Nozzle Install at Lower Fox Tank

94534 PCM Sales Inc 1,463.70 Office Supplies

94535 Utility Supply of America, Inc 259.18

94536 Vagabond Welding Supply 56.06

94537 Yucca Rental Inc 165.00

94538 Yucca Valley Auto Parts 50.45

Hi-Desert Water DistrictDemand List

5

94539 Best Best & Krieger LLP 13,752.69 March Legal Services

94540 Solid Waste Division 90.51

94541 USC Foundation 400.00

94542 West Coast Civil, Inc. 22,330.00 March Professional Services

94543 Lani Brown 45.89 Expense Reimbursement

94544 Copy Center Plus, Inc. 511.02

94545 InfoSend, Inc 681.86

94546 Kevin Mix 90.00 D3 Distribution Certificate Renwal

94547 Steve Schwab 172.25 Boot Allowance

94548 Mike O. Wright 178.07 Uniform Allowance

94549 Yucca Auto Body 938.18

94550 Mojave Water Agency 480,481.00 2019 Debit Service/Pipline Charge









94559 Jonathan Abadesco 427.80 Expense Reimbursement

94560 Matt Mayo 105.00 D5 Certification Renewal

94561 Cory Moran 55.00 T1 Certification Renewal


94563 Dan Munsey 656.13 Expense Reimbursement










94573 Ace Alternators 120.79


94575 Charles P. Crowley Company, Inc. 711.19

94576 Core & Main LP 326.13

94577 Ecoconsult 4,000.00 April Professional Services

94578 Fred's Tire & Automotive 72.00

94579 Mike Hayward 226.58 Expense Reimbursement


94581 Inland Water Works Supply 303.09

94582 Nobel Systems 9,800.00 Professional Services

94583 Accela Inc, 774375 750.00

94584 Sturdivan Emergency Management Consulting, LLC. 520.00

94585 Winzer Corporation 245.96


94587 AT&T Mobility 605.38

94588 Best Best & Krieger LLP 3,500.00 March Legal Services



94591 Classic Auto Works 1,023.39 Automotive Repair/Claim

94592 Cleaning By George 1,690.00 April Cleaning Services

94593 E.S. Babcock & Sons, Inc. 1,117.00 Water Analysis


94595 Wex Bank 4,021.61 03/15/19 - 04/15/19 Gas Charges

94596 Gemini Group LLC 3,008.61 Mail 2019 CCR Reports

94597 Hi-Grade Materials 439.89

94598 Sheldon Hough 149.76 Expense Reimbursement

94599 InfoSend, Inc 2,753.97 April Outsourced Billings


94601 TIB The Independent Bankersbank NA 2,974.94 April Credit Card Charges

6

94602 TIB The Independent Bankersbank NA 3,875.59 April Credit Card Charges

94603 TIB The Independent Bankersbank NA 846.42

94604 Parkhouse Tire Inc. 1,592.88 Automotive Supplies

94605 RDO Equipment/Powerplan 432.80

94606 The SoCo Group 4,613.49 April Diesel Fuel

94607 Robert K. Stadum 155.44 Expense Reimbursement

94608 Water Education 882.00

94609 Yucca Valley Quick Lube 45.19

94610 Yucca Valley Auto Parts 36.39


94612 Lin Lines, Inc. 661.25

94613 Lin Lines, Inc. 661.25

94614 Precision Lock Service 145.00

94615 Umetech, Inc. 8,128.75 April IT Support








94623 Mojave Water Agency 271,450.00 March Purchased Water

94624 Ace Alternators 336.99

94625 Aggregate Products, Inc. 2,220.38 Asphalt for CRP


94627 Bighorn Desert View Water Agency 63.66


94629 Forensic Drug Testing Services, Inc. 148.90

94630 CDW Government Inc. 895.58

94631 Centratel 436.03


94633 Desert Green Landscaping & Maintenance 165.00

94634 Employee Relations, Inc. 498.80



94637 FMB Truck Outfitters, Inc. 613.91

94638 Hi-Grade Materials 516.56

94639 InfoSend, Inc 2,050.16 April Outsourced Billings


94641 Online Information Services 247.93

94642 Parkhouse Tire Inc. 554.10

94643 ProVideo 300.00

94644 Schaeffer Manufacturing Company 344.80

94645 Set Apart Web Design 100.00














94659 De Nora Technologies Texas, LLC. 551.13

94660 Dirty Boyz Designz 666.65




94664 The SoCo Group 1,630.13 May Diesel Fuel

7

94665 Tractor Supply Credit Plan 1,256.95 April Charges

94666 Underground Service Alert 300.85

94667 Vagabond Welding Supply 682.05

94668 Matich Corporation 44,941.59 Asphalt Overlay on Onaga & Sage

Total 1,221,777.42

8

Period : 04/15/19 - 05/15/19

Check No. Payable To Amount Description

2754 Office of the Fire Marshall 962.00 Permit for Wastewater Facility





2759 Fedex 35.88

2760 Banner Bank Escrow# 1393 168,163.52 January Retainage for Sukut Construction Package C

2761 Sukut Construction LLC 1,513,471.66 January Installation/Sewer Project-Collection System Package C

2762 Banner Bank Escrow #1401 102,712.96 December Retainage for W.M. Lyles Co

2763 W.M. Lyles Co. 1,951,546.17 December Wastewater Facility

2764 MWH Constructors, Inc. 120,504.23 December Construction Management Services

2765 Atkins North America, INC 51,132.73 December Professional Services

2766 Jericho Systems, Inc. 7,200.00 January Professional Services

2767 Earth Systems Pacific 1,075.00 December Professional Services

2768 Carollo Engineers 14,752.00 December Professional Services


2770 Morongo Basin Broadcasting 525.00

2771 Imperial Security Patrol Services 1,365.00 Security Guard Services for Well Drilling

2772 Desert Electric Supply 170.74

2773 TIB The Independent Bankersbank NA 23.35

2776 State Water Resources 2,286.00 Intent to Comply Application Fee

2777 Fedex 117.07

Total 3,938,335.71

Indicates Amounts Aprroved Exceeding $25,000

Hi-Desert Water District Wastewater FundDemand List

Report Date: 05/15/19

Checks: 2754 - 2777

9

Report Date: 05/15/2019 Period: 04/15/19 - 05/15/19

Ach Date Payable To Amount Description

4/16/2019 Cal Pers 11,162.59 04/05/19 Employer Portion of PERS



Total 33,542.38

Hi-Desert Water DistrictACH Demand List

10

Payroll 04/11/19:

Wages 166,947.43$

ER - Social Security 10,245.89$

ER - Medicare 2,396.20$

ER - PERS (Longevity) 31.10$

ER - PERS 11,162.59$

Payroll Service Fee -$

Total Cost of Payroll 04/11/19 190,783.21$

Payroll 04/25/19:

Wages 130,014.75$

ER - Social Security 7,962.51$

ER - Medicare 1,862.22$

ER - PERS (Longevity) 30.30$

ER - PERS 10,820.45$

Payroll Service Fee 1,214.79$


Payroll History - FY 18/19

Wages for Paydate 07/19/18 140,296.65$





















Hi-Desert Water District

Payroll Demand List

11

Agenda Item No: 3.B

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Codi MixPresented by: Agenda Section:

Subject:2019 04 24 Regular Board Meeting Minutes

Recommendation:

Fiscal Impact:N/A

Background:N/A

Attachments:2019_04_24_Regular_Board_Meeting_Minutes.docx

12

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361300/__2019_04_24_Regular_Board_Meeting_Minutes.pdf

MSC1 – Motion made, seconded, and carried.

Hi-Desert Water District Board of DirectorsRegular Meeting Minutes

Wednesday, April 24, 2019

CALL TO ORDER/PLEDGE OF ALLEGIANCEPresident Munsey called the meeting to order at 5:30 p.m. Director Hough led the pledge.

ROLL CALLDirectors Present: President Dan Munsey, Vice-President Roger Mayes, Director Sarann Graham, Director Sheldon Hough, and Director Bob Stadum.

Staff Present: Ed Muzik, Ron Wortham, Jennifer Poland, Jonathan Abadesco, and Codi Mix.

APPROVAL OF AGENDAVice-President Mayes made a motion to approve the agenda. Director Stadum seconded the motion.

MSC1 (Mayes/Stadum) motion carried by the following vote:

Ayes: Mayes, Hough, Graham, Munsey, StadumNoes: NoneAbsent: NoneAbstain: None

PUBLIC COMMENTSNone.

CONSENT CALENDAR

3A. Demand List - #’s 94325 - 94484Demand List - #’s 2728 - 2753

ACH Demand List – 04/15/2019Payroll Demand List – 03/28/2019

3B. 2019 03 13 Regular Board Meeting Minutes2019 03 20 Special Board Meeting Minutes2019 03 27 Regular Board Meeting Minutes2019 04 08 Special Board Meeting Minutes

Director Graham made a motion to approve the Consent Calendar.Vice-President Mayes seconded the motion.

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MSC1 (Graham/Mayes) motion carried by the following vote:


RESOLUTION #19-15 AMENDING DISTRICT’S POLICY FOR SERVICE CONNECTIONSRon Wortham gave the staff report.

Director Stadum stated that this item went before the Engineering Committee and asked if the District was moving forward with a ¾ inch line, and Ron Wortham confirmed.

PUBLIC COMMENTS: None.

Director Stadum made a motion to approve Resolution #19-15 amending District Code, Title 5, Water Service Regulations.Director Hough seconded the motion.

MSC1 (Stadum/Hough) motion carried by the following vote:


WARREN VALLEY BASIN BOUNDARY MODIFICATION UPDATERon Wortham gave the staff report.

Ron Wortham stated that the boundary extends a mile pass Yucca Mesa Road.

Director Graham asked if the new Warren Valley Basin boundary extends to the Joshua Retreat Center and Ron Wortham confirmed.


No motion was made. For information only.

WASTEWATER UPDATE & CONSTRUCTION CHANGE ORDER COSTSJonathan Abadesco gave an overview of the current change orders associated with the Sewer Project and stated that the total amount is approximately $2 million.

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Director Stadum asked if the change orders were in line with what was projected. Ed Muzik stated that the current change order total is close to the amount that was originally budgeted.

Director Graham asked about change orders associated with unmarked water utilities. Ed Muzik stated that there may be some water lines that the District may have not had identified or had record of.

President Munsey stated that he would like to continue to see a report with change orders for review occasionally. He asked for the next format to include a breakdown by line items of the original projected expenditure to compare original with bid to see if there was any contingency.


No motion was made. For information only.

REPORTS/COMMENTSDirectors’ Reports and Comments:Director Hough reported on attending the Mojave Water Agency Board Meeting and stated that a PowerPoint was given on the Integrated Regional Water Management Plan. He stated that information can be found at www.mywaterplan.com. He also reported on attending the Town of Yucca Valley Council meeting and gave an overview of what was discussed at the meeting.

Director Stadum attended the San Bernardino County Special District’s Association meeting at Mojave Water Agency and gave a summary on the presentation given about the Little Hoover Commission and the impact to Special Districts relationship with the State of California.

President Munsey read kudos cards from customers about staff members Mark Bitman, Joe Abell, Cory Moran, and Jennifer Poland.

Managers’ Reports:Jennifer Poland stated that the District will be hosting the last World of Water tour of the year. She also announced the start of the new Board Secretary, Codi Mix.

Ron Wortham reported on attending a presentation on the Woosley Fire.

Ed Muzik stated that the District received a thank you card from Victorville Facility for the work Matt Mayo completed. He also gave an update that the Chief Plant Operatorposition has been fulfilled and that Carollo Engineering will be working with the new plant operator to start up the new Wastewater Treatment and Reclamation Facility.

FUTURE AGENDA ITEMS REQUESTED BY THE BOARD None.

15


ADJOURNMENT – 6:07 p.m.

ATTESTED BY: _______________________________ General Manager-Ed Muzik Secretary of the Board of Directors

APPROVED:

_______________________________________Dan MunseyPresident of the Board of Directors

16

Agenda Item No: 4.A

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Ed MuzikPresented by: Ed Muzik, General ManagerAgenda Section:

Subject:PAVING ANALYSIS FOR PHASE 1 OF THE WASTEWATER PROJECT

Recommendation:For information only.

Fiscal Impact:None.

Background:Matich Corporation will present a road analysis regarding the paving in Phase 1.

Attachments:

17

Agenda Item No: 4.B

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Samantha MenaPresented by: Samantha Mena, Construction Project CoordinatorAgenda Section:

Subject:UNITED STATES GEOLOGICAL SURVEY JOINT FUNDING AGREEMENT FOR FY 2019-20

Recommendation:Board to authorize the General Manager to enter into a joint funding agreement with the United StatesGeological Survey in the amount of $365,000.00.

Fiscal Impact:$365,000.00

Background:Each year the Hi-Desert Water District (District) and the United State Geological Survey (USGS) continuediscussions concerning their continued cooperative water resources program. The program consists ofmonitoring both drinking water and reclaimed wastewater recharge in the Yucca Valley area.

The total cost of the proposed cooperative water-resources program for FY 2019-20 is $365,000.00. Of thistotal, the District will contribute $345,800.00 and, subject to the availability Cooperative Matching Funds (CMF),the USGS will contribute $19,200.00 of the total cost. The USGS's scope of work is included as an attachment.

Attachments:2019 04 14 USGS Joint Funding Agreement Proposal for FY 2019 2020.docx

18

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/345206/2019_04_14_USGS_Joint_Funding_Agreement_Proposal_for_FY_2019_2020.pdf

Hi Desert Water District

United States Department of the Interior

U.S. GEOLOGICAL SURVEY

California Water Science CenterSan Diego Projects Office

4165 Spruance Road, Suite 200San Diego, California 92101-0812

Office: (619) 225-6176 Fax: (619) 225-6101http://water.wr.usgs.gov

April 14, 2019

Mr. Ed Muzik, General ManagerHi Desert Water District 55439 29 Palms HighwayYucca Valley, California 92284-2503

Dear Mr. Muzik:

This letter confirms discussions between our respective staffs concerning the continued cooperative water resources program between the Hi-Desert Water District (HDWD) and the United States Geological Survey (USGS). The USGS cooperative program consists of monitoring both drinking water and reclaimed wastewater recharge in the Yucca Valley area.

The total cost of the proposed cooperative water-resources program for your Fiscal Year FY20 is $365,000.00. Of this total, HDWD will contribute $345,800.00 and, subject to the availability of Cooperative Matching Funds (CMF), the USGS will contribute $19,200.00 of the total cost. The period of performance is from July 1, 2019 to June 30, 2020. The statement of work to be completed is included as an attachment to this letter.

Enclosed are two originals of the Joint Funding Agreement (JFA). 20WSCA600098810 for your approval. Work performed on this JFA will be conducted on a reimbursable basis. If you agree with the JFA, please return a signed copy to our office for further processing. The other is for your files.

If you have any questions concerning the program described above, please contact Greg Mendez at (619) 225-6176 in our San Diego Office. If you have any administrative questions, please contact Irene Rios at (619) 225-6156.

Sincerely,

Eric ReichardDirector, USGS California Water Science Center

Enclosures:cc: Greg Mendez, USGS CAWSC Claudia Faunt, USGS CAWSC

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PROBLEM AND BACKGROUND

Hi-Desert Water District (HDWD) is constructing a wastewater treatment plant in the as part of a groundwater replenishment and reuse project (GRRP) in the East hydrogeologic unit of the Warren Subbasin in Yucca Valley, CA (fig. 1).

The reclaimed wastewater will be discharged using surface-spreading ponds, where it will be allowed to percolate via gravity drainage through the underlying unsaturated zone to the top of the aquifer (water table) located about 370 feet (ft) below land surface (bls). California State Title 22 regulations stipulate that the fate of organic carbon discharged from the spreading ponds be monitored (California Department of Water Resources, 2015). However, there are no monitoring sites installed immediately adjacent to the spreading ponds to monitor dissolved organic carbon (DOC) and other constituents of concern, such as nitrates. To monitor water-quality beneath the ponds, the USGS drilled three shallow auger holes adjacent to the recharge ponds in March 2019 and placed three lysimeters in each hole (fig. 2). In addition, the USGS will sample four existing wells; YVUZ-4 (1N/6E-32G14), YVUZ-5 (1N/6E-32G1), YVUZ-6(1N/6E-32B1), and YV3 (1N/6E-32G12) (fig. 3), their lysimeters located around the treatment plant, and wastewater released to the ponds under the FFY19 JFA.

A pilot-scale infiltration pond was constructed in 2008 at YVUZ-5 to evaluate recharge processes in the vicinity of the proposed GRRP. Surficial vertical infiltration rates at that site were as high as 6.1 feet per day (ft/d) and declined to as low as 0.2 ft/d as fine-grained material and algae clogged the pond bottom. Infiltrated water reached the water table after about 133 days and moved at an average vertical rate of about 2.8 ft/d (O’Leary and others, 2015).

The USGS is proposing to use several methods to monitor the planned discharge from the reclaimed wastewater recharge ponds in FFY20, including electromagnetic (EM) resistivity, direct-current (DC) resistivity, microgravity, and water-quality monitoring. During FFY19, initial EM and microgravity surveys were done to provide background data before wastewater was released to the ponds, and a second EM survey was done in September 2019. After water is released to the ponds sometime this fall, up to three additional geophysical survey are proposed, depending on the quantity and timing of the releases, to help determine the extent and fate of the recharge water, and are discussed in detail below.

The shallow monitoring well at YV3 was installed in anticipation measuring the water table should mounding from the recharge operations in the East hydrogeological unit ever occur. Because there is only about twenty-two feet of water above the screen, it was not possible to properly develop this well (purging of drilling fluids), which is typical for a water table well. Time to evacuate drilling fluids depends on several factors including the head and flow rate from the well. We will continue to develop this well after saturation occurs from recharge at the treatment plant.

In addition to the water-quality sampling near the GRRP in the East hydrogeologic unit, thebasin-wide sampling will continue in FFY20. The continuing HDWD program with the USGS has included an ongoing task to evaluate selected production and monitoring wells throughout the Warren Subbasin. The ongoing program collects data from HDWD production wells in the

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West hydrogeologic unit that includes production wells 2W (1N/5E-34K2), 6W (1N/5E-34Q1), 9W (1N/5E-34Q2), and 20 (1N/5E-34Q3), monitoring well YV1 (1N/5E-36G1) in the Mideast hydrogeologic unit near recharge site 7, and monitoring well YV2 (1N/5E-36M1) in the Midwest hydrogeologic unit near recharge site 6 (fig. 1). Water-level and water-quality data were collected in FFY18 at monitoring wells YVUZ-1 (1N/5E-34K3), YVUZ-2 (1N/5E-34R2) and from production well 20 (1N/5E-34Q3) near recharge site 3.

All data will be available on the USGS National Water Information System (NWIS) and results from the proposed field work will be documented as described in detail below.

RELEVANCE AND BENEFITS

This proposal will contribute to the U.S. Geological Survey’s (USGS) ability to “ensure adequate quantity and quality of water to meet human and ecological needs in the face of growing competition among domestic, industrial-commercial, agricultural, and environmental uses” as described in the U.S. Geological Survey Science Strategy (2007). The proposal also is within U.S. Geological Survey Water Resources Mission Areas to “define and better protect the quality of the Nation’s water resources”.

OBJECTIVES

The objectives of this study are to assess the fate and extent of organic carbon (TOC or DOC)1 in the shallow subsurface beneath the GRRP spreading ponds for wastewater recharge. The USGSwill collect and process water-quality samples for drinking and wastewater components and monitor the vertical and horizontal movement of recharge water applied to the spreading pondsat the GRRP. In addition, data for drinking water will be collected and assessed related to the general chemistry, nitrates, and wastewater compounds.

APPROACH

Suction-cup lysimeters installed to collect unsaturated-zone water samples beneath and near the GRRP will be sampled approximately every four to six weeks after treated wastewater is released into the recharge ponds, depending on the vertical flow rate. Vertical and horizontal movement of recharge water will be monitored using downhole and surface geophysical methodsand microgravity. Basin-wide water-quality samples will be collected annually.

Task 1 – Water-Quality Sampling of Recharge Water at the GRRPUnsaturated-zone water-quality samples will be collected at the newly installed suction-cup lysimeters at YVUZ-7, YVUZ-8, and YVUZ-9 (3 per borehole or up to a total of 9; fig. 2),lysimeters installed at YVUZ-5 (up to 5), lysimeters installed at YVUZ-6, and discharge from the treatment plant (fig. 3). Field parameters (pH and specific conductance) will be measured at

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the time of collection. Samples will be analyzed for DOC1, UV absorbance, and nutrients at the USGS NWQL. Stable isotopes of hydrogen and oxygen (D and 18O) and nitrogen isotopes (15N of ammonia and 15N and 18O of nitrate) will be analyzed at the Reston Stable Isotope Laboratory. Field parameter data and samples will be collected and archived following procedures described in the USGS National Field Manual (USGS, variously dated).

The monitoring wells at YVUZ-4, -5, and -6 and YV3 will be sampled a minimum of three times during the study. All samples will be analyzed for major and minor ions, nutrients, and dissolved organic carbon, wastewater compounds, and pharmaceuticals at the USGS NWQL. Stable

isotopes of hydrogen and oxygen (D and 18O) and nitrogen isotopes (15N of ammonia and 15N and 18O of nitrate) will be analyzed at the Reston Stable Isotope Laboratory. Fieldparameter data and samples will be collected and archived following procedures described in the USGS National Field Manual (USGS, variously dated).

Task 2 – Geophysical Methods for monitoring the movement of water released at the GRRPAs infiltrated water moves vertically through the unsaturated zone, there will be a component of lateral spreading as the water encounters unsaturated-zone materials with differing grain sizes (fine, medium, or coarse). The lateral spreading will affect the location and timing of when therecharge water will arrive at the water table. Three geophysical methods are proposed to monitor the areal extent, depth, and movement of the recharge water, and also to determine relative changes in aquifer storage.

Task 2a: Electromagnetic (EM) resistivityTwo electromagnetic (EM) resistivity geophysical logs are planned to be collected in FFY19 from recently constructed unsaturated-zone wells at YVUZ-7, -8, and -9, and from existing wells YV3, YVUZ-4, -5, and -6. EM resistivity logs will also be collected three additional times from each of these sites in FFY20. The EM resistivity log is sensitive to changes in lithology, water content, and water salinity; however, changes in water content through time are expected to be the primary process causing any changes in the EM signal over time. The first EM log was collected as a baseline for comparison with subsequent EM logs to evaluate changes in subsurface-water content near the borehole during infiltration and to monitor the vertical movement of recharged water.

Task 2b: Direct-current (DC) resistivity measurementsSurface direct-current (DC) resistivity surveys will be collected prior to the infiltration of water to the ponds and once after water has been applied in FFY19. Three additional surveys will be completed in FFY20, approximately every 4 weeks to 6 weeks, depending on when recharge water is released to the ponds, for a total of five surveys. Comparison of the data sets is expected to identify areas where water spreads laterally through the unsaturated zone and will aid in the

1 TOC and DOC are related in that DOC represents the organic carbon remaining in a sample after it has been filtered through a 0.45 micrometer filter. The design of suction-cup lysimeters is such that all samples collected by the lysimeter are filtered through a porous ceramic cup as they are collected.

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evaluation of the timing of arrival of recharge water to the water table. Asymmetry in the measured footprint may be caused by aquifer heterogeneity or by dipping of low-permeability impeding layers or geologic units in the subsurface. The DC resistivity data will be interpreted using forward modeling procedures constrained by the geologic and geophysical data that werecollected during the installation of the monitoring sites. Data collected as part of this task will be used to evaluate recharge water travel times. The potential limitations of DC resistivity are that the inability to determine changes in saturation once soil has become partially saturated and that the resistivity response may not be discernable at depths greater than about 250 ft bls, which is why an additional geophysical method is proposed for the FFY20 program.

Tack 2c: Microgravity measurementsTo supplement and offset the potential limitations of the other proposed geophysical investigations in the study area, the USGS is proposing to use microgravity to help determine the fate and transport of the recharge water in the unsaturated and saturated zone below and near the GRRP. Microgravity methods used in combination with other geophysical techniques can augment the interpretation of the movement of artificial or natural recharge and estimation of groundwater storage. Changes in groundwater storage in unconfined aquifers typically is estimated by observing groundwater-level changes in wells and multiplying the observed changes by an assumed value of specific yield (Kennedy, 2015). In many cases, an assumption about the confined or unconfined nature of the aquifer is required to convert groundwater-level changes to storage changes. Microgravity measurements are directly related to changes in the mass of water at the water table and in the unsaturated zone (Kennedy, 2015) and microgravity signals can reach depths greater than may be detected with DC resistivity. Repeated measurements at a network of microgravity stations can be used to determine the change in water mass in the aquifer at discrete points, the areal extent of storage change over the network where microgravity was measured, and the volume of the change in storage (Parker and Pool, 1998). Coupled with measurements from groundwater-table observation wells, microgravity data also can be used to estimate specific yield of the aquifer at specific locations (Pool and Eychaner, 1995). Repeat microgravity surveys have been used to estimate the change in aquifer storage and constrain estimates of aquifer storage values in areas where artificial recharge was released to ponds in other areas (Kennedy and Ferre, 2015).

An initial microgravity survey will be made in June 2019 when the initial DC resistivity survey is done to determine the baseline relative microgravity of the unsaturated zone near and belowthe GRRP. The effect of soil moisture and background noise on the quality of the microgravity data from the June 2019 survey will be assessed to determine if repeating the microgravity method will better define the areal extent and depth of the recharge water after the it is applied. If the data from the June 2019 survey show that this method will be effective, four additional field surveys are proposed in FFY20 after sufficient water has been released to the GRRP so that relative changes in mass can be observed. Microgravity and groundwater levels will be measured at 10-15 stations that include YVUZ-4, -5, -6, and YV-3 during each microgravity survey. The relative change in mass observed from each field survey, in conjunction with the changes in measured groundwater levels, will be compared to results from the previous microgravity field surveys to help determine the areal distribution of recharge water in the aquifer system, relative changes in storage of aquifer materials, and an estimate of the aquifer storage value; knowing the

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storage value of the aquifer materials will improve the ability to manage the system and help predict how different management scenarios will affect recharge and withdrawal operations.

Task 3: Well DevelopmentWells completed at or near the water table are important for understanding the water chemistry at that location and for monitoring recharge from the surface. Typically, there is only a small amount of water in these wells, so development can be difficult. The well at YV3-4 was completed a few feet below the water table using mud-rotary techniques and development of this well (purging of drilling fluids) has been difficult, as was anticipated. After water is infiltrated at the GRRP, it is expected that water levels will rise in well YV3-4, making development possible.

Task 4 – Basin-wide Water-Quality Sampling of Drinking WaterThis task is to continue the ongoing monitoring program in the West, Midwest, and Mideast hydrogeologic units of the Warren Subbasin. The ongoing program collects data from selected HDWD production wells: 2W, 6W, 9W and 20, and monitoring wells YV-1, YV-2, YVUZ-1, and YVUZ-2 (fig. 1). These wells will be sampled in FFY20 and analyzed for major and minor ions, nutrients, and DOC at the USGS National Water Quality Laboratory (NWQL). The samples from these wells will also be analyzed for nitrogen isotopes (15N of ammonia and 15N and 18O of nitrate) and stable isotopes (D and 18O) at the USGS Reston Stable Isotope Laboratory. The production wells will also be analyzed for wastewater compounds to get background data for these constituents.

Task 5: Depth-dependent testing for production well 2W

The pump is currently removed from production well 2W so it is a great opportunity to collect depth-dependent data to determine water movement through the unsaturated alluvium. Well logs will be collected for flow (static and pumping) and EM logging. Previous bulk (collected at surface) water-quality samples show water from this well is from the recharge ponds. We would collect depth-dependent water-quality samples from the top and bottom of the perforations (340 and 640 ft bls) and bulk discharge to determine if there is a difference in the source to the well.

Task 6: Documentation and ReportData collected during drilling, geophysical logging, and construction will be compiled and entered into the USGS National Water Information System database and will be available online at http://waterdata.usgs.gov/nwis, or the Borehole Log Archiver database (http://logarchiver.usgs.gov/), and archived locally in the San Diego Project Office according to USGS Office of Groundwater Technical Memorandum 2010.01.

A report describing data collected as part of the GRRP research, including the interpretation of the study’s results, is planned to be published in USGS Scientific Investigative Report. This report will also describe the site boring, construction procedures, field lithologic logs,geophysical-log data, and water-quality data for YVUZ-7, -8, and -9. A draft of the report with the preliminary results will be furnished to the HDWD for their review by the end of FFY20.

SUMMARYThe total cost of the proposed work is $365,000. For studies done with local agencies, the U.S. Geological Survey may have funding to share costs for certain expenses such as labor and travel,

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subject to availability of these funds through congressional appropriations CMF. Costs associated with each task are presented in the following table.

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Task HDWD USGS CMF TOTAL

1 – Water Chemistry (treated wastewater)

$113,700 $2,200 $115,900

2a – Electromagnetic (EM) resistivity

$19,700 $2,000 $21,700

2b - Direct-current (DC) resistivity

$26,300 $2,200 $28,500

2c - Microgravity $16,000 $1,800 $17,800

3 – Well development $12,000 $1,000 $13,000

4 – Water Chemistry (drinking water)

$63,200 $2,000 $65,200

5- Depth-dependent testing for production well #2W

$30,200 $3000 $33,200

6 – Documentation and report $64,700 $5,000 $69,700

TOTAL $345,800 $19,200 $365,000

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FIGURES

Figure 1. Location of study area, Warren Subbasin, California.

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Figure 2. New auger hole locations at wastewater treatment plant.

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Figure 3. GRRP monitoring sites YVUZ-4, -5, -6, and YV-3.

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REFERENCES

California Department of Water Resources, 2015, Titles 22 and 17 California Code of Regulations, accessed May24, 2018 at https://www.waterboards.ca.gov/drinking_water/certlic/drinkingwater/documents/lawbook/RWregulations_20150716.pdf.

Izbicki, J.A., O’Leary, D.R., and Burgess, M.K., 2015, In-situ Arsenic Removal During Groundwater Recharge Through Unsaturated Alluvium, Water Research Foundation, Denver, CO, 80 p.

Kennedy, J.R., and Ferre, Ty P.A., Accounting for time-and space-varying changes in the gravity field to improve the network adjustment of relative-gravity data, Geophysical Journal International, 2016, 204, p. 892-906.

O’Leary, D.R., Clark, D.A., and Izbicki, J.A., Hydrogeologic data and water-quality data from a thick unsaturated zone at a proposed wastewater-treatment facility site, Yucca Valley, San Bernardino County, California, 2008-11, U.S. Geological Survey Data Series 925, 68 p.

Parker, J.T.C. and Pool, D.R. 1998, Use of microgravity to assess the effects of El Nino on ground-water storage in southern Arizona, U.S. Geological Survey Fact Sheet 060-98, https://pubs.er.usgs.gov/publication/fs06098.

Pool, D.R. and J.H. Eychaner. 1995, Measurements of Aquifer-Storage Change and Specific Yield Using Gravity Surveys. Ground Water 33, no. 3: 425–432.

Stamos, C.L.,Martin, P., Everett, R.R., and Izbicki, J.A., 2013, The effects of artificial recharge on groundwater levels and water quality in the west hydrogeologic unit of the Warren Subbasin, San Bernardino County, California, 2013-5088, U.S. Geological Survey Scientific Investigations Report, 88 p.

U.S. Geological Survey, 2007, Facing tomorrow’s challenges—U.S. Geological Survey Science in the decade 2007-2017. U.S. Geological Survey Circular 1309, 67 p. http://pubs.usgs.gov/circ/2007/1309/pdf/C1309.pdf.

U.S. Geological Survey, variously dated, National field manual for the collection of water-quality data: U.S. Geological Survey Techniques of Water-Resources Investigations, book 9, chaps. A1–A9, available online at http://pubs.water.usgs.gov/twri9A.

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Agenda Item No: 4.C


Subject:PHASE I ENVIRONMENTAL SUPPORT SERVICES: CHANGE ORDER NO. 01

Recommendation:Board to authorize the General Manager to amend and increase an agreement with Jericho Systems, Inc. in theamount of $12,800.00.


Background:On May 24, 2018, the Hi-Desert Water District (District) entered into an agreement with Jericho Systems, Inc.(Jericho) to provide environmental support services for the duration of the Phase I Wastewater ReclamationProject. Under the current agreement, Jericho invoices the District on a time and materials basis. Theagreement has a not-to-exceed amount of $258,880.00.

Section 3.3.4 of the agreement states: "At any time during the term of this Agreement, [the] District may requestthat [the] Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determinedby [the] District to be necessary for the proper completion of the Project, but which the Parties did notreasonably anticipate would be necessary at the execution of this Agreement."

On April 19, 2019, Jericho submitted a request to extend and modify its existing agreement (attached asChange Order No. 01). Jericho's current agreement with the District expires May 23, 2019. If approved, ChangeOrder No. 01 will change the contract end date to December 31, 2019. This extension is necessary for Jerichoto continue performing environmental support services throughout the duration of the Package D sewercollection system installation.

Change Order No. 01 also includes the addition of sixteen (16) Worker Environmental Awareness Training(WEAP) sessions to educate employees about potential biological and cultural sensitives they encounter. TheDistrict's Mitigated Monitoring and Reporting Program (MMRP) requires any worker working on the WastewaterReclamation Project attend a WEAP session. The total cost of Change Order No. 01 is $12,800.00. Theagreement will continue to be billed on a time and materials basis, and if any WEAP sessions are not needed,the District will not be charged for them

Attachments:Change Order No. 1

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https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/347291/HDWD_Const_Mon_CO_1.pdf

47 1st Street, Suite 1 Redlands, CA 92373-4601 (909) 307-5633

“Experience the Jericho Difference” www.jericho-systems.com

April 19, 2019 Samantha Mena Construction Manager Water Reclamation Project Assistant 55439 29 Palms Highway Yucca Valley, CA 92284 RE: Request for Contract Extension and Modification Environmental Construction Monitoring and Compliance

High Desert Water District - Water Reclamation Facility, Wastewater Treatment Plant and Sewer Collection System Project

Yucca Valley, CA Dear Samantha: Jericho Systems Inc (Jericho) appreciates the opportunity to provide this request to continue services for the above-referenced Project. The following is requested: Contract Extension: Our Contract Services Agreement for Environmental Support Services was entered into on May 24, 2018 and will expire May 23, 2019. It is our understanding that the Project will be complete sometime in December 2019. Therefore, in order to continue to provide services, we respectfully request that the contract end date be changed to December 2019. Contract Modification: Task 2 of our scope of work is to prepare and provide a Worker Environmental Awareness Training (WEAP) to educate employees about potential biological and cultural sensitivities they encounter. This task was scoped and priced to provide the training assuming that the same crew would be conducting the work throughout the project, with only limited numbers of replacement employees needing future training. However, this has not been the case. Since the contract inception, we have been providing this training on a nearly twice per month basis, to mostly one to three employees at a time. Therefore, we respectfully request that this line item be revised for an $800 per session fee for the new employees that will be hired between the date of the contract extension and the contract termination. Jericho appreciates the opportunity to continue to be of service to the High Desert Water District. If you have any questions or need any clarifications, feel free to contact me at (909) 915-5900 or at [email protected]. Sincerely,

Shay Lawrey, President

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Agenda Item No: 4.D


Subject:PIPELINE BID PACKAGE C: CHANGE ORDER 0020

Recommendation:Staff recommends the Board of Directors authorize the General Manager to approve Change Order 0020 forPipeline Bid Package C in the amount of $181,010.00.


Background:Quantities for Bid Items 16, 21 and 39 were tracked daily by the contractor (Sukut Construction, LLC) andinspection staff (Hi-Desert Water District) and used to verify the quantities for each month's pay applications.Upon substantial completion, the contractor requested an adjustment to the quantities of these items to accountfor the actual work completed.

The original bid estimate quantity for Bid Item 16 was 133 manholes. There were a total of 144 manholes thatwere verified in the field documentation as being constructed during the project. The additional quantity of 11manholes constitutes an overrun of the engineer's bid item estimate. The additional quantity of 11 manholesincreases the contract by $136,400.00.

The original bid estimate quantity for Bid Item 21 was 1,250 4" laterals. There were a total of 1,263 4" lateralsthat were verified in the field documentation as being constructed during the project. The additional quantity ofsix 4" laterals constitutes an overrun of the engineer's bid item estimate. The additional quantity of six 4" lateralsincreases the contract by $19,110.00.

The original bid estimate for Bid Item 39 was 315 square feet of reinforced concrete sections. An additionalquantity of 2,510 square feet constitutes an overrun of the engineer's bid item estimate. Two-thousand squarefeet was added in Change Order 0006; the remaining 510 square feet constitutes the additional quantity ofChange Order 0020 and increases the contract by $25,500.00.

The total of Change Order 0020 is $181,010.00 and the potential amended contract amount is $30,134,067.65.

Attachments:

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Agenda Item No: 4.E





Background:Asphalt work for the placement of new roads, and improvements, where needed, was performed as part ofPipeline Bid Package C. The work performed during each month was tracked and adjusted upon the basis ofthe Contract Specifications and utilizing the "California Statewide Crude Oil Price Index." The total adjustmentfor the project is $340,889.57. Change Order 0013 was issued previously, in the amount of $92,682.17, for themonths of March, July, and August 2018. The final cost of $248,207.57 is for the months of September,October, November and December of 2018 and January, February and March of 2019.


Attachments:

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Agenda Item No: 4.F





Background:During construction of Pipeline Bid Package C, the engineer (Atkins) issued 19 design clarification memos(DCM) due to responses to 59 requests for information (RFI). These DCMs resulted in changed to the pipe andmanhole design locations and elevations. The engineer's basis for calculation of the pipe grades is a stationand invert elevation at the center of each manhole. In order to correctly calculate the pipe grades, Sukut utilizedthe difference in elevation at each respective manhole and the horizontal distance, edge to edge, between eachmanhole. Change Order 0022 compensates Sukut for work performed by a CAD technician in the GPSdepartment o remodel the pipe slopes and elevations to meet the new design requirements.


Attachments:

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Agenda Item No: 4.G


Subject:PIPELINE BID PACKAGE D: CHANGE ORDER 0002

Recommendation:Staff recommends the Board of Directors authorize the General Manager to approve Change Order 0002 forPipeline Bid Package D in the amount of $56,430.00.


Background:During construction of Pipeline Bid Package D, the engineer (Atkins) issued a design clarification memo (DCM#003) instructing the contractor (Sukut Construction, LLC) to lower manhole PH03-02 to accommodate thePhase 2 design. Lowering that manhole increased the depth of adjacent 8" sewer lines and manholes for PH01,PH04, PH05, PH09 and the 15" TRP lines. After the contractor potholed the existing water and gas services inthe subject area, the design engineer generated DCM #014, which decreased the value of the added depths inthe subject area.

The net change in depth in the pipeline elevations resulted in a change of production rates and methods for thecontractor. These changed include added time in excavation and backfill and additional shoring efforts. Theproduction rates used to estimate this extra work were negotiated by MWHC and the contractor and wereagreed upon by both parties.


Attachments:

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Agenda Item No: 4.H

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Mark BitmanPresented by: Ed Muzik, General ManagerAgenda Section:

Subject:RESOLUTION 19-18 SUMMARILY VACATE EASEMENT

Recommendation:Board to approve vacating easement previously acquired through the San Bernardino County Flood wash.

Fiscal Impact:TBD

Background:Due to alignment issues, we must realign the collection system in one of the vacant land washes owned by theSan Bernardino County Flood District. This realignment is necessary for the collection system to functionproperly.

Attachments:0587-292-16-Resolution 19-18.docx

0587-292-16-Vacate.pdf

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https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/356718/0587-292-16-Resolution_19-18.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/358883/0587-292-16-Vacate.pdf

Resolution No. 19-18

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE HI-DESERT WATER DISTRICT SUMMARILY VACATING A PORTION OF A PUBLIC SERVICE

EASEMENT LOCATED AT APN: 0587-292-16, vacant land owned by the San Bernardino County and used as a flood wash, YUCCA VALLEY, CA 92284 PURSUANT TO STREETS AND HIGHWAYS CODE SECTION 8330 ET SEQ.

WHEREAS, the Hi-Desert Water District (“District”) holds a public service easement for that certain property located within the Town of Yucca Valley (“Town”) consisting of an easement more specifically described and depicted in the attached Exhibit A (“Property”); and

WHEREAS, Section 8333 of the California Streets and Highways Code authorizes the District Board of Directors to summarily vacate a public service easement if the easement has not been used for the purpose for which it was dedicated or acquired for five consecutive years immediately preceding the proposed vacation, or if the date of the dedication is more than one year immediately preceding the proposed vacation and the easement was not used continuously since that date; and

WHEREAS, the District has not used the Property for construction or other public service purposes for over five years and has not continuously used the Property for construction or other public services with the year immediately preceding the date of this Resolution; and

WHEREAS, all other legal prerequisites to the adoption of this Resolution have occurred.

NOW, THEREFORE, BE IT RESOLVED determined and ordered by the Board of Directors of the District:

SECTION 1. Incorporation of Recitals. The Board of Directors hereby finds and determines that the Recitals of this Resolution are true and correct and are hereby incorporated into this Resolution as though fully set forth herein.

SECTION 2. Order of Vacation. The Board of Directors, under the authority vested in it by the California Streets and Highways Code, Division 9. – Change of Grade and Vacation, Part 3. – Public Streets, Highways, and Service Easements hereby orders the vacation of the Property and any and all interests that the District may have therein, as more particularly described and depicted in the attached Exhibit A and Exhibit B, respectively.

SECTION 3. Certification, Recordation, and Retention. The Secretary of the Board of Directors shall cause a certified copy of this Resolution of vacation, attested by the Secretary of the Board of Directors under seal, to be recorded without acknowledgement, certificate of acknowledgement, or further proof in the Office of the San Bernardino County Recorder. Pursuant to Streets and Highways Code Section 8336, no fee shall be

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charged for such recordation. The Secretary of the Board of Directors shall permanently maintain a true and correct copy of this Resolution in the District’s Administration Office.

SECTION 4. Effective Date. This Resolution shall become effective upon its adoption. Upon the recordation required hereby, the vacation is complete, and the street and public service easements vacated no longer constitute a street or public service easement.

APPROVED and ADOPTED, this 22nd of May 2019 by the Following vote:

Ayes:Noes:Abstain:Absent

Daniel Munsey, President of the Board of Directors

ATTEST:

Ed Muzik, Secretary of the Board of Directors

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Agenda Item No: 4.I

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Mark BitmanPresented by: Ed Muzik, General ManagerAgenda Section:

Subject:INTERNET SERVICE AT PLANT - SPECTRUM

Recommendation:Board to approve Ed Muzik, General Manager, to enter into an agreement with Spectrum to bring broadbandfiber internet service to the plant for use with computers, phones, security systems, and other wireless devices.

Fiscal Impact:$73,000 over a three-year period

Background:To install hi-speed internet at this location we need to have Spectrum run a line to the building. The cost ofinstallation is $48,376. They are asking that we accept the terms of a three-year agreement of monthlypayments of $684. This will give the plant a 50/50 (up/down) internet service source.

Attachments:img05102019_0001.pdf

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https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/358893/img05102019_0001.pdf

Agenda Item No: 4.J


Subject:WASTEWATER RECLAMATION FACILITY: CHANGE ORDER 07

Recommendation:TBD

Fiscal Impact:TBD

Background:On June 13, 2017, the Hi-Desert Water District (District) along with W.M. Lyles Co., Kennedy/Jenks, andCarollo Engineers, hosted a joint-Guaranteed Maximum Price (GMP) Workshop for Stage II of its WastewaterReclamation Project (Project). Between the GMP Workshop and the District's execution of the Stage IIDesign-Build Contract, W.M. Lyles Co. and Kennedy/Jenks substituted a Proto II wall for the traditional 8-footmasonry block wall included in the 70% design. This substitution was not relayed to District Staff (Staff).

On February 28, 2018, the District hosted the 100% Design Workshop. Attendees included W.M. Lyles Co.,Kennedy/Jenks, and Carollo Engineers. Carollo Engineers, providing construction oversight services for theDistrict, identified the substitution of the Proto II wall for the traditional 8-foot masonry block wall.

On December 11, 2018, Staff presented both the Proto II wall option and the traditional 8-foot masonry blockwall option to the Engineering Committee. The Engineering Committee directed Staff to procure a contractor toconstruct the traditional 8-foot masonry block wall. Following several conversations with the Clean Water StateRevolving Fund (SRF) Division of Financial Assistance (DFA), Staff was informed that costs associated withthe construction of the perimeter wall would not be reimbursable if the District procured its own contractor.

Staff continued working with W.M. Lyles Co. and Kennedy/Jenks for a solution. On May 13, 2019, Staff met withDave O'Dear (W.M. Lyles Co.) to review updated quotes for the traditional 8-foot masonry block wall. Followingnegotiation, W.M. Lyles Co. agreed to pay half of the difference of the cost of the traditional 8-foot masonryblock wall ($TBD).

The installation of the agreed upon traditional 8-foot masonry block wall will result in a Charge Order to theDistrict of $TBD

Attachments:

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Agenda Item No: 4.K

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Jennifer PolandPresented by: Jennifer Poland, Communications and Legislative OfficerAgenda Section:

Subject:RESOLUTION #19-17 AMENDING CHAPTER 5.15 GENERAL RULES TO COMPLY WITH SENATE BILL 7

Recommendation:Board to consider adoption Resolution #19-17, adding Section 5.15.300 to the Hi-Desert Water District Coderegarding individual metering and sub-metering of newly constructed multi unit residential and mixed usestructures.

Fiscal Impact:TBD

Background:On September 25, 2016, Senate Bill 7 titled "Housing: water meters: multiunit structures," was passed by theState legislature and approved by former Governor Jerry Brown. The bill requires for landlords of any structurehousing multiple tenants to be responsible for accurately reporting and charging individual water usage to eachdwelling unit.

Installation of a sub-meter or individual meter for each dwelling unit is mandatory to accurately measure thevolume of water used by each unit. The land-use authority (Town of Yucca Valley) still maintains the jurisdictionof enforcing the new law requiring any new construction of multi unit structure to install such meters.

It was recommended by the District's legal counsel, Best, Best & Krieger to add this Resolution to the District'spolicy.

Attachments:HDWD Resolution 19-17 - Dist Code Amend re-SB 7 (Individual Metering_Submetering)-c2.docx

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https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/355502/HDWD_Resolution_19-17_-_Dist_Code_Amend_re-SB_7__Individual_Metering_Submetering_-c2.pdf

24482.00000\31991499.3 1

Resolution No. 19-17A Resolution of the Board of Directors of the Hi-Desert Water DistrictAdding a New Section 5.15.300 to the Hi-Desert Water District Code

Regarding Individual Metering or Submetering of Newly Constructed Multiunit Residential or Mixed Use Structures

WHEREAS, in 2002, the Hi-Desert Water District (“District”) adopted rules and regulations applicable to the administration and operational activities of the District, including without limitation, rules and regulations related to installation of water meters;and

WHEREAS, the District’s Board of Directors may, from time to time, adopt standard requirements for the design, construction, repair and maintenance, or connection to the district water system; and

WHEREAS, on September 25, 2016, Senate Bill 7 (“SB 7”) was signed into law for the purpose of encouraging the conservation of water in multifamily residential rental buildings through means within the landlord’s or the tenant’s control, and establishing that the practices involving the submetering of dwelling units for water service are just and reasonable, and including appropriate safeguards for both tenants and landlords; and

WHEREAS, SB 7 requires, among other things, a water purveyor that provides water service to certain newly constructed multiunit residential structures or newly constructed mixed-use residential and commercial structures that submit an application for a water connection after January 1, 2018, to ensure that the quantity of water supplied to each individual dwelling unit is individually measured as a condition of new water service, and also imposes certain obligations on the owner of those structures; and

WHEREAS, the Board of Directors of the Hi-Desert Water District now desires to amend the Hi-Desert Water District Code (“Code”) to incorporate the applicable requirements set forth in SB 7 by adding a new Section 300 to Chapter 5.15 of the Code; and

NOW, THEREFORE, BE IT RESOLVED determined and ordered by the Board of Directors of the District:

SECTION 1. Incorporation of Recitals. The Board of Directors hereby finds and determines that the Recitals of this Resolution are true and correct and are hereby incorporated into this Resolution as though fully set forth herein.

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24482.00000\31991499.3 2

SECTION 2. Addition of Section 300 to Chapter 5.15 of the Code. The Board of Directors, hereby adds Section 300 to Chapter 5.15 of the Hi-Desert Water District Code to read as follows:

5.15.300 Water Service for New Multiunit Residential and Mixed-Use Structures.As a condition of new water service, each newly constructed multiunit residential structure or newly constructed mixed-use residential and commercial structure for which an application for one or more water service connections is submitted after January 1, 2018, shall measure the quantity of water supplied to each individual residential dwelling unit, unless exempt under applicable law. The measurement may be by individual water meters or submeters. The owner of the structure shall either: (a) arrange for the District to install individual meters for each unit; or (b) install individual submeters for each unit in compliance with all laws and regulations governing the approval of submeters and the installation, maintenance, reading, billing, and testing of submeters, including, but not limited to, the California Plumbing Code and California Water Code. Except as otherwise provided by law or District policy, the owner shall read submeters.

SECTION 3. Severability. If any section, subsection, clause or phrase in this Resolution is for any reason held invalid, the validity of the remainder of this Resolution shall not be affected thereby. The Board of Directors hereby declares that it would have passed this Resolution and each section, subsection, sentence, clause, or phrase thereof, irrespective of the fact that one or more sections, subsections, sentences, clauses or phrases or the application thereof be held invalid.

SECTION 4 Effective Date. This resolution shall be effective immediately upon adoption.

Approved and Adopted this ____ of ___________, 2019 by the following vote:

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24482.00000\31991499.3 3

Ayes: Noes: Absent: Abstain:

____________________________Dan Munsey, President of the Board of Directors

Attest:

Ed MuzikSecretary of the Board of Directors

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Agenda Item No: 4.L

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Tony CulverPresented by: Tony Culver, Director of Water OperationsAgenda Section:

Subject:WELL 24 REPAIR

Recommendation:Staff recommends that the Board authorize the General Manager to accept the low bid of $53,361.13 fromLayne Christensen Company to perform repairs and start up of well 24.

Fiscal Impact:$53,361.13 to be taken out of reserves

Background:Well 24 just went through an extensive cleaning and rehabilitation. After inspection of the well, there are itemsthat need to be repaired and replaced. Staff received two (2) quotes for the repair and installation of Well 24. Attached are quotes from Layne Christensen Company and Best Drilling and Pump, Inc.

Attachments:Well #24 Quote.pdf

Hi Desert 24 Pump Repairs and Install.pdf

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https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/360709/Well__24_Quote.pdf

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/360710/Hi_Desert_24_Pump_Repairs_and_Install.pdf

Customer: Hi Desert Water District Proposal No.: 3195755439 29 Palms Hwy Contact: Tony CulverYucca Valley, Ca. 92284 Date: 4/17/2019

Well or Description of Work: Well #24-Pump Repair

Terms: Due Upon Receipt

Quantity Description Price Unit Total

1 Shop labor $3,520.00 LS. $3,520.001 10" x 24" TBE landing nipple $201.00 EA. $201.001 1-11/16" head shaft and coupling $922.00 EA. $922.001 2-1/2" IR top tube $503.00 EA. $503.00

13 10" x 20' x .279" Butt T&C column pipe $1,073.00 EA. $13,949.002 10" Butt pipe collars $134.00 EA. $268.00

22 1-1/2" x 2-1/2" x 20' IR tube and shaft assemblies $721.00 EA. $15,862.007 10" x 2-1/2" BWS $20.00 EA. $140.001 8" x 10' suction pipe TOE $386.00 EA. $386.001 8" SS cone strainer $470.00 EA. $470.001 1/4" SS airline w/gauge $1,250.00 EA. $1,250.001 Turbine and thrust bearing oil $838.00 EA. $838.001 Discharge gasket, bolting, SS banding, buckles, etc. $420.00 EA. $420.001 Bowl rebuilding materials $6,550.00 EA. $6,550.001 Sand blasting $500.00 EA. $500.001 Freight $450.00 EA. $450.001 Install pump $10,400.00 LS. $10,400.001 Start up $1,500.00 LS. $1,500.00

Prevailing Wage, Tax and Freight Included TOTAL $58,129.00

Best Drilling and Pump, Inc. does not assume liability for pump/motor suppliers delays inmanufacturing, testing or deliveries. Best Drilling and Pump is not responsible for labor or rig costassociated with replacement of manufactures equipment failures or warranty replacement.Best does not take any responsibility for any damage to the well casing, screen, gravel pack, pump equipment, motors, valves, pump house and any other damage arising in the course of any well work including but not limited to: inspection, cleaning, repairing, chemical treatment, brushing, bailing, or replacement of any new or defective parts manufactured or installed by others.

Quotation Form

1640 Pellisier Road, Colton, CA 92324Telephone: (951) 684-1952 Fax: (951) 684-3852 Email: [email protected]

Contractor No.: C-57, 826672 DIR Registration No. 1000001067

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909-747-8139

4/4/2019 Quote: Repair/Install.St-Up

Repair equipment, Installation and Start-Up.

Our estimate is valid for 30 days and is subject to the attached Terms and Conditions. Applicable taxes, bonds, and special insurance requirements are not included with this estimate. Please contact your Layne Christensen Company representative if you have any questions.

Layne Christensen Company has been the industry leader in groundwater development since 1882. Our full range of water-related service encompasses: initial site selection; well field design and development; well drilling and development; pump installation and repair; water treatment; aquifer investigation and remediation; and well rehabilitation.

Thank you for choosing Layne Christensen Company and giving us the opportunity to be your water resource solution provider.

Sincerely,Layne Christensen Company

Tom HetzelAccount Manager

1717 Park Ave, Redlands, CA 92373 | Office: 909-390-2833 | Fax: 909-390-6097 | layne.com


Tony Culver Hi desert Water District55439 29 PalmsYucca Valley, Calif 92284

Re: Well 24 - Repair Equipment, Install and Start-up

Dear Tony ,

We are pleased to present our project estimate for the referenced work to be performed at Boo Lane & Warren Vista Ave..

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Estimated Price $53,361.13

Our estimate is valid for 30 days and is subject to the attached Terms and Conditions. Our terms and conditions are hereby incorporated by reference and constitute a part of this estimate. Please contact your Layne representative if you have any questions.


Sub-Total $50,443.79Tax $2,437.21

Consumables $480.13

Sub-Total $37,086.32

Install Pump Lump Sum $11,897.11

Start Up Lump Sum $1,460.28

Sand Blasting 1 EA $678.57 $678.57Freight 1 EA $321.43 $321.43

Discharge Gasket, Bolting, SS Banding, Buckles, etc. 1 EA $217.39 $217.39Bowl Rebuild Materials 1 EA $2,500.00 $2,500.00

1/4" SS Airline w/ Gauge 1 EA $905.80 $905.80Turbine and Thrust Bearing Oil 1 EA $173.91 $173.91

8" x 10' Suction Pipe TOE 1 EA $340.58 $340.588" SS Cone Strainer 1 EA $405.80 $405.80

1-1/2" x 2-1/2" x 20' IR Tube and Shaft Assemblies 22 EA $630.43 $13,869.4610" x 2-1/2" BWS 7 EA $17.39 $121.73

10" x 20' x .279" Butt T&C Column Pipe 13 EA $905.80 $11,775.4010" Butt Pipe Collars 2 EA $57.97 $115.94

1-11/16" Head Shaft and Coupling 1 EA $644.93 $644.932-1/2" IR Top Tube 1 EA $72.46 $72.46

Labor $4,638.5710" x 24" TBE Landing Nipple Butt 1 EA $304.35 $304.35


Well 24

Pump Repairs Qty Units Unit Price Ext Price

62

Title: Title: Account Manager

Date: Date: 4-4-2019


CLIENT CONTRACTOR

Hi desert Water District Layne Christensen Company

By: By:


Well 24CONFIRMING ORDER

The undersigned Client instructs Layne Christensen Company to proceed with the work described with the understandingthat Layne's Standard Terms and Conditions and attached documents are hereby incorporated as part of this ConfirmingOrder.

Work to be performed per attached quote .

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T ERMS AND CO ND IT IO NS

LI AB IL IT Y OF CO NT R ACT OR : Con t r a c to r sh a l l no t be l i ab le f o r any bod i l y i n ju r y , dea th , o r i n ju ry t o o r des t ruc t ion o f t ang ib le p rope r t y e xce p t as t h e sa me ma y h a ve b e e ncaused by t he neg l igence o f Con t ra c tor . I n no even t sh a l l Con t rac to r be l i ab le f o r any de la ys o r spec ia l , i n d i re c t , i n c iden ta l o r co nsequen t ia l damages . Pu rchase r ag rees t ha t t heto ta l l im i t o f Con t ra c to r ’ s l i ab i l i t y (w he the r based on neg l ig ence , w a r ran t y , s t r i c t l i ab i l i t y o r o t he rw ise ) he reunde r , sh a l l n o t exceed t he agg rega te amoun t due Co n t ra c to r f o rse rv ices rende red unde r t h i s con t ra c t . A l l c la ims , in c lud ing c la ims f o r neg l i g ence o r any o the r cause w h a t so eve r , sh a l l be dee me d w a ive d u n le ss ma d e i n w r i t i n g a n d re ce ive d b yCo n t ra c to r w i t h in one (1 ) ye a r a f t e r Con t rac to r ’s co mp le t ion o f w o rk he re unde r .

INS UR ANCE: Co n t ra c to r sh a l l p ro v id e wo rke rs ’ co mp e n sa t io n in su ra n ce , p u b l i c l i a b i l i t y a n d p ro p e r t y d a ma g e in su ra n ce co ve r in g i t s e mp lo ye e s a n d ope ra t io n . P u rch a se r , a ti t s op t ion , ma y ma in ta in su ch in su ranc e as w i l l p ro tec t i t aga ins t c la ims a r i s i ng ou t o f th e wo rk .

REIMB URS ABLE COST : In add i t i on t o t he hou r l y cha rge p rov ided on t he f ace o f t h i s co n t ra c t , Pu rchase r w i l l re imbu rse Co n t ra c to r f o r t rave l and l i v in g e xp e n se s n e ce ssa r i l yin cu r re d b y t h e Co n t ra c to r i n th e p e r f orma n ce o f t h e wo rk , m in o r in c id e n t a l e xp e n se s su ch a s o ve rn ig h t ma i l , t e le p h o n e an d p e t t y ca sh e xp e n d i t u re s n e ce ssa r i l y i n cu r re d , co s t o fre mo va l o f a l l d e b r i s i f so d i re c te d b y P u rch a se r , sa le s , co n su me r , u se a n d s im i la r t a xe s re q u i re d b y la w a n d t h e co s t o f p e rmi t s a n d a l l l i ce n se s n e ce ssa ry f o r t h e e xe cu t io n o ft he wo rk . Th e f o re go in g co s t s sha l l be b i l l ed a t ac tua l co s t p lus f i f t een pe rcen t (15%) un less o the rw ise ag reed upon .

PRICE ADJ UST ME NT : Any co s t es t ima tes o r t ime f rames s ta t ed he re in a re su b jec t t o equ i t ab le ad ju s tme n t in the even t o f d i f f e r in g o r un f o re se ea b le cond i t i o ns , change s inapp l i cab le la ws a f t e r t he da te o f t h i s con t ra c t , un f o re se ea b le de lays o r d i f f i cu l t i e s caused by ac t s o f God , Pu rchase r o r any t h i rd pa r t ie s . P r i ces o f goods acqu i red by Co n t ra c to rf rom o the rs sha l l be ad jus ted t o re f le ct Con t ra c to r ’ s p r i ce in e f f e c t a t t ime o f sh ip men t . Th e p r i ce o f Con t ra c to r ’ s goods w i l l be ad jus ted t o t he p r i ce in e f f ec t a t t ime o f sh ip men tin acco rdance w i t h Co n t ra c to r ’ s cu r re n t esca la t ion po l i c ie s o r as spec i f i ca l l y co ve red in t h i s co n t ra c t .

T ERMS: Th i r t y (3 0 ) days ne t f rom da te o f i n vo ice . Fo r ex tend ed p ro jec t s , Co n t ra c to r sh a l l submi t i n vo ices on a mo n th ly bas is f o r an y a nd a l l wo rk co mp le t e d a n d ma t e r ia l s o re q u ip me n t p ro v id e d d u r in g t he p re v iou s mo n t h . P a s t du e in vo ice s sh a l l b e su b je c t t o a d e l in q ue n cy ch a rg e o f on e a nd o ne-h a l f p e rce n t (1 -1 /2%) pe r mo n th (e igh teen pe rcen t(1 8 %) p e r a n n u m) u n le ss a lo we r ch a rg e i s re q u i re d u nd e r a pp l i ca b le la w, in wh ich ca se t he lo we r ra t e sh a l l a pp ly . P u rch a se r a g rees t o pa y a l l co l le c t ion f ees , a t t o rn eys ’ f eesand co s t s in cu r red in t he co l le c t ion o f any pas t due amoun t s a r i s ing ou t o f t h i s co n t ra c t . Co n t ra c to r sha l l have t he r igh t t o imme d ia te ly t e rmina te t h i s co n t ra c t w i t hou t f u r t he rl i ab i l i t y i f Pu rchase r f a i l s t o ma ke t ime ly payme n t o r o t he rw ise ma te r ia l l y b reach es t h i s co n t ra c t .

M AT ER I AL S HO RT AGES AND COST INCRE ASES: I f a n y p o r t io n o f ma t e r ia l s o r e q u ip me n t wh ich Co n t ra c to r i s re q u i re d t o f u rn ish b e co me s u n a va i la b le , e i t h e r t e mp o ra r i l y o r pe rmanen t l y , t h ro ugh ca uses beyond t he con t ro l and w i t hou t t he f au l t o f Co nt ra c to r , t hen in t he ca se o f t emp o ra ry unava i lab i l i t y any co mp le t ion t i me f rames sha l l be ex tended f o rsu ch p e r io d o f t ime a s Con t ra c to r sh a l l b e d e la yed b y su ch ab o ve -d e sc r ib e d u na va i la b i l i t y , a n d in t he ca se o f p e rma n e n t un a va i la b i l i t y Co n t ra c to r s h a l l b e e xcu sed f ro m there q u i re me n t o f f u rn ish in g su ch ma t e r i a l s o r e q u ip me n t . P u rch a se r a g re e s t o p a y Co n t ra c to r a n y in c re a se in co s t b e t we e n t h e co s t o f t he ma te r ia l s o r equ ipmen t wh ich havebeco me pe rmanen t l y unava i lab le and the co s t o f t he c loses t subs t i t u t e wh ich i s t hen re asonab ly ava i la b le .

DEL AYS: I f Con t ra c to r i s de la yed a t any t ime in t he p rog ress o f wo rk by labo r d isp u tes , f i re , unusua l de lays in t ransp o r t a t ion , unavo id ab le ca sua l t i e s , wea the r , o r any causebeyond Con t ra c to r ’ s re asonab le con t ro l , t hen any co mp le t ion t ime f rames sh a l l be ex tended by a re asonab le pe r iod o f t ime , a t l e as t equa l t o t he pe r iod o f de lay .

C HANGED CO ND IT IO NS: The d is cove ry o f any haza rdous wa s te , su bs tances , po l lu t an t s , co n tamin an t s , unde rg round obs t ruc t ions o r u t i l i t i e s on o r in t h e jo b s i t e wh ich we reno t b rough t t o t he a t t en t ion o f Con t ra c to r p r io r t o t he da te o f t h i s co n t ra c t w i l l cons t i t u t e a ma te r ia l l y d i f f e ren t s i t e cond i t i on en t i t l ing Con t ra c to r , a t i t s so le d i sc re t ion t oimmed ia te ly t e rmina te t h i s con t ra c t w i t hou t f u r t he r l i ab i l i t y .

ESC AL AT IO N: Th is co n t ra c t i s ma d e w i t h t h e u n d e rs ta n d in g th a t Co n t ra c to r w i l l b e a b le t o b e g in a n d con t in u o u s ly p ro ce e d w i t h i t s wo rk o n o r b e f o re the p ro p o se d s ta r t d a t eo n t h e re ve rse s id e h e re of . In t h e e ve n t Co n t ra c to r i s u n a b le t o co mme n ce i t s wo rk o n o r b e f o re sa id d a t e b e cause t h e p ro je c t i s no t re ady f o r Co n t ra cto r ' s wo rk , Co n t ra c to r w i l lcha rge Pu rchase r t he amoun t o f i n c rease in Con t ra c to r ' s co s t a t t r i b u tab le t o su ch de lay , p lus Con t ra c to r ' s no rma l ove rhead pe rcen tage .

GU AR ANT EE AND L IAB IL IT Y: Con t ra c to r wa r ran t s t ha t i t s l abo r su pp l ied he re unde r sha l l be f ree f rom def e c t and sh a l l co nf o rm t o the s tanda rd o f ca re in e f f e c t i n i t s i n du s t rya t t he t ime o f pe r fo rma nce o f su ch la bo r f o r a pe r iod o f twe lve (12 ) mo n ths a f te r su bs tan t ia l co mp le t ion o f Co n t rac to r ' s wo rk . Co n t ra c to r ag rees , t o t he ex ten t i t i s pe rmi t t ed , t op a ss o n a n y wa r ra n t ie s p ro v id e d b y t h e ma n uf a c tu re rs o f ma t e r ia l s a n d / o r e qu ip me n t f u rn ish e d u nd e r t h i s co n t ra c t . Co n t ra c to r i t se l f p ro v id e s n o wa r r a n t y , e xp re ss , imp l ie d o ro the rw ise , on any su ch ma te r ia l s o r equ ipmen t . Co n t ra c to r w i l l no t be re spons ib le f o r : wo rk done , ma te r ia l o r equ ipmen t f u rn is hed o r repa i rs o r a l t e ra t io n s made by o the rs .

Fo r any b reach he reunde r , Con t ra c to r sha l l be l i ab le on ly f o r t he va lue o f t he in s ta l la t ion w o rk o r , i f i t w rong fu l l y f a i l s t o i n s ta l l , t h e n i t s l i a b i l i t y i s l i m i t e d t o t h e d i f f e re n cebe tw een t he con t ra c t p r i ce he re in , and t he va lue o f o the r s im i la r i n s ta l la t io n w o rk . I f Con t ra c to r ’s b reach damages any ma te r ia l s o r e qu ipmen t f u rn i shed he reunde r , Co n t ra c to rsh a l l o n ly b e l i a b le f o r t h e va lu e o f s u ch ma t e r ia l s o r e qu ip me n t . Un d e r n o c i rcu ms ta n ce s w i l l Co n t ra c to r b e l i a b le f o r co n se qu e n t ia l , sp e c ia l o r i n d i re c t d a ma g e s , in c lu d in gw i t hou t l im i t a t ion , any c rop lo ss o r damage , damage t o o the r equ ipmen t , s t r u c tu res o r p rope r t y , no r f o r any o the r s im i la r o r d i ss im i la r d a ma g e s o r lo ss e s w h e t he r d u e t o d e la y ,f a i l u re t o f u rn ish o r i n s ta l l , de lay in in s ta l la t ion , de fec t i ve ma te r ia l o r equ i pmen t , de fec t i ve w o rkma nsh ip , de fec t i ve in s ta l la t io n , d e la y in re p la c in g , n o r f o r a n y ca u se o r b re a chw ha tsoeve r . I n any even t , Con t ra c to r ’ s t o t a l l i a b i l i t y t ow a rd s Pu rchase r f o r a l l eged f au l t y pe r f o rmance o r nonpe r f o rma nce unde r t h i s con t ra c t sh a l l be l i m i t ed t o t he t o t a l con t ra c tp r i ce . No ma te r ia l s , equ ip men t o r se rv ices co n t ra c ted he re in ca r r ie s any gua ran tee no t me n t io ned in t h i s co n t ra c t . THE ABOVE W ARRANTY IS IN L IEU OF ALL OTHERW ARRANTIES , EXPRESS OR IMPL IED, INCL UDI NG, BUT NOT L IMITE D TO, IMPL IED W ARRANTIES OF ME RCHAN TABIL ITY OR F ITNESS FOR A PARTIC UL AR PURPOSE, W HIC HARE HEREBY DISCLA IMED.

T IT LE AND OW NE RS HIP : In ca se o f de f a u l t on Pu rchase r ’ s pa r t , Co n t ra c tor sh a l l have t he r igh t t o en te r t he p remises upon wh ich any ma te r ia l o r equ ip me n t f u rn ish e d h e re inh a ve b e e n in s ta l le d a n d re t a ke su ch g o o d s n o t t h e n p a id f o r a n d p u rsu e an y f u r t h e r re me d y p ro v id e d b y la w, in c lu d in g re co ve ry o f a t t o rn eys ’ f ees an d any def i c iency t o t hema x imu m ex ten t and in t he manne r p rov ided by la w. Such ma te r ia l s and equ ipmen t sh a l l re t a in t he i r cha rac te r as pe rsona l p rope r t y o f Co n t ra c to r un t i l paymen t in f u l l i s re ce i vedby Con t ra c to r , re ga rd le ss o f the i r mode o f a t t ach me n t . Un le ss p r io r spec i f i c wr i t t en in s t ru c t io ns a re re ce ived t o t he con t ra ry , su rp lu s a n d re p la ce d ma t e r ia l s a n d e q u ip me ntre su l t i ng f rom re pa i r o r i n s ta l la t ion wo rk sha l l become t he p rope r t y o f Co n t rac to r .

DELIVER Y : Sh ip me n t schedu les and da tes , exp resse d o r imp l ie d , a re co n t in gen t on no rma l cond i t i ons . Co n t r a c to r w i l l no t be re spons ib le f o r a n y d e la ys in sh ip me n t o rco mp le t ion caused by f a c to rs beyond i t s con t ro l su ch as , bu t no t l im i t ed t o , supp l ie rs ’ f a i l u re s , ac c iden t s , wo rk s t oppages o r o p e ra t io n o f o r ch a n g e s in t h e la w. S h ip me n t s w i l lb e ma d e a s p ro mp t l y a s Co n t ra c to r ’ s a b i l i t y t o o b t a in ma t e r ia l s a n d / o r e q u ip me n t a n d sch ed u l in g w i l l p e rm i t . No d e la y in sh ip me n ts o r va r ia n ce s f ro m sh ip p in g sch e d u le sh a l l b eca u se o f ca n ce l la t io n o r a n y c la i m f o r d a ma g e . A n y ch a n g e s in la yo u t o r d e s ig n re q u e s te d a f t e r a cce p t a n ce o f t h i s co n t ra c t w i l l be made a t Pu rchase r ’ s add i t i ona l co s t . Anysu ch ch a n ge a nd / o r t ime t a ke n t o supp ly e n g in e e r in g da t a o r to a pp ro ve d raw in g s w i l l a u t o ma t i ca l l y e x t e n d sh ip p in g sch e du le s . Equ ip me n t w i l l b e sh ip p e d “kn o cke d d o wn ” t o th eex ten t Con t ra c to r co ns ide rs necessa ry , w i t h sma l l pa r t s s t r ipped f rom equ ipmen t and c ra ted . On and a f t e r de l i ve ry t o t he ca r r ie r f o r t ranspo r t a t ion t o t he Pu rchase r ’ s s i t e ,Pu rchase r sh a l l be re sp ons ib le f o r a l l l o ss o r damage t o ma te r ia l s o r equ ip m en t du e to any cause , in c lud ing bu t no t l im i t ed t o lo ss o r damage re su l t i n g f rom ca su a l t y .

INDE MNIF IC AT IO N: Pu rchase r ag rees t o in demn i f y and ho ld Con t ra c to r , i t s d i re c to rs , o f f i ce r s , s t ockho lde rs , emp loyees , agen t s and subcon t rac to rs , ha rmless f ro m andaga ins t any and a l l c la ims , demands , causes o f ac t ion ( in c lu d ing t h i rd pa r t y c la ims , dema nds o r ca uses o f ac t ion fo r con t r ibu t i on o r i ndemn i f i ca t io n ) , l i ab i l i t y and co s t s ( in c lud inga t t o rneys ’ f ees and o the r co s t s o f de fense ) asse r ted and /o r f i l e d by Pu rchase r o r any t h i rd pa r t y ( ie s ) , i n c lud ing w i t hou t l im i t a t io n P u rch a se r ’s e mp lo ye e s , a n d a r i s in g o u t o f o r asa re su l t o f : ( i ) t he p resence o f Con t ra c to r o r i t s subcon t ra c to rs a t t he jo b s i t e , ( i i ) t he w o rk pe r fo rme d by Con t ra c to r o r i t s su bcon t rac to rs , o r ( i i i ) any neg l igen t ac t o r omiss ion o fPu rchase r , i t s emp loyees , agen t s , consu l t an t s , o t he r con t ra c to rs o r a n y p erso n o r e n t i t y u n d e r Pu rch a se r ’ s co n t ro l ; e xce p t t o t he exten t t ha t su ch c la ims , demands , causes o fac t ion , l i ab i l i t i e s o r co s t s a re caused by t he neg l ig ence o f Co n t ra c to r o r i t s su bcon t ra c to rs .

INT ERPRET AT IO N: Th is con t ra c t sha l l be gove rned by and cons t rued in acco rdance w i t h t he la ws o f the s ta te o f t he jo b s i t e lo ca t ion . I f an y t e rm, p ro v is io n o r co n d i t i o nco n t a in e d h e re in sh a l l , t o a n y e x t e n t , b e in va l id o r u n e n f o rce a b le , pu rsuan t t o s ta t e la w o r o t he rw ise , t he re m a in de r o f t he t e rms , p ro v is io n s a n d c o n d i t i o n s h e re in (o r t h eapp l i ca t io n o f su ch t e rm, p rov is io n , o r cond i t i on t o pe rsons o r c i rcu ms tances o the r t han t hose in re spec t o f wh ich i t i s i n va l i d o r unen f o rce ab le ) sha l l no t be a f f e c ted t he reby , andeach t e rm, p rov is ion and co nd i t i on o f th i s co n t ra c t sha l l be va l id and en fo rceab le t o t he f u l l e s t ex ten t pe rmi t t ed by la w.

ASS IG NME NT & S UBLET T ING: Pu rchase r sh a l l no t have the r igh t t o t ransfer o r ass ign i t s r i gh t s and /o r ob l iga t io ns unde r t h i s co n t ra c t t o any t h i rd pa r t y , re la t ed o r un re la t ed ,w i t hou t t he exp ress wr i t t en consen t o f Con t ra c to r . Con t ra c to r sha l l have t he r igh t t o t rans fe r , ass ign o r sub le t a l l o r any po r t io n o f i t s r i g h t s o r o b l ig a t io n s h e re u n de r , b u t su cht rans f e r , ass ignmen t o r sub le t t i ng sha l l no t re l i e ve Con t ra c to r f rom i t s f u l l ob l iga t ions t o Pu rchase r un less su ch t rans f e r , ass ignmen t o r sub le t t i ng is pu rsuan t t o t he sa le ofCo n t ra c to r , o r t he d iv i s ion o f Con t ra c to r re sp on s ib le f o r t h i s co n t ra c t , t o a t h i rd pa r t y .

MIS CELL ANEO US: Th e t e rms and cond i t i ons se t f o r t h he re in cons t i t u t e t he en t i re unde rs tand ing o f th e pa r t ie s re la t ing t o t he wo rk t o be pe r f o rmed , and ma te r ia l s and equ ipmen t t o be p rov id ed , by Con t ra c to r f o r t he Pu rchase r . A l l p rev io us p ro p osa ls , o f f e rs , and o the r co mmun ica t io ns re la t i ve t o t he p rov is ions o f t he sub jec t wo rk , o ra l o r wr i t t en , a re he reby su pe rse ded , exce pt t o t he ex ten t t ha t t hey have be en exp ress ly in co rp o ra ted he re in . Any mod i f i ca t ions o r rev is ions o f any p rov is io ns he re in o r any add i t i ona l p rov is ions co n ta ined in any pu rchase o rde r , ackn owledgmen t , o r o t he r f o rm o f th e Pu rchase r a re he reby exp ress ly ob jec ted t o by Con t ra c to r and sh a l l no t ope ra te t o mo d i f y t h i s con t ra c t . Th is con t ra c t sha l l t a ke e f f ec t upon acce p tance and execu t ion by bo th pa r t ie s .

64

Agenda Item No: 5.A

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Jonathan AbadescoPresented by: Jonathan P. Abadesco, Chief Financial OfficerAgenda Section:

Subject:FINANCIAL STATEMENTS FOR THE MONTH ENDED MARCH 31, 2019

Recommendation:FOR INFORMATION ONLY

Fiscal Impact:None

Background:Staff has reviewed the revenues and expenses through March 2019. Attached is the unaudited Statement ofRevenues, Expenses, and Changes in Net Position for nine months for fiscal year ending June 2019. Theoverall results for the nine months ending in March 2019 reflect a change in the net position of $(296,644)compared to the budgeted change in net position through March 2019 of $771,308.

Notes to the financial statements is written on the second page of the financial statement package.

Attachments:March 2019 Financial Statements for Board Meeting 05.22.19.pdf

65

https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361258/March_2019_Financial_Statements_for_Board_Meeting_05.22.19.pdf

A B C D E FVariance Variance

Operating revenues: Budget Actual Fav / (Unf) Budget Actual Fav / (Unf)1 Water consumption sales 354,961 310,626 (44,336) 4,377,858 4,350,170 (27,688) 2 Connection fees & surcharges 132,045 133,144 1,099 1,188,401 1,192,060 3,659 3 Readiness to serve fees 18,376 4,107 (14,269) 165,381 135,534 (29,847) 4 Other charges 27,398 17,296 (10,102) 246,581 216,147 (30,434) 5 Total operating revenues 532,780 465,172 (67,608) 5,978,221 5,893,911 (84,310) 1

Operating expenses: 6 Source of supply 206,150 271,450 (65,300) 1,855,350 1,462,780 392,570 2 7 Pumping & water treatment 170,714 131,845 38,869 1,536,426 1,326,340 210,086 3 8 Transmission & distribution/CRP 139,648 139,609 39 1,256,829 1,187,851 68,978 9 Customer service/Billing/Acctg 115,369 125,197 (9,829) 1,038,317 928,077 110,240 4

10 Administrative/Engineering 195,852 221,896 (26,044) 1,762,668 1,795,236 (32,568) 5 11 Total operating expenses 827,732 889,998 (62,266) 7,449,590 6,700,284 749,306

12 Operating income before (294,953) (424,826) (129,873) (1,471,369) (806,373) 664,996 depreciation & amortization

13 Depreciation & amortization (170,054) (170,054) (0) (1,530,484) (1,530,484) (0) 14 Operating income / (loss) (465,006) (594,880) (129,873) (3,001,853) (2,336,857) 664,996

Non-operating revenue / (expense): 15 Property taxes and assessments 132,961 21,108 (111,853) 1,196,652 946,298 (250,354) 6 16 Interest earnings 6,717 2,930 (3,788) 60,454 55,554 (4,900) 17 CRP Surcharge 88,411 89,105 694 795,701 797,701 2,000 18 Morongo Basin Project surcharge 46,262 46,633 371 416,357 417,552 1,195 19 Lease payment - Morongo Basin (40,050) (40,050) - (360,450) (360,450) - 20 Interest Exp-Bond, Series 2013 (11,632) (11,454) 178 (104,686) (103,088) 1,598 21 Other non-operating revenues, net 2,609 45,521 42,912 23,478 120,574 97,096 7 22 Total non-operating revenues 225,278 153,792 (71,486) 2,027,506 1,874,141 (153,365)

(expenses), net

23 Net income / (loss) before (239,728) (441,088) (201,360) (974,347) (462,716) 511,631 capital contributions

Capital contributions24 Meter sales 18,070 10,836 (7,234) 162,633 133,950 (28,683) 8 25 New installations 4,490 1,461 (3,028) 40,406 32,122 (8,285) 26 Total capital contributions 22,560 12,297 (10,263) 203,039 166,072 (36,968)

27 Change in net assets (217,168) (428,790) (211,622) (771,308) (296,644) 474,663

28 Net assets, beginning of period 40,908,686 40,776,540

29 Net assets, end of period 40,479,896 40,479,896

Hi-Desert Water DistrictStatement of Revenues, Expenses and Changes in Net Position

For the month of March 31, 2019(UNAUDITED)

Month to Date Year to Date

66

Notes to the Financial Statements For the month ending March 31, 2019

1. Water Revenue YTD - Under budget by $84k due to less water sales compared to budget, readiness to serve fees (Standby) due to timing difference as to when payments are received and recorded from the County of San Bernardino and received less from delinquent fees compared to budget.

2. Source of Supply YTD - Expense is under budget by $393k through March 2019. The District has purchased 2,399 AF of water which is under budget by 751 AF. The budget is to purchase 4,200 AF of water. Actual cost per AF is $610 versus budget of $589.

3. Pumping & Water Treatment YTD - Expense is under budget by $210k due to Wages/Benefits (employee out for 5 months) $39k, Operating Supplies $26k, Radio Read Meters $52k, Electricity at Facilities $50k, and Services $46k.

4. Customer Service/Billing/Accounting YTD - Expense is under budget by $110k due to vacant position wages/benefits (staff accountant) $90K and various accounts $20k.

5. Administrative/Engineering YTD - Expense is over budget by $33k, primarily due to increase spending to date of $176K consisting of Unemployment Insurance $19k, IT Recurring Contracts $22k, IT Software/Hardware $15k, Engineering Services $50k, Services $50k, and various accounts $20k, which was offset by cost savings totaling $149k due to vacant position (AGM) $108k, P/R Mailing $24k, and P/R Consulting Services $17k.

6. Property Taxes and Assessments YTD - Under budget by $250k due to timing difference as to when payments are received and recorded from the County of San Bernardino.

67

7. Other Non-Operating Revenue YTD - Over budget by $97k mainly due to Line Extension $25k, Damages to Facilities $8k, Credit from Vendor for FY 17/18 $19k, Victor Valley reimbursement for use of HDWD employee $43K.

8. Meter Sales YTD - Under budget by $28k due to sale of 25 new meters (budget is 30 new meters thru March 2019).

68

$0

$200,000

$400,000

$600,000

$800,000

$1,000,000

Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19

FY 2018/2019 Operating Revenue

Water consumption sales Connection fees & surcharges Readiness to serve fees Other charges

69

$0$100,000$200,000$300,000$400,000$500,000$600,000$700,000$800,000$900,000

$1,000,000


FY 2018/2019 Operating Expenses

Source of supply Pumping & water treatment Transmission & distribution/CRP Customer service/Billing/Acctg Administrative/Engineering

70

-

50,000

100,000

150,000

200,000

250,000

300,000


FY 2018/2019 Source of Supply

71

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$40,000

$45,000


FY 2018/2019 Meter Sales

72

A B C DAssets

Current assets:1 Cash and cash equivalents 4,496,9522 Accounts receivable , net 1,269,0793 Inventory 608,6564 Prepaid - pipeline 840,1455 Prepaids - other 205,1366 Accounts Rec - Wastewater 9,261,5407 Other current assets 11,3808 Total current assets 16,692,888

Non-current assets - capital assets9 Land 806,803

10 Easements 337,85111 Wells, boosters, tanks, mains, hydrants & meters 51,435,92712 Equipment 7,543,41913 Recharge ponds & pipeline 3,474,80414 Site #3 2,459,16415 Blending Facility 792,73916 Nitrate facility 2,738,12417 Less: accumulated depreciation (36,511,106)18 Total capital assets 33,077,726

Other non-current assets:19 Construction in process 4,146,14520 Surety Policy 14,89521 Less: accumulated amortization - 22 Total other non-current assets: 4,161,040

23 Total assets 53,931,654Deferred outflows of resources

24 Deferred Outflows - CalPERS 1,784,611

25 Total assets and deferred outflows of resources 55,716,265

Liabilities and Net Assets

Current liabilities26 Accounts payable 1,154,43127 Accrued liabilities 553,44728 Town of Yucca Valley-Prepaid Water - 29 Loans, bonds and notes payable, current portion - 30 Customer deposits & prepaid meters 421,06131 Total current liabilities 2,128,940

Non-current liabilities - long term debt32 Loans, bonds and notes payable 2,925,00033 Bond Premium 318,19634 OPEB - 35 Net OPEB Liability - GASB 75 4,143,15736 Net Pension Liability - CalPERS 5,638,19337 Total non-current liabilities - long term debt 13,024,546

38 Total Liabilities 15,153,485

Deferred inflows of resources 39 Deferred Inflows - CalPERS 82,883

Net assets:40 Fund balance 40,776,54041 Capital contributions 166,072 42 Current year earnings / (loss) (462,716)

Total net assets 40,479,896

43 Total liabilities and net assets 55,716,265

Hi-Desert Water DistrictStatements of Net Position

March 31, 2019(UNAUDITED)

73

$-

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000


FY 2018/2019 Cash and Cash Equivalents

74

985,362 Checking Account

22%

0 Bank of New York

0%

20,111 LAIF - Unrestricted

0%

1,102,967 LAIF - Pipeline

24%390,959

LAIF - Emergency9%

444,781 LAIF - CRP

10%

1,552,772 LAIF - Water

35%

0LAIF - Rate Stabilization

Fund 0%

BREAKDOWN OF CASH & RESERVESMARCH 2019

75

$8,300,000

$8,400,000

$8,500,000

$8,600,000

$8,700,000

$8,800,000

$8,900,000

$9,000,000

$9,100,000

$9,200,000

$9,300,000


FY 2018/2019 Accounts Receivable - Wastewater

76

A B

July 1, 2018thru

Month of March 31, 2019Reconciliation of operating loss to net cash provided by March 2019 Year to Date operating activities:

1 Operating income / (loss) (441,088) (462,716)

2 Depreciation and amortization 170,054 1,530,484

Changes in assets and liabilities:

(Increase) Decrease in assets:3 Accounts receivable - water sales and services, net 41,689 201,617 4 Accounts receivable - other (2,930) 245,013 5 Accounts Rec- Wastewater (102,585) (847,583) 6 Material and supplies inventory 47,689 (125,664) 7 Prepaid lease payment (440,431) (120,031) 8 Prepaid expenses 50,561 (87,800) 9 Surety Policy - -

(Increase) Decrease in deferred outflows of resources:10 Deferred Outflows-CalPERS - -

Increase (Decrease) in liabilities:11 Accounts payable 908,526 686,413 12 Accrued expenses 117,189 16,887 13 OPEB - - 14 Net OPEB Liability - GASB 75 - - 15 Net Pension Liability-CalPERS - - 16 Town of Yucca Valley-Prepaid Water - - 17 Deposits and deferred revenue 8,443 (2,465)

Increase (Decrease) in deferred inflows of resources:18 Deferred Inflows-CalPERS - -

19 Net cash provided by operating activities 357,118 1,034,156

Cash Consumed by Investing Activities:20 Construction in process - Site 3 - - 21 Construction in process / fixed asset additions (373,996) (3,071,538) 22 Land - - 23 Net cash consumed by investing activities (373,996) (3,071,538)

Cash Provided / (Consumed) by Financing Activities:24 Bond Premium - - 25 Note payable - (435,000)

26 Total - (435,000)

Cash Provided by Contributions:27 Grant Revenue - - 28 Meter sales 10,836 133,950 29 New installations 1,461 32,122 30 Total 12,297 166,072

31 Net Increase / (Decrease) in Cash (4,580) (2,306,310)

32 Cash - Beginning of the Period 4,501,532 6,803,262

34 Cash - End of the Period 4,496,952 4,496,952

Hi-Desert Water DistrictStatement of Cash Flows

For The Month Ending March 31, 2019(UNAUDITED)

77

Agenda Item No: 5.B

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Jonathan AbadescoPresented by: Jonathan Abadesco, Chief Financial OfficerAgenda Section:

Subject:RUNNING TOTAL OF CHANGE ORDERS FOR THE WASTEWATER PROJECT

Recommendation:

Fiscal Impact:TBD

Background:The District is constructing a wastewater treatment facility and collection system to serve the residents of theYucca Valley area. The project is necessary because according to a long-term monitoring program conductedby the United States Geological Survey (USGS), in cooperation with the District, its primary water source, thegroundwater from the Warren sub-basin of the Morongo Groundwater Basin, has seen significant increaseinnitrate concentration.

Total change orders as of May 21, 2019 amounted to $2,669,075.69, which consists of the following:1. Collection System Package A - $516,147.182. Collection System Package B (Pipeline Bid Package B1) - $3,403.943. Collection System Package B (Pipeline Bid Package B2) - $7,694.004. Collection System Package C - $1,648,692.575. Collection System Package D - $387,4116. Wastewater Reclamation Facility (Facility) - $105,727

Attachments:Change Orders Summary_Wastewater Project.pdf

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https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361323/Change_Orders_Summary_Wastewater_Project.pdf

Hi‐Desert Water District

Change Orders Summary

May 22, 2019

The following change orders have been approved to date for each wastewater construction project:

A. Collection System Package A (Package A)

Change

Order

Number Date Description

Change Order

Amount

Revised Contract

Amount

Original Contract Amount $ $ 28,340,119.30

1 4/19/2017 Delete Clean Outs (505,345.64) 27,834,773.66

2 4/19/2017 C900 PVC to C909 PVC 7,417.00 27,842,190.66

3 5/25/2017 Eliminating Fusible PVC (67,462.37) 27,774,728.29

4 6/1/2017 Suvey End of Laterals 47,148.00 27,821,876.29

5 7/11/2017 FMP Change to 16‐inch PVC 140,972.50 27,962,848.79

6 7/24/2017 MH Rim Elevation Delta 13,274.28 27,976,123.07

7 8/31/2017

T&M Jan‐May Delays Caused by Utilities Not

Shown on Contract Drawings 49,924.94 28,026,048.01

8 8/31/2017

Alleyway Delays Due to Existing Water Lines Not


9 9/13/2017 Area 5 Remove and Replace Rim on Balsa Avenue 20,160.00 28,063,740.67

10 9/27/2017

Additional Traffic Loops, DLCs, and Detector

Cards 13,295.00 28,077,035.67

11 12/4/2017 Lines FMB‐03 and BA02‐03 J&B Casing Change (48,410.00) 28,028,625.67

12 12/6/2017 Barron Avenue Utility Constraints 9,349.50 28,037,975.17

13 12/21/2017 Balsa Traffic Control 8,728.00 28,046,703.17

14 12/21/2017

Delays Caused by Utilities Not Shown on Contract

Documents 4,598.00 28,051,301.17

15 12/21/2017

Costs Associated with Change to Night Work on

La Contenta 363,013.75 28,414,314.92

16 1/24/2018 Revised Force Main Cleanouts 25,097.07 28,439,411.99

17 2/5/2018

T&M June‐Sept Delays Caused by Utilities Not


18 2/12/2018 Pothole Outside of Right‐of‐Way 15,378.00 28,549,299.17

19 4/2/2018 Quantity Overruns 1,079,015.63 29,628,314.80

20 4/9/2018

T&M Oct‐Dec Delays Caused by Utilities Not

Shown on Contract Documents 58,920.56 29,687,235.36

21 4/9/2018

Removal of Subsurface Concrete Mass Not

Shown on Drawings 12,839.28 29,700,074.64

22 4/16/2018

T&M Jan‐Feb Delays Caused by Utilities Not


23 5/16/2018 Quantity Underruns (1,087,013.55) 28,627,091.48

24 5/23/2018 Sum of Inspector Overtime ‐ 28,627,091.48

25 5/23/2018 California Statewide Crude Oil Price Index 229,175.00 28,856,266.48

Total Change Order for Package A $ 516,147.18

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B. Collection System Package B

Pipeline Bid Package B1 (Package B1)

Change

Order


Change Order

Amount

Revised Contract

Amount


1 12/4/2018 Wage Determination 3,403.94 2,352,428.94

Total Change Order for Package B1 $ 3,403.94

Pipeline Bid Package B2 (Package B2)

Change

Order


Change Order

Amount

Revised Contract

Amount



Total Change Order for Package B2 $ 7,694.00

C. Collection System Package C

Change

Order


Change Order

Amount

Revised Contract

Amount


1 1/31/2018 Wage Determination ‐ 28,739,867.65

2 5/30/2018

Utilize Ground Penetrating Radar to Locate

Private Utilities 11,066.00 28,750,933.65

3 5/30/2018 Pipe Slope Corrections 10,205.00 28,761,138.65

4 6/7/2018 Pipe Encasements Overrun 57,000.00 28,818,138.65

5 6/20/2018

T&M Mar‐May Caused by Utilities Not Shown on

Contract Drawings 65,576.00 28,883,714.65

6 7/25/2018 Remove & Reinstall Reinforced Concrete 84,250.00 28,967,964.65

7 7/27/2018 24 Inch Water Line Conflict at TRP 52,331.00 29,020,295.65

8 7/31/2018 Caltrans Inspections 3,280.00 29,023,575.65

9 8/29/2018 Murrieta Ave. Rip Rap Channel 6,001.00 29,029,576.65

10 9/19/2018

T&M June‐Aug Caused by Utilities Not Shown on

Contract Drawings 175,687.00 29,205,263.65

11 10/10/2018 Pipe Encasements Overrun 9,600.00 29,214,863.65

12 10/10/2018

5’ Diameter Polymer Manhole > 20’ Deep

Overrun 19,500.00 29,234,363.65

13 10/10/2018 Oil Index Adjustment 92,682.00 29,327,045.65

14 11/28/2018 6‐Inch Paving in Parking Lots 237,000.00 29,564,045.65

15 12/4/2018 Replacement of Defective AC Berms 21,046.00 29,585,091.65

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16 12/4/2018 Added Bicycle Detection Loops 19,504.00 29,604,595.65

17 1/17/2019

Realignment to Minimize Disruption to Local

Businesses 18,660.00 29,623,255.65

18 2/11/2019 Additional Milling of Existing Roadway 62,646.00 29,685,901.65

19 3/20/2019 Utilities Not Shown on Plans T&M Sep‐Feb 267,156.00 29,953,057.65

20 4/16/2019

Bid Items 16, 21, 39 Increase 4' Dia MH 4" SS Lat

Piping & CO, Remove/Reinstall Reinf Concrete 181,010.00 30,134,067.65

22 4/16/2019 AC Oil Index October 2018 ‐ March 2019 248,207.57 30,382,275.22

24 4/16/2019 Redesign CAD Technician 6,285.00 30,388,560.22

Total Change Order for Package C $ 1,648,692.57

D. Collection System Package D (Package D)

Change

Order


Change Order

Amount

Revised Contract

Amount



2 4/16/2019 Additional Excavation Depth 56,430.00 32,546,450.39

Total Change Order for Package D $ 387,411.00

E. Wastewater Reclamation Facility (Facility)

Change

Order


Change Order

Amount

Revised Contract

Amount


1 11/29/2017 Wage Determination ‐ 30,003,509.00

2 12/12/2018 Purchase of Solids Loading Cross Conveyor 105,727.00 30,109,236.00

Total Change Order for the Facility $ 105,727.00

TOTAL CHANGE ORDERS TO DATE $ 2,669,075.69

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Agenda Item No: 5.C

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Jennifer PolandPresented by: Ed Muzik, General ManagerAgenda Section:

Subject:WASTEWATER UPDATE

Recommendation:For Information Only.

Fiscal Impact:TBD

Background:Staff will be presenting an update on the Wastewater Treatment and Reclamation Project.

Attachments:

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Agenda Item No: 8.A

Board of Directors Staff ReportMeeting Date: May 22, 2019Submitted by: Codi MixPresented by: Agenda Section:

Subject:FUTURE AGENDA ITEMS REQUESTED BY THE BOARD

Recommendation:For Information Only

Fiscal Impact:N/A

Background:N/A

Attachments:Future Agenda Item List.pdf

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https://legistarweb-production.s3.amazonaws.com/uploads/attachment/pdf/361398/_2019_Weekly_Staff_Meeting_Matrix.pdf

Hi-Desert Water District Weekly Staff Meeting Matrix

No. Item Requested Requestor Date Requested on

Assigned to

1 Policy for package treatment system commercial sewer hook-up/cost change over Graham 2/4/15 Ed

2 Solar Power Energy/Reduce Carbon Footprint Stadum 10/19/16 Ed

3 Financial Progress Overview of the Wastewater Project, including cost savings from redesign Munsey 1/10/188/22/18

Jonathan

4 New Admin Building for the District (5-10 years) Graham 7/11/18 Ed

5 Ongoing: Strategic Plan update every six months Munsey 11/14/18 Ed

6 Look into adding handicap accessible features to front doors of building Graham 11/14/18 Ed/Mike

7 Discuss reserve funds Munsey 12/12/18 Jonathan

8 Look into life coaching programs for employees, such as holding a workshop Graham 12/12/18 Lani

9 Hire a consultant to determine District divisions Graham 1/23/19 Ed

11 Invite the Town of Yucca Valley to present at a Board meeting on the new paving patch requirements

Stadum 2/13/19 Ed/Tony

12 Director Hough requested an update on grants applied for through Mojave Water Agency. Hough 3/5/19 Ed

13 Change Board Meetings time to 7:30 am to 9:00 am. Hough 3/27/19 Jennifer

14 Director Stadum requested that staff bring back an item to the Board to discuss the cracking new roads located in the Paradise Valley area.

Stadum 3/27/19 Ed

FUTURE AGENDA ITEMS REQUESTED BY THE BOARDDATE LAST UPDATED: 3/27/2019

84

Hi-Desert Water District Weekly Staff Meeting Matrix

14 President Munsey requested that a future Ad Hoc meeting be scheduled for the Energy Committee prior to the rate study being completed.

Munsey 3/5/19 Jennifer

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