Title
a. Approve Professional Services Agreement (PSA) with Ardurra Group, Inc. to provide professional design services for the Public Water System for San Lucas, County Project No. 8415, Request for Proposals (RFP) #11000 for an initial term of three years effective October 27, 2026 to October 26, 2029, with the option to extend the term for two additional one-year periods, for an amount not to exceed $1,239,469; and
b. Authorize the Director of Public Works, Facilities and Parks or designee to execute the PSA and future amendments to the PSA where the amendments do not significantly alter the scope of work or increase the amount by more than 10% ($123,947) of the original approved PSA amount of $1,239,469 bringing the potential overall aggregate not to exceed amount to $1,363,416 subject to review and approval as to form by the Office of the County Counsel and as to fiscal provisions by the Auditor-Controller’s Office.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Approve Professional Services Agreement (PSA) with Ardurra Group, Inc. to provide professional design services for the Public Water System for San Lucas, County Project No. 8415, Request for Proposals (RFP) #11000 for an initial term of three years effective October 27, 2026 to October 26, 2029, with the option to extend the term for two additional one-year periods, for an amount not to exceed $1,239,469; and
b. Authorize the Director of Public Works, Facilities and Parks or designee to execute the PSA and future amendments to the PSA where the amendments do not significantly alter the scope of work or increase the amount by more than 10% ($123,947) of the original approved PSA amount of $1,239,469 bringing the potential overall aggregate not to exceed amount to $1,363,416, subject to review and approval as to form by the Office of the County Counsel and as to fiscal provisions by the Auditor-Controller’s Office.
SUMMARY:
The community of San Lucas has been under two “Do-Not-Drink” orders since 2011. The Public Water System for San Lucas (Project) is intended to design and partially construct a system that will provide the community with a safe, sustainable supply of clean drinking water.
The County of Monterey (County) has been named the recipient of two congressional earmarks for the Project. A total of $2,051,752 was allocated from a $959,752 Fiscal Year (FY) 2024 earmark and a $1,092,000 FY 2026 earmark. These earmarks are anticipated to be awarded to the County by the United States Environmental Protection Agency (EPA) under their Community Grants Program after the start of the Federal FY on October 1, 2026. An additional $4,000,000 earmark from the California State Assembly has also been awarded through the State Water Resources Control Board (State Water Board) for construction activities on the Project.
The recommended actions will establish a Professional Services Agreement (PSA) with Ardurra Group, Inc. (ARDURRA) to provide professional design services for the Project. In general, ARDURRA’s scope of work includes installing a groundwater monitoring well and conducting a groundwater quality monitoring program, design for rehabilitating the existing storage tank, designing for drilling two production wells, and completing a preliminary design (30%) of the full system, including production wells, treatment system, transmission and distribution lines, and a system for waste disposal. Final system design and construction will be completed in a future phase of the Project as funding becomes available.
DISCUSSION:
On August 13, 2026, the County’s Department of Public Works, Facilities and Parks (PWFP) solicited proposals from qualified consultants through Request for Proposals (RFP) #11000 for professional design services for the Project. On September 17, 2026, PWFP received proposals from three consultants. The proposals were subjected to a competitive selection process that was conducted in accordance with County policies and State and Federal laws under RFP #11000. As a result of this competitive process, ARDURRA was selected as the most qualified consultant.
Board of Supervisors (Board) approval would allow for the issuance of a PSA between the County and ARDURRA to provide professional design services for the Project, for an initial term of three years effective October 27, 2026 to October 26, 2029, with the option to extend the term for two additional one-year periods, for an amount not to exceed $1,239,469.
Attachments A and B are provided for reference and include a draft of the proposed PSA and Location Map. Attachments C through F include RFP #11000 and Addendums No. 1 through 3 to RFP #11000.
Project Phasing:
The preliminary planning-level capital cost estimate for the total Project is approximately $23,000,000. To date, the County has received commitments of $6,051,752 in funding for the Project, with a $4,000,000 award for construction received from the State Water Board and $2,051,752 of Federal earmarks committed from EPA.
Phase 1 - Planning and Preliminary Design will combine the pending Federal funds with the State funds awarded to cover the $6,051,752 cost associated with Phase 1 of the Project to address the planning, environmental permitting, design and construction of a groundwater quality test well, collecting and analyzing groundwater quality samples, and the initial drilling of two production wells. Phase 1 also includes preparing a preliminary design (30%) and identifying the required studies and permits of the Project, including environmental studies and permits, such as the National Environmental Policy Act (NEPA) and California Environmental Quality Act (CEQA), to identify studies to be completed prior to commencing construction in Phase 2.
Current Phase 1 schedule estimates anticipate that EPA funding will be awarded in November 2026. Although expected to change, Phase 1 is currently scheduled to be completed by June 30, 2028, in accordance with State funding guidelines.
Future Phase 2 - Final Design and Construction is unfunded and estimated at approximately $17,000,000. Phase 2 will complete the Project design and construction of the remaining system components, including completing the production wells, constructing the water quality treatment system and addressing the disposal of treatment system wastes, constructing a transmission line, and any other necessary improvements to the distribution system to deliver clean drinking water at the customer’s tap of each San Lucas service connection.
The schedule for completing Phase 2 has not been established. Following completion of the preliminary design for the system during Phase 1, a tentative schedule for Phase 2 may be developed. Funding for Phase 2 construction will need to be identified, and funding opportunities from State, Federal, and private sources will be pursued.
OTHER AGENCY INVOLVEMENT/COMMITTEE ACTIONS:
The Office of the County Counsel-Risk Management has reviewed and approved the PSA as to form and insurance and indemnification provisions. The Auditor-Controller’s Office has reviewed and approved the PSA as to fiscal provisions. The San Lucas County Water District (District), owner of the system, is working in partnership with the County on this Project. A proposed Memorandum of Understanding (MOU) was previously approved by the Board on July 7, 2026 for implementation of the Project. However, the District has not yet processed the proposed MOU for approval by its Board of Directors. In the event the Board approved MOU is not approved by the District Board of Directors and revisions to the Board approved MOU are required, PWFP will return to the Board for approval of any revised MOU for implementation of the Project. EPA will provide funding for planning and design activities, and the State Water Board will provide funding for construction activities.
FINANCING:
The County has secured $4,000,000 in construction funding from the State Water Board and anticipates receiving an additional $2,051,752 from EPA for design engineering, Project management, and environmental work. The County is awaiting the official EPA award under Federal FY 2027, which began on October 1, 2026. Project expenses incurred under this PSA will be reimbursable through Federal funding provided by EPA through the Community Grants Program. Should there be changes to funding requirements or commitments, PWFP staff will return to the Board for further direction.
This Project is included in the County’s current 5-Year Capital Improvement Program. Work on the Project will begin immediately upon execution of the PSA. To facilitate timely implementation of the Project, eligible Project expenditures incurred between July 1, 2026, and the date of the EPA award will be temporarily financed through existing appropriations within the Capital Project Fund (Fund 1930). Upon receipt of EPA grant reimbursements, Fund 1930 will be replenished for these eligible expenditures. Staff will return to the Board with any necessary budget actions following award of EPA funding.
BOARD OF SUPERVISORS STRATEGIC PLAN GOALS:
The recommended actions align with the Board’s Strategic Plan Goals by supporting utility infrastructure that protects residents, infrastructure, and environmental resources. The proposed Project ensures compliance with existing permits, MOUs, and regulatory obligations while restoring the continuity of essential operations.
X Well-Being and Quality of Life
X Sustainable Infrastructure for the Present and Future
X Safe and Resilient Communities
Diverse and Thriving Economy
Prepared by: Thomas Harty, PE, Senior Civil Engineer, (831) 759-6603
Dalia Mariscal-Martinez, Management Analyst III
Reviewed by: Benny Young, PE, Management Specialist
Enrique Saavedra, PE, Chief of Public Works
Approved by: Randell Ishii, MS, PE, TE, PTOE, Director of Public Works, Facilities and Parks
Attachments:
Attachment A - Proposed PSA
Attachment B - Location Map
Attachment C - RFP #11000
Attachment D - Addendum No. 1 to RFP #11000
Attachment E - Addendum No. 2 to RFP #11000
Attachment F - Addendum No. 3 to RFP #11000