REPORT TO THE CITY COUNCIL
April 30, 2015
FROM: THOMAS C. ESQUEDA, Director
Department of Public Utilities
BY: BUD TICKEL, Water Systems Supervisor
Department of Public Utilities - Water Division
MARTIN WENDELS, Project Manager
Department of Public Utilities - Water Division
SUBJECT
Title
Actions pertaining to well rehabilitation at Pump Station 80 located at 3903 Winery Avenue (Bid File 3361) (Council District 4)
1. Adopt a finding of Categorical Exemption of Section 15301 of the California Environmental Quality Act Guidelines
2. Award a contract in the amount of $222,690 to Zim Industries Inc., to rehabilitate a 20-inch diameter well at Pump Station 80, located at 3903 Winery Avenue (Bid File 3361) (Council District 4)
Body
RECOMMENDATIONS
Staff Recommends that Council:
1. Award a contract to Zim Industries, Inc., in the amount of $222,690.00 to rehabilitate a 20-inch diameter well at Pump Station 80 (PS 80).
2. Authorize the Public Works Director, or designee, to sign the contract on the City's behalf.
EXECUTIVE SUMMARY
The Department of Public Utilities - Water Division, solicited contractor services to rehabilitate a 20-inch diameter well. Zim Industries, Inc. ("Zim") was found to be the lowest responsive and responsible bidder with a bid amount of $222,690. The rehabilitation of this well is expected to bring production from a current level of 400 gallons per minute ("gpm") to its originally rated 800 gpm.
Funding for this contract is included in the FY2015 budget. Staff recommends award of a contract to Zim for these services in the amount of $222,690.
BACKGROUND
The Department of Public Utilities - Water Division, maintains a network of 260 plus municipal water supply wells providing approximately 88 percent of the City's potable water. PS 80 is a 20-inch well that was drilled in 1970 at a depth of 430 feet. It currently produces about 400 gpm with severe plugging in the perforations and an old suction screen lodged at 306 feet and assumed going to 430 feet which is the bottom of the well. By rehabilitating this well it is expected that it can be restored to a full capacity of 800 gpm supplying favorable water pressure in Zone 14 which is near Fresno Yosemite International Airport and towards Southeast Fresno.
A Notice Inviting Bids was published on February 13, 2015, per the City of Fresno Charter Section 1208. Seventeen (17) Building Exchanges were faxed the Notice Inviting Bids, and three specifications were distributed to prospective bidders. The bid opening was on March 17, 2015, and the bid will expire on May 20, 2015. Due to ongoing drought conditions, water well drillers are in extremely high demand and find drilling new wells more advantageous than rehabilitating existing wells. Therefore, only one bid was received. The sole bidder was Zim for $222,690, which is considered the lowest responsive and responsible bidder. The Notice of Staff Determination of Contract Award was posted on the City's website on March 17, 2015.
ENVIRONMENTAL FINDINGS
Staff has performed a preliminary environmental assessment of this project and has determined that it falls within the Class 1 Categorical Exemption set forth in CEQA Guidelines, Section 15301, as this contract is for the rehabilitation of the existing well at PS 80 located at 3903 Winery Avenue and will not result in the expansion of capacity of the existing well. Furthermore, none of the exceptions to the Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this project.
LOCAL PREFERENCE
Local preference was not implemented because only one bid was received.
FISCAL IMPACT
Funds for the rehabilitation of PS 80 are included in the Water Division's FY2015 Capital Improvement Program budget within the Water Enterprise Fund (40101). Funding for the rehabilitation of water wells was included in the water rate model used to create the five-year utility rate plan and subsequently adopted by City Council on February 26, 2015.
Attachment: Bid Evaluation
Fiscal Impact