July 21, 2026
PORT
Economic Development
DATE: July 21, 2026
TO: Mayor Martinez and Members of the City Council
FROM:
Charles Gerard, Port Director
Lizeht Zepeda, Senior Business Assistance Officer
Kyle Lam, Management Analyst
Subject:
Contract with Nichols Consulting Engineers for
Environmental Consulting Services
FINANCIAL IMPACT: The proposed $120,487 expenditure is included within the approved Fiscal Year 2026-2027 Port Enterprise
Fund budget and will be budgeted accordingly in
subsequent fiscal years (Account String:
40161080-400201). There is no net fiscal impact on the
General Fund.
PREVIOUS COUNCIL
ACTION:
None.
STATEMENT OF THE
ISSUE:
The Port of Richmond is required to implement ongoing
environmental monitoring, inspection, maintenance, and
reporting activities at Shipyard No. 3 pursuant to an
Enforceable Agreement with the California Department of Toxic Substances Control (DTSC). City staff is
recommending City Council approve a sole-source
contract with Nichols Consulting Engineers (NCE) to
perform the required 2026 Operations and Maintenance
(O&M) Program activities and associated regulatory
compliance services.
AGENDA
REPORT
July 21, 2026
RECOMMENDED ACTION:
APPROVE a sole-source contract with Nicholls
Consulting Engineers for environmental consulting
services associated with Operable Unit 1, Operable Unit 2, and other environmental compliance and monitoring
activities at the Port of Richmond, in an amount not to exceed $120,487, for a term expiring December 31, 2027
– Economic Development/Port (Charles Gerard/510-620-
6792).
DISCUSSION:
Shipyard No. 3 is subject to an Enforceable Agreement between the Port of Richmond and the California Department of Toxic Substances Control (DTSC) governing the long- term operation, maintenance, monitoring, and reporting requirements associated with environmental remedial actions completed at the site. Under the agreement, the Port is responsible for implementing an Operations and Maintenance (O&M) Program to ensure the continued effectiveness and protectiveness of the remedial measures located within Operable Unit (OU) 1, Operable Unit (OU) 2, and related restoration areas.
The proposed agreement with Nichols Consulting Engineers (NCE) will provide the professional environmental consulting services necessary to implement the 2026 O&M Program. Services include project management; annual visual inspections of the OU1 and OU2 engineered caps and restored salt marsh areas; coordination and oversight of the required triennial hydrographic survey of the OU2 intertidal and submerged cap; groundwater monitoring and sampling of on-site monitoring wells; laboratory analysis and disposal of investigation-derived waste; preparation of the 2026 Annual O&M Report; preparation of the Third Five-Year Review, including preparation of the work plan, public notification materials, evaluation of remedy performance, and final report; and coordination with DTSC and other regulatory agencies.
NCE has extensive institutional knowledge of Shipyard No. 3 and is currently involved in environmental compliance activities at the site. The firm's familiarity with site conditions, remedial systems, historical groundwater monitoring data, hydrographic survey results, prior reporting efforts, and DTSC requirements provides significant continuity for the ongoing compliance program. The required services rely on long-term data evaluation and consistent monitoring methodologies developed over multiple years. Transitioning the work to a new consultant would require substantial effort to reconstruct historical site knowledge, review and validate previous datasets, and become familiar with regulatory requirements and remedial system performance. Such a transition could result in duplication of effort, increased costs, scheduling delays, and potential impacts to regulatory compliance. Accordingly, staff has determined that a sole-source procurement is justified and in the best interest of the Port.
The proposed agreement will be for a total amount not to exceed $120,487 and will have a term commencing upon execution and ending December 31, 2027.
July 21, 2026
DOCUMENTS ATTACHED:
Attachment 1 – Contract
Attachment 2 – Sole Source