Tentative agreement reached for Cal Water Fix Design and Construction Enterprise

From the Natural Resources Agency:

Cal Water Fix LogoThe California Department of Water Resources (DWR) and a Joint Powers Authority comprised of public water agencies will collaborate in the design and construction of California WaterFix, should the project be permitted by various state and federal regulators and should the public water agencies choose to pursue the project.  The terms by which DWR and the water agencies would coordinate are contained in a tentative agreement, available here.

The tentative agreement between DWR and contractors of the state and federal water projects seeks to ensure accountability, transparency, and the safe, timely, cost-effective and efficient completion of California WaterFix.

The public water agencies that would pay for the estimated $15 billion project and create a Joint Powers Authority to help build it receive water from the State Water Project, operated by DWR, and/or the Central Valley Project, which is operated by the U.S. Bureau of Reclamation.

The tentative agreement will not be effective until it is approved by both DWR and a Joint Powers Authority that will be created by the public water agencies.

The California WaterFix would modernize the 50-year-old State Water Project delivery system in the Sacramento-San Joaquin Delta in order to improve ecological conditions in the Delta and stabilize water supplies for much of the state.  The project would involve construction of three new intakes on the east bank of the Sacramento River south of Hood, with two 30-mile-long, large-diameter tunnels to carry water to the existing State Water Project pumping plant in the south Delta.

Key provisions of the tentative agreement include:

  • Consistent with statutory authority, the DWR director shall have the final decision making authority on all aspects of the design, construction and implementation of the conveyance project.
  • Matters that would have a material effect on the conveyance project must have the concurrence of the Board of the Joint Powers Authority.  These issues involve any actions  that:
    • would cause more than $10 million in increased costs or a five percent increase in budgeted costs;
    • could add 60 days or more to the schedule;
    • could impact the water delivery capacity, project life, or operations and maintenance costs of the project; or
    • any permit that would result in a material impact as already defined.
  • A unit within DWR called the Design Construction Enterprise (DCE) will manage construction and implementation of the project.  All public project, equipment, and architectural and engineering procurements shall be conducted in accordance with the State Contracting Act and other contracting requirements imposed by law on DWR.  The DCE may develop and implement procedures to improve efficiency, consistent with DWR policy and applicable State law.
  • DCE may be staffed with qualified people from DWR, other public water agencies, or private industry.

Click here to read the agreement.


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