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HomeMy WebLinkAbout04-08-19 City Commission Packet Materials - C9. Amendment 3 to PSA with RESPEC LLC for Groundwater Investigation Services Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Brian Heaston, Senior Engineer SUBJECT: Authorize the City Manager to Sign Amendment No. 3 to the Professional Services Agreement for Groundwater Investigation Services with Respec. MEETING DATE: April 8, 2019 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize the City Manager to Sign Amendment No. 3 to the Professional Services Agreement for Groundwater Investigation Services with Respec. BACKGROUND: Presented here as attached for City Commission consideration is Amendment No. 3 to the PSA for Groundwater Investigation Services with Respec. Also attached for additional background information is the commission memorandum supporting Amendment No. 2 to the groundwater PSA. PSA Amendment No. 3 amends the services agreement to include additional scope/fee to perform an aquifer recharge feasibility evaluation on City owned property hereafter referred to as the “Leverich Parcel”. The Leverich Parcel is approximately 18.5 acres in size of primarily open pasture located about 0.5 miles west of the Sourdough water treatment plant. The parcel is adjacent to the Mystic Lake Ditch and Mystic Heights rural subdivision, immediately north of the fire pond serving Mystic Heights subdivision. Mystic Lake Ditch diverts water from Sourdough Creek. The diversion location is roughly 0.5 miles downstream of the City’s municipal diversion on Sourdough. The aquifer recharge feasibility evaluation on the Leverich Parcel will acquire site specific geotechnical data to support a determination as to whether the 18.5 acres site is suitable for aquifer recharge. Aquifer recharge is utilized in permitting new municipal groundwater appropriations in closed basins as it provides a method to offset and mitigate reaches of streams depleted by municipal groundwater pumping. Aquifer recharge, when sited appropriately at a location conducive to infiltrate sizeable volumes of water, may be designed to mitigate adverse effects to existing water rights on streams shown to have modeled depletion signatures. The Leverich Parcel provides a unique opportunity to develop an aquifer recharge facility if the feasibility evaluation determines the site is conducive for infiltrating sufficient quantities of water to match and offset the modeled depletion signatures of streams hydraulically connected to 183 the municipal well. The parcel is already owned by the City of Bozeman and is located in such a place that both Sourdough Creek water and Hyalite Creek water could be delivered to it with relatively minimal effort. The Mystic Lake Ditch runs within and alongside the southern boundary of the parcel, providing an existing conveyance facility to move water from Sourdough Creek to an aquifer recharge facility on the parcel. The Flanders Mill Pond ditch could potentially move Hyalite Creek water to the Leverich Parcel. The other option available to move Hyalite Creek water to the parcel is the Hyalite Transmission Main which traverses the parcel at depth. The Commission should note that the aquifer recharge feasibility evaluation provided in Amendment No. 3 may show that the Leverich Parcel is not conducive for aquifer recharge. However, it may show that it is. Staff believes this evaluation is money well spent as it will conclude whether the parcel is suitable or not. Should the evaluation show the site to be geotechnically suitable, then the City is money ahead in not having to identify other aquifer recharge locations and purchase additional property to serve this purpose. It should also be noted that the Leverich Parcel, if geotechnically suitable, may not be able to mitigate all streams shown with modeled depletions from the proposed municipal groundwater well. To determine the extent of mitigation afforded by the Leverich Parcel, site specific data from the site evaluation must be collected and input into the hydrogeological model. FISCAL EFFECTS: The adopted FY18 Water Impact Fee Fund CIP contains project WIF31 – Groundwater Test Well, funded at $400k. Note that PSA Amendment No. 2 is being funded by WIF31 at an amount of $190,102, leaving an unobligated project balance of $209,898. PSA Amendment No. 3 will access this unobligated balance and debit $42,250 from it to fund the scope of the aquifer recharge feasibility evaluation. An unobligated project balance of $167,648 will remain for WIF31 upon approval of Amendment No. 3. This remaining balance will be used for future PSA amendments for municipal test well drilling and aquifer testing, or other data collection efforts determined necessary to support the filing of a municipal groundwater permit and associated mitigation plan. Sufficient budget is available to fund Amendment No. 3. ALTERNATIVES: As suggested by the Commission. ATTACHMENTS: PSA Amendment No. 3 March 19, 2018 Commission Memo supporting PSA Amendment No. 3 184 AMENDMENT NO. 3 TO PROFESSIONAL SERVICES AGREEMENT FOR GROUNDWATER INVESTIGATION SERVICES THIS AGREEMENT is made as of this ________ day of ____________________, 2019, between THE CITY OF BOZEMAN, a Municipal Corporation, P.O. Box 1230, Bozeman, Montana, 59771-1230, herein referred to as OWNER, and RESPEC Company LLC, 3810 Valley Commons Drive #4, Bozeman, Montana, 59718-6477, an Engineering-Consulting Firm herein referred to as ENGINEER. WHEREAS, the parties have entered into a Professional Services Agreement dated August 24, 2015, herein referred to as Original Agreement for professional engineering services; and WHEREAS, the parties desire to amend the provisions of this Agreement to evaluate the “Leverich Parcel” for use as a site to mitigate future groundwater use by City of Bozeman (COB) for municipal water supply. It is useful for COB to evaluate this property as a potential enhanced aquifer recharge site because of its proximity to source water (and water rights) from the Bozeman/Sourdough creek drainage. In addition, the location of the Leverich parcel at the southern valley extent, near the Gallatin Range (front) aquifer recharge area, makes it favorable for mitigating a new groundwater well that would be located down-gradient in the aquifer. If this site proves favorable it could allow COB to mitigate new water use and exercise its existing water rights from the Bozeman/Sourdough creek drainage. NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS CONTAINED HEREIN, the parties agree as follows: The conditions and provisions set forth in the attached EXHIBIT A (Scope of Services and Cost Summary) to Amendment No. 3, are hereby incorporated in and made part of this Agreement. ARTICLE 1 - ENGINEERING SERVICES Section 1.1 of the Original Agreement is amended as follows: Work tasks (Tasks 3.11 – 3.13), as described in EXHIBIT A (Scope of Services and Cost Summary) to Amendment No. 3, are added as an additional component of the project. This work is titled Phase 3A - Leverich Parcel, Aquifer Recharge Feasibility Evaluation: Phase 3A - Leverich Parcel, Aquifer Recharge Feasibility Evaluation Task 3.11: Monitoring Wells Task 3.12: Geotechnical Boreholes Task 3.13: Infiltration Testing ARTICLE 4 - BASIC ENGINEERING SERVICES Section 4.4 is added to the Original Agreement as follows: 185 4.4. LEVERICH PARCEL, AQUIFER RECHARGE FEASIBILITY EVALUATION Following authorization to proceed with the Leverich Parcel, Aquifer Recharge Feasibility Evaluation phase of the project, ENGINEER shall: 4.4.1. Consult with OWNER to clarify and define OWNER's requirements for this phase of the Project. 4.4.2. Advise OWNER as to the necessity of OWNER's providing or obtaining from others, data or services and assist OWNER in obtaining such data or services, as appropriate. During this phase of the project, coordination with the following entities may be necessary: - Adjoining property owners to the Leverich property; - Mystic Heights HOA; - Mystic Lake Ditch Company; - COB’s water rights attorney(s); and, - Well drilling contractor(s). 4.4.3. Complete any necessary access, right-of-entry, and indemnification agreements with OWNER to perform work on the property. 4.4.4 Prepare and furnish complete paper and electronic copies of a technical memorandum (“Memo”) that includes all data, analyses, and findings from the work completed during this phase of the project to OWNER, and at the same time furnish copies as directed by OWNER to agencies and/or other parties having regulatory responsibilities or other participation in any part of the Project. Furnish 1 printed copy and an electronic copy (in searchable PDF format) of the Memo and review in person at request of OWNER. The Leverich Parcel, Aquifer Recharge Feasibility Evaluation phase of the project will be completed, and work products submitted within 180 calendar days following written authorization from OWNER to ENGINEER to proceed with this phase of the project. ARTICLE 6 - COMPENSATION FOR ENGINEERING SERVICE Section 6.4 is added to the Original Agreement as follows: 6.4 LUMP SUM AGREEMENT to complete LEVERICH PARCEL, AQUIFER RECHARGE FEASIBILITY EVALUATION 6.4.1. Payment. For completing Leverich Parcel, Aquifer Recharge Feasibility Evaluation services performed as Basic Engineering Services under Section 4.4 of this Amendment No. 3 to Professional Services Agreement the OWNER shall pay a total sum in the amount of $42,250.00 for such services. EXHIBIT A (Cost Summary) to Amendment No. 3 provides a detailed breakdown of costs for each work task. 6.4.2. Payment Schedule. Total cumulative payments for Leverich Parcel, Aquifer Recharge Feasibility Evaluation (Section 4.4) shall not exceed the following ceilings: $ 42,250.00 (100% of fee) until all work tasks are complete and a memo. documenting the findings of the evaluation is submitted to the OWNER, including all well logs. 186 187 EXHIBIT A - SCOPE OF SERVICES and COST SUMMARY (TO AMENDMENT NO. 3 OF PROFESSIONAL SERVICES AGREEMENT BETWEEN CITY OF BOZEMAN AND RESPEC COMPANY LLC FOR GROUNDWATER INVESTIGATION) 188 EXHIBIT A – SCOPE OF SERVICES and COST SUMMARY  City of Bozeman, Montana                     1  Groundwater Investigation – Phase 3A                   Scope of Services and Cost Summary   GROUNDWATER INVESTIGATION  PHASE 3A  (Leverich Parcel, Aquifer Recharge Feasibility Evaluation)    CITY of BOZEMAN, MONTANA  March 2019        Parcel Description   The  subject  parcel  is  approximately  18.5  acres  of  primarily  open  pasture  about  0.5  mile  west  of  Bozeman/Sourdough Creek near the mouth of Leverich Canyon. It is adjacent to the Mystic Lake Ditch and  the Mystic Heights rural subdivision (Figure 1).    Figure 1. Location and legal description of the Leverich Property.    Proposed Scope of Work  The project is organized into three general tasks to be completed in order. As each task is completed,  accumulated data will be analyzed and used to reevaluate and direct the next task.    189   City of Bozeman, Montana                     2  Groundwater Investigation – Phase 3A                      Scope of Services and Cost Summary Task 3.11 – Monitoring Wells  Install two monitoring wells on the property. The wells would serve multiple purposes:  1. Allow examination of the subsurface material and determine its suitability for aquifer recharge.  2. Determine the depth‐to‐water beneath the property.  3. More accurately determine vertical and horizontal groundwater flow gradients and directions at  the location.  4. Provide monitoring wells on the property to begin long‐term monitoring of aquifer conditions  (water‐table position and seasonal fluctuation).  Two boreholes would be drilled to about 100 feet, but the completed wells would likely be shallower (40  to 60 feet). The two wells could be completed at different depths to examine vertical groundwater flow  gradients, if any. Completed wells should be 4‐inch‐diameter PVC to allow for ease of sampling and test  pumping. The wells would be located downgradient of the proposed infiltration test site (Figure 2).  Prior to any drilling, it would be beneficial to contact adjoining property owners and community groups  (i.e., Mystic Heights HOA) to inform them of COB’s plans for the property and to enlist their cooperation.  This cooperation would consist of allowing RESPEC to access their domestic wells to measure water levels  and possibly collect water samples. Prior notification and communication with neighbors is strongly  encouraged. This will prevent speculation about activity at the site and hopefully encourage mutual  dialog. The project also presents an opportunity to educate property owners about their water supply.   Figure 2. Location of proposed infrastructure.  190   City of Bozeman, Montana                     3  Groundwater Investigation – Phase 3A                      Scope of Services and Cost Summary Task 3.12 ‐ Geotechnical Boreholes    Seven to 10 small‐diameter borings would be placed across the site to more thoroughly characterize the  shallow subsurface conditions and material (Figure 2). Boreholes can be completed as piezometers to  monitor potential effects of enhanced recharge.  Task 3.13 ‐ Infiltration Testing.   Excavation of test trench(es) used to conduct infiltration testing (Figure 2). Water will be pumped into the  trench(es) to estimate potential enhanced recharge rates.    Instrumentation  Pressure transducer/recorders should be installed in the monitoring wells to measure and record water‐ level  fluctuations.  The  recorders  would  be  periodically  downloaded,  and  the  data  maintained  in  a  spreadsheet database. These wells would constitute the beginning of long‐term groundwater monitoring  at the site. Recorders should also be installed in piezometers for the duration of any infiltration testing.    Cost Summary  Task Breakdown:  Task 3.11:  $20,250  Task 3.12:  $10,750  Task 3.13:  $11,250          Total:  $42,250    Includes:  1) Hydrogeologist Labor:  contact/discussions with neighbors, measuring nearby wells, borehole and  well  installation  supervision,  testing  design  and  supervision, installation  of  instruments,  data  management and analysis, and summary report of results.  2) Subcontracted  drilling  services:  200‐feet  of  air‐rotary  drilling  and  monitoring  well  installation,  geotechnical borehole and piezometer installation.  3) Equipment: Two, in‐situ LT‐500 transducers with vented cables.  4) Equipment rental for infiltration testing including, transducers, pumps, generators, flow meters, and  pipe rental.    191 Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Brian Heaston, Project Engineer Craig Woolard, Director of Public Works SUBJECT: Authorize the City Manager to sign Amendment No. 2 to Professional Services Agreement with Respec, Inc. to provide $190,102 for Groundwater Investigation Services – Phase 3 – Well Siting Feasibility and Test Well Design, Permitting and Monitoring Program. MEETING DATE: March 19, 2018 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize the City Manager to sign Amendment No. 2 to Professional Services Agreement with Respec, Inc. to provide $190,102 for Groundwater Investigation Services – Phase 3 – Well Siting Feasibility and Test Well Design, Permitting and Monitoring Program. BACKGROUND: The City’s Integrated Water Resources Plan, adopted by the City Commission in 2013, recommends development of a municipal groundwater supply source to help meet the City’s long-range water supply needs. A groundwater source will not only increase the City’s available water supply, but will provide resiliency and redundancy for the water system as groundwater is less susceptible to drought impacts and is generally immune to wildfire, which is important considering the current surface water sources are susceptible to these natural phenomena. The City entered into a Professional Services Agreement with the firm of Respec on August 24, 2015 for the groundwater supply project following a qualifications-based procurement action. A valley-wide groundwater model was developed as Phase 1 of the project. The model was prepared utilizing existing available information to identify locations suitable for high-yield groundwater development. Amendment No. 1 to the PSA was approved by the Commission on April 11, 2016, which authorized Phase 2 of the project to transition the steady-state model to a transient model. The transient model incorporates the variable of time into the modeling environment, which is key for balancing system interactions between groundwater withdrawals and surface water mitigation in order to not adversely affect existing water rights. The transient model is a necessary and critical tool that will be highly leveraged to ultimately attain a water right from the DNRC for the municipal groundwater source. Phase 2 of the project was funded entirely by a Reclamation and Development Grant awarded to the City by the DNRC. 192 Amendment No. 2 to the PSA, attached to this memo, authorizes Phase 3 of the groundwater project, which is for a well siting feasibility and test well design, permitting and monitoring program. The scope of work for Phase 3 includes a feasibility evaluation and alternatives analysis for municipal well siting within the Sports Park property and due diligence of possible mitigation strategies and water right availability for a well field at Sports Park. A test well program will be implemented to provide design and permitting framework for test well drilling, pumping, and monitoring. Test well results will be utilized to evaluate specific production well location(s), including the ability to mitigate predicted stream depletions to offset adverse effects to existing water rights. FISCAL EFFECTS: The City’s adopted FY18 Water Impact Fee CIP, which is reflected in the adopted FY18 budget, contains $400,000 for project WIF21 – Groundwater Test Well. Adequate budget is available to cover the PSA’s $190,102 cost, leaving a healthy balance to cover the costs of construction test wells, which are not accounted for in the PSA. Well drilling costs are anticipated to be in the range of $50,000 - $75,000 and will be funded by the WIF21 project budget. Additional obligations to the remaining project budget are to be expected in order to provide additional mitigation scenarios analysis. Mitigation scenario planning is crucial to ultimately obtaining a legal right to use groundwater. ALTERNATIVES: As suggested by the Commission. ATTACHMENTS: Amendment No. 2 to Professional Services Agreement Report compiled on: March 2, 2018 193