Title
Contract No. 2401236/REQ-0000036
Specialized Services-Staff Augmentation
O&M
Body
Agenda of: December 11, 2024
Item No.: 2024-408
Amount: $ 26,782,697.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: November 27, 2024
RE: Contract No. 2401326/REQ-0000036
Specialized Services-Staff Augmentation
Vendor: LGC Global, Inc.
Status: New Contract/PO
MOTION
Upon recommendation of Cheryl Porter, Chief Operating Officer - Water and Field Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. 2401236/REQ-0000036, “Specialized Services-Staff Augmentation” with LGC Global, Inc., at a cost not to exceed $13,391,348.50 for a duration of two (2) years, with two (2) one (1) year renewal options at a cost not to exceed $6,695,674.25 for each renewal year for a total contract amount of $26,782,697.00; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
The Proposed Contract No. 2401236/REQ-0000036 is a Specialized Services-Staff Augmentation Contract that will be utilized to assist GLWA with large maintenance and emergency projects to stay in compliance with state and federal regulations. The Contract will provide the necessary support for urgent and emergency tasks that require immediate attention. Specifically, GLWA’s major maintenance responsibilities include the performance of corrective (i.e., immediate/urgent/emergency), preventive (i.e., regularly scheduled intervals) and predictive (i.e., measured equipment operational intervals) maintenance on large pumping units, motors, valves and related support equipment at the water treatment plants, water booster stations, pressure regulating valves, remote sites, sewer lift stations and current combined sewer outfalls.
JUSTIFICATION
This Proposed Contract No. 2401236/REQ-0000036 will provide supplemental Specialized Services-Staff Augmentation to GLWA, in terms of equipment and staff, to address various specialized tasks outside of the core, day-to-day operations and maintenance tasks of GLWA. Examples include dismantling and installing large (500 horsepower and above) pumps and motors as periodically required for maintenance, repair, and replacement. This Contract will also provide staffing for our electrical, millwrights, and plumbers to assist with all urgent and emergency tasks. Proposed Contract No. 2401236 replaces Contract No. 2004889.
FINANCIAL PLAN IMPACT
Summary: The proposed contract with Lakeshore Global Corporation encompasses Operations & Maintenance expense only. If approved, a negative estimated variance of ($841,348.50) is created. This variance will be funded from Reserves.
Funding Source: Operations & Maintenance (O&M) Budget
Cost Center(s): Systems Operations Control cost center 882301
Field Service Operations cost center 882431
Belle Isle Pumping Station 892342
Blue Hill Pumping Station 892343
Fischer Pumping Station 892347
Woodmere Pumping Station 892352
Expense Type(s): Contractual Operating Services (617900)
Contractual Professional Services (617903)
Repairs & Maintenance-Equipment (622300)
Estimated Cost by Year and Related Estimating Variance: See table below.
Fiscal Year Amount
FY 2025 Budget (Prorated) $ 3,137,500.00
FY 2026 Financial Plan 6,275,000.00
FY 2027 Financial Plan 3,137,500.00
Financial Plan Forecast $12,550,000.00
Proposed Contract Amount 13,391,348.50
Variance (positive/ (negative)) ($841,348.50)
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on December 11, 2024.
SHARED SERVICES IMPACT
This item impacts the shared services agreement between GLWA and DWSD.