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HomeMy WebLinkAbout2008-10 Ops MINUTES OF THE OPERATIONS COMMITTEE Engineering, Operations & Maintenance, and Technical Services Orange County Sanitation District October 1, 2008—5:00 p.m. A meeting of the Operations Committee of the Orange County Sanitation District was held on October 1, 2008, at 5:00 p.m. in the Sanitation District's Administrative Office. Following the Pledge of Allegiance, a quorum was declared present, as follows: Operations Directors Present: Staff Present: Ken Parker, Chair Jim Ruth, General Manager Bill Dalton, Vice Chair Bob Ghirelli, Assistant General Manager Charles Antos Nick Arhontes, Dir. of Operations & Maintenance Dan Bankhead Jim Herberg, Director of Engineering Rose Espinoza Ed Torres, Director of Technical Services Patsy Marshall Penny Kyle, Clerk of the Board Roy Moore Tod Haynes Joy Neugebauer John Linder Harry Sidhu Dave MacDonald Constance Underhill Chuck Winsor Don Webb Carla Dillon Doug Davert, Board Chair Larry Gibson Larry Crandall, Board Vice Chair Kathy Miles H NK7H0E pHEp pF Jeff Reed TN � RNtY 3F�1T TII B%Operations Directors Absent: pqA AN A ON I ICT David Shawver OCT 2 2 2008 PUBLIC COMMENTS ""y///'���yt/ There were no public comments. BY:— ' REPORT OF COMMITTEE CHAIR Committee Chair Ken Parker reported that the ocean monitoring tour scheduled for Monday, October 61", had a few more openings if anyone was interested. REPORT OF GENERAL MANAGER General Manager Jim Ruth reported he had received word earlier that day that Director Chris Norby's father passed away and additional information would be passed on once received. He also mentioned a memo distributed to the Directors regarding steps being taken by the Sanitation District due to the current financial crisis. CONSENT CALENDAR (1-11) Items 3 and 10 were pulled off consent calendar for discussion. Minutes of the Operations Committee October 1, 2008 Page 2 1. MOVED, SECONDED, AND DULY CARRIED: Approve the minutes of the September 3, 2008 Operations Committee meeting. 2. OP08-48 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to: a)Approve Professional Consultant Services Agreement with Butier Engineering, Inc.for Construction Management Services for Newport Trunk Sewer and Force Mains, Bitter Point Pump Station to Coast Trunk Sewer, Contract No. 5-58, for an amount not to exceed $1,810,925; and, b)Approve a contingency of$108,656 (6%). 3. Item pulled for discussion. 4. OP08- 50 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to approve Amendment No. 2 to Cooperative Projects Grants Program Contract No. 0503 with City of Placentia providing for an eight-month time extension. 5. OP08-51 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to: a)Approve Plans and Specifications for Area 03 Manhole Access Improvements (3-54), Project No. FE07-01, on file at the office of the Clerk of the Board; b) Receive and file bid tabulation and recommendation; c)Award a contract to Mike Bubalo Construction Co., Inc., for Area 03 Manhole Access Improvements (3-54), Project No. FE07-01, for an amount not to exceed $305,500; and, d)Approve a contingency of$106,925 (35%). 6. OP08-52 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to: a)Approve Professional Consultant Services Agreement with Black&Veatch Corporation to provide construction support services for the Continuous Emissions Monitoring Systems, Contract No. J-79-1A, for an amount not to exceed$506,680; and, b)Approve a contingency of$50,669 (10%). 7. OPO8-53 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to: a)Approve a contingency increase of$243,919 (5%)to the Professional Services Agreement with Lee & Ro, Inc., for the Replacement of the Bitter Point Pump Station, Contract No. 549; Replacement of the Rocky Point Pump Station, Contract No. 5-50; Rehabilitation for the 14'Street Pump Station, Contract No. 5-51: Rehabilitation of the"A° Street Pump Station, Contract No. 5-52, for a total contingency of$352,278 (7.22%); and, b)Authorize staff to enter into negotiations with Lee& Ro, Inc.for construction support services for the Replacement of the Bitter Point Pump Station, Contract No. 549. Minutes of the Operations Committee October 1, 2008 Page 3 8. OP08-54 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to approve a contingency increase of$334,511 (6%)to the Professional Services Agreement with Malcolm Pimie, Inc. for the Replacement of Ellis Avenue Pump Station, Job. No. 1-10,for a total contingency of$611,530 (11%). 9. OP08-55 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to receive and file the Waste Discharge Requirements Sewer System Management Plan Compliance Status Report dated September 24, 2008. 10. Item pulled for discussion. 11. OPO8-57 MOVED, SECONDED, AND DULY CARRIED: a)Award a sole source contract to Universal Flooring for the removal and replacement of existing carpeting and vinyl flooring in the Administration Building at Plant No. 1 for an amount not to exceed $170,000; and, b)Approve a contingency of$17,000 (10%). END OF CONSENT CALENDAR 3. OPOS-49 Director Bankhead requested additional information on the selection process as the vendor that was being recommended had the highest bid. Jim Herberg advised that the firm was the top ranked firm, and staff met with the vendor and clarified design assumptions and level of effort for the work which resulted in a major reduction in the design effort Including the number of contract drawings. It was then: MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to: a)Approve Professional Design Services Agreement with MWH Americas, Inc. for Solids Thickening and Processing Upgrades, Job No. P2-89, providing for engineering design services for an amount not to exceed $6,983,999; and, b)Approve a contingency of$698,400 (10%). 10, OPOB-56 Chair Parker recognized Nick Arhontes, Director of Operations and Maintenance, who reported on possible limitations, accessibility, and higher costs for chemicals the Sanitation District uses for odor control in the near future due to facilities damaged by Hurricane Ike that supply chemical resources. It was then: MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to approve Change Order No. 4 to Purchase Order No. 102354 OB for Purchase of Ferric Chloride, Specification No. C-2005-247, issued to Kemira Water at an initial unit price of$610 per dry ton delivered, plus applicable tax indexed to Iron Age Scrap Index#1 Bushing Chicago listing benchmark of$635fton and a pricing correction factor of 34% of the difference Minutes of the Operations Committee October 1, 2008 Page 4 of the benchmark and index on a quarterly basis, for an estimated annual contract amount of$4,600,925 for the period December 1, 2008 through November 30, 2009. ACTION ITEMS (12) 12. OP08-58 Jim Herberg, Director of Engineering, recognized Dave MacDonald, Project Manager, who provided an overview of the Air Quality Improvements project. MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to authorize staff to negotiate a Professional Design Services Agreement with Malcolm Pimie Corporation for Phase 2 Pilot Engine Exhaust Emissions Reduction to furnish, install, and test a pilot system re: Air Quality Improvements, Job No. J-79. INFORMATION ITEMS There were none. DEPARTMENT HEAD REPORTS Director of Operations, Nick Arhontes, reiterated the difficulties the chemical market is facing that could have impacts to the Sanitation District's operations and to those living near facilities. The Director of Technical Services, Ed Torres, provided a brief overview of meetings held with with an independent panel on the possibility of reclaiming water from the Santa Ana River Interceptor for the Groundwater Replenishment System, and possible negative public relations issue that would have to be addressed. CLOSED SESSION There was no closed session. OTHER BUSINESS, COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS. IF ANY There were none. ADJOURNMENT The Chair declared the meeting adjourned at 5:35 p.m. The next Operations Committee meeting is scheduled for Wednesday, November 5, 2008, at 5:00 p.m. Submitted by: Penny M iyle Clerk of the Board H:%depnaQendaX0pemfions Committee rations 2008H 108/100108 Operations Minotead= Operations Committee Air Quality Improvement Projects October 1, 2008 Central Power Generation System Distributed at Qe Committees Air Quality Meeting-..- Improvement Projects it October 1,2008 cr"ne 1,*eoen..,f, r.m'r ash Automation System • CEMS(Monitorng System) J-79-IA-Budget$5A00,000 • 15selatc—au.s..." • Engine Control System J49-1-Budget$11,700,000 •Nov Mae-e00mvtl 0 .Vial.CoiWM1..aegan •Jen 2009-avaN comntl mrre cawoiswtem CanlralPwrerGmarafmn$plem PraPr�s Air Quality Improvements i femis.mns Comm Prolsdq - Level of Service $31,000,000 ♦ NOx,VOC,CO Compliance SCAOMD Rule 1110.2 ♦ Air Taxies Controls SCAOMD Rule 1402- �_, Maintain l reduce health risk to below notification levels using the most cast effective and technically feasible approach 1 Operations Committee Air Quality Improvement Projects October 1, 2008 Air Toxics Controls Project J-79 comperes •Jan 2W3-S250."Stuey •Jun 2(X4-NM Tu,W 1kM1lkaiiona$2,380,Ixq • Sep 2W -Paris 1.Plant 2 air topcs MWIeling$2.1WJX)0 ♦Apr 2(M-Paasa 1,Plant 2 pilM t"S1,237." PrcpceeC: ♦Oct 2W8-Pease 2.Plant 1 p101 teat S3.=W0(est.) I � 2 Distributed at /d i �e- Operations Committeee Meeting October 1, 2008 MEMORANDUM TO: Chair and Board of Directors Orange County Sanitation District FROM: A ut General Manager Orange County Sanitation District SUBJECT: Response to Crisis in the Financial Markets In response to the ongoing worldwide financial crisis and in an effort to minimize impacts to the Sanitation District, I will be implementing the following measures: • Hiring Freeze Requests to fill any budgeted position must be approved by me or my designee. Only"critical need" positions will be approved, regardless of whether the position is an O&M or capital position. In addition, all vacant positions will be reviewed before any recruitment will be initiated. • Debt Financing Currently, we are managing a Capital Improvement Program in excess of $2 billion. The financing for the CIP is heavily supported through our comprehensive debt financing program. However, as a result of the present challenging financial market conditions, public agencies throughout the country are finding it increasingly more difficult to issue debt to support their programs (see the attached article). Financial conditions are so constrained that even extremely credit worthy agencies with AAA credit ratings such as OCSD may be impacted by the short-term credit markets and may be unable to issue bonds or will have to pay much higher interest rates on borrowing. At present, staff plans to request authorization to proceed with our regularly scheduled debt issuance at the October Administration Committee. However, this actual debt issuance may be delayed into the next year based on changes to the credit market. • Capital Improvement Plan Review and Deferral Over the last few years, Engineering staff has made great strides to reduce or defer capital projects to help mitigate potential rate increases. We have reduced or delayed projects while maintaining an acceptable risk level. The Chair and Board of Directors ' Page 2 October 1, 2008 Given that we are currently spending about a million dollars a day on capital improvements, we must take the proactive actions listed above to stretch our funds as long as possible, as well as reduce our ongoing operating expenditures. Therefore, I have asked staff to complete a similar review of our current and up- coming capital programs. Any proposed changes to the CIP that result in significant impacts to our level of risk, or level of service will be presented to the Board for approval. • Review and Defer Operating Equipment and Materials I have directed staff to review all large equipment and material purchases to ensure that only critical purchases are made over the next 12 months. • Reductions in Travel I have directed staff managers to reduce travel costs within their respective departments. We will reduce the number of attendees at meetings, ensuring that only essential personnel attend. We recognize that the Sanitation District and all of our constituents are Impacted by the financial crisis that has occurred and that we will make every effort and we must act now to safeguard our financial position, minimize and protect the funds that have been entrusted with us. I will provide additional updates as necessary. JDR:LT:gg Attachment THE BOND BUYER—The Daily Newspaper of Public Finance Munis Weaker;Several Sales, Delayed or Reduced--09.18.2008—By Michael Scarchilli and lack Herman The municipal market was weaker yesterday,and close to two dozen issues were either postponed or decreased in size due to continuing market volatility.Market participants yesterday were dealing with the news that the Federal Reserve had decided to save Insurer American I ntemationalGroup Inc.,and that Barclays Capital has signed a definitive agreement to acquire substantially all of the North American businesses and operating assets of Lehman Brothers. Traders said tax-exempt yields yesterday were higher by about five basis points. "Everyone's just focused on really short paper,and pre-refunded bonds.Anything super safe,"a trader in Los Angeles said. "It doesn't seem like anyone wants to move" Given the dramatic amount of turmoil in the market this week,traders are not surprised to see deals being pulled."I've barely seen a deal this week,"a trader in New York said.This would be just about the absolute worst time to bring one." In the new-Issue market yesterday,Goldman,Sachs&Co. priced about$100 million of special tax obligation refunding loan bonds for Connecticut,chopping down what was to be a$479 million sale. The deal was cut by almost$3110 million due to market conditions. "We're going to continue to monitor the market,and because it was a refunding,it was flexible in size in any event, but we're going to continue to monitor the market about maybe refunding some of the other bonds we had hoped to do in the future,"an official from the state treasurer's office said. "We had good retail orders and we wanted to fill them,we didn't want to turn them back"the official said. The bonds mature from 2012 through 2018,with term bonds in 2021 and 2022.Yields range from 2.54%with a 3%coupon in 2012 to 4.26%with a 4.125%coupon In 2022.The bonds,which are callable at par in 2018, are rated Al by Moody's Investors Service,AA by Standard&Poor's,and AA-minus by Fitch Ratings. Also,the Los Angeles Convention Center Authority delayeda$250 million fixed-rate lease-revenue bond refunding from the market yesterday,fearing a lack of buyers.The bonds are being issued to refinance variable rate demand obligations that are insured by Ambac Assurance Corp.and to terminate an outstanding swap on the debt.The VRDOs have been remarketing with rates in the 6%to 7%range,almost twice what the city was paying before Ambac lost its triple-A credit ratings. Natalie Brill,debt manager for the nation's second largest city,said LA will watch the market over the next few days to see if the surge in rates is a new equilibrium or a temporary disruption."We're going to wait,"she said."We are going to see if we can sell Itodayj.We don't think so because the stock market is down." Brill Is juggling a lot of competing market crises as she tries to bring her deal-a remedy for an earlier crisis- to market.Merrill Lynch&Co.,sold in a fire sale to Bank of America over the weekend, is the city's underwriter.She's determined that doesn't matter.The swap termination fees on her existing debt are rising with short rotes rose In the reference index.AIG,taken over by the Federal Reserve earlier in the week is one of the biggest holders of her outstanding debt and could flood the market with her paper if it decided to liquidate the position.She also already sent out a 30-day redemption notice on its outstanding VRDOs, though she can withdraw that up to five days before the redemption. "We'll do the deal when we see the market is able to handle it." That could be today,but she wasn't making any promises. Her only prediction: "We'll refund this debt before the end of the year." In addition to those,numerous other upcoming transactions were either postponed or moved to the day-to- day calendar yesterday due to market turmoil. The New York City Transitional Finance Authority announced that it will delay its planned$700 million new money building aid revenue bond deal,originally scheduled for next week.The bonds will now be delayed "for one to two weeks,subject to market conditions,"according to a press release.Merrill Lynch will price the bonds. The Boston Water&Sewer Commission rescheduled a$115.1 million bond sale,which was scheduled for competitive bids today.The deal is now slated for Oct.7. Illinois'Community College District No.525 completed a preliminary pricing on a$30 million deal yesterday,priced by Raymond lames&Co.,before pulling the sale from the market. It has been moved to the day-to-day calendar. Long Beach,Calif.,removed a$49 million tax and revenue anticipation note sale from the Sept.23 competitive calendar,and moved it to day-to-day. Also,at least 16 other issues have been moved to the day-today calendar,most prominently a$250 million Los Angeles Convention Center Authority deal,a$191 million Indiana Finance Authority transaction,and a$185 million deal for Pasco County, Fla. Other deals include$190 million for Chicago over two issues,$188 million for the Las Vegas Redevelopment Agency over two issues,and$143 million for the University of Colorado Board of Regents. Also,The Bond Buyer's one-year note index is up 32 basis points yesterday,to 1.93%.This is the highest level for the index since May 7. The Treasury market,however,showed more flight-to-quality gains yesterday.The yield on the benchmark 10-year Treasury note,which opened at 3.44%,was recently quoted at 3.38%.The yield on the two-year note was quoted recently at 1.62%after opening at 1.80%.The yield on the 30-year Treasury was quoted recently at 4.07%after opening at 4.09%. Additionally,the Treasury Department yesterday sold$40 billion 35-day cash management bills,due Oct.23, at a 0.300%high tender rate.The bid to cover ratio was 2.45.Tenders totaled$98,002,270,000 and the Treasury accepted$40,000,050,000,including$18,870,000 non-competitive. In economic data released yesterday,housing starts for August came in at 895,000,after a revised 954,000 the previous month.Economists polled by IFR Markets had predicted 950,000 housing starts. Building permits for August came in at 854,000,after 937,000 the previous month.Economists polled by IFR had predicted 920,000 building permits. • " rr Zv_ ORANGE COUNTY SANITATION DISTRICT e� � iMf MV 10644F11ef"'enOe NOTICE OF MEETING Foammn VaA ' (l, 927M 7018 MYhp A4deea 2a ea. 7 Fa,vmmp B. 612 OPERATIONS COMMITTEE 92729a127 Engineering, Operations & Maintenance, and Technical Services wr4wmA mm Ph4m 1714)9622411 ORANGE COUNTY SANITATION DISTRICT F. (714)962M56 WEDNESDAY, OCTOBER 1, 2008 — 5:00 P.M. �e aanem spn DISTRICT'S ADMINISTRATIVE OFFICES acre„a F,n* 10844 ELLIS AVENUE QJ.. FOUNTAIN VALLEY, CALIFORNIA 92708 F: ,W„ry www.ocsd.com rrA,rtin Saipan alp l4nabngnrn 9aah ,,,,k The regular meeting of the Operations Committee of the Orange County la rlal,a Sanitation District will be held at the above location, date and time. �lam,a tce Nam,tre Ne,gr..Pxerr. aenua San.Ana s a aaa,m RanMn Lrsbn VJb Pail Xx LaeIs Gate Mesa Mower 1n7 Sena u»na h.Ranch Kawrnmv'c Cnumy M bona¢ M amM Pubic b2a)dl and Ma anwonment by Fmnding eNaew wane wr collection,trearment,and recycling. OPERATIONS COMMITTEE BOARD MEETING DATE MEETING DATE 10/01/08 10/22/08 11/05/08 11/19/08* 12/03/08 12/17/08* JANUARY DARK 01/28/09 02/04/09 02/25/09 03/04/09 03/25/09 04/01/09 04/22/09 05/06/09 05/27/09 06/03/09 06/24/09 07/01/09 07/22/09 AUGUST DARK 08/26/09 09/02/09 09/23/09 10/07/09 10/28/09 *Meetings are being held on the third Wednesday of the month. **Meeting scheduled to the second Thursday of the month due to conflict with League of Cities. ROLL CALL OPERATIONS COMMITTEE Engineering, Operations & Maintenance, and Technical Services Meeting Date: October 1, 2008 Time: 5:00 p.m. Adjourn: COMMITTEE MEMBERS (14) Ken Parker Chair Bill Dalton ice Chair Charles Antos Don Bankhead Rose Espinoza Patsy Marshall Roy Moore Joy Neu ebauer David Shawver Harry Sidhu Constance Underhill Don Webb Doug Davert Board Chair Larry Crandall Board Vice Chair OTHERS Brad Ho in, General Counsel STAFF Jim Ruth, General Manager Bob Ghirelli, Assistant General Manager Nick Arhontes, Dir. of Operations& Maintenance Jim Herber , Director of Engineering Ed Torres Director of Technical Services Lorenzo Tyner, Director of Finance and Administrative Services Lilia Kovac, Committee Secretary Tod Ha nes John Linder Matt Smith H.WgftgeneeWpenabm ComMWOpmflons 20oau008W.Re11 canine AGENDA REGULAR MEETING OF THE OPERATIONS COMMITTEE Engineering, Operations & Maintenance, and Technical Services ORANGE COUNTY SANITATION DISTRICT OCTOBER 1, 2008 - 5:00 P.M. ADMINISTRATIVE OFFICE 10844 Ellis Avenue Fountain Valley, California 92708 www.ocsd.com PLEDGE OF ALLEGIANCE DECLARATION OF QUORUM PUBLIC COMMENTS REPORT OF COMMITTEE CHAIR REPORT OF GENERAL MANAGER CONSENT CALENDAR (1-11) 1. Approve the minutes of the September 3, 2008 Operations Committee meeting. 2. OP08-48 Recommend to the Board of Directors to: a) Approve Professional Consultant Services Agreement with Butier Engineering, Inc. for Construction Management Services for Newport Trunk Sewer and Force Mains, Bitter Point Pump Station to Coast Trunk Sewer, Contract No. 5-58, for an amount not to exceed $1,810,925; and, b) Approve a contingency of$108,656 (6%). (Book Page 11) 3. OP08-49 Recommend to the Board of Directors to: a) Approve Professional Design Services Agreement with MWH Americas, Inc. for Solids Thickening and Processing Upgrades, Job No. P2-89, providing for engineering design services for an amount not to exceed $6,983,999; and, b)Approve a contingency of$698,400 (10%). (Book Page 14) 4. OP08- 50 Recommend to the Board of Directors to approve Amendment No. 2 to Cooperative Projects Grants Program Contract No. 0503 with Citv of Placentia providing for an eight-month time extension. (Book Page 16) Book Page I Operations Committee 10/01/08 Page 2 5. OP08-51 Recommend to the Board of Directors to: a)Approve Plans and Specifications for Area 03 Manhole Access Improvements(3-54), Project No. FE07-01, on file at the office of the Clerk of the Board; b) Receive and file bid tabulation and recommendation; c)Award a contract to Mike Bubalo Construction Co., Inc., for Area 03 Manhole Access Improvements(3-54), Project No. FE07-01, for an amount not to exceed $305,500; and, d)Approve a contingency of$106,925(35%). (Book Page 18) 6. OPOB-52 Recommend to the Board of Directors to: a)Approve Professional Consultant Services Agreement with Black &Veatch Corporation to provide construction support services for the Continuous Emissions Monitoring Systems, Contract No. J-79-11A, for an amount not to exceed $506,680; and, b)Approve a contingency of$50,669(10%). (Book Page 20) 7. OP08-53 Recommend to the Board of Directors to: a)Approve a contingency increase of$243,919 (5%)to the Professional Services Agreement with Lee&Ro, Inc., for the Replacement of the Bitter Point Pump Station, Contract No. 5-49; Replacement of the Rocky Point Pump Station, Contract No. 5-50; Rehabilitation for the 1e Street Pump Station, Contract No. 5-51; Rehabilitation of the"A" Street Pump Station, Contract No. 5-52, for a total contingency of$352,278 (7.22%); and, b)Authorize staff to enter into negotiations with Lee& Ro, Inc. for construction support services for the Replacement of the Bitter Point Pump Station, Contract No. 5-49. (Book Page 22) 8. OP08-54 Recommend to the Board of Directors to approve a contingency increase of $334,511 (6%)to the Professional Services Agreement with Malcolm Pimie, Inc. for the Replacement of Ellis Avenue Pump Station, Job. No. 1-10, for a total contingency of$611,530 (11%). (Book Page 25) 9 OPOB-55 Recommend to the Board of Directors to receive and file the Waste Discharge Requirements Sewer System Manaqement Plan Compliance Status Report dated September 24, 2008. (Book Page 27) 10. OP08-56 Recommend to the Board of Directors to approve Change Order No. 4 to Purchase Order No. 102354 OB for Purchase of Ferric Chloride, Specification No. C-2005-247, issued to Kemira Water at an initial unit price of$610 per dry ton delivered, plus applicable tax indexed to Iron Age Scrap Index#1 Bushing Chicago listing benchmark of$635/ton and a pricing correction factor of 34% of the difference of the benchmark and index on a quarterly basis, for an estimated annual contract amount of$4.600,925 for the period December 1, 2008 through November 30, 2009. (Book Page 32) Book Page 2 Operations Committee 10/O1/08 Page 3 11. OP08-57 a)Award a sole source contract to Universal Flooring for the removal and replacement of existing carpeting and vinyl flooring in the Administration Building at Plant No. 1 for an amount not to exceed $170,000; and, b)Approve a contingency of$17,000 (10%). (Book Page 34) ACTION ITEMS (12) 12. OP08-58 Recommend to the Board of Directors to authorize staff to negotiate a Professional Design Services Agreement with Malcolm Pirnie Corporation for Phase 2 Pilot Engine Exhaust Emissions Reduction to furnish, install, and test a pilot system re: Air Quality Improvements, Job No. J-79. (Book Page 36) INFORMATION ITEMS DEPARTMENT HEAD REPORTS CLOSED SESSION ...........-......... .. . ... ...... _........ .... . ...........................................____ _. ...... ... ...... ................................... _.................... .During the course of conducting the business set forth on this agenda as a regular meeting of the Committee, the :Chair may convene the Committee in dosed session to consider matters of pending real estate negotiations, :pending or potential litigation, or personnel matters, pursuant to Government Code Sections 54956.8, 54956.9, 54957 or 54957.6,as noted. .Reports relating to(a)purchase and sale of real property; (b)matters of pending or potential litigation; (c)employee :actions or negotiations w th employee representafives; or which are exempt from pudic disclosure under the California Public Records Act, may be reviewed by the Committee during a permitted dosed session and are not .available for public inspection. At such time as the Committee takes final actions on any of these subjects, the minutes will_reflect all required.disclosures of information. i Convene in closed session. Reconvene in regular session. Consideration of action, if any, on matters considered in closed session. 13. Other business and communications or supplemental agenda items, if any. 14. Adjournment -The next Operations Committee meeting is scheduled for Wednesday, November 5, 2008, at 5:00 p.m. Book Pace 3 Operations Committee 10/01/08 Page 4 Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2,this agenda has been posted in the main lobby of the District's Administrative offices not less than 72 hours prior to the meeting date and time above. All public records relating to each agenda item, including any public records distributed less than 72 hours prior to the meeting to all, or a majority of all, of the members of District's Board, are available for public inspection in the office of the Clerk of the Board, located at 10844 Ellis Avenue, Fountain Valley, California. Items Not Posted: In the event any matter not listed on this agenda is proposed to be submitted to the Committee for discussion and/or action, it will be done in compliance with Section 54954.21b)as an emergency item or because there is a need to take immediate action, which need came to the attention of the Committee subsequent to the posting of agenda, or as set forth on a supplemental agenda posted in the manner as above, not less than 72 hours prior to the meeting date. Public Comments: Any member of the public may address the Operations Committee on specific agenda items or matters of general interest. As determined by the Chair, speakers may be deferred until the specific item is taken for discussion and remarks may be limited to three minutes. Matters of interest addressed by a member of the public and not listed on this agenda cannot have action taken by the Committee except as authorized by Section 54954.2(b). Consent Calendar: All matters placed on the consent calendar are considered as not requiring discussion or further explanation, and unless a particular item is requested to be removed from the consent calendar by a Director of staff member, there will be no separate discussion of these items. All items on the consent calendar will be enacted by one action approving all motions, and casting a unanimous ballot for resolutions included on the consent calendar. All items removed from the consent calendar shall be considered in the regular order of business. The Committee Chair will determine if any hems are to be deleted from the consent calendar. Items Continued: Items may be continued from this meeting without further notice to a Committee meeting held within five(5)days of this meeting per Government Code Section 54954.2(b)(3). Meeting Adiournment: This meeting may be adjourned to a later time and items of business from this agenda may be considered at the later meeting by Order of Adjournment and Notice in accordance with Government Code Section 54955(posted within 24 hours). Accommodations for the Disabled: The Board of Directors Meeting Room is wheelchair-accessible. If you require any special disability related accommodations, please contact the Orange County Sanitation District Clerk of the Board's office at(714)593-7130 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested. :Notice to Committee Members: For any questions on the agenda or to place any items on the agenda.Committee members should contact the Committee ;Chair or Secretary ten days in advance of the Committee meeting. =.Committee Chair Ken Parker (562)252-6220 info(dmavorkenoarker.win .Committee Secretary: Ulia Kovac (714)593-7124 Ikovai;C)- tl.com :General Manager Jim Ruth (714)593-7110 iMh(dlocsd.com :Assistant General Manager Bob Ghirelli (714)503-7400 rahirelli(a)wsd.com ;Director of Technical Services Ed Tones (714)593-7080 etorres(alocsd.com ,Director of Engineering Jim Herberg (714)593-7300 iherbergAocsd.com ;Dir.of Operations and Maintenance Nick Amontes (714)593-7210 narhon[esfa)ocstl.wm Book Page 4 Operations Committee Rolling Agenda Report Calendar Dam Dept. sc Action or Deription of Report Information Authorize Staff to Negotiate with Black&Veatch to Action Nov Eng Provide Construction Support Services for Central Generation Automation, Job No. J-79-1 Approve Amendment No. 2 to the PDSA with The Austin Action Nov Eng Company for Laboratory Refurbishment at Plant No. 1, Job No. J-97, Nov Eng pension Job No r Raitt O& Bristol Street Sewer Action Nov I O&M Process Area Painting Program Award Action Nov O&M Transfer of Local Sewers to Costa Mesa Sanitary District Action Nov O&M Award PDSA to AKM for Associate Engineer for Dig Alert Acton Nov O&M Regional Collection System Odor and Control Program Information Kwepinagenda\Operations Committee\Operalions 2008\1008104.Rolling Agenda.doc Book Page 5 MINUTES OF THE OPERATIONS COMMITTEE Engineering, Operations & Maintenance, and Technical Services Orange County Sanitation District September 3, 2008—5:00 p.m. A meeting of the Operations Committee of the Orange County Sanitation District was held on September 3, 2008, at 5:00 p.m. in the Sanitation District's Administrative Office. (2) ROLL CALL Following the Pledge of Allegiance, a quorum was declared present, as follows: Ooerations Directors Present: Staff Present: Ken Parker, Chair Jim Ruth, General Manager Bill Dalton, Vice Chair Bob Ghirelli, Assistant General Manager Charles Antos Nick Arhontes, Dir. of Operations& Maintenance Don Bankhead Jim Herberg, Director of Engineering Rose Espinoza Ed Torres, Director of Technical Services Roy Moore Lilia Kovac, Committee Secretary Joy Neugebauer Chuck Forman David Shawver Todd Haynes Harry Sidhu Sam Mowbray Constance Underhill Simon Watson Don Webb Juanita Skillman Doug Davert, Board Chair Larry Crandall, Board Vice Chair Others: Bob Ooten Operations Directors Absent: Patsy Marshall (3) APPOINTMENT OF CHAIR PRO TEM No appointment was necessary. (4) PUBLIC COMMENTS There were no public comments. (5) REPORT OF THE COMMITTEE CHAIR Committee Chair Ken Parker did not give a report. Book Page 6 Minutes of the Operations Committee September 3, 2008 Page 2 (6) REPORT OF THE GENERAL MANAGER General Manager Jim Ruth briefly reported on the progress of negotiations with IRWD, and SAWPA expects to submit an agreement for approval within the next 60-90 days. Mr. Ruth also reported on operational issues discussed with Mike Markus from the Orange County Water District. (7) CONSENT CALENDAR ITEMS a. MOVED, SECONDED, AND DULY CARRIED: Approve minutes of the July 2, 2008 Operations Committee meeting. b. OP08-38 MOVED, SECONDED,AND DULY CARRIED: Recommend to the Board of Directors to: 1)Approve a Professional Design Services Agreement with RBF Consulting for Temporary Upgrades to Plant Security Barriers, Project No. J-108, in an amount not to exceed $321,415; and, 2)Approve a contingency of$32,142 (10%). C. OP08-39 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to approve a budget increase of$128,100 for Rehabilitation of District Siphons, Contract No. 2-68, for a total budget amount of $7,684,100. d. OP08-40 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board, of Directors to: 1)Approve Amendment No. 4 to the Professional Design Services Agreement with RIMS Engineering& Design, Inc., for services related to Facilities Engineering projects, extending the contract from July 1, 2008 through June 30, 2009; and, 2)Authorize the General Manager to increase the Delegation of Authority limit (Section 7.02)to Task Order FE05-07-02 issued to RMS Engineering & Design, Inc., approving an increase of$75,000, for a total amount not to exceed $175,000 (Job No. FE05-07). e. OP0841 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to: 1)Approve plans and specifications for the Continuous Emissions Monitoring Systems, Contract No. J-79-1A, on file at the office of the Clerk of the Board; 2)Approve Addendum No. 1 to the Plans and Specifications; 3) Receive and file bid tabulation and recommendation; 4) Reject the low bid from MMC Inc. as non responsive; Book Page 7 Minutes of the Operations Committee September 3, 2008 Page 3 5)Award a construction contract to Morrow-Meadows Corporation for the Continuous Emissions Monitoring Systems, Contract No. J-79-lA, for a total amount not to exceed $3,958,700; and, 6)Approve a contingency of$366,178 (9.25%). f OPOB<2 MOVED, SECONDED,AND DULY CARRIED: 1)Approve Change Order No. 1 to the contract Issued to National Plant Services for Polymer Storage Tank Cleaning, Specification No. M-2007-331 (P.O. No. 102913OA), authorizing an addition of$3,800, Increasing the total contract amount not to exceed $101,000 for the contract period July 1, 2008 through June 30,2009, and all subsequent renewal periods; and, 2)Approve an annual contingency of$5,050(5%). g. OP0S-43 MOVED, SECONDED,AND DULY CARRIED: Recommend to the Board of Directors to: 1) Ratify Change Order No. 4 to the Purchase Order Contract (P.O. No. 102131-OB) Issued to Pro-Pipe Professional Pipe Services for Sewerline Cleaning For City of Tustin and Unincorporated County Property, Specification No. 5-2004-209, authorizing an addition of $50,000, increasing the total amount not to exceed $300,699, for the contract period June 13, 2007 through June 12, 2008, and for all subsequent authorized renewal periods; and, 2)Approve an annual contingency of$30,000 (10%). h OP08-44 MOVED, SECONDED,AND DULY CARRIED: Recommend to the Board of Directors to: 1)Approve Change Order No. 1 to the Purchase Order Contract (P.O. No. 102964OA) issued to Walker Centrifuge Services, LLC, for Digester Cleaning and Debris Disposal, Specification No. 8-2007-343, authorizing an addition of$1,885,001, increasing the total contract to an amount not to exceed $2,981,100 per year, and for all subsequent authorized renewal periods; and 2)Approve an annual contingency of$298,100 (10%). END OF CONSENT CALENDAR (8) ACTION ITEMS a. OP08-45 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to approve a contingency Increase of$272,357(11%)to the Professional Design Services Agreement with Malcolm Pirnie, Inc. for the Rocky Point Pump Station Replacement, Contract No. 5-50, for a total contingency of$470,435 (19%). Book Page 8 Minutes of the Operations Committee September 3, 2008 Page 4 b. OP0846 MOVED, SECONDED,AND DULY CARRIED: Recommend to the Board of Directors to: 1)Approve a Professional Design Services Agreement with PBS&J, Inc. for the Dover Drive Trunk Sewer Relief, Contract No. 5 63, providing for engineering design services for an amount not to exceed $956,431; and, 2) Approve a contingency of$95,643(10%). C. OP0847 MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of Directors to adopt Resolution No. OCSD O8-XX, ,Approving the Seventh Amended Joint Powers Agreement Confirming the Creation of An Agency Known as Southern California Coastal Water Research Project Authority(SCCWRP), in a form approved by General Counsel, providing for continuation of SCCWRPA for four years from July 1, 2009 through June 30, 2013, and approving an annual payment of$400,000. (9) INFORMATIONAL ITEMS There were none. (10) DEPARTMENT HEAD REPORTS Director of Engineering, Jim Herberg, informed the committee members that approval would be requested by the full Board for repair on the SARI Line as recommended by the Army Corps of Engineers. Mr. Herberg also provided a safety report on construction cranes. Director of Operations, Nick Arhontes, reported that he would be submitting a request for the Control Center roofing replacement at the September Board meeting. The Director of Technical Services, Ed Torres, reported on proposed Supplemental Environmental Projects; a Feasibility Study of Reclaiming SARI Line; and extended an invitation to committee members to observe the ocean monitoring operations of the Nerissa on a date to be determined. (11) OTHER BUSINESS. COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY There were none. (12) CLOSED SESSION There was no closed session. Book Page 9 Minutes of the Operations Committee September 3, 2008 Page 5 (13) ADJOURNMENT AND FUTURE MEETING DATES The Chair declared the meeting adjourned at 5:45 p.m. The next Operations Committee meeting is scheduled for Wednesday, October 1,2008,at 5:00 p.m. Submitted by: Like Kovac Committee Secretary K%depMgendal0pembons CommiOee\Op m ions 200M0908W90308 Opembons Minules.d= Book Page 10 OPERATIONS COMMITTEE Meetln9Date TOBd.OfDb. 1 01108 10/zz/OB AGENDA REPORT Ran Number Item Numbe OPoBAB Orange County Sanitation District Dallectians Facilities FROM: James D. Ruth, General Manager Originator: Jim Herberg, Director of Engineering Project Manager: Alberto Acevedo SUBJECT: NEWPORT TRUNK SEWER AND FORCE MAINS, BITTER POINT PUMP STATION TO COAST TRUNK SEWER, CONTRACT NO. 5-58 GENERAL MANAGER'S RECOMMENDATION a) Approve a Professional Consultant Services Agreement with Butier Engineering, Inc. for Construction Management Services for Newport Trunk Sewer and Force Mains, Bitter Point Pump Station to Coast Trunk Sewer, Contract No. 5-58, for an amount not to exceed $1,810,925; and, b) Approve a contingency of$108,656 (6%). SUMMARY • This project will provide a new pipeline from the proposed new Bitter Point Pump Station to convey the wastewater from the cities of Newport Beach and Costa Mesa into Plant No. 2. The existing system has experienced corrosion failure, and is not suitable for the new operating pressure from the proposed Bitter Point Pump Station. • A selection committee has evaluated the proposals received from five engineering firms and recommends the Professional Consultant Services Agreement (PCSA) be awarded to Butter Engineering, Inc. for an amount not to exceed $1,810,925. PRIOR COMMITTEE/BOARD ACTIONS • August 2008 — Approve Plans and Specifications to the Newport Trunk Sewer and Force Mains, Bitter Point Pump Station to Coast Trunk Sewer, Contract No. 5-58, on file at the office of the Clerk of the Board; approve Addendum Nos. 1, 2, 3, 4, and 5 to the Plans and Specifications; receive and file bid tabulation and recommendation; approve a contract with Mladen Buntich Construction Company for the construction of the Newport Trunk Sewer and Force Mains, Bitter Point Pump Station to Coast Trunk Sewer, Contract No. 5-58, and approve a contingency of$925,647 (5%). Page 1 Book Page I I • July 2008—Approval of PCSA with Black and Veatch Corporation for Construction Support Services for Newport Trunk Sewer and Force Mains, Bitter Point Pump Station to Coast Trunk Sewer, Contract No. 5-58, for an amount not to exceed $973,463; and approve a contingency of$58,408 (6%). • April 2007—Approval of Amendment No. 1 to the Professional Design Services Agreement (PDSA) with Black &Veatch Corporation for an additional amount of $120,082, increasing the total PDSA contract amount not to exceed $1,138,989. • April 2007—Authorize staff to commence negotiations with Black &Veatch Corporation for support services during the construction, commissioning, and closeout phases. • December 2003—Approval of PDSA with Black &Veatch Corporation for an amount not to exceed $1,018,907. ADDITIONAL INFORMATION Construction Management Services were solicited for this project to provide expertise in micro tunneling and to augment staff construction management resources during the upcoming peak in construction activity. Staff Evaluation of Proposals: Request for Proposals were sent to five engineering fines and five proposals were received by the Sanitation District. A panel consisting of five members of the Sanitation District's staff reviewed and ranked each of the proposals in accordance with Sanitation District's standard evaluation procedures. The proposed fee from Butier Engineering, Inc. was the lowest of the five firms at $1,812,564, which was negotiated to $1,810,925. Staff recommends the approval of a PDSA with Butier Engineering, Inc. for an amount not to exceed $1,810,925. Page 2 Book Page 12 PROPOSAL EVALUATION Consultant EARTH BUTIER DUDEK MVVH URS TECH Evaluator Reviewer 445 505 485 540 495 Reviewer B 525 580 495 560 520 Reviewer C 590 540 430 410 410 Reviewer D 530 555 520 560 490 Reviewer E 510 550 540 480 470 Total Score 2600 2730 2470 2550 2385 Avera a Score 520 546 494 510 477 Ranking 2 1 4 3 5 Proposed Pee $1,994,789 $1,810,925- $3,307,374 $1,997,456 $2,612,931 'Negotiated Fee This PCSA complies with authority levels of the Orange County Sanitation District's Delegation of Authority. This item has been budgeted. (Section 8, Page 27). Award Date: 10/22/08 Contract Amount: $1,810,925 Contingency: $108,656(6%) JH:AA:tc:gc H:\deptUgendMOperettons CommitleOOperations 2008\1008\O848.5-58.doc Page 3 Book Page 13 OPERATIONS COMMITTEE 1117tin9Doe Toea.aw. ro/oiios ioiv1oe AGENDA REPORT teem Number Item Number OP0849 Orange County Sanitation District © Solids Handling d Digestion FROM: James D. Ruth, General Manager Originator: Jim Herberg, Director of Engineering CIP Project Manager: Kathy Millea SUBJECT: SOLIDS THICKENING AND PROCESSING UPGRADES, JOB NO. P2-89 GENERAL MANAGER'S RECOMMENDATION a) Approve a Professional Design Services Agreement with MWH Americas, Inc. for Solids Thickening and Processing Upgrades, Job No. P2-89, providing for engineering design services for an amount not to exceed $6,983,999; and, b) Approve a contingency of $698,400 (10%). SUMMARY • This project will construct the necessary solids thickening and processing facilities at Plant No. 2 to ensure compliance with the Environmental Protection Agency (EPA) Secondary Treatment Consent Decree and the National Pollutant Discharge Elimination System (NPDES) permit. The work consists of the rehabilitation of the Dissolved Air Flotation Thickeners and the conversion of Digesters I and J into working digesters. • The Professional Design Services Agreement includes the following: 1. Preparation of a preliminary design report which includes an analysis and recommendations of thickening options, a physical condition assessment of Digesters I and J, and recommendations for rehabilitation of decommissioned solids storage silos at Plant No. 2. 2. Final design of the selected processes. 3. Preparation of construction bid documents. 4. Bid support services. PRIOR COMMITTEE/BOARD ACTIONS None. Page 1 Book Pave 14 ADDITIONAL INFORMATION The Sanitation District is in the process of constructing additional secondary treatment facilities to meet secondary standards as required by the EPA Consent Decree. Plant No. 2 does not have the capacity to treat all the solids that will be generated by the increased secondary treatment. Job No. P2-89 will construct the facilities needed to treat the additional solids. Staff Evaluation of Proposals: Request for Proposals were sent to seven engineering firms and four proposals were received by the Sanitation District. A panel consisting of five members of the Sanitation District's staff reviewed and ranked each of the proposals in accordance with the Delegation of Authority Section 5.07. MWH Americas, Inc. was the top ranked firm. The sealed fee proposals were then opened and the proposed fee from MWH Americas, Inc. was $9,301,456. Staff met with MWH Americas, Inc. to clarify their design assumptions and their level of effort for the scope of work. This resulted in a major reduction in the design effort, including the number of contract drawings. The final negotiated fee for MWH Americas, Inc. is $6,983,999. TABLE 1 PROPOSAL EVALUATION Consultant MWH Americas, Black & Camp, Dresser& Metcalf& Eddy Inc. Veatch McKee Evaluator Reviewer A 92% 84% 77% 550% Reviewer 91% 76% 86% 64% Reviewer 88% 78% 70% 54% Reviewer 93% 72% 65% 31% Reviewer E 77% 76% 56% 43% Overall 88% 77% 70% 49% Score Ranking 1 2 3 4 Proposal $6,983,999- $6,297,366 $5,578,592 $5,416,038 Fee 'Negotiated Fee This item has been budgeted. (Line item: CIP Budget FY08-09 Section 8, page 55). Award Date: October 22, 2008 Contract Amount: $6,983,999 Contingency: $698,400(10%) JH:KM:eh:tic:gc H beeeagendax0oerzgons committeekooerations 200811008=0 SP2A9.dm Page 2 Book Page 15 OPERATIONS COMMITTEE Meetms Dale TOBd.of DV. Io/oI/oe io/v/ae AGENDA REPORT Item Number Rem Number _ _ Oros-so Orange County Sanitation District FROM: James D. Ruth, General Manager Jim Herberg: Director of Engineering SUBJECT: COOPERATIVE PROJECTS GRANTS PROGRAM GENERAL MANAGER'S RECOMMENDATION Approve Amendment No. 2 to Cooperative Projects Grants Program Contract No. 0503 with City of Placentia, providing for an eight-month time extension. SUMMARY The Cooperative Projects Grants Program (Program) provides funds to local agencies for projects that reduce or eliminate inflow and infiltration (1/1)to the sewer collection system a The City of Placentia requests Amendment No. 2 to Cooperative Projects Grants Program Contract No. 0503, to provide for an eight-month time extension to complete the project, but no additional funding. • In FY 05/06, the Orange County Sanitation District's (OCSD) Program budget was reduced to fulfill its contractual obligation to only outstanding grants; the City of Placentia has one outstanding grant to be paid in Fiscal Year 09/10. PRIOR COMMITTEEIBOARD ACTIONS In May 2006, the Board of Directors approved Contract No. 0503, for $501,483 in grant funds to the City of Placentia. In June 2007, the Board of Directors approved Amendment No. 1 to Cooperative Projects Program Contract No. 0503 with the City of Placentia, providing for a change in scope and reallocation of funds. ADDITIONAL INFORMATION Cooperative Projects Grants are paid to local agencies on a reimbursement basis after project completion. The total amount of grant reimbursements provided to member agencies since 1999 through the Program is approximately $23.1 million. The City of Placentia has been identified as having a localized 1/1 problem that is no longer supported by the existing storm drain and sewer systems. During storm events, severe street and manhole flooding has substantially increased potential sewer overflows and threaten public safety. Fom1 No.M-lW2 Rm,W 0=1N7 Page 1 Book Page 16 Under Cooperative Project No. 0503, the City of Placentia is to rehabilitate and/or replace approximately 1,400 linear feet (If) of deficient storm drainage facilities and approximately 4,000 If feet of sewer pipeline within the systems serving the area around Walnut Avenue. Once completed, street flooding will be alleviated, and cracked, broken, and misaligned or missing sewer pipe segments as well as defective lateral connections will be corrected. The project completion date was originally scheduled for August 1, 2008, however during Closed Circuit Television (CCTV) assessment of the Walnut Avenue area, the City of Placentia, discovered approximately 90 unidentified private sewer laterals (dating back to the 1900s)tied to its sewer system. The condition assessment of the private laterals and the identification of responsible property owners required more time than originally anticipated. In addition to this schedule setback, the City of Placentia was required to conduct public meetings to inform private property owners of their legal and financial responsibility, which ultimately resulted in the formation of a Special Assessment District (Special District), allowing property owners to pay for the repairs over the next 20 years, but is now subject to a majority vote by the impacted residents. The City of Placentia also implemented an administrative abatement program for those properties unresponsive to the public outreach efforts and will take a considerable more amount of time to complete. Recognizing the delay to the schedule and the importance of the project, the City of Placentia has awarded the project construction contract and is requesting an eight-month time extension to complete the necessary project repairs. No additional funds are being requested by the City of Placentia. All costs associated with the public outreach program, identification of property owners, and the legal and financial responsibilities of private laterals will be borne by the City of Placentia. The grant funding for this Contract remains unchanged. Staff is recommending that the time extension be considered for approval to allow the City of Placentia to complete the rehabilitation and replacement of the necessary storm drain and sewer systems, avoid the threat to public safety, and reduce 1/1 at the local and regional levels, in addition to providing environmental benefits to the overall project. ATTACHMENT N/A AA:sa H:Wept\agenda\Operations comminee\OPeralions 2008PI008108-50.J-73-Placentia.tloc FOrtll N. M'.t 2 awab OWM Page 2 Book Page 17 OPERATIONS COMMITTEE Meeting Date TUBtl of Db. 10/01/oB 1o1j2/O8 AGENDA REPORT Item Number Rem Number OPOS-51 Orange County Sanitation District ®Calleatlana Facloc o FROM: James D. Ruth, General Manager Originator: Jim Herberg, Director of Engineering Project Manager: Derek Davis SUBJECT: AREA 03 MANHOLE ACCESS IMPROVEMENTS (3-54), PROJECT NO. FE07-01 GENERAL MANAGER'S RECOMMENDATION 1. Approve Plans and Specifications for the Area 03 Manhole Access Improvements (3-54), Project No. FE07-01, on file at the office of the Clerk of the Board; 2. Receive and file bid tabulation and recommendation; 3. Award a contract to Mike Bubalo Construction Co., Inc., for the construction of the manhole access improvements for an amount not to exceed $305,500; and, 4. Approve a contingency of$106,925 (35%). SUMMARY • This project will provide access to two manholes located on the slopes of a Caltrans bridge embankment. The project will include retaining walls, sitework, and manhole reconstruction. All work will take place within Caltrans right of way. • Lee & Ro, Inc. completed the plans and specifications for Area 03 Manhole Access Improvements (3-54), Project No. FE07-01 on March 2008. • Seven sealed bids were received on August 21, 2008. After the evaluation, by the Orange County Sanitation District (Sanitation District) Evaluation Team, the lowest bid was determined to be non-responsive and Mike Bubalo Construction Co., Inc. was determined to be the lowest "Responsible and Responsive" bidder. Summary information on the bid opening for Area 03 Manhole Access Improvements (3-54), Project No. FE07-01, is as follows: Page 1 Book Page 18 Project Budget $ 582,530 Contract Budget $ 375,600 Engineer's Construction Estimate $ 313,000 Lowest Responsive, Responsible Bid: $ 305,500 High Bid: $ 553,500 The contingency amount was increased to 35%p to address the risks inherent with work that is within the Caltrans right-of-way and adjacent to live freeway traffic, a railroad track, and the potential of encountering unknown utilities. The duration of actual construction work is about 90 days. Without sufficient contingency, the project would need to be stopped for additional Board approval. Stopping the project would incur costs for contractor delays. PRIOR COMMITTEEIBOARD ACTIONS N/A ADDITIONAL INFORMATION The contractor selection was conducted in accordance with the Sanitation District's adopted policies and procedures. This item has been budgeted (2007-2008 Budget Update, Page A-7 (FE-C)). Award Date: 10/22/08 Contract Amount: $ 305,500 Contingency: $106,925 (35%) JH:AD:ct Wdepoagenda\Operations Committee\Operations 2008\1008108-51.FE07-01.do Page 2 Book Page 19 OPERATIONS COMMITTEE Meeting care To ed.of Dir. 10/01/08 10/22/08 Item AGENDA REPORT m Item Number PoB-52 Oa-s2 Orange County Sanitation District Plant Rul• n Computerization �fantmaI FROM: James D. Ruth, General Manager Originator: Jim Herberg, Director of Engineering Project Manager: David MacDonald SUBJECT: CONTINUOUS EMISSIONS MONITORING SYSTEMS, CONTRACT NO. J-79-1A; CENTRAL GENERATION AUTOMATION, JOB NO. J-79-1 GENERAL MANAGER'S RECOMMENDATION 1. Approve a Professional Consultant Services Agreement with Black & Veatch Corporation to provide construction support services for the Continuous Emissions Monitoring Systems, Contract No. J-79-1A, for an amount not to exceed $506,680; and, 2. Approve a contingency of$50,669 (10%). SUMMARY • The project will replace the engine control systems (FT-100, FT-210) for the Central Generation Systems at Plant No 1 and Plant No. 2. The project will also provide improved electrical load management, operating communications between Plant No. 1 and Plant No. 2, and improved control of exhaust emissions. • The purpose of this subproject is to install Continuous Emissions Monitoring System (CEMS) units on each engine in the Central Generation Systems at Plant No. 1 and Plant No. 2. • Black & Veatch Corporation completed the preparation for the plans and specifications in April 2008. Sealed bids were received for Continuous Emissions Monitoring Systems, Contract No. J-79-11A, on June 10, 2008. • Black & Veatch Corporation has satisfactorily furnished engineering services for the design of the CEMS units. Black & Veatch Corporation is uniquely qualified to provide engineering services during construction. Form No.0W1t 2 RwiweOwtro] Page 1 Book Page 20 PRIOR COMMITTEE/BOARD ACTIONS July 2008 —Authorization to negotiate with Black & Veatch Corporation for a Professional Consultant Services Agreement (PCSA) to provide construction support services for Continuous Emissions Monitoring Systems, Contract No. J-79-1A. September 2008—Approve a construction contract with the Morrow-Meadows Corporation to install a CEMS unit on each engine in the Central Generation Systems at Plant No. 1 and Plant No. 2. February 2007—Approve Amendment No. 1 in the amount not to exceed $98,814, to prepare record documents of the existing Central Generation Systems and to design a communication link between the Central Generation Systems at Plant No. 1 and Plant No. 2. February 2005—Approve a Professional Design Services Agreement with Black & Veatch Corporation to prepare plans and specifications for the Central Generation Automation, Job No. J-79-1, which included the CEMS, Contract No. J-79-1A. ADDITIONAL INFORMATION The existing Parametric Emissions Monitoring Systems (PEMS) are aging, are not supported by the original equipment supplier, and do not comply with the new monitoring standards established by the South Coast Air Quality Management District. The new CEMS units will comply with the recently adopted requirements of SCAQMD's Rule 1110.2. In October 2008, the Orange County Sanitation District (Sanitation District) will be receiving proposals to furnish and install new control systems on each engine in the Central Generation Systems at Plant No. 1 and Plant No. 2. At that time, staff will be requesting Board approval for another PCSA with Black and Veatch Corporation to provide construction support services for the Engine Control Systems, Job No. J-79-1. The Consultant selection was conducted in accordance with the Sanitation District's adopted policies and procedures. This recommendation complies with authority levels of the Sanitation District's Delegation of Authority. This item has been budgeted. (Line item: Section 8, Page 65). Award Date: 10122108 Contract Amount: $606,688 Contingency: $50,689 JH:DM:tic:gc HWgIobaAgenda Draft RepoNs\Ope.UonsV-731AAR PCSA lote9.d Fa No.DWIM-2 p�yygyargr Page 2 Book Page 21 OPERATIONS COMMITTEE M7bng Date TODd.or .Dir. 10/01/08 to/uaos AGENDA REPORT nem OS-53 Ian Num e O NUMD Orange County Sanitation District ®Collect one Facllltlea FROM: James D. Ruth, General Manager Originator: Jim Herberg, Director of Engineering Project Manager: Martin Dix SUBJECT: REPLACEMENT OF THE BITTER POINT PUMP STATION, CONTRACT NO. 549; REPLACEMENT OF THE ROCKY POINT PUMP STATION, CONTRACT NO. 5-50; REHABILITATION OF THE 14TH STREET PUMP STATION, CONTRACT NO. 5-51; REHABILITATION OF THE "A" STREET PUMP STATION, CONTRACT NO. 5-52 GENERAL MANAGER'S RECOMMENDATION 1. Approve a contingency increase of$243,919 (5%) to the Professional Services Agreement with Lee & Ro, Inc., for the Replacement of the Bitter Point Pump Station, Contract No. 5-49; Replacement of the Rocky Point Pump Station, Contract No. 5-50; Rehabilitation for the 10 Street Pump Station, Contract No. 5-51; and Rehabilitation of the "A" Street Pump Station, Contract No. 5-52, for a total contingency of$352,278 (7.22%); and, 2. Authorize staff to enter into negotiations with Lee & Ro, Inc. for construction support services for the Replacement of the Bitter Point Pump Station, Contract No. 5-49. SUMMARY • Construction is complete for Contract Nos. 5-51 and 5-52. Contract Nos. 549 and 5-50 are in design. Lee & Ro, Inc. is designing Contract No. 549 which is nearly complete and expected to advertise for construction this October. Lee and Ro, Inc. began the design of Contract No. 5-50; however, Malcolm Pimie, Inc. took over the final design responsibilities in 2006. The design of Contract No. 5-50 will be completed by early 2009. • The contingency increase is necessary for Contract No. 549 to add two pipeline tie- ins, bypass pumping and demolition drawings to the design to better coordinate with the Newport Trunk Sewer and Force Mains, Bitter Point Pump Station to Coast Trunk Sewer, Contract No. 5-58, and the Plant No. 2 Headworks Replacement, Project No. P2-66. The pipeline tie-ins were originally part of Contract No. 5-58 and were moved to Contract No. 549 to reduce the risk of a sewage spill by reducing the time when bypass pumping is necessary. Contract No. 549 will design the pipeline tie-ins and bypass pumps to minimize cost and prevent spills in Newport Beach Forcemain System. Page 1 Book Page 22 • Lee & Ro, Inc. prepared the design for Contract No. 549 and possesses an in-depth and unique knowledge of all the intricacies of the design. Therefore, Lee & Ro, Inc. is in the best position to provide support services during the bid process, construction, commissioning, and closeout phases of this project. Staff is requesting permission to negotiate with Lee & Ro, Inc. for construction support services. PRIOR COMMITTEE/BOARD ACTIONS • April 2007 —Approve a 2.8% contingency for amendments to said agreement ($59,575)for Job No. 5-51, Rehabilitation of the 14" Street Pump Station, and Job No. 5-52, Rehabilitation of the "A" Street Pump Station. NOTE: After this was approved it was noted by staff that the percentage of contingency was incorrect , although the dollar amount was correct based on the revised total contract amount of$4,878,382 approved by Amendment No. 7. The correct percentage is 1.2% ($59,575), for a total contingency of 2.2% ($108,359). • March 2007 —Approval of Amendment No. 7 to the PSA with Lee & Ro, Inc. for an additional amount of$69,000, increasing the PSA contract amount not to exceed $4,878,382; and, approve a 1% contingency ($48,784). • March 2006—Approval of Amendment No. 6 to the PSA with Lee& Ro, Inc. for an additional amount of$328,566, increasing the PSA contract amount not to exceed $4,809,382. • February 2006—Approval of Amendment No. 5 to the PSA with Lee & Ro, Inc. for an additional amount of$1,017,247, increasing the PSA contract amount not to exceed $4,480,816. • May 2005 —Approval of Amendment No. 4 to the PSA with Lee & Ro, Inc. for an additional amount of$553,312, increasing the PSA contract amount not to exceed $3,463,500. • September 2004—Approval of Amendment No. 3 to the PSA with Lee & Ro, Inc. for an additional amount of$818,093, increasing the PSA contract amount not to exceed $2,910,188. • September 2003—Approval of Amendment No. 2 to the PSA with Lee & Ro, Inc. for an additional amount of$447,047, increasing the PSA contract amount not to exceed $2,092,095. • March 2002—Approval of Amendment No. 1 to the PSA with Lee & Ro, Inc. for an additional amount of$495,247, increasing the PSA contract amount not to exceed $1,645,048. • March 2000—Approval of Professional Services Agreement (PSA) with Lee & Ro, Inc. for an amount not to exceed $1,149,801. Page 2 Book Page 23 ADDITIONAL INFORMATION This recommendation complies vdth authority levels of the Sanitation District's Delegation of Authority. This item has been budgeted. (Line item: Section 8, Page 25). Award Date: 3122/00 Contract Amount: $1,149,801 Contingency: N/A 3128107 $4,878,382 $48.784 (1.0%) 4/25107 $69,676 (1.2%)• 10/22/08 $243,919 (5.0%) 352.278 17.22%1 'Please note explanation for contingency percentage correction provided under Prior Committee/Board Actions—April 2007. JH:MD:tic: H:\ ept\agenda\Operabons Commitlee\Operations 2000\1008108.51. 9.tlocx Page 3 Book Page 24 OPERATIONS COMMITTEE Meeting Date Toad.or De. Io1ouoe rof a AGENDA REPORT Ian Number Ran Number OPoB-54 Orange County Sanitation District Collections Facilities FROM: James D. Ruth, General Manager Originator: Jim Herberg, Director of Engineering Project Manager: Steven Schock SUBJECT: REPLACEMENT OF ELLIS AVENUE PUMP STATION, JOB NO. 1-10 GENERAL MANAGER'S RECOMMENDATION Approve a contingency increase of$334,511 (6%) to the Professional Services Agreement with Malcolm Pimie, Inc- for Replacement of Ellis Avenue Pump Station, Job. No. 1-10, for a total contingency of$611,530 (11%). SUMMARY • This project constructs a new pump station, 66-inch gravity sewer, and 48-inch force main to replace the existing Ellis Avenue Pump Station and forcemain. The existing Ellis Avenue Pump Station is capable of pumping 10 mgd. The new pump station will be capable of pumping 50 mgd. • Additional construction support services are required to complete the project. This work will include more time for submittal reviews, request for information support, change order support, and site visits. • An alternate control strategy is needed. The current control strategy is reliant on the existing flow meters near the Knott Diversion Structure. Because of current flow conditions, they are not operating reliably. It is possible that future higher flow conditions will alleviate the problem. But at this time, it is prudent to develop an alternate control strategy without the flow meters that is capable of integrating the flow meters in the future. The new programming will incorporate this feature. • Because of continuing efforts to enhance site security, a new north perimeter wall is being planned under Project No. J-108, Temporary Upgrades to Plant Security Barriers. Part of this project is to relocate the north perimeter wall out of the City of Fountain Valley's right-of-way. The New Ellis Pump Station transformer pad will make design changes to facilitate easy construction of the new wall. • These additional construction support services shall be authorized only as requested and managed by the Orange County Sanitation District's (Sanitation District) Project Manager. Form No.DV IW.3 PeweC08,+S99 Page 1 Book Page 25 PRIOR COMMITTEEIBOARD ACTIONS • May 2007 —Approval of Amendment No. 6 to the Professional Services Agreement (PSA) with MPI for $561,630, increasing the total amount not to exceed $5,559,364. Approve contingency of$278,589 (5%). The Board of Directors authorized staff to negotiate with MPI for continuation of services for the construction phase. • October 2005—Approval of Amendment No. 5 to the PSA with MPI for $198,479, increasing the total amount not to exceed $4,997,734. • September 2005 —Approval of Amendment No. 4 to the PSA with MPI for $899,978, increasing the total amount not to exceed $4,799,254. • August 2005 —Approval of Amendment No. 3 to the PSA with MPI for $313,194, increasing the total amount not to exceed $3,889,276. • June 2005—Approval of Amendment No. 2 (a contract language change) to the PSA with MPI for$0, keeping the total amount not to exceed $3,586,082. • November 2003 —Approval of Amendment No. 1 to the PSA with MPI for $400,055, increasing the total amount not to exceed $3,586,082. • September 2002 —Approval of Contract No. 1-10 PSA with MPI for engineering design and construction support services for construction for an amount not to exceed $3,186,027. ADDITIONAL INFORMATION On July 15, 2008, Amendment No. 7 was approved to the PSA with MPI for additional construction services for Contract No. 1-10A, 66-Inch Ellis Avenue Trunk Sewer; and Contract No. 1-1013, Replacement of Ellis Avenue Pump Station. This amendment used almost the entire contingency. The construction support services mentioned in this Agenda Report are for MPI and their subconsultants: RBF Consulting, who will provide continued structural engineering support services; Lee & Ro, Inc., who will provide electrical engineering support services. This complies with authority levels of the Sanitation District's Delegation of Authority. This item has been budgeted. (Line item: Section 8, Page 39). Award Date: 05/02/07 Contract Amount: $5,559,364 Contingency: 5% 10/01/08 $6,119,803 6% 11% JH:SS:tc:eh Folm No.DW-I Of.i ppy,yy pyllyt• Page 2 Book Page 26 OPERATIONS COMMITTEE Meetmg Date To 13d of Dir. 10/01/08 10/32/08 AGENDA REPORT Item Number Item Number Oros-ss Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Nick Arhontes, Director of Operations and Maintenance SUBJECT: Waste Discharge Requirements (WDR) Sewer System Management Plan Compliance Status Report. GENERAL MANAGER'S RECOMMENDATION Receive and file the Waste Discharge Requirements Sewer System Management Plan Compliance Status Report dated September 24, 2008. SUMMARY On May 2, 2006, the State Water Resources Control Board (SWRCB) issued Order No. 2006-003-DWQ, Statewide General Waste Discharge Requirements (WDR)for Sanitary Sewer Systems. The Order required all public agencies owning more than one mile in length of sanitary sewers to apply for coverage under the general WDR no later than November 2, 2006 and to develop and implement a sewer system management plan (SSMP) in accordance with the requirements and deadlines stipulated in the general WDR. The Orange County Sanitation District (OCSD) is currently in compliance with all aspects of the general WDR and has completed the first seven milestones required by the SSMP time schedule. The latest four milestones: (1) Legal Authority; (2) Operation and Maintenance Program; (3) Overflow Emergency Response Program; and (4) Fats, Oils, and Grease (FOG) Control Program are required to be completed and certified on or before November 2, 2008. Staff has completed a SSMP Compliance Status Report, which is intended to inform the Board of Directors and the general public that OCSD is in compliance with all current provisions of the general WDR, including the SSMP and Sanitary Sewer Overflow (SSO) reporting requirements issued by the SWRCB. This report appears as an attachment to this Agenda Report and is mentioned in the additional information section below as a Staff Report. Form No.o 102a nevi.ovormr Page 1 Book Page 27 PRIOR COMMITTEE/BOARD ACTIONS On October 25, 2006, the Board of Directors approved the development and implementation of a compliance program with the Sanitary Sewer System WDR; item number OMTS 06-52. On July 18, 2007, the Board of Directors approved the SSMP Development Plan and Schedule, item number OP07-69. ADDITIONAL INFORMATION N/A ATTACHMENTS Staff Report dated September 24, 2008 NJA/CW/pe/jmf H:Wepl gendMOperalioos ComrNUt Opemtiona 20=1008t08-55.SSMP Compliance Report.dwx Form No ReiM 01T1N7 Page 2 Book Page 28 September 24, 2008 G,e STAFF REPORT TO: Nick Arhontes Director, Operations and Maintenance FROM: Chuck Winsor Manager, Collection Facilities Operations and Maintenance SUBJECT: WASTE DISCHARGE REQUIREMENTS SEWER SYSTEM MANAGEMENT PLAN (SSMP) COMPLIANCE STATUS REPORT The California Statewide General Waste Discharge Requirements (WDR)for Sanitary Sewers required all enrollees under this WDR to initiate and submit to the State Water Resources Control Board (SWRCB) a Collection System Questionnaire by January 1, 2007, and yearly thereafter, and to begin reporting all Sanitary Sewer Overflows (SSO) using the California Integrated Water Quality System (CIWQS)web site in accordance with the WDR. On or before January 2, 2007, OCSD staff completed and submitted the required questionnaire to the SWRCB. On January 5, 2007, Chuck Winsor was promoted to manager of the Collection Facilities Operations and Maintenance Division and was appointed as the OCSD Legally Responsible Official (LRO) for reporting OCSD collection system SSOs and for submitting and certifying all required reports and the Sewer System Management Plan (SSMP) elements using the CIWQS web site in accordance with the WDR. On July 18, 2007, the Board of Directors approved the SSMP Development Plan and Schedule and staff certified via the CIWQS web site on July 20, 2007 that this first SSMP milestone was completed by the required August 2, 2007 deadline. On November 1, 2007, OCSD staff completed and certified via the CIWQS web site the next two milestones: (1) Goals and (2) Organization, by the required November 2, 2007 milestone due date. The goal of this SSMP for OCSD is to provide a plan and schedule to properly manage, operate, and maintain all parts of the sanitary sewer collection system in order to help reduce and prevent SSOs, as well as mitigate any SSOs that do occur. In addition, OCSD is to comply with all aspects of the general WDR. OCSD • PA.Box 8127 • Fountain VaOW,,C W7284127 • (714)%2s411 Book Page 29 The organization of the OCSD Collection Facilities O&M Division 420 includes 25 authorized full time equivalent (FTE) positions. These include one Engineering Manager who acts as the Division 420 Manager, one Administrative Assistant, one Senior Engineering Associate, two Maintenance Supervisors, four Lead Mechanics, nine Senior Mechanics and seven Mechanics. On August 21, 2008, the SWRCB sent an email to all collection system WDR enrollees. This email contained a spreadsheet showing the compliance status of all statewide collection system enrollees with all the requirements of the general WDR, including SSMP and SSO reporting compliance. OCSD is in full compliance with all three of the measured compliance criteria, which are: (1) Collection System Questionnaire; (2) SSMP Elements; and (3) No Spill Certification for June 2008 and earlier. The legal authority for OCSD to enact the SSMP programs, elements and policies are included in the following OCSD Ordinances and Resolutions: (1) Ordinance No. OCSD —25 "Adopting Fats, Oils, and Grease (FOG) Control Regulations applicable to Food Service Establishments (effective January 1, 2005); (2) Resolution No. OCSD 05-04: "Establishing Fats, Oils, and Grease (FOG) Control Program Fees applicable to Food Service Establishments" (effective May 1, 2005); (3) Resolution No. OCSD 07-14: "Adopting a Policy Regarding Maintenance of Unobstructed Access to District Easements" (adopted June 27, 2007); and (4) Ordinance No. OCSD— 37 "Establishing OCSD Wastewater Discharge Regulations" (effective July 1, 2008). The Operations and Maintenance requirements of the SSMP are currently implemented by OCSD staff and are continuing as follows: (1) OCSD has and continues to maintain an up-to-date map of the sanitary sewer collection system based on an electronic base map obtained from the County of Orange and includes various electronic layers such as an accurate plotting of all sewer pipelines using AutoCAD software, all manhole locations, applicable parcel property boundaries, street centerlines, easement locations and boundaries, pump station locations and other information included in the Sewer Atlas; (2) routine preventive O&M activities by either staff or contractor labor is listed and promulgated through the OCSD Computerized Maintenance Management System (CMMS); (3) rehabilitation and replacement plans for the sanitary sewer collection system are included in the OCSD Engineering Department Strategic Plan which was last formally updated on January 23, 2006. Each fiscal year, changes and additional updates to the Capital Improvement Program (CIP) are implemented and managed by the Engineering Department as additional information is gathered and prioritized; (4) the OCSD Collection Facilities O&M staff are regularly provided and attend training in the maintenance and operations of the OCSD collection system; and (5) equipment and replacement parts inventories are managed through a combination of the OCSD Asset Management System, the CMMS and the various databases associated with the Sewer Atlas (GIS) and Hydraulic Model. Page 2 Book Page 30 The Design and Performance Provisions of the SSMP are primarily documented and managed by the OCSD Engineering Department. These include the Engineering Design Guidelines, the CAD manual, the Master Specifications, Process Control Software Standards, Standard Drawings, and Instrumentation & Equipment Tagging Information. The performance provisions of the OCSD collection system are documented within the software and accompanying databases included with the electronic Hydraulic Model which was implemented by the consultant Montgomery, Watson, Harza (MWH) prior to the latest 2006 Engineering Strategic Plan Update. The Overflow Emergency Response Plan required by the SSMP was first implemented on September 30, 2005 when OCSD hired the consultant Brown & Caldwell to put together the SSMP required by the California SWRQB Santa Ana Region General Waste Discharge Requirements, Order No. R6-2002-0014 promulgated on April 26, 2002. Since then, OCSD has updated its Sanitary Sewer Overflow(SSO) Response Procedures and Flow Chart and has conducted training of its staff to respond to all SSOs that the staff are called out and respond to. There are detailed Standard Operating Procedures (SOPs) and training conducted for proper SSO response. CW:pe/jmf KWepllagenda0perations Commillee\Operations 2008\10081 55.SSMP Compliance Report-Ad 1.docx Page 3 Book Page 31 OPERATIONS COMMITTEE nteebne Doe TO Btl. of DII. to/01/a8 10/221 8 O Rem AGENDA REPORT I -56 Item Number m Numb Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Nick Arhontes, Director of Operations and Maintenance SUBJECT: Purchase of Ferric Chloride, Specification No. C-2005-247 GENERAL MANAGER'S RECOMMENDATION Approve Change Order No. 4 to Purchase Order No. 102354 OB for Purchase of Ferric Chloride, Specification No. C-2005-247, issued to Kemira Water at an initial unit price of$610 per dry ton delivered, plus applicable tax indexed to Iron Age Scrap Index#1 Bushing Chicago listing benchmark of$635/ton and a pricing correction factor of 34% of the difference of the benchmark and index on a quarterly basis, for an estimated annual contract amount of$4,600,925 for the period December 1, 2008 through November 30, 2009. SUMMARY • Ferric chloride is a liquid chemical iron salt, which is currently used to increase the solids removal efficiencies at both Plant No. 1 and Plant No. 2 in the primary treatment process and to control digester gas hydrogen sulfide to meet Air Quality Management District (AQMD) requirements. • Scrap steel and chlorine are the key raw ingredients used in the manufacture of ferric chloride. Scrap steel is dissolved using recirculated ferric chloride to form ferrous sulfide, which is then treated with chlorine to produce ferric chloride. Iron makes up 34%, by weight, of ferric chloride. • In fiscal year 2005-06, Kemira Water was awarded a one-year contract to provide ferric chloride after a competitive bidding process in which Kemira was the sole bidder. The contract included a provision for four one-year contract extensions at the original bid price. • Kemira Water has offered to provide a one-year extension through November 30, 2009, but at an initial unit price of$610 per dry ton of ferric chloride indexed to Iron Age Scrap Index#1 Bushing Chicago listing benchmark of$635/ton and a pricing correction factor of 34% of the difference of the benchmark and index on a quarterly basis. Iron makes up 34%, by weight, of ferric chloride. • Scrap steel is one of the key raw ingredients used in the manufacture of ferric chloride. The price of scrap steel has increased to record levels over the last few months. From November 2007 to August 2008, the price of scrap steel increased by nearly $500/ton which is about 250% increase. • The initial price offering of$610.00 per dry ton is an increase of$147.75 over the current contract price of$462.25 per dry ton. Form No. M-102 Agenda ReWn—Boats Re o.d 121MM Page 1 Book Page 32 • A contingency is not requested at this time since the unit price is variable through the contract term and tied to an index. • Kemira Water is the only vendor capable of providing the 7,000 dry tons per year of ferric chloride currently required for District operations. • Staff recommends that the contract for ferric chloride be extended for an additional one-year term while possible changes in the process are reviewed. • Staff is awaiting final determination by General Counsel of OCSD's eligibility to be exempt from sales tax on the portion of the ferric chloride applied to wastewater that is ultimately routed to the Groundwater Replenishment System. This potential sales tax exemption will reduce an associated product cost that is directly tied to the chemical unit cost. PRIOR COMMITTEE/BOARD ACTIONS 1. The contract was competitively bid in fiscal year 2005-06 and awarded by the Purchasing Manager according to Resolution No. OCSD 04-08, Delegation of Authority. 2. 10/25/06: Board of Directors approved Change Order No. 1 for a unit price increase of$76.20 per dry ton for ferric chloride increasing the total price to $434.00 per dry ton plus tax for an estimated amount of$3,255,000 for the period December 1, 2006 through November 30, 2007. 3. 10/24/07: Board of Directors approved Change Order No. 3 to Purchase Order No. 102354-OB for Purchase of Ferric Chloride, Specification No. C-2005-247, for a unit price increase of$28.25 per dry ton for ferric chloride, increasing the total price to $462.25 per dry ton plus tax for an estimated amount of$4,029,562 for the period December 1, 2007 through November 30, 2008. ADDITIONAL INFORMATION This item is budgeted. (Object No. 52013, Divisions 830 and 840). However, in light of the extraordinary price increase, budget reappropriations will be necessary. Award Date Contract Price- Contingency $per dry ton delivered+tax 12/01/05-Original Contract $357.80 None 10/25/06-Change Order#1 $434.00 None *11/06106-Change Order#2 We We 10/24/07-Change Order#3 $462.25 10% 12/01/08 -Change Order#4 $610.00 with quarterly index None adjustment 'Change Order#2 provided for an increase to the estimated annual amount. Form No. M-102 Agenda RaWn-Board Page 2 Book Page 33 OPERATIONS COMMITTEE Meeting Date To Bd.or Dir. 10/01/08 I0/22/OB AGENDA REPORT IRm08-57 Ibm Numbe ovNum1 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Nick Arhontes, Director of Operations and Maintenance. SUBJECT: Replacement of Carpet and Flooring in the Administration Building GENERAL MANAGER'S RECOMMENDATION a) Award a Sole Source contract to Universal Flooring for the removal and replacement of existing carpeting and vinyl flooring in the Administration Building at Plant No. 1 for an amount not to exceed $170,000: and, b) Approve a contingency of $17,000 (10%). SUMMARY • The existing flooring in the Administration Building has exceeded its life expectancy of 15 years and needs to be replaced. • Universal Flooring offers a patented carpeting system which simplifies removal and installation and minimizes staff disruption. • Universal Flooring offers a turnkey service that others were not able to provide on similar scopes of work which were recently bid. • Universal Flooring performed the flooring replacement in the Plant No. 1 laboratory building in 2007. The system was completed to the satisfaction of all and is performing well. PRIOR COMMITTEE/BOARD ACTIONS NONE ADDITIONAL INFORMATION The existing flooring in the Administration Building has exceeded its life expectancy of 15 years and needs to be replaced. The existing carpet and flooring was installed in 1988-89. The existing carpet tiles are 12"x12" glued squares. The current condition of the carpet is frayed and wom. Procuring exact replacement carpet tiles continues to be problematic due to obsolete inventory, Fmm No. DW-tot Agenda Repon-Boani Page 1 Rook Page 34 age, size, color and design. The existing vinyl stair treads require ongoing maintenance with replacement and re-gluing. Existing vinyl stair treads are different in colors and patterns. Carpeting can act like a filter and over the years can trap particulates and pollutants. New flooring will reduce the need to apply tape to the frayed sections of the carpet tiles and improve the conditions both in appearance and indoor air quality. • Universal Flooring use the patented M.A.R.S., or Modular Alternative Replacement System that elevates entire workstations, bookcases and file cabinets an inch off the floor so all existing flooring can be removed and the new flooring installed. Utilizing the effective method reduces costs on repairing and replacing substandard floors without the conventional inconveniences, such as relocation, systems furniture breakdown and set up, office disruption and lost productivity. • Universal Flooring offers a turnkey service that others were not able to provide. Other vendors and services were brought onsite to provide bids and quotes for performing the same tasks. These vendors and services specialize in only one application, such as the removal and installation of carpet but not the removal of furniture or the breakdown and storage of partitions. Coordinating this job with several vendors would have required more time, money, and employees of the laboratory would have been required to work at other workstations for a minimum of one week. Setting up these temporary workstations would also impact the services of O&M and Information Technology staff. • Universal Flooring performed the flooring replacement in the Plant No. 1 Laboratory building in 2007. The work was performed during the evening hours. All staff continued to work at their assigned workstations each and every day during their scheduled work hours without interruption. Employee's personal items were boxed and left at their assigned workstations to reduce loss or damage to personal property and liability to contract staff. Items such as file cabinets, chairs, tables and trash cans are logged and photographed. Other vendors requested to perform such tasks during regular scheduled business hours and therefore would charge overtime for services performed in the evenings after 5:00pm. • Universal Flooring is located in Huntington Beach and has been in business for over 11 years. They have utilized this patented system at the Boeing Facility in Huntington Beach and at Disneyland in Anaheim. This item has been budgeted. Funding of this carpet and flooring replacement is scheduled in the approved FY 08/09 operating budget.. Award Date: 10-01-08 Contract Amount: $170,000 Contingency: $17,000 Form No. ew-102 Agen0e Rapo0—BORN ReWx•. 1V06= Page 2 Book Page 35 OPERATIONS COMMITTEE Meeting Me To aD.0 "'. 10/01/08 torz2roe um Ie AGENDA REPORT m Nbe Iem Numbe OPurn Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Jim Herberg, Director of Engineering Project Manger: David MacDonald SUBJECT: AIR QUALITY IMPROVEMENTS, JOB NO. J-79 GENERAL MANAGER'S RECOMMENDATION Authorize staff to negotiate a Professional Design Services Agreement with Malcolm Pirnie Corporation for Phase 2 Pilot Engine Exhaust Emissions Reduction to furnish, install, and test a pilot system re: Air Quality Improvements, Job No. J-79. SUMMARY • The South Coast Air Quality Management District (SCAQMD) has promulgated new regulations which provide greater restrictions on the exhaust emissions from the Central Generation System (CGS) engines. • The exhaust from the existing CGS engines does not meet the requirements of the new Rule 1110.2, and this condition will require the installation of an exhaust emission reduction system on each engine in the CGS. • The next phase of this project is to pilot test the proposed exhaust emissions reduction system on Engine No. 1 at Plant No. 1. • A future Project, to be authorized by the Board, will provide for the furnishing, and installation of exhaust emissions reduction systems on the remaining engines in the Central Generation Systems at Plant No. 1 and Plant No. 2. PRIOR COMMITTEE/BOARD ACTIONS January 2008 —Approval of Amendment No. 6 to perform an emission reduction technology evaluation for the CGS engines to comply with the new Rule 1110.2, 2012 emissions limits in an amount not to exceed $149,842 for a total Professional Design Services Agreement (PDSA) amount of$3,347,852, June 2005 —Approval of Amendment No. 5 to provide an on-site worker Health Risk Assessment in an amount not to exceed $130,409 for a total PDSA amount of $3,198,010. April 2005 —Approval of Amendment No. 4 including pilot testing of a full scale catalytic oxidizer system at Plant No. 2, Engine No. 3; developing a risk mitigation plan; and Form No.DW 102 Agenda Reyon-6oertl ReWsed 12106M Page 1 Book Page 36 performing emissions and dispersion modeling in order to establish the 2012 Baseline Health Risk Assessment in an amount not to exceed $1,237,054 for a total PDSA amount of$3,067,601. September 2004—Approval of Amendment No. 3 to conduct plant-wide air toxics modeling for future conditions which included projects through the year 2012; air toxics modeling for eight outlying pump stations; and providing additional combustion modification pilot testing services in an amount not to exceed $521,707 for a total PDSA amount of$1,830,547. September 2003—Approval of Amendment No. 2 addressed facility-wide TAC emissions from both Plant No. 1 and 2 and developed a comprehensive inventory of facility-wide air toxics emissions from both treatment plants for baseline conditions which included projects through the year 2006 in an amount not to exceed $862,776 for a total PDSA amount of$1,308,840. March 2003—Approval of Amendment No. 1 conducting NOx emissions pilot testing for modifying the engines to comply with the SCAQMD standards by the end of December 2004 in an amount not to exceed $192,829 for a total PDSA amount of$446,064. January 2003—Approval of an agreement with Malcolm Pirnie Corporation (Malcolm Pirnie) to provide engineering for the preparation of an Emission Reduction Study for the CGSs at Plant No. 1 and No. 2 in an amount not to exceed $253,235. ADDITIONAL INFORMATION In 2007, Malcolm Pirnie designed, installed, and tested an engine exhaust emissions reduction system on Engine No. 3 at Plant No. 2. The pilot unit was successful at meeting past emissions requirements, but will not meet the new Rule 1110.2 which was adopted by SCQAMD in February 2008. Due to their previous experience with the evaluation of emission reduction systems for the CGSs, Malcolm Pimie is uniquely qualified to provide the engineering service required to install and test the proposed pilot unit at Plant No.1. However, due to the extended time and multiple amendments to the original agreement, staff is requesting authorization to negotiate a new PDSA. This request complies with authority levels of the Sanitation District's Delegation of Authority, Section 5.06 which allows for the continuation of services for a firm which satisfactorily completed a previous phase. JH:DM:tc:gc KWglobaMgenea Draft ReporbWpemNoni Air Quality AR 10.1.08.d= Form No.M-102 Agenda Report-Board Revised 12106/06 Page 2 Book Page 37 ORANGE COUNTY SANITATION DISTRICT (714) 962-2411 www.ocsd.com Mailing Address: P.O. Box 8127 Fountain Valley, California 92728-8127 Street Address: 10844 Ellis Avenue Fountain Valley, California 92708-7018