REPORT TO COUNCIL
SUBJECT
Title
Approve a Memorandum of Agreement between the City of Sunnyvale and Foothill-De Anza Community College District for Replacement of an Existing Public Sanitary Sewer Pipeline; Authorize the City Manager to Execute the Subject Agreement and Approve Budget Modification No. 39
Report
BACKGROUND
Deactivation of the Onizuka Air Force Station created five parcels of land, four of which were conveyed to local agencies for re-development pursuant to the Onizuka Redevelopment Plan. One of those parcels, Parcel C shown on Attachment 1, was conveyed to Foothill De-Anza Community College District (the "District") who proposed to construct an educational center on Parcel C (the "District Project"). The District Project is subject to the jurisdiction of the Division of the State Architect and the laws and regulations of the State of California governing community colleges. In addition and pursuant to an agreement executed in 2011 between the District and the City, the District Project shall be consistent with specific City regulations, including utility connections.
There is an existing 12-inch public sanitary sewer line within an existing public utility easement that passes through the District Property as shown on Attachment 2. The District Project proposed to connect two private sanitary sewer lines to the 12-inch public sanitary sewer line. The condition of the 12-inch sanitary sewer line was evaluated and determined to be in poor condition needing replacement. In addition, the pipeline is part of a segment of sewer line that has been identified for upsizing to a 15-inch line in the City's 2014 Wastewater Master Plan.
EXISTING POLICY
General Plan, Chapter 2, Citywide Vision Goal XII Supportive Utilities - To provide and maintain water, sewer, solid waste disposal, and drainage facilities that are safe, efficient, and reliable, and which can develop sufficient capacity to meet the expected growth of the city.
General Plan, Chapter 7, Goal EM-6 Effective Wastewater Collection System - Continue to operate and maintain the wastewater collection system so that all sewage and industrial wastes generated within the City are collected and conveyed under safe and sanitary conditions to the water pollution control plant.
ENVIRONMENTAL REVIEW
A mitigated negative declaration for the District Project was filed on May 10, 2012 pursuant to an environmental assessment prepared for the District by RBF Consulting.
DISCUSSION
The District contacted the City after completing a condition assessment of the existing 12-inch public sanitary sewer line that their project will be connecting to. Based on the condition of the pipe, the District is concerned about performing the sewer lateral connections to the line as well as the future functionality. The City's Environmental Services Department reviewed the condition assessment and concurs that the sewer line is in need of replacement.
There are two options to complete the work. The first is to perform the work as a capital improvement project, however this project is currently not budgeted and the timeframes required for budgeting the project and completing the design and construction extend past the District's construction schedule. The second option is to negotiate a price with the District to have them design and construct the new sewer line for the City. The benefit of the second option is that the construction of the public sewer line can take place while the District is constructing the rest of their project.
If the City were to complete the project under the first option, it would be constructed after the District completes and opens their new facility. Construction would impact a portion of the new parking lot, landscaping, and other new site improvements would have to be torn out and replaced. The City and District agreed this was not a preferable option. Instead, the District will perform the sanitary sewer replacement work as part of their utility and site construction work scheduled to begin this winter, and the City will be responsible for reimbursing the District for all design and construction costs.
The scope of the replacement work starts at a manhole on the City property south of the District Property and extends to an existing manhole within the Innovation Way roadway, just north of the District Property as shown on Attachment 2. The District and City independently prepared estimates for the project, negotiated and agreed upon a reasonable price for design and construction. The design for the sewer replacement work will be prepared by the District's consultant and reviewed by City. The design will conform to all applicable City standards and the City will be able to inspect the construction of the sewer line to verify it is being constructed in accordance with the design documents. The estimate for the design and construction of the sewer replacement work is in the amount of $227,893 plus a contingency in the amount of $22,107, with a total not to exceed $250,000 (Attachment 3).
The proposed Memorandum of Agreement attached hereto authorizes the District to perform the work, and the City to reimburse District for their design and construction costs not to exceed $250,000. The District Board approved the proposed Memorandum of Agreement at its meeting on January 12, 2015.
FISCAL IMPACT
The FY 2014/15 Budget does not include this project as part of the sanitary sewer replacement work. Pursuant to this Memorandum of Agreement, a budget modification is needed to fund the project.
Budget Modification No. 39 has been prepared to appropriate $250,000 from the Wastewater Management Fund Rate Stabilization Reserve to fund the project. Development related revenues, which are restricted for capital and infrastructure needs, ended FY 2013/14 $1.4 million better than planned and are tracking above budget in the current year. Therefore, funding this project will not significantly impact wastewater rates.
Budget Modification No. 39
FY 2014/15
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
Approve a Memorandum of Agreement between the City of Sunnyvale and Foothill-De Anza Community College District for Replacement of an Existing Public Sanitary Sewer Pipeline; Authorize the City Manager to Execute the Subject Agreement and approve Budget Modification No. 39.
Prepared by: Judy Chu, Senior Civil Engineer
Reviewed by: Manuel Pineda, Director, Public Works Department
Reviewed by: Grace K. Leung, Director, Finance Department
Reviewed by: John Stufflebean, Director, Environmental Services
Reviewed by: Robert A. Walker, Assistant City Manager
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Onizuka Air Force Station Parcels
2. Sanitary sewer replacement work on District Property
3. Proposed Memorandum of Agreement