REPORT TO THE CITY COUNCIL
FROM: BROCK D. BUCHE, PE, PLS, Interim Director
Department of Public Utilities
BY: JESUS A. GONZALEZ, PE, Public Utilities Manager
Department of Public Utilities - Utilities Planning & Engineering
PETER A. MARACCINI, PE, PhD, Supervising Professional Engineer
Department of Public Utilities - Utilities Planning & Engineering
SUBJECT
Title
Actions pertaining to a requirements contract to Repair Public Water Supply Well Pumping Assemblies (Bid File 9638) (City Wide):
1. Adopt a finding of Categorical Exemption pursuant to Section 15301/Class 1 (Existing Facilities) and Section 15302/Class 2 (Replacement or Reconstruction) of the California Environmental Quality Act (CEQA) Guidelines for the repair of public water supply well pumping assemblies;
2. Award a requirements contract to Rain for Rent, for a term of one year in the amount not to exceed $844,251 per year, with provision for up to two one-year extensions
Body
RECOMMENDATIONS
Staff recommends that City Council:
1. Adopt a finding of Categorical Exemption pursuant to Section 15301/Class 1 (Existing Facilities) and Section 15302/Class 2 (Replacement or Reconstruction) of the California Environmental Quality Act Guidelines for the repair of public water supply well pumping assemblies;
2. Award a requirements contract to Repair Public Water Supply Well Pumping Assemblies (Project) to Rain for Rent, for a term of one year in the amount not to exceed $844,251 per year, with provisions for up to two one-year extensions; and
3. Authorize the Director of Public Utilities, or designee, to sign and execute all documents on behalf of the City of Fresno (City).
EXECUTIVE SUMMARY
The Department of Public Utilities (DPU) is seeking to award a requirements contract for the Project for a term of one year in the amount not to exceed $844,251 per year to Rain for Rent, with provisions for up to two one-year extensions. Award of the contract would ensure regular and timely maintenance of public water supply well pumping assemblies, thereby improving the efficiency and reliability of the City’s drinking water system. The bid will expire on May 25, 2022.
BACKGROUND
The City has approximately 260 operable wells in the public water supply system and 21 reclamation wells serving the Fresno-Clovis Regional Wastewater Reclamation Facility. The City previously awarded requirements contracts for the rehabilitation of municipal water wells in order to optimize the life of the steel casings, to keep the water bearing formations in the aquifer clear of blockages, and to remove buildup of mineral deposits on the casing perforations, per Industry standards. This requirements contract pairs with those previously awarded requirements contracts to repair the well pumping assemblies. With both the well rehabilitated and the pumping assembly returned to optimal operating conditions, the efficiency and reliability of each serviced pumping station will be markedly improved.
The Project entails removing the pumping assembly from the well, transporting the pumping assembly to the repair facility, inspecting and repairing components as needed, furnishing and installing replacement components as needed, then disinfecting and reinstalling the pumping assembly in the well. The winning bidder of this requirements contract is expected to repair 16 pumping assemblies every year on an as needed basis for wells located City wide.
Specifications were prepared for this Project, which were reviewed and approved by the Construction Management Division, the Purchasing Unit, and the City Attorney’s Office. A Notice Inviting Bids was published on February 9, 2022 and posted on the City’s Planet Bids website. Two (2) sealed bid proposals were received and publicly opened on March 22, 2022. The bid proposals were $844,251 and $1,013,880. The bid will expire within 64 days of bid opening, on May 25, 2022.
Rain for Rent was found to be the lowest responsive and responsible bidder with a bid amount of $844,251. Staff recommends that City Council award a requirements contract to Rain for Rent for a term of one year in the amount not to exceed $844,251 per year, with provisions for up to two one-year extensions.
ENVIRONMENTAL FINDINGS
Staff have performed a preliminary environmental assessment for this Project in accordance with the requirements of the CEQA Guideline and have determined it is consistent with a Categorical Exemption pursuant to Section 15301/Class 1 (Existing Facilities) and Section 15302/Class 2 (Replacement or Reconstruction). The Project described herein represents recommended maintenance activities and replacement of badly damaged or malfunctioning components of the pumping assemblies as deemed necessary. The project will not expand the use of the existing facilities. Furthermore, none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this Project. The determination was reviewed and approved by the City Attorney’s Office.
LOCAL PREFERENCE
Pursuant to the Fresno Municipal Code (FMC) Section 4-108(d), the lowest responsive and responsible bidder is not a local business while the second lowest responsive and responsible bidder is defined as such. Pursuant to FMC Section 4-108(c), the preference sum of $75,000 was added to the bid from the lowest responsive and responsible bidder. As the bid from lowest responsive and responsible bidder with the addition of the $75,000 was still lower than the second lowest responsive and responsible bidder, the contract was awarded to the non-local business.
FISCAL IMPACT
There is no impact to the General Fund. This Project is identified in the Water Division’s five-year Capital Improvements plan. Funds in the amount of $844,251 for this Project are budgeted in the Fiscal Year 2022 Wastewater Enterprise Fund 40501, and future expenditures will be included in future fiscal year budgets.
Attachments:
Attachment 1 - Notice of Exemption
Attachment 2 - Environmental Assessment
Attachment 3 - Bid Evaluation and Fiscal Impact Statement
Attachment 4 - Sample Contract