DATE: November 4, 2024
TO: President and Members of the Estero Municipal Improvement District (EMID) Board of Directors
VIA: Stefan Chatwin, District Manager
Marlene Subhashini, Assistant District Manager
FROM: Andrew Brozyna, Public Works Director/District Engineer Francine Magno, Senior Civil Engineer
Jerrick Carandang, Associate Engineer
DEPARTMENT: Public Works
SUBJECT: CONTRACT AMENDMENT NO. ONE (1) IN THE AMOUNT OF $596,290 TO THE AGREEMENT WITH FREYER & LAURETA,
INC. FOR PROFESSIONAL ENGINEERING SERVICES FOR THE
EMERGENCY GENERATOR REPLACEMENTS PROJECT (CIP
455-705)
RECOMMENDATION
It is recommended that the Board of Directors of the Estero Municipal Improvement District (EMID) adopt the attached resolution:
1. Authorizing the President to execute Contract Amendment No. One (CA #1) to the agreement with Freyer & Laureta, Inc. (Freyer & Laureta) dated October 10, 2024 in the amount of $596,290 to provide professional engineering services for the additional seven (7) generators and construction administration for all ten (10) generators for CIP 455-705;
2. Authorizing a project contingency in the amount of $59,000 with authority given to the District Manager to execute contract amendments up to the contingency amount; and
3. Finding that the project is not subject to review under the California Environmental Quality Act (CEQA) pursuant to Public Resources Code Section 21000, et seq. and the CEQA Guidelines (14 Cal. Code Regs. §§ 15000 et. seq.) as this project is exempt from
the provisions of CEQA pursuant to CEQA Guidelines 15032 as a Class 2 (Replacement or Reconstruction) because this project will be a replacement of existing facilities on the same site for the same purpose and capacity as the structure being replaced.
EXECUTIVE SUMMARY
CIP 455-705 was approved by the District Board as part of the Fiscal Year 2021-2022 budget to address the replacement of emergency generators and automatic transfer switches (ATS) located at ten (10) of the District’s lift stations. Staff prioritized the design and replacement of three (3) emergency generators at Lift Stations 22, 29 and 59; and ATS at Lift Stations 29 and 59.
CA #1 will provide design services for generators and ATS at the remaining seven (7) lift stations along with construction administration services on all ten (10) locations, which was not included in the initial scope of the agreement. The proposed fees, for the not-to-exceed amount of $596,290, have been determined reasonable. Funding is available in the project budget for CIP 455-705.
BACKGROUND
The District’s forty-eight (48) lift stations pump sewage to receiving manholes at higher elevations. Emergency generators power lift stations when power from PG&E is interrupted or shut down. The ATS sense when PG&E power is interrupted and cause the emergency generators to turn on. Without emergency generators, lift stations have the potential to overflow in the event of a power outage.
CIP 455-705 was approved by the District Board as part of the Fiscal Year 2021-2022 budget to address the replacement of emergency generators at ten (10) of the District’s wastewater lift stations (Lift Stations 10, 12, 14, 15, 16, 22, 26, 29, 43 and 59) and associated ATS with exception of the ATS equipment at Lift Station 22 which was deemed to be in good condition. Staff decided not to move forward with Lift Station 43 and elected, instead, to install a standby generator at Lift Station 40. The existing generators and ATS equipment scheduled for replacement are at the end of their useful lives.
Staff prioritized the design and replacement of the generators at three (3) locations, Lift Stations 22, 29, and 59. These three (3) are considered the most critical of the ten (10) in the project. Lift Stations 22 and 29 collect sewage from surrounding lift stations within their respective neighborhoods. In turn, both feed into Lift Station 59, which pumps all sewage to the Wastewater Treatment Plant in San Mateo.
In June 2022, the District Board authorized staff to issue an RFP to procure the services of a design firm to address the replacement of the three (3) emergency generators and ATS equipment.
On August 15, 2022, the District Board adopted EMID Resolution No. 3672, authorizing the President to execute an agreement with Freyer & Laureta, in an amount not-to- exceed $240,128 for professional engineering services for generator and ATS replacement at the (3) priority locations.
On August 19, 2024, the District Board adopted EMID Resolution No. 3772, authorizing the President to execute an agreement with Bay City Electric Works for the purchase of the three (3) priority generators for Lift Stations 22, 29 and 59; and automatic transfer switches for Lift Stations 29 and 59.
ANALYSIS
The scope of work of the original agreement with Freyer & Laureta focused on the design of the three (3) priority lift stations (Lift Station 22, 29 and 59). It did not include construction administration services. The construction administration support will provide services such as but not limited to request for information (RFI) and change order (CO) responses, submittal reviews, attending vendor meetings, site visits, and project closeout.
The City’s adopted FY 2024-2025 Final Budget includes the Five-Year Capital Improvement Project Program. The Project Description for CIP 455-705 noted bringing forward to City Council approval of an amendment to the existing contract with Freyer & Laureta to include the remaining seven (7) generators into the design documents with the intent to bid all ten (10) generators together in the Winter 2025 (see pg. 363 of FY 2024-2035 Final Budget: Link).
Staff recommends proceeding with the contract amendment with Freyer & Laureta for the design of the additional seven (7) generators. Freyer & Laureta have proven expertise in the subject, and the most familiarity with the project due to their recent work on the generators at the three (3) priority locations. Staff is confident with Freyer & Laureta’s ability to perform the work on the remaining seven (7) generators.
CA #1 will provide design services for the remaining seven (7) generators and ATS equipment. The amendment will also provide construction administration services for all ten (10) lift stations. The design services will include tasks such as project management, data collection, preparation of pre-purchasing documents, preparation of construction documents, permit support, and bid advertising.
With the EMID Board’s approval of this resolution, Freyer & Laureta will proceed with construction administration support for the three (3) priority locations and begin design services on the remaining seven (7) locations.
CEQA
This project is not subject to review under the California Environmental Quality Act (CEQA) pursuant to Public Resources Code Section 21000, et seq. and the CEQA Guidelines (14 Cal. Code Regs. §§ 15000 et. seq.) as this project is exempt from the provisions of CEQA pursuant to CEQA Guidelines section 15302 as a Class 2 (Replacement or Reconstruction) because this project will be a replacement of existing facilities on the same site for the same purpose and capacity as the structure being replaced.
FISCAL IMPACT
The proposed amendment amount of $596,290 has been negotiated by staff and determined reasonable based on the scope of services and current Industry rates. With the execution of CA #1, the revised contract amount is $836,418. Funding is available in the project budget established for CIP 455-705. Additionally, a project contingency in the amount of $59,000 or approximately 10% of the amendment amount is recommended to pay for additional services to mitigate unforeseen tasks or for additional services that may be required.
CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Facilities and Infrastructure
ATTACHMENTS:
Attachment 1 – Resolution
Attachment 2 – Contract Amendment No. 1