HomeMy WebLinkAbout2010-02-23 Water Board AgendaDEPARTMENT OF WATER SUPPLY
COUNTY OF HAWAII
WATER BOARD MEETING
AGENDA
MEETING DATE: February 23, 2010
TIME: 10:00 a.m.
PLACE: Royal Kona Resort, Resolution Room, 75 -5852 Ali`i Drive, Kailua -Kona, 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 January 26, 2010, Water Board Meeting
4) APPROVAL OF ADDENDUM AND /OR SUPPLEMENTAL AGENDA
(Note: Addendum requires Roll Call Vote)
5) PUNA:
A. JOB NO. 2006 -899. CONSTRUCTION OF THE `OLA`A NO. 6 PRODUCTION WELL AND
1.0 MG RESERVOIR:
This project generally consists of the construction of a production well, control /chlorination building,
booster pump stations, 1.0 MG concrete reservoir, inlet control stations, demolition of existing 0.05
MG steel reservoir, facility piping, connecting pipelines, drainage structures, electrical instrumentation,
asphalt concrete paving and repaving, site perimeter fencing, SCADA improvements, and landscaping.
Bids were opened on February 11, 2010, at 2:00 p.m.; and the following are the bid results:
Bidder
Amount
Isemoto Contracting Co., Ltd. (Lowest Responsible Bidder)
$6,637,247.00
GW Construction
$7,188,788.90
Jas W. Glover, Ltd
$7,341,780.92*
*corrected amount
Engineer's Construction Cost Estimate: $7,000,000.00.
Construction Contract Duration: Four hundred ten (410) calendar days.
The project cost will be as follows:
Project Cost:
1) Low Bidder (Isemoto Contracting Co., Ltd.) $6,637,247.00
2) Construction Contingency ( -10 %) 662,753.00
Total Construction Cost: 7.300.000.00
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.
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RECOMMENDATION: It is recommended that the Board award the contract for JOB NO. 2006 -899,
CONSTRUCTION OF THE `OLA`A NO. 6 PRODUCTION WELL AND 1.0 MG RESERVOIR, to
the lowest responsible bidder, Isemoto Contracting Co., Ltd., for their bid amount of $6,637,247.00
plus $662,753.00 for construction contingency for a total contract amount of $7,300,000.00, 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.
6) SOUTH HILO:
A. INDEMNITY AND CONSENT TO LICENSE AGREEMENT 00LA`A SPRING SOURCE):
Road and Highway Builders, LLC, (RHC) has executed a license agreement with the Hawaii
Conference Foundation to use the `Ola`a Spring Source water that has been disconnected from our
water system. DWS has replaced this source with a deepwell, and still has the ability to reconnect to
the spring source under emergency conditions and with the consent of the Department of Health. The
source will be used by RHC, for dust control purposes during the current phase of the construction of
the Saddle Road Re- alignment project. This connection will be separate from the standpipe installed
by Yamada & Sons, Inc. The standpipe is intended to be installed on Opalipali Street within Kaumana
City Subdivision, and not along Kaumana Drive where Yamada & Sons, Inc.'s standpipe is located.
RECOMMENDATION: It is recommended that the Board approve the Indemnity and Consent to the
License Agreement between Road and Highway Builders, LLC, and the Hawaii Conference
Foundation subject to the approval of the Corporation Counsel and that either the Chairperson or the
Vice - Chairperson be authorized to sign the document.
7) SOUTH KOHALA:
A. JOB NO. 2004 -850, WAIMEA WATER TREATMENT PLANT SLUDGE DRYING BEDS:
The contractor, Goodfellow Bros., Inc., requests a 107 - calendar day time extension. This request is
due to delays beyond the control of the contractor with processing the Building Permit. This time
extension will cover the actual time it took to obtain the permit. The first time extension request (289
days) was submitted for approval at the April 28, 2009, Water Board meeting because the permit
process was still ongoing and the contract completion date preceded the May 27, 2009 Water Board
meeting date.
Staff has reviewed the request and finds that the 107 calendar days are justified.
This is the second extension request.
Ext.
#
From (Date)
To (Date)
Days
(Calendar)
REASON
1
5/19/2009
3/4/2010
289
Process Building permit
2
3/5/2010
6/18/2010
107
Process Building permit
Total
Days (including this request)
396
RECOMMENDATION: It is recommended that the Board approve a contract time extension to
Goodfellow Bros., Inc., of one hundred seven (107) calendar days from March, 5, 2010 to
June 18, 2010, for JOB NO. 2004 -850, WAIMEA WATER TREATMENT PLANT SLUDGE
DRYING BEDS.
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B. MAUNA KEA UPLANDS POTABLE WATER SYSTEM — PHASE II AGREEMENT TO
CONVEY WATER SYSTEM TO THE WATER BOARD:
The developer Mauna Kea Development Corp., (MKDC) constructed the water system infrastructure
for future development within the Uplands at Mauna Kea, Phase II Subdivision (Uplands). This
infrastructure is required to serve their future development within the Uplands, and is a requirement for
their subdivision application. These improvements mainly consist of a booster pump station,
transmission waterline, and a 300,000 - gallon reservoir.
Because there will be no immediate request for water service from this system, and because there may
not be service on this system for a considerable length of time, MKDC wishes to convey the system to
the Water Board, subject to the conditions in the Agreement.
The main points in the agreement are that MKDC will be responsible for the electricity to operate the
booster pump station, and DWS personnel will operate and maintain the water in the system to assure
that the components of the water system remain in acceptable condition, and will maintain the water
quality in the system. It was estimated that the operation and maintenance fee would be $800.00 per
month.
RECOMMENDATION: It is recommended that the Water Board agree to the Agreement with Mauna
Kea Development Corp., and that either the Chairperson or the Vice - Chairperson be authorized to
execute the agreement, subject to review as to form and legality by Corporation Counsel.
8) NORTH KONA:
A. KEAHUOLU LANDS WATER DEVELOPMENT AGREEMENT WITH QUEEN
LILI`UOKALANI TRUST (OLT) ON COST - SHARING AND CAPACITY - SHARING FOR
THE PALANI ROAD TRANSMISSION WATERLINE PROJECT (JOB NO. 2003 -823),
PALANI ROAD TRANSMISSION WATERLINE, MAMALAHOA HIGHWAY TO PALANI
NO. 2 RESERVOIR:
(This item was deferred from the January 26, 2010, Water Board meeting.)
The Board is being asked to consider approval of the KEAHUOLU LANDS WATER
DEVELOPMENT AGREEMENT between DWS and Queen Lili`uokalani Trust (QLT), covering cost -
sharing and pipeline /reservoir capacity- sharing with regard to the facilities being constructed as part of
the Palam Road Transmission Waterline Project.
QLT desires to transport some of the water it has available for its use, and some of the water it will
have available for its use after development of a new well, through the proposed DWS facilities. These
facilities will serve future customers at the makai portion of QLT lands.
DWS desires to acquire and purchase portions of QLT lands for pipeline easements and reservoir sites
to construct the necessary facilities which will bring high quality water from various wells located
above the Mamalahoa Highway down into Kailua -Kona.
Doing so will be of great benefit to DWS, as it will improve the taste of water served in Kailua -Kona.
It will also reduce the reliance on the Kahalu`u Shaft, lessening the amount of water pumped from the
shaft. This, in turn, is expected to improve the water quality of the water that would still be taken from
the shaft.
DWS determined how much excess pipeline capacity it could spare, and is charging QLT a
proportional amount for that capacity. DWS also determined the minimum reservoir size (two
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reservoirs required) and the associated lot size that would be required if QLT were to build their own
transmission facilities to serve their makai properties.
QLT will pay those costs, and DWS will pay the oversizing costs to install reservoirs large enough to
serve the combined needs of DWS and QLT. DWS will then own the reservoir sites outright. The
pipeline easements will be granted to DWS without cost, in recognition that QLT would have had to
provide the same easements if they were to build their own system.
RECOMMENDATION: It is recommended that the Water Board approve the execution of the
KEAHUOLU LANDS WATER DEVELOPMENT AGREEMENT, and further that the Chairperson or
Vice - Chairperson be authorized to execute the Agreement, subject to review as to form and legality by
Corporation Counsel.
9) MISCELLANEOUS:
A. 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.
1. MAUNA KEA UPLANDS, PHASE II, WATER SYSTEM DEDICATION
Grantor /Seller: Mauna Kea Development Corporation
E.W.O. 2006 -033
Facilities Charge: Not Applicable
Final Inspection Date: 2/25/2009
Water System Cost: $ 1,565,365.00
A. DEED (Tank Site)
TMK: (3) 6 -2- 001:090, Lot 2 -A -2
`Ouli, Waimea, South Kohala, Island of Hawaii, Hawaii
B. GRANT OF EASEMENT
TMK (3) 6 -2- 001:051
Easement W -5 and W -6, and Lot 2 -A -1
`Ouli, Waimea, South Kohala, Island of Hawaii, Hawaii
C. BILL OF SALE
TMK (3) 6 -2- 001:090
(3) 6 -2- 013:020
(3) 6 -2- 001:051
`Ouli, Waimea, South Kohala, Island of Hawaii, Hawaii
2. GRANT OF NON - EXCLUSIVE EASEMENT (For Water Meter)
Grantor: Board of Land and Natural Resources
TMK (3) 2 -3 -032: Portion 011
Pi`ihonua, South Hilo, Island of Hawaii, Hawaii
RECOMMENDATION: It is recommended that the Water Board accepts 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.
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B. DEPARTMENT OF WATER SUPPLY PROPOSED OPERATING AND CAPITAL
IMPROVEMENT BUDGETS FOR FISCAL YEAR 2011:
Fiscal Year 2011 Operating and C.I.P. Budgets for review and discussion. A Public Hearing is being
scheduled to receive testimony on the Department's proposed budgets for FY2011 on March 23, 2010
at 9:30 a.m., before the Board meeting.
C. REPORT OF AD HOC FINANCE COMMITTEE:
The Water Board's Ad Hoc Finance Committee Chairperson, Mr. Art Taniguchi, has been
investigating the three focus areas (DWS's policies on credit card use, cash control and vehicle take -
home) which encompass the scope of the Committee's work. At this meeting, the Committee may do
the following:
• Report/discussion on vehicle take -home policy.
D. ENERGY MANAGEMENT ANALYST UPDATE ON LALAMILO WINDFARM:
The following areas will be covered:
1. Site Visit on February 19, 2010
2. DWS letter to HEI
E. 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.
F. 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.
G. POWER COST CHARGE:
The Power Cost Adjustment will be discussed, with possible action by the Board. Currently, the Power
Cost Charge is $1.68 per 1,000 gallons. The most recent Power Cost Charge is $1.71, as of January
2010. A Public Hearing is being scheduled to receive testimony on the Power Cost Adjustment on
March 23, 2010 at 9:45 a.m., before the Board meeting.
H. WATER RATE STUDY:
General and agriculture use water rates update from RW Beck for discussion and action. Approved
water rates will be presented at Public Hearings in Kona and Hilo, to be announced.
I. MANAGER'S REPORT:
The Manager will provide an update or status on the following:
1. Update on use agreement on KIC wells
2. Palam Road Transmission Project
3. Report on video - conferencing sites and costs
4. Recognition of Retiree
J. CHAIRPERSON'S REPORT:
Chairperson to provide comments and /or information relating to matters of concern to the Water
Board.
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10) ANNOUNCEMENTS:
1. Next Meeting:
The next meeting of the Water Board will be held on March 23, 2010, at 10:00 a.m. at the Department
of Water Supply, Operations Center Conference Room, 889 Leilam Street, Hilo, HI.
2. Following Meeting:
The following meeting of the Water Board will be held on April 27, 2010, at 10:00 a.m. at a venue to be
announced.
11) STATEMENTS FROM THE PUBLIC:
12) ADJOURNMENT
Anyone who requires an auxiliary aid or service for effective communication or a modification of policies or procedures to participate in
this Water Board Meeting should contact Doreen Shirota, Secretary, at 961 -8050 as soon as possible, but no later than five days before
the scheduled meeting.
The Department of Water Supply is an Equal Opportunity provider and employer.
Notice to Lobbvists: If you 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(b), 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), Hawai `i 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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