DATE: April 8, 2026
TO: Honorable Mayor and City Councilmembers
FROM: Water Utilities Department
TITLE: APPROVE AMENDMENT 3 TO THE PROFESSIONAL SERVICES AGREEMENT WITH WEST YOST ASSOCIATES FOR DESIGN SERVICES FOR THE SAN LUIS REY WATER RECLAMATION FACILITY MAJOR UPGRADES PROJECT AND APPROPRIATE FUNDS FROM THE SEWER FIXED ASSET REPLACEMENT FUND
RECOMMENDATION
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Staff recommend that the City Council approve Amendment 3 to the Professional Services Agreement with West Yost Associates in the amount of $534,035, for a total contract amount of $1,855,654, to provide additional design services for completion of design for the San Luis Rey Water Reclamation Facility Major Upgrades Project; appropriate $575,000 from the Sewer Fixed Asset Replacement Fund; and authorize the City Manager to execute the amendment.
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BACKGROUND AND ANALYSIS
The San Luis Rey Water Reclamation Facility (SLRWRF) was originally constructed in 1972. In 2012, a needs assessment of the SLRWRF identified several large and necessary replacement and rehabilitation projects. These projects were categorized by phases. Phase I was completed on December 18, 2015.
On March 10, 2021, the City Council awarded a Professional Services Agreement (PSA) to West Yost Associates, in an amount not to exceed $1,099,056 to begin Phase II of the SLRWRF Major Upgrades Project (Project). Phase II of the Project addresses aging infrastructure and structural deficiencies identified in the 2012 needs assessment, including seismic retrofit of the gravity belt thickener building, relocation of existing structures and facilities, replacement of process gates, valves, and piping, and concrete repairs throughout Plant 1 while maintaining continuous plant operations. Due to the overall financial impact of the improvements, the work was further divided into two implementation phases under the West Yost contract (Phase 1 and Phase 2).
West Yost conducted and completed the Preliminary Design Report (PDR) as part of their initial project scope. The PDR evaluated plant automations, electrical systems, HVAC, and odor control upgrades to determine if these systems need to be addressed in this phase. During preparation of the PDR, additional investigation of existing facilities identified operational and infrastructure improvements necessary to maintain reliability and safety. As a result, some originally planned improvements were removed from the scope while other necessary upgrades were added.
On March 19, 2024, the City Council approved Amendment 1, in the amount $222,563, for a total contract amount of $1,321,619. As design progressed, additional improvements were identified that were necessary to integrate facility upgrades and maintain reliable plant operations. The amendment also included extended project management, design services, and bid support services.
On February 25, 2025, staff administratively approved Amendment 2 as a no-cost change to contract amount and eliminated Phase 2 work from the current design scope in order to reallocate design effort toward additional Phase 1 improvements that were identified during detailed investigations. Amendment 2 reallocated scope and extended the contract time to August 31, 2025.
Amendment 3 provides additional design services needed to complete Project design. As design progressed, additional coordination and investigation were required to address the record drawing discrepancies with existing field conditions, new electrical scope, and further integration of structural, mechanical, electrical, and instrumentation improvements within the existing operating facility. The revised contract amount of $1,855,654 represents less than nine percent of the estimated $21 million construction cost, which is within typical industry range for design services associated with complex retrofits of existing wastewater treatment facilities.
Completing these additional design services prior to bidding will improve construction sequencing, reduce the potential for construction change orders, and help ensure the Project can be constructed while maintaining uninterrupted wastewater treatment operations.
FISCAL IMPACT
The total amount of Amendment 3 is $534,035. This Project will be charged to the SLRWRF Major Upgrades account 909125500722.5305.10400 which has a current deficit of $21,404. To address the deficit and ensure sufficient funds to pay for Amendment 3, staff recommend that Council appropriate $575,000 from the Sewer Fixed Asset Replacement Fund unrestricted balance (722.3100.0002), which has $134.5 million available; with this appropriation, sufficient funds are available.
|
SLRWRF Major Upgrades Account - 909125500722.5305.10400 |
|
Current Available Balance |
($ 21,404) |
|
Appropriation (722.3100.0002) |
575,000 |
|
West Yost Amendment 3 |
534,035 |
|
Remaining Balance |
$ 19,561 |
Sewer flow and service fees in the Sewer Fixed Asset Replacement Fund (722) are the funding source for this amendment.
COMMISSION OR COMMITTEE REPORT
The Utilities Commission approved staff’s recommendation at its regularly scheduled meeting on March 17, 2026.
CITY ATTORNEY’S ANALYSIS
The referenced documents have been reviewed by the City Attorney and approved as to form.
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Prepared by: Mabel Uyeda, Water Engineering Manager
Reviewed by: Frederick Mayo, Water Utilities Director
Submitted by: Jonathan Borrego, City Manager
ATTACHMENTS:
1. Staff Report
2. Amendment 3