1 TO: City Council
FROM: Andrew Vialpando, City Manager
PREPARED BY: Lina Hernandez, Deputy City Manager/Public Works Director MEETING DATE: November 5, 2024
SUBJECT: Allocation of Additional Funds for Upgrades and Maintenance of the Cypress Water Production Facility
RECOMMENDATION
Appropriate an additional $400,000 plus 10% contingency for unexpected costs in the amount of $40,000 for a total not to exceed $440,000, inclusive of previously approved funding, from the Water Capital Fund for upgrades and maintenance of the Cypress Water Production Facility.
BACKGROUND
The City operates several facilities related to the production or distribution of water for the City’s water system. These include the Cypress Water Production Facility (CWPF), Harbor Hills Storage Tank, multiple import water connections, and a pump station. Historically, the CWPF provided a mixture of treated groundwater and imported surface water to Pressure Zone 1 (portion of the City north of Pacific Coast Highway); however, the CWPF was taken off-line in May 2019 due to the detection of benzene at the City’s only well. Since then, the City has been importing 100 percent of its water from the Metropolitan Water District (MWD).
Following the detection of benzene, the City has since embarked on a large-scale upgrade of the facility, including the addition of Granular Activated Carbon (GAC) vessels to ensure complete removal of benzene. The City Council awarded this project to R.C.
Foster Corporation on January 19, 2021.
DISCUSSION
The GAC project is almost complete. However, some remaining punch list items are needed to bring the facility back on-line, including various parts, specialized services, and
CITY OF LOMITA
CITY COUNCIL REPORT
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2 equipment. Additional items needed include a Variable Frequency Drive (VFD) motor controller to operate the well and multiple valves at the reservoir. Maintenance will also be required for corroded conduits and switches that need to be replaced.
Staff is recommending an additional appropriation of $400,000 plus 10% contingency for unexpected costs in the amount of $40,000 for a total not to exceed $440,000 from the Water Capital Fund to the Cypress Project budget. These funds will also cover the purchase and installation of new parts, additional testing, and maintenance tasks and upgrades to the power generator, security cameras and other features to enhance safety and security. Staff is working closely with the State Division of Drinking Water, Hazen and Sawyer and multiple other specialized contractors to obtain the operating permit to startup the water treatment plant and see the project to completion.
FISCAL IMPACT
If approved, $400,000 plus a 10% contingency for unexpected costs in the amount of $40,000, for a total not to exceed $440,000 will be appropriated to the Cypress Water Production Facility CIP Project from the Water Capital Fund. The City anticipates a reimbursement of $2,000,0000 through the WRD grant following the completion of the project in accordance with the approved reimbursement agreement.
OPTIONS
1. Approve staff’s recommendation.
2. Provide alternative direction.
ATTACHMENTS
None.
Reviewed by: Approved by:
_______________________ ______________________
Gary Y. Sugano Andrew Vialpando
Assistant City Manager City Manager
Prepared by:
__________________________
Lina Hernandez
Deputy City Manager/Public Works Director