Title
Contract No. 2102000
Emergency and Urgent Sewer Evaluation, Repair and Rehabilitation
CIP #260209 / BCE Score: 61.3
Body
Agenda of: February 23, 2022
Item No.: 2022-043
Amount: $53,600,000.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Interim Chief Executive Officer
Great Lakes Water Authority
DATE: February 2, 2022
RE: Contract No. 2102000
Emergency and Urgent Sewer Evaluation, Repair and Rehabilitation
Vendor: Inland Waters Pollution Control, Inc.
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 Interim Chief Executive Officer (ICEO) to enter into Contract No. 2102000 “Emergency and Urgent Sewer Evaluation, Repair and Rehabilitation” with Inland Waters Pollution Control, Inc., in the amount of $26,800,000.00 for the duration of two (2) years, with two (2) one (1) year renewal options at a cost not to exceed $13,400,000.00 for each renewal year for a total contract amount not to exceed $53,600,000.00; and authorizes the ICEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
The GLWA sewer system consists of approximately 180 miles of sewers ranging in diameter from 48 inches through 168 inches. Due to the size, age and potential for deterioration of the sewer pipes, ongoing inspections, immediate spot repairs and/or rehabilitation are often required. In order to inspect, make spot repairs, and collect the necessary information to develop capital improvement projects, and conduct urgent and emergency repairs as needed, GLWA uses a program approach within the capital improvement plan to provide these services and manage associated costs. Contract No. 2102000 is necessary to continue the sewer inspections, emergency repairs, and rehabilitations, and it replaces the existing contract CON-149. GLWA utilizes condition assessment and the Pipeline Assessment Certification Program (PACP) rating to assess sewer condition to track condition and rate of repair and rehabilitation. Often, an immediate emergency action is required, and sewer rehabilitation services are necessary to repair plugged, damaged, and collapsed sewers to avoid basement flooding, and maintain the flows within the wastewater conveyance system.
The previous contract, GLWA-CON-149 “Emergency Sewer Repair,” with Inland Waters Pollution Control, Inc., was for the period of July 17, 2017 through December 30, 2022 in the amount of $67,000,000.00. When Contract No. 2102000 is fully underway, CON-149 will be terminated.
JUSTIFICATION
The purpose of this contract is to ensure the promised level of service for sewers by providing the means of inspection, spot repairs, sewer lining, and/or open cut repair of failed sewers and in-place rehabilitation of selected sewers using the procedures as specified in the contract. The contract provides for unit rate repairs and time and material work as needed to complete all of the proposed types of work anticipated under this contract.
FINANCIAL PLAN IMPACT
Summary: The proposed contract with Inland Waters Pollution Control, Inc. encompasses Capital Improvement Plan & Operations & Maintenance expenses. The FY 2022 budget and five-year financial plan was based on the previous contract period. The value of the contract exceeds the current financial plan in total. Potential positive variances of other contractual services as well as the use of this service may vary by year. Sufficient funds will be provided in the Operations & Maintenance (O&M) financial plan for this contract related to contractual professional services.
Funding Source: Operations & Maintenance (O&M) Budget, CIP 260209/260200
Cost Center(s): Field Service Operations…….Centralized Services cost center 882431
Expense Type(s): Contractual Operating Services - All Sewer (617902); Construction (616900)
Estimated Cost by Year and Related Estimating Variance: See table below.
For Capital consideration CIP Program 260209 (Sewer and Interceptor Rehabilitation Program) is used for funding of this proposed change order in addition to the FY 2026 260200 (Sewer and Interceptor Rehabilitation Program) unallocated project expenses as noted in the Board approved CIP Plan Appendix B.
Fiscal Year CIP 260209 Plan O&M Budget Total
FY 2022 Budget (Prorated) $ 0.00 $ 819,733.00 $ 819,733.00
FY 2023 Financial Plan 4,504,000.00 4,918,400.00 9,422,400.00
FY 2024 Financial Plan 5,862,000.00 4,918,400.00 10,780,400.00
FY 2025 Financial Plan 1,832,000.00 4,918,400.00 6,750,400.00
FY 2026 Financial Plan (Prorated) 5,793,000.00 4,098,667.00 9,891,667.00
Financial Plan Forecast $17,991,000.00 $19,673,600.00 $37,664,600.00
Proposed Contract Amount $29,480,000.00 $24,120,000.00 $53,600,000.00
Variance (positive/(negative)) ($11,489,000.00) ($4,446,400.00) ($15,935,400.00)
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on February 9, 2022. 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.