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HomeMy WebLinkAbout11 Tank Rehab 2023 Award TRUCKEE - AGENDA ITEM #11 Public District MEETING DATE: September 7, 2022 TO: Board of Directors FROM: Neil Kaufman, Water System Engineer Chad Reed, Water Utility Director SUBJECT: Consideration of a Professional Services Contract with Carollo Engineers to Develop Contract Documents for Rehabilitation of the Prosser Lakeview and Ski Run Tanks APPROVED BY Brian C. Wright, General Manager RECOMMENDATION: Authorize the General Manager to execute a professional services contract with Carollo Engineers to develop contract documents for rehabilitation of the Prosser Lakeview and Ski Run Tanks in the amount of$182,975, plus a ten percent change order allowance for a total authorization not to exceed $201,300. BACKGROUND: The District currently operates 34 water storage tanks located throughout the water distribution system: • 30 ground level welded steel tanks • Two ground level bolted steel tanks • One partially buried pre-stressed concrete tank • One elevated welded steel tank The tanks range in volume from 100,000 gallons to 1.5 million gallons with the oldest tank constructed in 1963 and the newest tank constructed in 2021 . The District staff evaluated adjustments in capital maintenance required to extend the useful life of its inventory of water utility storage tanks during preparation of the 2020 Water System Capital Improvement Plan update. Through this process staff determined the need to increase funding allocated to a more comprehensive tank maintenance Page 1 of 3 program and subsequently budgeted. During the development of a 10-year tank maintenance plan, staff identified the benefits of an outside engineering consultant to analyze: • Seismic Evaluation - Conduct a seismic evaluation of all of the ground level steel water tanks; identify potential solutions to minimize seismic risk for each tank; and prepare budget level cost estimates for these potential solutions. • Rehabilitation of Ground Level Welded Steel Tanks — These tanks were constructed in early and mid-1970's. Based on the most recent inspections and maintenance history, staff has identified two additional tanks most in need of rehabilitation. The consultant will perform more detailed evaluations of the Prosser Lakeview and Ski Run Tanks and then prepare a set of bid documents to rehabilitate the tank and upgrade it to current standards. In June 2021, the Water Department issued a Request for Proposals (RFP) to select a consultant to perform the engineering work. After review of the proposals, a contract was awarded to Carollo Engineers in August 2021. ANALYSIS: The FY 2023 capital budget includes $879,990 for storage tank rehabilitation. The Water Department has selected the Prosser Lakeview (250K gallons) and Ski Run (100K gallons) tanks for rehabilitation in 2023. The Water Department requested a price proposal from Carollo to prepare the bid documents for these tanks. Preparation of these bid documents will reflect the lessons learned from the comprehensive rehabilitation of the Roundhill Tank and condition of the tank. The price proposal from Carollo for this work is $182,975. It is anticipated that rehabilitation of these tanks will be declared categorically exempt under CEQA. Once a firm construction schedule has been established, the District will contact the adjoining property owners to inform them of this upcoming project. These projects are on schedule with the Water Utility's capital improvement plan. OBJECTIVES & GOALS: This item is in support of the following goals and objectives: District Code1.05.020 Objectives: 1. Responsibly serve the public. 3. Provide reliable and high quality water supply and distribution system to meet current and future needs 5. Manage the District in an environmentally sound manner 6. Manage the District in an effective, efficient and fiscally responsible manner. Strategic Goals: 1. Manage for Financial Stability and Resiliency Page 2 of 3 FISCAL IMPACT: The FY 2023 water utility capital project budget includes $879,990 for storage tank rehabilitation, and is currently forecasted to be sufficient to include this subject contract for engineering services. The engineering services incurred in 2022 (majority of contract) to this 2023 project are currently forecasted in 2022 capital expenditure forecast. Excluding vehicle reserve, facility fee projects, and new debt proceeds projects; water capital expenditures for 2022 for budget and forecast are $2.964M and $3.086M, respectively, including the proposed $201,300 engineering services. The operating reserve ($5.2M as of 12/31/2021) has sufficient funds for this forecasted $122,000 capital expenditure overage in 2022. Attachments: None Page 3 of 3