DATE: JUNE 14, 2022
DEPARTMENT: PUBLIC WORKS
FROM: DAVID JACOBS, DIRECTOR
BY: BRIAN FRUS, SENIOR ENGINEER
TITLE: PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF SALINAS AND E2 CONSULTING ENGINEERS FOR THE INDUSTRIAL WASTEWATER TREATMENT FACILITY EXPANSION PROJECT RECOMMENDED MOTION:
A motion to 1) approve a Resolution approving a Professional Services Agreement in the amount of $1,131,000 between the City of Salinas and E2 Consulting Engineers for the Industrial Wastewater Treatment Facility Expansion Project; 2) authorize an interfund loan of $1,131,000 from the General Fund to the Industrial Waste Fund; and 3) authorize creation of and an appropriation to a dedicated CIP for the Industrial Wastewater Treatment Facility Expansion Project in the same amount from the Industrial Waste Fund.
RECOMMENDATION:
It is recommended that the City Council 1) approve a Resolution approving a Professional Services Agreement in the amount of $1,131,000 between the City of Salinas and E2 Consulting Engineers for the Industrial Wastewater Treatment Facility Expansion Project; 2) authorize an interfund loan of $1,131,000 from the General Fund to the Industrial Waste Fund; and 3) authorize creation of and an appropriation to a dedicated CIP for the Industrial Wastewater Treatment Facility Expansion Project in the same amount from the Industrial Waste Fund.
BACKGROUND:
The City of Salinas owns and operates an Industrial Wastewater Collection and Conveyance System (IWCCS) which takes agricultural process water from 26 industries. The system is comprised of a network of piping, and pump station, which covey wastewater to the Industrial Waste Treatment Facility (IWTF) for treatment and disposal.
Recent interest to develop additional processing facilities both at an existing industry location and in the Salinas Agricultural Industrial Center has created additional need for capacity at the IWTF. Calculations show that an additional 1 million gallons per day (mgd) of average flow capacity is needed over the existing permitted flow of 4 mgd to meet the new demands. Currently wastewater is treated by aeration and then disposed of by percolation and evaporation at the IWTF. The infrastructure also exists to export water from the IWTF via a pump station which can discharge directly to the Monterey One Water (M1W) interceptor which flows to the Regional Treatment Plant in Marina.
Capacity expansion efforts will focus on increasing treatment by augmenting the aeration capability and to rely on the ability to export the wastewater for recycling rather than enhancing onsite disposal. This approach will require modifications to the facility permits, a CEQA process and creating a new agreement with M1W and the Monterey County Water Resources Control Agency.
In addition, grant and other funding efforts will be required to secure the necessary working capital to implement the improvements needed. In all, the capital improvements include:
Aeration Lagoon expansion and addition of aerators
Pond automation and flow distribution
Pond 3 Pumpstation expansion
Pond aeration motor efficiency upgrades
Influent Pump Station flow metering
Electrical equipment relocation
Backup power
Airport Lift Station upgrades
Overall, these efforts will require the services of several consultants. In the case of E2 Consulting, tasks to be performed for the IWTF Expansion Project will include the following:
Design of the above listed improvements (except for the Airport Lift Station) Project management and meetings
CEQA and permitting support
Funding and grant application support
Plans, specifications, and engineering estimates
Final bid documents and construction bid phase services Given the ambitious scope of work to be completed over the next four years, the need to engage consultants is pressing in order stay on schedule. E2 Consulting is intimately familiar with the IWTF, having performed the engineering and design services for the Proposition 1 Stormwater grant work. E2 has also been selected by staff to be awarded the next round of grant implementation design work which integrates with this expansion effort. Additionally, staff believes E2 Consulting is a very qualified vendor to assist the City with the implementation of these expansion activities, including engineering, design, and construction support services. City staff recommends sole source award of this work to E2 Consulting as no other consulting entity is currently as familiar with the City’s needs and challenges associated with this effort and has the ability to begin work immediately.
CEQA CONSIDERATION:
The City of Salinas believes that the proposed action is a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378). This is because the project will result “in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment” and is “an activity directly undertaken by any public agency including but not limited to public works construction and related activities” including “clearing or grading of land”. The determination as to whether the project has the potential for causing a “significant effect on the environment” will be determined in the course of the CEQA process as will the nature and extent of the relevant information compiled and submitted.
STRATEGIC PLAN INITIATIVE:
The proposed project and agreement meet the City Council’s Strategic Plan Initiatives of Investment Strategies/Risk Management, and Operational Efficiencies.
DEPARTMENTAL COORDINATION:
This project will rely on coordination between the Water, Waste and Energy (WWE) division in Public Works, Finance, Community Development, Legal and the City Manager’s office. WWE will oversee the overall execution of the project, while coordinating with Finance and the City Manager on funding, Legal for agreements and Community Development for liaison with the developer(s).
FISCAL AND SUSTAINABILITY IMPACT:
The total estimated cost for the scope of work contained in the Professional Services Agreement is $1,131,000. A total of $1,131,000 will be transferred and held in reserve in a CIP dedicated to the IWTF Expansion Project to include professional services and implementation.
Initial funding for the project will come from an interfund loan of $1,131,000 from the General Fund to the Industrial Waste Fund.
Overall, the project implementation is estimated to cost $40M. Staff believes that State Revolving Fund loans and several grant funding opportunities are strong possibilities. The scope of this proposal includes researching multiple funding possibilities as full funding for the project may likely require utilization of a number of different sources.
ATTACHMENTS:
Resolution
Professional Services Agreement City of Salinas and E2 Consulting Engineers for the Industrial Wastewater Treatment Facility Expansion Project Page | 3
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