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HomeMy WebLinkAboutAgenda Packet - EVWD Board of Directors - 07/10/2024BOARD OF DIRECTORS JULY 10, 2024 East Valley Water District was formed in 1954 and provides water and wastewater services to 108,000 residents within the cities of San Bernardino and Highland, and portions of San Bernardino County. EVWD operates under the direction of a 5­member elected Board. GOVERNING BOARD EXECUTIVE MANAGEMENT James Morales, Jr. Chairman of the Board Michael Moore General Manager/CEO Ronald L. Coats Vice­Chairman Brian W. Tompkins Chief Financial Officer Chris Carrillo Governing Board Member Jeff Noelte Director of Engineering & Operations David E. Smith Governing Board Member Kerrie Bryan Director of Administrative Services Phillip R. Goodrich Governing Board Member Patrick Milroy  Operations Manager Vacant Water Reclamation Manager William Ringland Public Affairs/Conservation Manager Justine Hendricksen District Clerk Board of Directors Regular Meeting July 10, 2024 ­ 5:30 PM 31111 Greenspot Road, Highland, CA 92346 www.eastvalley.org PLEASE NOTE: Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection in the District’s office located at 31111 Greenspot Rd., Highland, during normal business hours. Also, such documents are available on the District’s website at eastvalley.org and are subject to staff’s ability to post the documents before the meeting. Pursuant to Government Code Section 54954.2(a), any request for a disability­related modification or accommodation, including auxiliary aids or services, that is sought in order to participate in the above agendized public meeting should be directed to the District Clerk at (909) 885­4900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE PRESENTATIONS AND CEREMONIAL ITEMS Introduction of Newly Hired Employee Ricardo Larios, Field Service Worker I Design­Build Institute of America Western Pacific Region Awards  Sterling Natural Resource Center Design Excellence Award  Sterling Natural Resource Center Distinction Award ROLL CALL OF BOARD MEMBERS PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the May 22, 2024 Regular Board Meeting Minutes b.Approve Directors' Fees and Expenses for June 2024 3.INFORMATIONAL ITEMS a.Surface Water Supply Update 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Candidate for California Special Districts Association (CSDA) Board of Directors Official Election b.Consider Approval of Amendment No. 2 for the Sterling Natural Resource Center Operational Support Agreement with Anaergia to include additional operations support of the solid waste to energy processes 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report c.Legal Counsel Report d.Board of Directors’ Comments ADJOURN BOARD OF DIRECTORSJULY 10, 2024East Valley Water District was formed in 1954 and provides water and wastewater services to108,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5­member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTJames Morales, Jr.Chairman of the Board Michael MooreGeneral Manager/CEORonald L. CoatsVice­Chairman Brian W. TompkinsChief Financial OfficerChris CarrilloGoverning Board Member Jeff NoelteDirector of Engineering & OperationsDavid E. SmithGoverning Board Member Kerrie BryanDirector of Administrative ServicesPhillip R. GoodrichGoverning Board Member Patrick Milroy Operations ManagerVacantWater Reclamation ManagerWilliam Ringland Public Affairs/Conservation Manager Justine Hendricksen District Clerk Board of Directors Regular Meeting July 10, 2024 ­ 5:30 PM 31111 Greenspot Road, Highland, CA 92346 www.eastvalley.org PLEASE NOTE: Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection in the District’s office located at 31111 Greenspot Rd., Highland, during normal business hours. Also, such documents are available on the District’s website at eastvalley.org and are subject to staff’s ability to post the documents before the meeting. Pursuant to Government Code Section 54954.2(a), any request for a disability­related modification or accommodation, including auxiliary aids or services, that is sought in order to participate in the above agendized public meeting should be directed to the District Clerk at (909) 885­4900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE PRESENTATIONS AND CEREMONIAL ITEMS Introduction of Newly Hired Employee Ricardo Larios, Field Service Worker I Design­Build Institute of America Western Pacific Region Awards  Sterling Natural Resource Center Design Excellence Award  Sterling Natural Resource Center Distinction Award ROLL CALL OF BOARD MEMBERS PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the May 22, 2024 Regular Board Meeting Minutes b.Approve Directors' Fees and Expenses for June 2024 3.INFORMATIONAL ITEMS a.Surface Water Supply Update 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Candidate for California Special Districts Association (CSDA) Board of Directors Official Election b.Consider Approval of Amendment No. 2 for the Sterling Natural Resource Center Operational Support Agreement with Anaergia to include additional operations support of the solid waste to energy processes 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report c.Legal Counsel Report d.Board of Directors’ Comments ADJOURN BOARD OF DIRECTORSJULY 10, 2024East Valley Water District was formed in 1954 and provides water and wastewater services to108,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5­member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTJames Morales, Jr.Chairman of the Board Michael MooreGeneral Manager/CEORonald L. CoatsVice­Chairman Brian W. TompkinsChief Financial OfficerChris CarrilloGoverning Board Member Jeff NoelteDirector of Engineering & OperationsDavid E. SmithGoverning Board Member Kerrie BryanDirector of Administrative ServicesPhillip R. GoodrichGoverning Board Member Patrick Milroy Operations ManagerVacantWater Reclamation ManagerWilliam RinglandPublic Affairs/Conservation ManagerJustine HendricksenDistrict ClerkBoard of Directors Regular MeetingJuly 10, 2024 ­ 5:30 PM31111 Greenspot Road, Highland, CA 92346www.eastvalley.orgPLEASE NOTE:Materials related to an item on this agenda submitted to the Board after distribution of theagenda packet are available for public inspection in the District’s office located at 31111Greenspot Rd., Highland, during normal business hours. Also, such documents are availableon the District’s website at eastvalley.org and are subject to staff’s ability to post thedocuments before the meeting.Pursuant to Government Code Section 54954.2(a), any request for a disability­relatedmodification or accommodation, including auxiliary aids or services, that is sought in orderto participate in the above agendized public meeting should be directed to the District Clerkat (909) 885­4900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE PRESENTATIONS AND CEREMONIAL ITEMS Introduction of Newly Hired Employee Ricardo Larios, Field Service Worker I Design­Build Institute of America Western Pacific Region Awards  Sterling Natural Resource Center Design Excellence Award  Sterling Natural Resource Center Distinction Award ROLL CALL OF BOARD MEMBERS PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the May 22, 2024 Regular Board Meeting Minutes b.Approve Directors' Fees and Expenses for June 2024 3.INFORMATIONAL ITEMS a.Surface Water Supply Update 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Candidate for California Special Districts Association (CSDA) Board of Directors Official Election b.Consider Approval of Amendment No. 2 for the Sterling Natural Resource Center Operational Support Agreement with Anaergia to include additional operations support of the solid waste to energy processes 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report c.Legal Counsel Report d.Board of Directors’ Comments ADJOURN BOARD OF DIRECTORSJULY 10, 2024East Valley Water District was formed in 1954 and provides water and wastewater services to108,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5­member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTJames Morales, Jr.Chairman of the Board Michael MooreGeneral Manager/CEORonald L. CoatsVice­Chairman Brian W. TompkinsChief Financial OfficerChris CarrilloGoverning Board Member Jeff NoelteDirector of Engineering & OperationsDavid E. SmithGoverning Board Member Kerrie BryanDirector of Administrative ServicesPhillip R. GoodrichGoverning Board Member Patrick Milroy Operations ManagerVacantWater Reclamation ManagerWilliam RinglandPublic Affairs/Conservation ManagerJustine HendricksenDistrict ClerkBoard of Directors Regular MeetingJuly 10, 2024 ­ 5:30 PM31111 Greenspot Road, Highland, CA 92346www.eastvalley.orgPLEASE NOTE:Materials related to an item on this agenda submitted to the Board after distribution of theagenda packet are available for public inspection in the District’s office located at 31111Greenspot Rd., Highland, during normal business hours. Also, such documents are availableon the District’s website at eastvalley.org and are subject to staff’s ability to post thedocuments before the meeting.Pursuant to Government Code Section 54954.2(a), any request for a disability­relatedmodification or accommodation, including auxiliary aids or services, that is sought in orderto participate in the above agendized public meeting should be directed to the District Clerkat (909) 885­4900 at least 72 hours prior to said meeting.In order to comply with legal requirements for posting of agenda, only those items filedwith the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesdaymeeting not requiring departmental investigation, will be considered by the Board ofDirectors.CALL TO ORDERPLEDGE OF ALLEGIANCEPRESENTATIONS AND CEREMONIAL ITEMSIntroduction of Newly Hired EmployeeRicardo Larios, Field Service Worker IDesign­Build Institute of America Western Pacific Region Awards Sterling Natural Resource Center Design Excellence Award Sterling Natural Resource Center Distinction AwardROLL CALL OF BOARD MEMBERSPUBLIC COMMENTSAny person wishing to speak to the Board of Directors is asked to complete a SpeakerCard and submit it to the District Clerk prior to the start of the meeting. Each speaker islimited to three (3) minutes, unless waived by the Chairman of the Board. Under the Stateof California Brown Act, the Board of Directors is prohibited from discussing or takingaction on any item not listed on the posted agenda. The matter will automatically bereferred to staff for an appropriate response or action and may appear on the agenda at afuture meeting.1.AGENDAThis agenda contains a brief general description of each item to be considered.Except as otherwise provided by law, no action shall be taken on any item notappearing on the following agenda unless the Board of Directors makes adetermination that an emergency exists or that a need to take immediate action onthe item came to the attention of the District subsequent to the posting of theagenda.a.Approval of Agenda2.APPROVAL OF CONSENT CALENDARAll matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the May 22, 2024 Regular Board Meeting Minutes b.Approve Directors' Fees and Expenses for June 2024 3.INFORMATIONAL ITEMS a.Surface Water Supply Update 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Candidate for California Special Districts Association (CSDA) Board of Directors Official Election b.Consider Approval of Amendment No. 2 for the Sterling Natural Resource Center Operational Support Agreement with Anaergia to include additional operations support of the solid waste to energy processes 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report c.Legal Counsel Report d.Board of Directors’ Comments ADJOURN Agenda Item #2a July 10, 20241 Meeting Date: July 10, 2024 Agenda Item #2a Consent Item Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Approve the May 22, 2024 Regular Board Meeting Minutes RECOMMENDATION That the Board of Directors approve the May 22, 2024 regular Board meeting minutes as submitted. AGENCY GOALS AND OBJECTIVES II - Maintain a Commitment To Sustainability, Transparency, and Accountability B. Utilize Effective Communication Methods REVIEW BY OTHERS This agenda item has been reviewed by Administration. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Justine Hendricksen District Clerk ATTACHMENTS Draft May 22, 2024 Regular Board Meeting Minutes Regular Board Meeting Meeting Date: May 22, 2024 CALL TO ORDER The Chairman of the Board called the meeting to order at 5:30 p.m. PLEDGE OF ALLEGIANCE Director Carrillo led the flag salute. PRESENTATIONS AND CEREMONIAL ITEMS •ACWA Clair A. Hill Agency Award for Excellence The General Manager/CEO announced that the District is the recipient of the Association of California Water Agencies Clair A. Hill Agency Award for Excellence for the Sterling Natural Resource Center. •Introduction of Newly Hired Employees o David Weaver, Wastewater Treatment Plant Operator II o Dallas Reighard, Part-time Water Quality Worker The District Clerk stated that the introduction of newly hired employees will be tabled to a future meeting due to scheduling conflicts. ROLL CALL OF BOARD MEMBERS PRESENT Directors: Carrillo, Coats, Goodrich, Morales, Smith ABSENT None Draft pending approval 1 6 7 7 STAFF Michael Moore, General Manager/CEO; Brian Tompkins, Chief Financial Officer; Kerrie Bryan, Director of Administrative Services; Jason Wolf, Senior Engineer; Justine Hendricksen, District Clerk; Shayla Antrim, Administrative Specialist LEGAL COUNSEL Jean Cihigoyenetche GUESTS Members of the public PUBLIC COMMENTS Chairman Morales declared the public participation section of the meeting open at 5:36 p.m. There being no further written or verbal comments, the public participation section was closed. 1.APPROVAL OF AGENDA a.Approval of Agenda A motion was made by Director Smith, seconded by Director Carrillo, that the Board approve the May 22, 2024 agenda as submitted. The motion carried by the following: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None Absent: None 2.APPROVAL OF CONSENT CALENDAR a.Approve Directors’ Fees and Expenses for April 2024 b.Approve the April 10, 2024 Regular Board Meeting Minutes c.Accept and File Financial Statements for March 2024 d.Adopt Resolution 2024.09 – Investment Policy 7.6 e.Accept and File Investment Report for Quarter Ended April 30, 2024 f.Approve March 2024 Disbursements: Accounts payable disbursements for the period include check numbers 262754 through 262916, bank drafts, and ACH payments in the amount of $10,468,488.37 and $729,397.38 for payroll A motion was made by Director Smith, seconded by Vice Chairman Coats, that the Board approve the Consent Calendar items as submitted. The motion carried by the following: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None 1 6 7 7 Absent: None 3.INFORMATIONAL ITEMS a. Review FY 2024-25 Revenue Projections The General Manager/CEO provided an overview of the budget creation process. The Chief Financial Officer reviewed fiscal year 2024-25 revenue projections. For information only. 4.DISCUSSION AND POSSIBLE ACTION ITEMS a. Consider Adoption of 5-Year Workplan The General Manager/CEO provided information on the creation of the District’s 5-Year Workplan. He reviewed strategic planning elements and the function of the Workplan. A motion was made by Director Goodrich, seconded by Vice Chairman Coats, that the Board of Directors adopt the 5-Year Workplan. The motion was carried by the following vote: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None Abstain: None b. Consider Approval of Contractor for Water Main Relocation in Little Third and Little Tippecanoe with Borden Excavating, Inc. The Senior Engineer provided an overview of the District’s partnership with San Bernardino County on assisting with a street improvement project. A motion was made by Vice Chairman Coats, seconded by Director Goodrich, that the Board of Directors authorize the General Manager/CEO to execute a construction contract with Borden Excavating, Inc. for a not-to-exceed amount of $1,081,956. The motion was carried by the following vote: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None Abstain: None b. Consider Approval of Pretreatment Program Administration Agreement with the City of San Bernardino The General Manager/CEO provided information regarding administering and enforcing a pretreatment program for wastewater discharge that was not originally addressed in the Flow Swap Agreement with the City of San Bernardino executed in 2018. 1 6 7 7 A motion was made by Director Goodrich, seconded by Vice Chairman Coats, that the Board of Directors authorize the General Manager/CEO to execute a Pretreatment Program Administration Agreement with the City of San Bernardino. The motion was carried by the following vote: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None Abstain: None 5.REPORTS a.Board of Directors’ Reports Director Smith reported on the following: May 3 he attended the Sterling Natural Resource Center (SNRC) Valve Turning event; May 14 he attended the Highland City Council meeting; May 15 he attended the District’s special Board meeting; May 15 he attended the San Bernardino Valley Water Conservation District Board meeting; and May 21 he met with the General Manager/CEO to discuss District business. Director Carrillo reported on the following: May 1 he attended the San Bernardino City Council meeting with nothing to report; May 3 he attended the SNRC Valve Turning event; May 7-9 he attended the Association of California Water Agencies Spring Conference; May 20 he met with the General Manager/CEO to discuss District business; and May 21 he participated in the Inland Action meeting where Ms. Lisa Rogan provided an update on the State of the Courts of San Bernardino County. Director Goodrich reported on the following: May 3 he attended the SNRC Valve Turning event; May 7-9 he attended the Association of California Water Agencies Spring Conference; May 14 he attended the Highland City Council meeting where a pennant was presented to the City in recognition of the SNRC Valve Turning; May 21 he met with the General Manager/CEO to discuss District business; and May 21 he attended the Yucaipa Valley Water District Board meeting where Mr. Bob Tincher provided a presentation on the State Water Project. Vice Chairman Coats reported the following: April 30, he attended the North Fork Water Company Annual meeting; May 1, he attended the Regional Recycled Water Ad Hoc Committee meeting where they discussed the regional pipeline and received an update on the salt mitigation plans; May 2, he attended the California Special Districts Association Awards/Nominations Committee meeting where they reviewed the procedures for awards that will be given at the annual conference; May 3, he attended the Sterling Natural Resource Center (SNRC) ribbon cutting/valve turning ceremony for the SNRC to signify the official opening; May 7-9, he attended the Association of California Water Agencies Spring Conference where the District was presented the Clair A. Hill Award; May 13, he attended the Association of San Bernardino County Special Districts meeting where they discussed Association business; May 15, he 1 6 7 7 attended the District’s special Board meeting; May 16, he attended the Yucaipa Valley Water District groundbreaking ceremony for Solar and Water Filtration Expansion projects; May 16, he met with the General Manager/CEO and Chairman to review the agenda and to discuss District business; May 18, he attended the Highland Chamber of Commerce Evening Under the Stars event held at SNRC; May 21, he attended the San Bernardino Valley Municipal Water District Board meeting and presented them with a framed SNRC pennant thanking them for their partnership with the SNRC project; May 21, he attended the Yucaipa Valley Water District Board meeting where a presentation was provided by San Bernardino Valley Municipal Water District on the State Water Project. Chairman Morales reported on the following: May 3 he attended the Sterling Natural Resource Center Valve Turning event; May 8-9 he attended the Association of California Water Agencies Spring Conference where the District was presented the Clair A. Hill Award; May 14 he attended the San Bernardino Valley Municipal Water District Engineering Workshop where they discussed sustainable groundwater management; May 16 he met with the General Manager/CEO to review the agenda and to discuss District business; May 17 he attended the Association of California Water Agencies State Legislative Committee meeting; May 18 he attended the Highland Chamber of Commerce Evening Under the Stars event; and May 21 he attended the San Bernardino Valley Municipal Water District Board meeting where they were presented with an SNRC Valve Turning pennant in appreciation of their partnership with the project. For information only. b. General Manager/CEO Report The General Manager/CEO announced the following: •May is Water Awareness Month. The District has published social media posts highlighting EVWD’s efforts to provide safe and reliable water to customers. •The Highland Chamber of Commerce held their “Evening Under the Stars” event at the Sterling Natural Resource Center on Saturday. •Monday, May 27 - In observance of Memorial Day, District offices and customer service lines will be closed. Customers may pay their bills online, by phone, or at any 7-Eleven store. •Due to the Memorial Day Holiday, the Engineering and Operations Committee meeting has been rescheduled from May 27 to May 28 at 1:30 p.m. •Board and staff will be attending the Design-Build Conference where the District will accept the prestigious Western Pacific Region Design-Build Award for the Sterling Natural Resource Center. 1 6 7 7 •Staff has been notified that the District’s 2023-24 fiscal year budget has received the Government Finance Officers Association (GFOA) Distinguished Budget Presentation Award for the 11th consecutive year. •June 3-14 he will be on vacation and the Director of Engineering and Operations will be acting General Manager/CEO in his absence. •He informed the Board to pick up a framed pennant for the Sterling Natural Resource Center Valve Turning event if they have not yet received one. For information only. c. Legal Counsel Report Nothing to report. d. Board of Directors’ Comments Director Smith thanked the Highland Chamber of Commerce Executive Director for the Evening Under the Stars event and congratulated the Chief Financial Officer and staff for their efforts in obtaining the GFOA Award. Chairman Morales commended staff on receiving the GFOA Award for 11 consecutive years. He wished everyone a nice Memorial Day. For information only. ADJOURN Chairman Morales adjourned the meeting at 7:14 p.m. James Morales, Jr., Board President Michael Moore, Board Secretary Agenda Item #2b July 10, 20241 Meeting Date: July 10, 2024 Agenda Item #2b Consent Item Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Approve Directors' Fees and Expenses for June 2024 RECOMMENDATION That the Board of Directors approve the Directors' Fees and Expenses for June 2024 as submitted. AGENCY GOALS AND OBJECTIVES II - Maintain a Commitment To Sustainability, Transparency, and Accountability A. Practice Transparent and Accountable Fiscal Management REVIEW BY OTHERS This agenda item has been reviewed by Administration. FISCAL IMPACT The fiscal impact associated with this agenda item is $8,534.48 which is included in the current fiscal year budget. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Justine Hendricksen District Clerk ATTACHMENTS June 2024 Director Expense Reports Name: Month / Year:2024 Meeting No.Stipend Written Oral 1 6 /04 236.25 2 6 /05 236.25 3 6 /10 236.25 4 6 /11 236.25 5 6 /12 236.25 6 6 /17 236.25 7 6 /26 236.25 8 9 10 11 12 13 14 15 16 17 18 19 20 Meetings 0.67/mi No. 1 2 3 4 5 6 7 8 9 10 Subtotal TOTAL PAYMENT Date of Approval $0.00 Mileage Miscellaneous Reimbursement Description Inland Action Regular Board Meeting Meeting with General Manager/CEO or Designee City of San Bernardino Council Meeting Expense Type $1,653.75 $0.00 Reimbursement Administration Signature I certify that the above is correct and accurate to the best of my knowledge. Chris Carrillo Date Meeting / Event Description Date Growing Water Smart Workshop Sonoran Institute City of San Bernardino Council Meeting Meeting with General Manager/CEO or Designee $1,653.75 Chris Carrillo June / 0.00 X 7 Report Provided Subtotal Meetings' Stipend Mileage DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET 1 Name: Month / Year:2024 1 2 3 4 5 Chris Carrillo June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. Meeting Date: Event Description: Attended Sonoran Institute Growing Water Smart workshop at University of Redlands. 6 / 4 / 2024 Growing Water Smart Workshop Sonoran Institute Brief Description of Meeting/Event Value to EVWD Meeting Date:6 / 5 / 2024 Event Description:City of San Bernardino Council Meeting Brief Description of Meeting/Event Value to EVWD Meeting Date:6 / 10 / 2024 Event Description:Meeting with General Manager/CEO or Designee Attended via Zoom San Bernardino City Council meeting. Brief Description of Meeting/Event Value to EVWD Phone call with acting CEO Jeff Noelte regarding agenda review. Meeting Date:6 / 11 / 2024 Event Description:Inland Action Brief Description of Meeting/Event Value to EVWD Attended via Zoom Inland Action meeting. Meeting Date:6 / 12 / 2024 Event Description:Regular Board Meeting Brief Description of Meeting/Event Value to EVWD Attended regularly scheduled board meeting. DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 2 Name: Month / Year:2024 6 7 8 9 10 Meeting Date:6 / 17 / 2024 Event Description:Meeting with General Manager/CEO or Designee Brief Description of Meeting/Event Value to EVWD Met with CEO Moore regarding district business. Meeting Date:6 / 26 / 2024 Event Description:City of San Bernardino Council Meeting Brief Description of Meeting/Event Value to EVWD Attended via Zoom San Bernardino City Council meeting. Meeting Date: Event Description: Brief Description of Meeting/Event Value to EVWD Attended via Zoom Inland Action meeting. Meeting Date: Event Description: Brief Description of Meeting/Event Value to EVWD Attended regularly scheduled board meeting. Meeting Date: Event Description: Brief Description of Meeting/Event Value to EVWD Attended engineering and operations committee meeting. Chris Carrillo June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 3 Name: Month / Year:2024 Meeting No.Stipend Written Oral 1 6 /04 236.25 2 6 /05 0.00 3 6 /06 236.25 4 6 /06 0.00 5 6 /10 236.25 6 6 /11 236.25 7 6 /11 0.00 8 6 /12 236.25 9 6 /17 236.25 10 6 /18 236.25 11 6 /18 0.00 12 6 /21 236.25 13 6 /25 236.25 14 6 /25 0.00 15 6 /26 236.25 16 17 18 19 20 Meetings 0.67/mi No. 1 2 3 4 5 6 7 8 9 10 Subtotal TOTAL PAYMENT Date of Approval $0.00 Mileage Miscellaneous Reimbursement Description San Bernardino Valley MWD San Bernardino Valley MWD/Sunrise Ranch Agenda Review San Bernardino Board of Water Commissioners Agenda Review ASBCSD Board Meeting San Bernardino Board of Water Commissioners San Bernardino Valley MWD Regular Board Meeting Expense Type $2,362.50 $0.00 Reimbursement Administration Signature I certify that the above is correct and accurate to the best of my knowledge. Ronald L. Coats Date Meeting / Event Description Regular Board Meeting Date San Bernardino Valley MWD ACWA State Legislative Meeting CSDA Committee Meetings $2,362.50 Ronald L. Coats June / 0.00 X 10 Report Provided Subtotal Meetings' Stipend Mileage Highland Chamberof Commerce ASBCSD General Meeting DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET 1 Name: Month / Year:2024 1 2 3 4 5 Ronald L. Coats June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. Meeting Date: Event Description: They received a report on the Waterman Hydro project that they share a 50/50 cost with San Bernardino City Water department and its almost complete; Signed an agreement to supply West Valley and the County with emergency water if needed at Glen Helen Regional Park; New construction cost for Delta Conveyance estimated at $20.1 Billion, with Valley's share at $563 million and they are 2.8% of the total project 6 / 4 / 2024 San Bernardino Valley MWD Brief Description of Meeting/Event Value to EVWD Meeting Date:6 / 5 / 2024 Event Description:ACWA State Legislative Meeting Brief Description of Meeting/Event Value to EVWD Meeting Date:6 / 6 / 2024 Event Description:CSDA Committee Meetings Attended a legislative committee special meeting to reconsider ACWA's position on AB 460. They voted to move ACWA's position from oppose to watch for this legislation. Brief Description of Meeting/Event Value to EVWD Attended Professional Development and Member Services Committee Meetings where we voted on the various awards to be given out at the CSDA Conference to be held in Palm Desert in September and other committee business. Meeting Date:6 / 6 / 2024 Event Description:Agenda Review Brief Description of Meeting/Event Value to EVWD Met with Jeff Noelte and Chairman Morales to review tonight's agenda and other district business. Meeting Date:6 / 10 / 2024 Event Description:ASBCSD Board Meeting Brief Description of Meeting/Event Value to EVWD Met to discuss our upcoming general meeting and other association business DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 2 Name: Month / Year:2024 6 7 8 9 10 Meeting Date:6 / 11 / 2024 Event Description:San Bernardino Board of Water Commissioners Brief Description of Meeting/Event Value to EVWD They went over the second half of their 2024-2025 budget and approved the entire budget as presented Meeting Date:6 / 11 / 2024 Event Description:San Bernardino Valley MWD Brief Description of Meeting/Event Value to EVWD Attended their Resources and Engineering workshop. They got a project status update for the Sunrise Ranch Master Plan and did a review of their recent State Water Project Tour. Meeting Date:6 / 12 / 2024 Event Description:Regular Board Meeting Brief Description of Meeting/Event Value to EVWD See official board meeting minutes Meeting Date:6 / 17 / 2024 Event Description:ASBCSD General Meeting Brief Description of Meeting/Event Value to EVWD Our guest speaker was Scott Kleinrock from the Chino Basin Water Conservation District who spoke on "Scaling Up Success with Waterwise and California Native Landscapes for Commercial, Municipal and Institutional Properties" Meeting Date:6 / 18 / 2024 Event Description:San Bernardino Valley MWD Brief Description of Meeting/Event Value to EVWD They approved a consulting services agreement and adopted a resolution establishing the appropriations subject to limit for fiscal year 2024-2025. Ronald L. Coats June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 3 Name: Month / Year:2024 11 12 13 14 15 Meeting Date:6 / 18 / 2024 Event Description:San Bernardino Valley MWD/Sunrise Ranch Brief Description of Meeting/Event Value to EVWD Attended their 4th public scoping session on their proposed use for the Sunrise Ranch property Meeting Date:6 / 21 / 2024 Event Description:Agenda Review Brief Description of Meeting/Event Value to EVWD Met with CEO Moore to reviewed the agenda for our board meeting and discussed other district business Meeting Date:6 / 25 / 2024 Event Description:San Bernardino Board of Water Commissioners Brief Description of Meeting/Event Value to EVWD They approved a variety of contracts for services and another with Cal Trans for facilities relocation for State Route 66 work. Meeting Date:6 / 25 / 2024 Event Description:Highland Chamberof Commerce Brief Description of Meeting/Event Value to EVWD Attended their monthly luncheon Meeting Date:6 / 26 / 2024 Event Description:Regular Board Meeting Brief Description of Meeting/Event Value to EVWD See official board meeting minutes Ronald L. Coats June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 4 Name: Month / Year:2024 Meeting No.Stipend Written Oral 1 6 /11 236.25 2 6 /12 236.25 3 6 /17 236.25 4 6 /18 236.25 5 6 /25 236.25 6 6 /26 236.25 7 6 /27 0.00 8 9 10 11 12 13 14 15 16 17 18 19 20 Meetings 0.67/mi No. 1 2 3 4 5 6 7 8 9 10 Subtotal TOTAL PAYMENT Date of Approval Phillip R. Goodrich June / 0.00 X 6 Report Provided Subtotal Meetings' Stipend Mileage Administration Signature I certify that the above is correct and accurate to the best of my knowledge. Phillip R. Goodrich Date Meeting / Event Description Date City of Highland Council Meeting Regular Board Meeting ASBCSD $1,417.50 $1,417.50 $0.00 Reimbursement Mileage Miscellaneous Reimbursement Description Meeting with General Manager/CEO or Designee Chamber of Commerce Event Regular Board Meeting EVWD Event Expense Type $0.00 DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET 1 Name: Month / Year:2024 1 2 3 4 5 Event Description:Chamber of Commerce Event Brief Description of Meeting/Event Value to EVWD Attend Monthly Chamber business luncheon no report Brief Description of Meeting/Event Value to EVWD Attend Monthly Special Districts Meeting Updates on regional conservation efforts and ideas from Chino Valley Conservation District Meeting Date:6 / 18 / 2024 Event Description:Meeting with General Manager/CEO or Designee Brief Description of Meeting/Event Value to EVWD Monthly meeting with CEO Moore District updates and Agenda review Meeting Date:6 / 25 / 2024 Meeting Date:6 / 12 / 2024 Event Description:Regular Board Meeting Brief Description of Meeting/Event Value to EVWD Meeting Date:6 / 17 / 2024 Event Description:ASBCSD Attend Regular Board Meetinr Ref. Mins. This day Phillip R. Goodrich June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. Meeting Date: Event Description: Represent District at Regular meeting of Highland City Council 6 / 11 / 2024 City of Highland Council Meeting Brief Description of Meeting/Event Value to EVWD DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 2 Name: Month / Year:2024 6 7 8 9 10 Phillip R. Goodrich June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. Meeting Date: Event Description: Brief Description of Meeting/Event Value to EVWD Event Description: Brief Description of Meeting/Event Value to EVWD Meeting Date: Event Description: Brief Description of Meeting/Event Value to EVWD Attend Regular board meeting Ref. Mins this day Meeting Date:6 / 27 / 2024 Event Description:EVWD Event Brief Description of Meeting/Event Value to EVWD Celebrate this years top workplace award with staff Meeting Date: Meeting Date:6 / 26 / 2024 Event Description:Regular Board Meeting Brief Description of Meeting/Event Value to EVWD DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 3 Name: Month / Year:2024 Meeting No.Stipend Written Oral 1 6 /04 236.25 2 6 /05 236.25 3 6 /06 0.00 4 6 /06 236.25 5 6 /07 236.25 6 6 /10 236.25 7 6 /11 236.25 8 6 /25 236.25 9 10 11 12 13 14 15 16 17 18 19 20 Meetings 0.67/mi No. 1 2 3 4 5 6 7 8 9 10 Subtotal TOTAL PAYMENT Date of Approval $0.00 Mileage Miscellaneous Reimbursement Description Meeting with General Manager/CEO or Designee ACWA Event Meeting with General Manager/CEO or Designee San Bernardino Valley MWD Chamber of Commerce Event Expense Type $1,653.75 $0.00 Reimbursement Administration Signature I certify that the above is correct and accurate to the best of my knowledge. James Morales, Jr. Date Meeting / Event Description Date San Bernardino Valley MWD ACWA Event San Bernardino Valley MWD $1,653.75 James Morales, Jr.June / 0.00 X 7 Report Provided Subtotal Meetings' Stipend Mileage DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET 1 Name: Month / Year:2024 1 2 3 4 5 James Morales, Jr.June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. Meeting Date: Event Description: State Water Project Report. Regular Baord Meeting. Board report assignment. 6 / 4 / 2024 San Bernardino Valley MWD Brief Description of Meeting/Event Value to EVWD Meeting Date:6 / 5 / 2024 Event Description:ACWA Event Brief Description of Meeting/Event Value to EVWD Meeting Date:6 / 6 / 2024 Event Description:San Bernardino Valley MWD State Legislative Committee meeting. Legislative review. Brief Description of Meeting/Event Value to EVWD Updates to the Climate Adaptation and Resilience Plan. Board report assignment. Policy / Administrative Workshop. No charge, more than one meeting per diem. Meeting Date:6 / 6 / 2024 Event Description:Meeting with General Manager/CEO or Designee Brief Description of Meeting/Event Value to EVWD District/SNRC update. District business. Meeting Date:6 / 7 / 2024 Event Description:ACWA Event Brief Description of Meeting/Event Value to EVWD Discussion upcoming local educational programming. DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 2 Name: Month / Year:2024 6 7 8 9 10 Meeting Date:6 / 10 / 2024 Event Description:Meeting with General Manager/CEO or Designee Brief Description of Meeting/Event Value to EVWD District/SNRC update. Dustrict business. Meeting Date:6 / 11 / 2024 Event Description:San Bernardino Valley MWD Brief Description of Meeting/Event Value to EVWD Workshop Resources / Engineering. Update for the Sunrise Ranch Master Plan. Board report assignment. Meeting Date:6 / 25 / 2024 Event Description:Chamber of Commerce Event Brief Description of Meeting/Event Value to EVWD District public/business outreach. Meeting Date: Event Description: Brief Description of Meeting/Event Value to EVWD Meeting Date: Event Description: Brief Description of Meeting/Event Value to EVWD James Morales, Jr.June / As part of the District's commitment to transparency, please provide a brief description of any meeting/event(s) that you will not be providing a report during the Board meeting at which your Director's Expense Sheet is being approved. DIRECTOR EXPENSE / REIMBURSEMENT ACTIVITY SHEET AB 1234 SUPPLEMENTAL REPORT FORM 3 Agenda Item #3a July 10, 20241 Meeting Date: July 10, 2024 Agenda Item #3a Informational Item 1 1 3 4 Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Surface Water Supply Update RECOMMENDATION This agenda item is for informational purposes only, no action required. BACKGROUND / ANALYSIS The District has a diverse water supply that includes both local and imported water supplies. Water supplies include both groundwater and surface water to improve reliability during a drought or major disaster. Surface water is treated at the District’s Plant 134 and can blend both local and imported surface water supplies. The local surface water supply to Plant 134 has been impaired over the past year and the operation of Plant 134 has been adjusted accordingly. Approximately 25% or 4000 acre-feet per year of the District’s water supply comes from surface water treated at Plant 134. The Plant was first placed in operation in 1996 to treat water from the local surface water supply of the Santa Ana River. The facility includes filters, disinfection and an effluent pump station. Two major upgrades were completed to improve water quality and the ability to treat the local and imported water supply. The most recent upgrade was completed in 2023 where granular activated carbon (GAC) was added to reduce the organics and disinfection byproducts in the treated water. Plant 134 has been a reliable water supply for the District due to its ability to treat water from two surface water sources. The primary source of supply is the Santa Ana River through the North Fork Pipeline. The secondary supply is imported water from the State Water Project delivered by San Bernardino Valley Municipal Water District. A portion of the Santa Ana River is diverted into a Southern California Edison (SCE) pipeline (highline) around the Seven Oaks dam to a hydroturbine plant downstream of the dam. The highline provides cleaner and more reliable water to the hydroturbine, Bear Valley Mutual Water Company and North Fork Pipeline. The Santa Ana River supply has typically been a reliable source of water until 2023. Tropical Storm Hillary in Spring 2023 created high river flows that damaged the highline upstream of the dam. The damaged highline is at a river crossing upstream of the Seven Oaks Dam. The North Fork Mutual Water Company has senior water rights to the water from the Agenda Item #3a July 10, 20242 Meeting Date: July 10, 2024 Agenda Item #3a Informational Item 1 1 3 4 dam that is equivalent to approximately 25% of the District’s annual water supply. Since the highline has been damaged, Santa Ana River supply to the North Fork pipeline has been supplied by water through the dam. Water from the dam is poor water quality and can not be entirely supplied to Plant 134. Most of the water is diverted back to the Santa Ana River for recharge. North Fork pipeline water supplies have been greatly reduced until the highline is repaired. Plant 134 supply has mostly been imported State Water Project and blended with the Santa Ana River water for the past year. Table 1 illustrates the blend at Plant 134 of imported and local surface water. The highline is currently owned and operated by SCE. They are in the process of disposing the Santa Ana River hydroturbine assets including the highline. San Bernardino Valley Municipal Water District is leading a consortium to acquire the hydroturbine assets and have received a preliminary agreement with SCE to start the planning process for the repairs, which, will likely take 1-3 years to complete. District staff has been developing a plan to ensure water reliability from Plant 134. A presentation will be provided by staff that provides background on Plant 134 supplies and the damaged highline. AGENCY GOALS AND OBJECTIVES IV - Promote Planning, Maintenance and Preservation of District Resources B. Enhance Planning Efforts that Respond to Future Demands II - Maintain a Commitment To Sustainability, Transparency, and Accountability 0% 20% 40% 60% 80% 100% JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN North Fork Plant 134 SWP Purchase Table 1 FY 23/24 Plant 134 Source Water Agenda Item #3a July 10, 20243 Meeting Date: July 10, 2024 Agenda Item #3a Informational Item 1 1 3 4 D. Provide Quality Information to Encourage Community Engagement C. Dedicate Efforts Toward System Maintenance and Modernization REVIEW BY OTHERS This agenda item has been reviewed by Administration. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Jeff Noelte Director of Engineering and Operations ATTACHMENTS No attachments Supplemental Information The following item(s) were not included in the posted agenda packet and were presented at the July 10, 2024 Regular Board of Directors meeting: Informational Items 3.a. Surface Water Supply Update Presentation Michael Moore, General Manager/CEO July 10, 2024 SURFACE WATER SUPPLY UPDATE 2 EVWD TYPICAL WATER SUPPLY 20% Surface Water 80% Groundwater 3 $0 $50 $100 $150 $200 $250 $300 Co s t ( $ / A F ) VARIABLE COST OF WATER SUPPLY Groundwater ImportedSA River 4 FY 23/24 PLANT 134 SOURCE WATER 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN North Fork Plant 134 SWP Purchase PLANT 134 MILESTONES 1996 Plant 134 was constructed with mixed media filteration 2010 Plant was upgraded to Ultra Membrane Filtration 2018 Hydro Electric Generation Plant was completed 2023 GAC (Granular Activated Carbon) was added 6 PLANT 134 TREATMENT PROCESS Membrane Filtration Effluent Header Six Granular Activated Carbon Units (GAC)ReservoirStrainers 7 Damaged SCE Pipeline N 8 SEVEN OAKS DAM: MUDDY WATER 9 Ensuring Resilient Drinking Water Supply QUESTIONS? Agenda Item #4a July 10, 20241 Meeting Date: July 10, 2024 Agenda Item #4a Discussion Item Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Consider Candidate for California Special Districts Association (CSDA) Board of Directors Official Election RECOMMENDATION That the Board of Directors identify the candidate to be selected on behalf of the East Valley Water District for the CSDA Board of Directors Election Ballot, Southern Network, Seat A, for the term 2025-2027. BACKGROUND / ANALYSIS California Special Districts Association (CSDA) is a 501c(6), not-for-profit association that was formed in 1969 to promote good governance and improved core local services through professional development, advocacy, and other services for all types of independent special districts. For over 40 years, CSDA has been offering its members cost-efficient programs and representation at the State Capitol with a membership of over 1,000 organizations. CSDA provides education, insurance programs, industry-wide litigation, and legislative advocacy. The CSDA has been valuable to East Valley Water District with many of its training and insurance programs. The CSDA Board of Directors is the governing body responsible for all policy decisions related to CSDA’s member services, legislative advocacy, education and resources. CSDA is governed by an 18-member Board of Directors elected by mail ballots. The Board consists of three directors from each of the six networks throughout California. Each Regular Member (district) in good standing shall be entitled to vote for one (1) person to represent its Network in Seat A, Southern Network. The candidates include: • Jo MacKenzie, Director, Vista Irrigation District* • Jason Dafforn, General Manager, Valley Sanitary District • Rodd Leja, Director, Jurupa Area Recreation & Park District *Incumbent Ballots are due by electronic vote by July 26, 2024, and will be counted and verified on July 29/30, 2024. Agenda Item #4a July 10, 20242 Meeting Date: July 10, 2024 Agenda Item #4a Discussion Item AGENCY GOALS AND OBJECTIVES I - Implement Effective Solutions Through Visionary Leadership C. Strengthen Regional, State and National Partnerships REVIEW BY OTHERS This agenda item has been reviewed by Administration. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Justine Hendricksen District Clerk ATTACHMENTS Candidate Statements and Information Sheets 2024 CSDA BOARD CANDIDATE INFORMATION SHEET The following information MUST accompany your nomination form and Resolution/minute order: Name:JO MacKENZIE District/Company: Vista Irrigation District, CSDA District of Distinction, Platinum Level Title: Director, Certificate in Special District Governance Elected/Appointed/Staff:Elected Length of Service with District: 32 years 1. Do you have current involvement with CSDA (such as committees, events, workshops, conferences, Governance Academy, etc.): CSDA Board of Directors, President 2011, Vice President 2010, Treasurer 2008-2009 CSDA Finance Corporation Board of Directors, 2007-present; President 2012, 2013, 2015- present Special District Leadership Foundation Board of Director, Treasurer, currently Vice President Fiscal and Audit Committees, rewrote ‘Treasurer Job Description’; Membership Committee 2011- present; Chair 2020-2021, 2022 and 2024 Legislative Committee 2004-present; Chair, 2006-2010 and 2012 CSDA San Diego Chapter, Board of Directors, 1993-present; President 1998-2000; presently serve on the Chapter Executive Board Attend all Annual Conferences and Legislative Days 2. Have you ever been associated with any other state-wide associations (CSAC, ACWA, League, etc.): ACWA: Past Board Director; Local Government, Chair 2014-2015 and Membership Committee ACWA Region 10 Board of Directors, Vice Chair, Alternate Chair, Director 1997-2010 The California Association of Local Agency Formation Commissions (CALAFCO), Board Member and Legislative Committee member, 2017–2023 3. List local government involvement (such as LAFCO, Association of Governments, etc.): San Diego LAFCO, 1994-present: Commission Chair 2018 & 2019; Alternate 5 years; Special District Advisory Committee 14 years, Chair 2005-2009 City of San Marcos Planning and Traffic Commissions Personally initiated the City of San Marcos Budget Review Committee in 1980, Chair 1996-2006 Resource Conservation District of Greater San Diego County, Association Director, 2016 to present 4. List civic organization involvement and recognitions Special District Official of the Year by PublicCEO CSDA Legislative Advocate of the Year, 2011 Graduate of CSDA’s Special District Leadership Academy San Marcos Chamber of Commerce, Lifetime Ambassador Graduate of Leadership 2000, Cal State San Marcos Vista Community Development Associates, Treasurer Soroptimist International RE-ELECT JOO MACKENZIE PROVEN EXPERIENCE LEADING SPECIAL DISTRICTS • Dedicated • Fiscally Responsible • Committed to Special Districts It has been a privilege and honor to serve on the CSDA Board of Directors (Board) representing the Southern Network. Serving on the Board requires a commitment of time; I am in Sacramento at least twice a month for CSDA meetings. I have served as President, Vice President and Treasurer, and served as a Chair and/or member of the various committees. In 2010 and 2011, respectively, I was recognized as CSDA’s Legislative Advocate of the Year and by PublicCEO as Special District Official of the Year. During my tenure on the CSDA Board, I have formed working relationships throughout the Network and State that have given me an insight regarding the needs of special districts. Based on these insights and input from other CSDA directors, CSDA has worked to provide webinars at no cost to its members, begun offering the leadership academy three times a year and on-line, and the SDLF Board eliminated budget limits for scholarships. I serve on the CSDA and SDLF Boards, and I am proud of the collaboration that allows all special districts to take advantage of CSDA’s programs. During my term, I have been committed to continue building on the present foundation of CSDA’s educational programs, state and federal legislative advocacy, and public outreach. CSDA is now the “voice of Special Districts”, “the third leg of local government”, and the ‘go-to’ association for legislative issues. My proven leadership and public service experience, commitment to fiscal responsibility, and comprehensive LAFCO and special district knowledge make me the most qualified candidate to represent the Southern Network. I have a true passion for and proven experience in leading Special Districts. I would be honored to continue serving on the CSDA Board as your Southern Network Director. I am asking for your Vote. ELECTRONIC VOTING ENDS JULY 26 AT 5:00 P.M. 50+ CSDA EDUCATIONAL OPPORTUNITIES ARE LISTED ON CSDA’S HOME PAGE +BTPO%BGGPSO 7BMMFZ4BOJUBSZ%JTUSJDU (FOFSBM.BOBHFS 4UBGG ZFBS "UUFOE$4%"$POGFSFODFBOE-FBEFSTIJQ"DBEFNZ "$8" $"4" /" %FTFSU3FDSFBUJPO'PVOEBUJPO#PBSEPG%JSFDUPST My name is Jason Dafforn. I am a Licensed Civil Engineer in the State of California with over 30 years of experience in the water and wastewater industry. I have 17 years of experience as a utility manager working for California local governments, including over eight years working for a special district. California's special districts play a crucial role in the daily lives of millions, providing essential services ranging from water and sanitation to fire protection, healthcare, and many others. The California Special District Association (CSDA) provides resources, training, state and federal advocacy, and professional development to help special districts across the State flourish. Today, special districts are confronted with unprecedented challenges. As a special district manager, I have gained a comprehensive understanding of these challenges, which positions me to provide valuable guidance and develop effective resolutions. My fresh ideas and unique perspective will enable the Board of Directors to proactively address current issues and future challenges, keeping CSDA ahead of the curve. Together, we hold the power to shape the future and provide exceptional resources for special districts in California. By ensuring they remain at the forefront of delivering essential services and improving the quality of life for all residents, we can make a significant impact. Let us build a stronger, more resilient future for California's special districts and the communities they serve. Agenda Item #4b July 10, 20241 Meeting Date: July 10, 2024 Agenda Item #4b Discussion Item 1 1 3 3 Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Consider Approval of Amendment No. 2 for the Sterling Natural Resource Center Operational Support Agreement with Anaergia to include additional operations support of the solid waste to energy processes RECOMMENDATION That the Board of Directors authorize the General Manager/CEO to execute an amendment to Agreement 2021.14 for Professional Services and Operational Support of SNRC with Anaergia Technologies, LLC. to increase the maximum annual operational support to $3,232,409. BACKGROUND / ANALYSIS On December 8, 2021, the Board authorized a Professional Services Agreement with Anaergia for Sterling Natural Resource Center (SNRC) Operational Support. That agreement includes procurement of consumables for plant operations, maintenance of equipment related to solids and biogas treatment, and the management of the feedstock program for high strength organics for co-digestion. In addition, the Agreement includes service management fees for administrative costs to produce 3.0 megawatts of renewable energy. The term of the agreement was amended to 13 years with Amendment No. 1 on May 24, 2023. The original scope and budget for the operational support was developed prior to construction of the solid waste to energy systems at SNRC. All operational support is done on a time and materials basis. After reviewing the original scope of work, the District requested Anaergia to provide a revised budget for all the plant consumables, chemicals, replacement materials for the solid waste to energy processes, preventative maintenance of all the solid waste to energy processes included in Exhibit C, and full- time on-site labor to ensure the processes are operated effectively. District staff will still be responsible for operational control of the solid waste to energy processes and for maintaining the remainder of the plant. The solid waste to energy processes include specialized equipment to dewater solids and convey them to digesters. High strength organics will be trucked into SNRC and also processed in the digesters. The gas from the digesters will be processed for fueling the combustion turbine engines that will create electricity. The equipment requires strict maintenance schedules and specialized knowledge for operation. Leveraging Anaergia’s resources is more cost-effective than hiring additional District staff. The District would Agenda Item #4b July 10, 20242 Meeting Date: July 10, 2024 Agenda Item #4b Discussion Item 1 1 3 3 be required to hire specialized mechanics and operators of gas processing equipment if there were no contract operations support. Anaergia is currently providing operation and maintenance support for a similar system in the High Desert. Utilizing trained operators will improve preventative maintenance of the equipment and utilize their procurement contracts for economies of scale. The scope of work is included in Exhibit A. The scope of work includes the coordination of feedstock delivery of high strength organics to SNRC. Anaergia will receive 20% of the revenue for coordinating and billing the delivery of high strength organic feedstock. The District will be able to reevaluate the level of services used each year. As the plant operation becomes more routine, District staff may start providing more operational, procurement, and maintenance services for the solid waste to energy processes. Amending the existing agreement avoids gaps in the maintenance and operation of the new treatment processes. AGENCY GOALS AND OBJECTIVES I - Implement Effective Solutions Through Visionary Leadership A. Identify Opportunities to Optimize Natural Resources C. Strengthen Regional, State and National Partnerships IV - Promote Planning, Maintenance and Preservation of District Resources A. Develop Projects and Programs to Ensure Safe and Reliable Services B. Enhance Planning Efforts that Respond to Future Demands REVIEW BY OTHERS This agenda item has been reviewed by the executive management team. FISCAL IMPACT The original service contract amount of $2,240,312.33 is included in the FY 2024/25 budget. The increased budget of $992,097 is not included in the FY 2024/25 budget. If approved, the budget will be amended to account for the increased expenses. District staff anticipates lower power and capital costs should offset most of the increased expenses with the amendment. Agenda Item #4b July 10, 20243 Meeting Date: July 10, 2024 Agenda Item #4b Discussion Item 1 1 3 3 Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Jeff Noelte Director of Engineering and Operations ATTACHMENTS 2021.14 SNRC Anaergia Operations Support Services Agreement Amendment No. 2 Agreement Amendment No. 2 Exhibits A & B Agreement for Services 03/16 1 EVWD Anaergia SNRC Support Services Contract December 2021 AGREEMENT NO 2021.14 EAST VALLEY WATER DISTRICT AND ANAERGIA TECHNOLOGIES, LLC FOR FOR PROFESSIONAL SERVICES AND OPERATIONAL SUPPORT THIS AGREEMENT is made this 8th day of December 2021, by and between the EAST VALLEY WATER DISTRICT, a County Water District organized and operating pursuant to California Water Code Section 30000 et seq. (hereinafter referred to as the “DISTRICT”), and Anaergia Technologies, LLC, a limited liability company (hereinafter referred to as “CONSULTANT”). RECITALS WHEREAS, Consultant retains specialized skill, knowledge and expertise in the field of organics and food waste diversion and the operation of anaerobic co-digestion and District retains no such skill, knowledge and expertise nor experience in operating anaerobic digesters; and WHEREAS, the DISTRICT desires to contract with CONSULTANT to provide professional support services for the Sterling Natural Resources Center Operational Support (hereinafter referred to as “Project”); and WHEREAS, CONSULTANT is willing to contract with the DISTRICT to provide such services; and WHEREAS, CONSULTANT holds itself as duly licensed, qualified, and capable of performing said services; and Agreement for Services 03/16 2 EVWD Anaergia SNRC Support Services Contract December 2021 WHEREAS, this Agreement establishes the terms and conditions for the DISTRICT to retain CONSULTANT to provide the services described herein for the Project. COVENANTS NOW, THEREFORE, in consideration of the faithful performance of the terms and conditions set forth herein, the parties hereto agree as follows: ARTICLE I ENGAGEMENT OF CONSULTANT AND AUTHORIZATION TO PROCEED 1.1 ENGAGEMENT: The DISTRICT hereby engages CONSULTANT, and CONSULTANT hereby accepts the engagement, to perform certain specialized and professional services described in Section 2.1 of this Agreement for the term set forth in Section 6.7 of this Agreement. 1.2 AUTHORIZATION TO PROCEED: Authorization for CONSULTANT to proceed with all or a portion of the work described in Section 2.1 of this Agreement will be granted in writing by the DISTRICT as soon as both parties sign the Agreement and all applicable insurance and other security documents required pursuant to Section 6.3 of this Agreement are received and approved by the DISTRICT. CONSULTANT shall not proceed with said work until so authorized by the DISTRICT, and shall promptly commence work upon receipt of the Notice to Proceed. 1.3 NO EMPLOYEE RELATIONSHIP: CONSULTANT shall perform the services provided for herein as an independent contractor, and not as an employee of the DISTRICT. CONSULTANT is not to be considered an agent or employee of the DISTRICT for any purpose, and shall not be entitled to participate in any pension plans, insurance coverage, bonus, stock, or similar benefits that the DISTRICT provides for its employees. CONSULTANT shall indemnify the DISTRICT for any tax, retirement contribution, social security, overtime payment, or workers’ compensation payment which the DISTRICT may be required to make on behalf of CONSULTANT or any employee of CONSULTANT for work performed under this Agreement. Agreement for Services 03/16 3 EVWD Anaergia SNRC Support Services Contract December 2021 ARTICLE II SERVICES OF CONSULTANT 2.1 SCOPE OF SERVICES: The scope of professional services to be performed by the CONSULTANT under this Agreement relate specifically to organics and food waste diversion and are described in the Scope of Work attached hereto as Exhibit A and incorporated herein by this reference (“Scope of Work”), and shall, where not specifically addressed, include all related services ordinarily provided by the CONSULTANT under same or similar circumstances and/or otherwise necessary to satisfy the requirements of Section 3.3 of this Agreement. In case of conflict between the terms of this Agreement and the provisions of the Scope of Work, this Agreement shall govern. 2.2 DEPARTMENT OF INDUSTRIAL RELATIONS COMPLIANCE: This project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the California Public Contract Code, or engage in the performance of any contract for public work, as defined by the California Labor Code, unless currently registered and qualified to perform public work pursuant to Section 1725.5 of the California Labor Code. 2.3 PREVAILING WAGES: In accordance with the provisions of the California Labor Code, CONSULTANT shall secure the payment of compensation to employees. To the extent required by the California Labor Code, CONSULTANT shall pay not less than the prevailing rate of per diem wages as determined by the Director, Department of Industrial Relations, and State of California. Copies of such prevailing rate of per diem wages are on file at the DISTRICT’s office, which copies will be made available to any interested party upon request. CONSULTANT shall post a copy of such determination at each job site. If applicable, CONSULTANT shall forfeit to the DISTRICT the amount of the penalty set forth in Labor Code Section 1777.7(b), or any subsequent amendments thereto, for each calendar day, or portion thereof, for each worker paid less than the specified prevailing rates for such work or craft in which such worker is employed, whether paid by CONSULTANT or by any subcontractor. 2.4 HOURS AND WORKING CONDITIONS: The DISTRICT is a public entity in the State of California and is subject to the provisions of the Government Code and the Labor Code Agreement for Services 03/16 4 EVWD Anaergia SNRC Support Services Contract December 2021 of the State. It is stipulated and agreed that all provisions of law applicable to public contracts are a part of this Agreement to the same extent as though set forth herein and will be complied with by CONSULTANT. CONSULTANT shall comply with all applicable provisions of the California Labor Code relating to working hours and the employment of apprentices on public works projects. CONSULTANT shall, as a penalty to the DISTRICT, forfeit $25.00 for each worker employed in the execution of this Agreement by CONSULTANT or by any subcontractor, for each calendar day during which such worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week, unless such worker received compensation for all hours worked in excess of 8 hours at not less than 1½ times the basic rate of pay. ARTICLE III RESPONSIBILITIES OF THE DISTRICT AND OF CONSULTANT 3.1 DUTIES OF THE DISTRICT: The DISTRICT, without cost to CONSULTANT, will provide all pertinent information necessary for CONSULTANT’s performance of its obligations under this Agreement that is reasonably available to the DISTRICT unless otherwise specified in the Scope of Work, in which case the CONSULTANT is to acquire such information. The DISTRICT does not guarantee or ensure the accuracy of any reports, information, and/or data so provided. To the extent that any reports, information, and/or other data so provided was supplied to the DISTRICT by persons who are not employees of the DISTRICT, any liability resulting from inaccuracies and/or omissions contained in said information shall be limited to liability on behalf of the party who prepared the information for the DISTRICT. 3.2 REPRESENTATIVE OF DISTRICT: The DISTRICT will designate Water Reclamation Manager as the person to act as the DISTRICT’s representative with respect to the work to be performed under this Agreement. Such person will have complete authority to transmit instructions, receive information, and interpret and define the DISTRICT’s policies and decisions pertinent to the work. In the event the DISTRICT wishes to make a change in the DISTRICT’s representative, the DISTRICT shall notify the CONSULTANT of the change in writing. 3.3 DUTIES OF CONSULTANT: CONSULTANT shall perform the Project work in such a manner as to fully comply with applicable professional standards of care, including professional quality, technical accuracy, timely completion, and other services furnished and/or work undertaken by CONSULTANT pursuant to this Agreement. The CONSULTANT shall have Agreement for Services 03/16 5 EVWD Anaergia SNRC Support Services Contract December 2021 control over the means and methods of the work and cause all work and deliverables to conform to all applicable federal, state, and local laws and regulations. 3.4 APPROVAL OF WORK: The DISTRICT’s approval of work or materials furnished hereunder shall not in any way relieve CONSULTANT of responsibility for the technical adequacy of its work. Neither the DISTRICT’s review, approval or acceptance of nor payment for any of the services shall be construed to operate as a waiver of any rights under this Agreement or of any cause of action arising out of the performance of this Agreement. Where approval by the DISTRICT is indicated in this Agreement, it is understood to be conceptual approval only and does not relieve the CONSULTANT of responsibility for complying with all laws, codes, industry standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry standards, or the willful misconduct of the CONSULTANT or its subcontractors. CONSULTANT’s obligation to defend, indemnify, and hold harmless the DISTRICT, and its directors, officers, employees and agents as set forth in Section 6.9 of this Agreement also applies to the actions or omissions of the CONSULTANT or its subcontractors as set forth above in this paragraph. ARTICLE IV PAYMENTS TO CONSULTANT 4.1 PAYMENT: The DISTRICT will pay CONSULTANT for work performed under this Agreement, which work can be verified by the DISTRICT, on the basis of the following: CONSULTANT shall exercise its good faith best efforts to facilitate a full and clear definition of the scope of all assigned work so that the amount set forth in Section 4.3 of this Agreement will cover all tasks necessary to complete the work. The amount set forth in Section 4.3 of this Agreement is the maximum compensation to which CONSULTANT may be entitled for the performance of services to complete the work for the Project, unless the Scope of Work or time to complete the work is changed by the DISTRICT in writing in advance of the work to be performed thereunder. Adjustments in the total payment amount shall only be allowed pursuant to Section 6.4 of this Agreement. In no event shall CONSULTANT be entitled to compensation greater than the amount set forth in Section 4.3 of this Agreement where changes in the Scope of Work or the time for performance are necessitated by the negligence of CONSULTANT or any subcontractor performing work on the Project. Agreement for Services 03/16 6 EVWD Anaergia SNRC Support Services Contract December 2021 4.2 PAYMENT TO CONSULTANT: Payment will be made by the DISTRICT within thirty (30) calendar days after receipt of an invoice from CONSULTANT, provided that all invoices are complete and product and services are determined to be of sufficient quality by the DISTRICT and in accordance with this Agreement. CONSULTANT shall invoice DISTRICT monthly for services performed under this Agreement. In the event that a payment dispute arises between the parties, CONSULTANT shall provide to the DISTRICT full and complete access to CONSULTANT’s labor cost records and other direct cost data, and copies thereof if requested by the DISTRICT. 4.3 ESTIMATED CHARGES: The total estimated charges for all work under this Agreement are $2,240,312.33 and such amount is the anticipated annual costs as described in Exhibit B. The total estimated charges stated herein constitute the total amount agreed to, any additional costs in excess of the total estimated charges (i.e. increased costs for assumed pass through consumables) will be presented to the District’s Representative for approval before increased charges for consumables are rendered. 4.4 COST FOR REWORK: CONSULTANT shall, at no cost to the DISTRICT, prepare any necessary rework occasioned by CONSULTANT’s negligent act or omission or otherwise due substantially to CONSULTANT’s fault within ninety (90) days of the District becoming aware of the act or omission. ARTICLE V COMPLETION SCHEDULE 5.1 TASK SCHEDULE: The work is anticipated to be completed in accordance with the schedule contained in the Scope of Work. 5.2 TIME OF ESSENCE: CONSULTANT shall perform all services required by this Agreement in a prompt, timely, and professional manner in accordance with the above schedule. Time is of the essence in this Agreement. ARTICLE VI GENERAL PROVISIONS Agreement for Services 03/16 7 EVWD Anaergia SNRC Support Services Contract December 2021 6.1 COMPLIANCE WITH FEDERAL, STATE, AND LOCAL LAWS: CONSULTANT shall at all times observe all applicable provisions of Federal, State, and Local laws and regulations including, but not limited to, those related to Equal Opportunity Employment. 6.2 SUBCONTRACTORS AND OUTSIDE CONSULTANTS: No subcontract shall be awarded by CONSULTANT if not identified as a subcontractor via a notice to the DISTRICT and approved by the DISTRICT to provide desired services. CONSULTANT shall be responsible for payment to subcontractors used by them to perform the services under this Agreement. If CONSULTANT subcontracts any of the work to be performed, CONSULTANT shall be as fully responsible to the DISTRICT for the performance of the work, including errors and omissions of CONSULTANT’s subcontractors and of the persons employed by the subcontractor, as CONSULTANT is for the acts and omissions of persons directly employed by the CONSULTANT. Nothing contained in this Agreement shall create any contractual relationship between any subcontractor of CONSULTANT and the DISTRICT. CONSULTANT shall bind every subcontractor and every subcontractor of a subcontractor to the terms of this Agreement that are required by applicable law. 6.3 INSURANCE: CONSULTANT shall secure and maintain in full force and effect, until the satisfactory completion and acceptance of the Project by DISTRICT, such insurance as will protect it and the DISTRICT in such a manner and in such amounts as set forth below. The premiums for said insurance coverage shall be paid by the CONSULTANT. The failure to comply with these insurance requirements may constitute a material breach of this Agreement, at the sole discretion of the DISTRICT. (a) Certificates of Insurance: Prior to commencing services under this Agreement, and in any event no later than ten (10) calendar days after execution of this Agreement, CONSULTANT shall furnish DISTRICT with Certificates of Insurance and endorsements verifying the insurance coverage required by this Agreement is in full force and effect. The DISTRICT reserves the right to require complete and accurate copies of all insurance policies required under this Agreement. (b) Required Provisions: The insurance policies required by this Agreement shall include the following provisions or have them incorporated by endorsement(s): (1) Primary Coverage: The insurance policies provided by CONSULTANT shall be primary insurance and any self-insured retention and/or insurance carried by or available to the DISTRICT or its employees shall be excess and non-contributory coverage so that any self-insured retention and/or Agreement for Services 03/16 8 EVWD Anaergia SNRC Support Services Contract December 2021 insurance carried by or available to the DISTRICT shall not contribute to any loss or expense under CONSULTANT’s insurance. (2) Additional Insured: The policies of insurance provided by CONSULTANT, except Workers’ Compensation and Professional Liability, shall include as additional insureds: the DISTRICT, its directors, officers, employees, and agents when acting in their capacity as such in conjunction with the performance of this Agreement. Such policies shall contain a “severability of interests” provision, also known as “Cross liability” or “separation of insured”. (3) Cancellation: Each certificate of insurance and insurance policy shall provide that the policy may not be non-renewed, canceled (for reasons other than non-payment of premium) or materially changed without first giving thirty (30) days advance written notice to the DISTRICT, or ten (10) days advance written notice in the event of cancellation due to non-payment of premium. (4) Waiver of Subrogation: The insurance policies provided by CONSULTANT shall contain a waiver of subrogation against DISTRICT, its directors, officers, employees and agents for any claims arising out of the services performed under this Agreement by CONSULTANT. (5) Claim Reporting: CONSULTANT shall not fail to comply with the claim reporting provisions or cause any breach of a policy condition or warranty of the insurance policies required by this Agreement that would affect the coverage afforded under the policies to the DISTRICT. (6) Deductible/Retention: If the insurance policies provided by CONSULTANT contain deductibles or self-insured retentions, any such deductible or self-insured retention shall not be applicable with respect to the coverage provided to DISTRICT under such policies. CONSULTANT shall be solely responsible for any such deductible or self-insured retention and the DISTRICT, in its sole discretion, may require CONSULTANT to secure the payment of any such deductible or self-insured retention by a surety bond or an irrevocable and unconditional letter of credit. (7) Consultant’s Subcontractors: CONSULTANT shall furnish separate certificates of insurance and policy endorsements for each subcontractor Agreement for Services 03/16 9 EVWD Anaergia SNRC Support Services Contract December 2021 verifying that the insurance for each subcontractor complies with reasonably similar insurance requirements applicable to CONSULTANT under this Agreement. (c) Insurance Company Requirements: CONSULTANT shall provide insurance coverage through insurers that have at least an “A” Financial Strength Rating and a “VII” Financial Size Category in accordance with the current ratings by the A. M. Best Company, Inc. as published in Best’s Key Rating Guide or on said company’s web site. In addition, any and all insurers must be admitted and authorized to conduct business in the State of California and be a participant in the California Insurance Guaranty Association, as evidenced by a listing in the appropriate publication of the California Department of Insurance. (d) Policy Requirements: The insurance required under this Agreement shall meet or exceed the minimum requirements as set forth below: (1) Workers’ Compensation: CONSULTANT shall maintain Workers’ Compensation insurance as required by law in the State of California to cover CONSULTANT’s obligations as imposed by federal and state law having jurisdiction over CONSULTANT’s employees and Employers’ Liability insurance, including disease coverage, of not less than $1,000,000. (2) General Liability: CONSULTANT shall maintain Comprehensive General Liability insurance with a combined single limit of not less than $2,000,000 per occurrence or claim and $2,000,000 aggregate. The policy shall include, but not be limited to, coverage for bodily injury, property damage, personal injury, products, completed operations and blanket contractual to cover, but not be limited to, the liability assumed under the indemnification provisions of this Agreement. In the event the Comprehensive General Liability insurance policy is written on a “claims made” basis, coverage shall extend for two years after the satisfactory completion and acceptance of the Project by DISTRICT. (3) Automobile Liability: CONSULTANT shall maintain Commercial Automobile Liability insurance with a combined single limit for bodily injury and property damage of not less than $1,000,000 each occurrence for any owned, hired, or non-owned vehicles. (4) Professional Liability: CONSULTANT shall maintain Professional Agreement for Services 03/16 10 EVWD Anaergia SNRC Support Services Contract December 2021 Liability insurance covering errors and omissions arising out of the services performed by the CONSULTANT or any person employed by him, with a limit of not less than $1,000,000 per occurrence or claim and $1,000,000 aggregate. In the event the insurance policy is written on a “Claims made” basis, coverage shall extend for two years after the satisfactory completion and acceptance of the Project by DISTRICT. 6.4 CHANGES IN SCOPE OR TIME: If the DISTRICT requests a change in the Scope of Work or time of completion by either adding to or deleting from the original scope or time of completion, an equitable adjustment shall be made and this Agreement shall be modified in writing accordingly. CONSULTANT must assert any claim for adjustment under this clause in writing within thirty (30) calendar days from the date of receipt from CONSULTANT of the notification of change unless the DISTRICT grants a further period of time before the date of final payment under this Agreement. 6.5 NOTICES: All notices to either party by the other shall be made in writing and delivered or mailed to such party at their respective addresses as follows, or to other such address as either party may designate, and said notices shall be deemed to have been made when delivered or, if mailed, five (5) days after mailing. To DISTRICT: East Valley Water District 31111 Greenspot Road Highland, CA 92346 Attn: Water Reclamation Manager Email: Rwelborn@eastvalley.org To CONSULTANT: Anaergia Technologies, LLC 705 Palomar Airport Road, Suite 200 Carlsbad, CA 92011 Attn: Jeremy Metts Email: Jeremy.metts@anaergia.com 6.6 CONSULTANT’S ASSIGNED PERSONNEL: CONSULTANT designates Jeremy Metts to have immediate responsibility for the performance of the work and for all matters relating to performance under this Agreement. Substitution of any assigned personnel shall require Agreement for Services 03/16 11 EVWD Anaergia SNRC Support Services Contract December 2021 the prior written approval of the DISTRICT. If the DISTRICT determines that a proposed substitution is not acceptable, then, at the request of the DISTRICT, CONSULTANT shall substitute with a person acceptable to the DISTRICT. 6.7 TERM AND TERMINATION: (a) The initial term of this Agreement is for five (5) years from CONSULTANT’s receipt of the Notice to Proceed from DISTRICT. At the end of the initial term, the term may be extended for two additional increments of two (2) years each upon mutual written consent. (b) If the engagement of CONSULTANT is not extended by the mutual written consent of the DISTRICT and CONSULTANT, then the term of this Agreement shall expire five (5) years from CONSULTANT’s receipt of the Notice to Proceed from DISTRICT. (c) Either party may terminate its obligations under this Agreement upon ninety (90) calendar days written notice only in the event of substantial failure by the other party to perform in accordance with the terms of this Agreement through no fault of the non-defaulting party and the defaulting party has failed to cure or make substantial progress towards curing within thirty (30) days of written notice of such default, provided that such cure period may be extended for a reasonable period in the event that the default cannot be cured within the initial thirty (30) day period and the defaulting party has diligently pursued cure of the default throughout the initial thirty (30) day period. (1) Substantial failure shall include not being able to provide sufficient food waste material to produce up to 3.0 megawatt of power on a monthly average considering market availability, after an acceptable stabilization period and excluding maintenance activities. (d) In the event of termination of this Agreement or abandonment of any portion of the Project, the DISTRICT shall be immediately given title to all original documents developed for the Project, and the sole right and remedy of CONSULTANT shall be to receive payment for all amounts due and not previously paid to CONSULTANT for services completed or in progress in accordance with the Agreement prior to such date of termination, including reasonable and documented demobilization costs. If termination occurs prior to completion of any task for which payment has not been made, the fee for services performed during such task Agreement for Services 03/16 12 EVWD Anaergia SNRC Support Services Contract December 2021 shall be based on an amount mutually agreed to by the DISTRICT and CONSULTANT. Such payments available to the CONSULTANT under this paragraph shall not include costs related to lost profit associated with the expected completion of the work or other such payments relating to the benefit of this Agreement. 6.8 ATTORNEYS’ FEES: In the event that either the DISTRICT or CONSULTANT brings an action or proceeding for damages for an alleged breach of any provision of this Agreement, to interpret this Agreement, or to determine the rights of and duties of either party in relation thereto, the prevailing party shall be entitled to recover as part of such action or proceeding all litigation, arbitration, mediation and collection expenses, including witness fees, court costs, and reasonable attorneys’ fees. Such fees shall be determined by the court in such litigation or in a separate action brought for that purpose. Mediation will be attempted if both parties mutually agree before, during, or after any such action or proceeding has begun. 6.9 INDEMNITY: (a) CONSULTANT shall defend, indemnify and hold DISTRICT, including its directors, officers, employees and agents, harmless from and against any and all third party claims, demands, causes of action, suits, debts, obligations, liabilities, losses, damages, costs, expenses, attorney’s fees, awards, fines, settlements, judgments or losses for tangible property damage, intellectual property infringement, and personal injury or death to the extent of the negligence or willful misconduct of CONSULTANT or any of CONSULTANT’s subcontractors, including their respective directors, officers, employees, agents and assigns, arising from or related to work performed by Consultant or its subcontractors under this Agreement. excepting only such matters arising from the sole negligence or willful misconduct of the DISTRICT. (b) In the case of an intellectual property infringement claim, CONSULTANT shall have the right, in order to avoid such claims or actions, to substitute at its expense non-infringing equipment, materials or processes, or to modify at its expense such infringing equipment, materials, and processes so they become non-infringing, provided that such substituted and modified equipment, materials, and processes shall meet all the requirements and be subject to all the provisions of this Agreement. Agreement for Services 03/16 13 EVWD Anaergia SNRC Support Services Contract December 2021 (c) DISTRICT shall indemnify and hold harmless CONSULTANT and its affiliates, and their respective officers, directors, employees, agents and representatives from and against any and all third party claims, demands, causes of action, suits, debts, obligations, liabilities, losses, damages, costs, expenses, attorney’s fees, awards, fines, settlements, judgments or losses sustained or suffered in connection with injury or death to third parties or loss of or damage to tangible property of third parties, to the extent caused by (i) DISTRICT’s negligence, willful misconduct or violation of any applicable law. (d) It is the intent of the parties to this Agreement that the defense, indemnity, and hold harmless obligation of CONSULTANT under this Agreement shall be as broad and inclusive as may be allowed under California Civil Code §§ 2778 through 2784.5, or other similar state or federal law. 6.10 SAFETY: CONSULTANT shall perform the work in full compliance with applicable State and Federal safety requirements including, but not limited to, Occupational Safety and Health Administration requirements. (a) CONSULTANT shall take reasonable precautions for the safety of, and prevention of damage to, property on or adjacent to the Project site, and for the safety of, and prevention of injury to, persons, including DISTRICT’s employees, CONSULTANT’s employees, and third persons. CONSULTANT shall comply with the insurance requirements set forth in Section 6.3 of this Agreement. (b) CONSULTANT shall also furnish the DISTRICT with a copy of any injury prevention program established for the CONSULTANT’s employees pursuant to Labor Code Section 6401.7, including any necessary documentation regarding implementation of the program. CONSULTANT hereby certifies that its employees have been trained in the program, and procedures are in place to train employees whenever new substances, processes, procedures, or equipment are introduced. CONSULTANT shall demonstrate compliance with Labor Code Section 6401.7 by maintaining a copy of its Injury and Illness Prevention Plan at the Project site and making it available to the DISTRICT, if applicable. 6.11 EXAMINATION OF RECORDS: All original drawings, specifications, reports, calculations, and other documents or electronic data developed by CONSULTANT for the Project shall be furnished to and become the property of the DISTRICT. CONSULTANT agrees that the DISTRICT will reasonably have access to and the right to examine any directly pertinent books, Agreement for Services 03/16 14 EVWD Anaergia SNRC Support Services Contract December 2021 documents, papers, and records of any and all of the transactions relating to this Agreement following the receipt of a 10-working day notice. 6.12 OWNERSHIP OF SOFTWARE: (a) Subject to payment of all compensation due under this Agreement and all other terms and conditions herein, CONSULTANT hereby grants DISTRICT a nonexclusive, transferable, royalty-free license to use the software furnished to DISTRICT by CONSULTANT under this Agreement. The license granted herein shall authorize DISTRICT to: (1) Install the software on computer systems owned, leased or otherwise controlled by DISTRICT; (2) Utilize the software for its internal data-processing purposes; and (3) Copy the software and distribute as desired to exercise the rights granted herein. (b) CONSULTANT retains its entire right, title and interest in the software developed under this Agreement. DISTRICT acknowledges that CONSULTANT owns or holds a license to use and sublicense various pre-existing development tools, routines, subroutines and other programs, data and materials that CONSULTANT may include in the software developed under this Agreement. This material shall be referred to hereafter as “Background Technology.” (c) DISTRICT agrees that CONSULTANT shall retain any and all rights CONSULTANT may have in the Background Technology. CONSULTANT grants DISTRICT an unrestricted, nonexclusive, perpetual, fully paid-up worldwide license to use the Background Technology in the software developed and delivered to DISTRICT under this Agreement, and all updates and revisions thereto. However, DISTRICT shall make no other commercial use of the Background Technology without CONSULTANT’s written consent. 6.13 INTEGRATION AND AMENDMENT: This Agreement contains the entire understanding between the DISTRICT and CONSULTANT as to those matters contained herein. No other representations, covenants, undertakings or other prior or contemporaneous agreements, oral or written, respecting those matters, which are not specifically incorporated herein, may be deemed in any way to exist or to bind any of the parties hereto. Each party acknowledges that it has not executed this Agreement in reliance on any promise, representation or warranty not set forth herein. This Agreement may not be amended except by a writing signed by all parties hereto. Agreement for Services 03/16 15 EVWD Anaergia SNRC Support Services Contract December 2021 6.14 ASSIGNMENT: Neither party shall assign or transfer its interest in this Agreement without written consent of the other party. All terms, conditions, and provisions of this Agreement shall inure to and shall bind each of the parties hereto, and each of their respective heirs, executors, administrators, successors, and assigns. 6.15 GOVERNING LAW: This Agreement shall be construed as if it was jointly prepared by both parties hereto, and any uncertainty or ambiguity contained herein shall not be interpreted against the party drafting same. This Agreement shall be enforced and governed by the laws of the State of California. If any action is brought to interpret or enforce any term of this Agreement, the action shall be brought in a state court situated in the County of San Bernardino, State of California, or in a federal court with in rem jurisdiction over the Project. 6.16 HEADINGS: Article and Section headings in this Agreement are for convenience only and are not intended to be used in interpreting or construing the terms, covenants, and conditions of this Agreement. 6.17 PARTIAL INVALIDITY: If any term, covenant, condition, or provision of this Agreement is found by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of the provisions hereof shall remain in full force and effect, and shall in no way be affected, impaired, or invalidated thereby. 6.18 EFFECT OF WAIVER: Any failure by either party to enforce any provision of this Agreement, or any waiver thereof, shall not constitute a waiver of its right to enforce subsequent violations of the same or any other terms or conditions herein. 6.19 AUTHORITY: The individuals executing this Agreement represent and warrant that they have the legal capacity and authority to sign this Agreement on behalf of and to so bind their respective legal entities. 6.20 SURVIVAL: Notwithstanding any provisions to the contrary, the sections that contemplate performance after the expiration, cancellation, or termination of this Agreement (whether express or implied), shall survive any expiration, cancellation, or termination of this Agreement. 6.21 LIMITATION OF LIABILITY: CONSULTANT shall not be liable to DISTRICT for any consequential, incidental, or punitive damages, or indirect costs, expenses or liabilities or otherwise. The total aggregate liability of CONSULTANT for losses associated with project performance to DISTRICT shall be limited to one-hundred percent (100%) of the annual amount of funds actually paid to CONSULTANT under this Agreement Agreement for Services 03/16 17 EVWD Anaergia SNRC Support Services Contract December 2021 EXHIBIT A SCOPE OF WORK 1. Pass Through Costs. a. Leverage existing relationships and expertise in Anaerobic Digestion System Technology to manage and procure the delivery of chemicals, reagents, consumables, oils, lubricants, and calibration gases for the Project. b. Leverage existing relationships and expertise in Anaerobic Digestion System Technology to manage and procure the delivery, installation and disposal of media for gas treatment. c. Leverage Consultant purchasing with the Rialto Bioenergy Facility to provide bulk purchasing cost savings to District. d. Consumables Management (Chemicals and Media): i. Consultant will identify facility needs based on past experience and system expertise and will provide required consumables. ii. Consultant will coordinate with District staff for delivery to reduce cost to District. e. The annual permit fee to SCAQMD is not included. At any time the District may elect to procure all or partial consumables from other venders at no penalty. f. Leverage existing relationships and expertise in Anaerobic Digestion System Technology and associated compliance to manage and procure RATA, CGA, Source Testing, CEMS service, and third-party services for the Project. 2. Service Management Fee. a. Consultant’s fee for this specialized support will be billed at a fixed rate.. b. The District shall: perform laboratory testing necessary for operations of the facility; provide Operational Data from plant instrumentation and SCADA; and provide Laboratory Data Reports. 3. Gas Treatment & CHP Service Fee. Cost per operating hour per CHP. 4. Gas Treatment & CHP Service. Up to 20 hours a week to perform the following: a. Specialized maintenance for the emissions monitoring and compliance with SCAQMD rules regarding calibration and maintenance for the CEMS unit. b. Consultant will utilize CHP expertise to Inspect CHP operation and trends, piston wear, spark plugs, and other components. c. Operational maintenance and weekly preventive maintenance (PMs) on the CHP equipment. Trained personnel onsite weekly to accomplish these tasks, which include: i. Checking all biogas treatment systems for proper function and performing weekly and quarterly PMs. ii. Oil sampling for the CHP and other system. iii. Quarterly and annual CEMS and SCR testing. iv. Inspect/check/replace all filters on CHP/compressors/AC units/biogas lines etc. v. Check proper function of all valves and instruments in the system. vi. Instrumentation field calibrations and check. d. Management of the spare parts suppliers and any subcontracts required for the maintenance of the CHP. e. Manage equipment warranties for the first 2 years of operation. 5. Feedstock & Ammonia Sulfate Sale. Agreement for Services 03/16 18 EVWD Anaergia SNRC Support Services Contract December 2021 a. Use market expertise to manage procurement of feedstock, including delivery coordination with the District, but not including unloading. Anaergia will provide best efforts to procure enough feedstock to produce 3 MW of power from the CHPs. b. Use market expertise to manage the sales of Ammonia Sulfate and coordinate hauler pickup with the District. c. Consultant will contract directly for feed stock agreement and manage invoicing and payments. Consultant will provide the District 80% of revenues from payments received. 6. Support Fee. The following are optional services: a. Any specialized site service or engineering costs outside of the scope described above billed at the rates set forth in Exhibit C, including but not limited to any emergency (a sudden or unexpected situation requiring immediate action to prevent or mitigate the loss or impairment of life, health, property, or essential public services) maintenance will be billed at the standard billing rates, attached as Exhibit C. b. Provide the District with access to Consultant process know how for maximizing throughput while maintaining digester health. c. Perform regular site visits to meet with District staff to monitor operations and provide any training, as necessary. d. Review Operational Logs and Laboratory Data and provide recommendations for process improvements. e. Review food waste data and propose liquid waste feed rates to the digesters. f. Review Equipment PM records and operational data to evaluate the need for any predictive maintenance measures to be implemented. g. Summarize expected outputs vs actual output for digester gas production and solids destruction. h. Perform initial inspection of feedstock materials for approval. i. Evaluate new feedstock suppliers and establish acceptance criteria to avoid receipt of unacceptable wastes. j. Provide monthly report documenting actual biogas production vs expected biogas production. Agreement for Services 03/16 19 EVWD Anaergia SNRC Support Services Contract December 2021 EXHIBIT B ANTICIPATED ANNUAL COSTS Budget Estimate Budget Description Pass Thru Costs $1,414,487.53 Pass thru actual costs and manage with Service Management Fee below Service Management Fee (1) $200,000.00 Refer to scope of work Gas Treatment & CHP Service Fee (2) $407,424.80 2 CHP running 8060 hours/year x 2 engines @ $12.64/hour Note: this does not include E60 and E70 (minor and major overhauls) Gas Treatment & CHP Service (2) $218,400.00 Labor and Truck at Service Rates Feedstock To be determined Marketing and sourcing feedstock, monitoring quality, managing suppliers/invoicing, charging 20% on tip fee. Support Fees (optional) To be determined Refer to Rates in Exhibit C Total $2,240,312.33 Notes: (1) After the first year this item will be indexed to the ENR CCI index: (2) The amounts above are anticipated to have an annual escalation of approximately 5%. Agreement for Services 03/16 20 EVWD Anaergia SNRC Support Services Contract December 2021 EXHIBIT C CONSULTANT’S RATES These rates are valid through December 31, 2021. Rates for subsequent years will be disclosed to DISTRICT prior to becoming effective. Overtime rates may apply in accordance with applicable laws. POSITION RATE Applications Engineer $150.00 Sr. Applications Engineer $185.00 Process Engineer $150.00 Sr. Process Engineer $185.00 Project Engineer $150.00 Sr. Project Engineer $185.00 Project Designer $115.00 Sr. Project Designer $150.00 Project Manager $190.00 Sr. Project Manager $225.00 Construction Manager $190.00 Sr. Construction Manager $225.00 Control Systems Engineer $175.00 Sr. Control Systems Engineer $210.00 Commissioning Engineer $175.00 Sr. Commissioning Engineer $210.00 Service Technician $155.00 Chief Operator $165.00 Director $300.00 1 AMENDMENT TO AGREEMENT NO. 2021.14 FOR PROFESSIONAL SERVICES AND OPERATIONAL SUPPORT Date: XXXXXX Agreement Number: 2021.14 Contractor : Anaergia Technologies, LLC Change Order Number: 02 Project / Task Description: Modification to the scope of services and budget for the operational support and material acquisition for the solids waste to energy system of the Sterling Natural Resource Center. I. RECITALS The District and Consultant previously entered into a Professional Services Agreement for operational support of Sterling Natural Resources Center (SNRC) on December 8, 2021. A component of scope of that agreement was to maintain the co-generation equipment at SNRC. The term of the agreement was modified with Amendment No. 1 in on May 24, 2023. The scope of operational support is modified with Amendment No. 2 to include preventive maintenance, routine maintenance and operational support for the solid waste to energy processes of the SNRC. II. CHANGE AGREEMENTS Section 4.3.shall be replaced with the following: “ESTIMATED CHARGES: The total annual charges for all work under this Agreement shall not exceed $3,232,409 and such amount is the anticipated annual costs as described in Exhibit B. Work shall be done on a time and materials basis as described in Exhibit A and B. All work shall be directed by the District. The total estimated charges stated herein constitute the total amount agreed to, any additional costs in excess of the total estimated charges (i.e. increased costs for assumed pass through consumables) will be presented to the District’s Representative for approval before increased charges for consumables are rendered. Amendment 2 to SNRC Operations Support Agreement 2 1 0 6 4 III. SIGNATURES East Valley Water District Anaergia Technologies, LLC ____________________________________________________________ General Manager/CEO Project Manager Date: / /___ Date: / /_ __ 1 6 8 4 EXHIBIT A SCOPE OF WORK 1.Pass Through Costs a. Manage and procure the delivery of chemicals, reagents, consumables, oils, lubricants, and calibration gases for the Project. b. Manage and procure the delivery, installation, and disposal of media for gas treatment. c. The annual permit fee to SCAQMD is not included. At any time the District may elect to procure all or partial consumables from other venders at no penalty. d.Compliance Activities: Manage and procure RATA, CGA, Source Testing, CEMS service, and third-party services for the Project. e.Parts & Material Procurement: All parts and supplies necessary to perform corrective and preventative maintenance on all Anaergia supplied equipment identified in document number EV A01 01 (P&ID). f.3rd Party Service Vendor Management: All 3rd party vendor support services to maintain and accomplish the corrective, preventative, and predictive maintenance for all Anaergia supplied equipment identified in document number EV A01 01 (P&ID). Summary Table of Estimated “Pass Through” Costs 2.O&M Service Fee (Fixed Fee) a. Fixed fee prorated and billed monthly. b. Operational management c. Process support for feedstock quality & feed rates. Description of Costs Estimated Annual Costs Me dia Change out and Disposal Fe rrosorb $144,000 Me dia Change out and Disposal Carbon $84,000 Urea (40%)$110,376 Sulfuric Acid (93%)$282,590 Ferric Chloride (40%)$85,182 Anti foam $72,000 Pol ymer - Emulsi on $147,877 Oi l & Lubri cants $63,835 CEMS Calibration Gase s $30,000 Parts - Sensors, transmi tters, bel ts, be arings, seals, e tc.$60,000 Gas Conditioni ng Syste m Testi ng $31,680 Source Testing and RATA and CGA $42,000 Cali brations $7,200 Annual service of Gas Conditi oni ng System $18,000 CHP Servi ce Contract (Not i ncluding E60/E70)$195,040 All Preventati ve & Corrective Mai ntenance on equi pment i dentifi ed i n EV A01 01 (P&ID)$700,000 Overhead Support $365,961 Total Costs with Overhead Support $2,439,742 1 6 8 4 3.Labor a. Anaergia anticipates accomplishing scope laid out in the “pass through costs” portion of the contract will require 3 full time Operations & Maintenance Technicians (OMT). 1.Description of Positions: a)OMT 1 – This role will primarily be overseeing the feedstock receiving area. Ensures all receiving area maintenance is conducted timely and housekeeping is kept in good order. Realtime communication between Anaergia Feedstock coordinator, haulers, SNRC staff would begin with this role. b)OMT 2 – This role will focus on balance of plant maintenance and housekeeping. Ensures all maintenance is conducted timely and housekeeping is kept in good order in the dewatering building, AMS skid, Anaerobic Digesters, and gas plant. c)OMT 3 (Lead) – This role will manage all CMMS administrative activities, all compliance and maintenance on CHPs, ensure proper housekeeping throughout the facility. Additionally, this position will lead/oversee all procurement and vendor management for the Anaergia area of responsibility. The role will ensure Anaergia has proper coverage and manpower to properly support SNRC during vacations, holidays, and other planned and unexpected employee absences. 4.Feedstock & Ammonia Sulfate Sale. a. Manage procurement of feedstock, including delivery coordination. Anaergia will provide best efforts to procure enough feedstock to produce 3 MW of power from the CHPs. b. Manage the sales of Ammonia Sulfate and coordinate hauler pickup with the District. c. Consultant will contract directly for feed stock agreement and manage invoicing and payments. Consultant will provide the District 80% of revenues from payments received. 5. Support Fee. The following are optional services: a.Any specialized site service or engineering costs outside of the scope described above billed at the rates set forth in Anaergia 3P Billing Rates (table below). Position Pay/hr Benefits OT Bonus Hours/year Annual Salary Overhead Total OMT 1 38.00$ 25%10%10%2,080 114,608$ 25%152,811$ OMT 2 42.00$ 25%10%10%2,080 126,672$ 25%168,896$ OMT 3 (Lead)45.00$ 25%10%10%2,080 135,720$ 25%180,960$ Total:502,667$ 1 6 8 4 Role Rol e 3rd Pa rty Bi ll Hourly Ra te (USD) *upda te d FY 2024 Appli cations Engineer App Eng 161.30$ Se ni or Appli cation Engi ne e r Snr App Eng 198.93$ Proce ss Engi ne e r Proc Eng 161.30$ Se ni or Proce ss Engi ne e r Snr Proc Eng 198.93$ Proje ct Engi neer Proj Eng 161.30$ Se ni or Proje ct Engi neer Snr Proj Eng 198.93$ Proje ct Desi gner Proj De s 123.66$ Se ni or Proje ct De si gner Snr Proj Des 161.30$ Proje ct Manager Proj Mgr 204.31$ Se ni or Proje ct Manager Snr Proj Mgr 241.95$ Construction Manager Constr Mgr 204.31$ Se ni or Construction Manager Snr Constr Mgr 241.95$ Control Syste ms Engi ne e r Ctrl Sys Eng 188.18$ Se ni or Control Syste m Engineer Se nior Ctrl Sys Eng 225.82$ Commi ssi oning Engi neer Comm Eng 188.18$ Se ni or Commi ssi oning Engi neer Snr Comm Eng 225.82$ Se rvi ce Technici an Or Fi e l d Spe ci al ist Se rvi ce Te ch 166.67$ Ope rations & Mai nte nance Te chni ci an OpMai nt Te ch 166.67$ Chief Operator Chi e f Op 177.43$ Di re ctor Di rector 322.60$ 1 6 8 4 EXHIBIT B ANTICIPATED ANNUAL COSTS Budget Estimate Budget Description Pass Thru Costs $2,429,742 Refer to scope above in App A. This work excludes E60 & E70 service overhauls on the CHPs. O&M Service Management Fee (1) $300,000 Fixed fee prorated and billed monthly. Labor $502,667 Labor billed at actual burdened costs. Feedstock To be determined Marketing and sourcing feedstock, monitoring quality, managing suppliers/invoicing, charging 20% on tip fee. Support Fees (optional) To be determined Refer to Rates in Exhibit C Total $3,232,409 Notes: (1) After the first year this item will be indexed to the ENR CCI index.