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HomeMy WebLinkAboutEngineering & Operations MINUTES 03-23-21 Page 2 of 8 CENTRAL SAN CONTRACENTRAL • DISTRICT 5019 • REGULAR MEETING OF THE BOARD OFDIxECToxs: TAD J PILECKI CENTRAL CONTRA COSTA President ILLIAMS SANITARY DISTRICT DAIDR. tProTem Tem President Pro ENGINEERING & OPERATIONS BARBARA D.HOCKETT COMMITTEE MARIAH N.LAURITZEN MICHAEL R.MCGILL MINUTES PHONE: (925)228-9500 FAX: (925)372-0192 Tuesday, March 23, 2021 www.centralsan.org 11:00 a.m. (All attendees participated via videoconference) Committee: Chair David Williams Member Tad Pilecki (Alternate for Member M. Lauritzen) Staff. Roger S. Bailey, General Manager (joined during Item 5.a.) Kenton L. Alm, District Counsel (left after Item 5.b.) Katie Young, Secretary of the District Steve McDonald, Director of Operations (joined during Item 5.a.) Jean-Marc Petit, Director of Engineering and Technical Services Danea Gemmell, Planning and Development Services Division Manager Edgar Lopez, Capital Projects Division Manager Lori Schectel, Environmental and Regulatory Compliance Division Manager (left after Item 5.b.) Nitin Goel, Senior Engineer (left after Item 5.b.) Amelia Berumen, Senior Administrative Technician 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. April 1, 2021 Regular Board Meeting Agenda Packet- Page 131 of 153 Page 3 of 8 Engineering & Operations Committee Minutes March 23, 2021 Page 2 2. Call Meeting to Order Chair Williams called the meeting to order at 11:00 a.m. 3. Public Comments No public comments. Mr. Petit announced that Item 4.a. will be pulled from today's agenda discussion. 4. Items for Committee Recommendation to Board a. Review draft Position Paper to award a construction contract in the amount of$3,957,700 to Carone and Company, Inc., the lowest responsive and responsible bidder for the Contractor Staging Improvements, District Project 7375; include award of an additive bid item for the Recreational Vehicle Receiving Station in the amount of $20,000; find the project is exempt from the California Environmental Quality Act; authorize an amendment to an agreement with Woodard & Curran, Inc. to include engineering services during construction in the amount of$50,000, increasing the cost ceiling to $367,000; and authorize a transfer of $753,000 from the Capital Improvement Budget Contingency fund COMMITTEE ACTION: Item postponed to a future meeting. 5. Other Items a.* Receive update on recent Bay Area Air Quality Management District (BAAQMD) retroactivity to Tier 4 compliance for emergency standby diesel generators impacting the Pump Station Upgrades - Phase 1, District Project 8436 Mr. Petit stated that the nature of this agenda discussion was to provide an update on recent issues encountered with the timing of BAAQMD permit application approval requirements and its effect on the overall Pump Station Upgrades— Phase 1 project. Mr. Lopez presented the attached information. Slide 2 reflected the permit correspondence timeline. He stated that requiring Tier 4 compliance for the emergency generators will have a big impact on the project cost and timing. Unfortunately, BAAQMD made the Tier 4 requirement (effective December 2020) retroactive one-year for permit applications deemed complete (i.e., retroactive to January 1, 2020). The project is in construction and one engine was already in process of being built. April 1, 2021 Regular Board Meeting Agenda Packet- Page 132 of 153 Page 4 of 8 Engineering & Operations Committee Minutes March 23, 2021 Page 3 One of the challenges is due to the selective catalytic reduction (SCR) equipment, which is basically a catalytic converter system, that needs to be added to meet Tier 4 diesel emission standards. At this point of the project, the only location is on top of the generator enclosure; however, the SCR equipment is very heavy. Installing an SCR unit on the pump station roof if also a challenge as the additional weight requires reinforcing the generator enclosure structure. It is even more impactful at the Orinda Pump Station due to site constraints; proper clearance will require additional civil and structural detail, as well as potential demolition work, in order to accommodate the extra equipment. Mr. Lopez stated that the SCR component, including additional engineering efforts, will add significant additional cost to the project and compromise the construction schedule. Mr. Petit noted that the SCR was not deemed necessary through the design stage and application submittal process; adding that the necessary particulate matter filters were already included in the project specifications. Another challenge stems from the lack of manufacturer experience for these tier-type generators. The standby engine generators used for this project are manufactured by Cummins. A large concern is the reliability of the SCR potentially impacting whether the generator would have an issue starting; thereby, making it a less reliable backup system which is not acceptable. After some further discussion, Member Pilecki inquired whether there was a way to build-in an SCR bypass during an emergency. Mr. Petit replied that staff had been discussing that option and that both the BAAQMD and Cummins would have to agree to install such a bypass switch. Using that switch would trigger a compliance letter, but it would at least alleviate a major overflow. Such an option is being evaluated. Mr. Lopez replied to various questions from Member Pilecki regarding additional cost estimates and sound continuation concerns in the residential areas. Thus far, for the SCR equipment, not including structural and design changes, the estimate is approximately$1 million for both pump stations. Mr. Alm stated that he reviewed the timeline and it is as presented today. The District is facing a situation where regulatory agencies may have to change their position, which is not made easily, and offered there are not obvious legal avenues that will encourage some change. Staff shared some preliminary plans to try to reconcile this matter, stating it has been seeking advice from an air expert at Meyers Nave. The intent today was to provide the Committee with an update to this regulatory April 1, 2021 Regular Board Meeting Agenda Packet- Page 133 of 153 Page 5 of 8 Engineering & Operations Committee Minutes March 23, 2021 Page 4 development and the potential increase in project costs and construction duration. COMMITTEE ACTION: Received the update. b. Receive update on Asset Management Program The Committee indicated they reviewed the material and no questions. COMMITTEE ACTION: Received the update. C. Receive Capital Projects Division Quarterly Report (October to December) on capital projects, active consultant contracts, change order log, and schedule of bids and awards Mr. Lopez stated that the report included with the agenda material is the typical information presented quarterly as the new Oracle system reports are not ready for production. Chair Williams commented on the numerous negative variances listed on page 3 of 9, reflecting on prior Board Member concerns about variances from budget and his concern that it may have sent staff a message to budget high. He encouraged staff to estimate conservatively, but not so conservatively that it would impact rates. Mr. Lopez responded that the negative variance number is related to receiving good bids. He noted that the bottom-line figures comparing the total engineering estimates versus contract award bids was only a 9% difference; staff tries to stay below a 10% mark. Therefore, he opined that the estimates have overall been proportionate to the project. From a budget standpoint, he offered that the variance is better seen with the close-out of projects. Some projects return budget, some go over; however, actual costs have remained close to the Capital Improvement Plan estimates. Mr. Petit added that the District benefited from a good bidding market during the pandemic, enabling many good bids to be received from eager contractors. He noted that the engineering community is starting to see a swing upward in bids, by as much as 20-30%. Staff attempts to maintain a realistic estimate for projects and factors market adjustments as needed (e.g. increase in steel market). COMMITTEE ACTION: Received the update. April 1, 2021 Regular Board Meeting Agenda Packet- Page 134 of 153 Page 6 of 8 Engineering & Operations Committee Minutes March 23, 2021 Page 5 6. Announcements Mr. Bailey announced that the Board Financial Planning Workshop is this Thursday, March 25. 7. Suggestions for Future Agenda Items a. Receive list of upcoming agenda items and provide suggestions for any other future agenda items Ms. Young stated that in conferring with staff to reagendize Item 4.a, for discussion, it was suggested to reschedule the current Special meeting on April 13 up to April 7. She noted that, prior to this meeting, Member Lauritzen confirmed her availability for the proposed date and time specified below. Chair Williams concurred. COMMITTEE ACTION: Received the list and provided input to staff. 8. Future Scheduled Meetings Tuesday, March 30, 2021 at 11:00 a.m. Wednesday, April 7, 2021 at 11:30 a.m. (Special, new date and time) Tuesday, April 13, 202at 11:00 a.Fn. (Special) rescheduled as referenced above. Tuesday, April 20, 2021 at 11:00 a.m. 9. Adjournment— at 11:46 a.m. * Attachment April 1, 2021 Regular Board Meeting Agenda Packet- Page 135 of 153 Page 7 of 8 Item 5.a. (Handout) i TIER 4 IMPACTS PUMP STATION UPGRADES — PHASE 1 DISTRICT PROJECT 8436 Engineering & Operations Meeting March 23, 2021 Edgar J. Lopez, P.E. Capital Projects Division Manager WIT M, 1 PERMIT TIMELINE August 24, 2020: Authority to Construct (ATC) applications submitted. Two standby generators (Moraga and Orinda Pump Stations). September 18, 2020: Permit fees paid. November 3, 2020: Both applications deemed complete. December 17, 2020: Staff checked-in on the ATC by email. January 4, 2021: Received response where BAAQMD informed the District that both projects will be subject to the Tier 4 emissions standards. These guidelines came out December 22nd and apply to all projects with applications deemed complete back to January 1, 2020 (one year back). 0 E BAAQMD: Bay Area Air Quality Management District Imo. IIz CENTRALSAN 2 1 April 1, 2021 Regular Board Meeting Agenda Packet- Page 136 of 153 Page 8 of 8 PROJECT IMPACTS Delayed delivery of the generators. Additional equipment installed on the generators to meet requirement, re-sized enclosure and related modifications. Additional electrical, etc. Difficult to fit Tier 4 generator package at Orinda. Crossroads, will require civil and structural changes. Additional design changes and engineering. Addition costs to the Project. Risks to the construction schedule. r 3 QUESTIONS? CENTRALSAN 4 2 April 1, 2021 Regular Board Meeting Agenda Packet- Page 137 of 153