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HomeMy WebLinkAboutStaff Report 417-07City of Palo Alto City Manager’s Report 4 TO:HONORABLE CITY COUNCIL FROM:CITY MANAGER DEPARTMENT: UTILITIES DATE: SUBJECT: NOVEMBER 19, 2007 CMR:417:07 APPROVAL OF AN AGREEMENT BETWEEN THE CITY OF PALO ALTO AND THE PURISSIMA HILLS WATER DISTRICT FOR A LIMITED EMERGENCY WATER SUPPLY INTERTIE RECOMMENDATION Staff recommends that Council approve agreement with Purissima Hills Water District for the Arastradero Road Limited Emergency Water Supply Intertie. BACKGROUND Staff has been working with the Purissima Hills Water District for the past two years to develop a project that could provide emergency water supply options and maintenance flexibility for each entity. The results of these efforts are summarized here for Council’s consideration and approval. DISCUSSION The City of Palo Alto and the Purissima Hills Water District (PHWD) wish to improve their water system emergenc.v supply capabilities. The Palo Alto emergency supply will be enhanced in the Stanford Research Park area by constructing an intertie with PHWD at the intersection of Arastradero Road and Hillview Avenue. The emergency intertie with PHWD will help to improve fire protection and provide emergency water to customers in the Stmaford Research Pa’k in the event that Palo Alto water facilities are isolated for emergency repairs or pla~med maintenance. The intertie will be designed jointly. The construction of the intertie will be paid for and inspected by PHWD. CMR:417:07 Page 1 of 3 Future maintenance of the intertie will be shared equally by Palo Alto and PHWD. The intertle will be metered in both directions. Any water used by either party will be paid for at the rate the party pays San Francisco Public Utilities Commission for the water supplied. Each patty will evaluate the request of the other party for emergency water supply at the time of the request to open the intertie. If the party," without an emergency is able to release water from its system: it would be paid for the supplied water within 30 days of billing the receiving party. The Scope of Work for the PH\VD emergency intertie will include the following facilities: a bidirectional meter, meter vault, flushing pipes, traffic rated covers, check valves and gate valves. The Arastradero Road com~ection will be for emergency use only and will allow both the city and PHWrD to provide water to the other patty on a limited and emergency basis if either party chooses to share their water supply. Construction to implement the intertie is expected to start in Spring 2008. RESOURCE IMPACT Funding for the intertie will be provided by PHWD. PH-ArD and .CPA will share the cost of future maintenance equally. City maintenance costs are included in the Water Fund Operations Budget. POLICY IMPLICATIONS The approval of this agreement is consistent with existing City policies and with the City Council priority of emergency preparedness. This recommendation is consistent with the Council-approved Utilities Strategic Plan Key Strategy No. 1, "Operate distribution system in a cost effective manner," Strategy No. 7, "Implement pro~ams that improve the quality of the environment" and Objective No. 2, "Invest in utility infi’astructure to deliver reliable service." ENVIRONMENTAL REVIEW This project is categorically exempt fiom the California Enviromnental Quality Act (CEQA) pursuant to CEQA Guidelines Sections 15301 (repair, maintenance or minor altercation of existing facilities) and 15302 (replacement or reconstruction of existing facilities located on the same site as the structure replaced). ATTACHMENTS A: Agreement between the City, of Palo Alto and the Purissima Hills Water District for limited emergency water supply intertie PREPARED BY:ROMEL ANTONIO, Sr. Project Engineer, WGW ROGER CWIAK, Engineering Manager, WGW TOMM MARSHALL, Assistm~t Director, Utilities CMR:417:07 Page 2 of 3 DEPARTMENT APPROVAL: VALE ~E~.~’[~G Director of Utilities CITY MANAGER APPROVAL: EMIEY HARRISON Assistant City Manager CMR:417:07 Page 3 of 3 ATTACHMENT A AGREEMENT BETWEEN THE CITY OF PALO ALTO AND THE PURISSIMA HILLS WATER DISTRICT FOR LIMITED EMERGENCY WATER SUPPLY INTERTIE THIS AGREEMENT is made as of this __ day of , 2007 ("Effective Date"), by and between the City of Palo Alto, California, a chartered California municipal corporation with its primary business address at 250 Hamilton Avenue, Palo Alto California 94301 ("CITY") and the Purissima Hills Water District, a county water district, with its primary business address at 26375 Fremont Road, Los Altos Hills, California 94022 ("DISTRICT"). CITY and DISTRICT may be refened to individually as a "Party" or collectively as the "Parties" or the "Parties to this Agreement." RECITALS WHEREAS, the Parties provide water service to their respective, adjacent se~wice areas in Palo Alto and Los Altos Hills; WHEREAS, each Party has its own water supply and under usual and ordinary operating conditions neither Party would have occasion to purchase water from the other Party; and WHEREAS, the Parties anticipate that an interconnection at Hillview Road and Arastradero Road will be constructed in the furore ("Arastradero Road Connection"). The Arastradero Road Connection is refened to herein as the "Interconnection;" and WHEREAS, the Parties determined it to be in the public interest to arrange for two-way mutuat relief cotmections between their water distribution systems so that each entity can provide the other with water in an emergency if water is otherwise available; and WHEREAS, the Parties desire to enter into an agreement to establish the terms and conditions for the construction, maintenance, and use of the Interconnection. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1.Interconnection Location. The Arasta’adero Road Connection is generally described as follows and is shown on the drawings attached as Exhibit A. The Arastradero Road Connection is anticipated to be located at Arastzadero Road and Hillview Avenue, and is anticipated to be constructed in 2008. The Arastradero Road Connection will include the following facilities: a bidirectional meter, meter vaults, flushing pipes, traffic rated covers, check valves and gate valves. In the event either Party requires supplemental water for a limited period of time due to an emergency or disaster, such Party shall have the right to obtain supplemental water from the other Party via the Arastadero Road Connection pursuant to Section 5 of this Agreement. When the Intertie is activated, it shal! operate only when the supplying Party is capable of providing supplemental water above and beyond that which is required to service its needs. 071115 syn 6050265 2.Water Supply is for a Limited Purpose Only. Nothing herein shall be deemed to constitute a dedication of the water supply of either Patty to service the territory of the other Patty or to constitute a commitment to supply water to the other Patty as a regular customer. 3.Construction of Arastradero Road Connection. The estimated current cost to design, purchase and construct the Arastradero Road Colmection is $50,000. The DISTRICT will assume primary responsibility for the design, purchase, and construction of the Arastradero Road Connection. More specifically, the DISTRICT will complete, to the reasonable satisfaction of CITY, the following tasks: A.Prepare contract specifications and drawings; and approvals; Conduct the enviromnental review and obtain all necessary permits C. Solicit bids, evaluate bids, and award the contract to the lowest responsible and responsive bidder; D.Perform inspection and construction oversight; and E.Test and accept the completed work. DISTINCT will pay for all costs pertaining to the design, purchase, and construction of the Arastradero Road Cotmection. DISTRICT will connect the Arastradero Road Connection to the CITY distribution system in accordance with CITY standard specifications and to DISTRICT distribution system in accordance with DISTRICT standard specifications. Upon completion of construction, DISTRICT shall transfer ownership of the facilities to the CITY up to the CITY side of the Intercom~ection meter. DISTRICT will retain ownership of the facilities up to and including the Intercotmection meter. 4.Maintenance of Intereonneetion. No DISTRICT Responsibility. go DISTRICT, at its sole cost, will be responsible for maintaining and repairing al! pipelines, valves, and related water system appurtenances up to the DISTRICT side of the Intercormection meter. The DISTRICT also will be responsible for maintaining and repairing the Intercormection meter. The cost of mMntaining and repairing the Intercom~ection meter will be shared equally (50% each) between the DISTRICT and CITY. CITY will pay the DISTRICT its 50% share for the cost for maintenat~ce and repair of the Intercom~ection meter as costs are hacurred by the DISTRICT. The DISTRICT will provide CITY with written documentation of actual costs incurred that describes all materials 2071115 syn 6050265 purchased and services provided, including the persons providing the setwices and their hourly rates. CITY will pay 50% of the approved invoice within thirty (30) days from the date of receipt of the invoice. B.CITY Responsibility. CITY, at its sole cost, will be responsible for maintaining and repairing ali pipelines, valves, and related water system appurtenances up to the CITY side of the Intercolmection meter. 5.Sale of Water. The DISTRICT and CITY each agree to sell water to the other, upon request, in cases of emergency, through the Intercolmection in accordance with this Section. For purposes of this Agreement, an emergency is an unforeseen event that causes a temporary outage of potable water to either CITY or the DISTRICT, such as a naturN disaster, contaminated water, or a major pipeline break. A.Manner of Request for Water. If either Party requires water because of an emergency situation, the Requester ("Requester") wi!l request to obtain water from the other Patty ("Supplier"). The Supplier will provide water to the Requester to the extent Supplier has water available in view of its circumstances and demands at that time as determined by the Supplier. The Requester will provide the Supplier with a written or verbN request for water with as much advance notice as possible. Requests for water shall be delivered to the addressees listed in Section 19 of this A~eement. B. Obligation to Supply Water is Limited. The obligation to supply water hereunder is limited (1) to surplus water above and beyond that required to service the needs of the Supplier’s reguiar customers as detet~nined by the Supplier, and (2) to a reasonable period of time to alleviate the emergency situation. The Supplier shall provide verbal or written agreement to the Requester prior to the delivery of water in an emergency, mad representatives of CITY and the DISTRICT will be present during the commencement and cessation of delivery of water. At no time will the Requester operate the Supplier’s water system appurtenances, such as valves, regulators, or hydrants. The amount of water provided by one Party to the other will be monitored, metered, and documented. 6.Compensation for Water Usage. The Requester will compensate the Supplier at the wholesale rate charged to the supplying Pm’ty at the time of the delivery of the water by the San Francisco Public Utilities Co~mnission. Charges will be made only for months in wkich water is actually delivered emd such payment ~vilt be made within thirty (30) days after receipt of an invoice. Meter readings will be made by and at the convenience of the Supplier. The amount of water delivered shall be estimated if conditions do not permit metered measurement. Water supplied pursuant to this Agreement shall be accessed only tlv’ough the Intercormection. 7. Failure to Supply Water. Neither Patty shall be responsible for damages for any failure to supply water or for interruption of the supply. 8.Access to Valve Site. The representatives of the Par~ies shall at all times have access to the Interconnection for the pro’pose of reading meter registration and!or examining the meter and valve to ascertain whether or not they are in good condition. 3071115 syn 6050265 9.Compliance with Laws. Each Party will have responsibility for obtaining and maintaining all permits and preparing reports or plans as necessary to comply with current or fiature applicable local, state or federal regulations for the construction, repair and replacement of the facilities that each Party is responsible for maintaining as set forth in this A~eement. Each Patty shall exercise reasonable care in the performance of its obligations and rights under this Agreement to ensure that the other Party’s facilities and operations are not impaired or damaged. If any occm-rence or condition during operation or maintenance of the Interconnection threatens the physical integrity or operational capacity of either Party’s separate facilities, the affected Party may stop operation or maintenance of the Intercoimection in question and/or take any action that the affected Party deelns necessary to protect its own separate facilities. The affected Party will give Notice to the other Party of any actions taken pursuant to this Section as soon as practical. 10. Records. The Parties shall maintain accm-ate and complete records of the maintenance and use of the Intercolmection, and shall make those records available to the other Party upon request. Each Patty shall maintain records of all its costs with respect to its activities under this Agreement and make those records available to the other Party. The Parties shall retain such records for tln’ee (3) years after the termination of this Agreement. 11. Term. This Agreement shall begin on the date set forth in the first paragraph of this Agreement, and can be terminated as discussed below. Either Party may terminate this Agreement for default by the other Party, if the defaulting Party fails to cure the default within ninety (90) days from the date of the notice of the default, or such longer period as may be agreed to by both Parties. 12. Quantity or Quality of Water. Neither the DISTRICT nor CITY make any representation or warranty of may kind regarding the quantity, quality or pressure of water available at any time tt~rough the Interconnection, except that the ~vater provided will be in f~tll compliance with California Departartent of Health oh’inking water requirements. It is the responsibility of the Requestor to verify the quality of water entering their system and to ensure that the interaction of the water sources does not cause water quality issues. 13.Indemnity. A.Indemnification of CITY: To the extent pemztitted by law, DISTRICT agrees to protect, defend, hold harmless and indemnify CITY, its City Council, commissions, officers, employees, volunteers and agents from and against any clahn, injury, liability, loss, cost, and/or expense or damage, including all costs and reasonable attorney’s fees in providing a defense to any claim arising therefi’om, for which CITY shall become liable m’ising from DISTRICT’s negligent, reckless or wrongf~al acts, en’ors, or omissions with respect to or in any way connected with the maintenance, assistance and services perfomaed by DISTRICT pursuant to this Agreement, except for claims, liabilities and damages caused by the CITY’s sole negligence or willful misconduct. B.Indemnification of DISTRICT: To the extent petTnitted by law, CITY agrees to protect, defend, hold harmless and indemnify DISTRICT, its Born’d, officers, employees, volumeers and agents from and against any claim, injury, liability, loss, cost, and/or 4071115 syn 6050265 expense or damage, including all costs and reasonable attorney’s fees in providing a defense to any claim ax-ising therefrom, for which DISTRICT shall become liable arising from CITY’s negligent, reckless or wrongful acts, errors, or omissions with respect to or in any way connected with the maintenance, assistance and services performed by CITY pursuant to this Agreement, except for claims, liabilities and damages caused by the DISTRICT’s sole negligence or willfu! miscondnct. 14. Assigmnents and Successors in Interest. CITY and DISTRICT bind themselves, their partners, successors, assigns, executors, and admiNstrators to all covenants of this Agreement. Except as otherwise set forth in this Agreement, no interest in this Agreement or any of the work provided for under this Agreement shall be assigned or transfen’ed, either voluntarily or by operation of law, without the prior written approval of CITY mad DISTRICT. 15. Integrated Document- Totality of A~reement. This Agreement embodies the agreement between CITY and DISTRICT and its terms and conditions. No other understanding, agreements, or conversations, or otherwise, with any officer, agent, or employee of CITY or DISTRICT prior to execution of this Agreement shall affect or modify any of the terms or obligations contained in any docmnents comprising this Agreement, Any such verbal agreement shall be considered as unofficial information and in no way binding upon City or DISTRICT. 16. No Third Party Beneficiary. This Agreement shall not be construed to be an agreement for the benefit of m~y third party or parties and no third party or parties shall have any claim or right of action under this A~eement :for any cause whatsoever. !7. Captions. The captions of the various sections, paragraphs and subpm’agraphs of this Agreement are for conve~ience only mad shall not be considered or referred to in resolving questions or interpretation. 18. Amendments. This Agreement may be changed only by a written eanendment signed by both of the Parties. 19. Notice. Any notice required or permitted to be given by this Agreement shall be in writing, delivered personally or deposited in the United States mail, first class postage prepaid, addressed as follows: If to CITY:City of Palo Alto 3201 East Bayshore Frontage Road Palo Alto, CA 94303 Attention: Water-Gas-Wastewater Operations Manager, or Water Transmission Supervisor, 650-496-6932 If to the DISTRICT:Pm-issima Hills Water District 26375 Fremont Road Los Altos Hills, CA 94022 Attention: General Manager 5071115 ~,in 6050265 Either Party by notice given as hereinabove provided may change the address to wNch notice shaI1 thereafter be delivered. If notice is sent via facsimile, a signed, hard copy of the material shall also be mailed. The workday the facsimile was sent shall control the date notice was deemed Nven if there is a facsimile machine generated document on the day of transmission. A facsimile transmitted after 1:00 p.m. on a Friday shalI be deemed to have been transmitted on the following Monday. EN WITNESS WHEREOF, the Pa1"~ies have executed this Agreement by their duly authorized representatives as of the day a2~d year first above w3"itten. CITY OF PALO ALTO Assistant City Manager APPROVED AS TO FORM: BY: ~!I~-’~PURI" I IA LS W T R DISTRICT General N[a~aa~,er Deputy City Attorney APPROVED: ATTEST: District Secretary Director of Utilities Director of Administrative Se~azices 6 071115 syn6050265 ~]n N=~AV A/~IA’I31H I o