REPORT TO THE CITY COUNCIL FROM: DENIX D. ANBIAH, PE, Director Capital Projects Department PAUL AMICO, PE, Interim Director Department of Public Utilities BY: FRANCISCO V. MAGOS II, PE, Assistant Director Capital Projects Department, Utilities and On-Site Project Management Division ANITA LUERA, Project Manager Capital Projects Department, Utilities and On-Site Project Management Division SUBJECT ..Title Approve the First Amendment to the Consultant Services Agreement with Michael K. Nunley and Associates, Inc., of Fresno, California, to increase the total contract by an amount not to exceed $158,154.00, paid on a time and materials basis, for a revised total contract amount not to exceed $467,199.00 with a remaining contingency in the amount of $30,000.00, for the Wellhead Treatment Improvements at Pump Stations 177 and 185 Project. (Council District 6) ..Body RECOMMENDATION Staff recommends that City Council approve the First Amendment to the Consultant Services Agreement (Agreement) with Michael K. Nunley and Associates, Inc., (Consultant), to increase the total contract by an amount not to exceed $158,154, for a revised total contract amount not to exceed $467,199 with a remaining contingency in the amount of $30,000, for additional design services for the Wellhead Treatment Improvements at Pump Stations 177 and 185 Project (Project), and authorize the Capital Projects Director or designee to sign and execute all documents on behalf of the City of Fresno (City). EXECUTIVE SUMMARY On April 28, 2021, the City and the Consultant entered into an Agreement for an amount not to exceed $309,045 and a contingency in the amount of $30,000, paid on a time and materials basis, to provide engineering design services for the Wellhead Treatment Improvements at Pump Stations 177 and 185 Project. To date, the Consultant has evaluated groundwater quality data, prepared a Basis of Design report, and prepared design development plans for Pump Station 185 and construction level plans for Pump Station 177. The Department of Public Utilities (DPU) is requesting additional design services for implementation of a carbon dioxide removal system at these two well sites. Staff recommends that City Council approve the First Amendment to the Agreement in an amount not to exceed $158,154, paid on a time and materials basis, increasing the total contract to an amount not to exceed $467,199 with a remaining contingency in the amount of $30,000; and authorize the Capital Projects Director or designee to sign the First Amendment on behalf of the City. The First Amendment to the Agreement will be funded utilizing appropriations included in the Fiscal Year 2026 Capital Improvement Budget within the Water Division's Enterprise Fund. BACKGROUND The City maintains a water supply network consisting of more than 270 municipal groundwater wells that currently provide approximately 50% of the City's potable water supply. There are currently approximately 30 well sites with wellhead treatment systems that treat regulated contaminants or naturally occurring compounds that affect taste or impart odor. There are also several well sites in North Fresno that contain carbon dioxide levels that cause the water to appear murky even though it meets all drinking water standards. On April 28, 2021, the City and the Consultant entered into an Agreement for an amount not to exceed $309,045 and a contingency in the amount of $30,000, paid on a time and materials basis, to provide engineering design services for the Wellhead Treatment Improvements at Pump Stations 177 and 185 Project. To date, the Consultant has evaluated groundwater quality data, prepared a Basis of Design report, and prepared design development plans for Pump Station 185 and construction level plans for Pump Station 177. DPU is requesting additional design services to implement a carbon dioxide removal system at these two well sites. The City has evaluated several different carbon dioxide removal technologies and the system selected for these well sites was recently constructed at another City well site with successful results at a fraction of the cost of the other technologies. This system is also more robust and requires less maintenance. Staff now recommends approval of the First Amendment to the Agreement in an amount not to exceed $158,154, paid on a time and materials basis, increasing the total contract to an amount not to exceed $467,199 with a remaining contingency in the amount not to exceed $30,000; and authorization of the Capital Projects Director or designee to sign the First Amendment on behalf of the City. The First Amendment will include revising the Basis of Design Report and wellhead treatment improvement plans and technical specifications to incorporate the carbon dioxide removal system. The First Amendment to the Agreement will be funded utilizing appropriations included in the Fiscal Year 2026 Capital Improvement Budget within the Water Division's Enterprise Fund. The City Attorney's Office has reviewed and approved the proposed First Amendment as to form. ENVIRONMENTAL FINDINGS By the definition of the California Environmental Quality Act (CEQA) Guidelines Section 15378, the amendment of this consultant services agreement for the design services does not quality as a "project" for the purpose of CEQA. LOCAL PREFERENCE Local preference does not apply to this action because this is an amendment to an existing consultant services agreement. FISCAL IMPACT This Project is located in Council District 6 and will have no impact to the General Fund. Funding for this Project is included in the Water Division's five-year Capital Improvement Program budget within the Water Enterprise Fund. Attachments: First Amendment to Agreement Original Consultant Agreement Vicinity Map Location Maps