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Committee continues consideration of $75 million cap on construction-manager liability for Calaveras Dam project

Budget and Finance Committee, Board of Supervisors, San Francisco County · March 31, 2010
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Summary

The committee heard extensive testimony on a proposed $75 million cap on construction-manager indemnity for the Calaveras Dam replacement project. PUC staff argued the cap is a market-driven mitigation to secure qualified bidders; several supervisors urged further vetting and asked whether the cap sets a problematic precedent. The committee continued the item for additional review.

Dan Wade, senior project manager for the Calaveras Dam Replacement Project, opened the item by stressing the dam's seismic vulnerability and the urgency of moving one of the SFPUC's largest projects forward. He told the committee the proposed resolution would approve a $75 million limit on the construction manager's indemnity for the construction-management contract while explicitly excluding gross negligence, statutory damages, wrongful death and similar categories from the cap.

Wade and PUC staff said the dam project is among the largest and most complex in the SFPUC's…

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