HomeMy WebLinkAbout04. Agreement with AMS Associates for RCM Program Development and PilotCentral Contra Costa Sanitary District
BOARD OF DIRECTORS
`- POSITION PAPER )PM)TY
Board Meeting Date: December 17, 2015
Subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREEMENT
WITH AMS ASSOCIATES FOR PROFESSIONAL CONSULTING
SERVICES FOR THE RCM PROGRAM DEVELOPMENT AND PILOT
FOR DISTRICT PROJECT 8238
Submitted By:
Dana Lawson
Senior Engineer
Initiating Dept. /Div.:
Engineering & Technical Services/
Planning & Development Services
REVIEWED AND RECOMMENDED FOR BOARD ACTION:
D. Gemmell — Planning & Development Services Division Manager
JM. Petit — Director of Engineering & Technical Services
Roger S. Bailey
General Manager
ISSUE: Board of Directors' authorization is required for the General Manager to
execute a professional services agreement in an amount greater than $100,000.
BACKGROUND: District Project 8238, Asset Management Program Development, has
a critical ranking in the CIB and supports Board Policy 15, Asset Management, and
Strategic Plan Goal 6, Strategy 1. The Asset Management Implementation Plan (AMIP)
identified the need for a Plant Maintenance Strategy in Element 3 and included a
specific effort to conduct a reliability centered maintenance (RCM) pilot program.
RCM is a systematic approach to maintenance that provides a qualitative decision -
making methodology to identify the most effective planned maintenance task for an
asset. RCM establishes a repeatable program with documented processes and
procedures, including details on how to achieve reduced failures and downtime. RCM
can play a pivotal role in the development of a comprehensive maintenance reliability
program. It incorporates performance monitoring, assessment, and predictive
maintenance activities. RCM is used to cost - effectively maintain assets to achieve the
intended service.
The objective of Element 3 of the AMIP is to provide a framework for the Plant
Maintenance Division to improve efficiency and results. RCM supports business goals
of reducing risk and overall costs of ownership. In conducting a pilot study of RCM, the
District aims to test the feasibility and results of this approach before implementing RCM
for all appropriate treatment plant and pump station assets.
Request for Proposals (RFP) were publically solicited from August 26 through October
12, 2015 on PlanetBids. Three proposals were received from AMS Associates,
PinnacleART, and SMEC; ranging from $86,600 to $396,738. Staff evaluated the
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POSITION PAPER
Board Meeting Date: December 17, 2015
subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREEMENT
WITH AMS ASSOCIATES FOR PROFESSIONAL CONSULTING
SERVICES FOR THE RCM PROGRAM DEVELOPMENT AND PILOT FOR
DISTRICT PROJECT 8238
proposals based on criteria stated in the RFP and developed a short -list of two
consultants that were interviewed on November 2.
Staff recommends AMS Associates as they met the overall intent of the District's vision
including knowledge transfer through a mentoring approach, provision of software as a
tool for staff and associated training, focus on the RCM process and application, local
proximity and primary consultant, and experience of consultant's team. The District has
negotiated a scope and budget of $135,700, which is within the budget established with
the AMIP.
ALTERNATIVES /CONSIDERATIONS: An alternative would be to select a different
maintenance strategy to pilot and develop; or not to develop a formal maintenance
strategy for vertical assets.
FINANCIAL IMPACTS:
The AMS Associates agreement will be $135,700. This work is budgeted in the Fiscal
Year 2015 -16 Capital Improvement Budget on page GI -19 under the Asset
Management Program Development, DP 8238, which has a total estimated project cost
of $2.7 Million.
COMMITTEE RECOMMENDATION: The Engineering and Operations Committee has
reviewed this project at its meeting on December 9, 2015 and recommended the
project.
RECOMMENDED BOARD ACTION: Authorize the General Manager to execute a
professional consulting services agreement with AMS Associates with a cost ceiling of
$135,700 for the RCM development and pilot for the Asset Management Program
Development, District Project 8238.
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