HomeMy WebLinkAbout09. Authorize the General Manager to amend an existing professional engineering services agreement with CDM Smith to add scope and increase the cost ceiling from $97,900 to $433,000 for public-private partnership (P3) advisory servicesPage 1 of 26
Item 9.
' CENTRAL SAN BOARD OF DIRECTORS
POSITION PAPER
MEETING DATE: DECEMBER 7, 2017
SUBJECT: AUTHORIZE THE GENERAL MANAGER TO AMEND AN EXISTING
PROFESSIONAL ENGINEERING SERVICES AGREEMENT WITH CDM
SMITH TO ADD SCOPE AND INCREASE THE COST CEILING FROM
$97,900 TO $433,000 FOR PUBLIC-PRIVATE PARTNERSHIP (P3)
ADVISORY SERVICES FOR CENTRAL SAN'S SOLIDS HANDLING P3
PROJECT, DISTRICT PROJECT 7358. REVIEWED BY REAL ESTATE,
ENVIRONMENTAL & PLANNING COMMITTEE.
SUBMITTED BY:
INITIATING DEPARTMENT:
MELODY LABELLA, PROGRAM MANAGER - ENGINEERING AND TECHNICAL SERVICES -
RESOURCE RECOVERY PDS -RESOURCE RECOVERY
REVIEWED BY: JEAN -MARC PETIT, DIRECTOR OF ENGINEERING AND TECHNICAL
SERVICES
L �, �1�
ar-,
Roger S. Bailey Kenton L. Alm
General Manager District Counsel
ISSUE
Board of Directors' authorization is required for the General Manager to execute professional services
agreements greater than $100,000.
BACKGROUND
Central San recently completed a Comprehensive Wastewater Master Plan that recommends a 20 -year
planning roadmap for the treatment plant that includes a number of major solids handling and energy -
December 7, 2017 Regular Board Meeting Agenda Packet - Page 145 of 240
Page 2 of 26
related projects. Central San's Board of Directors is interested in exploring innovative project delivery
methods that will bring an obvious and distinct business -advantage to ratepayers. To that end, on April 20,
2017, staff issued a Request for I nterest (RFI) in the formation of a public-private partnership (P3) for the
development and implementation of a Bioenergy Facility, employing innovative technology, that would
process a portion of Central San's wastewater solids and produce renewable energy. Under the P3
model, the facility would be designed, built, owned, operated, financed, and maintained by the private
partner (Concessionaire) with an option for Central San to purchase and operate the facility in the future
(e.g. after 10 years or longer of successful operation, or such mutually agreed upon time for the
Concessionaire and Central San to achieve their business objectives, including proof of concept and
return on investment).
After reviewing and scoring the eight letters of interest received by the June 16, 2017 deadline, the
following four teams (in alphabetical order) were shortlisted: Aries Clean Energy, CH2M, Denali-Cambi
JV, and Element Carbon. The following table summarizes the proposed technologies for each
concessionaire.
Concessionaire
Proposed Technology(ies)
Aries Clean Energy
Gasification
CH2M
Thermal Hydrolysis and Anaerobic Digestion followed by
Gasification
Denali-Cambi JV
Thermal Hydrolysis and Anaerobic Digestion followed by
I ncineration
Element Carbon
Gasification
CH2M withdrewtheir interest, so the remaining three teams were invited to respond to a Pre -Interview
Questionnaire and participate in a team interview. After scoring both the responses to the Pre -I nterview
Questionnaire and the September 20, 2017 interviews, all three teams have been invited to the Request
for Proposals (RFP) round, which was initiated on October 19, 2017.
In considering both the information received from the teams throughout the procurement process so far, in
addition to reviewing Central San's drivers for the project, the goal of the project has been refined for the
RFP round to only include the solids handling demonstration aspect of the project. Moving forward, the
project has been rebranded the "Solids Handling P3 Demonstration Project" (P3 Project) and will
ultimately result in a multiyear service contract for processing and disposal of a minimum of five dry tons
per day (DTPD) of a blend of undigested primary and thickened waste -activated sludge originating from
Central San's Wastewater Treatment Plant.
As with any P3 project, expert assistance is needed to effectively support the P3 transaction. On June 6,
2017, staff issued an RFP seeking technical, financial, and legal P3 advisory services to assist Central
San in successfully delivering this project. The RFP was advertised on PlanetBids from June 6 to June
30, 2017, and six proposals were received from the following team
Proposing Teams
The
Sperry
WSP USA,
Lead
ARUP
Concourse
CDM Smith
PFAL
Capital/KPMG
Inc.
Group
Arup
PERC
WSP
Technical
Advisory,
Arcadis
CDM Smith
Water
HDR, Inc.
Parsons
I nc.
Brinckerhoff
Ernst and
Project
Jones Lang
Arup
The
Young
Financial
Lasalle and
Financial Advisory,
Concourse
Infrastructure
Advisory
Sperry Capital
Raftelis
December 7, 2017 Regular Board Meeting Agenda Packet
- Page 146 of 240
Page 3 of 26
An internal evaluation panel was established, which included Central San's three Directors, in addition to
the Planning & Development Services Division Manager, and the Resource Recovery Program Manager.
The panel evaluated the proposals and short-listed the following three teams (in alphabetical order): 1)
CDM Smith; 2) Sperry Capital/KPMG; and 3) WSP USA, Inc., which were invited to interview on July 13,
2017, to present their team approach and qualifications. The evaluation panel selected CDM Smith's
team as they provided the overall most qualified team, which is comprised of experts familiar with the
wastewater industry and experienced in P3 energy and solids handling projects.
To keep the P3 Project moving forward, staff has executed an initial contract with CDM Smith within the
General Manager's signature authority. The project is now to the point that additional scope and budget
are needed to continue forward progress.
I n order to reach a decision and complete the team selection process on the Solids Handling P3
Demonstration Project by the end of the calendar year, Central San staff and CDM Smith are working
together to quickly complete the following tasks:
1. Define the proposed solution and its impact(s) on existing facilities.
o Determine how the proposed solutions will go from pilot to full-scale eventually.
• Define impacts on the treatment plant, adverse impacts, how they will be mitigated, and their
associated risks and costs.
• Define P3 the integration plan for each proposed solution.
• Request a list of concerns from each team (technical, financial, legal, permitting, etc.).
2. Complete lifecycle cost analyses of the following scenarios.
o Reference baseline: this includes the cost of our current solids handling operation plus
implementation of the Master Plan (anaerobic digestion and fluidized bed incineration).
• Gasification (Aries) — Phase 1 Pilot (15 DTPD fluidized bed gasifier) in parallel to incineration,
then Phase 2 full scale (two 60 DTPD units for redundancy and no incineration) — includes
mitigation such as loss of steam under Phase 1.
• Gasification (Element Carbon) — Phase 1 Pilot (10 DTPD downdraft fixed bed gasifier) in
parallel to incineration, then Phase 2 full scale (three 40 DTPD units for redundancy and no
incineration) — includes mitigation such as loss of steam under Phase 1.
o Thermal Hydrolysis and Digestion (Denali-Cambi)— (60 DTPD digestion plus food waste for
production of biogas). Digested sludge to incinerators and includes mitigation such as side -
stream treatment of centrate to result in no net nitrogen loading to Central San.
o Combine Thermal Hydrolysis with Anaerobic Digestion and Gasification — includes mitigation.
Drafts of the baseline case and each team -specific lifecycle cost analysis will be shared with each
proposer, so they can provide input specific to their offering, maintaining confidentiality between the
three teams.
3. Complete a preliminary risk allocation matrix for each of the proposed solutions. The following
aspects will be considered in the risk matrices:
• Develop a risk matrix and prepare a mass and energy balance for each of the proposed
technologies (gasification and thermal hydrolysis with digestion).
• Identify, quantify, and assess the likelihood of occurrence of risks, mitigation strategies, and
December 7, 2017 Regular Board Meeting Agenda Packet - Page 147 of 240
Inc.
Group, LLC
Advisors,
Limited
and KPMG
Financial
LLC
(PFAL)
Consultants
Kutak
Hawkins
Manatt,
Ashurst, LLC
Legal
Rock,
Kutak Rock,
Delafield &
Phelps,
and Ruta &
Nossaman,
LLP
LLP
Wood, LLP
Philips,
Tucker, LLC
LLP
LLP
An internal evaluation panel was established, which included Central San's three Directors, in addition to
the Planning & Development Services Division Manager, and the Resource Recovery Program Manager.
The panel evaluated the proposals and short-listed the following three teams (in alphabetical order): 1)
CDM Smith; 2) Sperry Capital/KPMG; and 3) WSP USA, Inc., which were invited to interview on July 13,
2017, to present their team approach and qualifications. The evaluation panel selected CDM Smith's
team as they provided the overall most qualified team, which is comprised of experts familiar with the
wastewater industry and experienced in P3 energy and solids handling projects.
To keep the P3 Project moving forward, staff has executed an initial contract with CDM Smith within the
General Manager's signature authority. The project is now to the point that additional scope and budget
are needed to continue forward progress.
I n order to reach a decision and complete the team selection process on the Solids Handling P3
Demonstration Project by the end of the calendar year, Central San staff and CDM Smith are working
together to quickly complete the following tasks:
1. Define the proposed solution and its impact(s) on existing facilities.
o Determine how the proposed solutions will go from pilot to full-scale eventually.
• Define impacts on the treatment plant, adverse impacts, how they will be mitigated, and their
associated risks and costs.
• Define P3 the integration plan for each proposed solution.
• Request a list of concerns from each team (technical, financial, legal, permitting, etc.).
2. Complete lifecycle cost analyses of the following scenarios.
o Reference baseline: this includes the cost of our current solids handling operation plus
implementation of the Master Plan (anaerobic digestion and fluidized bed incineration).
• Gasification (Aries) — Phase 1 Pilot (15 DTPD fluidized bed gasifier) in parallel to incineration,
then Phase 2 full scale (two 60 DTPD units for redundancy and no incineration) — includes
mitigation such as loss of steam under Phase 1.
• Gasification (Element Carbon) — Phase 1 Pilot (10 DTPD downdraft fixed bed gasifier) in
parallel to incineration, then Phase 2 full scale (three 40 DTPD units for redundancy and no
incineration) — includes mitigation such as loss of steam under Phase 1.
o Thermal Hydrolysis and Digestion (Denali-Cambi)— (60 DTPD digestion plus food waste for
production of biogas). Digested sludge to incinerators and includes mitigation such as side -
stream treatment of centrate to result in no net nitrogen loading to Central San.
o Combine Thermal Hydrolysis with Anaerobic Digestion and Gasification — includes mitigation.
Drafts of the baseline case and each team -specific lifecycle cost analysis will be shared with each
proposer, so they can provide input specific to their offering, maintaining confidentiality between the
three teams.
3. Complete a preliminary risk allocation matrix for each of the proposed solutions. The following
aspects will be considered in the risk matrices:
• Develop a risk matrix and prepare a mass and energy balance for each of the proposed
technologies (gasification and thermal hydrolysis with digestion).
• Identify, quantify, and assess the likelihood of occurrence of risks, mitigation strategies, and
December 7, 2017 Regular Board Meeting Agenda Packet - Page 147 of 240
Page 4 of 26
potential benefits of each of the technologies.
• Develop nonmonetary impacts such as environmental, social, and operational impacts.
o I nclude such factors as integration plan, risk allocation, permitting, schedule, operating
responsibilities, use of the site, etc.
Drafts of each risk matrix will be shared with each proposer, maintaining confidentiality among the three
teams.
After the team selection is made, staff will work with the P3 advisors to complete the more difficult and
tedious process of developing the details and specifics of a potential project and contract with options for
"off -ramps" by either party to preserve Central San's right to make a go/no go decision.
ALT ERNAT IVES/CONSIDERAT IONS
1. Reject all proposals.
2. Reduce the scope of work and renegotiate the agreement, which could delay implementation of the
P3 Project.
3. Have staff develop the P3 Project RFP and negotiate the long-term P3 contract without any
technical, financial, or legal consulting assistance.
All three alternatives are not recommended by staff.
FINANCIAL IMPACTS
This agreement will be funded under the I nnovative Bioenergy Facility Project, District Project 7358.
Central San's Capital Improvement Budget (CI B) has $200,000 budgeted for the project in the current
fiscal year (FY). The current estimated budget to complete the selection, risk allocation, and contracting is
$1,458,000. With CDM Smith's initial contract of $97,900, staff is requesting an additional $335,100 to
complete the team selection and planning phase this FY. I n addition, funds are needed for the financial
and legal advisors. Staff anticipates spending approximately half of the total budget of $1,458,000 this FY
and is recommending transferring $500,000 from the Server Room Relocation Project, District Project
8243, to cover the additional budget required, which can be accomplished under the General Manager's
existing authority.
While the Server Room Project continues to be an important priority for Central San, the design of the
project has taken longer than anticipated, resulting in a delay to the construction of the project until the next
FY consequently freeing up the funding for transfer to the P3 Project this FY. Changes to the two project
budgets will be reflected and adjusted for in the proposed FY 2018-19 C I B.
The project budget includes the following elements:
December 7, 2017 Regular Board Meeting Agenda Packet - Page 148 of 240
P3 Team
Contract
Advisory
Entity
Contracted
Selection
Negotiation
Total
Services
to Date
and
(Estimated)
Budget
Planning
Technical
CDM
$ 97,900
$ 335,100
$ 200,000
$ 633,000
Smith
Financial
Ernst and
$ 0
$ 50,000
$ 100,000
$ 150,000
Young
Legal
Hawkins
$ 0
$ 95,000
$ 280,000
$ 375,000
Meyers
$ 0
$ 50,000
$ 50,000
$ 100,000
Nave
December 7, 2017 Regular Board Meeting Agenda Packet - Page 148 of 240
Page 5 of 26
Staff (*) Central $ 0 $ 50,000 $ 150,000 $ 200,000
San
$ 97,900 $ 580,100 $ 780,000 $1,458,000
(*) Does not include management time.
COMMITTEE RECOMMENDATION
The Real Estate, Environmental, and Planning Committee reviewed this project at its meeting on
November 27, 2017. The Committee was split on this matter, with Member Pilecki in support and
President Causey opposed, so it will be presented to the full Board for consideration with no Committee
recommendation.
RECOMMENDED BOARD ACTION
Authorize the General Manager to amend an existing Professional Engineering Services Agreement with
CDM Smith to add scope and increase the cost ceiling from $97,900 to $433,000, for P3 Advisory
Services under the P3 Project, District Project 7358.
Strategic Plan Tie -In
GOAL FIVE: Maintain a Reliable Infrastructure
Strategy 2 - Facilitate Long-term Capital Renewal and Replacement
GOAL SIX: Embrace Technology, Innovation and Environmental Sustainability
Strategy 2 - Evaluate Business Processes and Optimize Business Operations, Strategy 3 - Encourage the Review and
Testing of Promising and Leading Technology, Strategy 4 - Reduce Reliance on Non -Renewable Energy
ATTACHMENTS:
1. CDM Smith Amendment for P3 Advisory Services Presentation
December 7, 2017 Regular Board Meeting Agenda Packet - Page 149 of 240
CDM SMITH CONTRACT AMENDMENT
FOR P3 ADVISORY SERVICES
Melody LaBella, P.E.
Resource Recovery Program Manager
Board Meeting
November 7, 2017
COMPREHENSIVE
WASTEWATER
MASTER
PLAN
FINAL DRAFT
MAY 2017
MASTER PLAN RECOMMENDED 'IO -YEAR CIP
$873M OF IMPROVEMENTS IDENTIFIED
(WITH DIGESTERS STARTING IN FY 2024-25)
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
Treatment Plant $18,044,950
$18,707,219
$50,502,244
$48,611,109
$46,181,619
$56,523,212
$51,635,748
$23,375,212
$34,949,903
$37,392,325
Solids Improvements Phase 28,3 (Digesters + FBI) $0
$0
$0
$0
$0
$0
$0
$20,190,449
$20,190,449
$20,190,449
Collection System $18,492,120
$17,180,028
$35,752,312
$37,999,695
$39,439,860
$36,758,521
$38,293,113
$41,739,196
$41,985,174
$45,703,025
Recycled Water $460,000
$540,000
$1,209,665
$5,770,993
$5,770,993
$125,000
$1,646,920
$9,099,080
$125,000
$125,000
General Improvements $4,277,050
$2,911,965
$3,455,778
$1,943,278
$3,297,500
$4,172,500
$1,797,500
$2,797,500
$1,797,500
$2,570,000
IP Program Contingency $1,500,000
$1,500,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
Total CIP knot incl. Future Unfunded) $42,774,120
$40,839,212
$92,919,998
$96,325,074
$96,689,971
$99,579,233
$95,373,281
$99,201,437
$101,048,026
$107,980,799
1
(In 2016 Dollars)
$120,000,000
$100,000,000
",7
$80,000,000
$60,000,000
$40,000,000
$20,000,000
$0
� r -I N N N
N N N
N M
N
N
0�0 Q`1 O
Y Y Y i
1714 1714
I
L
l`O
LL LL LL LL LL
LL LL LL
LL
6L
■ General Improvements
Recycled Water
Solids Improvements Phase 2&3 (Digesters + FBI)
Treatment Plant
Collection System
1
DEVELOPED A FLEXIBLE PHASED
APPROACH TO SOLIDS HANDLING
Phase 1
(0-5 Years)
MHFs
Design Phase 1 Solids
Handling Facilities
Improvement Project
MHFs
Construct Phase 1
Yes Solids Handling
Facilities
Improvement Project
Innovative Bioenergy
New Alternative Solids Yes
and Energy Technology
Project Evaluation
COGEN
Implement Cogen
Improvement Project
Yes
Innovative Bioenergy
Construct Phase 1
Bioenergy Project
No
COGEN
Renew 5 -Year Solar
Turbine Maintenance
Agreement
Phase 2
(6-10 yrs.)
MHFs
Yes Design Phase 2 Solids
Handling Facilities
Improvement Project:
No Add 2 Anaerobic
No Digesters and Evaluate
a High Strength Waste
(HSW) Program
Yes
�, Innovative BioEnergy
Construct Phase 2
Bioenergy Project
No
J- COGEN
Replace Cogen with a 5 -
Yes Year Mfr. Maintenance
Agreement
December 7, 2017 Regular Board Meeting Agenda Packet - Page 153 of 240
Yes
Yes
No
Yes
Phase 3
(11-20 yrs.)
MHFs
Construct Phase
3 Solids Handling
Facilities
Improvement
Project: 2
Digesters
Innovative
Bioenergy
Construct Phase
3 Bioenergy
COGEN
Renew 5 -Year
Solar Turbine
Maintenance
Agreement
Yes FBI
Replace
MHF with
FBI
No
Abandon
Incineration
and convert to
TPAD and a
HSW Program
MHFs
Design Phase 1 Solids
Handling Facilities
Improvement Project
Innovative
Bioenergy
New Alternative
Solids and Energy
Technology Project
Evaluation
COGEN
Implement Cogen
Improvement Project
REVISED PHASED APPROACH
TO SOLIDS HANDLING
Phase 1 Phase 2 Phase 3
(0-5 Years) (6-10 yrs.) (11-20 yrs.)
MHFs
MHFs
Yes Construct Phase 1
andling
DesignXAdo
N0� Solids Handling
Facent
Facilities
Projerobic
Improvement Project
NoStreram
Digesta High
Yes Innovative Bioenergy Yes
Construct Phase 1 Epp,, Innovative Bioenergy
Bioenergy Project Construct Phase 2 Bioenergy Yes
Project
/No
Yes COGEN
Renew 5 -Year Solar
Turbine Maintenance
Agreement
Replace Cog ith a 5 -Year
Mfr. Maint anc greement
December 7, 2017 Regular Board Meeting Agenda Packet - Page 154 of 240
X-
9
C
Fact
Innovative Bioenergy
Construct Phase 3
Bioenergy
Sk COLE
Rene - ar Solar
Turbi tenance
greem
Abandon
inera '
an ert
to nd
a FOG
Program
Central Contra Costa Sanitary District
.JAM
REQUEST FOR INTEREST
REQUEST FOR INTEREST (RFI) IN A PUBLIC -PRIMATE
PARTNERSHIP FOR DEVELOPMENT AND IMPLEMENTATION
OF A FULL-SCALE BIOENERGY FACILITY
APRIL 20, 2017
RESPONSE DEADLINE
MAY 31, 7017
4:00 PM
CONTACT
MELODY LABELLA
M LABELLA@ CENTRALSAN.ORG
.
941 t
v
Ali
— — mole I
_ - r
1
J
m
ow
AL
BIOEN ERGY P3 Pr_
Seeking aPublic-Private Partnership (P3) to:
Provide a reliable supply of renewable power for
Central San's Wastewater Treatment Plant (WWTP)
to offset up to 2.8 megawatts (MW) of power demand,
which ranges from 2.3 MW to 3.2 MW daily
Process and dispose of up to 10 dry tons per day of a
blend of undigested primary and thickened waste -
activated sludge originating from Central San's
BIOENERGY P*2
Letters of Interest were received
June 16, 2017, deadline from the
eight teams:
Aries Clean Energy
CH2M
Denali-Cambi JV
Element Carbon
RealEnergy
Sacyr Environment USA, LLC
Synagro
Veolia
by the
following
INTERVIEWS OF INTERESTED
P3 CONCESSIONAIRES
Four P3 teams were shortlisted and invited to
interview:
Aries Clean Energy
CH2M (withdrew after being acquired by Jacobs)
Denali-Cambi JV
Element Carbon
Interviews were conducted with the three remaining
teams on September 20, 2017. CDM Smith was also
present.
All three teams were shortlisted for the Request for
Proposal (RFP) round.
GASIFICATION
FLUIDIZED BED AND DOWNDRAFT
Fluidized Bed Gasifier at the Sanford, FL Facifity
3. Cyclone
2.
Biomass
Thermal Oxidizer
6. Gasifier
Produced
Bio -carbons
1. Received "wet"
Biosolids/ Biomass 3• Air Blend Chamber
* Renewable energy applications added here.
THERMAL HYDROLYSIS AND DIGESTION
Denali/CAMBI Proposal -Phase
Armory Sludge and TWAS
fr= CCCSD Existing
Hopper Steam Blowers
Centrifuge
Plant
Blend
Tank
�► Pit
triPewatenng
Cenfuge
Sludgefrom Other Focrktres :_,j �1 Multiple
f Cfl�l F,as Cloning Hearth Incinerator
Food Waste
L
ali-c w -j-0
Boiler I 2.6MW
Existing LHP
AS -NEEDED P3 ADVISORY SUPPORT RFP
RFP for technical, financial, and legal P3 advisory
services issued on June 6, 2017.
Six proposals were received by the June 29,
2017, deadline from the following teams:
Lead
ARUP
Sperry
Arup Advisory,
Technical
PFAL
Capital/KPMG
Inc.
Arup Advisory,
Financial
WSP Parsons
Arcadis
Inc.
Legal
Kutak Rock, LLP
CDM Smith
CDM Smith
Ernst and Young
Infrastructure
Advisors, LLC
Hawkins Delafield
& Wood, LLP
The Concourse
Sperry
Group
PFAL
Capital/KPMG
WSP USA, Inc.
WSP Parsons
Arcadis
PERC Water
HDR, Inc.
Brinckerhoff
Jones Lang
Project
Lasalle and
The Concourse
Financial
Sperry Capital
Raftelis
Group, LLC
Advisory
and KPMG
Financial
Limited (PFAL)
Consultants
Ashurst, LLC
Manatt Phelps,
Kutak Rock' LLP
Philips, LLP
and Ruta &
Nossaman' LLP
Tucker, LLC
ADVISORY TEAM
CDM Smith for technical
Ernst & Young Infrastructure Advisors for
financial
Hawkins Delafield and Wood, LLP for legal
Our District Counsel will also provide legal
support and coordinate with Hawkins
SOLIDS HANDLING "
RFP Process Notification and Schedule issued
on October 19, 2017
F,Ctivity
RFP Process Notification and Schedule Issued
Teams Confirm Continued Interest in RFP via Email
Mandatory Team Site Investigations
Prepare Business Case Analysis and Team -Specific Risk
Matrices
Evaluate and Short List Team(s) for final RFP on Updated
Business Case, Technical Approach, and Costs
Detailed Instructions to Proposers, Term Sheets and
Technical Requirements Issued
Proposals Due
Central San Completes Review of Proposals
Team Selected and Contract Negotiations Initiated
Contract Award
December 7, 2017 Regular Board Meeting Agenda Packet - Page 164 of 240
)ate
October 19, 2017
By 4 pm (PST) on October 25, 2017
Weeks of November 6 and 13, 2017
December 31, 2017
January 11, 2018
January 31, 2018
By 4 pm (PST) on April 6, 2018
April 20, 2018
May 11, 2018
On or before Central San's June 21,
2018 Board meeting
NEXT STE
Define the proposed solutions and their impact(s) on
existing facilities
Complete business case analyses
Complete a preliminary risk allocation
each of the proposed solutions
matrix for
NEXT STEPS
Define each proposed solution and its impact(s)
on existing facilities and operations
a) Determine how the proposed solutions would go from
pilot to full-scale eventually
b) Define the impacts and how they will be mitigated and
their associated risks and costs
c) Define the integration plan for each proposed solution
d) Request a list of concerns from each team (technical,
financial, legal, permitting, etc.)
NEXT STEPS
2. Complete business case analyses
Complete lifecycle cost analyses of the following
scenarios:
Reference baseline: this includes the cost of our
current solids handling operation plus
implementation of the Master Plan (anaerobic
digestion and fluidized bed incineration)
b) Gasification: (Aries)
c) Gasification: (Element Carbon)
d) Thermal Hydrolysis and Digestion: (Denali-Cambi)
e) Combination of Thermal Hydrolysis with Anaerobic
Digestion and Gasification
NEXT STEPS
3. Prepare Preliminary Risk Matrices
for each of the proposed solutions, considering the following
aspects:
a) Develop a risk matrix and prepare a mass and energy
balance for each of the proposed technologies
(gasification and thermal hydrolysis with digestion)
b) Identify, quantify, and assess the likelihood of occurrence
of risks, mitigation strategies, and potential benefits of
each technology
c) Develop nonmonetary impacts such as environmental,
social, and operational
d) Include such factors as integration plan, risk allocation,
permitting, schedule, operating responsibilities, use of the
site, etc.
RECOMMENDED BOARD ACTION
Authorize the General Manager to amend an
existing Professional Engineering Services
Agreement with CDM Smith to add scope
and increase the cost ceiling from $97,900
to $433,000, for P3 Advisory Services under
the Solids Handling P3 Demonstration
Project, District Project 7358.
QUESTIONS