HomeMy WebLinkAbout11583RESOLUTION NO. 11583
A RESOLUTION AWARDING A PROFESSIONAL
SERVICES AGREEMENT IN THE AMOUNT OF
$4,500,000.00 TO THE BLACK & VEATCH CORPORATION
TO PERFORM FACILITY DESIGN AND CONSTRUCTION
MANAGEMENT SERVICES FOR THE AMMONIA
REMOVAL PROJECT AT THE JAMES R. DIIORIO WATER
RECLAMATION FACILITY AND THE AIRPORT
INDUSTRIAL PARK LIFT STATION REHABILITATION
PROJECT, AND AUTHORIZING THE PRESIDENT OF THE
CITY COUNCIL TO EXECUTE SAME
WHEREAS, the City of Pueblo owns, operates and maintains a wastewater
system subject to the requirements of the federal Clean Water Act and the Colorado
Water Quality Control Act; and
WHEREAS, upgrading the James R. Dilorio Water Reclamation Facility is
necessary to allow compliance with new effluent limits for ammonia, as well as to
position the facility for compliance with future nutrient removal requirements, and
WHEREAS, rehabilitating the wastewater lift stations service the Airport
Industrial Park is needed to assure continued operation and compliance; and,
WHEREAS, converting the existing chlorine disinfection process at the James R.
Dilorio Water Reclamation Facility would eliminate certain risks of the existing process
and improve the likelihood of continued compliance; and,
WHEREAS, the City has selected Black & Veatch Corporation to provide certain
engineering services in connection with the Project;
NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The Agreement for Professional Engineering Services by and between Pueblo, a
Municipal Corporation, and Black & Veatch Corporation, a true copy of which is
attached hereto and incorporated herein by reference (the "Agreement') having been
approved as to form by the City Attorney, is hereby approved.
SECTION 2.
The President of City Council is hereby authorized to execute the Agreement in
the name and on behalf of the City and the City Clerk is directed to affix the seal of the
City thereto and attest same.
SECTION 3
Funds for payment for professional services under said Agreement in an amount
not to exceed $4,500,000.00 shall be paid from appropriated funds from the reserves of
the Sewer User Fund.
SFrTinN 4
The Sewer User Fund shall be reimbursed for professional services costs
incurred under said Agreement from State Revolving Fund loan monies and monies
from the American Reinvestment and Recovery Act of 2009.
INTRODUCED: April 13, 2009
F-W
Barbara Vidmar
COUNCILPERSON
A77TSTFD SY:
CITY CLERK
APPR 0' } �,
PRESIDENTaf Cfty Council
L) 4
Background Paper for Proposed
RESOLUTION
AGENDA ITEM # 12
DATE: APRIL 13, 2009
DEPARTMENT: WASTEWATER DEPARTMENT
GENE MICHAEL, DIRECTOR
TITLE
A RESOLUTION AWARDING A PROFESSIONAL SERVICES AGREEMENT IN THE
AMOUNT OF $4,500,000.00 TO THE BLACK & VEATCH CORPORATION TO
PERFORM FACILITY DESIGN AND CONSTRUCTION MANAGEMENT SERVICES
FOR THE AMMONIA REMOVAL PROJECT AT THE JAMES R. DIIORIO WATER
RECLAMATION FACILITY AND THE AIRPORT INDUSTRIAL PARK LIFT STATION
REHABILITATION PROJECT, AND AUTHORIZING THE PRESIDENT OF THE CITY
COUNCIL TO EXECUTE SAME
ISSUE
Should the City Council award an agreement in the amount of $4,500,000.00 to the Black &
Veatch Corporation to perform facility design and construction management services for the
Ammonia Removal Project at the James R. Dilorio Water Reclamation Facility and the Airport
Industrial Park Lift Station Rehabilitation Project?
Approve this Resolution.
BACKGROUND
The James R. Dilorio Water Reclamation Facility was constructed in 1987 to provide
wastewater treatment at a level designated as "secondary treatment," providing wastewater
screening, reducing biochemical oxygen demand and suspended solids, and providing for
disinfection via chlorination. In 2005, Colorado adopted federal water quality control criteria for
ammonia. Discharge permits are renewed every five years, and Pueblo's permit expired in July
2007. The renewed permit will contain effluent limits for ammonia that the existing treatment
facility cannot attain. The Ammonia Removal Project will convert the existing treatment process
to one that can achieve the new effluent ammonia limits by adding aeration basins, increasing
aeration capacity, changing solids handling procedures, adding a digester centrate flow
equalization tank, and de- commissioning the existing high -rate trickling filter. Additional
improvements will include a dewatering system to lower the water table temporarily to allow for
maintenance on in- ground concrete tanks, and adding the conduits and hydraulic control
structures associated with the new treatment processes. These modifications will also serve to
position the Water Reclamation Facility to meet additional water quality regulations for nutrient
removal that are anticipated within the next 10 years.
The project also includes rehabilitation of the five wastewater lift stations that serve the Airport
Industrial Park. These lift stations were constructed in the early 1990s, and have been severely
degraded by corrosion. In additions, the electronic control panels contain obsolete components
for which parts can no longer be obtained. The project will rehabilitate corroded concrete in the
lift stations, replace corroded pipes and valves, and replace the electronic control panels with
new panels that incorporate modern components and network the lift stations into a Supervisory
Data Acquisition and Control (SCADA) system to permit remove monitoring and improved alarm
capabilities.
A final, optional element of the project will convert the existing chlorine disinfection system to an
ultraviolet disinfection system. The existing chlorine system, and the associated dechlorination
system that uses sulfur dioxide gas, involves bulk storage of toxic gases in buildings that do not
meet modern codes for chemical storage. Conversion to ultraviolet disinfection will eliminate
bulk chemical storage, making the process safer both for City employees and for the
community. It will also eliminate the potential for violating the effluent limit for residual chlorine,
making it easier to maintain full compliance. However, the ultraviolet disinfection will add an
estimated $5,500,000 to the cost of the project. $4,000,000 of that cost is for the ultraviolet
disinfection equipment itself, and $1,500,000 is for a solar photovoltaic array that would provide
an alternative form of energy to power the ultraviolet disinfection system. This component of the
project was added at the recommendation of the Colorado Department of Public Health and
Environment to increase the likelihood that the project would be approved to receive funding
under the American Reinvestment and Recovery Act of 2009 (ARRA). The disinfection
conversion can be constructed only if Pueblo receives ARRA funding. If such funding is not
approved, the disinfection conversion project will be removed from the project scope.
The Black & Veatch Corporation was selected in 2005 through a competitive bidding process to
serve as the Wastewater Department's Engineer of Record, and will be responsible for
providing these engineering services. In addition, these projects will entail large -scale industrial
construction that exceeds the scope and expertise of the City's inspectors. The City will need to
retain expert construction management assistance to ensure these projects are constructed
properly, timely, and within budget. Black & Veatch will also provide construction management
services.
FINANCIAL IMPACT
The Sewer User Fund has a reserve balance of approximately $6,500,000. Funds are available
for appropriation. Costs for facility design and construction are reimbursable through State
Revolving Fund Loans and through loans made under the American Reinvestment and
Recovery Act of 2009. Pueblo is included in Colorado's Intended Use Plan for funding through
a conventional State Revolving Fund loan in 2009. In addition Pueblo is eligible for a principal -
forgiveness loan in the amount of $2,000,000.00 under the American Reinvestment and
Recovery Act of 2009, and for additional interest -free loans under the American Reinvestment
and Recovery Act of 2009. These loans will be used to reimburse the Sewer User Fund for the
cost of final engineering design and construction management.