HomeMy WebLinkAbout2020-03-24 Water Board AgendaDEPARTMENT OF WATER SUPPLY
COUNTY OF HAWAII
WATER BOARD MEETING
AGENDA
MEETING DATE: March 24, 2020
TIME: 10:00 a.m.
PLACE: West Hawaii Civic Center, Community Meeting Hale, Building G,
74-5044 Ane Keohokalole Highway, Kailua-Kona, Hawaii
1) CALL TO ORDER — 10:00 a.m. (please turn cell phones off or set to silent)
2) STATEMENTS FROM THE PUBLIC
3) APPROVAL OF MINUTES — Minutes of the February 25, 2020, Water Board Meeting
4) APPROVAL OF ADDENDUM AND/OR SUPPLEMENTAL AGENDA (if necessary)
(Note: Roll Call Required)
5) WATER RATE STUDY CHANGE ORDER, JOB NO. 2019-08:
Rate study consultant, Harris & Associates, was contracted to conduct a 5 -year Water Rate Study for
the Department in order to provide water rates for the fiscal years 2021 to 2025. The contract total
was $562,706.00. This amount did not include making a presentation to the Water Board, which was
requested by the Board at a prior meeting. The contract does include having the consultant attend
public hearings in Kona and Hilo on consecutive days in order to provide information and answer
questions about the water rate study. Ms. Ann Hajnosz from Harris & Associates will be attending
the April 28, 2020, Water Board meeting to provide background of the Department's water rate
structure and to inform the Board of her findings to date. The additional cost for this presentation is
$12,165.00.
RECOMMENDATION: It is recommended that the Board approve a change order to the Harris &
Associates contract, Job No. 2019-08, totaling $12,165.00 to provide for a presentation to the Water
Board on April 28, 2020.
6) WATER RATE STUDY FOR FISCAL YEAR 2021 - 2025:
Before the proposed rates can be adopted, Public Hearings must be held to accept public testimony on
the matter. In the past, two public hearings were held on consecutive nights in Hilo and Kona at
6:00 p.m.
RECOMMENDATION: It is recommended that Public Hearings be scheduled in Hilo and Kona for
6:00 p.m. on consecutive days in order to receive public testimony on the proposed five-year water
rates.
Page 1 of 5 March 24, 2020, Water Board Agenda
7) DEPARTMENT OF WATER SUPPLY PROPOSED OPERATING AND 5 -YEAR
CAPITAL IMPROVEMENT PROJECTS (C.I.P.) BUDGETS FOR FISCAL YEAR 2021:
The Department's Fiscal Year 2021 Operating Budget, totaling $55,373,200, and 5 -Year
C.I.P. Budget for Fiscal Year 2021-2025, totaling $135,100,000, have been distributed for the
Board's review. A public hearing was held prior to this meeting to accept testimony. The Board may
change either Budget or adopt them as presented over two readings.
RECOMMENDATION: It is recommended that the Board approve the Department's Fiscal Year
2021 Operating and C.I.P. Budgets on this first of two readings.
8) PRESENTATION OF COUNTY OF HAWAII AUDIT REPORT ON CONTINGENCY
PLANS AT COUNTY OF HAWAI`I'S DEPARTMENT OF WATER SUPPLY:
Copies of the County of Hawaii, Office of the Legislative Auditor, "Audit Report on Contingency
Plans at County of Hawai`i's Department of Water Supply" have been distributed to Board Members.
The County's Legislative Auditor, Ms. Bonnie Nims, will present her report dated March 3, 2020, on
the Department's contingency plans to guarantee sufficient water supply to customers at all times,
including during disruption of a deep water well.
9) SOUTH HILO:
A. EQUIPMENT BID NO. 2019-10, FURNISHING AND DELIVERING EQUIPMENT TO
THE DEPARTMENT OF WATER SUPPLY:
Bids were opened on March 12, 2020, at 1:30 p.m. and following are the bid results:
RECOMMENDATION: It is recommended that the Board award EQUIPMENT BID
NO. 2019-10, FURNISHING AND DELIVERING EQUIPMENT TO THE DEPARTMENT OF
WATER SUPPLY, to:
• Allied Machinery Corporation Hilo, for Parts A and B at a total cost of $78,896.15;
• Gill Island Motors, for Part D at a total cost of $161,291.94;
and that either the Chairperson or the Vice -Chairperson be authorized to sign the contracts subject
to approval of the contracts as to form and legality by Corporation Counsel.
Page 2 of 5 March 24, 2020, Water Board Agenda
Part `B"
Part "A"
ONE (1)
Part "D"
ONE (1) MINI
DUAL
Part "C"
ONE (1)
EXCAVATOR
PURPOSE
REMOVED
BUCKET
DUMP
TRUCK
TRAILER
Allied Machinery
$63,887.43
$15,008.72
No Bid
Corporation Hilo
150 Das
120 Days
American Machinery dba
$96,434.83
No Bid
No Bid
Island Equipment, Inc.
180 Days
Gill Island Motors
No Bid
No Bid
$161,291.94
400 Days
HT&T Hawaii LLC dba
No Bid
No Bid
No Bid
HT&T Truck Center
Inter Pacific Motors, Inc.,
$166,485.80
dba Orchid Isle Auto
No Bid
No Bid
Center
460 Days
RECOMMENDATION: It is recommended that the Board award EQUIPMENT BID
NO. 2019-10, FURNISHING AND DELIVERING EQUIPMENT TO THE DEPARTMENT OF
WATER SUPPLY, to:
• Allied Machinery Corporation Hilo, for Parts A and B at a total cost of $78,896.15;
• Gill Island Motors, for Part D at a total cost of $161,291.94;
and that either the Chairperson or the Vice -Chairperson be authorized to sign the contracts subject
to approval of the contracts as to form and legality by Corporation Counsel.
Page 2 of 5 March 24, 2020, Water Board Agenda
B. JOB NO. 2012-983, KA`IE`IE MAUKA FACILITY IMPROVEMENTS - REQUEST FOR
TIME EXTENSION:
The contractor, Isemoto Contracting Co., Ltd., is requesting a contract time extension of 60
calendar days. This time extension request will allow the contractor to complete the project due
to required design changes to the electrical work for the booster pumps. The issues were
discovered while troubleshooting during the start-up testing. The delays were beyond the control
of the contractor.
Staff reviewed the request for the contract time extension finds the 60 calendar days are justified.
Note: There are additional costs of $14,643. 00 associated with this time extension, which are
within the existing contingency amount.
1St time extension — 56 calendar days (granted 12/17/19 due to issuance of building permit)
2nd time extension — 52 calendar days (granted 1/28/20 due to weather and design changes)
3rd time extension — 60 calendar days
RECOMMENDATION: It is recommended that the Board approve a contract time extension of
60 calendar days to Isemoto Contracting Co., Ltd., for JOB NO. 2012-983, KA`IE`IE MAUKA
FACILITY IMPROVEMENTS. If approved, the contract completion date will be extended from
March 30, 2020, to May 29, 2020.
10) NORTH KONA:
A. JOB NO. 2020-1133, KAHALU`U B DEEPWELL REPAIR:
This project consists of furnishing all labor, materials, tools and equipment necessary to remove
the existing pump, motor, and column assembly; install a vertical turbine pump, vertical hollow
shaft motor, column assembly, sounding tubes and all appurtenant materials; discharge piping
work; electrical work; chlorinate the well and pumping assembly; and complete an efficiency test;
in accordance with the specifications.
Bids for this project were opened on March 12, 2020, at 2:30 p.m., and following are the bid results:
Bidder Bid Amount
Derrick's Well Drilling & Pump Services, LLC $600,000.00
Water Resources International, Inc. $604,267.00
Project Costs:
1) Low Bidder (Derrick's Well Drilling & Pump Services, LLC) $600,000.00
2) Contingencies (10.0%) $ 60,000.00
Total Cost: �660000.00
Funding for this project will be from DWS's CIP Budget under Deepwell Pump Replacement.
The contractor will have 210 calendar days to complete this project. The Engineering estimate
for this project was $710,000.00.
RECOMMENDATION: It is recommended that the Board award the contract for JOB
NO. 2020-1133, KAHALU`U B DEEPWELL REPAIR, to the lowest responsible bidder,
Derrick's Well Drilling & Pump Services, LLC, for their bid amount of $600,000.00, plus
$60,000.00 for contingencies, for a total contract amount of $660,000.00. It is further
recommended that either the Chairperson or the Vice -Chairperson be authorized to sign the
contract, subject to review as to form and legality by Corporation Counsel.
Page 3 of 5 March 24, 2020, Water Board Agenda
11) MISCELLANEOUS:
A. DEDICATIONS:
The received the following document for action by the Water Board. The water system has been
constructed in accordance with the Department's standards and is in acceptable condition for
dedication.
1. Grant of Easement and Bill of Sale
Grantor: RS 10 Kalaoa, LLC
"Kukuinui Subdivision, Increment II"
Subdivision No. 98-000070
Tax Map Key: (3) 7-3-028:102
Facilities Charge: $20,400.00, Date Paid: April 30, 2018
Capital Assessment Fee: $5,000.00 (paid)
Final Inspection Date: 11/06/2019
Water System Cost: $119,328.00
RECOMMENDATION: It is recommended that the Water Board accept this document subject to
the approval of the Corporation Counsel and that either the Chairperson or the Vice -Chairperson
be authorized to sign the document.
B. JOB NO. 2019-1129, EMERGENCY STANDBY POWER CONNECTION AT
CRITICAL SITES:
Bid opening was scheduled for March 12, 2020, at 2:00 p.m. No responsive, responsible bids
were received. Staff will seek alternate methods of procurement per HAR 3-122-35 (b), in
accordance with procurement rules.
C. MONTHLY PROGRESS REPORT:
Submission of Progress Report of Projects by the Department. Department personnel will be
available to respond to questions by the Board regarding the status/progress of any project.
D. REVIEW OF MONTHLY FINANCIAL STATEMENTS:
Submission of financial statements and information relating to the financial status of the
Department. Department personnel will be available to respond to questions by the Board
relating to the financial status of the Department.
E. MANAGER -CHIEF ENGINEER'S REPORT:
The Manager -Chief Engineer to provide an update on the following:
1. North Kona Wells
2. American Water Works Association National Conference, Orlando, Florida, June 14-17, 2020
3. Coronavirus update
F. CHAIRPERSON'S REPORT:
Chairperson to report on matters of interest to the Board.
Page 4 of 5 March 24, 2020, Water Board Agenda
12)
ANNOUNCEMENTS:
1. Next Regular Meeting:
The next meeting of the Water Board will be Apri128, 2020, 10:00 a.m. at the Department of
Water Supply, Hilo Operations Center Conference Room; 889 Leilam Street, Hilo, Hawaii.
2. Following Meeting:
The following meeting of the Water Board will be May 26, 2020, 10:00 a.m., at the West Hawaii
Civic Center, (Building G); 74-5044 Ane Keohokalole Highway, Kailua-Kona, Hawaii.
13) ADJOURNMENT
Anyone requiring an accommodation or auxiliary aid and/or services to participate in this
meeting (i.e. sign language, interpreter, large print), please contact the Board Secretary, at
961-8050 as soon as possible, but no later than five days before the scheduled meeting.
Notice to Lobbyists: If you are a lobbyist, you must register with the Hawaii County Clerk within
five days of becoming a lobbyist. {Article 15, Section 2-91.3(b), Hawaii County Code} A
lobbyist means "any individual engaged for pay or other consideration who spends more than five
hours in any month or $275 in any six-month period for the purpose of attempting to influence
legislative or administrative action by communicating or urging others to communicate with public
officials." {Article 15, Section 2-91.3(a)(6), Hawaii County Code} Registration forms and
expenditure report documents are available at the Office of the County Clerk -Council, Hilo,
Hawai `i.
The Department of Water Supply is an Equal Opportunity provider and employer.
Page 5 of 5 March 24, 2020, Water Board Agenda