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HomeMy WebLinkAbout000283 Amendment 5 City of Port Angeles Record #000283 Fifth Amendment To the Professional Service Contract Between City of Port Angeles and Integral Consulting, Inc. This amendment is entered into this of rcL 2016 by and between the City of Port Angeles ("City") and Integral Consulting, Inc. ("Contractor"). For and in consideration of the mutual benefits to be derived herefrom, the Parties recite, covenant, and agree as follows: I The Parties entered into a Professional Service Contract on March 1, 2012, for review of Ecology's reports with a budget of$16,700 and a First Amendment to that Contract on July 3, 2012 with a new scope of work and an associated budget of$63,000 for a total budget of$79,700. The Professional Service Contract and the Amendment are incorporated by this reference and may hereafter be referred to as "the Agreement." 2. The Second Amendment dated November 6, 2012 amended the Agreement by adding new tasks to the Scope of Work to be performed and also amends the Agreement to increase the total maximum compensation for the Agreement to an amount not to exceed $200,000. 3. The Third Amendment dated June 4, 2013, added new tasks to the Scope of Work and increases the total amount of compensation for the Agreement to an amount not to exceed$289,000. 4. The Fourth Amendment dated March 10, 2015 amended the Agreement and the Scope of Work adding a new task: Performing analyses and preparing reports, as directed by the City Manager,to assist the City in the allocation of costs and liabilities for a harbor cleanup and amended the Agreement by increasing the authorized contract compensation by $261,600., which increased the maximum compensation authorized under the Agreement to an amount not to exceed $550,600. 5. This Fifth Amendment amends the Agreement by adding a new Scope of Work outlining the tasks through the end of year 2017, and which is attached to this Amendment at Exhibit A. It also increases the budget through 2017 by $963,859, which increases the maximum compensation authorized under the Agreement to an amount not to exceed$1,514,459. 1 6, All other terms of the Agreement remain unchanged. 7. As amended, the Agreement is ratified and confirmed. IN WITNESS WHEREOF, the parties have executed this Amendment to the Professional Services Contract in duplicate. CITY OF PORT ANGELES INTEGRAL CONSULTING, INC. BY: BY: Dan McKeen,City Manager Betsy Day, ice President Date: 3 L Date: APP rVED AS TO FQR William E. Bloor,City Attorney ATTEST: ennifVeneklasen, City Clerk 2 Integral Consulting Inc. 719 2nd Avenue Privileged and Confidential: Suite 700 Prepared at the Request of Seattle,WA 98104 Counsel telephone:206.230.9600 facsimile:206.230.9601 www.integral-corp.com MEMORANDUM To: Bill Bloor From: Betsy Day Date: February 23,2016 Subject. Scope of Work for Port Angeles Harbor: 2016-2017 Project No.: C935-0101 INTRODUCTION This scope of work and budget address work to support the City of Port Angeles(City)on Port Angeles Harbor issues for the remainder of 2016 and for 2017. Work to be completed in 2016 is described herein. A comparable level of detail can be provided in late 2016 for work in 2017. The following four work elements are described below: 1. Rayonier cleanup 2. Insurance support to Cascadia Law Group 3. Natural Resource Damage Assessment(NRDA) 4. Allocation RAYONIER CLEANUP Integral will continue supporting the City on harbor-wide remedial investigation and feasibility study(RI/FS)issues,including at the Western Harbor and Rayonier sites. Anticipated work includes: i Integral Scope and Budget February 23,2016 Page 2 of 9 1. Provide strategic consulting on technical issues 2. Prepare in-depth analyses on technical issues as requested by City staff 3. Review and summarize technical documents prepared by Rayonier 4. Attend in-person and telephone meetings with City staff and Cascadia Law Group The estimated budget for this task is$20,000 for 2016 and$30,000 for 2017. INSURANCE SUPPORT TO CASCADIA LAW GROUP Integral will support Cascadia Law Group on insurance issues upon request. The estimated budget for this task is$1,000 for 2016 and$2,000 for 2017. NATURAL RESOURCE DAMAGE ASSESSMENT The City,along with the other members of the Western Port Angeles Harbor Group (WPAHG)and Rayonier,are in receipt of the August 2013 Preassessment Screen for Port Angeles Harbor that was prepared by the Port Angeles Harbor Natural Resource Trustee Council. The WPAHG and Rayonier are working independently to address their respective NRD liabilities. Under the WPAHG's operating agreement,the WPAHG retained a consultant to address preliminary NRDA issues for the Western Harbor. The NRDA process will likely unfold over several years. The WPAHG may work with the Trustees collectively,or the City may elect to move ahead with its own settlement negotiations separate from the WPAHG. Integral will support the City's interests in the NRDA process regardless of whether the City works with the WPAHG or pursues an individual early settlement agreement. Work that will be performed by Integral includes: 1. Advise the City on the NRDA process 2. Perform a technical review of the Preassessment Screen and future Trustee documents 3. Evaluate potential restoration projects 4. Support the City in settlement negotiations with the Trustees 5. Evaluate the City's NRD liability 6. Support the City in the allocation of NRD liability Integral Consulting Inc. Privileged and Confidential:Prepared at the Request of Counsel Integral Scope and Budget February 23,2016 Page 3 of 9 The estimated budget for this task is$73,431 for 2016 and$100,000 for 2017. ALLOCATION Integral began work on allocation in 2015 and is presently working on some of the allocation tasks described in the scope of work for Amendment 4. The following task descriptions outline work for 2016 and reflect changes to the 2015 scope based on new information and additional refinement of the allocation process. New tasks have been added,tasks have been clarified,and one previous task(i.e.,Task 4—Data Generation)has been removed. A conceptual-level budget has been prepared for 2017. The final 2016/2017 budget has been adjusted to account for the funding that remains in the Amendment 4 (2015)budget. Task 1. Project Management and Meetings Task 1 covers routine administrative tasks to support the allocation and NRDA work, technical team coordination and management,and general project meetings. Anticipated project meetings include: 1. Monthly team calls between Cascadia and Integral to discuss ongoing work and action items 2. Quarterly meetings with City staff,Cascadia,and Integral. For budgeting purposes we've assumed four meetings will occur in Seattle. We have also assumed that a presentation will be prepared for each meeting containing updates to the tasks described in this scope of work. 3. One meeting in 2016 with the insurance carriers. For budgeting purposes we've assumed this meeting will occur in Seattle. A presentation will be prepared that is based on the quarterly meeting presentations. The estimated budget for this allocation task is$59,344 in 2016. Task 2. Information Management Document Management Integral will assist Cascadia with organizing,keyword-tagging,and reviewing documents stored in Cascadia's Everlaw repository. Time will include team meetings and training to understand effective coding methods and to share that information within the team. This work will be completed in 2016. Integral Consulting Inc. Privileged and Confidential:Prepared at the Request of Counsel Integral Scope and Budget February 23,2016 Page 4 of 9 Data Management and Chemical Concentration Mapping Integral maintains a copy of the Western Port Angeles Harbor RI/FS database. The data have been formatted for use with the Integral Data Analyst(IDA)system,which allows for real-time data manipulations and display on Integral computers. This subtask task covers keeping IDA up to date with new sediment data(e.g.,data collected by Ecology as part of its Ambient Monitoring Program),formatting and loading newly acquired aerial photos, loading GIS files from Floyd I Snider(prime consultant for the RI/FS),and managing other key attributes such as locations of historical facilities. Integral will revise surface sediment chemistry contour maps and other files as new data are loaded into the database and RI/FS negotiations with Washington State Department of Ecology(Ecology)evolve. Data management and GIS support specific to other tasks are covered in the scopes for those tasks,presented below. The estimated budget for all of allocation Task 2 is$111,770. This budget is based on an estimated level-of-effort provided by Cascadia for document coding of 100 hours per month for 3 months initially,with additional work through 2016. The budget is also based on the number of documents we anticipate reviewing(e.g.,>4,000 related to stormwater). It also assumes there will be one additional dataset added to IDA and one update to the sediment concentration contours. Task 3. Facility Summaries Facility summaries that include information related to ownership,operations,industrial processes,related chemicals,pathways to the harbor,spills,and environmental investigations,will be prepared to support preparation of"offensive' allocation positions for the following facilities: • Rayonier • Nippon • Merrill&Ring • Port of Port Angeles • Washington Department of Natural Resources • Oil storage facilities • Owens Corning • US Coast Guard • US Navy Integral Consulting Inc. Privileged and Confidential:Prepared at the Request of Counsel Integral Scope and Budget February 23,2016 Page 5 of 9 • Railroads • Other facilities as identified by historical research performed by Ed Echtle. This work will provide an understanding of the potential liability associated with each of these facilities. Facility summaries will be written using the resources compiled in Everlaw. The estimated budget for this allocation task is$63,769. Task 4. Quantitative Analyses A number of analyses will be conducted to evaluate chemical patterns in sediment and to identify contaminant sources. PAHs Differentiating polycyclic aromatic hydrocarbon(PAH)sources,especially for those PAHs produced by high temperatures(e.g.,by internal combustion engines,fires,or manufacturing of products such as creosote),is very challenging. Ratios of certain PAHs, ratios of isomeric pairs of PAHs,double ratios,and unmixing models were developed in 2015 in advance of our meeting with the insurance carriers. Additional work will be performed in 2016 to further these analyses. PCB Congeners PCB congeners,expressed as a toxicity equivalent quotient(TEQ),are an indicator hazardous substance under the Model Toxics Control Act due to unacceptable risks to human health. Ecology is currently developing their position for how PCB TEQ will be regulated in the harbor. Sources of PCBs will need to be understood to support the City's allocation arguments,regardless of Ecology's regulatory approach. Integral has conducted some preliminary quantitative analyses of potential PCB sources and will revisit and continue those analyses to develop multiple lines of evidence for PCB sources. Dioxins/Furans The primary source of dioxins/furans in the harbor is considered to be emissions from hog fuel boilers. Other sources may include emissions from diesel trucks,backyard burning, crematoria,and forest fires. These emissions reach harbor sediments through direct atmospheric deposition into the harbor and deposition onto the drainage basins with subsequent transport to the harbor via stormwater. Integral Consulting Inc. Privileged and Confidential:Prepared at the Request of Counsel Integral Scope and Budget February 23,2016 Page 6 of 9 Newfields et al.(2013)performed a chemometric study to identify likely dioxin/furan sources as part of Ecology's site investigation. Integral will review the Newfields document,including the technical details of the unmixing analysis and related assumptions and conclusions. We understand that the other PLPs will be doing the same,and that they have preliminarily identified potential issues with the Newfields analysis. Integral has included time to re-run the unmixing analysis using different assumptions and including newer data. Integral has used unmixing to discriminate between dioxin sources at other sites in the Puget Sound region,including the first site in the state to evaluate dioxin sources using this quantitative tool. Metals The spatial distributions of numerous metals in harbor sediments are similar,and these metals are thought to have a common origin(likely primarily caustic stored by Crown Zellerbach). Quantitative analyses(e.g.,clustering or principal component analysis)will be used to evaluate whether more than one source appears to be present. The estimated budget for all of allocation Task 4 is$45,597. Task 5. Fate and Transport The areal distribution of contaminants in sediments is affected by the location of the source, the quantity of material released,physical transport and sedimentation processes,and rates of degradation. Understanding these processes is critically important for developing evidence of specific sources,and ties in with the facility-specific research described in Task 3 that will help define potential sources and the chemicals that may have been released to the environment. Port Angeles Harbor currently has two competing conceptual site models(CSMs)of sediment transport:the Ecology model and the Rayonier model. Both were derived from reviews of historical oceanographic data,some dating back to the 1970s,and data collected by Ecology in 2008. Integral will review the original technical reports and the Ecology and Rayonier reports,and evaluate patterns in surface and subsurface sediment physical properties and chemistry,to develop a well-referenced physical CSM. The CSM will be supported by the quantitative analyses of the sediment contaminant data. The stormwater runoff modeling performed by Integral for the City(Integral 2013)will be reviewed for relevance and applicability to support the evaluation of sources and loadings. The stormwater evaluation could potentially be expanded to support findings from the CSM development and/or to evaluate additional contaminants,as appropriate. Expansion Integral Consulting Inc. Privileged and Confidential:Prepared at the Request of Counsel Integral Scope and Budget February 23,2016 Page 7 of 9 of the modeling effort,if recommended,would be more fully described and budgeted in a future scope of work. The estimated budget for this allocation task is$29,160. Task 6. Conveyance System Mapping Integral will review available resources in Everlaw that document the stormwater and sanitary sewer conveyance systems,including sewer cards,maps,and water quality reports,to gain an understanding of the stormwater and combined sewer drainage as it evolved through the city's history. The industrial discharges to the combined sewage system will be researched to understand the chemical nature of overflows to the harbor. We will meet once with the City's Public Works staff,in Port Angeles,to obtain their input on the compiled information and our anticipated work products. Integral will map available features and delineate drainage basins as they changed over time(e.g.,decadal). We will explore various data visualization platforms and will compile key features into the selected platform,such as an interactive PDF that displays changes in sewer lines over time. The estimated budget for this allocation task is$90,612. Task 7. Summary of Aquatic Leases Aquatic lands in Port Angeles Harbor have been leased from the state for log rafting and other purposes. The leasehold history can be complex and is documented in a variety of resources. Integral will compile the resources that document current and historical aquatic lease information from Everlaw and from WA DNB's website. We will summarize the time periods and locations associated with various uses over time,with an emphasis on determining whether the City had any involvement with such leases and the identities of the parties involved in log rafting and other overwater activities.A written summary or table,as well as a data presentation tool,will be produced. The estimated budget for this allocation task is$58,041. Task 8. Synopsis of City Properties/Leases Properties that have been or are currently owned or leased by the City of Port Angeles will be reviewed to determine if they may have been a source of contamination to the harbor. Compiled information will include,but not be limited to,ownership or lease time periods; property use,operations,and chemicals used(if applicable);lease history(if applicable); Integral Consulting Inc. Privileged and Confidential:Prepared at the Request of Counsel Integral Scope and Budget February 23,2016 Page 8 of 9 history of spills/releases of hazardous materials;presence of transformers;and other information that may be useful in the allocation process. The results will be summarized in written form and presented graphically. The estimated budget for this allocation task is$78,139. Allocation Work in 2017 The allocation process will be active in 2017. Additional anticipated work includes responding to the allocator's information requests,developing an expert report,supporting preparation of a position paper,ongoing strategy meetings with the City's team,project management,and other work that is not defined at this time. A placeholder budget of $300,000 is included for these additional tasks. BUDGET The estimated budget for 2016/2017 is summarized below.The budget request of$885,722 accounts for the budget that remains at the end of 2015 from Amendment 4. Task 2016 2017 Rayonier Cleanup 20,000 30,000 Insurance Support 1,000 2,000 NRDA 73,431 100,000 Allocation 536,431 300,000 Yearly Total 630,862 $432,000 2016/2017 Grand Total $1,062,862 Amount Remaining from Amendment 4 ($177,140) Budget Request $885,722 Integral Consulting Inc. Privileged and Confidential:Prepared at the Request of Counsel Integral Scope and Budget February 23,2016 Page 9 of 9 REFERENCES Integral. 2013. Evaluation of dioxin loading with municipal stormwater runoff. Integral Consulting,Seattle,WA. Newfields,Infometrix,and G.Glass. 2013. Port Angeles Harbor sediment dioxin source study,Port Angeles,WA. Prepared for Washington Department of Ecology. Newfields, Edmonds,WA. Integral Consulting Inc. Privileged and Confidential:Prepared at the Request of Counsel