Title
GLWA-CON-219
Debris Removal, Disposal, Cleaning and Flowmeter Services in Influent Conduit at Baby Creek CSO Facility
Body
Agenda of: January 24, 2018
Item No.: 2018-535
Amount: $1,688,900.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Sue F. McCormick
Chief Executive Officer
Great Lakes Water Authority
DATE: January 8, 2018
RE: Contract No.: GLWA-CON-219
Debris Removal, Disposal, Cleaning and Flowmeter Services in Influent Conduit at Baby Creek CSO Facility
Vendor: LGC Global, Inc.
MOTION
Upon recommendation of Suzanne Coffey, Chief Planning Officer, Interim Chief Operating Officer - Wastewater, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. GLWA-CON-219, “Debris Removal, Disposal, Cleaning and Flowmeter Services in Influent Conduit at Baby Creek CSO Facility” with LGC Global, Inc., at a cost not to exceed $1,688,900.00 for a duration of seven months (210 calendar days) time period, extendible on a month-to-month basis as needed thereafter; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
The Baby Creek CSO Facility is the second largest CSO Facility operated by GLWA in terms of wet-weather capacity (5,100 cfs). Capacity is expressed in terms of total flow volume through a facility, which includes flows that are discharged to the river, as permitted CSO discharge, and flows which pass through the facility headed towards the WRRF. As such, this capacity is currently limited at the upstream end of the Baby Creek CSO facility because the dry-weather channel responsible for conveying flow to the WRRF is not capable of achieving the design flow rates for the facility due to reduced cross-sectional area (i.e. reduced capacity due to solids deposition). The dry-weather channel allows the facility to serve as a pass through during dry-weather (i.e. no pumping). This solids deposition has also caused influent flow meters for this facility to not function due to fouling. A major challenge in facilitating cleaning of this influent channel is lack of access for personnel and machine. This project will restore the upstream capacity to the facility by removing the debris from the channel, install manway access points (manholes) to facilitate present and future cleaning, and rehabilitate the influent sewer flow meters to restore proper function.
JUSTIFICATION
The Baby Creek CSO Facility is a Michigan Department of Environmental Quality permitted NPDES CSO discharge location. As such, there are operational protocols identified in the yearly Consolidated Annual report which highlight the facility, its capacity, and how it is designed to be operated during dry and wet weather. The current deposition in the influent channel is causing the facility to switch into wet-weather mode earlier than it otherwise would during a wet-weather event, and also may result in otherwise higher CSO discharges due to lack of conveyance capacity in the dry-weather channel to the WRRF. This condition, if left untreated, will result in a compliance issue with the NPDES permit operational parameters as well as increased operating expenses due to use of additional disinfection chemicals, electrical, associated maintenance et al. For the above reasons, this project is necessary to restore proper operation to the Baby Creek CSO Facility.
PROCUREMENT METHOD
Procurement Method: Competitively bid - Lowest responsive and responsible vendor.
Advertised: September 18, 2017
On Michigan Inter-governmental Trade Network (MITN) website
Distributed to: 395 vendors
Downloaded by: 24 vendors
Addendums released: 1
Response due date: October 12, 2017
Responses received: Two (2) vendors’ submitted bids - (Refer to attachment “No Response Follow Up”)
Evaluation method: Request for Bid (RFB) - Lowest responsive and responsible bid tabulation
Fee type: Fixed fee by task
Vendor (Lowest to Highest) Cost____
LGC Global, Inc. $1,688,900.00
Inland Waters Pollution Control, Inc. $1,700,250.00
The Wastewater Operations Group recommends that LGC Global, Inc. be awarded this contract.
Minority Business Enterprise (MBE): Yes
Detroit Based Business (DBB): Yes
Small Business Enterprise (SBE): Yes
Sub-Contractor(s) List:
N/A
Litigation
This vendor is not currently nor has been previously involved in any litigation with the GLWA.
Financials
A financial risk assessment was performed by the GLWA via Dun & Bradstreet and was determined that the selected vendor has the financial capacity to perform the tasks under this contract. This information is available for the Board of Directors to review upon request.
Project Estimate
The Project Manager’s pre-bidding estimate for this project was $1,500,000.00,
Project Costs
The contract costs are as follows:
Contract Price $1,438,900.00
Allowance for As-Needed Repair of Flow Meters 250,000.00
Total Contract Price $1,688,900.00
BUDGET IMPACT
The debris removal from the influent channel at the basin during FY 2018 will involve three areas of our financial plan: Capital Improvement, Operations and Maintenance and Capital Outlay.
The schedule below outlines the impact on each of these sources and the corresponding general ledger accounts after a budget amendment that reallocates other operating costs.
|
|
|
FY 2018 |
|
Operations and Maintenance |
5960-892277.000-617900-SD8600 |
$ 1,084,400 |
|
Capital Improvement |
5421-892211.000-616900-215001 |
$ 354,500 |
|
Capital Outlay |
5404-892277-000-901100-SEWR01 |
$ 250,000 |
|
Total |
|
$ 1,688,900 |
The contract award is within the financial plan which included the project manager’s estimate as well as funding within other budget areas.
SAVINGS, COST OPTIMIZATION, AND REVENUE ENHANCEMENT IMPACT
This award of this contract provides an estimating variance of $188,900 ($1,500,000 budget less $1,688,900 actual). The contract also supports permit compliance and improves operations which are not quantifiable at this time.
|
Budget Estimation |
|
Project estimate |
$1,500,000.00 |
|
Costs |
$1,688,900.00 |
|
Cost variance |
($ 188,900.00) |
ADDITIONAL OPTIMIZATION INFORMATION
Previous contract holder: This is a new contract service.
Benchmarking was completed by comparing the bid table for this project. This analysis confirmed that LGC rates are in competitive range. The rate comparisons are illustrated in the attached document labeled “GLWA-CON-219 RFB Evaluation Form.”
COMMITTEE REVIEW
This matter was reviewed by the Operations and Resources Committee at its meeting on January 10, 2018.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.