Title
Proposed Amendment No. 2
Contract No. 1803594
CSO Accusonic Flow Meters Preventative Maintenance Services
O&M
Body
Agenda of: April 24, 2024
Item No.: 2024-153
Amount: Original Contract Amount $3,675,532.00
Amendment No. 1 396,240.00
Proposed Amendment No. 2 1,827,404.55
Total Contract $5,899,176.55
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: April 4, 2024
RE: Proposed Amendment No. 2
Contract No. 1803594
CSO Accusonic Flow Meters Preventative Maintenance Services
Vendor: Hamlett Engineering Sales Company, dba HESCO
MOTION
Upon recommendation of Navid Mehram, Chief Operating Officer - Wastewater Operating Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. 1803594, Proposed Amendment No. 2, “CSO Accusonic Flow Meters Preventative Maintenance Services” with Hamlett Engineering Sales Company, dba HESCO, at an increased cost of $1,827,404.55 for a total cost not to exceed $5,899,176.55 and an increased duration of five (5) years for a total duration of ten (10) years; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
The Combined Sewer Overflow (CSO) Facilities and the Water Resource Recovery Facility (WRRF), utilize ADS®, Accusonic flow meters to measure flow coming into a facility (influent), or leaving the facilities (effluent). These type of flow meters are common for large diameter pipes because traditional flow meters aren’t manufactured in the size of typical GLWA influent/effluent pipes. Accurate flow measurement is necessary to advise operators on the chemical dosing, and for regulatory reporting for facility flows to maintain compliance with the WRRF National Pollutant Discharge Elimination System (NPDES) permit. While this technology is very robust, regular maintenance of these flow meters is required. The type of maintenance required for these types of flow meters is outside of the normal services provided by WRRF / CSO team maintenance members because of the specialized maintenance and repair required by the manufacturer.
The CSO Facility Accusonic flow meters have been maintained for the last five years, and the WRRF meters for the last three years by vendors providing this type of specialized maintenance. Continuing this specialized maintenance is necessary for GLWA to remain compliant with our permit.
JUSTIFICATION
The accurate influent and effluent flow data is necessary for operations to effectively operate wastewater facilities. GLWA relies on accurate flow measurement to assist in decision making regarding management of upstream sewer water levels to avoid possible basement backups. Without the information provided by working flow meters, operators are left to guess what the flows are for disinfection purposes and are also left to guess the total amount of flow that entered or exited a facility for regulatory reporting purposes, both of which would result in violations of the NPDES permit.
Before the existing meter maintenance contract (this contract) expired, GLWA developed a refined scope of work for meter maintenance at the CSO Facilities only and competitively bid it out. The costs for that competitive bid were $6.5 million for the CSO facilities only, for a period of five years. As a part of due diligence, GLWA decided to explore a contract amendment with the current vendor (HESCO) for continuation of the same services to compare the costs to this competitively bid price, and there is a substantial savings to GLWA for continuing the current services under this amendment. Given the existing vendors performance, and substantial savings over the competitively bid price, we recommend a contract amendment for an additional five years at a cost of $1,827,404.55 as the best option economically which also does not compromise the quality of work for this specialized maintenance.
These flow meters support compliance with our NPDES permit requirements to report flow and discharge volumes during CSO discharge events at the CSO facilities, and flow data for the WRRF, and by allowing the process to be controlled for chemical dosing which is in compliance with the GLWA NPDES Permit.
PROJECT MANAGEMENT STATUS
Original Contract Time 1,827 days (04/30/2019 - 04/29/2024)
Amendment No. 1 0 days
Proposed Amendment No. 2 1,826 days (04/30/2024 - 04/29/2029)
New Contract Time 3,653 days (04/30/2019 - 04/29/2029)
PROJECT ESTIMATE
Original Contract Price $3,675,532.00
Amendment No. 1 396,240.00
Proposed Amendment No. 2 1,827,404.55
New Contract Total $5,899,176.55
FINANCIAL PLAN IMPACT
Summary: The maintenance of the Accusonic flow meters is a part of the annual operations & maintenance budget. The annual maintenance budget is based on estimated maintenance projections which may less than those allowed under the contract, thereby creating a negative variance. Should the maintenance of the meters exceed the annual budget in any year a budget amendment would be required, first offset by positive maintenance variances, then positive variances in other categories. The Capital Outlay amended budget for the replacement of meters was less than what was forecast under the contract.
Funding Source: Operations & Maintenance (O&M) Budget (5960)
Improvement & Extension (I&E) Budget (5404)
Cost Centers: Secondary Processing (892224)
Puritan Fenkell Combined Sewer Overflow (892271)
Seven Mile Combined Sewer Overflow (892272)
Hubble Southfield Combined Sewer Overflow (892273)
Leib Combined Sewer Overflow (892274)
St Aubin Combined Sewer Overflow (892275)
Conner Creek Combined Sewer Overflow (892276)
Baby Creek Combined Sewer Overflow (892277)
Expense Type: O&M - Contractual Operating Services (617900)
O&M - Repairs & Maintenance Equipment (622300)
I&E - Capital Outlay over $5k (I&E-Capitalized) (901100)
Estimated Cost by Year and Related Forecasted Variance: See table below:
Fiscal Year O&M Amount I&E Amount Total Amount
FY 2019 Amended Prorated Budget $85,000.00 $0.00 $85,000.00
FY 2020 Amended Budget $130,700.00 $610,000.00 $730,700.00
FY 2021 Amended Budget $150,180.00 $410,500.00 $560,180.00
FY 2022 Amended Budget $203,800.00 $376,500.00 $872,800.00
FY 2023 Amended Budget $185,400.00 $0.00 $185,400.00
FY 2024 Budget $320,200.00 $0.00 $320,200.00
FY 2025 Budget $362,000.00 $0.00 $362,800.00
FY 2026 Plan $372,100.00 $0.00 $372,100.00
FY 2027 Plan $387,900.00 $0.00 $387,900.00
FY 2028 Plan $397,600.00 $0.00 $397,600.00
FY 2029 Plan (Prorated) $338,580.00 $0.00 $338,580.00
Total Financial Plan $2,927,080.00 $1,397,000.00 $4,324,080.00
Proposed Contract Award $4,428,176.55 $1,471,000.00 $5,899,176.55
Variance (positive/(negative)) ($1,501,096.55) ($74,000.00) ($1,575,096.55)
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on April 10, 2024. The Operations and Resources Committee unanimously recommended that the GLWA Board adopt the resolution as presented.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.