HomeMy WebLinkAbout2022-09-27 Water Board AgendaDEPARTMENT OF WATER SUPPLY
COUNTY OF HAWAI`I
WATER BOARD MEETING
AGENDA
MEETING DATE: September 27, 2022
TIME: 10:00 a.m.
PLACE: Liquor Control Conference Room, Hilo Lagoon Centre, 101 Aupuni Street, Room 230,
Hilo, Hawaii
Due to the expiration of Governor Ige's COViD-19 Emergency Proclamation, members
of the public are encouraged to continue face masking, physical distancing, and
sanitizing, as outlined in the County of Hawaii Coronavirus Best Practices, Living with
Coronavirus in our Community.
Public testimony may be done in person or in writing by email (dws@hawaiidws.org),
fax (808-961-8657), or by mail: 345 Kekuana5'a Street, Suite 20, Hilo, HI 96720.
Please indicate agenda item submitting for. All testimony, regardless of time of receipt,
will be part of the permanent record.
1) CALL TO ORDER — 10:00 a.m. (please turn cell phones off or set to silent)
2) STATEMENTS FROM THE PUBLIC — Pursuant to HRS §92-3, oral testimony may be provided entirely
at the beginning of the meeting, or immediately preceding the agenda item.
3) APPROVAL OF MINUTES:
• Minutes of the August 23, 2022, Public Hearing on the Power Cost Charge
• Minutes of the August 23, 2022, Water Board Meeting
4) APPROVAL OF ADDENDUM AND/OR SUPPLEMENTAL AGENDA (if necessary)
(Note: Roll Call Required)
5) PRESENTATION OF COUNTY OF HAWAI`I AUDIT REPORT ON CASH HANDLING
(FOLLOW-UP):
Chair: Is there any testimony for this item?
Copies of the County of Hawai `i, Office of the Legislative Auditor, "Department of Water Supply Cash
Handling Follow-up," Report No. 2022-04, dated September 2, 2022, have been distributed to Board
Members. The County's Legislative Auditor, Tyler J. Benner, will present the report to the Board.
6) POWER COST CHARGE:
Chair: Is there any testimony for this item?
Departmental power costs from all power sources increased since the last Power Cost Charge rate was
determined. The Department proposes to increase the Power Cost Charge from $2.75 to $2.87 per
thousand gallons as a result of this increase. Power cost charges over the past two years were as follows:
Page 1 of 8 September 27, 2022, Water Board Agenda
Effective
PCC
September 1, 2022
$2.75
July 1, 2022
$2.48
May 1, 2022
$2.34
March 1, 2022
$2.02
November 1, 2021
$2.15
June 1, 2021
$1.85
Before the Power Cost Charge is changed, a Public Hearing should be scheduled to accept public testimony.
RECOMMENDATION: It is recommended that the Board approve holding a Public Hearing on
October 25, 2022, at 9:45 a.m., to receive testimony on increasing the Power Cost Charge from $2.75 to
$2.87, effective November 1, 2022.
7) SOUTH HILO:
A. JOB NO. 2020-1146, HILO OPERATIONS BASEYARD EMERGENCY GENERATOR
REPLACEMENT — REQUEST FOR ADDITIONAL FUNDS:
Chair: Is there any testimony for this item?
At the May 24, 2022, Water Board meeting, a request for additional funds of $50,363.00 was
approved. The correct amount should have been $50,465.00.
Original Contract Amount: $1,384,052.00
Original Contingency Amount: 138,348.00
P Additional Funds Request (approved at 5124122 Water Board meeting): 50, 363.00
This (2"d) Additional Funds Request: 102.00
Total Revised Contract Amount: $1,572,865.00
RECOMMENDATION: It is recommended that the Board approve an increase in contingency of
$102.00 to Isemoto Contracting Co., Ltd., for JOB NO. 2020-1146, HILO OPERATIONS
BASEYARD EMERGENCY GENERATOR REPLACEMENT. If approved, the total revised
contract amount shall be $1,572,865.00.
8) NORTH KOHALA:
A. JOB NO.2016-1045, CONSTRUCTION OF THE HALA`ULA WELL DEVELOPMENT -
PHASE 2 - REQUEST FOR TIME EXTENSION:
Chair: Is there any testimony for this item?
The contractor, Goodfellow Bros., LLC, is requesting a time extension of an additional 63 calendar
days based on Hawaiian Electric's estimated completion to have power to the well site by the end of
September. Upon completion of Hawaiian Electric's improvements, the electrical, controls, and
plumbing sub -contractors will need to complete installation of equipment as well as the wiring from
the Hawaiian Electric service to the various equipment.
Page 2 of 8 September 27, 2022, Water Board Agenda
Ext.
Days
#
From Date
To Date
Calendar
Reason
1
11/18/2020
7/31/2021
255
Excessive delays due to land ownership
changes and lack of site access.
Delay in receiving the pump installation
2
7/31/2021
11/30/2021
122
permit from the Commission on Water
Resource Management CWRM).
3
11/30/2021
2/28/2022
90
Delay in receiving the pump installation
permit from CWRM.
Delay in receiving the pump installation
4
2/28/2022
6/30/2022
122
permit from CWRM and power from
Hawaiian Electric.
Delay in receiving the pump installation
5
6/30/2022
9/30/2022
92
permit from CWRM and power from
Hawaiian Electric.
6
9/30/2022
12/2/2022
63
Delay in power from Hawaiian Electric.
Total Days(including this request)
744
This delay is beyond the control of the contractor.
Staff reviewed the request for the contract time extension and finds the request for the additional
63 calendar days to be justified. Note: There are no additional costs associated with this time
extension.
RECOMMENDATION: It is recommended that the Board approve a contract time extension of
63 calendar days to Goodfellow Bros., LLC, for JOB NO, 2016-1045, CONSTRUCTION OF THE
HALA`ULA WELL DEVELOPMENT - PHASE 2. If approved, the contract completion date will be
revised from September 30, 2022, to December 2, 2022.
B. JOB NO. 2019-1105, KA`AUHUHU #2 BOOSTERS A, B & C REPAIR— REQUEST FOR
TIME EXTENSION:
Chair —Is there any testimony for this item?
The Contractor, Beylik/Energetic A JV is requesting a contract time extension of 108 calendar days,
due to delays from the vendor for shipment of the booster pump assemblies, and work required to
rewire the manufacturer furnished motors.
Staff reviewed the request for the time extension and the accompanying supporting documentation
and found that only 66 calendar days of the requested time to be justified. Note: There are no
additional costs associated with this time extension.
Ext. #
To (Date)
Days
Reason
(Date)
(Callendar)
1
1/8/22
2/8/22
30
Delays due to work required to rework pump
to meet contract requirements.
Delays to shipment of the booster pump
2
2/8/22
4/15/22
66
assemblies and rewiring of motors furnished in
the wrong voltage.
Total Days(including this request)
96
Page 3 of S September 27, 2022, Water Board Agenda
RECOMMENDATION: It is recommended that the Board approve a contract time extension of
66 calendar days to Beylik/Energetic A JV, for JOB NO. 2019-1105, KA`AUHUHU #2
BOOSTERS A, B & C REPAIR. if approved, the contract completion date will be revised from
February 8, 2022, to April 15, 2022.
9) SOUTH KOHALA:
A. JOB NO.2020-1160, PARKER #2 DEEPWELL REPAIR— REQUEST FOR TIME
EXTENSION:
Chair — Is there any testimony for this item?
The contractor, Beylik/Energetic A JV, is requesting a contract time extension of 14 calendar days,
due to delays from the vendor for shipping the materials required for modification of the discharge
head, which was beyond the control of the contractor.
Staff reviewed the request for the time extension and the accompanying supporting documentation
and found the 14 calendar days to be justified. Note: There are no additional costs associated with
this time extension.
E#xt.
From (Date)
To (Date)
Reason
(Ca ens
Replacement of existing discharge head due to
column assembly exceeding lifting capacity of
1
02/28/2022
05/02/2022
63
discharge head plate.
Replacement of nine (9) damaged column pipes
due to incidental work.
2
05/02/2022
05/16/2022
14
Delays to discharge head manufacturing.
3
05/16/2022
09/30/2022
137
Delays due to modifications of the discharge
head.
4
09/30/2022
10/14/2022
14
Delays to shipping of materials for modification
of discharge head.
Total Days(including this request)
228
RECOMMENDATION: It is recommended that the Board approve a contract time extension of
14 calendar days to Beylik/Energetic A JV, for JOB NO.2020-1160, PARKER #2 DEEPWELL
REPAIR. If approved, the contract completion date will be revised from September 30, 2022, to
October 14, 2022.
10) NORTH KONA:
A. NOTICE OF THIRD ASSIGNMENT OF EQUIVALENT UNITS UNDER
WATER AGREEMENT [LA 10, TMK (3) 7-8-010-078 AND LA 26, TMK (3) 7-8-010-004]
DATED APRIL 4, 2012:
Chair — Is there any testimony for this item?
Kamehameha Investment Corporation (KIC) and the Trustees of the Estate of Bernice Pauahi Bishop
(KS) are requesting to assign equivalent units (EU) in accordance with the Water Agreement dated
April 4, 2012, and executed with the Water Board. The assignments are requested as follows:
Page 4 of 8 September 27, 2022, Water Board Agenda
KIC Land Area
Parcel
Pre -Assignment (EU)
Post -Assignment
EU
LA 10
(3) 7-8-010-078
150
150
LA 10A
(3) 7-8-010-090
40
40
LA 1
(3) 7-8-010-044
101
188
LA 26
(3) 7-8-010-004
349
209
LA 6
(3) 7-8-010-049
1
LA 6
(3) 7-8-012-004
1
LA 6
(3) 7-8-012-007
1
LA 6
(3) 7-8-012-061
1
LA 6
(3) 7-8-012-065
25
LA 6
(3) 7-8-012-098
24
Total
640
640
Section 3 of the 2014 Water Agreement provides for the reassignment of equivalent units. All parcels
indicated on the above table are included in Exhibit 1-1 of the agreement. Further, the term of the
agreement is for 20 years, or until 2032.
RECOMMENDATION: It is recommended that the Water Board approve the requested assignments
and authorize either the Chairperson or Vice -Chairperson to sign the approval form, subject to review
as to form and legality by Corporation Counsel.
11) MISCELLANEOUS:
A. DEDICATIONS:
Chair: Is there any testimony for this item?
The Department received the following documents for action by the Water Board. The water systems
have been constructed in accordance with the Department's standards and are in acceptable condition
for dedications.
1. Grant of Easement and Bill of Sale
Grantor: West Hawaii Business Park LLC
Subdivision No. 19-001890
Tax Map Key (3) 7-4-008:076 (Road Lot 1)
Honok6hau lit, North Kona, Island of Hawaii, Hawaii
Facilities Charge: $233,805.00, Date Paid: 12/23/2020
Final Inspection Date: 8/25/2022
Water System Cost: $993,522.00
2. Grant Easement (Water Meter)
Grantor: Robin W. Ledson Trust
Lono Kona Subdivision
Tax Map Key (3) 7-5-022:018 (portion)
Keopu 2nd, North Kona, Island of Hawaii, Hawaii
RECOMMENDATION: It is recommended that the Water Board accept these documents subject to
the approval of the Corporation Counsel and that either the Chairperson or the Vice -Chairperson be
authorized to sign the documents.
Page 5 of 8 September 27, 2022, Water Board Agenda
B. MATERIAL BID NO. 2022-11, FURNISHING AND DELIVERING SPARE 400 HP MOTOR
SET, PUMP CABLE, AND STEP-UP TRANSFORMER FOR THE DEPARTMENT OF
WATER SUPPLY:
Chair: Is there any testimony for this item?
Bids were received and opened on September 15, 2022, at 2:00 p.m., and the following are the bid
results.
Derrick's Well
SECTION
DESCRIPTION
Beylik Drilling and
Drilling and
Pump Service, Inc.
Pump Services,
LLC
1
400HP MOTOR SET
$175,000.00
$134,092.00
2
PUMP CABLE
$135,700.00
$77,296.00
3
STEP-UP TRANSFORMER
$174,000.00
$82,612.00
The estimated cost for the pump and motor set and refurbished motor, respectively, were as follows:
• 400HP Motor Set: $120,000
• Pump Cable: $70,000
• Step -Up Transformer: $100,000
RECOMMENDATION: It is recommended that the Board award the contract for MATERIAL BID
NO. 2022-11, FURNISHING AND DELIVERING SPARE 400HP MOTOR SET, PUMP CABLE,
AND STEP-UP TRANSFORMER FOR THE DEPARTMENT OF WATER SUPPLY, by Sections to
the following bidders for the amounts shown above, and that either the Chairperson or the Vice -
Chairperson be authorized to sign the contract(s), subject to review as to form and legality of the
contract(s) by Corporation Counsel.
Section 1 — 400HP Motor Set to Derrick's Well Drilling & Pump Services, LLC
Section 2 — Pump Cable to Derrick's Well Drilling & Pump Services, LLC
Section 3 — Step -Up Transformer to Derrick's Well Drilling & Pump Services, LLC
C. MONTHLY PROGRESS REPORT:
Chair: Is there any testimony for this item?
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:
Chair: Is there any testimony for this item?
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.
Page 6 of 8 September 27, 2022, Water Board Agenda
E. N&K CPAs, INC., PLANNING COMMUNICATION TO THE WATER BOARD, FISCAL
YEAR 2022 AUDIT:
Chair — Is there any testimony for this item?
Copies of the planning communication letter from N&K CPAs, Inc., to the Water Board have been
distributed to Board Members to provide information on the current audit for Fiscal Year 2022.
F. MANAGER -CHIEF ENGINEER'S REPORT:
Chair: Is there any testimony.for this item?
The Manager -Chief Engineer to provide an update on the following:
1. North Kona Wells
2. Update on Establishment of Permitted Interaction Group, Re: Capacity Expansion
3. Retiree of the Department of Water Supply
G. EXECUTIVE SESSION REGARDING POTENTIAL DISPUTED SETTLEMENT -
JOB NO.2016-1056, WAI`AHA DEEPWELL REPAIR, DISTRICT OF NORTH KONA:
The Board anticipates convening an executive meeting for the purposes of an attorney -client
confidential discussion regarding the above -entitled matter.
Pursuant to Section 92-5(a)(4) Hawaii Revised Statutes, the purpose of the executive meeting is to
consult with the Board's attorney on questions and issues pertaining to the Board's duties, privileges,
immunities, and liabilities. A two-thirds vote is necessary to hold an executive meeting, provided that
the affirmative vote constitutes a majority of the Board.
H. EXECUTIVE SESSION: MANAGER -CHIEF ENGINEER AND DEPUTY EVALUATION
FOR CALENDAR YEAR 2022:
The Board anticipates convening an executive meeting to consider the evaluations of the
Manager -Chief Engineer and Deputy for its annual performance review, as authorized by Hawaii
County Charter Section 7-4.6(d) and Hawaii Revised Statutes ("HRS"), Sections 92-4 and 92-5(a)(2).
The Board wishes to have its attorney present, in order to consult with the board's attorney on its
questions and issues pertaining to the board's powers, duties, privileges, immunities, and liabilities
pursuant to HRS Section 92-5(a)(4). A two-thirds vote of the members present, pursuant to HRS
Section 92-4, is necessary to hold an executive meeting, provided that the affirmative vote constitutes
a majority of the board.
I. MANAGER -CHIEF ENGINEER AND DEPUTY EVALUATION FOR CALENDARYEAR2022:
Chair: Is there any testimony for this item?
Discussion/action on Manager -Chief Engineer and Deputy evaluation and compensation.
J. CHAIRPERSON'S REPORT:
1. Cost of Government Commission.
Page 7 of 8 September 27, 2022, Water Board Agenda
12)
13)
ANNOUNCEMENTS:
Next Meeting:
• The next meeting of the Water Board will be October 25, 2022, 10:00 a.m., at the Waimea
Community Center (next to the ball park); 65-1260 Kawaihae Road, Kamuela, Hawaii, followed
by a site visit to the Waimea Water Treatment Plant.
• Public Hearing on the Power Cost Charge will be at 9:45 a.m., if approved by the Board today.
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 (808) 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, Hawaii.
Board Packet Pursuant to Hawaii Revised Statutes, Section 92-7.5, the board packet
provided to members of the board for this meeting is available for public inspection during
regular business hours at the Department of Water Supply office, 345 Kekuana6`a Street,
Suite 20, Hilo, Hawaii.
"The Department of Water Supply is an Equal Opportunity provider and employer."
Page 8 of 8 September 27, 2022, Water Board Agenda