2009/12/23 Council Agenda Packet

Operations Plan. The plans and specifications must also: 8 1. Include a Plan of Operation per the Water Quality Program Guidance document,PLANS OF INTERIM OPERATION DURING CONSTRUCTION(October 21, 1992). 2. Include the information required in the Water Quality Program Guidance document, OPERATION AND MAINTENANCE MANUAL FOR NONTREATMENT WASTEWATER FACILITIES (October 21, 1992). Plan of Operation. A preliminary plan of operation will be prepared consistent with the DEPARTMENT's GUIDELINES and submitted to the DEPARTMENT for review and approval with the plans and specifications. Approval by DEPARTMENT. The RECIPIENT will not proceed with any construction-related activities until all necessary plans and specifications are approved in writing by the DEPARTMENT. Change Orders. Change orders that are a significant deviation from the approved plans/specifications must be submitted in writing for DEPARTMENT review and approval,prior to execution. All other change orders must be approved by the DEPARTMENT for technical merit and should be submitted within 30 days after execution. Change orders are to be signed by the contractor, the engineer(if appropriate), and the RECIPIENT prior to submittal for DEPARTMENT approval. The DEPARTMENT may approve, through formal amendment to this AGREEMENT, funding for change orders for up to five percent of the eligible portion of the low responsive responsible construction bid(s). Adjusted Construction Budget. The construction budget, as reflected in the LOAN,will be adjusted once actual construction bids are received. If the low responsive responsible construct bid(s) exceed the engineer's estimate of construction costs, the DEPARTMENT may approve, through formal amendment to this AGREEMENT, funding increases for up to ten percent of the engineer's original estimate. Bids and Awards. DEPARTMENT approval of the plans, specifications,and construction documents authorizes the RECIPIENT to solicit bids and award the construction contract(or reject bids)without further DEPARTMENT authorization or approval. However,any additional costs resulting from successful bid protests or other claims due to improper bid solicitation and award procedures will not be considered eligible for LOAN participation. FACILITIES PROJECTS: CONSTRUCTION MANAGEMENT Plan of Operation. The plan of operation must be updated,as appropriate, before the start of construction and at the 50 percent and 90 percent stage of construction, or more often if necessary. The final plan of operation must be approved by the DEPARTMENT in writing before the construction is completed and before final payment is made. Construction Quality Assurance Plan. A detailed construction quality assurance plan will be submitted at least 30 days prior to the commencement of construction. This plan must describe the activities which will be undertaken to achieve adequate and competent performance of all construction work. Construction Schedule. A construction schedule will be submitted to the DEPARTMENT within 30 days of the start of construction. The construction schedule will be revised and updated whenever major changes occur and resubmitted to the DEPARTMENT. In the absence of any major changes, the construction schedule should be resubmitted to the DEPARTMENT at a minimum of every three months. When changes in the construction schedule affect previous cash flow estimates,revised cash flow projections must also be submitted to the DEPARTMENT. 55 Page 5 of ATTACHMENT 4