HomeMy WebLinkAbout2009-06-30 Water Board AgendaDEPARTMENT OF WATER SUPPLY
COUNTY OF HAWAII
WATER BOARD MEETING
AGENDA
MEETING DATE: June 30, 2009
TIME: 10:00 a.m.
PLACE: Waimea Community Center, 65 -1260 Kawaihae Road, Kamuela, HI
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 May 26, 2009, Water Board Meeting
4) APPROVAL OF ADDENDUM AND /OR SUPPLEMENTAL AGENDA
(Note: Addendum requires Roll Call Vote)
5) PUNA:
A. UTILITY AGREEMENT NO. 2020 — KEA'AU -PAHOA ROAD, SHOULDER LANE
CONVERSION, KEA'AU BYPASS ROAD TO SHOWER DRIVE, FEDERAL AID
PROJECT NO. STP- 0130(28):
This Utility Agreement (UA), for the subject project that includes or affects the Department of
Water Supply (DWS) water systems, is required for State Highways projects. (See attached
agreement.)
The UA sets forth the responsibilities and liabilities of each agency regarding the water system
within the State Right -of -Way. It also includes the provisions for future improvements and /or
maintenance requirements by either the State or DWS. The contents of this UA are consistent
with previous executed agreements, as well as the requirements of HRS 264 -33. Construction
plans for this project have been approved by DWS.
Staff has reviewed the subject UA, and finds it acceptable as submitted.
Note: There is no additional cost to DWS associated with this Utility Agreement.
RECOMMENDATION: It is recommended that the Water Board approve UTILITY
AGREEMENT NO. 2020 — KEA' AU -PAHOA ROAD, SHOULDER LANE CONVERSION,
KEA'AU BYPASS ROAD TO SHOWER DRIVE, FEDERAL AID PROJECT NO. STP-
0130(28), and authorize the either the Chairperson or Vice - Chairperson to execute the
document subject to the review and approval of the Corporation Counsel.
6) SOUTH HILO:
A. JOB NO. 2007 -926, HAKALAU IKI SPRING REMEDIATION:
The contractor, Ed Higa General Contracting, has requested a 49- calendar day time extension.
This time extension request is because of delays due to a faulty conductivity probe. (See
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attached request from the contractor.) The probe could not be calibrated properly and after it
went through in -situ troubleshooting, the factory concluded that it needed to be replaced. The
probe was reordered, and a new probe was shipped from the factory and finally reinstalled.
Subsequently, the SCADA programming and testing had to be rescheduled until the new probe
could be installed. This resulted in further delays because of unavailability of field personnel
to do the SCADA programming and testing.
Note: There is no additional cost to DWS associated with this time extension.
Staff has reviewed the request and finds that the 49 calendar days are justified. This is the
fourth time extension request. Previous extensions are listed as follows:
Request
Time Requested
From
To
First Time Extension
62 Calendar Days
January 27, 2009
March 30, 2009
Second Time Extension
57 Calendar Days
March 30, 2009
May 26, 2009
Third Time Extension
35 Calendar Days
May 26, 2009
June 30, 2009
Fourth Time Extension
49 Calendar Days
June 30, 2009
August 18, 2009
RECOMMENDATION: It is recommended that the Board approve a contract time extension
of 49 calendar days to JOB NO. 2007 -926, HAKALAU IKI SPRING REMEDIATION. The
contract completion date will be revised from June 30, 2009 to August 18, 2009.
B. JOB NO. 2002 -802, CONSTRUCTION OF THE PI'IHONUA RESERVOIR NO. 2
REPLACEMENT, DISTRICT OF SOUTH HILO, HAWATI, COUNTY OF HAWAII,
STATE OF HAWAI`L•
Bids were opened on June 18, 2009, at 2:00 p.m.; and the following are the bid results:
Bidder
Amount
Isemoto Contracting Co., Ltd. Lowest Responsible Bidder
$6,505,870.00
Ledcor Construction Hawaii, LLC
$6,737,125.00
Goodfellow Bros., Inc.
$6,952,420.00
E.M. Rivera & Sons, Inc.
$7,405,373.75
Jas W. Glover, Ltd.
$7,584,710.00
Engineer's Construction Cost Estimate: $7,000,000.00.
Construction Contract Duration: Four hundred eighty (480) calendar days.
Project Scope: The project consists of: a 2.0 -MG prestressed concrete tank, control building,
booster pump station, reservoir influent control station, pressure reducing valve station,
facility piping and connecting pipelines, drainage structures, electrical work, instrumentation,
approximately 1,700 linear feet of 8 -inch waterline with attendant service re- connections and
fire hydrant assemblies, asphalt concrete paving and repaving work, site perimeter fencing,
demolition of the existing reservoir site, and landscaping.
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The project cost will be as follows
Project Cost:
1) Low Bidder (Isemoto Contracting Co., Ltd.) $6,505,870.00
2) Construction Contingency ( -8 %) 494,130.00
Total Construction Cost: 7.000.000.00
Funding for this project will be from DWS C.I.P. funds
Department Staff has reviewed the bids and finds the bid from Isemoto Contracting Co., Ltd.,
acceptable as submitted.
RECOMMENDATION: It is recommended that the Board award the contract for JOB
NO. 2002 -802, CONSTRUCTION OF THE PI`IHONUA RESERVOIR NO. 2
REPLACEMENT, DISTRICT OF SOUTH HILO, HAWAII, COUNTY OF HAWAII,
STATE OF HAWAII, to the lowest responsible bidder, Isemoto Contracting Co., Ltd., for
their bid amount of $6,505,870.00 plus $494,130.00 for construction contingency for a total
contract amount of $7,000,000.00, and that either the Chairperson or the Vice - Chairperson be
authorized to sign the contract, subject to review as to form and legality of the contract by
Corporation Counsel.
7) HAMAKUA:
A. JOB NO. 95 -621, CONSTRUCTION OF THE POHAKEA WATER SYSTEM
IMPROVEMENTS, HAMAKUA, HAWAII, COUNTY OF HAWAII, STATE OF
HAWAI`L•
The contractor, Willocks Construction Corporation, has requested a 45- calendar day time
extension. (See attached request from the contractor.) This request is because of an
unforeseen delay due to the existing concrete bridge on P6hakea/Pa' auilo Homestead Road
(Bridge 45 -3). This bridge has a 12 -ton weight restriction that became an issue during
construction of the tank upgrades (Change Order No. 6).
The contractor investigated alternate routes to the project sites, but found much weaker
wooden bridges on these alternate routes. Therefore, the contractor sought approval from the
Department of Public Works (DPW) to cross Bridge 45 -3 with their concrete trucks. After a
lengthy deliberation, DPW reanalyzed the bridge, and allowed the contractor to cross the
bridge with a reduced load in the concrete trucks.
Staff has reviewed the request and finds the 45 calendar days are justified. This is the seventh
time extension request. Previous extensions are listed below:
• 1 st time extension -
• 2nd time extension
• 3rd time extension
• 4th time extension
• 5th time extension
• 6th time extension
• 7th time extension
225 calendar days
153 calendar days
152 calendar days
91 calendar days
92 calendar days
1,704 calendar days
45 calendar days
Note: There is no additional cost to DWS associated with this time extension.
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RECOMMENDATION: It is recommended that the Board approve the contract time
extension of 45 calendar days to JOB NO. 95 -621, CONSTRUCTION OF THE POHAKEA
WATER SYSTEM IMPROVEMENTS, HAMAKUA, HAWAII, COUNTY OF HAWAII,
STATE OF HAWAII. If approved, the contract completion date will be extended from
June 30, 2009 to August 14, 2009.
8) SOUTH KOHALA
A. ASSIGNMENT OF USE AND OCCUPANCY AGREEMENT AND CONSENT
(MAUNA LANI SERVICE, INC./WATER BOARD/DEPARTMENT OF
TRANSPORTATION):
At its May 26, 2009 meeting, the Water Board approved the acceptance of an assignment of
the Use and Occupancy Agreement (UOA) between the State of Hawaii through its Director
of Transportation (DOT), and Mauna Lani Service, Inc., contingent upon the execution of the
UOA as Mauna Lani had submitted it to DOT.
Since that meeting, the Attorney General for DOT made minor changes to the UOA and to the
consent form attached to the Assignment of Use and Occupancy Agreement and Consent
between Mauna Lani Service, Inc., and the Water Board. Because of those changes, DWS
requests that the Water Board re- approve the revised Assignment of Use and Occupancy
Agreement and Consent.
RECOMMENDATION: It is recommended that the Water Board re- approve the
ASSIGNMENT OF USE AND OCCUPANCY AGREEMENT AND CONSENT between
Mauna Lani Service, Inc. and the Water Board, and authorize either the Chairperson or the
Vice - Chairperson to execute the Assignment of Use and Occupancy Agreement and Consent,
subject to the review and approval of the Corporation Counsel.
9) NORTH KONA
A. JOB NO. 2009 -954, KAHALUU SHAFT PUMP NO. 1 REPAIR:
Bids were opened on June 5, 2009, at 2:00 p.m.; and following are the bid results:
Bidder
Bid Amount
Derrick's Well Drilling & Pump Services, LLC
$215,459.44
Beylik Drilling & Pump Service, Inc.
$238,223.00
Project Scope: This project consists of the removal and replacement of the existing motor,
discharge head, line shaft pump, column pipe, inner column assembly, and appurtenances of
the Kahalu'u Shaft Pump No. 1.
Project Cost:
1) Low Bidder (Derrick's Well Drilling & Pump Services)
2) Construction Contingency (10 %)
Total Construction Cost:
$215,459.44
$ 20,540.56
$236,000.00
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Funding for this project will be from DWS's CIP Budget under Deepwell Pump Replacement.
The contractor will have 180 calendar days to complete this project. The Engineering estimate
was $215,000.00.
RECOMMENDATION: It is recommended that the Board award the contract for JOB
NO. 2009 -954, KAHALU'U SHAFT PUMP NO. 1 REPAIR, to the lowest responsible bidder,
Derrick's Well Drilling & Pump Services, for their bid amount of $ 215,459.44, plus
$20,540.56 in construction contingency for a total contract amount of $236,000.00. 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 of the contract by Corporation
Counsel.
B. JOB NO. 2004 -839, KEOPU- PUUHONUA PRODUCTION WELL AND 1.0 MG
RESERVOIR:
The contractor, Isemoto Contracting Co., Ltd., requests an 82- calendar day time extension.
This request is due to the delay resulting from HELCO and Hawaiian Telcom work. (See
attached request from the contractor.)
Staff has reviewed the request and finds that the 82 calendar days are justified.
This is the fourth extension request. The first time extension granted at the April 22, 2008,
meeting was for 91 calendar days from August 19, 2008, to November 18, 2008. The second
time extension granted at the November 25, 2008 was for 197 calendar -days from
November 18, 2008, to June 3, 2009. The third extension was granted at the May 26, 2009
Water Board Meeting, for 37 calendar -days, from June 3, 2009 to July 10, 2009.
Note: There is no additional cost to DWS associated with this time extension.
RECOMMENDATION: It is recommended that the Board approve a contract time extension
to Isemoto Contracting Co., Ltd., of eighty -two (82) calendar days from July 10, 2009 to
September, 30, 2009, for JOB NO. 2004 -839, KEOPU- PU'UHONUA PRODUCTION WELL
AND 1.0 MG RESERVOIR.
C. FIRST SUPPLEMENTAL WELL DEVELOPMENT AGREEMENT - LANIHAU
PROPERTIES, LLC, WEST HAWATI BUSINESS PARK, LLC, PALANI RANCH
COMPANY, INC.:
The Well Development Agreement between Lanihau Properties, LLC, West Hawaii Business
Park, LLC, Palani Ranch Company, Inc., and the Water Board was approved at the Board
Meeting on June 27, 2006 and executed on August 22, 2006. Now that the well has been
drilled, cased, and tested, Lanihau, West Hawaii Business Park and Palani Ranch desire to
enter into this First Supplemental Well Development Agreement which details the well
capacity as well as the requirements to outfit the well and its supporting facilities to obtain the
water allocations for their Honok6hau Properties. This First Supplemental Agreement also
outlines the allocation of and initial assignment as well as subsequent assignment(s) of
equivalent units. (See attached agreement.)
RECOMMENDATION: It is recommended that the Water Board approve this First
Supplemental Well Development Agreement, and authorize either the Chairperson or Vice-
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Chairperson to execute the Agreement subject to the review and approval of the Corporation
Counsel.
D. OFF -SITE IMPROVEMENT AGREEMENT — WEST HAWAI'I BUSINESS PARK:
Lanihau Properties, LLC, and West Hawaii Business Park, LLC (WHBP) wish to enter into
this "Off -Site Improvement Agreement" (Off -Site Agreement) to provide potable water to the
West Hawaii Business Park Development (WHBP Project), included in their Honokohau
Properties as described in the Well Development Agreement. This Off -Site Agreement
describes the allocation of equivalent units and the water system improvements required by
WHBP in order to provide potable water to the WHBP Project. The off -site improvements
include but are not limited to, a 0.5- million gallon concrete reservoir and transmission mains
adequate to service the WHBP Project. A portion of the project will be serviced by the
existing water system adjacent to the WHBP Project. (See attached agreement.)
This Off -Site Agreement is subject to the terms set forth in the Well Development Agreement
and the First Supplemental Well Development Agreement if approved.
RECOMMENDATION: It is recommended that the Water Board approve this Off -Site
Improvement Agreement and authorize either the Chairperson or Vice - Chairperson to execute
the Agreement subject to the review and approval of the Corporation Counsel.
10) KA`U
A. JOB NO. 2002 -809, PAHALA PRODUCTION WELL AND SUPPORTING
FACILITIES:
The contractor, Isemoto Contracting Co., Ltd., requests a 51- calendar day, no -cost time
extension, due to the additional time required for Hawaiian Electric Light Company ( HELCO)
to remove the existing HELCO transformers, and due to weather - related delays on
December 15, 2008 and March 9, 2009. (See attached request from the contractor.)
This is the fourth time extension request. The previously approved time extensions are listed
below:
• Time Extension #1: Project extended 97 calendar days to allow for additional time
required to obtain the County Building permit.
• Time Extension #2: Project extended 42 calendar days to allow for additional time
required to return the undersized pump power cable to the Mainland and ship the
required pump power cable to the project site.
• Time Extension #3: Project extended 38 calendar days to allow additional time for
HELCO to install the new electric service lines.
This is a no -cost time extension. Engineering staff has reviewed this time extension request
and finds that the additional 51 calendar days are justified.
RECOMMENDATION: It is recommended that the Water Board approve a contract time
extension to Isemoto Contracting Co., Ltd. of 51 calendar days from June 29, 2009 to
August 19, 2009, for JOB NO. 2002 -809, PAHALA PRODUCTION WELL AND
SUPPORTING FACILITIES.
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11) MISCELLANEOUS:
A. ENERGY PERFORMANCE PROJECT:
Information on status of project to be given.
B. DEDICATION OF WATER SYSTEMS:
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 dedication.
GRANT OF EASEMENT:
(For Access Purposes, Hakalau Iki Spring)
Grantor: Kevin L. Hill and Kimberly C. Hill
TMK: (3) 2 -9 -004: Portion 099
RECOMMENDATION: It is recommended that the Water Board accepts these documents
subject to the approval of the Corporation Counsel and that either the Chairman or the Vice -
Chairman be authorized to sign the documents.
C. POWER COST ADJUSTMENT CLAUSE:
A Public Hearing on the Power Cost Adjustment Clause was held today. Public Hearing
Notice was published in the Hawaii Tribune - Herald and in the West Hawaii Today on
June 5 and 7, 2009.
The Department's new power cost charge (PCC) formula allows updating of the PCC as often
as every two months. The PCC was changed to its present $2.38 per 1,000 gallons effective
January 1, 2009, and has allowed the Department to recover 93% of the actual power costs
paid to HELCO since July 2008.
As the Department's power costs have been decreasing, it is appropriate to lower the PCC to
more closely reflect the Department's actual power costs. As of May 2009, the PCC computes
to $1.83 per 1,000 gallons ($9,772,897 / 5,346,747 gallons).
Discussion of an appropriate revision to the PCC will be held.
RECOMMENDATION: It is recommended that the Water Board approve the proposed cost
of the Power Adjustment Clause per thousand gallons based on the above discussion, effective
the first day of the month after proposed establishment of the rate by the Water Board.
D. MONTHLY PROGRESS REPORT:
Submission of Progress Report of Projects by the Department (see attached). Department
personnel will be available to respond to questions by the Board regarding the status /progress
of any project.
E. REVIEW OF MONTHLY FINANCIAL STATEMENTS:
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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.
F. WATER RATE STUDY:
Discussion on the new water rate study that the Department is planning to conduct, to address
the shortage of funds being generated from water sales.
G. MANAGER'S REPORT:
The Manager will provide an update or status on the following:
1. Update on use agreement on KIC wells
2. Palani Road Transmission Project
3. AWWA ACE 09
4. Kona Water Round Table
5. Computer Use — Internet/Email Policy
6. Sustainability/Energy /Green Team update
H. CHAIRPERSON'S REPORT:
Chairperson to provide comments and /or information relating to matters of concern to the
Water Board.
12) ANNOUNCEMENTS:
1. Next Meeting:
The next meeting of the Water Board will be held on July 28, 2009 at 10:00 a.m. in Hilo at the
Department of Water Supply, Operations Center Conference Room, 889 Leilani Street, Hilo.
2. Following Meeting:
The following meeting of the Water Board will be held on August 25, 2009, at 10:00 a.m. at the
Royal Kona Resort, Resolution Room, 75 -5852 Ali'i Drive, Kailua -Kona.
13) STATEMENTS FROM THE PUBLIC:
14) ADJOURNMENT
The meeting place is accessible to persons with disabilities. If you require use of an auxiliary aid or other access
accommodation, please contact Doreen Shirota at 961 -8050 as soon as possible or at least 5 days prior to the
meeting.
The Department of Water Supply is an Equal Opportunity provider and employer.
Notice to Lobbyists: Ifyou are a lobbyist, you must register with the Hawai `i County Clerk within five days of
becoming a lobbyist. (Article 15, Section 2- 91.3(6), Hawai `i 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.
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