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AGENDA STAFF REPORT �. 1
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DATE: February 27, 2017
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Steve Myrter, P.E., Director of Public Works
SUBJECT: APPROVE UTILITY AGREEMENT WITH ORANGE
COUNTY TRANSPORTATION AUTHORITY IN
RELATION TO THE 1 -405 IMPROVEMENT PROJECT
FOR NEW SEWER CONSTRUCTION
SUMMARY OF REQUEST:
That the City Council adopt Resolution No. 6716:
1. Approving Utility Agreement No. UK102097 between the City of Seal
Beach and Orange County Transportation Authority (OCTA) for the 1 -405
Freeway Improvement Project; and
2. Authorize the City Manager to execute the agreement.
BACKGROUND AND ANALYSIS:
At the September 28, 2015 OCTA Board of Directors meeting, the Board
approved the 1 -405 Improvement Project (Project). The Project will provide for
one additional general purpose lane in each direction between Euclid Street and
1 -605 and one new express or toll lane in each direction that will be combined
with the existing HOV lane to form a two -lane express or toll lane facility in each
direction from SR -73 to 1 -605. The Project will also include the demolition and
reconstruction of many of the bridges that span the freeway. Several
interchanges will be modified and signalized. In Seal Beach, there will be no
changes to the Seal Beach Boulevard Bridge, as the bridge was reconstructed as
a part of the previous West County Connector Project. There will also be new
sound walls, landscaping, aesthetic treatments on the walls, slopes, and
structures in Seal Beach.
As part of the 1 -405 Improvement Project, certain utility lines, including sewer and
water lines, that conflict with the Project will need to either be relocated or rebuilt
under current Caltrans design standards in coordination with the new freeway
alignment.
Agenda Item H
At the June 27, 2016 City Council meeting, City Council approved Preliminary
Engineering Agreements (PEAs) under which OCTA would reimburse the City for
staff time incurred during the information gathering stage of the Project as it
related to City owned utilities.
The City bears responsibility to pay for the cost to relocate the two water lines
since the highway existed prior to construction of the water lines. The total
estimated cost to relocate both water lines is $750,000. This cost is in the City of
Seal Beach proposed Fiscal Year 2016 -17 Water Capital Budget under CIP
Project No. WT1703. OCTA and the City are working with Caltrans to request a
variance to keep one of the existing water lines in place. If approved, this will
reduce the cost of relocation significantly. The variance is currently being
reviewed by Caltrans. Staff will bring back a proposed utility agreement for the
water line relocation at a later date once Caltrans issues its determination on the
variance.
OCTA will bear 100% of the cost to replace the sewer line, which currently is an
18 -inch sewer line that crosses the 1 -405 from North Gate Road to Old Ranch
Parkway and continues along to the Orange County Sanitation District's Pump
Station located in Rossmoor. City staff time incurred during the design of this
sewer line and construction will be reimbursed by OCTA. The attached
agreement reflects these parameters. The negotiated reimbursement amount for
staff time, including legal counsel, consultants, and City staff is $40,000.
ENVIRONMENTAL IMPACT:
There is no environmental impact related to this item.
LEGAL ANALYSIS:
The City Attorney has reviewed and approved as to form.
FINANCIAL IMPACT:
Under this Agreement, OCTA will reimburse the City for all City staff time,
consultant time, and legal consultation in relation to the design, construction, and
inspection for the relocation of a sewer line for a total of $40,000.
Page 2
RECOMMENDATION:
That the City Council adopt Resolution No. 6716:
1. Approving Utility Agreement No. UK102097 between the City of Seal
Beach and Orange County Transportation Authority (OCTA) for the 1 -405
Freeway Improvement Project; and
2. Authorize the City Manager to execute the agreement.
SUBMITTED BY:
Steve Myrte , P. E.
Director of Public Works
NOTED AND APPROVED:
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Prepared by: David Spitz, P.E., Associate Engineer
Attachments:
A. Resolution 6716
B. Utility Agreement No. UK 102097
Page 3
"Attachment A"
RESOLUTION NUMBER 6716
A RESOLUTION OF THE SEAL BEACH CITY COUNCIL
APPROVING UTILITY AGREEMENT NO. UK102097 BETWEEN
ORANGE COUNTY TRANSPORTATION AUTHORITY AND CITY
OF SEAL BEACH
WHEREAS, Orange County Transportation Authority (OCTA), in
cooperation and partnership with Caltrans, is proposing to reduce congestion and
improve lane continuity through the 1 -405 corridor with improvements to mainline
and interchanges on 1 -405 between State Route 73 and Interstate 605; and
WHEREAS, OCTA, in cooperation and partnership with the Caltrans, is
requesting the City of Seal Beach to enter into a Utility Agreement No. UK102097
to fully reimburse the City of any and all time associated with, but not limited to,
reviewing, preparing, approving, finalizing and inspecting sewer utility relocation
plans and new sewer line construction for the above 1 -405 improvement project;
and
WHEREAS, the City Council has read said Agreement in full and is
familiar with the contents thereof.
NOW, THEREFORE, THE SEAL BEACH CITY COUNCIL DOES HEREBY
RESOLVE:
Section 1. The City Council hereby approves Utility Agreement No. UK102097
between the City of Seal Beach and Orange County Transportation Authority
attached hereto as Exhibit "A" and incorporated herein by this reference as
though set forth in full.
Section 2. The City Council of the City of Seal Beach hereby authorizes the City
Manager to execute the Utility Agreement.
PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a
regular meeting held on the 271h day of February, 2017 by the following vote:
AYES: Council Members
NOES: Council Me
ABSENT: Council M
ABSTAIN: Council Members
Sandra Massa - Lavitt, Mayor
ATTEST:
Robin L. Roberts, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Robin L. Roberts, City Clerk of the City of Seal Beach, do hereby certify that
the foregoing resolution is the original copy of Resolution Number 6716 on file in
the office of the City Clerk, passed, approved, and adopted by the City Council at
a regular meeting held on the 27th day of February, 2017.
Robin L. Roberts, City Clerk
ORANGE COUNTY TRANSPORTATION AUTHORITY
UTILITY AGREEMENT
DISTRICT COUNTY ROUTE POST MILE EA PROJECT ID
12 Orange I -405 9.3 -24.2 12 -OH 1000 1200000180
FEDERAL AID NUMBER OWNER'S PLAN NUMBER
HPLULN- 6071(043) See Contract Plans — City of Seal Beach
FEDERAL PARTICIPATION
On the project N YES ❑ NO On the Utilities ❑ YES N NO
UTILITY AGREEMENT NO. UK102097
DATE
The Orange County Transportation Authority (OCTA) in cooperation with the California Department of
Transportation ( "Caltrans ") is proposing to improve Interstate 405 between State Route 73 and Interstate
605 (Project). OCTA and Caltrans have entered into Cooperative Agreement No. 12 -697 relating to the
Project under which Caltrans will provide Project oversight and upon completion of the Project, Caltrans
will continue to own and maintain the Interstate 405.
City of Seal Beach
Hereinafter referred to as "OWNER ", owns and maintains the following (the "Utility Facilities "):
• 18 inch diameter sewer pipe in 33 inch diameter concrete casing crossing the I -405, UK102097
within the limits of the OCTA Project which requires
relocation
to accommodate the OCTA Project.
It is hereby mutually agreed between OCTA and OWNER as follows:
I. WORK TO BE PERFORMED
In accordance with Notice to Owner No. UK102097 dated 1/5/2017, OCTA shall relocate
OWNER's "Utility Facilities" as shown on OCTA's contract plans for the improvement of
Interstate 405, EA 12- OH1000 which by this reference are made a part hereof. OWNER
hereby acknowledges review of OCTA's plans for work and agrees to the construction in the
manner proposed. Deviations from the plan described above initiated by either OCTA or the
OWNER, shall be agreed upon by both parties hereto under a Revised Notice to Owner. Such
Revised Notices to Owner, approved by OCTA and agreed to /acknowledged by the OWNER,
will constitute an approved revision of the plan described above and are hereby made a part
hereof. No work under said deviation shall commence prior to written execution by the
OWNER of the Revised Notice to Owner. Changes in the scope of the work will require an
amendment to this Agreement in addition to the revised Notice to Owner. OWNER shall have
the right to inspect the work during construction. Upon completion of the work by OCTA,
OWNER agrees to accept ownership and maintenance of the constructed facilities and
02 -03 -2016
UTILITY AGREEMENT (Cont.) Page of
UTILITY AGREEMENT NO.
UK102097
relinquishes to OCTA ownership of the replaced facilities, except in the case of liability
determined pursuant to Water Code 7034 or 7035.
II. LIABILITY FOR WORK
The existing facilities are lawfully maintained in their present location and qualify for
relocation at OCTA expense under the provisions of Section 703 of the Streets and
Highways Code.
III. PERFORMANCE OF WORK
OWNER shall have access to all phases of the relocation work to be performed by OCTA, as
described in Section I above, for the purpose of inspection to ensure that the work is in
accordance with the specifications contained in the OCTA's highway construction Contract;
however, all questions regarding the work being performed will be directed to OCTA's
Resident Engineer for their evaluation and final disposition.
Use of out -of -state personnel (or personnel requiring lodging and meal "per diem" expenses)
will not be allowed without prior written authorization by State's representative. Requests for
such authorization must be contained in OWNER's estimate of actual and necessary
relocation costs. Accounting Form FA -1301 is to be completed and submitted for all non-
State personnel travel per diem. OWNER shall include an explanation why local employee or
contract labor is not considered adequate for the relocation work proposed. Per diem
expenses shall not exceed the per diem expense amounts allowed under the State's California
Department of Human Resources (CalHR) travel expense guidelines.
Work performed directly by OWNER's employees shall comply with Labor Code Section
1771. OWNER shall verify compliance with this requirement in the administration of its
contracts referenced above.
IV. PAYMENT FOR WORK
OCTA shall pay its share of the actual and necessary cost of the herein described work
within 45 days after receipt of OWNER's itemized bill, signed by a responsible official of
OWNER's organization and prepared on OWNER's letterhead, compiled on the basis of the
actual and necessary cost and expense. The OWNER shall maintain records of the actual
costs incurred and charged or allocated to the project in accordance with recognized
accounting principles.
It is understood and agreed that OCTA will not pay for any betterment or increase in
capacity of OWNER's facilities in the new location and that OWNER shall give credit to
OCTA for the salvage value of any material or parts salvaged and retained or sold by
OWNER.
nMOKmra
UTILITY AGREEMENT (Cont.)
04 -04 -2016
Page 3 of 6
UTILITY AGREEMENT NO.
Not more frequently than once a month, but at least quarterly, OWNER will prepare and
submit itemized progress bills for costs incurred not to exceed OWNER's recorded costs as
of the billing date less estimated credits applicable to completed work. Payment of progress
bills not to exceed the amount of this Agreement may be made under the terms of this
Agreement. Payment of progress bills which exceed the amount of this Agreement may be
made after receipt and approval by OCTA of documentation supporting the cost increase
and after an amendment to this Agreement has been executed by the parties to this
Agreement.
The OWNER shall submit a final bill to OCTA within 360 days after the completion of the
work described in Section I above. If OCTA has not received a final bill within 360 days
after notification of completion of OWNER's work described in Section I of this
Agreement, and OCTA has delivered to OWNER fully executed easement deeds, Consents
to Common Use or Joint Use Agreements for OWNER's facilities (if required), OCTA will
provide written notification to OWNER of its intent to close its file within 30 days.
OWNER hereby acknowledges, to the extent allowed by law, that all remaining costs will
be deemed to have been abandoned. If OCTA processes a final bill for payment more than
360 days after notification of completion of OWNER's work, payment of the late bill may
be subject to allocation and/or approval by the OCTA Board of Directors.
The final billing shall be in the form of an itemized statement of the total costs charged to
the project, less the credits provided for in this Agreement, and less any amounts covered by
progress billings. However, OCTA shall not pay final bills which exceed the estimated cost
of this Agreement without documentation of the reason for the increase of said cost from the
OWNER and approval of documentation by OCTA. Except, if the final bill exceeds the
OWNER's estimated costs solely as the result of a revised Notice to Owner as provided for
in Section I, a copy of said revised Notice to Owner shall suffice as documentation. In either
case, payment of the amount over the estimated cost of this Agreement may be subject to
allocation and/or approval by the OCTA Board of Directors.
In any event if the final bill exceeds 125% of the estimated cost of this Agreement, an
Amended Agreement shall be executed by the parties to this Agreement prior to the
payment of the OWNER's final bill. Any and all increases in costs that are the direct result
of deviations from the work described in Section I of this Agreement shall have the prior
concurrence of OCTA.
Detailed records from which the billing is compiled shall be retained by owner for a period
of three years from the date of final payment and will be available for audit by OCTA, State
and/or Federal auditors. In performing work under this Agreement, owner agrees to comply
with the Uniform System of Accounts for Public Utilities found at 18 CFR Part 101, 201, et
ah, and, to the extent they are applicable to owner doing work on the project that is the
subject of this agreement, the contract cost principles and procedures as set forth in 48 CFR,
Chapter 1, Part 31, et seq., 23 CFR, Chapter 1, Part 645, and 2 CFR Part 200 et al. If a
subsequent OCTA, State and/or Federal audit determines payments to be unallowable,
owner agrees to reimburse agency upon receipt of agency billing. If owner is subject to
UTILITY AGREEMENT (Cont.)
Page 4 of 6
UTILITY AGREEMENT NO.
UK102097
repayment due to failure by OCTA to comply with applicable laws, regulations, and
ordinances then OCTA will ensure that owner is compensated for actual cost in performing
work under this agreement.
V. GENERAL CONDITIONS
All costs accrued by OWNER as a result of OCTA's request of 4/13/2016 to review, study
and/or prepare relocation plans and estimates for the project associated with this Agreement
may be billed pursuant to the terms and conditions of this Agreement.
If OCTA's Project which precipitated this Agreement is canceled or modified so as to
eliminate the necessity of work by OWNER, OCTA will notify OWNER in writing and
OCTA reserves the right to terminate this Agreement by amendment. The amendment shall
provide mutually acceptable terms and conditions for terminating the Agreement.
OWNER shall submit a Notice of Completion to OCTA within 30 days of the completion of
the work described herein.
Where OWNER has prior rights in areas which will be within the highway right of way and
where OWNER's facilities will remain on or be relocated on STATE highway right of way,
a Joint Use Agreement or Consent to Common Use Agreement shall be executed by the
parties.
It is understood that said highway is a Federal aid highway and accordingly, 23 CFR,
Chapter 1, Part 645 is hereby incorporated into this Agreement.
In addition, the provisions of 23 CFR 635.410, Buy America, are also incorporated into this
Agreement. The Buy America requirements are further specified in Moving Ahead for
Progress in the 21st Century (MAP -21), section 1518; 23 CFR 635.410 requires that all
manufacturing processes have occurred in the United States for steel and iron products
(including the application of coatings) installed on a project receiving funding from the
FHWA.
If, in connection with OWNER'S performance of Work hereunder, OCTA provides to
OWNER any materials that are subject to the Buy America Rule, OCTA acknowledges and
agrees that OCTA shall be solely responsible for satisfying any and all requirements relative
to the Buy America Rule concerning the materials thus provided (including, not limited to,
ensuring and certifying that said materials comply with the requirements of the Buy America
Rule).
OWNER will provide a no fee encroachment permit to OCTA's Design - Builder prior to
commencing construction of Project. Provided all conditions of such permit have been
fulfilled, the permits shall authorize Design - Builder to commence work within OWNER right
of way, or areas which affect OWNER facilities.
04 -04 -2016
UTILITY AGREEMENT (Cont.)
UK102097
Page 5 of 6
NO.
OWNER will review and /or the submitted Project plans within a period of four (4) weeks.
The terms of this Agreement shall be binding and inure to the benefits of the Parties hereto.
THE ESTIMATED COSTS TO OCTA FOR THE ABOVE DESCRIBED WORK IS
$40,000.
Signatures on Following Page
04 -04 -2016
UTILITY AGREEMENT (Cont.)
SIGNATURE PAGE
TO
UTILITY AGREEMENT NO.
UK102097
Page 6 of 6
UTILITY AGREEMENT NO.
IN WITNESS WHEREOF, the above parties have executed this Agreement on the dates below.
Owner:
CITY OF SEAL BEACH, a charter city
APPROVED
By:
Title:
Date:
APPROVED AS TO FORM:
By:
Title: Craig A. Steele
City Attorney
Date:
04 -04 -2016
ORANGE COUNTY
TRANSPORTATION AUTHORITY,
a public entity
APPROVED
Uz
Jim Beil
Executive Director,
Capital Programs
Date:
APPROVED AS TO FORM:
WE
Date:
James M. Donich
General Counsel