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068-21 - Department of Ecology State of WA - ContractContract No. 068-21 +tom DEPARTMENT OF ECOLOGY State of Washington AMENDMENT NO. 1 TO AGREEMENT NO. WQC-2019-PoOrPW-00025 BETWEEN THE STATE OF WASHINGTON DEPARTMENT OF ECOLOGY AND City of Port Orchard PURPOSE: To amend the above -referenced agreement (AGREEMENT) between the state of Washington Department of Ecology (ECOLOGY) and City of Port Orchard (RECIPIENT) for the Marina Pump Station (PROJECT). This amendment is needed to add Standard Loan funds to the agreement. Additional funds are necessary to complete the project scope of work due to concerns encountered during the design of the project that must be addressed to ensure the safety and function of the facility. 1) The Scope of Work remains the same. 2) The original loan amount of $4,100,000 for EL190266 is increased by $8,900,000. The new loan total for EL190266 is $13,000,000. 3) The interest rate and terms for loan EL 190266 are revised from a 2.0 percent interest rate at 20 years, to a 2.6 percent interest rate at 30 years. 4) The Initiation of Operation Date is changed from December 31, 2022, to December 31, 2023. Based on this date LOAN repayment will begin no later than December 31, 2024. 5) The Project Completion Date is changed from May 31, 2022, to May 31, 2024. 6) The Estimated Loan Repayment Schedule Number 2587 for ELI90266 created on February 5, 2019, is replaced with the attached Estimated Loan Repayment Schedule Number AS-000000350 created on June 14, 2021. Note: This amendment only includes the portions of the original agreement that have been changed in some way. If there were no changes, it will not be referenced in this amendment. IT IS MUTUALLY AGREED that the AGREEMENT is amended as follows: Total Cost: Original: 4,100,000.00 Amended: 13,000,000.00 Total Eligible Cost: Original: 4,100,000.00 Amended: 13,000,000.00 Expiration Date: Original: 05/31 /2023 Amended: 05/31 /2024 Template Version 10/3012015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No. WQC-2019-PoOrPW-00025 CHANGES TO THE BUDGET Funding Distribution EL190266 Funding Title: SRF Standard Loan Funding Type: Funding Effective Date Funding Source: Title: Fund: Type: Funding Source %: Description: Loan 07/01 /2018 CWSRF-SFY19 727 Blended State/Federal 100% Funding Expiration Date: 05/31/2024 Page 2 of 10 The Clean Water Act (CAA) (33 U.S.C. §1251-1387) established the State Revolving Fund (SRF) low interest loan program (40. C.F.R. Part 31, 35 Sub Part K). Funds come from a combination of Federal Capitalization Grant provided through the Environmental Protection Agency (EPA), state match, and revolved funds from repayments and interest on previous loans. Approved Indirect Costs Rate: Approved State Indirect: 30% Recipient Match %: 0% InKind Interlocal Allowed: No InKind Other Allowed: No Is this Funding Distribution used to match a federal grant? No Effective Interest Rate: 2.6% Interest Rate: 1.6% Admin Charge: 1% Terms: 30 years Project Start Date: 07/01/2018 Project Completion Date: 05/31/2024 Estimated Initiation of Operation date: 12/31/2023 Loan Security: Revenue Secure Lien Obligation of the Recipient Final Accrued Interest: $ Final Loan Amount: $ Repayment Schedule Number: 350 SRF Standard Loan Task Total Project Administration/Management $ 15,000.00 Permitting and Final Design $ 1,344,000.00 Project Construction $ 10,194,000.0 Template Version 10/30/2015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No, WQC-2019-PoOrPW-00025 Construction Management $ 910,000.00 Change Orders $ 537,000.00 CHANGES TO SCOPE OF WORK Task Number: Task Title: Project Administration/Management Task Description: Total: $ 13,000,000.0 Task Cost: $15,000.00 Page 3 of 10 A. The RECIPIENT shall carry out all work necessary to meet ECOLOGY grant or loan administration requirements. Responsibilities include, but are not limited to: maintenance of project records; submittal of requests for reimbursement and corresponding backup documentation; progress reports; and a recipient closeout report (including photos). B. The RECIPIENT shall maintain documentation demonstrating compliance with applicable procurement, contracting, and interlocal agreement requirements; application for, receipt of, and compliance with all required permits, licenses, easements, or property rights necessary for the project; and submittal of required performance items. C. The RECIPIENT shall manage the project. Efforts include, but are not limited to: conducting, coordinating, and scheduling project activities and assuring quality control. Every effort will be made to maintain effective communication with the RECIPIENT's designees; ECOLOGY; all affected local, state, or federal jurisdictions; and any interested individuals or groups. The RECIPIENT shall carry out this project in accordance with any completion dates outlined in this agreement. Task Goal Statement: Properly managed and fully documented project that meets ECOLOGY's grant or loan administrative requirements. Task Expected Outcome: * Timely and complete submittal of requests for reimbursement, quarterly progress reports, and RECIPIENT closeout report. * Properly maintained project documentation Recipient Task Coordinator: Jacki Brown Deliverables Number Description Due Date 1.1 Quarterly Progress Reports 1.2 Recipient Closeout Report 1.3 Project Outcome Summary Report Template Version 10/30/2015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No, WQC-2019-PoOrPW-00025 CHANGES TO SCOPE OF WORK Task Number: 2 Task Cost: $1,344,000.00 Task Title: Permitting and Final Design Task Description: A. The RECIPIENT will obtain necessary permits required for the project. B. The RECIPIENT will procure engineering services in accordance with state law. The RECIPIENT must include ECOLOGY's specification insert in the contract documents for design. The RECIPIENT must submit all contracts for engineering services before ECOLOGY shall provide reimbursement for work performed under this task . Page 4 of 10 C. The RECIPIENT will design the Marina Pump Station. Plans and specifications developed by the RECIPIENT shall be consistent with the requirements of Chapter 173-240 WAC. Elements of the design will include: 1. New lift station pumps 2. Associated piping and electrical work 3. Replacement of the failing sea wall 4. New generator. D. The plans and specifications, construction contract documents, and addenda will be approved by the RECIPIENT prior to submittal for ECOLOGY review. All construction plans submitted to ECOLOGY for review and approval will be reduced to no larger than I I" x 17" in size. All reduced drawings shall be completely legible. The project manager may request plans be submitted in either PDF or AutoCAD electronic format, and specifications in a searchable PDF or Microsoft Word electronic file. A current construction cost estimate will be submitted along with each plan/specification submittal. The project manager may request a spreadsheet of the costs in electronic file format. E. The RECIPIENT will complete the facility design within one year after the execution of this AGREEMENT. F. Investment Grade Efficiency Audit. The RECIPIENT will procure a third party analysis of potential energy and water efficiency measures for incorporation into the design of any wastewater facilities. The analysis will identify potential efficiency measures, provide cost estimates, and evaluate their cost effectiveness. If the RECIPIENT has obtained either a preliminary or investment grade energy audit of the utility in the last 5 years, documentation of that audit can be submitted instead. G. The RECIPIENT's construction management staff will provide a constructability review and quality assurance check of the project drawing and specification package, and general requirements of the construction bid documents at the 60 percent and 90 percent stages. Task Goal Statement: Project permitted and designed to ECOLOGY approved specification. Task. Expected Outcome: Template Version 10/30/2015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No. WQC-2019-PoOrPW-00025 Al necessary permits obtained and project designed to ECOLOGY approved specification. Recipient Task Coordinator: Jacki Brown Deliverables Page 5 of 10 Number Description Due Date 2.1 Executed contracts for engineering services and affidavit of publication 2.2 Documentation of the RECIPIENT's process for procuring engineering services 2.3 Two copies of the final design with detailed cost estimate and specifications 2.4 Investment Grade Efficiency Audit documentation CHANGES TO SCOPE OF WORK Task Number: 3 Task Cost: $910,000.00 Task Title: Construction Management Task Description: A. The RECIPIENT will provide adequate and competent construction management and inspection for the Project. This may involve procuring the professional services. If professional services are procured, the RECIPIENT will procure them in accordance with state law. The RECIPIENT will include ECOLOGY's specification insert in the contract documents. The RECIPIENT must submit all contracts for construction management services before ECOLOGY will provide reimbursement for work performed under this task. B. The RECIPIENT will develop a detailed Construction Quality Assurance Plan (WAC 173-240-075) and submit it to ECOLOGY for approval. This plan must describe the activities which the RECIPIENT will undertake to achieve adequate and competent oversight of all construction work. C. The RECIPIENT will provide a plan of interim operation for the facility while under construction. D. The RECIPIENT will ensure construction progresses according to a timely schedule developed to meet completion dates indicated in the construction contract. The RECIPIENT will revise or update the schedule whenever major changes occur and resubmit to ECOLOGY. In the absence of any major changes, the RECIPIENT will describe progress of the construction in the quarterly progress reports. E. Upon completion of this construction, the RECIPIENT will submit the Declaration of Construction Completion form to ECOLOGY in accordance with WAC 173-240-090 and a set of "as -built" plans of the construction contract i.e., record construction drawings which reflect changes, modifications, or other revisions made to the project during construction. The form, when signed by a professional engineer, indicates that the project was completed in accordance with the plans and Template Version 10/30/2015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No. WQC-2019-PoOrPW-00025 specifications and major change orders approved by ECOLOGY, and is accurately shown on the as -built plans. F. The RECIPIENT will prepare an Operations and Maintenance (O&M) manual for the marina pump station. Page 6 of 10 Task Goal Statement: To manage construction of the project to ensure a project that is built in accordance with Ecology approved specifications. Task Expected Outcome: Project constructed in accordance with Ecology approved specifications. Recipient Task Coordinator: Jacki Brown Deliverables Number Description Due Date 3.1 Executed contract for construction management services 3.2 Documentation of the RECIPIENT's process for procuring engineering services 3.3 Construction Quality Assurance Plan 3.4 Plan of interim operation of the facility while under construction 3.5 Declaration of Construction Completion 3.6 "As -built" plans 3.7 Operation and Maintenance Manual CHANGES TO SCOPE OF WORK Task Number: 4 Task Cost: $10,194,000.00 Task Title: Project Construction Task Description: A. The RECIPIENT will include ECOLOGY's specification insert in the bid documents. The RECIPIENT will execute a contract with the low responsive responsible bidder to construct the PROJECT. The RECIPIENT shall submit Bid Tabs, the Notice of Award, and a copy of the executed contract before ECOLOGY shall provide reimbursement for work performed under this task. B. The RECIPIENT will complete construction of the Marina Pump Station in accordance with the plans and specifications. Elements of the construction project will include: L New lift station pumps 2. Associated piping and electrical work Template Version 10/30/2015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No. WQC-2019-PoOrPW-00025 3. Replacement of the failing sea wall 4. New generator. C. The RECIPIENT will conduct a pre -construction conference and invite ECOLOGY staff. Page 7 of 10 D. As a condition of receiving this funding, the RECIPIENT will prepare an asset management program (fiscal sustainability plan). The RECIPIENT will certify that a plan that contains at least the minimum required elements listed above has been developed and is being implemented. The plan must include the following elements 1. An inventory of critical assets that belong to the utility. 2. An evaluation of the condition and performance of the critical assets. 3. A plan to maintain, repair, and replace the critical assets and to fund those activities. 4. A process to evaluate and implement water and energy conservation efforts as part of the plan. Task Goal Statement: To have the project constructed in accordance with ECOLOGY approved plans and specifications. Task Expected Outcome: Project constructed in accordance with ECOLOGY approved plans and specifications. Recipient Task Coordinator: Jacki Brown Deliverables Number Description Due Date 4.1 Copy of the advertisement for bids with affidavit of publication 4.2 Minutes of the pre -construction meeting 4.3 Declaration of Construction completion (paper copy) and one electronic copy of the Record Drawings 4.4 Investment Grade Efficiency Audit documentation 4.5 Certification that the Financial Sustainability Plan has been developed and is being implemented CHANGES TO SCOPE OF WORK Task Number: 5 Task Cost: $537,000.00 Task Title: Change Orders Task Description: A. The RECIPIENT will negotiate all change orders to the construction contract necessary for successful completion of the project. Template Version 10/30/2015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No. WQC-2019-PoOrPW-00025 Page 8 of 10 B. The RECIPIENT will submit the change orders to ECOLOGY for approval. Change orders that are a significant deviation from the approved plans/specifications must be submitted for approval, prior to execution. All other change orders must be submitted within 30 days after execution. Task Goal Statement: To have all change orders reviewed and approved by ECOLOGY prior to requesting reimbursement. Task Expected Outcome: All change orders reviewed and approved by ECOLOGY prior to reimbursement. Recipient Task Coordinator: Jacki Brown Deliverables Number Description Due Date 5.1 Change order justifications if needed 5.2 Executed change orders with backup documentation and professional engineer seal and signature Template Version 10/30/2015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No. WQC-2019-PoOrPW-00025 Funding Distribution Summary Recipient / Ecology Share Page 9 of 10 Funding Distribution Name Recipient Match % Recipient Share Ecology Share Total SRF Standard Loan 0 % $ 0.00 $ 13,000,000.00 $ 13,000,000.00 Total $ 0.00 $ 13,000,000.00 $ 13,000,000.00 Template Version 10/30/2015 State of Washington Department of Ecology City of Port Orchard Marina Pump Station Project Agreement No. WQC-2019-PoOrPW-00025 AUTHORIZING SIGNATURES Page 10 of 10 All other terms and conditions of the original Agreement including any Amendments remain in full force and effect, except as expressly provided by this Amendment. The signatories to this Amendment represent that they have the authority to execute this Amendment and bind their respective organizations to this Amendment. This amendment will be effective 07/01/2018. IN WITNESS WHEREOF: the parties hereto, having read this Amendment in its entirety, including all attachments, do agree in each and every particular and have thus set their hands hereunto. Washington State Department of Ecology 1 ` By On behalf of 07/ 16/2021 Vincent McGowan, P.E. Water Quality Program Manager Template Approved to Form by Attorney General's Office Date City of Port Orchard By: •7_)L Robert B Putaansuu Mayor Date Template Version 10/30/2015 DEPARTMENT OF - ! ECOLOGY State of Washington Loan number: EL190266 Agreement #: WQC-2019-PoOrPW- 00025 Recipient name: PORT ORCHARD CITY OF Amortization method: Compound-365 D/Y Initiation of Operations: 12/31 /2023 Project Completion: 5/31/2024 Schedule number: AS-000000350 Estimated loan repayment schedule Loan amount: $13,000,000.00 Term of loan: 30 Years Effective interest rate: 2.600% Interest compounded: Monthly Loan date: 12/31/2024 Schedule creation date: 6/14/2021 Payment Due date Payment Principal Interest amount Admin Balance amount number amount amount amount 1 12/31/2024 309,910.58 309,910.58 12,690,089.42 2 6/30/2025 309,910.58 144,043.24 102,072.21 63,795.13 12,546,046.18 Subtotal FY 2025 619,821.16 453,953.82 102,072.21 63,795.13 12,546,046.18 3 12/30/2025 309,910.58 145,925.97 100,913.61 63,071.00 12,400,120.21 4 6/30/2026 309,910.58 147,833.32 99,739.85 62,337.41 12,252,286.89 Subtotal FY 2026 619,821.16 293,759.29 200,653.46 125,408.41 12,252,286.89 5 12/30/2026 309,910.58 149,765.59 98,550.76 61,594.23 12,102,521.30 6 6/30/2027 309,910.58 151,723.12 97,346.13 60,841.33 11,950,798.18 Subtotal FY 2027 619,821.16 301,488.71 195,896.89 122,435.56 11,950,798.18 7 12/30/2027 309,910.58 153,706.23 96,125.75 60,078.60 11,797,091.95 8 6/30/2028 309,910.58 155,715.27 94,889.42 59,305.89 11,641,376.68 Subtotal FY 2028 619,821.16 309,421.50 191,015.17 119,384.49 11,641,376.68 9 12/30/2028 309,910.58 157,750.56 93,636.94 58,523.08 11,483,626.12 10 6/30/2029 309,910.58 159,812.46 92,368.07 57,730.05 11,323,813.66 Subtotal FY 2029 619,821.16 317,563.02 186,005.01 116,253.13 11,323,813.66 11 12/30/2029 309,910.58 161,901.31 91,082.63 56,926.64 11,161,912.35 12 6/30/2030 309,910.58 164,017.46 89,780.38 56,112.74 10,997,894.89 Subtotal FY 2030 619,821.16 325,918.77 180,863.01 113,039.38 10,997,894.89 13 12/30/2030 309,910.58 166,161.27 88,461.11 55,288.20 10,831,733.62 14 6/30/2031 309,910.58 168,333.10 87,124.60 54,452.88 10,663,400.52 Subtotal FY 2031 619,821.16 334,494.37 175,585.71 109,741.08 10,663,400.52 15 12/30/2031 309,910.58 170,533.32 85,770.62 53,606.64 10,492,867.20 16 6/30/2032 309,910.58 172,762.30 84,398.94 52,749.34 10,320,104.90 Subtotal FY 2032 619,821.16 343,295.62 170,169.56 106,355.98 10,320,104.90 17 12/30/2032 309,910.58 175,020.41 83,009.34 51,880.83 10,145,084.49 Payment number Due date Payment amount Principal amount Interest amount Admin amount Balance amount 18 6/30/2033 309,910.58 177,308.03 81,601.57 51,000.98 9,967,776.46 Subtotal FY 2033 619,821.16 352,328.44 164,610.91 102,881.81 9,967,776.46 19 12/30/2033 309,910.58 179,625.56 80,175.40 50,109.62 9,788,150.90 20 6/30/2034 309,910.58 181,973.38 78,730.58 49,206.62 9,606,177.52 Subtotal FY 2034 619,821.16 361,598.94 158,905.98 99,316.24 9,606,177.52 21 12/30/2034 309,910.58 184,351.88 77,266.89 48,291.81 9,421,825.64 22 6/30/2035 309,910.58 186,761.47 75,784.07 47,365.04 9,235,064.17 Subtotal FY 2035 619,821.16 371,113.35 153,050.96 95,656.85 9,235,064.17 23 12/30/2035 309,910.58 189,202.56 74,281.86 46,426.16 9,045,861.61 24 6/30/2036 309,910.58 191,675.56 72,760.01 45,475.01 8,854,186.05 Subtotal FY 2036 619,821.16 380,878.12 147,041.87 91,901.17 8,854,186.05 25 12/30/2036 309,910.58 194,180.88 71,218.28 44,511.42 8,660,005.17 26 6/30/2037 309,910.58 196,718.94 69,656.39 43,535.25 8,463,286.23 Subtotal FY 2037 619,821.16 390,899.82 140,874.67 88,046.67 8,463,286.23 27 12/30/2037 309,910.58 199,290.18 68,074.09 42,546.31 8,263,996.05 28 6/30/2038 309,910.58 201,895.02 66,471.11 41,544.45 8,062,101.03 Subtotal FY 2038 619,821.16 401,185.20 134,545.20 84,090.76 8,062,101.03 29 12/30/2038 309,910.58 204,533.92 64,847.18 40,529.48 7,857,567.11 30 6/30/2039 309,910.58 207,207.30 63,202.02 39,501.26 7,650,359.81 Subtotal FY 2039 619,821.16 411,741.22 128,049.20 80,030.74 7,650,359.81 31 12/30/2039 309,910.58 209,915.63 61,535.35 38,459.60 7,440,444.18 32 6/30/2040 309,910.58 212,659.36 59,846.90 37,404.32 7,227,784.82 Subtotal FY 2040 619,821.16 422,574.99 121,382.25 75,863.92 7,227,784.82 33 12/30/2040 309,910.58 215,438.95 58,136.39 36,335.24 7,012,345.87 34 6/30/2041 309,910.58 218,254.87 56,403.51 35,252.20 6,794,091.00 Subtotal FY 2041 619,821.16 433,693.82 114,539.90 71,587.44 6,794,091.00 35 12/30/2041 309,910.58 221,107.60 54,647.99 34,154.99 6,572,983.40 36 6/30/2042 309,910.58 223,997.61 52,869.52 33,043.45 6,348,985.79 Subtotal FY 2042 619,821.16 445,105.21 107,517.51 67,198.44 6,348,985.79 37 12/30/2042 309,910.58 226,925.40 51,067.80 31,917.38 6,122,060.39 38 6/30/2043 309,910.58 229,891.45 49,242.54 30,776.59 5,892,168.94 Subtotal FY 2043 619,821.16 456,816.85 100,310.34 62,693.97 5,892,168.94 39 12/30/2043 309,910.58 232,896.28 47,393.42 29,620.88 5,659,272.66 40 6/30/2044 309,910.58 235,940.38 45,520.12 28,450.08 5,423,332.28 Subtotal FY 2044 619,821.16 468,836.66 92,913.54 58,070.96 5,423,332.28 Payment Due date Payment Principal Interest amount Admin Balance amount number amount amount amount 41 12/30/2044 309,910.58 239,024.26 43,622.35 27,263.97 5,184,308.02 42 6/30/2045 309,910.58 242,148.46 41,699.77 26,062.35 4,942,159.56 Subtotal FY 2045 619,821.16 481,172.72 85,322.12 53,326.32 4,942,159.56 43 12/30/2045 309,910.58 245,313.49 39,752.06 24,845.03 4,696,846.07 44 6/30/2046 309,910.58 248,519.89 37,778.89 23,611.80 4,448,326.18 Subtotal FY 2046 619,821.16 493,833.38 77,530.95 48,456.83 4,448,326.18 45 12/30/2046 309,910.58 251,768.20 35,779.93 22,362.45 4,196,557.98 46 6/30/2047 309,910.58 255,058.96 33,754.84 21,096.78 3,941,499.02 Subtotal FY 2047 619,821.16 506,827.16 69,534.77 43,459.23 3,941,499.02 47 12/30/2047 309,910.58 258,392.74 31,703.29 19,814.55 3,683,106.28 48 6/30/2048 309,910.58 261,770.10 29,624.91 18,515.57 3,421,336.18 Subtotal FY 2048 619,821.16 520,162.84 61,328.20 38,330.12 3,421,336.18 49 12/30/2048 309,910.58 265,191.59 27,519.38 17,199.61 3,156,144.59 50 6/30/2049 309,910.58 268,657.81 25,386.32 15,866.45 2,887,486.78 Subtotal FY 2049 619,821.16 533,849.40 52,905.70 33,066.06 2,887,486.78 51 12/30/2049 309,910.58 272,169.34 23,225.38 14,515.86 2,615,317.44 52 6/30/2050 309,910.58 275,726.76 21,036.20 13,147.62 2,339,590.68 Subtotal FY 2050 619,821.16 547,896.10 44,261.58 27,663.48 2,339,590.68 53 12/30/2050 309,910.58 279,330.68 18,818.40 11,761.50 2,060,260.00 54 6/30/2051 309,910.58 282,981.70 16,571.62 10,357.26 1,777,278.30 55 12/30/2051 309,910.58 286,680.45 14,295.46 8,934.67 1,490,597.85 56 6/30/2052 309,910.58 290,427.54 11,989.56 7,493.48 1,200,170.31 57 12/30/2052 309,910.58 294,223.61 9,653.52 6,033.45 905,946.70 58 6/30/2053 309,910.58 298,069.29 7,286.95 4,554.34 607,877.41 59 12/30/2053 309,910.58 301,965.25 4,889.43 3,055.90 305,912.16 60 6/30/2054 309,910.62 305,912.16 2,460.59 1,537.87 0.00 Subtotal Undefined 2,479,284.68 2,339,590.68 85,965.53 53,728.47 0.00 Grand total 18,594,634.84 13,000,000.00 3,442,852.20 2,151,782.64 0.00