HomeMy WebLinkAbout13 Red Mountain Tank Final Acceptance• In August, 2019 the District entered into a development agreement
with Coldstream Properties, LLC. For certain potable water system
improvements associated with Coldstream (PC-1)
• The water system improvements included:
• Construction of new water distribution pipeline, fire hydrants, valves
and service connections within Phase 3 of the development
• Design and construction of a new 200,000 gallon potable water storage
tank located at the Red Mountain site
• The original development agreement included a provision for a "meet
and confer" between the two parties should the construction bids for
the design and construction of the new water storage tank exceed the
original estimate of $500,000
• Coldstream Properties worked closely with the District in developing
tank construction specifications
• Coldstream Properties received a total bid price from Crosno
Construction in the amount of $869,820
• NOTE: This Bid Total does not include civil engineering, geotechnical
services and inspection costs
• On August 5, 2020, the Board approved an amendment to the
Coldstream Development and Reimbursement Agreement to include
the following reimbursement provisions:
• Following final acceptance by the District, Coldstream Properties would
receive reimbursement of qualifying costs as follows:
1. The first $500,000 in design and construction costs will be reimbursed
from water facilities fees collected from parcels within the project (as
provided in the original development agreement)
2. Actual costs for design and construction of the tank in excess of
$500,000 shall be paid by the District with a lump sum payment
following final acceptance
3. Any change orders exceeding 10% of the original bid amount shall be
approved by the Board
• During the course of the construction project, the following change
orders have been reviewed and approved
September, 2020
Additional Site Grading. and Foundation
Preparation
$55,428.00
June, 2021
Added safety handrail, safety platform and
stilling well fortank level sensor
$26,551.00
July, 2021
Updated Exterior Coating Specifications
far Welded Steel Potable Water Tanks
$14,110.00
• On July 21,
2022 the Board approved a revised
change
order
allowance,
with an increase from 10% ($86,982)
to 12%
($1047379)
• Construction of the new Red Mountain Storage Tank was completed
in the fall of 2021
• Final inspections and testing have been completed and accepted by
the District's water system engineer and operations team
• The new tank has been placed into service
• On April 11, 2022 the District received a written request from
Coldstream Properties for final acceptance of the project and
payment of reimbursable costs
• The total summary of costs in the amount of $1,075,135.37 was
included with the written request (Attachment 3), and has been
reviewed by staff for accuracy
• The total reimbursable costs include
• Civil engineering, geotechnical services and site prep
• Tank design and construction
• Inspection and testing
• The total costs of the project will be reimbursed in the following
manner:
• $575,135.37 Lump sum payment to developer for project costs in excess
of $500,000
• $198,089.48 payment to developer for water facilities fees collected to
date from parcels within the Coldstream project (PC-1)
• $301,910.52 paid in bi-annual installments from future water facilities
fees as collected from parcels within the Coldstream project (PC-1)
• Red Mountain Tank Construction Project was not included in the
Board approved FY22-23 Water Utility Budget, but is included within
the District's Water System Master Plan
• This project is being funded in accordance to the Phase 3 Final
Development and Reimbursement Agreement between the Truckee
Donner Public Utility District and Coldstream Properties, LLC.
• $500,000 in water facilities fees collected from within the Project (PC-1)
• $575,135.37 from Donner Lake Assessment District Improvement Fund
balance
• Following lump sum payment remaining fund balance will be $101,178.28
• Accept the Red Mountain Tank Construction Project as
complete and authorize payment of reimbursable costs in
accordance with the Board approved Phase 3 Final
Development and Reimbursement Agreement Between the
Truckee Donner Public Utility District and Coldstream
Properties, LLC for Construction of Certain Potable Water
System Improvements