205-CPH-Amendment 58 AMENDMENT No. 58
TO THE
AGREEMENT FOR CONTINUING SERVICES
FOR THE DEVELOPMENT OF THE SANFORD
PROCESS SAFETY MANAGEMENT (PSM) PLAN
AND
PERFORMANCE OF A PSM AUDIT
BETWEEN
THE CITY OF SANFORD, FLORIDA
AND
CPH ENGINEERS, INC.
This Agreement made on the//~v/~; day of~/')~ , 2000 between the CITY OF
SANFORD, FLORIDA (hereinafter called the CITY) and CPH ENGINEERS, INC. (hereinafter
called the ENGINEER), is mutually agreed upon and declared an authorized Amendment to an
Agreement dated December 7, 1983, between the parties, herein setting forth the scope, terms
and conditions of the work herein authorized.
In case of any conflict between this Amendment and the aforementioned Agreement of December
7, 1983, this Amendment shall govern for the work described herein.
SECTION I
PURPOSE OF AMENDMENT
1.1. Introduction
The objective of process safety management of highly hazardous chemicals is to prevent
unwanted releases of hazardous chemicals into locations that could expose employees and
others to serious hazards. An effective Process Safety Management (PSM) Program
requires a systematic approach to evaluating the entire treatment process. Using this
approach the process design, process technology, operational and maintenance activities
and procedures, non-routine activities and procedures, emergency preparedness plans and
procedures, training programs, and other elements that impact the processes are all
considered in the evaluation. The various levels of defense that have been incorporated
into the design and operation of the process to prevent or mitigate the release of hazardous
chemical will be evaluated to ascertain their effectiveness. The Process Safety
Management standard targets highly hazardous chemicals that have the potential to cause
a catastrophic incident. This OSHA standard is required by the Clean Air Act Amendments.
in response to the Code of Federal Regulations, 29 CFR 1910.119, "Process Safety
Management of Highly Hazardous Chemicals", and in accordance with the United States
Department of Labor Occupational Safety and Health Administration guidelines, the
ENGINEER will prepare a Process Safety Management (PSM) Plan.
In accordance with previous discussions and meetings between the CITY and the
ENGINEER, all City of Sanford water treatment and water reclamation facilities will be
evaluated and included as part of the overall City of Sanford PSM program.
1.2. Purpose of the Amendment
The purpose of this Amendment is to authorize the Engineer to provide professional
engineering services for the development of a City of Sanford PSM, with regard to water
and wastewater treatment facilities. The Engineer shall provide all services required to
complete each task in accordance with regulatory requirements in effect on the date of
execution of this Agreement to the extent of the scope of work as defined and set out in this
Amendment. The Engineer shall perform professional services as hereinafter stated in
accordance with good engineering practices.
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SECTION 2
SCOPE OF SERVICES
2.1.. Application
Meet with the Utilities Director, Facilities Operations Coordinator, Project Administrator,
water and wastewater facility operators, fire department officials, and other utility personnel
regarding the new Federal and State rules and regulations and development of a strategy
in developing a PSM Plan for the City of Sanford Utilities Department.
2.2 Process Safety Information
2.1 Chemicals
Prepare a written description of process chemistry and reactions involved with each
process to supplement information available in the MSDS.
2.2 Process Technoloav
A. Conduct site visits of the water and wastewater treatment facilities. Perform
detailed inspections of the facilities, unit operations and processes and
chemical injection systems and review facility operation and maintenance logs.
B. For each of the subject facilities, prepare a written general description of
process flows and operation, including all major vessels, valves, controls,
pumps, etc. Obtain information on construction materials, pump capacities and
pressure heads, etc., for use in preparation of the City of Sanford PSM Plan.
Prepare process flow diagrams and descriptions of the unit operations and
processes at the treatment facilities.
C. Based on the above gathered information, inspections and interviews, consult
with the Utility Director, Facilities Operations Coordinator and other utility
personnel, as necessary, to establish a maximum intended on-site inventory of
the hazardous chemicals and safe upper and lower operating limits for each of
the process components.
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2.3 Process Eauipment
A. Foreachprecess, identifyanddocumentthefollowingwithregardtoequipment:
1. Materials of construction;
2. Electrical classification (if applicable);
3. Process facility layout;
4. Relief systems;
5. Ventilation systems;
6. Design codes and standards;
7. Material and energy balances (if applicable);
8. Safety system.
2.3 Process Hazards Analysis (PHA)
A. Assist the City of Sanford in conducting a Process Hazard Analysis (PHA) for each of
the processes previously identified, at each of the treatment facilities, using a "what-if'
and/or "checklist" methodology. Meet with the Utility Director, Facilities Operations
Coordinator, Lead Operators and other utility personnel, at each facility, to identify
potential hazards involved with the particular operations and administration controls
(detection and warnings of releases, instrumentation, alarms, etc.) currently in place.
Also identify any previous incidents (that may or may not have been documented) that
may have potentially caused or did cause an accident.
B. Evaluationoftheconsequencesoffailureofthecurrentengineeringandadministrative
controls, facility siting, human factors and range of possible safety and health effects.
C. Evaluate process hazards and determine what improvements may be needed to reduce
current hazard risk conditions at the treatment facilities.
D. Identify process improvement alternatives and prepare a preliminary opinion of capital
cost(s) for any improvements identified.
E. Prepare a written summary of PHA findings and recommendations for review by the
City of Sanford. The summary will be written for incorporation into the PSM Plan.
2.4 Operating Procedures and Practices
A. Review existing Operation & Maintenance Manuals from each treatment facility for
written operating procedures that clearly address the specific procedures for each
operating phase, including:
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1. Initial Start-up;
2. Normal Operations and Shutdown;
3. Emergency Operations and Shutdown;
4. Start-up following a turnaround or after an emergency shut-down.
B. Obtain written standard operating procedures (SOP's) for the treatment facilities from
the plant operators.
. C. Identify where existing Operating and Maintenance Manuals may be enhanced to meet
current OSHA process safety requirements and recommend revisions as necessary.
2.5 Employee Training
A. Evaluate and summarize the current training practices with regard to initial employee
training, refresher training, documentation of training completion, etc.
B. Identify where the existing Employee Training Program may be enhanced to meet
current OSHA process safety and health requirements and recommend revisions as
necessary.
C. Coordinate with the City to incorporate into the PSM Plan a training record for all
employees which contains the identity of the employee, type and date of training and
means used to verify understanding, if not already instituted by the City.
2.6 Contractors
A. Coordinate with the City of Sanford and assist them in developing an Outside
Contractor Safety Evaluation Program (OCSEP) to satisfy OSHA process safety
requirements.
2.7 Mechanical Integrity
A. Prepare a written summary of current maintenance programs, inspection frequencies,
etc. Evaluate current maintenance programs with City personnel and recommend
where improvements can be made to satisfy OSHA process safety requirements.
B. Prepare a Mechanical Integrity Program (MIP) in accordance with the PSMP that
includes the following:
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1. Identification and categorization of equipment and instrumentation;
2. Determination of inspections, tests and their frequency;
3. Maintenance procedures;
4. Training of maintenance personnel;
5. Documentation of test and inspection results;
6. Documentation of manufacturer recommendations for equipment and
instrumentation.
2.8 Non-Routine Work Authorizations
A. Assist the City in describing non-routine work authorizations.
2.9 Management of Change
A. Assist the City in developing a program to manage process changes or modifications
that will satisfy OSHA PSMP requirements. The program will address changes or
modifications to equipment, procedures, chemicals, materials and processing
conditions.
2.10 Incident Investigations
A. Coordinate with Utility Director and Facilities Operations Coordinator and document
existing incident investigation procedures as well as Emergency Planning and
Response programs.
B. Assist the City in developing an lncident lnvestigation report format that will satisfy the
OSHA PSMP requirements.
2.11 Emergency Planning and Response
A. Evaluate and summarize the current emergency preparedness procedures.
B. Identify where the existing emergency preparedness procedures may be enhanced to
meet current OSHA process safety and health requirements and recommend revisions
as necessary.
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2.12 Compliance Audits
A. Coordinate with the City of Sanford and prepare recommendations regarding future
compliance audits for the PSMP, once implemented, at each facility to comply with
OSHA process safety requirements (Recommendation of a time frame for updates and
facility inspection).
2.13 PSM Plan Preparation
A. Identify and describe specific safety deficiencies at each of the facilities under
consideration.
B. Recommend corrections needed to address these safety deficiencies.
C. Summarize preliminary opinions of capital costs to complete the recommended
corrections.
D. Prepare a "draft" PSM Plan based upon information gathered and prepared under the
above tasks. Address each of the elements under 29 CFR 1910. 119.
E. Submit a "draft" PSM Plan to the City for review and comment.
F. Incorporate review comments and submit final draft to Division of Safety for their
records.
G. Provide five (5) copies of the final PSM Plan to the City of Sanford,
2.14 City of Sanford Compliance Audit
A. 29 CFR 1910.110 (o) of the PSM Standard requires the City of Sanford, due to the
presence of covered processes at the Sanford Main and Auxiliary WTP's (chlorination
facilities with ton-cylinders) and the Sanford North WRF (chlorination & dechlorination
facilities with ton-cylinders of chlorine/sulfur dioxide), to conduct an audit of compliance
with PSM at least every three years with the first audit to be completed this year.
B. A trained team will perform the auditing function and will be led by the ENGINEER.
The compliance audit will include a final report identifying the teams' findings and
corrective actions. The objectives of the compliance audit are as follows:
1. To verify that all requirements, procedures and practices of the OSHA PSM
Standard, 29 CFR 1910.110 (o), are being met;
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2. To assess the effectiveness of the Sanford Main WTP PSMP in reducing accidents
associated with the covered processes;
3. To identify potential weaknesses in the system and identify corrective actions; and
4. Verify that the procedures and practices developed under the OSHA Standard are
adequate.
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SECTION 3
SUPPLEMENTARY SERVICES OF THE ENGINEER
3.1. If authorized by the CITY, the ENGINEER shall fumish or obtain from others,
supplementary services of the following types which will be paid for by the CITY as
an additional cost as outlined in Section 5.
3.2. Additional services due to significant changes in the scope of the project or its
design including, but not limited to, changes in size, complexity, character of
construction, or due to time delays in initiating or completion of the work as
described herein.
3.3. Except as otherwise provided heroin, services or additional costs associated with
revising previously accepted studies, reports, or other documents prepared by the
ENGINEER when such revisions are due to causes beyond the ENGINEER's
control.
3.4. Additional services resulting from public protests, administrative hearings, or similar
matters.
3.5. Preparing to serve and/or serving as an Expert Witness for the CITY in any
litigation, public hearing, condemnation proceeding, right-of-way or easement
acquisition or negotiation, or other legal / administrative proceeding.
3.6. Additional engineering services required by revisions to regulations (after the date
of this Amendment) as applicable to the U.S. EPA, Florida Department of
Environmental Protection (FDEP), U.S. Department of Labor, OSHA, or other
regulatory agency requirements.
3.7. Additional services in connection with the project including services normally
furnished by the CITY as described in Section 4 herein and services not
otherwise provided for in this Agreement.
SECTION 4
CITY RESPONSIBILITIES
4.1 in addition to the specific responsibilities hereinbefore described, the CITY will:
A. Advise the ENGINEER of his requirements for the project and designate a
person to act as the CITY's representative with respect to the work to be
performed under this Amendment, and such person shall have complete
authority to transmit instructions, receive information, interpret and define the
CITY's policies and decisions pertinent to the work covered by this Amendment.
B. Obtain and provide data, information and documentation requested that is
reasonably available on the project.
C. Guarantee access to and make all provisions for the ENGINEER to enter upon
public and private lands as required to perform his work underthis Amendment.
D. Make facilities accessible for inspection.
E. Examine all studies, reports, sketches, schedules, and other documents
presented by the ENGINEER and render decisions pertaining thereto within a
reasonable time so as not to delay the work of the ENGINEER.
F. Assist in obtaining approval of all govemmental authorities having jurisdiction
over the project, and such approvals and consents from such other individuals
or bodies as may be necessary for completion of the Project.
G. Furnish or direct the ENGINEER, in writing, to provide at the CITY's expense,
any subconsultant services not designated in Section 2, if advised by the
ENGINEER and CITY concurs that they are necessary.
H. Furnish, or direct the ENGINEER, in writing, to provide at the CITY's expense,
necessary additional services as stipulated in Section 3 of this Amendment, or
other services as required.
I. Provide such legal, accounting, financial and insurance counseling services as
may be required for the project, and such auditing services as the CITY may
require.
J. Give prompt written notice to the ENGINEER whenever the CITY observes or
otherwise becomes aware of any deficiencies in the Work outlined herein.
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SECTION 5
PAYMENT
5.1. Payment for services and expenses of the ENGINEER are to be as set forth below.
The ENGINEER agrees to perform the work outlined in this Agreement for a lump
sum fee of $26,000.
5.2. The OWNER will make prompt monthly payments in response to ENGINEER's
monthly statements without retention for all categories of services rendered under
this Agreement.
5.3. Charges for the services rendered by principals and employees as witnesses in any
litigation, headng or proceeding will be computed at a rate of $1,200 per day or any
portion thereof (but compensation for time spent in preparing to appear in any such
litigation, hearing or proceeding will be computed in accordance with the payment
method as set forth herein).
5.4 If this Agreement is terminated during prosecution of the services prior to
completion of the services of Section 2, payments to be made in accordance with
Section 5 on account of that and all prior work under this Agreement shall be due
and payable, and shall constitute total payment for services rendered. In addition,
upon termination, the ENGINEER shall be paid for any additional services
authorized and rendered under Section 3.
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SECTION 6
GENERAL CONDITIONS
6.1. Since the ENGINEER has no control overthe cost of labor, materials, or equipment
. or over any construction method of determining prices, any opinion of probable
construction cost which may be provided in the services of this Amendment are
made on the basis of his experience and qualifications and represent his best
judgment as a design professional familiar with the construction industry, but the
ENGINEER cannot and does not guarantee that the construction cost will not vary
from opinions of probable construction cost prepared by him. Similar limitations
apply to construction schedules reviewed or prepared by the ENGINEER.
6.2. The CITY and the ENGINEER each binds himself and his partners, successors,
executors, administrators and assigns to the other party of this Agreement and to
partners, successors, executors, administrators, and assigns of such other party in
respect to all covenants of this Amendment. Nothing herein shall be construed as
creating any personal liability on the part of any officer or agency of any public body
which may be a party hereto, nor shall it be construed as giving any rights or
benefits hereunder to anyone other than the CITY and the ENGINEER.
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IN WITNESS WHEREOF, the parties hereto have made and executed this Amendment
the day and year first above written.
City of Sanford, Florida .
ATTEST &SEAL .:
DATE TI
ENGINEER:
CPH Engineers, Inc
ATTEST & SEAL
" DA E David A. Gierach, P.E.
President
J:'tSO639Vvvorciperfect~ont~Sanford PSM Contract.wpd
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