HomeMy WebLinkAbout03.a. Review draft Position Paper to authorize the General Manager to execute professional engineering services agreements with JDH Corrosion Consultants, Inc. and Alisto Engineering Group in an amount not to exceed $150,000 each to provide On-Call Corro Page 1 of 2
Item 3.a.
CENTRAL SAN BOARD OF DIRECTORS
POSITION PAPER
DRAFT
MEETING DATE: JULY 9, 2018
SUBJECT: REVIEW DRAFT POSITION PAPER TO AUTHORIZE THE GENERAL
MANAGER TO EXECUTE PROFESSIONAL ENGINEERING SERVICES
AGREEMENTS WITH JDH CORROSION CONSULTANTS, INC.ANDALISTO
ENGINEERING GROUP IN AN AMOUNT NOT TO EXCEED $150,000 EACH
TO PROVIDE ON-CALL CORROSION ENGINEERING SERVICES FOR
DISTRICT PROJECTS
SUBMITTED BY: INITIATING DEPARTMENT:
DAMASIO ZEPEDAARAGON,ASSOCIATE ENGINEERING AND TECHNICAL SERVICES-
ENGINEER CAPITAL PROJECTS
REVIEWED BY: SASHAMESTETSKY, SENIOR ENGINEER
EDGAR J. LOPEZ, CAPITAL PROJECTS DIVISION MANAGER
JEAN-MARC PETIT, DIRECTOR OF ENGINEERING AND TECHNICAL
SERVICES
ISSUE
The Board of Directors authorization is required for the General Manager to execute a professional
engineering services agreement in an amount greater than $100,000.
BACKGROUND
Central San uses corrosion engineering services to assist in the design and construction of capital
improvement projects. The purpose of the on-call corrosion agreements is to provide varied levels of
corrosion engineering expertise to assist staff with projects managed by the Capital Projects Division.
These services include concrete and materials field assessments related to wastewater exposure,
recommendations for cathodic protection, testing, and other specialty corrosion services.
In addition, these agreements provide similar assistance with evaluating assets for the Operations and
Maintenance groups at Central San. Having an on-call corrosion specialist is a benefit when equipment or
structures (i.e tanks) are out of service and items are identified for inspection.
Staff prepared and posted a Request for Proposal on PlanetBids and the Central San website for on-call
corrosion engineering services. On June 18, 2018, four proposals were received and evaluated. Staff
July 9, 2018 EOPS Regular Committee Meeting Agenda Packet- Page 3 of 14
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selected J DH Corrosion Consultants, I nc. and Alisto Engineering Group as the best-fit firms based on
their experience, past performance, and proposed fees. Contracting with two firms allows staff some
flexibility to respond to urgent design, construction, and operations and maintenance needs.
ALT ERNAT IVES/CONSIDERATIONS
The practice of using as-needed or on-call agreements has been very successful. Executing this type of
agreement allows for reduced administration costs and staff time needed to issue individual agreements
for each project. The tasks under these agreements are typically low cost and consolidating the work is
recommended.
FINANCIAL IMPACTS
The services under these two agreements are estimated to cost up to $100,000 per year($50,000 each).
Central San may extend each contract for up to two additional years, totaling $300,000 ($150,000 each)
over the three years. The services provided under these agreements are paid for and budgeted under
projects identified in the yearly Capital I mprove ment Budget. I n some cases, when the services do not
result in a capital improvement, these costs are charged to the Operating budgets.
COMMITTEE RECOMMENDATION
The Engineering and Operations Committee reviewed this agreement on July 9, 2018 and recommended
approval.
RECOMMENDED BOARD ACTION
Authorize the General Manager to execute professional engineering services agreements with J D H
Corrosion Consultants, Inc. and Alisto Engineering Group for an amount up to $150,000 each to provide
on-call corrosion engineering services for capital improvement projects.
GOAL TWO: Strive to Meet Regulatory Requirements
Strategy 1 - Strive to achieve 100%permit compliance in air, water, land, and other regulations
GOAL THREE:Be a Fiscally Sound and Effective Water Sector Utility
Strategy 2- Manage costs
GOAL FIVE:Maintain a Reliable Infrastructure
Strategy 1 - Manage assets optimally throughout their lifestsyle, Strategy 2- Facilitate long-term capital renewal and
replacement
July 9, 2018 EOPS Regular Committee Meeting Agenda Packet- Page 4 of 14