Council OKs well project contracts

Part one of two.

The City Council on Monday, Oct. 13, unanimously approved a new contract and an amendment to an existing contract for the Lampson Water Well Project.

The new contract would be with Butier Engineering for construction management and inspections. The amended contract would be for Pacific Advanced Engineering to provide engineering services for the well improvement project. (The water well spews a foul odor so it doesn’t run at full capacity. The project is intended to eliminate the odor.)

The original project was re-evaluated.  

The Sun will look at the details of the council discussion next week.

The project now has an estimated cost of more than $1.2 million, according to the staff report

Money for the project will be funded through the fund for the project, according to the staff report.

“This project is supported by the Orange County Water District (OCWD) Producer Well Construction Loan in the amount of $4.45 million, previously approved by City Council under Resolution 7328 on September 12, 2022,” according to the staff report by Kathryne Cho, deputy director of Public Works/city engineer. 

“This is the same loan that was previously considered for amendment to cover the original construction bid amount; however, that amendment has been deferred pending project rebid and confirmation of the revised construction cost,” Cho wrote.

“Only funding for services rendered will be drawn down from the City’s OCWD loan, as needed,” Cho wrote.

Background

The council on Sept. 22 rejected all bids for the project because of concerns about costs and lack of time for the council to consider the matter. Also, the bid staff had previously recommended council approval had expired. (See “Well project returns to Council Sept. 22,” and “Highlights of well project discussion,” at sunnews.org.)

Due to space limits, the following are highlights from the staff report.

“To facilitate continued progress, staff presented City Council with an option to engage an independent third party to reevaluate the project scope, with a focus on cost, schedule, and potential cost-saving alternatives,” Cho wrote.

“To support this recommendation, staff proposed hiring the previously identified construction management firm, whose original scope includes constructability review. As discussed during the September 22, 2025, council meeting, if funding had been available during the project design phase, a construction manager would have been engaged at that time,” Cho wrote.

“To address a question raised at the September 8, 2025, council meeting regarding the role of a construction manager, staff invited Mark Butier of Butier Engineering, Inc. (Butier) to share his experience on similar projects with other agencies and respond to City Council questions at the September 22, 2025, council meeting. Following the discussion with Butier, City Council directed staff to return with the previously proposed agreements with Butier and PACE for reconsideration and to proceed with the project reevaluation prior to rebidding,” Cho wrote.

“Staff and City Council move forward with the shared understanding that:

“1. Reevaluation of the project design and scope will most likely not result in reducing costs back to the original Engineer’s Estimate of $4.35 million.

“2. Any recommendations or findings will be reviewed in coordination with the Engineer of Record, PACE, to ensure the project’s quality and integrity remain intact,” Cho wrote.

“In accordance with City Council’s direction on September 22, 2025, to consider engaging an independent third party to reevaluate the project scope, specifically focusing on cost, schedule, and potential cost-saving alternatives, staff recommends approving a Professional Services Agreement (PSA) with Butier Engineering in the amount of $494,722 for construction management and inspection services,” Cho wrote.

“During the design of the Lampson Well Treatment System, a 36-foot section of existing sewer pipe was found to be reduced from 8 inches to 4 inches, which is not adequate for the high backwash flows expected from the new system,” Cho wrote.

Seal Beach and Pacific Advanced Engineering agreed to add a parallel 8-inch sewer pipe, according to Cho’s report. “Due to the project’s complexity, additional construction engineering support and future semi-automation programming by PACE are also anticipated,” Cho wrote.

“In line with City Council’s September 22, 2025, direction to reevaluate the Project scope, staff recommends approving Amendment No. 3 to the PACE Professional Services Agreement (PSA). This amendment increases the contract by $144,870, for a revised not-to-exceed amount of $586,475, and extends the term through June 30, 2028,” Cho wrote.