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WATER 1 ENERGY I LIFE PUBLIC UTILITIES RIVERSIDE PUBLIC UTILITIES Board Memorandum BOARD OF PUBLIC UTILITIES DATE: SEPTEMBER 11, 2023 SUBJECT: CONSTRUCTION OF THE GARFIELD AVENUE WATER MAIN REPLACEMENT PROJECT — WORK ORDER NO. 2402650 IN THE AMOUNT OF $650,000 ISSUE: Consider approval of Work Order No. 2402650 in the total amount of $650,000 for all engineering, construction, paving and construction contingency costs for the Garfield Avenue Water Main Replacement Project. RECOMMENDATION: That the Board of Public Utilities approve Work Order No. 2402650 in the total amount of $650,000 for all engineering, construction, paving and construction contingency costs for the Garfield Avenue Water Main Replacement Project. BACKGROUND: The Water Division received notice that a portion of its water pipeline along Garfield Avenue in the Highgrove Community encroaches onto private property. The pipeline in question is an 8 - inch cast iron water pipeline built in 1957, which Riverside Public Utilities (RPU) acquired from the East Riverside Water Company in 1959. The property where the water pipeline encroaches is being developed for residential housing by a developer and will receive water service from the Riverside Highland Water Company (RHWC). The developer for the housing project requested that RPU's water pipeline be relocated to within the public street right-of-way as soon as possible, as its current location interferes with the developer's ability to construct their required improvements. RPU surveyed the property and confirmed that the pipeline was on private property. This pipeline portion serves one RPU customer, the Highgrove elementary school. To not delay the developer and be liable for damages to the developer, RPU must expedite the relocation of the water pipeline. Staff evaluated several options to expedite the work, such as transferring the service to RHWC, paying the developer to conduct the job, and having RPU complete the work. Moving the water service to RHWC is comparable to RPU's costs to relocate the pipeline but would need approval by the Riverside County Local Agency Formation Commission, which is a lengthy process and would delay the project. The second option is for the developer to perform the work. Although the costs for the developer to perform the work are unknown, they are expected to come at a premium given the urgency to complete the job and would require RPU Board and Council approval. The most economical and expeditious solution is for RPU field forces to relocate the pipeline. The developer understands the steps and time for RPU to receive approval for this type of work but has informed RPU of potential delay claims if RPU does not move the pipeline promptly. As a result, the RPU General Manager authorized staff to commence efforts toward relocating the