SR 06:152 - Laserfiche WebLink

SUMMARY: SR 06:152 Page 2 of 13 fund the reservoir construction and construction management portions of the project. 5. Approve the First Amendment to the Purchase and Sale Agreement for the tank site parcel acquisition. 6. Direct staff to develop a financing plan for the remaining portions of the Vineyard Avenue Corridor Specific Plan (VCSP) water facilities and other infrastructure needs, to be presented with the next contract for the completion of the access road, the VCSP pump station or the VCSP turnout improvements. The Vineyard Hills Reservoir (a 1.4 million gallon, partially buried, pre- stressed concrete reservoir) is the first of four major water system improvements required to be built in order to supply water within and to the Vineyard Avenue Corridor Specific Plan (VCSP) area and to enhance the supply of water to areas, such as Ruby Hill, adjoining the VCSP area. Bids for the construction of the reservoir and rough grading of a 1900- foot long tank access road have been received and staff is recommending award of the construction contract to the lowest responsible bidder, Gateway Pacific Contractors Inc., in the amount of $3,942,206. Additionally, staff recommends that Tetra Tech Inc. provide the construction management, specialty inspection services and soils engineering and testing for this project in the amount of $505,000. Finally, staff recommends that the Purchase and Sale Agreement between the City and the Threehand partnership, concerning the partnership's sale of land to the City for the tank site, be amended to clarify certain terms and conditions of that Agreement. Although there are adequate funds appropriated for this particular project, there are still three additional water-related facilities (completion of the tank access road, a new pump station, and improvements to a Zone 7 turnout) that must be built to provide adequate water service to the VCSP and surrounding areas. In order to complete these remaining water facilities and other VCSP infrastructure needs in the near term, and to reimburse certain developers who have contributed more than their pro- rata share toward the cost of infrastructure, there is a potential near-term cash flow shortfall of approximately $4 million. As a result, prior to proceeding with any of the remaining three projects, additional funding will be required. Since adequate funds are now available for the construction of the water reservoir and rough grading of the water reservoir access road, and there