HomeMy WebLinkAbout1998-04-27 City Council (24)City
City of Palo Alto
Manager’s Report
TO:HONORABLE CITY COUNCIL
FROM:CITY MANAGER DEPARTMENT: PUBLIC WORKS
DATE:APRIL 27, 1998 CMR:203:98
SUBJECT:APPROVAL OF AN AMENDMENT NO. 2 TO CONTRACT C6085795
WITH CH2M HILL INC. FOR THE FINAL DESIGN AND PERMIT
SERVICES TO REHABILITATE THE INCINERATORS AT THE
REGIONAL WATER QUALITY CONTROL PLANT.
RECOMMENDATION
Staff recommends that Council:
Approve and authorize the Mayor to execute Amendment No. 2 (Attachment A) to
Contract No. C6085795 with CH2M HILL Inc., in the amount of $715,000 for the final
design and permit services to rehabilitate the incinerators at the Regional Water Quality
Control Plant (RWQCP). The contract is structured so that Phase I, covering
preliminary design and geotechnical investigations, will be funded out of the current
FY1997-98 budget, not to exceed $100,000. Funding for Phase II includes the balance
of the contract costs, or $615,000, and has been included in the proposed FY 1998-99
Wastewater Treatment Capital Improvement budget, contingent upon Council approval.
Authorize the, City Manager or her designee to negotiate and execute one or more
change orders to the contract with CH2M HILL for related, additional but unforeseen
work which may develop during the project, the total -value of which shall not exceed
$50,000.
BACKGROUND
On May 28, 1996, Contract No. C6085795 was awarded to CH2M HILL(CMR:278:96).
The contract required CH2M HILL to provide full services in phases, from planning through
construction, for the Solids Facility, pending approval by Council. Under the basic contract,
CH2M HILL prepared the Solids Facility Plan for a fee of $400,000. The Plan evaluated
various options, and provided the recommendation to rehabilitate the incinerators and add
a dryer in the future. The planning phase was covered underthe basic contract.
CMR:203:98 Page 1 of 3
On Sept 22, !997, Council approved Amendment No. 1 to the contract (CMR:389:97). Under
Amendment No. 1, CH2M HILL prepped the Negative Declaration for the rehabilitation of
~ the incinerators and the addition of a dryer. The fee for Amendment No. 1 was $45,000.
¯ Amendment No. 2 to the contract will provide the design and permit services for repairs and
improvements to the incinerators as described in the Negative Declaration, with provisions
for the future addition of the dryer. The fee for this amendment is $715,000. The
preliminary design and geotechnical investigation are scheduled to be completed this June.
The final design and permit services are scheduled to proceed in July 1998, upon written
notice to proceed from the City. The scope and fee for the remaining services are to be
established at later dates, and are subject to Council approval.
RESOURCE IMPACT
On March 16, 1998, the Palo Alto City Council approved in concept staff’s funding proposal
for Palo Alto to issue tax exempt bonds to finance the RWQCP incinerator rehabilitation
project. AS part of that CMR (CMR:165:98), Council also approved Amendment No. 6 to
the basic Partners’ agreement, which included provisions that each Partner agency approve
Palo Alto acting as lead agency in the issuance of tax exempt bonds to finance the incinerator
rehabilitation, and that each agency agreed to pay its proportionate share of debt service to
Palo Alto over the life of the bonds. Concurrently, the City Councils of Los Altos and
Mountain View also approved this amendment.
Funds for the preliminary design and geotechnical investigation shall not exceed $100,000,
and are included in the FY 1997-1998 Wastewater Treatment Capital Improvement budget.
Funds for the ,remaining design and permit services have been included in the proposed FY
1998-99 Wastewater Treatmelat Capital Improvement budget. The proposed 1998-99
funding includes the design fee, and the future years’ capital budgets will include the
construction dollars, contingent on Council approval. The construction and design costs will
be reimbursed from bond proceeds approximately August 1999. The design and construction
costs are estimated-to total $6.2 million.
POLICY IMPLICATIONS
The recommendations in this staff report are consistent with City policies.
ENVIRONMENTAL REVIEW
On February 23, 1998, Council approved the Negative Declaration prepared for the project
(CMR:141:98).
ATTACHMENTS
Amendment No. 2 for Contract C6085795
CMR:203:98 Page 2 of 3
PREPARED BY: Bill Miks, Manager RWQCP
DEPARTMENT HEAD:
GLENN S. ROBERTS
Director of Public Works
E~LYT-IA~SON
Assistant City Manager
CMR:203:98 Page 3 of 3
AMENDMENT NO. TWO TO CONTRACT NO. C6085795
BETWEEN THE CITY OF PALO ALTO AND
CH2M HILL, INC.
This Amendment No.Two to Contract No. C6085795
("Contract") is entered into , by and between the
CITY OF PALO ALTO, a chartered city and a municipal corporation of
the State of California ("CITY"), and CH2M HILL, INC., a Florida
corporation, located at iiii Broadway, Suite 1200, Oakland, CA
94607-7046. (,,CONSULTANT,,).-
RECITALS:
WHEREAS, the Contract was entered into between the
parties for the provision of professional services described in
contract C6085795; and
WHEREAS, the parties wish to amend the Contract;
NOW, THEREFORE, in consideration of the covenants, terms,
conditions, and provisions of this Amendment, the parties agree:
follows:
SECTION i.Section 5 is hereby amended to read as
"SECTION 5. COMPENSATION
5.1 CITY will compensate
following services and work:
CONSULTANT for the
5.1.1 In consideration of the full performance
of the Basic Services, including all authorized reimbursable
expenses, CITY will pay CONSULTANT a fee not to exceed Nine
Hundred Ninety Thousand Dollars ($990,000). The amount of
compensation will be calculated in accordance with the hourly
rate schedule set forth in Exhibit "B", on a time and
materials basis, up to the maximum amount set forth in this
Section. The. fees of the consultants, who have direct
contractual relationships with ~ONSULTANT, will be approved,
in advance, by CITY. CITY reserves the right to refuse
payment of such fees, if such prior approval is not obtained
by CONSULTANT.
5.1.2 In consideration of the full performance
of Additional Services, the amount of compensation set forth
in Exhibit "B" will not exceed One Hundred Seventy Thousand
Dollars ($170,000). The rate schedules may be updated by
CONSULTANT only once each calendar year, and the rate
schedules will not become effective for purposes of this
Contract, unless and until CONSULTANT gives CITY thirty (30)
days’ prior written notice of the effective date of any
revised rate schedule.
9S0406 syn 0071397
1
5.1.3 The full payment of charges for extra work-
or changes, or both, in the execution of the Project will be
made, provided such request for payment is initiated by
CONSULTANT and authorized, in writing, by the project manager.
Payment will be made within thirty (30) days of submission by
CONSULTANT of a statement, in triplicate, of itemized costs
covering such work or changes, or-both. Prior to commencing
such extra work or changes, or both, the parties will agree
upon an estimated maximum cost for such extra work or changes.
CONSULTANT will not be paid for extra work or changes~
including, without limitation, any design work or change order
preparation, which is made necessary on account of
CONSULTANT’s errors, omissions, or oversights.
5.1.4 Direct personnel expense of employees
assigned.to the execution of the Project by CONSULTANT will
include only the work of architects, engineers, designers, job
captains, draftspersons, specification writers and typists, in
consultation, research and design, work in producing drawings,
specifications and other documents pertaining to the Project,
and in services rendered during construction at the site, to
the extent such services are expressly contemplated under this
Contract. Included in the cost of direct personnel expense of
these employees are salaries and mandatory and customary
benefits such as statutory employee benefits, insurance, sick
leave, holidays and vacations, pensions and similar benefits.
5.1.5 Direct Expenses are those costs incurred
on or directly for the project including, but not limited to,
reasonable and necessary transportation cost, including
current rates for CH2M HILL’s vehicles; meals and lodging;
laboratory tests and analysis; computer services; word
processing services, telephone, printing, reproduction
charges; all reasonable and necessary costs associated with
outside consultants, subconsultants and other outside services
and facilities; and other similar costs. Reimbursement for
Direct Expenses will be on the basis of actual charges when
furnished by commercial sources and on the basis of current
rates when furnished by CH2M HILL. A service charge for i0
percent (10%) will be added to Direct Expenses.
5.1.6 The full payment of pending CONSULTANT
services shall be as set forth in the amendment to this
contract upon approval by CITY’S City Council.
follows:
5.2 The schedule of payments will be made as
5.2.1 Payment of the Basic Services will be made
in monthly progress payments in proportion to the quantum of
services performed, or in accordance with any other schedule
of payment mutually agreed upon by the parties, as set forth
in Exhibit "B", or within thirty (30) days of submission, in
triplicate, of such requests if a schedule of payment is not
specified. Final payment will be made by CITY after
980406 syn 0071397
2
CONSULTANT has submitted all Deliverables, including, without
limitation, reports which have been approved by the project
manager.
5.2.2 Payment of the Additional Services will
be made in monthly progress payments for services rendered,
within thirty (30) days of submission, in triplicate, of such
requests.
5.2.3 No deductions will be made from CONSULTANT’s
compensation on account of.penalties, liquidated damages, or
other sums withheld by CITY from payments to general
contractors."
SECTION 2. Exhibit "~’ entitled "Scope of Services" is
hereby amended to read as set forth in the attachment to this
Amendment, which is incorporated in full by this reference:
SECTION 3. Except as herein modified, all other
provisions of the Contract, including any .exhibits and subsequent
amendments thereto, shall remain in full force and effect.
IN WITNESS WHEREOF, the parties have by their duly
authorized representatives executed this Amendment on the date
first above written.
ATTEST:CITY OF PALO ALTO
City Clerk
APPROVED AS TO FORM:
Senior Asst. City Attorney
APPROVED:
Mayor
CH2M HILL, INC.
Taxpayer I.D. No. 59-0918189
Assistant City Manager
Director of Public Works
Acting Director of
Administrative Services
Risk Manager
Attachment:
EXHIBIT "A": SCOPE OF SERVICES
9g0406 syn 0071397
CERTIFICATe. OF ACKNOWLEDGMENT
(Civil Code § 1189)
STATE OF
COUNTY OF
)))
On ~-[(D-q~o , before me, the undersigned, a
nota[y public ¯ in and for said County, personally appeared
personally known to me (or proved to me On the basis of
satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument, and acknowledged to me that
he/she/they executed the same in his/her/their authorized
capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
WITNESS my hand and official seal.
980406 syn 0071397
4
ATTACHMENT A-2 to Exhibit A of CONTRACT C6085795
Scope of Work
Final Design and Permitting
Palo AltoRWQCP Incinerator Rehabilitation
Consultant shall perform the final design and permit activities for the rehabilitation of the
incinerators. The design shall meet the operating and environmental goals of the RWQCP. ~
Operational Goal
The operational goal of the rehabilitation is to provide reliability, redundancy, and flexibility for
the safe operation of the two existing incinerators. It is anticipated that rehabilitation would
provide the RWQCP with two incinerators that will likely operate reliably and safely for a
minimum of 15 years, with the normal scheduled maintenance. Each rehabilitated incinerator will
have a rated capacity of 32 dry tons per day (DTD) at 28 percent feed solids. The RWQCP will
normally operate one incinerator and keep one incinerator as a standby. The operating incinerator
is expected to operate at approximately 80 percent of its rated capacity, 80 percent of the time.
The incinerator will rotate duty once a year to reduce thermal stress and to allow for preventative
maintenance. During high flow periods, the RWQCP will operate both incinerators at partial
loads,, total throughput will not exceed the currently permitted 60 DTD. The design shall
accommodate the addition of a thermal dryer in the future for peak shaving.
Environmental Goal
The environmental goal of the rehabilitation is to reduce pollutant releases to air, land, and water.
The pollutants of special concern are dioxins (including furans), mercury, and cadmium. The
rehabilitation should achieve the minimum reduction of the pollutants of concern as identified in
the Solids Facility Plan. The anticipated reduction of dioxin is a minimum of 90 percent. The
equipment and design of the system shall be such as to require equipment vendors to achieve 90
percent reduction or reduction to detectable limits. The rehabilitated incinerators must meet all
current permit requirements and the known future permit requirements. The Consultant shall keep
apprised of the regulatory activities and potential changes, and keep the RWQCP informed of the
latest proposed regulations. Any water used in the incinerator process, including the scrubber
water, is intended to be recycled to the headwork of the plant. The RWQCP currently meets all
permit requirements but is close to its discharge limit for mercury and the interim limit for
copper. Following completion of construction and startup, a detailed, comprehensive testing
program will be conducted on the air and liquid systems. The goal is to verify performance and
assess the level of pollutants actually in the plant effluent and subsequently to recommend
additional treatment facilities and disposal techniques to handle the recycle stream, if necessary.
The design shall make provisions for the future addition of the recycled stream treatment train.
ATTACHMENT A-2 to EXHIBIT A of CONTRACT C6085795 1
¯ "SCOPE OF WORK
FINAL DESIGN AND PERMI’VI’ING
PALO ALTO RWQCP INCINERATOR REHABILITATION
Project Components
The design shall include the following components, in general. The consultant shall also meet
and review design requirements, strategy, and details with the City staff prior to the final design.
Incinerator Improvements
Visually inspect both incinerator shells. Conduct ultrasonic thickness measurements over
the shell of the non-operating incinerator to help detect reductions of shell thickness that are
not detectable by human vision.
Repair the identified areas of cracking, bulging, heavy corrosion/thin steel on the shell of
each incinerator. Repair will generally be accomplished by cutting out the flaws and
welding on new steel patches.
3.At each flaw, inspect the refractory and/or insulation. Specify repair as may be necessary.
(The repair is anticipated to be a performance specification and/or design).
4.Paint the steel shell on each incinerator.
Inspect the hearths in Incinerator No. 2. Rebuild Hearth No. 5 on Incinerator No. 1 and,
as may be necessary, for Incinerator No. 2. (This is a performance specification and/or
design).
Replace all exhaust ducting on each incinerator.
Replace the ID fans using variable speed drives. Replace the combustion air fans and
cooling fans. Add a new external afterburner and a two-stage Venturi scrubber (Venturi
Pak potential sole-source). The installation is assumed to be outside of and adjacent to
the north side of the incinerator building. Equipment will not be covered but will be
installed behind a screening wall.
Review and evaluate ways to improve the distribution of sludge to the top hearth.
Revise or replace the rabble arm or teeth for more even distribution.
Convert the top hearth of each incinerator to a burning hearth from its current function as
an afterburner.
10.Replace the incinerator control system, including:
¯ID fan control
¯Main shaft control
ATTACHMENT A-2 to EXHIBIT A of CONTRACT C6085795 2
SCOPE OF WORK
FINAL DESIGN AND PERMIq-FING
PALO ALTO RWQCP INCINERATOR REHABILITATION
¯Air/fuel control
11.Make provisions for the future addition of a scalping dryer and recycled flow treatment
system.
12.Add a small electrical room inside the existing incinerator building to house the electrical
gear for the incinerator scum system and equalization facilities.
13.If necessary, replace the center drive shaft and/or upper and lower bearings.
14.Replace the existing ash transfer/bagging system with a system that will transfer and
either bag the ash or load trucks. The system should include a loading site that ~an
hold approximately one day’s ash production and be located outside the incinerator
building.
Solids Equalization
1.Add a new steel, solids equalization/storage tank. The tank will be approximately
100,000 gallons, 25 feet in diameter, and 30 feet tall. Tank will include two
approximate 15-hp submersible mixers. Tank is assumed to be pile-supported.
2.Add two new variable speed, discharge pumps. Pumps will discharge to the existing belt
press feed piping.
3.Tank contents will be vented to the incinerator air systems for odor control.
Project Phases
The project will be implemented in the following phases.
Preliminary Design, Data Development
1.Meet and discuss with plant personnel the project scope, strategy, and criteria for the design
process.
Site inspection to confirm the condition of all equipment and systems as identified "in the
Incinerator Inspection Report and Solids Facility Plan. A detailed inspection will be
done on the non-operating incinerator.
3.Identify and map the size and location of all incinerator flaws that can be visually detected.
or detected through an ultrasonic thickness gauge.
ATTACHMENT A-2 to EXHIBIT A of CONTRACT C6085795 3
SCOPE OF WORK
FINAL DESIGN AND PERMITTING
PALO ALTO RWQCP INCINERATOR REHABILITATION
Technical Memoranda will be concise and focus on providing design definition. They
will include a detailed description of modifications. Upon City approval of the proposed
modifications, the consultant shall prepare additional sketches (including plan and major
sectional views), sizing criteria, equipment performance specifications, electrical/I&C
requirements, and interfacing with the existing system.
a.Prepare a technical memorandum addressing the solids equalization/feed
modifications..
b. Prepare a technical memorandum addressing the new air emissions abatement train.
c. Prepare a technical memorandum addressing the new auxiliary equipment.
d. Prepare a technical memorandum addressing the new incinerator system controls.
eo Prepare a technical memorandum showing the size, configuration, location, and utility
requirements for the future, scalping dryer. Identify interface points with the revised
incinerator layouts. Include any necessary interface facilities with the
recommendation for facilities identified in 3a through 3d above.
f.Prepare a technical memorandum addressing the ash system modifications. Prepare also
a preliminary process and instrumentation drawing.
g. Prepare a technical memorandum addressing the solids equalization/storage tank.
Geotechnical evaluation for the structures to be constructed on the north and south side of
the incinerator building. Work shall include two borings to 75 feet with sampling at 5-foot
intervals. A technical memorandum will be prepared summarizing the results of the
sampling/testing (Atterberg limits, P-200, sieve, moisture content, consolidation, and UU
shear strength) and the foundation recommendation, including tip elevations and lateral
capacities.
Update the preliminary construction Cost estimate prepared at the conclusion of the Facility
Planning phase. The estimated shall be itemized so that costs for individual components
may be assigned to different City budgets.
7.Prepare a preliminary construction schedule.
Conduct review workshops with plant personnel to present and review the work.
a.Conduct one detailed scoping meeting at the beginning of the work to solicit and
resolve input from plant personnel.
ATTACHMENT A-2 to EXHIBIT A of CONTRACT C6085795 4 ..
SCOPE OF WORK
FINAL DESIGN AND PERMIqqqNG
PALO ALTO RWQCP |NC|NERATOR REHABIL|TATION
b.Conduct one workshop at the approximate mid-point of the preliminary design.
c.Conduct one workshop at the conclusion of preliminary design.
Final Design
Final design shall not proceed without a written "notice-to-proceed with final design" from
the City.
Final Design, 50 Percent
1. Prepare a 50 percent design submittal including:
a. Major plan and sectional drawings.
b. Major equipment specifications
c. P&IDs and loop descriptions approximately 90 percent complete.
d. Electrical one-line drawings.
2.Prepare a 50 percent, revised construction cost estimate and construction schedule.
3.Conduct review workshops with plant personnel.
a. Conduct one at the approximate mid-point.
b. Conduct one at the submittal time.
Final Design, 90 Percent
Prepare a 90 percent design submittal including:
a. Complete P&IDs and loop descriptions.
b. All specification sections, complete. Specifications shall incorporate City’s standard
"boiler plate" specifications.
c. All drawings, complete.
d. Conduct a review workshop.
e. Prepare a construction cost estimate and a construction schedule
Final Design, 100 Percent
1.Prepare final, bid-ready contract documents, including all appropriate changes resulting
from review comments made on the 90 percent submittal.
2.Revise the construction cost estimate and construction schedule according to the review
revisions that may have been incorporated.
3.Provide 20 copies of the half-size Contract Documents, one full-size reproducible set of
drawings, and an electronic file of the specifications and drawings.
ATTACHMENT A-2 to EXHIBIT A of CONTRACT C6085795 5
SCOPE OF WORK
FINAL DESIGN .AND PERMI’I~ING
PALO ALTO RWQCP INCINERATOR REHABILITATION
Permitting
Permitting activities shall not proceed without a written "notice-to-proceed with the permitting ¯
service" from the City.
Task 1-Pre-A/C Activities
These activities cover both the new abatement train and the incinerators minor repairs and
equipment in-kind replacement scenarios and activities. Under this task, the following work will
be completed.
Subtask 1A-Develop and Finalize Proposed Abatement Train and Incinerator Repairs A/C
Strategy
a. Meet up to two times each with the City and the BAAQMD to determine the best A/C
strategy. Each meeting is assumed to be 5 hours, plus preparation and follow-up. Prepare
a Memorandum of Understanding to document the process.
bo The basic services assumes that the BAAQMD will rule that an A/C and P/0 is not required
for the incinerator repairs and replacement-in-kind. If, however, the BAAQMD states that
the A/C and P/0 will be required for the incinerator, simple repairs, and in-kind parts
replacement, then prepare, as part of the optional services, either a simple updating notice
or a minor modification A/C and P/0.
Co Prepare one technical memorandum finalizing each incinerator’s baseline emissions,
abatement system control efficiencies, and estimated emission reductions (all with backup).
The technical memorandum will be prepared after meeting one time with the City and one
time with the BAAQMD (as identified under 1.A.a above).
Finalize all abatement equipment performance specification and performance testing
requirements to be included in the final design.
e. Conduct a site tour for the BAAQMD’s permitting engineer.
Subtask 1 B-A/C and Banking Application Preparation Activities
a. Prepare the A/C application for both the abatement train. The A/C includes the abatement
equipment identified in the final design documents. Propose permit conditions covering
abatement equipment performance, air emissions limits, record keeping, and potential future
performance testing requirements. Note that there is a possibility that some modeling and risk
assessment work may be required. This modeling and risk assessment work is included as
part of the optional services. Also, if an A/C is required for the incinerator repairs and
replacement-in-kind, this effort will be covered as an additional
A’ITACHMENT A-2 to EXHIBIT A of CONTRACT C6085795 6
SCOPE OF WORK
FINAL DESIGN AND PERMI’VI’ING
PALO ALTO RWQCP INCINERATOR REHABILITATION
service.
b. Prepare the Emissions Banking application.
Task 2-Address BAAQMD A/C and Banking Questions and Informational
Requests
a.Respond to BAAQMD questions regarding the submitted A/C and banking applications.
Response is assumed to require one concise technical memoranda and one meeting (as per
Task 1.A.a).
Optional Tasks Associated with Tasks 1 and 2
Optional services include activities that either may not occur or that cannot be accurately
estimated at this time. Those include:
a.Attend additional meetings.
b.Support BAAQMD Hearing Board activities.
c.Provide outreach to the public or to regulatory agencies.
d.Modeling and/or risk assessment.
e.Prepare an A/C and P/0 for incinerator repairs and replacement-in-kind.
Project Schedule
Receive a Notice to proceed with preliminary design & geotechnical investigation, May 4,
1998
Begin preliminary design & geotechnical investigation, May 11, 1998
Complete preliminary design & geotechnical investigation, June 12, 1998
Review preliminary design (work stops during review period)
Review complete, receive a notice to proceed with f’mal design & permit activities, July
1998
Begin final design and permit activities, July 1, 1998
Submit 50 percent design, September 7, 1998
50 percent review complete, September 21, 1998 (design will stop during review period)
ATTACHMENT A-2 to EXHIBIT A of CONTRACT C6085795 7 o "
SCOPE OF WORK
FINAL DESIGN AND PERMITTING
PALO ALTO RWQCP INCINERATOR REHABILITATION
Submit 90 percent design, November 16, 1998
90 percent review complete, December 7, 1998 (design will stop during review period)
Complete revisions to the 90 percent review comments, December 22, i998
ATTACHMENT A-2 to EXHIBIT A of CONTRACT C6085795 8 ¯ "