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HomeMy WebLinkAboutAgenda Bill 4A 12/07/2009CITY OF PETALUMA~ CALIFORNIA m ~~~~~~ ~~,~, ®ecernbe~ 7, 2009 Agenda Title: Discussion and Adoption ofa Resolution to Authorize the 1Vleetin~ Date: December 7, City Manager to Execute Amendment No. 3 'to the Professional .Services 2009, Agreementfor Interim Operation and Maintenance of-the City of Petaluma's Wastewater Treatment Facility with CDM Constructors, Inc': for Additional 1Vleetin~ Time: 7:00 PM Services Provided During Start-up of the. Ellis Creek Water Recycling :Facility C'ate~Ory: ^ Presentation ^ Appointments ^ Consent ^ Public Hearing, ,® Unfinished Business ^ New Business Department: Director: Contact Person: Phone Number: Water Resource & Michael Ban, P.E. Remleh Scherzinger, 778-4546 Conservation ~ P.E. . ; Margaret .Orr; P:E. 'T'otal Cost of Proposal or.-Proect: The cost for Name.of`Fund: Wastewater Enterprise Amendment No. 3 is $1.51,639. Account. Number: 6600.66700 Amount Budgeted: The budget for Amendment No. 3 is Current Fund Balance (F~' 08-09): $893,714 $893,714. Recommendation: It is recommended that the City Council take the following action: It is recommended the City~Cotzneil authorize the City Manager,to execute AmendmentNo. 3 to the Professional Services Agreement for Interim Operation and Maintenance of the City of Petaluma's Wastewater Treatment. Facility with CDM Constructors, Inc. for additional services provided during start-up of the Ellis Creek Water Recycling Facility. 1. ^ First reading of Ordinance approved unanimously, or with unanimous vote to allow posting prior to second reading 2. ^ First reading of Ordinance approved without unanimous vote: Ordinance has.been published/posted prior to second reading; see Attachment 3. ^ Otheraction requiring special notice: Notice-has been given, see Attachment Summaaw Statement: Start-up of'the Ellis Creek. Water Recycling Facility began on January 6, 2009 with five of the fifteen'staff positions filled. Wliile recruitment for the remaining positions was taking place, the personnel needed to operate the oxidation ponds, the disinfection system, the recycled water system, the collection system pump .stations; the industrial pretreatment program, and the environmental laboratory were temporarily provided by CDM Constructors under the original Interim Operations agreement,. which had a remaining balance of $203,717 on_February 1, 2009. CDM also continued to purchase wastewater treatment chemicals and conduct repair of equipment at the pump stations.. In addition, CDM provided temporary services for support needed after';probatonary employees in two key positions at the Ellis Creek WRF were released during probation. This approach a'l'lowed the, City to..contnue .treating. the eommunity''s wastewater while simultaneously recruiting for qualified candidates `for the remaining positions at the Ellis Creek Water Recycling Facility. The CDM positions were phased otzt as the City's remaining staff was developed. CDM's assistance for operation of these facilities and programs was. needed for four months, which is two months longer than anticipated. This occurred because the recruitment and hiring •processes were more time consuming than anticipated. Attachments to Agenda Packet Item; None Reviewed b .Finance Director: Reviewed b Attorne A rov ~.~ 1VIana er: ~~ ~ ---- r -- _ Date: ,~/~-%~~/ ~ Date:- Date: v--~ Rev. # 2 Date Last Revised: November 25, 2009 File:`. S:\CTP\WASTEWATER\C500305 Hopper St. _ WPCP Decommissioning & Demolition\city ~~ council\december 7, 2009\Amendment 3 '~ draff6~clean.docx p~ ; ,. . :;~ CITY ®F PETAL><J1VIA, CALgF®RNIA DECEMBER 7, 209 AGENDA REPORT FOR DISCUSSION AND ADOPTION OF A RESOLUTION TO AUTHORIZE THE CITY 1VIANAGER TO EXECUTE AMENDMENT NO.3 TO THE PROFESSIONAL SERVICES AGREEMENT FOR INTERIM ®PERATION AND MAINTENANCE OF THE CITY OF PETALUMA'S WASTEWATER TREATMENT FACILITY WITH CDM CONSTRUCTORS, INC. FOR ADDITIONAL SERVICES PROVIDED DURING START-UP OF THE ELLIS CREEK WATER RECYCLING FACILITY I. RECOMMENDATION: It is recommended the City Council Authorize the City Manager to Execute Amendment No. 3 to the Professional Services Agreement for Interim Operation and Maintenance of the City of Petaluma's. Wastewater Treatment Facility with CDM Constructors, Inc. (CDM) for additional services provided during Ellis Creek Water Recycling Facility start-up. 2. BACKGROUND: On January 16, 2008, Veolia Water North America notified the City of its intent to terminate the agreement for operation and maintenance of the Hopper Street Wastewater Treatment Plant (Hopper Street WWTP). This required the City to hire a contractor to succeed Veolia and temporarily operate the Hopper Street WWTP until the Ellis Creek Water Recycling Facility became operational. On February 25, 2008, the Petaluma City Council approved the agreement with CDM Constructors for Interim Operation and Maintenance of the Hopper Street WWTP in the amount of $2,076,240. On January 6, 2009, the City began treating wastewater at the Ellis Creek Water Recycling Facility and discontinued operation of the Hopper Street WWTP. The only facility still in operation at the Hopper Street WWTP is the Pond Influent Pump Station, which pumps the City's wastewater to the Ellis Creek Water Recycling Facility. On February 2, 2009, the City Council authorized Amendment No. 2 to the Agreement for Interim Operations and Maintenance of the City of Petaluma Wastewater Treatment Facility with CDM Constructors, Inc. in the amount of $583,124, for final draining of the Hopper Street WWTP. This work included pumping down all the tanks and removing all the waste materials, including residual. biosolids and grit from the following facilities: ® Primary digester (391,000 gallons) o Secondary digester (202,000 gallons) m Primary'clarifier m Intermediate clarifier ® Final clarifier ® Grit and pre-aeration basin ® Scum basin 2 ® Primary sedimentation tank ® Aeration tanks. (4) ® Secondary clarifier ® Sludge lagoons (2 @ 500;000+ gallons each) ® Aerated lagoon (500,000+ gallons) ® Final biofilter control structure o Splitter box ® Primary biofilter control structure ® Belt filter press ® Biosolids mixing tank ® Septage receiving station ® Secondary sludge structure ® Grit bin enclosure and grit screw ® Headworks DISCUSSION: Start-up of the Ellis Creek Water Recycling Facility began. on January 6, 2009 with five of the fifteen staff positions. filled, including the Administrative Technician, Operations Supervisor, Lead Operator, Operator II'I and. the Instrumentation/Electrical Technician. While recruitment for the remaining positions was'taking place, the personnel needed to operate and maintain the oxidation,ponds, the disinfection system, the recycled water system, the collection system pump stations, the industrial pretreatment program, and the environmental laboratory were temporarily provided by CDM Constructors under the original Interim Operations agreement, which had a remaining balance of $203,717 on.February 1, 2009. CDM also continued to purchase wastewater treatment chemicals. arrd conduct repair of equipment at the pump stations. In addition, CDM provided temporary services for support needed after probationary employees in two key positions at the Ellis Creek WRF were released during probation. This approach allowed the. City to~ continue treating the community's wastewater while simultaneously recruiting for qualified ca~nd~i~dates, for~the remaining positions at the Ellis Creek Water Recycling Facility and allowed City operations staff to focus on start-up of the Ellis Creek Water Recycling Facility. The CDM positions were phased out as the City's remaining staff was developed. 4. FINANCIAL IMPACTS: CDM's assistance for .operation of these facilities and programs under this agreement was needed for four months,'wheh is two rnonfhs longer. than,anticipated. This occurred because the recruitment and hiring processes were more time consuming than anticipated. The cost for the additional services provided by CDM is $151,639. It's important to note these are not additional costs to the wastewater budget. The costs for these services were included in the salary, benefits and maintenance accounts in the FY 08-09 wastewater budget, anticipating that these services would be provided directly by the City. Because of the lengthy recruitment and hiring process, these services were instead provided temporarily by CDM Constructors. As shown in Table 1, these line items had. a cumulative positive balance of offer $893,000 at the end o~ FY 08-09, which is sufficient to offset the balance of additional services provided by CDM Constructors in the amount of :$151;63:9. 3 ' Table 1 Ellis Creek Water Recycling Facility F~' 08-09 Budget Balance Line Item- ~'Y 08-09 Bud et Expenditures as of 6/30/09 Amount Remainin O eratin su lies chemicals $' 362,:100.00 $ 1'3.0.;073.00 $ 232,027.00 Personnel $1,000;450.00 $ 392,OT3.1.3 $ 608,436.87 Maintenance $ 90;000.00 $ 36,250.00 $ 53,250.00 Total ~ $1,452,SSO:QO $ 5.58;836:13 $ 893.,71..3.87 Cost for Amendment No. 3 ~ ~ $ 151,639.00 Under the 2008 agreement,, CDM Coristi•uctors has provided- support for interim operation and maintenance of the Hopper Street WWTP,.management~of`the environmental laboratory and industrial pretreatment programs, operational support for sfart=up of the Ellis Creek Water Recycling.. Facility, and initial decommissioning of the Hopper Street. As shown in Table 2, the cost of these services is $2,811,0.03, which is below the budget amount of $3,920,954. Table 2 Budget Summary of I3opper Street WWTP Interim ®peration And' Decommissioning Agreement Contract. Amount Bud et Services Original Agreement $ 2,076,240 ~$ '2,076,240 Interim "operation of Hopper Street. Amendment No 1 $0 N/ A No cost change, extend;term. IVlanagement.of residual biosolids and grit, . initial decommissioriing of Hopper Street. AmendmentNo.2 $ 583,124 $ 951,000 WWTP. Subtotal $ 2;659,364 $ 3,027;240 Interim management of laboratory, pretreatment program,, operation and maintenarice of collection systempump stations' and oxidation ponds, and :Proposed Amendment operational support.for startup ofEllis Na 3 $ 151,639 $ 893,714. Creek WRF. Total $; 2;811,003 $ 3,920954- Budget Remaining $ 1,.109;95:;1 4 RESOI;UTION AUTHORIZING CITY MANAGER TO: EXE"CUTE AMENDMENT NO. 3 TO TIDE PROFESSIONAL, SERVLCES~A'GREEMENT FOR INTERIM ®PERATION AND MAINTENANCE OF. CI`TI' OF PETALUMA WASTEWATER TREA'T1VIl>FJN'I' FACIL.IT'I' WITH CDM C®NSTRUCTORS, INC. FOR ADDITIONAL. SERVICES PI20VII)ED DURING S`I'AI2T=UP' OF THE EI.I.IS CREED WATER.RECYC'I,ING FACIDITY WHEREAS, since 1937,. the City of Petaluma has treated its wastewater at the Hopper Street Wastewater Treatment Plant.{Hopper Street WWTP) located at 950~Hopper.Street; WHEREAS, treatmentfacilities gat thin.-location include digesters, trickling filters, sedimentation tanks, centrifuge, headworks, influent-pump station, liiower building, aeration tanks, clarifiers;. sludge lagoons, administration building and garage, and the Pond Influent .Pump Station; WIIEREAS, in February 2008, °after Veolia suddenlyterminated the operating agreement, the City hired CDM Constructors to operate the Hopper Street WWTP; including the environmental laboratory and industrial pretreatment programs, on~an interim b"asis until the Ellis Creek Water Recycling, Facility was able: to treat the community's wastewater; and WHEREAS, in February 20:09, the City executed"Amendment No. 2 to the Interim Operations Agreement with CDM Constructors for shutdown of Hopper Street WWTP in the amount of $583,124 ;and WHEREAS, shutdown.of the Hopper Street WWTP'included draining basins, tanks and clarifiers and removal of remaining solids, cleaning, removal and disposal of biosolids from the digesters and lagoons; disconnection of electrical service;., disconnection of sewer and water service; WHEREAS, continued assistance .from CDM Constructors was.:needed after start-up ofthe Ellis Creek Water Recycling.Faclity began on January 6, 2009 for management ofthe environmental laboratory and industrial pretreatment program, operation of`'the oxidation ponds, operation. of the collection systems pump stations, and assistance for start;' up of the Ellis. Creek Water Recycling Facility; and WHEREAS, the time needed to hire qualified personnel for the Ellis Creek Water Recycling. Facility was longer,:,tlan anticipated, which increased. the cost for the additional services provided by CDM Constructors `by $151,,b39; and " WI~EREAS, the FY 08-0`9~wastewater operating budget anticipated these costs. in the personnel, maintenance and supplies line :items wfiich had a positive budget balance of $893,714 at the end of FY Q8-Q9; which is sufficient to cover the cost of `$151,639 for additional services .provided by CDM Constructors; and NOW, THEREFORE, ~E IT RES®LVED BY TILE' CIT4' COi1NCIi, OF THE CITY OF PETAL.UMA AS FOL.I.OWS: 1. "The above recitals are true and correct and hereby declared to be findings of the City Gounch of-the- City of Petaluma. ' 2. The City Manager is hereby authorized and directed to execute Amendment No. 3 to the Professional Service Agreement-for Interim.Operation arid'Manteriance of City of. .Petaluma Wastewater`Treatment;Faeility with CD1Y1 Constructors; Inc: for. additional services provided` during, start-up of the Ellis Creek Water Recycling Facility in the amount of $;151,639: The ;total contract amount s:increased from $2;65-9;364 to $2~811,0~03. 6