REPORT TO THE CITY COUNCIL August 27, 2015 FROM: THOMAS C. ESQUEDA, Director Department of Public Utilities THROUGH: STEPHEN A. HOGG, Assistant Director Department of Public Utilities - Wastewater Management Division BY: KEVIN L. NORGAARD, PE, Supervising Professional Engineer Department of Public Utilities - Wastewater Management Division SUBJECT ..Title Actions pertaining to Digester 2 and 9 Cleaning at the Fresno/Clovis Regional Wastewater Reclamation Facility (Bid File 3391) (Council District 3) 1. Adopt a finding of Categorical Exemption of Class 1, pursuant to Section 15301(b) (Existing facilities) of the California Environmental Quality Act Guidelines 2. Award a $249,690 construction contract to Wastewater Solids Management Inc., of Yachats, Oregon ..Body RECOMMENDATION Staff recommends that City Council adopt a finding of Class 1 categorical exemption, pursuant to Section 15301 (b) (Existing facilities) of the California Environmental Quality Act (CEQA) Guidelines for Digesters 2 and 9 Cleaning at the Fresno/Clovis Regional Wastewater Reclamation Facility (RWRF) and award a contract in the amount of $249,690 to Wastewater Solids Management Inc., of Yachats, Oregon, for Digester 2 and 9 Cleaning at the RWRF. EXECUTIVE SUMMARY Periodic cleaning of the 13 digesters at the RWRF is required to keep the plant functioning within regulatory requirements. The Department of Public Utilities, Wastewater Management Division is seeking to award a contract for the cleaning of Digesters 2 and 9 at the RWRF in the amount of $249,690 to Wastewater Solids Management Inc., of Yachats, Oregon, as the lowest responsive and responsible bidder. Staff recommends that the City Council adopt a finding of Class 1 Categorical Exemption; pursuant to Section 15301(b) of the CEQA Guidelines for the cleaning. BACKGROUND The Fresno/Clovis RWRF operates thirteen mesophilic anaerobic digesters. The digesters range in size from 860,000 to 1,870,000 gallons. The digesters are used in the treatment of the solids generated at the RWRF to eliminate the pathogens and volatile organic compounds. Over the period of approximately seven years these digesters accumulate debris associated with the treatment (i.e. solids consisting of sludge, sand, plastics and hair). This project will remove all the accumulated debris from the digesters and allow for the inspection of the interior surfaces for corrosion, wear, and structural stability. The debris will be screened and transported to an appropriate class landfill, and the sludge will be dewatered and processed along with the other dewatered bio solids from the facility. The interior of the digesters will be pressure washed and then inspected for any structural or coating issues. Plans and specifications were prepared for the project. A Notice Inviting Bids was published on June 5, 2015 and posted on the City's website. The specifications were distributed to fifteen (15) prospective bidders, and posted at fifty one (51) Builder Exchanges. Two sealed bid proposals were received and publicly opened on July 21, 2015. The bid proposals were $249,690 and $550,000. The Bid will expire within 64 days of bid opening on October 06, 2015. Wastewater Solids Management Inc., was the lowest responsive bidder with a submitted bid of $249,690. Staff determination was posted on the City Website on Friday August 7, 2015. Staff recommends that the City Council award a contract in the amount of $249,690 to Wastewater Solids Management Inc., as the lowest responsive and responsible bidder. Their bid price is 9.2% below the original Engineer's Estimate of $275,000. Wastewater Management Division annually cleans one to two digesters and based on those bids this price is well within reason. Upon approval by the City Council, the agreement will be executed by the Director of Public Utilities or designee, who has been delegated this authority by the City Manager. ENVIRONMENTAL FINDINGS Staff has performed a preliminary environmental assessment for Digesters 2 and 9 Cleaning and has determined that it falls within Class 1 Categorical Exemption set forth in CEQA Guidelines, Section 15301(b) (existing facilities) because this contract involves normal operation and maintenance of existing public sewer facilities. Furthermore, none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this project. LOCAL PREFERENCE The local preference was not implemented because no proposers were local businesses. FISCAL IMPACT This project is identified in the five-year Capital Improvement Plan. Funds in the amount of $275,000 for the project are budgeted in the FY16 Sewer Enterprise Fund No. 40501. The project is located in Council District 3, and it has no financial impact on the General Fund. Attachments: Bid Evaluation and Fiscal Impact Statement Vicinity Map