03-25-2019 BPU RPT 07 - Laserfiche WebLink

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W A E E R ENERGY I LIFE 'i X RIVERSIDE PUBLIC UTILITIES =�J P U B L I C U T I L I T I F 5 Board Memorandum BOARD OF PUBLIC UTILITIES DATE: MARCH 25, 2019 ITEM NO: 7 SUBJECT: POTABLE WATER EMERGENCY INTERCONNECTION WITH CITY OF NORCO — 275 FEET OF NEW POTABLE WATER PIPELINE — WORK ORDER NO. 1904589 FOR $340,000 — SUPPLEMENTAL APPROPRIATION IN THE AMOUNT OF $340,000 ISSUES: Recommend that the City Council approve Work Order No. 1904589 in the total amount of $340,000 for all design, construction, paving and construction contingency costs for the Potable Water Emergency Interconnection with the City of Norco and authorize a supplemental appropriation for the project in the amount of $340,000. RECOMMENDATIONS: That the Board of Public Utilities recommend that the City Council: 1. Approve Work Order No. 1904589 in the total amount of $340,000 for all design, construction, paving, and construction contingency costs for the Potable Water Emergency Interconnection with the City of Norco; and 2. Authorize a supplemental appropriation in the amount of $340,000 from Water Cash Reserves and appropriate expenditures to the Public Utilities System Expansion Account No. 6230000-470701 to fund the Potable Water Emergency Interconnection with the City of Norco. BACKGROUND: On December 10, 2018, the Board of Public Utilities (Board) recommended that the City Council (Council) approve an agreement for the sale of potable water in emergencies between the cities of Norco and Riverside for a five-year term. On February 12, 2019, the Council subsequently approved the agreement. In order for Riverside and Norco to exchange potable water in emergencies, construction of an interconnection between the two (2) water systems is necessary. The interconnection is proposed at the terminus of an existing Riverside Public Utilities (RPU) 16 -inch water pipeline in Arlington Avenue near the intersection of Crestview Drive (the city limits between Riverside and Norco). As part of the agreement for the sale of potable water in emergencies, Norco will reimburse RPU 50% of the costs to construct the interconnection. Staff will seek reimbursement from Norco at the conclusion of the project once the total costs have been determined.