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HomeMy WebLinkAboutE-3.1. Award Engineering Services Agreement for Water Project W-288CONSENT CALENDAR E-3 TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AZUSA UTILITY BOARD FROM: TIKAN SINGH, GENERAL MANAGER DATE: NOVEMBER 28, 2022 SUBJECT: AWARD PROFESSIONAL ENGINEERING AND CONSTRUCTION MANAGEMENT CONSULTING SERVICES FOR DESIGN OF ASPAN WELL REHABILITATION AND GROUNDWATER TREATMENT PLANT PROJECT W-288 BACKGROUND: For over thirty-five years, Azusa Light & Water’s (ALW) Aspan Well has been inactive due to groundwater contamination. Since 2008 ALW has explored the possibility of reactivating Aspan Well. In 2018, ALW procured permits to sample the water quality of Aspan Well and installed a test pump to verify the capacity and physical condition of the well. With the ongoing drought conditions affecting Azusa water supplies, ALW has continually looked for redundant measures to diversify the water portfolio. Unlike most Azusa wells located in the Canyon Basin, Aspan Well can pump from the Main Basin, which is a larger and deeper water basin supplying more water. The test in 2018 determined that Aspan Well is viable for reactivation with proper contamination removal treatment. In 2021, Stetson was hired to evaluate potential hydraulic impacts and identify required facilities and costs to reactivate and integrate the well into the distribution system. ALW issued a request for proposal on June 8, 2022 to provide professional engineering services to design Aspan Well Rehabilitation and Aspan Ground Water Treatment Facility including construction management and inspection services during the construction phase of the project. There was a mandatory pre-proposal zoom meeting on June 21, 2022 and proposals were accepted until June 29, 2022. The selected Consultant is required to: design; coordinate grant funding; obtain and file required permits necessary for the project, including environmental state and federal documents (CEQA and NEPA); and prepare the bid documents, including the engineering plans, specifications and engineer’s estimate, to rehabilitate Aspan Well; as well as construct a groundwater treatment facility for the reduction of volatile organic contaminants and for reduction of nitrate contamination. The new groundwater treatment facility shall include: electrical power to the site; instrumentation and SCADA for the monitoring, control and operation of this treatment facility, including disinfection facilities; waste water discharge pipeline; and design of a waste brine disposal pipeline. Approved Utility Board 11/28/2022 Engineering Services Agreement for Aspan Water Project W-288 November 28, 2022 Page 2 RECOMMENDATION: Staff recommends the Utility Board take the following action: 1) Award Professional Engineering Services Agreement for design, contract documents, and construction management services for the Aspan Well Rehabilitation and Ground Water Treatment Facility Project W-288 to Stetson Engineers Inc; and 2) Authorize the issuance of a Purchase Order for a not-to-exceed price of $1,665,840 in accordance with Azusa Municipal Code Sec 2-518 – Contracts. ANALYSIS: In 1951, the Aspan Well was installed to produce groundwater from the Main San Gabriel Basin for ALW customers. The Well is located on North Aspan Avenue, near West 3rd Street, just South of the I-210 Freeway in the City of Azusa. The production rate was 4,300 gallons per minute (GPM) in 1951. Over time, and based on the aquifer of the Main San Gabriel Basin, the production rate decreased. In 1972, the well was producing 3,100 GPM. In 1979, due to an increased understanding of human formed, harmful water-contaminates, the Environmental Protection Agency, along with local state regulatory agencies, imposed a maximum contaminant level for volatile organic compounds (VOCs). These compounds, in particular tetrachloroethylene (PCE) and trichloroethylene (TCE), were in many instances discovered in the groundwater tables and attributed to industrial metal degreasing operations and dry cleaning. In the 1980s, it was discovered that the Aspan Well had traces of these contaminates, in addition to elevated levels of Nitrate (“NO3”). In 1987 ALW ceased operating the well due to nitrate concentrations exceeding the Maximum Contaminant Level (MCL), 10 milligrams per liter, for drinking water. The Aspan Well has remained inoperable ever since. In 2008, ALW test pumped the Aspan Well. The water quality results had volatile organic compounds, including 1,1 Dichloroethylene (1,1-DCE) detected above the MCL. In 2018 the test pump included installation of a temporary well turbine pump designed for 2,000 GPM at a depth of 400 feet. The plan involved pumping between 1,400 and 2,000 GPM for 72 hours continuously. During that period, the water was sampled at prescribed intervals and flow rates. Discharged water was channeled through temporary piping into a storm drain system. In compliance with Main San Gabriel Basin Watermaster requirements, this water travelled through the storm drain system, into Little Dalton Wash, and was diverted into the Los Angeles County, Department of Public Works Irwindale Spreading Grounds, located northeast of the intersection at Irwindale Avenue and Cypress Street. Accordingly, all discharged water percolated back into the basin. In 2018 Stetson Engineers, Inc. (Stetson) prepared a sampling plan for pumped water discharges for Aspan Well. The plan included the National Pollutant Discharge Elimination System (NPDES) permit along with requirements from the Los Angeles Regional Water Quality Control Board and State Water Resources Control Board, Division of Drinking Water. Water samples were collected in anticipation of bringing the well back to potable operation. Staff expected that water from the well would require treatment before it could be introduced into the Azusa water system. Engineering Services Agreement for Aspan Water Project W-288 November 28, 2022 Page 3 In 2014 and in 2021, ALW had to make a one-time water purchase of 3,000-acre feet of untreated MWD water to be delivered in the summer months to the upper spreading grounds. In each instance, ALW purchased the water for roughly $3,000,000. In 2021, the full service untreated (tier 1) rate was $880 per acre feet (AF) plus the capacity charge (before October 1) is $10,700 per CFS. The capacity charge is also required to be paid for three additional years. For the 3,000 AF at 20 CFS $2,854,000 plus $214,000 for three additional years. Stetson’s 2019 Technical Memo stated if the Aspan Well was reactivated and the treatment plant was in place, Aspan Well could generate 2,200 AF per year. Stetson Engineers prepared a Technical Memorandum in May 2022 for the review of the Aspan Well and treatment facility hydraulic impact on the ALW distribution system. That Memorandum included 2022 project cost analysis to produce VOC treated water from Aspan Well. The estimated project costs are approximately $513 per acre foot. The $513/AF cost includes $77/AF amortized costs to rehabilitate the well and construct the treatment system, $129/AF filter media costs, $207/AF amortized cost for operations and maintenance, and $100/AF electrical energy cost to operate the Aspan Well. Based on Stetson’s estimated costs the annual cost of treated water at the Aspan Treatment Facility would be roughly $1,128,000, in addition there are associated water fees for an estimated annual reduction in delivered water cost of roughly $500,000 if ALW is required to buy $3 million dollars of imported MWD water annually. The cost savings is a small portion, the real advantage is to diversify ALW water portfolio with a new water source. This new water source will aid with the ongoing drought crisis in California, providing an additional capacity of 2,200 AF and hedge against higher priced water. This project will consist of: rehabilitating the existing Aspan Well casing; installing a new casing liner, installing new glass bead gravel pack; and installing a new pump, column pipe, discharge head and electric motor. The project will also include: the design of treatment facilities for the reduction of volatile organic contaminants; design of treatment facilities for reduction of Nitrate contaminants; design of disinfection facilities; design of waste water discharge pipelines; design of waste brine discharge pipelines; design of support facilities, including installing new ALW power to the site, electrical, instrumentation, remote terminal unit (RTU), SCADA and communications to remotely monitor and operate the site. The project includes: treatment vessels; piping; valves; buildings; tanks; pumps; electrical; instrumentation and SCADA; connections; tie- ins; removals; abandonments; appurtenances; and all supplies, equipment, shoring, and transportation necessary to construct and complete the project entitled: Aspan Well Rehabilitation and Aspan Ground Water Treatment Facility Project W-288. ALW issued a request for proposals (RFP) for engineering services for design and construction management services on June 8, 2022. The RFP was advertised on the City website starting on June 8, 2022. Staff sent the RFP to qualified consulting engineering firms in the area. There was a mandatory pre-proposal meeting on June 21, 2022 via Zoom and six consulting firms attended including SA Associates, Kennedy Jenks, Calvada, Linkture, Tetra Tech, and Stetson Engineers. Staff received responses from four firms thanking ALW for the opportunity to bid, but declined submitting a proposal due to availability and resources. Staff received proposals from Stetson Engineers Inc. and Tetra Tech. Engineering Services Agreement for Aspan Water Project W-288 November 28, 2022 Page 4 Professional Engineering Firms Total (not-to-exceed) Price Tetra Tech $2,930,600 Tetra Tech (revised) $2,403,580 Stetson Engineers $1,514,400 Civiltec Declined to Propose Kennedy Jenks Declined to Propose SA Associates No Proposal Stantec/MWH Declined to Propose Black & Veatch Declined to Propose Calvada No Proposal Staff met with Stetson Engineers and Tetra Tech Engineers to discuss the proposals on July 6, and July 12, 2022, via Zoom calls. Tetra Tech Engineers routinely design Ground Water Treatment Facilities, as their specialty. Tetra Tech’s proposal includes a detailed scope of services with an aggressively scheduled 2-year timeframe for the project, with an estimated project completion in August of 2024. The only issue is it’s an additional $740,000 to Stetson’s proposal. Staff recommends Stetson Engineers Inc. to prepare the professional engineering design, contract documents, and provide construction management services per the proposed Scope of Work in their proposal. The design engineer cost is $212 per hour for John Cardoza and the proposed Construction Inspector and RCE for the Construction Management is MCM Management subconsultant for $175/hour. FISCAL IMPACT: The project is currently budgeted in the Water Fund 32 Account. The fiscal impact of this design project award is $1,514,400 plus a 10% contingency of $151,440 for a total not to exceed price of $1,665,840. Funds for this service are budgeted under CIP 72123C Aspan Well and Treatment. Engineering Services Agreement for Aspan Water Project W-288 November 28, 2022 Page 5 Prepared by: Reviewed and Approved: Melissa Barbosa, P.E. Tikan Singh Interim Assistant General Manager General Manager Water Operations Reviewed and Approved: Sergio Gonzalez City Manager Attachments: 1) Stetson Engineering Inc. Proposal 2) Professional Service Agreement