May 17, 2023 BAYTOWN AREA WATER AUTHORITY MEETING

[00:00:19]

THIS MEETING OF THE BAYTOWN AREA WATER AUTHORITY, UM, CALLED THE MEETING TO ORDER AND ANNOUNCE THAT WE DO HAVE A QUORUM.

OUR FIRST ITEM OF BUSINESS THIS

[a. Consider approving the minutes of the Baytown Area Water Authority Regular Meeting held on April 5, 2023.]

APPROVE.

I HAVE A MOTION.

I'LL SECOND IT.

UH, IS, ARE THERE QUESTIONS OR DISCUSSION? HEARING NONE.

ALL THOSE IN FAVOR SAY AYE.

AYE.

OPPOSED? LIKE, SIGN.

MOTION CARRIES UNANIMOUSLY.

NEXT, WE WILL

[a. Consider a resolution authorizing an Engineering Services Agreement with BGE, Inc., for the Baytown Area Water Authority (BAWA) East Surface Water Plant Phase 2 Expansion Project.]

UH, GOOD AFTERNOON, MADAM PRESIDENT AND BOARD.

UM, AS YOU REMEMBER ON A COUPLE OF OCCASIONS, WE'VE UH, DISCUSSED THE, UM, THAT WAS EAST, UH, SURFACE WATER TREATMENT PLAN EXPANSION.

AND UM, SO THE FIRST STEP IN THE PROCESS OF GOING THROUGH THAT EXPANSION USING THE DESIGN BUILD METHOD, WHICH WE PROPOSED IS TO HIRE AN OWNER'S ADVISOR.

UM, SO, UH, STAFF WENT THROUGH THE PROCUREMENT, UH, PROCESS OF ADVERTISING FOR, UH, ENGINEERING FIRMS TO, UH, PROVIDE THE OWNER'S ADVISOR SERVICES.

WE RECEIVED RESPONSES FROM TWO WELL QUALIFIED FIRMS AND, UH, BAWA HAS, UH, STAFF HAS RE RECOMMENDED, UH, BGE, UH, TO UH, FULFILL THAT REQUIREMENT.

UM, I HAVE, UH, LINDSAY KOVAR HERE FROM BGE TO UH, TALK TO YOU TODAY AND GIVE YOU A SHORT PRESENTATION.

ASKED HER TO PRESENT A LITTLE BIT OF INFORMATION ABOUT HER COMPANY AND, UH, ABOUT THE DESIGN BUILD PROCESS AGAIN, UH, JUST TO REMIND YOU.

AND THEN COVER, UH, THEIR SCOPE OF WORK THAT WE'VE NEGOTIATED.

SO, UM, WE HAVE A PRESENTATION I WILL, UH, CALL LINDSAY UP AND UM, AND THEN IF YOU HAVE ANY OTHER QUESTIONS FOR UH, STAFF, I'LL TAKE THOSE AFTERWARDS.

OKAY, THANK YOU.

ALRIGHT, SO I THINK I INTRODUCED MYSELF TO MOST OF Y'ALL FOR THOSE I DIDN'T, MY NAME IS LINDSAY KOVAR WITH BGE.

SO I'M GONNA TRY TO KEEP THIS SHORT SINCE HE SAID IT WAS A SHORT, UM, PRESENTATION.

JUST A LITTLE INTRODUCTION TO BGE.

WE ARE ACTUALLY FORMALLY KNOWN AS BROWN AND GAY ENGINEERS.

I GOT THAT QUESTION EARLIER.

SO WE'VE BEEN BGE NOW FOR A FEW YEARS.

WE WERE FOUNDED IN 1975.

WE ACTUALLY HIT A THOUSAND EMPLOYEES THIS YEAR.

SO WE'RE VERY PROUD OF THAT.

WE CURRENTLY HAVE ABOUT 150 PE ENGINEERS, JUST OUR PROFESSIONAL ENGINEERS JUST IN THE HOUSTON AREA.

SO WE ARE VERY LOCALLY, UM, LOCALIZED FIRM.

EXCUSE ME, HOUSTON IS OUR BASE FOR BGE.

WE DO HAVE ABOUT 23 OFFICES ACROSS THE SOUTHEAST.

AGAIN, TEXAS IS OUR BASE, BUT WE DO HAVE OFFICES IN, IN GEORGIA AND FLORIDA AND SOUTH CAROLINA.

IN 2022, WE WERE RECOGNIZED AS A TOP 500 DESIGN FIRM AND WE OFFER A WIDE VARIETY OF SERVICES.

I PERSONALLY AM IND THE PUBLIC WORKS GROUP WORKING MOSTLY ON WATER AND WASTEWATER TREATMENT.

BUT WE ALSO HAVE, IN ADDITION TO PUBLIC WORKS, WE HAVE A FULL SURVEYING DEPARTMENT.

WE HAVE TRANSPORTATION SERVICES, WE HAVE LAND PLANNING AND LANDSCAPE ARCHITECTURE.

WE ALSO HAVE LAND SITE DEVELOPMENT, WE HAVE ENVIRONMENTAL SERVICES AND WE HAVE CONSTRUCTION MANAGEMENT.

SO WE'RE REALLY A FULL CIVIL ENGINEERING SERVICE COMPANY.

A LITTLE BIT ABOUT OUR EXPERIENCE AND WHY WE PROPOSED ON THIS PROJECT.

MOST RECENTLY WE HAVE BEEN THE OWNER'S REPRESENTATIVE FOR NORTH FORT BEND WATER AUTHORITY ON THE NORTHEAST WATER PURIFICATION PLANT.

THAT IS A PROGRESSIVE DESIGN BUILD PROJECT THAT HAS BEEN ONGOING FOR THE PAST SEVERAL YEARS, IS STILL CURRENTLY ONGOING.

SO THAT IS PROBABLY THE LARGEST, UM, WATER PROGRESSIVE DESIGN BUILD IN THE COUNTRY.

AND WE'VE BEEN VERY INVOLVED FROM THE BEGINNING OF THAT PROJECT.

WE ALSO HAVE A LOT OF EXPERIENCE JUST ON THE OWNER'S ADVISORS ROLES.

SO OUR CURRENT OWNER, ENVI ADVISOR CLIENTS ARE NORTH FORT BEND WATER AUTHORITY, WEST FORT BEND WATER AUTHORITY, GULF COAST WATER AUTHORITY, COASTAL WATER AUTHORITY, AND THE CITY OF HOUSTON.

SO AGAIN, WE'VE BUILT A, A REAL BIG PRACTICE AROUND OWNERS, ADVISORS AND PROGRAM MANAGERS.

NOT LISTED ON HERE, BUT IS ALSO RELEVANT.

WE WERE ALSO THE OWNER'S ADVISORS FOR THE SAN JA RIVER AUTHORITY WHEN THEY DID THEIR SURFACE WATER PLANT AS WELL, ALTHOUGH THEY DID SEAMAR, NOT PROGRESSIVE DESIGN BUILD ON THEM.

OUR TRANSPORTATION

[00:05:01]

IT'S VERY COMMON IN THE TRANSPORTATION GROUP TO DO THAT.

SO WE DO HAVE A LOT OF EXPERIENCE BOTH ON THE WATER SIDE BUT ALSO JUST ON THE ALTERNATIVE DELIVERY SIDE WITH TRANSPORTATION AS WELL.

SO THIS IS THE TEAM, AND THIS IS A GRAPHIC STRAIGHT FROM OUR SOQ THAT I WANTED TO BRING FROM YOU.

THESE ARE REALLY THE KEY PLAYERS.

THESE ARE OUR MORE SENIOR ADVISORS THAT ARE PART OF OUR GROUP.

WE WILL OF COURSE HAVE YOUNGER ENGINEERS AND STAFF INVOLVED, BUT I REALLY JUST WANTED TO BRING YOU KIND OF OUR, OUR TOP PEOPLE TO TALK ABOUT TODAY.

SO I WILL BE THE PROJECT LEAD FOR BGE ON THIS TEAM.

UM, TODD CALVIN IS THE PRINCIPAL IN CHARGE MOSTLY THAT MEANS HE'S MY BOSS.

SO IF YOU'LL HAVE ANY PROBLEMS OR ANY NEED TO TALK TO ANYBODY ABOVE ME, TODD IS THE ONE THAT YOU'LL TALK TO.

FRANK KNOWS, HAS KNOWN TODD FOR A WHILE, SO HE KNOWS WHO TO CALL.

WE ALSO HAVE CHRIS KIRKENDAL.

HE HAS ABOUT 28 YEARS EXPERIENCE.

HE IS VERY HEAVILY EXPERIENCED IN ALTERNATIVE BED, PROGRESSIVE DESIGN BUILD.

UM, IN FACT HE WAS THE DBIA, WHICH IS THE DESIGN BUILD IN INSTITUTE OF AMERICA'S PRESIDENT A COUPLE OF YEARS AGO.

SO HE'S VERY FAMILIAR WITH THAT.

HE'S GONNA BE THE ONE, IF I HAVE ANY QUESTIONS, YOU KNOW, ON PROGRESSIVE DESIGN BUILD BEST PRACTICES THAT I NEED TO GO TO, THAT WOULD BE MY GUY TO GO TALK TO ABOUT THAT.

WE'LL ALSO USE HIM IN A QA QC ROLE BECAUSE HE'S SO FAMILIAR WITH THE PROCESS.

UH, WITH ME TODAY I HAVE IAN PETES.

SO HE'S UH, GOT ABOUT 23 YEARS EXPERIENCE.

HE IS WHAT WE CALL OUR TECHNICAL LEAD.

HE HAS A LOT OF EXPERIENCE ON THE DESIGN MANAGEMENT SIDE OF THINGS.

HE'S GOT 23 YEARS EXPERIENCE IN THE WATER INDUSTRY.

BUT AGAIN, KINDA HIS EXPERTISE IS ON THE DESIGN MANAGEMENT SIDE.

HE'S WORKED BOTH IN THE CONSULTING AND THE GOVERNMENT, YOU KNOW, FIELD.

SO HE'S GOT BOTH SIDES OF IT.

I ALSO HAVE KYLE JONES.

HE'S GOT ABOUT 28 YEARS EXPERIENCE ON THE CONSTRUCTION MANAGEMENT SIDE OF THINGS.

HE ACTUALLY HAS WORKED AT THE NORTHEAST PLANT ON THE CONSTRUCTION MANAGEMENT SIDE IN THIS PROGRESSIVE DESIGN BUILD AS WELL.

HE WORKED ON THE SJRA SURFACE WATER PLANT AND HE IS WORKED ON THE MAJORITY OF THE CITY OF HOUSTON SURFACE WATER PLANT.

SO HE IS JUST GOT A BREADTH OF EXPERIENCE.

AND LAST BUT NOT LEAST IS JONATHAN MARKS.

HE IS NOT A BGE EMPLOYEE.

HE IS A SUB-CONSULTANT.

UM, HE IS REALLY AN EXPERT IN PROJECT CONTROLS, ESPECIALLY ON THE SCHEDULING AND THE COST ESTIMATING SIDE.

BGE DOES HAVE THAT IN-HOUSE.

SO THAT WAS ACTUALLY A REAL DISCUSSION, YOU KNOW, ABOUT WHO WE WERE GONNA USE HERE.

WE DECIDED TO INCLUDE JONATHAN JUST BECAUSE AGAIN, THAT IS HIS FOCUS, THAT IS HIS EXPERTISE, BUT IT ALSO JUST KIND OF ALLOWS FOR A THIRD PARTY FRESH LOOK IF THERE'S ANY QUESTIONS OR ANY UNCERTAINTIES, WE'VE GOT THIS OTHER ENTITY THAT WE CAN LOOK TO TO HELP US OUT.

SO IT JUST CREATED A VERY WELL-ROUNDED TEAM FOR US.

AND THAT IS PRETTY MUCH WHO BGE IS.

I'M GONNA START WITH THE PROGRESSIVE DESIGN BUILD UNLESS Y'ALL HAVE ANY QUESTIONS ABOUT BGE BEFORE I MOVE ON.

DO Y'ALL OFTEN GET THE SCHEDULER AS, UM, SOMEONE OUT OF THE COMPANY TO DO IT? WE DO IT BOTH WAYS AND, AND NO HICCUP? NO.

AND THAT WAS KIND OF ANOTHER REASON WE PICKED JOHN.

WE'VE WORKED WITH HIM SEVERAL TIMES.

OKAY.

YOU KNOW, BEFORE HE'S HELPING US ACTUALLY ON THE COASTAL WATER AUTHORITY.

THEY'RE DOING A PUMP STATION, YOU KNOW, RIGHT NOW.

AND AGAIN, THEY WANTED A THIRD PARTY REVIEW, SO WE BROUGHT HIM IN.

IT'S VERY SEAMLESS.

SO WE, WE'VE WORKED WITH HIM.

I'VE PERSONALLY WORKED WITH HIM FOR PROBABLY THE LAST 10 YEARS.

OKAY, SO GOOD QUESTION.

ANYTHING ELSE? ALL RIGHT, SO NOW I'M GONNA TALK JUST A LITTLE BIT ABOUT PROGRESSIVE DESIGN BUILD.

MY UNDERSTANDING IS YOU'VE HAD, UM, SOME PRESENTATIONS ON THIS BEFORE, SO I MAY BE REPEATING SOME OF THIS, BUT I STILL THINK IT'S GOOD TO JUST KIND OF TALK THROUGH THE PROCESS, THE BASICS, YOU KNOW, OF THE PROCESS.

UM, FULL DISCLOSURE, I DID STEAL THIS IMAGE.

I DID NOT CREATE THIS FROM DBIA.

IT WAS REALLY GOOD.

SO I THOUGHT NO NEED TO RECREATE IT.

UM, THIS BASICALLY JUST WALKS THROUGH ALL THE STEPS OF A PROGRESSIVE DESIGN BUILD PROCUREMENT PROCESS.

AND REALLY IT'S BEYOND THAT.

IT'S REALLY KIND OF FROM STARTING TO END ALL THE GREEN, YOU KNOW, UH, BOXES ARE WHAT THE OWNERS AND THE OWNER ADVISORS WORKS ON TOGETHER AND THE BLUE BOXES ARE REALLY WHAT THE DESIGN BUILDER, YOU KNOW, WORKS ON.

SO WHAT I'M GONNA DO IS I'M GONNA TAKE THIS DESIGN AND I'M GONNA BREAK IT UP INTO SOME SECTIONS.

SO I'M GONNA FIRST FOCUS ON THESE FIRST FOUR BOXES.

IS THAT REALLY GETS YOU THROUGH THIS WHAT WE CALL THE REAL PROCUREMENT PHASE, WHERE YOU'RE GETTING THE DESIGN BUILDER TEAM.

SO THEN I'M GONNA BREAK THAT DOWN A LITTLE FURTHER.

SO IT'S, IT'S REALLY DONE IN KIND OF TWO STEPS.

THE FIRST STEP IS WHAT YOU CALL THE IMPLEMENTATION PLAN OR THE RFQ PROCESS.

SO THE IMPLEMENTATION PLAN IS WHERE YOU'RE PUTTING TOGETHER THE PROCUREMENT DOCUMENTS.

THOSE PROCUREMENT DOCUMENTS ARE GONNA INCLUDE THINGS LIKE YOUR PERFORMANCE REQUIREMENTS, WHAT ARE SOME OF YOUR HIGH LEVEL CONTRACT TERMS. YOU DON'T TYPICALLY PUT THE FULL CONTRACT SAMPLE IN YET.

JUST

[00:10:01]

IT'S MOUTHFUL AND A BASIS OF DESIGN REPORT.

AND THAT'S BASICALLY GIVING THEM INFORMATION ON WHAT KIND OF DESIGN YOU WANT FROM THAT DESIGN BUILDER TEAM.

ONCE YOU PUT TOGETHER THE PROCUREMENT DOCUMENTS, THEN YOU GO INTO THE RFQ PROCESS.

THE RFQ PROCESS IS VERY SIMILAR TO ANY OTHER RFQ PROCESS IN THAT YOU ARE ADVERTISING THAT YOU WANT TO GET A DESIGN BUILD TEAM.

YOU WILL HOLD, TYPICALLY YOU WOULD HOLD AN INFORMATIONAL MEETING.

THAT'S WHERE YOU INVITE ANYBODY WHO'D BE INTERESTED IN TO HEAR KINDA THE BASICS.

YOU KNOW, THE PROJECTS, WHAT ARE THE REQUIREMENTS, WHAT ARE THE EXPECTATIONS.

WHILE YOU'RE DOING THAT, ONE OF THE THINGS THAT WE'LL BE DOING IS HELP PROMOTING INTEREST FOR THIS PROJECT.

USING OUR INDUSTRY CONNECTIONS TO SAY, HEY, THERE'S A REALLY GREAT PROJECT OUT THERE.

I HOPE YOU'RE LOOKING INTO IT.

OR WE KNOW YOU'RE QUALIFIED.

HAVE YOU HEARD ABOUT THIS THING? I PUT THIS IN THE RFQ PROCESS.

REALLY, WE'RE GONNA ALREADY START DOING THAT.

THAT'S GONNA BE HAPPENING FROM DAY ONE, BUT IT'S AN IMPORTANT PART OF THE RFQ PROCESS.

NEXT YOU WILL HOLD MEETINGS WITH ANY INTERESTED PARTIES.

BASICALLY THAT IS, IF A POTENTIAL DESIGN BILL TEAM ONCE A ONE-ON-ONE MEETING, YOU WOULD TYPICALLY ALLOW FOR THAT TO HAPPEN.

'CAUSE THEY MAY HAVE VERY SPECIFIC QUESTIONS FOR YOU.

AND THEN OF COURSE, ANSWERING ANY QUESTIONS THAT ANY OF THE POTENTIAL BIDDERS HAVE.

ONCE YOU GO THROUGH THE RFQ PROCESS AND PEOPLE THEN SUBMIT THEIR BIDS TO YOU, THEN YOU'LL DO THE REVIEWING.

YOU'LL GO THROUGH AND YOU'LL USE THE SCORING CRITERIA.

YOU'LL MAKE SURE THAT THEY GIVE YOU A COMPLETE SUBMITTAL, GIVE THEM A SCORE.

AND THEN TYPICALLY WHAT YOU DO FROM THERE IS CREATE A SHORT LIST.

SO IF YOU HAVE FIVE, YOU MIGHT CREATE A SHORT LIST OF THREE.

IF YOU ONLY HAVE THREE PEOPLE BID, YOU MIGHT CREATE A SHORT LIST OF TWO.

THERE'S NO LIKE YOU HAVE TO DO THIS NUMBER, YOU KNOW, OF TEAMS REALLY GONNA BE BASED ON THE, UM, THE BIDS THAT YOU GET IN.

ONCE YOU CREATE THE SHORT LIST, THEN YOU GO INTO MORE WHAT'S CALLED THE RFP KIND OF INTERVIEW SELECTION PROCESS.

YOU AGAIN HAVE TO CREATE KINDA SOME OF THE DOCUMENTS.

THIS IS WHERE YOU'D PROBABLY PUT IN A SAMPLE CONTRACT FOR THEM.

AND THEN, YOU KNOW, ANYTHING ELSE THAT YOU WANT TO SEE FROM THEM.

UM, INTERVIEW EXPECTATIONS, MAYBE YOU HAVE CERTAIN QUESTIONS YOU WANT THEM TO ANSWER IN THE INTERVIEW.

YOU WOULD PROVIDE THAT, YOU KNOW, AS A PART OF THESE DOCUMENTS.

THEN YOU'LL ACTUALLY HOLD THE INTERVIEWS WITH THOSE SELECTED PARTIES.

AND THEN ONCE YOU HOLD THE INTERVIEWS, YOU WILL SELECT YOUR DESIGN BUILD TEAM.

IT'S NOT QUITE DONE YET.

AFTER YOU SELECT IT, YOU THEN HAVE TO NEGOTIATE A CONTRACT FOR WHAT'S CALLED PHASE ONE SERVICES.

SO, UM, I'LL HAVE A TIMELINE AT THE END OF THIS.

UM, BUT THIS IS, THIS IS A LOT OF STEPS TO GET YOU TO DESIGN BUILD TEAM, BUT IT'S VERY IMPORTANT IS THIS PROJECT SUCCESS REALLY DEPENDS ON YOU PICKING A GOOD QUALITY DESIGN BUILD TEAM THAT YOU CAN WORK WITH.

SO THAT'S WHY THERE'S SO MANY STEPS TO IT.

ANY QUESTIONS ON THAT BEFORE I MOVE ON? OKAY, SO NEXT I'M GONNA TALK ABOUT WHAT HAPPENS AFTER THAT.

I DIDN'T BREAK THIS DOWN AS TO AS MANY STEPS.

IT IS VERY INVOLVED.

UM, BUT I TRY TO JUST SIMPLIFY IT, YOU KNOW, AS MUCH AS I COULD.

SO PHASE ONE I CALL GETTING TO THE GUARANTEED MAXIMUM PRICE.

SO DURING PHASE ONE YOU'LL WORK WITH YOUR DESIGN BUILD TEAM.

THIS IS WHERE THE MAJORITY OF YOUR DESIGN YOU KNOW, WILL HAPPEN.

YOU TYPICALLY GET TO ABOUT 60 TO 90% ON THE DESIGN IN THIS PHASE.

YOU ALSO HAVE THE ABILITY TO, NOT REQUIREMENT, BUT YOU HAVE THE ABILITY TO DO WHAT'S CALLED EARLY WORK PACKAGES DURING THIS PHASE.

SO THERE MAY BE AN INSTANCE WHERE YOU KNOW YOU'RE GONNA BUY CERTAIN EQUIPMENT.

SO TO SPEED UP THE PROCESS, YOU COULD DO AN EARLY WORK PACKAGE THAT ALLOWS YOU TO BUY THAT EQUIPMENT DURING THIS PHASE.

OR THERE MIGHT BE SOME SITE WORK.

LIKE NO MATTER WHAT THE DESIGN ENDS UP BEING, WE KNOW THIS SITE WORK IS GONNA GET DONE.

SO YOU HAVE THE ABILITY, IF YOU WANT, IN THIS EARLY WORK PACKAGE TO START THAT SITE WORK DURING THIS PHASE TO SPEED UP THE PROCESS.

US WE'LL ALSO BE DOING COST MODELING AND SCHEDULING AND THAT REALLY KIND OF GOES HAND IN HAND.

YOU'LL LOOK AT THINGS LIKE, IF WE MAKE THIS DESIGN DECISION, WHAT KIND OF IMPACT WILL IT HAVE TO THE COST? WHAT KIND OF IMPACT WILL IT HAVE TO THE SCHEDULE? YOU KNOW, OR IF WE WANNA LOOK AT THIS ADDITIONAL DESIGN COMPONENT, YOU KNOW, DOES DOESN'T, IS IT WORTH IT? LIKE OPERATIONALLY IT MAY MAKE SENSE, BUT IF IT CAUSES THE COST AND THE SCHEDULE TO GO TOO FAR, YOU MAY NOT.

THOSE ARE KIND OF THE CONVERSATIONS YOU'RE GONNA BE HAVING DURING THIS KIND OF PHASE ONE.

WITH YOUR DESIGN BUILD TEAM, YOU ALSO HAVE THE ABILITY TO WHAT'S CALLED AN OFF RAMP.

SO AT THE END OF THIS, THIS PHASE ONE, YOU GET TO 16 TO 90%

[00:15:01]

YOU HAVE THE ABILITY TO OFF RAMP.

TYPICALLY WHAT YOU WOULD DO IF YOU OFF RAMP, YOU WOULD THEN TRANSITION IT TO MORE OF A DESIGN BID BUILD PACKAGE WHERE YOU'D TAKE THE DESIGN REALLY MOST OF THE TIME YOU'D FINISH IT, THE DESIGN WITH THAT TEAM, BUT THEN YOU WOULD JUST BID IT KIND OF MORE TRADITIONALLY.

VERY RARELY IS THAT DONE.

VERY RARELY IS THAT RECOMMENDED 'CAUSE YOU'VE ALREADY INVESTED SO MUCH TIME IN THE DESIGN BUILD TEAM.

BUT IT IS AN OPTION FOR YOU IF YOU FEEL THAT THAT IS NECESSARY.

ONCE YOU KINDA GET THROUGH THIS, IF YOU'RE STILL HAPPY WITH YOUR TEAM, YOU'RE HAPPY WITH THE DESIGN, YOU WANNA MOVE FORWARD, YOU WOULD THEN NEGOTIATE THE GUARANTEED MAXIMUM PRICE CONTRACT.

UM, IT IS EXACTLY WHAT IT SAYS IT IS THAT YOU'RE GOING TO GET THROUGH THE REMAINDER OF THIS PROJECT FOR THIS X AMOUNT OF DOLLARS.

THE ONLY WAY IT SHOULD INCREASE IS IF YOU HAVE SOME SORT OF CHANGE ORDER.

AND A CHANGE ORDER WOULD TYPICALLY BE BASED ON SOMETHING LIKE Y'ALL ADDED IN SOME ADDITIONAL SCOPE THAT WASN'T KNOWN DURING PHASE ONE OR DURING CONSTRUCTION.

THERE WAS SOME UNKNOWN CONDITION THAT THAT COULD NOT BE FORESEE, THAT WOULD CAUSE THAT CHANGE ORDER AND A TYPICAL, YOU KNOW, CHANGE ORDERS.

BUT OTHERWISE THEN YOU WOULD HAVE A GUARANTEED MAXIMUM PRICE.

IF YOU SUCCESSFULLY NEGOTIATE A GUARANTEED MAXIMUM PRICE CONTRACT WITH THE DESIGN BUILD TEAM.

THEN YOU GO INTO PHASE TWO, WHICH IS JUST FINISHING OUT THE PROJECT.

THAT'S WHERE THE MAJORITY OF YOUR CONSTRUCTION, YOU KNOW, WILL HAPPEN.

YOU MAY STILL BE DOING SOME DESIGN, LIKE I SAID, FINISHING IT UP.

BUT REALLY YOU'RE HEAVILY INTO THE CONSTRUCTION SIDE AT THIS POINT.

THIS IS WHERE YOU'RE GONNA DO THE MAJORITY OF YOUR PROCUREMENT.

IT'S WHERE YOU'RE GONNA DO, UM, STARTUP TESTING AND TRAINING.

SO ONCE YOU GET TO A CERTAIN PART OF THE CONSTRUCTION WHERE YOU'RE JUST ABOUT READY TO, UM, HAVE WATER PRODUCED, YOU'LL START DOING KIND OF COMMISSIONING AND STARTUP WHERE YOU'RE MAKING SURE YOUR OPERATORS ARE TRAINED ON ALL THE FACILITIES AND ALL THE NEW EQUIPMENT.

UM, YOU'LL MAKE SURE THAT YOU CAN PASS ANY QUALITY TESTING AND THAT BASICALLY EVERYTHING WORKS THE WAY THEY SAID THAT IT WAS GONNA WORK BEFORE THEY TURN IT BACK OVER TO YOUR OPERATORS.

JUST A COUPLE OTHER NOTES, AND AGAIN, I PUT THIS IN PHASE TWO, BUT IT'S REALLY THROUGHOUT THE WHOLE TIME THE OWNERS, THE OWNER'S ADVISOR AND THE DESIGN APPEAL TEAM ARE COLLABORATING THIS ENTIRE TIME.

THEY COLLABORATE ON ISSUES.

THAT'S ONE OF THE BENEFITS OF A PROGRESSIVE DESIGN BUILD IS THAT YOU'RE NOT JUST RELYING ON WHAT THE CONTRACTOR SAYS.

YOU'RE RELYING ON THEIR TEAM AND YOUR TEAM TO WORK TOGETHER TO WORK THROUGH THOSE.

ANY QUESTIONS ON THAT? SO THIS WHOLE PROCESS WILL BE ABOUT 10 MONTHS.

AM I LOOKING AT THIS RIGHT? NO, NO, NO.

FROM, FROM BEGINNING TO END.

HOLD ON, I'M GONNA SKIP AHEAD.

DID YOU SKIP AHEAD? ALL RIGHT.

SO FOR THE PROCUREMENT DOCUMENTS, THAT'LL TAKE ABOUT THREE MONTHS.

THE RFQ PROCESS TAKES ABOUT ANOTHER THREE MONTHS AND THEN THE RFP PROCESS TAKES ABOUT SIX MONTHS.

AND THE REASON THAT'S EXTENDED IS 'CAUSE THAT INCLUDES THAT NEGOTIATION OF THE CONTRACT, WHICH CAN TAKE A COUPLE MONTHS.

SO YOU'RE LOOKING AT BASICALLY A YEAR TO GET TO PHASE ONE.

OKAY, I WAS JUST LOOKING AT THE LAST PAGE.

I SKIPPED AHEAD.

YES, WITH A, LOOKS LIKE AN ENDING DATE OF MARCH OF NEXT YEAR.

IT, IT MIGHT HAVE BEEN THAT THE START DATE MIGHT HAVE BEEN A LITTLE OFF BASED ON WHEN THE CONTRACT WAS PUT IN.

OKAY, SO 10 TO 12 MONTHS? YES.

10 TO 12 MONTHS.

YEAH.

AND THEN PHASE ONE, PHASE TWO, UM, I HAVE 12 MONTHS TO 24 MONTHS IN HERE.

THAT'S REALLY UP FOR DISCUSSION RIGHT NOW.

THAT IS GOING TO CHANGE ONCE YOU NEGOTIATE WITH THAT DESIGN BILL TEAM.

'CAUSE IT'S GONNA BE BASED ON THEIR SCHEDULE.

THIS WAS KIND OF BEST GUESS AT THIS TIME, BUT DO ANTICIPATE THAT THAT WILL BE UPDATED ONCE WE GET THE DESIGN BUILD TEAM IN PLACE.

BUT IT'S OKAY TO SKIP AHEAD THAT.

UH, ANY OTHER QUESTIONS ON THIS? I, ALL RIGHT.

SO OWNER'S ADVISORS ROLE.

UM, IT'S REALLY IMPORTANT IN A PROGRESSIVE DESIGN BUILD TO HAVE AN OWNER'S ADVISOR.

OBVIOUSLY I'M BIASED 'CAUSE THAT'S THE CONTRACT I'M GOING UP FOR.

BUT WHAT WE DO IS WE ASSIST THE OWNER IN THIS PROCESS.

WE ASSIST IN PROJECT MANAGEMENT.

WE INSIST ASSIST ON COST VALIDATION AND SCHEDULE MANAGEMENT.

WHAT I MEAN THERE IS IF THE CONTRACTOR'S TELLING YOU SOMETHING IS GONNA COST THIS MUCH, WE'RE GONNA REVIEW THAT TO MAKE SURE THAT THAT MAKES SENSE AND WE'RE GONNA PUSH BACK.

WE DON'T THINK THAT MAKES SENSE.

WE MAY ALSO, IF THE OWNER IS LIKE, I DON'T BELIEVE THAT WE MAY HAVE TO HAVE A WELL NO, THIS IS WHY THIS IS CORRECT.

YOU KNOW, SO WE'RE REALLY KIND OF A, A MEDIATOR BETWEEN THE OWNERS AND THE, THE DESIGN BUILD TEAM TO MAKE SURE THAT EVERYBODY IS ON THE SAME PAGE.

WE PROVIDE TECHNICAL SUPPORT, WE WILL REVIEW ALL THE DESIGN, WE WILL REVIEW AGAIN, ALL THE COSTS, ALL THE SCHEDULES, THE SUBMITTALS, MAKE SURE THAT EVERYTHING IS UP TO THE QUALITY THAT IT SHOULD BE.

WE ALSO HELP WITH PARTNERING AND DISPUTE RESOLUTION.

UM, WHEN

[00:20:01]

IT'S JUST PART OF THE PROCESS.

SO WE ARE THERE TO HELP ON THAT DISPUTE RESOLUTION AND MAKE SURE AGAIN, EVERYBODY STAYS ON THE SAME PAGE OR WE COME UP WITH A PROCESS TO HELP EVERYBODY COME UP ON THE SAME PAGE.

PARTNERING IS REALLY WHAT WE CALL LIKE TEAM BUILDING.

LIKE HOW DO WE WORK TOGETHER TO MAKE SURE WE'RE COMFORTABLE, YOU KNOW, WITH EACH OTHER AND WE STAY COMFORTABLE WITH EACH OTHER.

SO WE'LL HELP ON THAT ASPECT AS WELL.

WE WILL ALSO BE THE PEOPLE REALLY PRODUCING THE PROCUREMENT DOCUMENTS IN THIS FIRST PHASE OF THE WORK.

WE'LL BE HELPING CREATE THE PMEP, THE BASIS OF DESIGN REPORT AND SUCH.

AND I'LL, I'LL GO MORE INTO THOSE IN SOME FUTURE SLIDES.

THE BENEFITS OF HAVING US IS REALLY THAT WE'RE AN EXTENSION OF YOUR STAFF.

THIS IS A LOT OF WORK.

THERE'S A LOT OF REVIEWING TO DO.

IT WOULD TAKE A LOT OF YOUR STAFF TIME FOR THEM TO DO IT THEMSELVES.

SO WE REALLY HELP THEM IN DOING THESE SUPPORT SERVICES.

YOU ALSO GET THE BENEFIT OF OUR INDUSTRY RELATIONSHIPS.

AGAIN, HELPING TO DRUM UP LIKE INTEREST, YOU KNOW, IN THIS PROJECT, BUT ALSO DURING THE PROJECT.

YOU KNOW, WE KNOW VENDORS, WE KNOW CONTRACTORS AND WE HAVE A LOT OF RISKS WE CAN REACH OUT TO, TO ASK FOR HELP OR SUPPORT.

WE'RE ALSO GONNA HELP ON RISK MANAGEMENT.

IT'S JUST ANOTHER PAIR OF EYES TO LOOK FOR THINGS.

LIKE IF WE'RE OUT THERE AND WE'RE LIKE, THIS DESIGN DOES NOT MAKE SENSE, WE THINK THIS IS RISKY FOR THIS REASON, WE'RE GONNA BRING IT UP TO YOU.

SO, SO WHAT WOULD YOU SAY YOUR BIGGEST VALUE ADD TO THE US AND THE CITY THROUGH ALL THIS IS? WHERE DO YOU ADD THE MOST VALUE? REALLY OUR KNOWLEDGE, YOU KNOW, ON THIS, WE, WE'VE BEEN THROUGH, YOU KNOW, THIS PROCESS BEFORE, WE'VE BEEN THROUGH SURFACE WATER, YOU KNOW, EXPANSIONS.

WE'VE BEEN THROUGH DESIGN, WE'VE BEEN THROUGH CONSTRUCTION.

SO WE ALREADY KNOW LIKE, YOU KNOW, HERE ARE SOME OF THE RISK FACTORS THAT YOU'RE GOING INTO THIS.

WE ALREADY KNOW WHAT TYPE OF PARTNERING DISPUTE RESOLUTION HAS WORKED AND HAS NOT WORKED, YOU KNOW, AND SO BASED ON OUR EXPERIENCE AND, AND AGAIN, JUST KIND OF BEING THAT, THAT THIRD PARTY LOOK, YOU KNOW, OUT THERE WE CAN HELP STEER LIKE, WE'RE CONCERNED ABOUT THIS.

WE THINK YOU SHOULD LOOK AT THIS, YOU KNOW, OR BASED ON OUR EXPERIENCE, THIS IS NOT THE COST THAT WE WOULD'VE TYPICALLY SEEN, YOU KNOW, FOR SOMETHING LIKE THIS.

SO REALLY BRINGING OUR, OUR EXPERIENCE IN IS OUR, IS OUR BIGGEST ADD.

SO, SO YOU THINK THAT BY HAVING YOU THERE TO ASSIST THE CITY WITH EXPERTISE, THEN WE'LL HAVE BETTER ESTIMATES PER SE.

BECAUSE OUR LAST PROJECT, IT WAS ONLY DOUBLE WHAT WE THOUGHT IT WAS GONNA BE AT THE ORIGINAL.

AND THEN WE JUST GOT AN ESTIMATE FOR THIS EXPANSION AND IT WAS DOUBLE THE WHOLE OTHER DOUBLE, YOU KNOW, AND THAT INCLUDES US ALREADY HAVING THE LAND AND EVERYTHING AND JUST ADDING A LITTLE PIECE TO IT.

SO BY YOU COMING IN, YOU'RE GONNA HELP US REALLY GIVE THESE GUYS EXPERTISE TO KNOW WHEN THEY'RE GETTING BAMBOOZLED AND, UM, AND MAKING SURE THAT, AND WE ALSO HAD ENGINEERING PROBLEMS WHEN THE GUY ENGINEERED THE, HE, THEY MADE MISTAKES AND THAT WE HAD TO COME IN AND KEEP ADDING BECAUSE OF, YOU KNOW, THERE WERE THINGS THAT, THAT THE ENGINEERS THAT WERE SUPPOSED TO BE EXPERTS HAD MADE MISTAKES.

SO YOU'LL CATCH A LOT OF THAT TOO AS WELL.

THAT IS OUR JOB TO REVIEW THOSE AND ADD THOSE SUPPORT AND, AND TRY TO CATCH THOSE THINGS BEFORE THEY HAPPEN.

BUT THAT'S ALSO A BENEFIT.

NOT JUST TO, TO SAY THIS IS WHAT WE'RE GONNA HELP.

THAT'S ALSO A BENEFIT OF A PROGRESSIVE DESIGN BUILD.

'CAUSE LIKE ON A TRADITIONAL DESIGN, YOU'RE NOT SEEING A LOT OF THAT STUFF UNTIL, LET'S SAY 60, 90% MILESTONE REVIEWS.

MM-HMM .

WE'RE INVOLVED.

YOU'RE EVEN THE OWNERS ARE INVOLVED THROUGH ALL ASPECTS OF IT.

SO YOU'RE NOT HAVING TO WAIT AND SEE THESE THINGS AND SAY, OH WAIT, THAT DOESN'T MAKE SENSE.

THE COST ESTIMATING IS DONE CONTINUOUSLY.

IT'S NOT JUST DONE AT THE END.

SO THAT DOUBLE MAY HAVE BEEN RIGHT, BUT WHAT WE'RE GONNA DO IS SAY, YES, THAT'S RIGHT AND THIS IS WHY WE KNOW IT'S RIGHT.

THESE ARE THE MARKET TRENDS THAT WE ARE SEEING AND THAT WE KNOW ABOUT THAT WOULD'VE CAUSED THIS ESCALATION THAT YOU COULD NOT HAVE FORESEEN.

OR THIS IS WHERE NO, THEY WERE WRONG.

THEY SHOULD HAVE DOUBLED IT FROM THE BEGINNING BECAUSE OF THIS, THIS, AND THIS FACTOR.

OKAY.

SO, SO, UM, I CAN SEE WHERE THAT WOULD BE FAIRLY VALUABLE.

NOW, THIS CONTRACT, HOW, HOW MUCH OF ALL THESE PHASES DOES THAT COVER? THIS JUST COVERS THROUGH GETTING YOU TO PHASE ONE.

BRING THAT SCREEN BACK SO I CAN SEE, NO, NOT GO THE OTHER WAY.

ONE WITH THE LITTLE, THE DOTS OR WHATEVER THE TIMELINE.

THE TIMELINE.

OH, THIS ONE OUT THERE.

THIS IS THE FIRST YEAR.

OKAY.

SO THAT'S ALL THE WAY TO WHERE OKAY.

ALL THE WAY OVER.

OKAY.

YES TO THERE.

SO IN A, WITH THIS ADD-ON, WILL YOU ALL GUYS ALSO SAY, HEY, WELL, YOU KNOW, IF WE MODIFY YOUR EXISTING PLANT IN THIS WAYS, IN THIS AND, AND WE CAN MAKE IT CONSISTENT, WE CAN MAKE IT MORE EFFICIENT OR WHATEVER.

WILL YOU GUYS BE LOOKING AT IT FROM THAT STANDPOINT AS WELL WHEN YOU'RE DOING THIS? YEAH, SO WE'RE JUMPING A LITTLE INTO THE BASIS OF DESIGN REPORT THAT, THAT WE'LL CREATE AS A PART OF THE PROCUREMENT DOCUMENT.

WHAT THAT BASICALLY IS, IS LIKE A PRELIMINARY ENGINEERS REPORT.

SO THAT'S

[00:25:01]

BUT WE WILL ALSO BE TALKING TO YOUR OPERATOR AND HEARING THINGS LIKE, WE HAVE A PROBLEM WITH THE PLANT BECAUSE OF THIS.

YOU KNOW, IS THERE SOMETHING WE CAN DO TO MAKE, TO YOUR POINT, MORE EFFICIENT OR MAKE THIS EASIER, YOU KNOW, FOR US TO OPERATE? AND THEN WE WILL NOTE THOSE THINGS IN THAT BASIS OF DESIGN REPORT.

BUT SOME OF THAT WILL GO TO THAT COST AND SCHEDULE DISCUSSION THAT WE WERE TALKING ABOUT EARLIER.

'CAUSE IT MAY BE, YES, YOU COULD REPLACE THIS PIECE OF EQUIPMENT AND IT'S GONNA MAKE YOUR OPERATIONS WORK MUCH BETTER, BUT TO DO THAT YOU ARE GONNA ONLY HAVE TO PAY THIS, REPLACE THIS EQUIPMENT, BUT YOU'RE GONNA HAVE TO CHANGE THE SIDING AND, AND SOME OF THE PIPING AND SOME OF THIS OTHER STUFF AROUND IT.

AND SO YOUR $60 MILLION PROJECT JUST BECAME A $70 MILLION PROJECT.

IS THAT $10 MILLION WORTH THIS OPERATIONAL EFFICIENCY? YOU KNOW, TO YOU, AND IT MAY ALSO BE TO DO THIS THING, YOU COULD DO IT FOR AN EXTRA, MAYBE IT'S NOT 10 MILLION, MAYBE IT'S MILLION, BUT THAT EQUIPMENT HAS A LONG LEAD TIME.

SO YOU'LL BE GIVEN THIS COST BENEFIT RELATIONSHIPS ON ANY IDEAS OR ANYTHING LIKE THAT, RIGHT? AND IN A LOT OF WAYS, THERE'S DIFFERENT WAYS YOU CAN DO IT AND THIS IS WHAT WE'LL BE HELPING.

LIKE HOW DO YOU WANNA LOOK AT THAT? LIKE DO YOU WANNA LOOK AT THE COST BENEFIT BEFORE YOU GET TO THE DESIGN OR DO YOU WANNA LIST THAT AS LIKE A SUPPLEMENTAL ITEM THAT THE DESIGN BUILD TEAM CAN LOOK AT AS A PART OF THEIR DESIGN? UM, BECAUSE THEY'LL GET A LITTLE MORE DETAILED, YOU KNOW, INTO IT AND THEN MAKE THAT DECISION PRIOR TO GOING INTO PHASE TWO.

SO THERE'S A COUPLE WAYS YOU COULD LOOK AT THAT AND THAT'S WHAT WE'LL KIND OF WORK WITH THE STAFF AND KNOW WHAT WAY DO YOU WANT TO TACKLE THAT.

OKAY, THANK YOU.

YOU'RE WELCOME.

ANY OTHER QUESTIONS? GREAT.

ALL RIGHT, SO KIND OF GOING INTO WHAT WE'RE CONTRACTED FOR NOW, THERE'S KINDA SIX MAIN AREAS FOR WHAT'S IN THIS CURRENT CONTRACT.

ONE IS PROJECT MANAGEMENT.

I DON'T HAVE ANOTHER SLIDE FOR THAT.

THAT'S KIND OF THE, THE ADMINISTRATIVE, YOU KNOW, PIECE OF THE GO INTO THE MEETINGS, COME INTO THIS MEETING, GIVING Y'ALL REPORTS, YOU KNOW, INVOICING, STUFF LIKE THAT.

NEXT IS DATA COLLECTION AND REVIEW THE BASIS OF DESIGN REPORT THAT WE JUST TALKED ABOUT, THE PMEP AND THEN THE RFQ AND THE RFP.

NOT GONNA REPEAT A WHOLE LOT OF WHAT I'VE ALREADY SAID.

SO SOME OF THIS WILL GO FAIRLY QUICKLY.

THE BASIS OF DES DESIGN REPORT, AGAIN, WE JUST KIND OF TALKED ABOUT THAT IS A DOCUMENT THAT WE'LL LOOK AT, LIKE WHAT IS THE DESIGN TEAM BUILDING, YOU KNOW, FROM HERE, WHAT ARE THE REQUIRED FACILITIES, WHAT ARE THE REQUIRED WATER QUALITY PARAMETERS? WHAT ARE THE ANTICIPATED SUPPLEMENTAL ITEMS THAT WE TALKED ABOUT EARLIER? GIVE A PRELIMINARY SITE PLAN AND THEN UPDATE THE COST ESTIMATE.

AND I, I DIDN'T LIST THIS HERE, BUT ALSO A SCHEDULE, YOU KNOW, WITH THAT AS WELL.

AND PART OF THIS IS DATA COLLECTION AND THAT'S DOING WHAT WE TALKED ABOUT EARLIER IS NOT JUST GOING OUT TO THE SITE, GETTING PICTURES, LOOKING AT THE PREVIOUS DESIGNS, BUT ALSO MEETING WITH THE OPERATION STAFF.

I MEAN, WHAT ARE YOU HAPPY WITH? WHAT ARE YOU NOT HAPPY WITH? WE'VE ALREADY HAD A LITTLE ABOUT THAT, SO I KNOW THERE'S A FEW THINGS THEY'RE NOT HAPPY WITH.

SO WE'RE WELL AWARE OF SOME OF THE, THESE ITEMS. THE PMEP, THIS IS A, THAT MA ACRONYM IS REALLY HARD TO SAY.

SO, UM, THIS IS WHAT WE CALL LIVING, YOU KNOW, DOCUMENT.

THIS IS HOW, THIS IS BASICALLY AN OUTLINE OF HOW THE OWNER, THE OWNER ADVISOR, AND THE DESIGN BUILD TEAM WORK TOGETHER.

WHAT I HAVE HERE ARE KIND OF SUGGESTED ITEMS FOR WHAT WE WOULD PUT INTO A-P-M-E-P, YOU KNOW, BASED ON OUR EXPERIENCE.

IT COULD HAVE SOME OTHER ITEMS. YOU KNOW, WE MIGHT DECIDE THAT SOME OF THIS ISN'T NECESSARY.

BUT JUST KINDA WALKING THROUGH KIND OF AN INITIAL OUTLINE FOR THIS IS ONE, JUST WHAT IS THE DETAILED, YOU KNOW, PROJECT SCOPE AND PERFORMANCE STANDARDS.

WHAT'S THE MASTER PROGRAM SCHEDULE AGAIN THAT WILL CONTINUOUSLY BE UPDATED RESPONSIBILITY MATRIX.

WHAT IS THE OWNER'S ROLE? WHAT IS THE OWNER'S ADVISOR'S ROLE? WHAT IS THE DESIGN BUILD TEAM'S ROLE? COMMUNICATION PLAN IS VERY IMPORTANT.

IT'S AS SIMPLE AS WHAT ARE YOU NAMING DOCUMENTS, WHERE ARE YOU SAVING THESE DOCUMENTS? THERE'S GONNA BE A LOT OF DOCUMENTS THAT ARE PRODUCED AND THIS PROCESS IS VERY IMPORTANT.

SO WE UNDERSTAND HOW THEY'RE SAVED AND HOW THEY'RE NAMED RISK REGISTER, UH, WITH A QUALITY PLAN, WE'RE GONNA FROM THE BEGINNING IDENTIFY LIKE WHAT ARE THE RISKS, YOU KNOW, OF THIS PROJECT? YOU KNOW, AN EXAMPLE MAY BE WE KNOW YOU NEED THIS EQUIPMENT AND WE KNOW THAT HAS A TWO YEAR LEAD TIME.

SO WE'RE GONNA LIST THAT.

AND THEN ONCE WE LIST THAT WE IDENTIFY, YOU KNOW, WHAT IS THE IMPACT OF THAT RISK, WHAT IS THE PRIORITY OF THAT RISK AND HOW MAY WE MITIGATE THAT AS, SO AS WE IDENTIFY THOSE THINGS, IT WILL GET ADDED TO THE RISK REGISTER.

THIS WILL BE SOMETHING THAT WE'LL START.

BUT THE DESIGN BUILD TEAM WILL HELP BUILD ONCE THEY'RE ON AS WELL.

THAT GOES BACK TO IT BEING A LIVING DOCUMENT.

DISPUTE RESOLUTION GUIDELINES, LIKE I JUST SAID, IT'S VERY POSSIBLE DISPUTES WILL HAPPEN IN A PROJECT LIKE THIS.

SO WE WANNA ALREADY HAVE SOME GUIDELINES OUT.

LIKE IF WE JUST AREN'T AGREEING, HOW DO WE RESOLVE, YOU KNOW, SO EVERYBODY UNDERSTANDS THOSE EXPECTATIONS.

AND THEN PARTING GUIDELINES AND OPTIONS, THAT GOES BACK TO ANY

[00:30:01]

UM, I'M NOT GONNA REPEAT THIS SLIDE, BUT THIS IS, YOU KNOW, WE'RE GONNA HELP WITH ALL OF THESE STEPS THAT'S IN THE CONTRACT FOR US TO HELP PREPARE THE PROCUREMENT DOCUMENTS, BE INVOLVED IN THESE MEETINGS, INTERVIEWS AND NEGOTIATIONS, AND PROVIDING SUPPORT THROUGH ALL OF THIS PROCESS.

AND THEN WE'VE ALREADY HIT THIS SLIDE A FEW TIMES, SO I THINK WE HAVE IT AT THIS POINT.

AND THAT'S REALLY WHAT I WANTED TO PRESENT, UM, TO YOU TODAY.

ARE THERE, UM, ANY OTHER QUESTIONS OR ANYTHING ELSE I CAN ANSWER FOR Y'ALL? NO MA'AM.

ALRIGHT.

THANK YOU VERY MUCH.

ALRIGHT, THANK Y'ALL.

THANK YOU.

SO, UH, STAFF DOESN'T HAVE ANY FURTHER, UH, ANYTHING FURTHER TO PRESENT.

ALRIGHT.

UM, I WOULD UH, ACCEPT A MOTION FOR THE RESOLUTION AUTHORIZING THE ENGINEERING SERVICES AGREEMENT WITH BG INCORPORATED FOR THE PHASE TWO EXPANSION PROJECT AT THE EAST WATER PLANT.

I'LL MAKE THE MOTION.

I'LL SECOND.

I HAVE A MOTION, A SECOND QUESTIONS OR DISCUSSION.

ALRIGHT, ALL THOSE IN FAVOR SAY AYE.

AYE.

OPPOSED? LIKE, SO MOTION CARRIES UNANIMOUSLY.

THANK YOU.

UM, NEXT WE WILL CONSIDER A

[b. Consider a resolution authorizing a Water Supply Agreement with Country Terrace Water Co.]

EXCUSE ME.

EXCUSE ME.

ALL RIGHT, I THINK WE GOT IT NOW.

GOOD AFTERNOON EVERYONE.

UM, AS STATED, THIS UH, ITEM IS FOR APPROVAL OF A, UM, WATER SUPPLY AGREEMENT WITH COUNTRY TERRACE WATER.

UM, THIS IS A, UH, RENEWAL OF SORT, UM, WE'VE ALREADY HAD THIS AGREEMENT IN PLACE.

THE AGREEMENT EXPIRED.

UM, THERE HAS BEEN NO ADDITIONAL REQUEST BY COUNTRY TERRACE FOR ADDITIONAL WATER CAPACITY.

THIS ITEM IS ONLY TO RENEW THE, UM, EXPIRED CONTRACT.

SO WITH THAT STAFF WOULD RECOMMEND APPROVAL.

IS IT THE SAME RATES AND EVERYTHING OR THE, THE RATE THAT THEY'RE PAYING IS THE CURRENT RATE, UM, AS APPROVED BY OUR RATE ORDINANCE AND THE RATE STRUCTURE I SHOULD SAY.

UM, SO THEY'RE GONNA PAY THE WHATEVER THE GOING RATE IS AT THE TIME.

SO, UM, THERE THERE'S NO, UH, CHANGE TO THAT.

ALRIGHT.

UM, DO I HAVE A MOTION TO APPROVE? SO MOVE SECOND MOTION TO SECOND QUESTIONS OR DISCUSSION? SO IS IT, THIS IS TREATED WATER THEY'RE BUYING, CORRECT? I'M JUST CURIOUS WHY WE WOULD BE DOING THIS CONTRACT WHEN THE UTILITY BILLING OFFICE WOULDN'T, WOULDN'T THEY BE DOING A CONTRACT FOR THIS TYPE OF STUFF? WE USUALLY JUST MAKE THE WATER AND SUPPLY IT TO UTILITY BILLING, RIGHT? THIS IS ONE OF THE BALL BALLS WHOLESALE CUSTOMERS, UM, THAT WE'VE HAD, YOU KNOW, THROUGH THE, UM, FOR THE, UH, SEVERAL YEARS, UM, DATING AND BACK.

SO THEY DON'T HAVE A CONTRACT WITH THE CITY.

THEY HAVE A, A DIRECT WHOLESALE CONTRACT WITH BWA.

DO WE HAVE VERY MANY OF THESE? I DON'T REMEMBER.

YEAH, BESIDES THE CITY OF BAYTOWN, THERE'S SEVEN OTHERS.

OKAY.

YEAH.

RIGHT.

AND, AND WHERE IS THE COUNTRY TERRACE WATER COMPANY? WHERE THEY IT IT'S ON THE, UH, UM, NORTH SIDE OF I 10, UH, DOWN JONES ROAD.

UM, UM, ON THE, I GUESS THE, UH, EAST SIDE, UM, NORTHEAST SIDE OF, UH, JONES ROAD.

IT'S A NEIGHBORHOOD.

YEAH, IT'S A NEIGHBORHOOD.

ALRIGHT, THANK YOU.

ALRIGHT, ANY OTHER QUESTIONS OR DISCUSSION? HEARING NONE.

ALL THOSE IN FAVOR SAY AYE.

AYE.

AYE.

OPPOSED? LIKE, SOYE.

MOTION CARRIES UNANIMOUSLY.

THANK YOU.

UM,

[a. Receive a presentation related to Amendment No. 1 with Ardurra Group, Inc., for the Baytown Area Water Authority Raw Water Pumps Water Rehabilitation Project.]

OKAY, UH, GOOD AFTERNOON AGAIN.

UH, SO LAST MEETING, UH, STAFF RECOMMENDED AN AMENDMENT WITH, UH, OUR D GROUP FOR THE RAW WATER PUMP STATION REHAB PROJECT.

UM, THAT WAS TO DO A STUDY OF THE, UH, PUMP INTERACTION.

UM, AND THE BOARD I THINK WAS NOT SATISFIED WITH THE, UM, THE, UH, STAFF PRESENTATION.

SO I WANTED TO COME BACK, EVEN THOUGH YOU ALREADY APPROVED THE CONTRACT, THE AMENDMENT, UM, TO HAVE THE ENGINEER GIVE YOU MORE INFORMATION.

AND, UM, SO HOPEFULLY IT WILL SATISFY YOUR QUESTIONS.

IF NOT, UM, STAFF REMAINS, UH, READY TO CANCEL OR NOT, UH, LET THE CONSULTANT PROCEED WITH THAT AMENDMENT.

SO, UH, I JUST WANNA MAKE SURE THAT YOUR AN YOUR QUESTIONS ARE REALLY ANSWERED AND YOU ARE SATISFIED.

SO, UM, JUST LIKE I SAY, WANTED TO COME BACK

[00:35:01]

AND, UM, SO I HAVE, UH, TODAY, UH, YOU ASAN IS HERE FROM ARTURO GROUP TO GIVE YOU A LITTLE INFORMATION ABOUT THIS.

GOOD AFTERNOON BOARD PRESIDENT, BOARD MEMBERS.

UM, LIKE FRANK SAID, I'M USAN WITH ARTURO GROUP AND I SERVE THE, AS A PROJECT MANAGER FOR THE RAW WATER PUMP STATION IMPROVEMENT PROJECT FOR B WATER TREATMENT PLAN.

SO I HAVE A, UM, LITTLE PRESENTATION HERE AND I UNDERSTAND FROM LAST MEETING WHAT MEMBER WOULD LIKE TO SEE, UM, YOU KNOW, EXHIBITS AND, UH, MORE INFORMATION RELATED TO THIS MODELING STUDY.

UM, SO I LIKE TO START WITH A LITTLE BIT BACKGROUND ABOUT THE SCOPE OF WORK FOR THIS PROJECT.

SO POWER WATER TREATMENT PLANT.

CURRENTLY THEY HAVE TWO RAW WATER PUMP STATIONS.

ONE IS AT THE CANAL THAT BASICALLY PUMP THE RAW WATER FROM THE CANAL TO THE, UH, THE PLANT FOUR BAY OR RESERVOIR.

AND THEN THE SECOND, THE RAW WATER PUMP STATION PUMP THE RAW WATER FROM THE FOUR BAY TO THE TREATMENT PROCESS.

SO EACH PUMP STATION, UH, HAS FOUR VERTICAL TURBINE PUMPS.

UH, ALL THESE PUMP WORK BUILT, UH, THE, THE STRUCTURE WAS BUILT BACK IN 1978 AND THE PUMP WAS INSTALLED BACK THAT, BACK THAT TIME.

HOWEVER, THESE PUMPS HAD BEEN GONE THROUGH, UH, NUMEROUS REHAB AND, UH, UH, UH, REWORK REPAIR OVER THE TIME.

SO THE PROJECT, THE, THE GOAL OF THIS PROJECT IS TO REPLACE THESE EIGHT PUMPS WITH NEW PUMPS AND ALSO ADDING ADDITIONAL, UH, VARIABLE SPEED DRIVE, UH, TO HANDLE A WIDE RANGE OF THE FLOW COMING TO THE PLANT AND ALSO PROVIDE A NEW ELECTRICAL BUILDING.

SO WE CAN HOUSE THE NEW VFDS, UH, FOR EACH PUMP STATION.

START WITH CANAL PUMP STATION.

UM, THEY HAVE THREE PUMPS AND UH, THAT'S WORKING ON THE NORMAL CONDITION AS ALSO HAVE A LARGER PUMP SERVES AS BYPASS.

SO THE BYPASS PUMP DOES IS IF SOMETHING HAPPENED WITH THE FULL BAY, LET'S SAY IF THE STAFF NEEDED TO TAKE THE FULL BAY OUT OF SERVICE DOING THE REPAIR OR OR CLEANUP AND THE BYPASS CAN PUMP THE WATER DIRECTLY FROM THE CANAL TO THE, UH, TREATMENT PROCESS.

UM, SO THE FIRM CAPACITY OF THE CANAL PUMP STATION 30 MGD AND THE TOTAL CAPACITY IS AT 55, UH, MGD MILLION GALLONS PER DAY FOR THE FOUR BAY PUMP STATION.

THIS ALSO HAS, UH, FOUR PUMPS.

THESE FOUR PUMPS ARE IDENTICAL IN THE CAPACITY, UH, WAS FIRM CAPACITY OF 30 MGD FOR THE ENTIRE STATION AND THE TOTAL CAPACITY OF 40 MGD.

SO WHEN WE DID THE, UH, PRELIMINARY ENGINEERING EVALUATION FOR THE PROJECT, AND ONE THING WE START WITH IS TO LOOKING AT THE EXISTING PUMP STATION CONFIGURATION AND INTAKE, UH, DIMENSION FOOTPRINT AND WHAT WELL DESIGNED COMPARE THAT WITH THE HYDRAULIC INSTITUTE STANDARDS.

SO ONE THING WE FIND OUT IS NOT IN COMPLIANCE WITH THE HI STANDARDS IS THE PUMP STATION DOES NOT HAVE DIVIDING WALLS BETWEEN PUMPS.

SO IT'S AN OPEN SUMP, UH, DESIGN AND I WILL SHOW YOU IN THE NEXT SLIDES.

SO BY THE HI STANDARDS, YOU ARE REQUIRING TO HAVE DIVIDING WALLS IF YOU HAVE INDIVIDUAL PUMP FLOW GREATER THAN 5,000 GALLON PER MINUTE, WHICH IS THE CASE FOR BOTH PUMP STATIONS.

SO WHEN YOU DON'T MEET THAT REQUIREMENT, WHAT'S GOING TO HAPPEN TO YOUR PUMP, IT'S GOING TO MAKE YOUR PUMP ALL BRIDGE AWAY FROM THE PREFERRED OPERATING RANGE.

SO WITH THAT HAPPEN, YOU DON'T HAVE THE, UM, THE OPTIMUM EFFICIENCY.

YOU ARE GOING TO OPERATE YOUR PUMP AT THE LOWER EFFICIENCY AND YOU MAY ADD ADDITIONAL LOAD TO YOUR PUMP IMP IMPELLER, WHICH WILL CAUSE THE PROBLEM WITH THE NOISE VIBRATION AND THE PUMP CAVITATION, WHICH THIS ISSUE, YOU KNOW, THE PLANT OPERATION STAFF HAS NOTICED IN THE PAST.

THAT'S THE REASON ONE OF THE MAJOR REASON THEY HAVE TO CONTINUE DOING THE REPAIR, REPAIR, UH, REHAB ON THOSE PUMPS.

AND THEN THE OTHER COULD BE REDUCE THE FLOW CAPACITY.

SO EVEN THOUGH YOU MAY SEE THESE PUMP RATED FOR 30 MGD AT THE STATION, BUT YOU MAY NOT BE ABLE TO DELIVER 30 MGD ON A DAILY BASIS.

SO THIS IS, UM, UH, A PICTURE I TOOK FROM THE HYDRAULIC INSTITUTE STANDARDS.

SO THIS IS A GOOD ILLUSTRATION ON WHAT HAPPENED WHEN YOU HAVE ABNORMAL HYDRAULIC UH, PHENOMENON.

SO THE, THE CHART ON THE LEFT, THIS IS, UH, SHOWING A OPEN SUM CONFIGURATION WITH NO DIVIDING WALL BETWEEN PUMPS.

AND THIS SHOWS, YOU KNOW, IF YOU HAVE A FOUR PUMPS, UH, IN OPEN SUMP CONFIGURATION, WHEN YOU ONLY OPERATE TWO PUMPS, YOU CAN SEE THERE'S A FLOW SEPARATION LINE AS ILLUSTRATED HERE.

AND THEN BETWEEN THE PUMP ONE AND PUMP TWO, YOU MAY ALSO SEE THOSE SWELLING FACTOR.

SO THOSE ALL CONTRIBUTE TO THE NOISE VIBRATION

[00:40:01]

NOW WHEN YOU'RE LOOKING AT THE, THE, THE GRAPHIC ON THE RIGHT SIDE, UH, WITH THE PETITIONER, UH, PETITIONING WALLS BETWEEN THESE PUMPS, YOU ARE CREATING MORE UNIFORM FLOW PATTERN TOWARDS THE PUMP.

UM, SO WITH THAT UH, UH, DIVIDING WALL, YOU ARE GOING TO SEE MORE STEADY PUMPING FLOW BETWEEN THE PUMP PERFORMANCE.

SO FOR OUR PROJECT, YOU KNOW, IF WE WANTED TO CHANGE FROM THE OPEN SUMP TO THE, UM, PETITIONER SUMP, YOU'RE GOING TO ADD IN THESE DIVIDING WALL, WHICH FROM COST PERSPECTIVE, IT'S GOING TO BE PROHIBITIVE BECAUSE YOU ARE TALKING ABOUT BUILDING THOSE WALLS IN THE EXISTING INTAKE AS ALTERNATIVE, UH, WHAT WE CAN DO IS ENGAGE, UH, A LAB AND CONDUCT A PHYSICAL LAB SCALE MODELING STUDY LOOKING AT OTHER OPTIONS SUCH AS PROVIDING A FLOW STRAIGHTENED VEIN OR A VORTEX SEPARATION DEVICE AT THE PUMP SUCTION TO CREATE A UNIFORM FLOW TO THE PUMP SUCTION.

SO WHAT I'M GOING TO TALK ABOUT IN THIS, UH, NEXT TWO SLIDES IS AN EXAMPLE, A PROJECT WE DID, UH, FROM, UH, HOUSTON SIX NINTH STREET, UM, YEARS AGO.

SO THIS IS A PUMP STATION, UM, ON SITE LIFT STATION.

THEIR PUMPING THE RAW SEWAGE TO THEIR TREATMENT PROCESS.

THEY HAVE A TOTAL OF EIGHT PUMPS FOR A VARIABLE SPEED FOR A CONSTANT SPEED WITH THE AVERAGE DAILY FLOW CAPACITY, 200 MILLION GALLON PER DAY AND PEAK FLOW, 400 MILLION GALLON PER DAY.

SO IT'S A LARGER FACILITY.

SO OVER THE TIME, WHAT THE STAFF NOTICED OR OPERATOR NOTICED, EVEN THOUGH THEY, THESE PUMP ALL TESTED, UH, IN THE FACTORY MEET THE REQUIREMENT, BUT WHEN THEY IN, AFTER THEY INSTALLED IN THE FIELD OVER THE TIME, THEY COULD NOT MEET THE RATE, THE CAPACITY.