HomeMy WebLinkAbout2015-07-28 Water Board AgendaDEPARTMENT OF WATER SUPPLY
COUNTY OF HAWAII
WATER BOARD MEETING
MEETING DATE: July 28, 2015
TIME: 10:00 a.m.
PLACE: Department of Water Supply, Operations Center Conference Room, 889 Leilani
Street, Hilo, 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 June 23, 2015, Water Board meeting
4) APPROVAL OF ADDENDUM AND/OR SUPPLEMENTAL AGENDA
(Note: Addendum requires Roll Call Vote)
5) SOUTH HILO:
A. PAUKA`A WATERLINE RELOCATION PROJECT:
This project has been delayed until a Use and Occupancy Agreement can be reached with the
State Department of Transportation, Rights -of -Way Branch. For discussion.
6) SOUTH KOHALA:
A. JOB NO. 2015-1026, PARKER #2 DEEPWELL REPAIR:
This project generally consists of the replacement of the existing deepwell submersible motor,
pump, power cable, column pipe and all appurtenant equipment, such as strapping, chlorination
of the well and pumping assembly, in accordance with the plans and specifications.
Bids for this project were opened on July 16, 2015, at 1:30 p.m., and the following are the bid
results:
Bidder Bid Amount
Beylik Drilling and Pump Service, Inc. $638,000.00
Derrick's Well Drilling and Pump Services, LLC $488,000.00
Project Costs:
1) Low Bidder (Derrick's Well Drilling and Pump Services, LLC) $ 488,000.00
2) Contingencies (10%) $ 48,800.00
Total Cost: $ 536,800.00
Funding for this project will be from DWS's CIP Budget under Deepwell Pump Replacement.
The contractor will have 240 calendar days to complete this project. The Engineering estimate
for this project was $354,000.00.
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RECOMMENDATION: It is recommended that the Board award the contract for JOB NO.
2015-1026, PARKER 92 DEEPWELL REPAIR, to the lowest responsible bidder, Derrick's Well
Drilling and Pump Services, LLC, for their bid amount of $488,000.00, plus $48,800.00 for
contingencies, for a total contract amount of $536,800.00. 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.
B. JOB NO. 2014-1010, LALAMILO A DEEPWELL REPAIR– STATUS UPDATE:
The contractor, Beylik Drilling and Pump Service, Inc., was granted a time extension at the June
Board meeting for the above-mentioned project, whose revised completion date was set at
July 14. For status update and possible action.
C. JOB NO. 2015-1025, WAIMEA WATER TREATMENT PLAN FLOCCULATION DRIVE
REPAIR:
Bids for this project were to be opened at 2:30 p.m. on July 23, and the results will be reported at
the meeting.
7) NORTH KONA:
A. QUEEN KA`AHUMANU HIGHWAY WIDENING PROJECT—PHASE 2:
MEMORANDUM OF UNDERSTANDING (MOU):
(This Item was deferred from the June 23, 2015, Board meeting.)
State Department of Transportation, Highways Division staff will explain a proposed cost
increase, and offer a status update on the above project. For discussion and possible action.
B. PALANI WELL NO. 1– SECOND SUPPLEMENTAL WELL DEVELOPMENT
AGREEMENT:
The developers, Lanihau Properties, LLC, West Hawaii Business Park, LLC, and Palani Ranch
Company, Inc., have submitted a Second Supplemental Well Development Agreement, due to a
recent discovery. The owners have recently been made aware that the well's casing is in a
condition that may impact operations of the well in the future. Therefore, this Supplemental
Agreement stipulates future maintenance and/or repair protocols to monitor and assess the
condition of the casing.
The agreement also stipulates mitigation measures in the event that the casing deteriorates to the
point that it affects operations of the well. The agreement obligates the owners to cover
additional expenses for the repair and maintenance protocols as well as provide security should
the mitigation measures need to be implemented.
RECOMMENDATION: It is recommended that the Board approve this Second Supplemental
Well Development Agreement and 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.
C. JOB NO. 2012-985 HUALALAI DEEPWELL REPAIR – CHANGE ORDER:
The contractor, Beylik Drilling and Pump Service, Inc., is requesting a contract change order and
contract time extension for the Hualalai Deepwell Repair. The contract change order is to cover
costs associated with shortages on estimates provided as part of Change Order No. 4 for push/pull
costs, motor repair work and the full string testing of the pump and motor assembly. It also
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covers discrepancies with payments for invoices No. 3 through 4, in which the incorrect
percentage of 15% for overhead allowance was applied and how bond and insurance fees were
handled. Total project costs shall not exceed $718,959.93.
Original Contract Amount:
Original Contingency amount:
V Additional Contingency & 123 day extension request:
2nd Additional Contingency & 273 day extension request:
3rd Additional Contingency request (emergency procurement)
41h Additional Contingency & 274 day extension request:
51h Additional Contingency & 61 day extension request:
$79,223.00
7,922.00
94,500.00 (approved 10/22/13)
53,611.72 (approved 6/24/14)
23,581.06
413,680.15 (approved 4/28/15)
$46,442.00
The contractor, Beylik Drilling and Pump Service, Inc., is also requesting a contract time
extension of 92 calendar days. The Department issued a stop work notice to the contractor upon
notification that the estimated costs for the motor repair work and string testing were inadequate
for completion. This action has delayed the receipt of the motor for reinstallation because the job
at both the motor repair shop and testing facility got shifted back to the end of the queue. These
factors are beyond the control of the contractor and the original scope of the repair.
RECOMMENDATION: It is recommended that the Board approve an increase in contingency of
$46,442.00 to Beylik Drilling and Pump Service, Inc., for a total project cost of $718,959.93, and
approve a contract time extension of 92 calendar days for JOB NO. 2012-985, HUALALAI
DEEPWELL REPAIR. If approved, the contract completion date will be revised from July 31,
2015, to October 31, 2015.
8) SOUTH KONA:
A. JOB NO. 2015-1021, KE`EI D DEEPWELL INCOMING SWITCHGEAR
MAINTENANCE:
Bids for this project were to be opened at 2:00 p.m. on July 23, 2015, and the results will be
reported at the meeting.
9) KA`U:
A. JOB NO. 2015-1024, HAWAIIAN OCEAN VIEW ESTATES DEEPWELL REPAIR:
Bids for this project were opened at 1:30 p.m., on July 23, 2015, and the results will be reported
at the meeting.
10) MISCELLANEOUS:
A. DEDICATIONS:
The Department has received the following documents 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
Project Name: Palani Ranch Well No. 1
Grantor/Seller: Palani Ranch Company, Inc.
Tax Map Key: (3)7-4-002:008 (Portion)
No. of Lots: n/a Zoning: n/a
Facilities Charge: n/a
Final Inspection Date: 7/15/2015
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Water System Cost: $5,058,903.02
2. DEED
Project Name: Palani Ranch Well No. 1 (Same as above)
Grantor/Seller: Palani Ranch Company, Inc.
Tax Map Key: (3)7-4-002:021
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 document.
B. POWER COST CHARGE:
Departmental power costs have declined as a result of a decline in Hawaii Electric Light
Company (HELCO) billings for electricity for the Department's wells and pumps. The
Department proposes reducing the Power Cost Charge from $2.32 to $1.85 per thousand gallons
to reflect this decline. In order to accept public testimony on this change, a Public Hearing
should be scheduled before the new Power Cost Charge is reduced.
RECOMMENDATION: It is recommended that the Board approve holding a Public Hearing on
August 25, 2015, at 9:45 a.m., to receive testimony on reducing the Power Cost Charge from
$2.32 to $1.85, effective September 1, 2015.
C. PROFESSIONAL SERVICES AGREEMENT - WATER USE AND DEVELOPMENT
PLAN UPDATE — PHASE 2:
Due to unforeseen additional scope of work required by the Commission on Water Resource
Management (CWRM) as an approving agency, the Water Use and Development Plan (WUDP)
Update currently contracted with Fukunaga & Associates, Inc., will be revised to complete the
Keauhou Aquifer System Area (ASYA).
The proposed Phase 2 of the WUDP Update will include source and infrastructure development
strategies, as well as traditional and cultural practices (including non -consumptive) uses of water
for the Keauhou ASYA, and the entire update of the Waimea ASYA.
The original scope approved by the Board in May 2014 was to update the WUDP for two aquifer
sector areas, Hualalai and West Mauna Kea (which includes the Keauhou ASYA and Waimea
ASYA, respectively). This was because of new, updated information that was not available at the
time that the WUDP was being done.
During this latest update, there have been numerous changes in the scope of work which were
requested and subsequently approved by CWRM, in order to address concerns raised amid the
petition to designate the Keauhou ASYA.
This project will require a consultant which would be procured through professional services
procedures. Based on the updated scope of work expectations, it is anticipated that this contract
will be approximately $100,000.00, and will be funded from the Department's Capital
Improvements Budget (CIP). It is anticipated that this update will take approximately one year to
complete.
RECOMMENDATION: It is recommended that the Board approve the Water Use and
Development Plan — Phase 2 as a project to be added to the Department's Fiscal Year 2016 CIP
Budget.
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D. UPDATE RE: NATIONAL PARKS SERVICE'S PETITION TO DESIGNATE
KEAUHOU AOUIFER AS A GROUND WATER MANAGEMENT AREA:
For discussion and possible action.
E. EXECUTIVE SESSION RE: NATIONAL PARKS SERVICE'S PETITION TO
DESIGNATE KEAUHOU AQUIFER AS A GROUND WATER MANAGEMENT AREA:
The Water Board anticipates convening an executive meeting, closed to the public, pursuant to
Hawaii Revised Statutes, Sections 92-4, 92-5(a)(2), to discuss mediation as directed by the
Commission on Water Resource Management regarding the National Park Service's petition to
designate Keauhou Aquifer as a Ground Water Management Area, and for the purpose of
consulting with the Water Board's attorney on questions and issues pertaining to the Water
Board's powers, duties, privileges, immunities and liabilities.
F. DISCUSSION OF AMENDING RULES AND REGULATIONS REGARDING PLACING
RESPONSIBILITY WITH PROPERTY OWNERS FOR TENANTS' DELINQUENT
BILLS:
(This Item was deferred from the June 23, 2015, Board meeting.)
Sub -Committee to report on proposed amendments to the Rules and Regulations regarding
placing responsibility with property owners for tenants' delinquent bills, with discussion.
G. 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.
H. 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.
L MANAGER -CHIEF ENGINEER'S OUARTERLY UPDATE:
Report on the second quarter of 2015 by the Manager -Chief Engineer, with discussion.
J. MANAGER -CHIEF ENGINEER'S REPORT:
The Manager -Chief Engineer will provide an update or status on the following:
1) Public Information and Education Specialist Update
2) Recognition of Employee of the Quarter
K. CHAIRPERSON'S REPORT:
Chairperson to report on matters of interest to the Board.
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L. MANAGER -CHIEF ENGINEER RECOMMENDATION OF MR. KAWIKA UYEHARA
FOR POSITION OF DEPUTY -- CONFIRMATION OF DEPUTY. SALARY. AND
EFFECTIVE START DATE:
In a letter dated July 7, 2015, the Manager -Chief Engineer recommended Mr. Kawika Uyehara
for the position of Deputy. The Water Board will vote on his confirmation, salary, and effective
start date.
M. EXECUTIVE SESSION RE: CONFIRMATION OF DEPUTY. SALARY. AND
EFFECTIVE START DATE:
The Water Board anticipates convening an executive meeting, closed to the public, pursuant to
Hawaii Revised Statutes, Sections 92-4, 92-5(a)(2), 92-5(a)(4), 92-5(a)(8) and Hawai'i County
Charter Section 13-20(b) to discuss and consider Mr. Kawika Uyehara for the position of Deputy,
where consideration of matters affecting privacy will be involved, to deliberate or make decisions
upon matters that require the consideration of information that must be kept confidential pursuant
to state or federal law, or a court order, and for the purpose of consulting with the Water Board's
attorney on questions and issues pertaining to the Water Board's powers, duties, privileges,
immunities and liabilities. A two-thirds vote, pursuant to HRS Section 92-4, is necessary to hold
an executive meeting.
11) ANNOUNCEMENTS:
Next Regular Meeting:
The next meeting of the Water Board is scheduled for 10:00 a.m. on August 25, 2015, at the West
Hawaii Civic Center, Community Center, Bldg. G, 74-5044 Ane Keohokalole Hwy, Kailua-
Kona, HI.
2. Following Meeting:
The following meeting of the Water Board will be held at 10:00 a.m. on September 22, 2015, at
the Department of Water Supply, Operations Center Conference Room, 889 Leilani Street, Hilo,
HI.
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 Janet Snyder, Secretary, at 961-
8050 as soon as possible, but no later than five days before the scheduled meeting. Notice to Lobb:
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.
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