9/21/2023
1 RiversideCA.gov
1 RiversideCA.gov
THIRD AMENDMENT TO BIOSOLIDS HAULING AND
DISPOSAL/REUSE SERVICES AGREEMENT FOR
RIVERSIDE WATER QUALITY CONTROL PLANT
City Council
October 3, 2023
Public Works Department
RiversideCA.gov
2 Treatment Plant
Collections System
BACKGROUND
WQCP services 93,000 customers
within the City of Riverside
27 Million gallons
per day average
16,000 sewer manholes
800 miles of gravity sewers
20 wastewater lift stations
BACKGROUND
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2 RiversideCA.gov
3 1. The Plant removes the biosolids from wastewater
before it is discharged into the Santa Ana River, or it is reused as Recycled Water
2. 48,000 tons annually (131.5 tons/daily) of biosolids are produced
3. 2,000 truck trips are made to Arizona for disposal
partly due to the closure of Nursery Products in
Hinkley, CA
BACKGROUND
RiversideCA.gov
4 1. Market Volatility, temporary supply shortages, Class A driver shortage, and Consumer Price Index (CPI) increases have created an unexpected rise in unit costs for business operations and biosolids hauling.
2. On December 23, 2021, Denali informed the City they were reducing trucking services due to staffing shortage.
3. Hauling cost significantly increased from $42.89/ton to $87.82/ton, in part due to the closure of Nursery Products in Hinkley, California and the need to transport and dispose the biosolids in Arizona.
4. In February 2023, staff received invoices from Denali for services rendered from April 2022 to June 2022. Invoices were late due to staffing turnover at Denali.
5. Audit was finalized in July 2023, resulting in additional costs associated with the unanticipated invoices.
6. Third Amendment to Biosolid Hauling and Disposal/Reuse Services Agreement was created to address the unanticipated additional costs and fully paid services rendered through December 31, 2022.
DISCUSSION
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3 RiversideCA.gov
5 Strategic Priority 4 – Environmental Stewardship
Goal 4.2 – Sustainably manage local water resources to maximize reliability and advanced water reuse to ensure safe, reliable, and affordable water to our community.
Cross-Cutting Threads
STRATEGIC PLAN ALIGNMENT
RiversideCA.gov
6 That the City Council:
1.Approve the Third Amendment to Biosolids Hauling and
Disposal/Reuse Services Agreement with Denali Water Solutions, LLC, a Delaware limited liabili ty company authorized to do business in California with a lo cal Garden Grove location, increasing the compensation in the amount of $1,499,803.80, for a revised total amount of $17,686,014.80; and
2.Authorize the City Manager, or designee, to execute the Third Amendment to the Services Agreement, including making
minor and non-substantive changes.
RECOMMENDATIONS
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