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HomeMy WebLinkAbout15.c. Committee Minutes-Engineering & Operations 05-12-2020 Page 1 of 12 Item 15.c. k�*k CENTRAL SAN CENTRAL CONTRA COSTA SANITARY DISTRICT May 21, 2020 TO: HONORABLE BOARD OF DIRECTORS FROM: KATIE YOUNG, SECRETARY OF THE DISTRICT SUBJECT: MAY 12,2020 - ENGINEERING & OPERATIONS COMMITTEE - CHAIR NEJEDLYAND MEMBER PILECKI Attached are minutes of the above Committee meeting. ATTACHMENTS: 1. E&O Committee Minutes 05-12-20 2. (Handout) Item 4.b. Updated Estimate May 21, 2020 Regular Board Meeting Agenda Packet- Page 494 of 505 Page 2 of 12 CENTRAL SAN CONTRACENTRAL • DISTRICT 5019 • REGULAR MEETING OF THE BOARD OF DIRECTORS: CENTRAL CONTRA COSTA MICHAEL R.MCGILL President SANITARY DISTRICT TAD JPHECKI President Pro Tem ENGINEERING & OPERATIONS CAUSEY COMMITTEE PAULA. JAMES A.NEJEDLY DAVID R, WILLIAMS MINUTES PHONE: (925)228-9500 TAX- (925)372-0192 www.centralsan.org Tuesday, May 12, 2020 2:00 p.m. 2nd Floor Conference Room 5019 Imhoff Place Martinez, California (All attendees participated via videoconference) Committee: Chair Jim Nejedly Member Tad Pilecki Guests: Tom Frischer, CDM Smith Malika Ramanathan, Brown and Caldwell Hala Titus, CDM Smith Staff. Roger S. Bailey, General Manager Katie Young, Secretary of the District Phil Leiber, Director of Finance and Administration Jean-Marc Petit, Director of Engineering and Technical Services Danea Gemmell, Planning and Development Services Division Manager Edgar Lopez, Capital Projects Division Manager Kevin Mizuno, Finance Manager (joined during Item 5.a) Sasha Mestetsky, Senior Engineer Craig Mizutani, Senior Engineer Nate Morales, Senior Engineer (left after Item 4.b.) Amelia Berumen, Senior Administrative Technician (participated at the meeting location) May 21, 2020 Regular Board Meeting Agenda Packet- Page 495 of 505 Page 3 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 2 1. Notice This meeting was held in accordance with the Brown Act as in effect under the State Emergency Services Act, the Governor's Emergency Declaration related to COVID-19, and the Governor's Executive Order N-29-20 issued on March 17, 2020 that allowed attendance by Board Members, District staff, and the public to participate and conduct the meeting by teleconference, videoconference, or both. The agenda included instructions for options in which the public could participate in the meeting. 2. Call Meeting to Order Chair Nejedly called the meeting to order at 2:02 p.m. 3. Public Comments No public comments. 4. Items for Committee Recommendation to Board a. Review draft Position Paper to award a construction contract in the amount of $77,700 to D.W. Nicholson Corporation, the lowest responsive bidder for the Lower Orinda Pump Station Adjustable Speed Drive (ASD) Replacements, District Project 8442; consider exemption from the California Environmental Quality Act (CEQA); and authorize up to a 30-percent contingency Mr. Lopez provided an overview of the project. He noted that staff has incorporated necessary measures related to the COVID-19 pandemic, as provided by the County's health services division, in the contract documents for each of the four projects being presented for award. He advised that as the low bid was considerably less than other bids and the engineer's estimate, staff contacted the contractor to discuss the bid price. D.W. Nicholson Corporation confirmed there was no error made and is comfortable proceeding with the bid price provided. The contractor has successfully completed other projects for Central San. Mr. Lopez stated that even though the $77,700 contract award is within the General Manager's $200,000 authority, staff is presenting this construction contract for Board award since the total project work, including pre- purchased equipment, is over$200,000, as shown in Attachment 3 in the agenda packet. The VFDs were pre-purchased at a cost of$202,000 under the emergency work declaration. In addition to the overall cost, other actions are also being requested (i.e., to consider exemption from CEQA and to authorize up to a 30-percent contingency). May 21, 2020 Regular Board Meeting Agenda Packet- Page 496 of 505 Page 4 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 3 Mr. Lopez noted that although staff typically uses the variable frequency drive (VFD) term, the pump station crew commonly uses the ASD term that is used in the project name and has the same meaning. Member Pilecki inquired about the cost of repairs prior to the VFD pre- purchase since it was not represented in the cost estimate. Mr. Lopez confirmed that number is not shown, and he will include the cost in the pre- bid expenditures section of the estimate when presented to the full Board for award. COMMITTEE ACTION: Recommended Board approval. b.* Review draft Position Paper to award a construction contract in the amount of $1,222,200 to Bockmon &Woody Electric Company, Inc., the lowest responsive bidder for the Plant Control System Input and Output (1/0) Replacement Project— Phase 2, Secondary Process, District Project 733913; consider exemption from the California Environmental Quality Act (CEQA); and authorize up to a 15-percent contingency Mr. Lopez stated this project received a great response, nine bids. Many of the bidders, all well qualified contractors, have been used on past projects. In 2017, Central San awarded Bockmon & Woody the Fire Protection Systems -Phase 2 Revised project, which was successfully completed. A revised construction cost estimate (attached) was distributed to the Committee prior to the meeting. Mr. Lopez explained that the original estimate did not include the PLC (programmable logic controller) hardware cost, which increases the total estimate by$60,000 (highlighted on the revised estimate). He pointed out that the construction cost estimate also includes Phase 1 expenditures, for a project grand total cost of$3.2 million (rounded). Member Pilecki inquired about the PLC hardware and Quantum 1/0 cards as he did not see mention of the equipment in the draft Position Paper and asked whether the cards have been deemed a sole-source purchase. Mr. Lopez replied that the cards were sole-sourced to match other system components. In this case, in order to finish the project, additional materials are needed and will be sole-source purchased for the same reason and for standardization. Mr. Petit reminded the Committee that staff went before the Board in 2017 to authorize a sole-source procurement of the PLC hardware from Schneider Distributor for both phases of the project; however, an additional purchase is needed to complete the Phase 2 portion as more PLCs need to be replaced. Member Pilecki requested staff add a statement to the Position Paper to reflect the standardization purchase requirement and prior pre-purchase authorization. May 21, 2020 Regular Board Meeting Agenda Packet- Page 497 of 505 Page 5 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 4 Mr. Petit also stated, in response to Member Pilecki asking why the draft Position Paper stated that the project "may start in July 2020,"that staff will rephrase the COVID-19 Impact statement in the background section as the pandemic construction constraints have been changed and the estimated start date of July 2020 was written prior to the revised construction orders. COMMITTEE ACTION: Recommended Board approval. C. Review draft Position Paper to award a construction contract in the amount of $3,572,655 to Precision Engineering, Inc., the lowest responsive bidder for the Walnut Creek Sewer Renovations, Phase 14, District Project 8460; consider exemption from the California Environmental Quality Act (CEQA); and authorize up to a 15-percent contingency Mr. Lopez stated that this project was the first of two being presented at this meeting as part of the Collection System Sewer Renovation Program, and that staff used last year's pricing to calculate the engineer's estimates. The engineer's estimate for this project was higher than most of the six bids received. The low bid contractor for this project, Precision Engineering, Inc. (Precision), has completed work for Central San before, the last project being the Lafayette Sewer Renovations - Phase 12. He noted that this project included an alternative bid item for a sewer creek crossing in the Via Ferrari area located in unincorporated Lafayette that has been previously discussed with the Committee. The alternative bid price provided by Precision is higher than originally estimated by staff. It is believed better pricing for that work can be obtained if bid separately. Therefore, staff is not recommending awarding the additive bid item. Member Pilecki noted that in the background section, staff discussed the inclusion of two urgent sites in need of replacement. The first site is clearly stated as an additive bid item; however, it is unclear whether the second site is also an additive bid item or part of the main project. Mr. Lopez confirmed the second site is part of the project, not an additive item, and that he will clarify it in the Position Paper when presented to the full Board. COMMITTEE ACTION: Recommended Board approval. May 21, 2020 Regular Board Meeting Agenda Packet- Page 498 of 505 Page 6 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 5 d. Review draft Position Paper to award a construction contract in the amount of $3,030,075 to Pacific Trenchless, Inc., the lowest responsive bidder for the Martinez Sewer Renovations, Phase 6, District Project 8458; consider exemption from the California Environmental Quality Act (CEQA); and authorize up to a 15-percent contingency Mr. Lopez stated that Pacific Trenchless, Inc. has proven to be a very reliable contractor that has performed well for Central San. He reminded the Committee that the engineer's estimate used last year's pricing, so the bids received are much lower. Staff will adjust estimates for the upcoming projects going to bid soon. In reviewing the construction cost estimate, Mr. Lopez said the overall project cost of being under$4.5 million is due to the great bids received and the contractor's understanding of doing work in Martinez. He also noted that Central San and the City of Martinez have worked well coordinating construction and permitting activities. Member Pilecki asked for staff's opinion on the reason behind receiving a high number of competitive bids and whether Central San is the only agency advertising projects during the pandemic. Mr. Lopez responded that he has been monitoring other agencies and has seen there is still some construction bid activity across the Bay Area. He opined that perhaps due to the residential and commercial construction impact, it may have helped obtain these favorable bids. He continued that Central San appears to be ahead of several agencies in bidding this type of work during the pandemic. COMMITTEE ACTION: Recommended Board approval. 5. Other Items a. Receive update on Filter Plant and Clearwell Improvements, Phase 1A, District Project 7361 Mr. Petit provided an overview of the presentation material included with the agenda, including a recap of recent work completed at the Filter Plant site, as previously discussed in other meetings, and to pre-announce the upcoming project bid release for this large-scale project. He stated that Filter No. 3 (the least performing filter) was selected as the filter to rehabilitate under this project and the work will be listed as an alternative bid item. Mr. Petit also shared that the electrical system is failing faster than expected. The electrical component of improvement work will also be included as an alternative bid item for the Applied Water Pumps in order to evaluate whether it can be done sooner than originally planned. Work scope has been added to the project to take advantage of the excess soil material that will be generated by lowering the East Clearwell walls where the new above-grade storage tanks will be located. The existing May 21, 2020 Regular Board Meeting Agenda Packet- Page 499 of 505 Page 7 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 6 Clearwell walls are classified as a dam and is being lowered under this project. As such, it will no longer be classified as a dam and staff has submitted a letter to the Division of Safety of Dams (DSOD). Therefore, the extra materials will be used on the west basin to build up the levee in that area; the earthwork will be included in the scope of work. The project budget shown on slide 12 is based on cash flow and a final engineer's estimate for the project, which has been included in the draft Fiscal Year 2020-21 Capital Improvement Budget for Board consideration. Member Pilecki asked staff for their opinion if what is being proposed for the Filter No. 3 rehabilitation will be successful because numerous, different attempts with various consultants in the past have not worked, especially since the Filter No. 3 rehabilitation work is estimated at $2.8 million. Mr. Petit responded he was aware of that fact. The poor performance of the filter has been impacted by the water quality of the secondary effluent, which is not nitrified. Operations must add a lot of coagulant chemicals (alum) to treat the water so it can be more filterable. He noted that in concurrence with the design effort, staff has done a significant amount of pilot testing on the existing filters to improve filterability and to optimize the type and dose of coagulant to be added. Only one of four filters will be done under this project because there is not a 100% certainty it will significantly improve performance. Staff is also looking at tertiary membranes with different filtering options and evaluating as an alternative for pricing comparison. Member Pilecki requested this latest information be included in the presentation so that the Board can fully understand the concept. COMMITTEE ACTION: Received the update and provided input to staff. b. Review proposed Fiscal Year (FY) 2020-21 Capital Improvement Budget (CIB) and Ten-Year Capital Improvement Plan (CIP) Mr. Lopez presented an update of the current fiscal year CIB accomplishments and discussed the projects and programs that will be continuing into the new fiscal year and those that are new additions. On slide 3, Mr. Lopez pointed out a disclaimer that $104 million shown in the budget-to-date column includes funds that have been spent; 85-90% is estimated to be spent by the start of the new fiscal year. Overall, there is approximately$500 million worth of projects included in the proposed Ten- Year CIP. Member Pilecki inquired whether, in addition to the $88 million for FY 2021, staff expected to carryover$10-15 million of funds, which would instead be approximately$98 million. Mr. Lopez replied that is correct, should staff spend 90% of budget with the exception of closed projects, then the May 21, 2020 Regular Board Meeting Agenda Packet- Page 500 of 505 Page 8 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 7 carryover would equate to such a carryover amount. Member Pilecki asked that staff note the balance will be a carryover to next fiscal year and to include an estimated amount, stating he wants the Board to be aware of staff's intention of the approximate spending amount. The chart included on slide 4 represents commitments shown with mid-April amounts. This represents $60 million committed this fiscal year, $30 million next year, and$13 million the subsequent year. Mr. Lopez shared that although cities are listed on slide 7 of the pending Collection System projects (and typically part of the project name), this list is not all inclusive of all project sites, but also includes other areas such as Alamo, Moraga, and other unincorporated locations in the service area. During discussion on slide 8 of the major treatment plant project focus, Member Pilecki inquired whether the larger Steam and Aeration Blower Systems Renovation (Steam & Aeration) and the Solids Handling Facility Improvements (Solids Handling) projects have been updated to reflect the most current estimates. Mr. Petit replied that the Steam & Aeration project remains listed at $63 million under this budget. This project has many components that are focused on the steam and secondary processes, including the blower and the electrical systems. Staff is still reviewing the electrical component and secondary treatment processes and is preparing reports on these elements. Currently, staff is not in a position to adjust the estimate, and the project may need to be broken down into phases or focused on particular components. For the upcoming fiscal year, this project includes the design and possible replacement of the electric blower in concert with the Solids Handling project, which may require shutting down the furnaces. Therefore, an alternative to the steam driven turbine is being evaluated under this project. As it pertains to the Solids Handling project, the estimate is listed at $128 million; updates are still being worked on and the final numbers have not been settled. The constructability and complex shutdown requirements are still being analyzed and options are being discussed. Staff responded to the 90% Design submittal received from Black & Veatch (B&V) last fall with extensive comments that have not all been reconciled. Central San's Utility Systems Engineer, Chuck Burnash, provided a lot of useful comments before his retirement that B&V needs to include. Mr. Petit also advised the Committee that B&V has recently requested additional budget to continue working on the project which has created some delays in completing the final design. Without going into detail, he advised that the General Manager and District Counsel are aware and that staff will be responding to the request. He anticipates this matter will be resolved in quick order and staff still intends to bid the project this fall. May 21, 2020 Regular Board Meeting Agenda Packet- Page 501 of 505 Page 9 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 8 Member Pilecki inquired why the Water Exchange Project efforts were not captured on the Recycled Water Program focus slide (slide 10). Mr. Petit and Mr. Lopez responded, respectively, that the Water Exchange Project remains ongoing, it is part of the Recycled Water program and will be added to this slide prior to Board presentation. It was noted by Member Pilecki that several Board Members have asked for a prioritization of the different categories. In reviewing the draft booklet that was recently distributed to the Board, it was noticed that within the categories, there could be 20-30 projects. He asked how those are ranked. Mr. Petit stated that each capital project listed in the draft budget already has a Priority Rank (Critical, Very High, High, or Medium) and an associated ranking score. However, it does not differentiate the priority between projects within a program. Mr. Petit stated that any project already in construction is determined to be the highest priority as there is already a contractor commitment in place. During the COVID-19 pandemic second health order, staff had to rank essential infrastructure projects that could proceed in which staff had to review and rate at that time, which was then reviewed by the Executive Management Team and District Counsel. Fifteen categories were weighed based on failures, urgent need, construction, regulatory, risk to permitting, etc. A second ranking would be based on those projects in design, followed by a third level of projects in the planning stage, which is the seed to design and construction projects. Member Pilecki concurred that projects in construction should be ranked first as the financial consequences of stopping a project are significant. He continued that it would be helpful to know what projects would be dropped based on their rankings. Mr. Petit stated that with the pandemic project review, staff has initiated a system and is prepared make a more comprehensive evaluation of the entire program. Mr. Bailey indicated that a priority ranking system would be implemented. The Committee had no further questions. COMMITTEE ACTION: Reviewed and provided input to staff. C. Receive Capital Projects Division Quarterly Report (January to March) on capital projects, active consultant contracts, change order log, and schedule of bids and awards Mr. Lopez advised that the Influent Pump Electrical Improvements engineer's estimate shown on the future bids and awards report (last page) was incorrect. Rather than $7.7 million, the current estimate is $6.9 million. He also stated that the Lafayette Sewer Renovations - Phase 14 project is nearing finalization to bid ahead of schedule as staff would like to seize the great bid market as recently seen with the other projects discussed earlier. May 21, 2020 Regular Board Meeting Agenda Packet- Page 502 of 505 Page 10 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 9 This same report did not reflect the engineer's estimate for the Phase 14 project, which is around $3.6 million. Member Pilecki mentioned that prior to the current General Manager approval authority threshold, change orders that were over$50,000 were brought before the Board for discussion. He noted that the Server Room Relocation project has an 18% change order rate, nearing $1 million, some being well over$50,000 each. He would like to have a discussion of those change orders at a future meeting. Mr. Petit responded that the budget and change orders associated with this project, and its required budget and contingency increases, has been previously discussed and approved by the Board. He will forward a copy of the prior discussion material to the Committee and should it warrant further discussion, it would be placed on a future meeting agenda. Mr. Petit also replied to an inquiry from Member Pilecki pertaining to the Influent Pump Electrical Improvements project, confirming that the project will not install submersible pumps. The scope of work for the project includes `rewinding'the existing motors, installation of new VFDs, and the addition of a sixth pump. Upon various analyses associated with increasing the resiliency of the pump station, relative to possible flooding of the drywell, it was recommended to provide an isolation gate on the pump suction side within the wetwell, which will be included as an alternative bid item instead of submersible pumps. COMMITTEE ACTION: Received the report. 6. Announcements None. 7. Suggestions for Future Agenda Items a. Receive list of upcoming agenda items and provide suggestions for any other future agenda items Member Pilecki expressed his desire for staff to present an impact assessment toward the end of the calendar year to the Committee of the COVID-19 pandemic on project schedules during the design and construction phases and the associated costs. Chair Nejedly opined that staff does not need to undertake such a task and needs to be able to focus on getting through this time. He stated that a lot of time is already being spent on pandemic impact benchmarks. Member Pilecki stated he would revisit the topic for Committee consideration at a future meeting. COMMITTEE ACTION: Received the list and provided input to staff. May 21, 2020 Regular Board Meeting Agenda Packet- Page 503 of 505 Page 11 of 12 Engineering & Operations Committee Minutes May 12, 2020 Page 10 8. Future Scheduled Meetings a. Tuesday, June 2, 2020 at 2:00 p.m. Monday, June 22, 2020 at 2:00 p.m. Tuesday, July 7, 2020 at 2:00 p.m. Tuesday, August 4, 2020 at 2:00 p.m. Ms. Young mentioned that earlier in the day, she sent the Committee a message about rescheduling the June 2 meeting. Upon further discussion, after that message was sent, staff has requested to retain the June 2 meeting and add a second meeting on Monday, June 22 at 2:00 p.m. The Committee agreed to the addition. It was clarified that the July 7 meeting would remain as scheduled to maintain the volume of project work schedules. 9. Adjournment— at 3:17 p.m. *Attachment May 21, 2020 Regular Board Meeting Agenda Packet- Page 504 of 505 Item 4.C. an�out) ATTACHMENT 3 Updated Estimate PLANT CONTROL SYSTEM 1/0 REPLACEMENT PROJECT—PHASE 2,SECONDARY PROCESS DISTRICT PROJECT 7339B POST-BID/PRECONSTRUCTION ESTIMATE %of Construction No. Item Description Amounts Cost 1 CONSTRUCTION a. Construction Contract $1,222,200 b. Contingency at 15% $183,800 c. PLC Hardware $60,000 SUBTOTAL-CONSTRUCTION $1,466,000 100% 2 CONSTRUCTION MANAGEMENT a. District Forces (Construction Management and Engineering) $150,000 b. Consultant-As-needed Engineering Services $30,000 c. Operations Support $30,000 SUBTOTAL-CONSTRUCTION MANAGEMENT $210,000 14% 3 PREBID EXPENDITURES a. District Forces - Planning and Design $130,000 -As-Built Documentation and Field Investigation $55,000 SUBTOTAL-PREBID EXPENDITURES $185,000 13% 4 TOTAL ESTIMATED PROJECT COST-PHASE 2 $1,861,000 5 PAST EXPENDITURES- PHASE 1 $1,310,000 6 TOTAL ESTIMATED PROJECT COST- PHASES 1 &2 $3,171,000 May 21, 2020 Regular Board Meeting Agenda Packet- Page 505 of 505