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SECTIONONE <br />Introduction <br />would be required by CWCB to allow funding for the project since URS was not involved with <br />the development and evaluation of possible alternatives, subsequent selected alternative design, <br />and contractor selection. CWCB requested the Company to have URS perform a peer review of <br />the contract documents to ensure they met industry standards and CWCB guidelines. URS <br />identified several opportunities to reduce construction, and operational and maintenance costs; <br />improve system operations; and minimize construction risk through the peer review. The <br />Company then decided to have URS perform design revisions to capitalize on these opportunities <br />but also have URS become the engineer-of-record for the project to establish a point of design <br />accountability for the CWCB loan. URS will complete the design revisions by November 2008. <br />Once the revised design is completed the construction cost will be negotiated with the <br />Contractor. It is anticipated that construction will occur between December 2008 and May 2009. <br />1.3 SCOPE OF WORK <br />The scope of work authorized by the Company included three tasks: 1) Construction <br />Documentation Peer Review, 2) Design Revisions, and 3) CWCB Loan Application. <br />Task 1-CONSTRUCTION DOCUMENT PEER REVIEW <br />CWCB requested the Company to have URS perform a thorough review of the design to ensure <br />that the design was constructible and had technical merit before they would loan the Company <br />funds for the project. Through this constructability review, URS potentially lowered the project <br />costs and eliminated costly project delays by uncovering problems before they occurred in the <br />field. Ultimately, URS reviewed the documents to assure that "quality" was properly defined in <br />the documents, in keeping with current industry design standards, and that cost-effective <br />materials and equipment were specified in line with life expectancy and maintainability of the <br />constructed system. Throughout these efforts, one of URS' main objectives was to minimize <br />claims and risk for all parties involved including the Company, CWCB, Contractor, and URS. <br />URS summarized the recommendations and conclusions in a memorandum. <br />Task 2 -DESIGN REVISIONS <br />URS prepared a revised design based on the findings and recommendations related to Task 1 - <br />Construction Document Peer Review. The revised design included the contract specifications <br />and drawings along with pricing services with the Company's contractor. <br />~~ 1-2 <br />