REPORT TO THE CITY COUNCIL
June 11, 2020
FROM: MICHAEL CARBAJAL, Director
Department of Public Utilities
THROUGH: BROCK D. BUCHE, PE, PLS, Assistant Director - UP&E
Department of Public Utilities - Utilities Planning & Engineering
BY: RAUL GONZALEZ, Professional Engineer
Department of Public Utilities - Utilities Planning & Engineering
SUBJECT
Title
Actions pertaining to Replacement of Two Makeup Air Units at the Fresno-Clovis Regional Wastewater Reclamation Facility (Bid File 3727) (Council District 3):
1. Adopt a finding of Categorical Exemption pursuant to Class 1, Section 15301 (Existing Facilities) of the California Environmental Quality Act Guidelines
2. Award a construction contract to Strategic Mechanical, in the amount of $221,259
Body
RECOMMENDATION
Staff recommends that City Council adopt a finding of Categorical Exemption pursuant to Class 1, Section 15301 (Existing Facilities) of the California Environmental Quality Act (CEQA) Guidelines for the Replacement of Two Makeup Air Units at the Fresno-Clovis Regional Wastewater Reclamation Facility (RWRF) (Project); award a construction contract for the Project to Strategic Mechanical Inc., in an amount of $221,259; and authorize the Director of Public Utilities, or designee, to sign all documents on behalf of the City of Fresno (City).
EXECUTIVE SUMMARY
The Department of Public Utilities, Wastewater Management Division is seeking to award a construction contract for the Project. The existing makeup air units located within the facilities Headworks Building have reached the end of their service life. The corrosive environment in the Headworks Building has contributed to a shortened service life for the equipment. In addition to providing temperature control, the makeup air units also restricts build-up of toxic hydrogen sulfide gas in the Headworks Building by maintaining a positive air pressure within the various rooms. The building’s ventilation system works in conjunction with the Odor Control Facility.
BACKGROUND
The Headworks Building was constructed in 1993. Building ventilation is provided by four makeup air units and two air-handling units. Due to incoming raw sewage and gases, the environment in the Headworks Building is highly corrosive. Makeup air unit number 3 (MAU-003) was replaced in 2011 due to corrosion causing damage beyond repair. An evaluation by RWRF staff and a consulting Mechanical Engineer have concluded that the makeup air units MAU-001 and MAU-004 have reached a similar state of deterioration.
Specifications were prepared for the Project. A Notice Inviting Bids was published on April 8, 2020, and posted on the City’s Planet Bids website Specifications were distributed to 16 prospective bidders and posted at 11 Building Exchanges. Two sealed bid proposals were received and publically opened on May 5, 2020. The bid proposals were $221,259 and $374,500, respectively. The bids will expire within 64 days of bid opening, on July 8, 2020.
Staff has determined that Strategic Mechanical Inc., of Fresno, California is the lowest responsive and responsible bidder with a submitted bid of $221,259. The Staff Determination of Award was posted on the City’s Planet Bids website on Thursday, May 7, 2020. Staff recommends the City Council award a construction contract to Strategic Mechanical Inc., in the amount of $221,259, as the lowest responsive and responsible bidder. Their bid price is 2% below the Engineer’s Estimate of $226,357.
ENVIRONMENTAL FINDINGS
Staff has performed a preliminary environmental assessment of this Project in accordance with the requirements of CEQA and has determined that it is Categorically Exempt under Class 1, Section 15301 (Existing Facilities) of the CEQA Guidelines. Class 1, subsection (d) exempts “restoration or rehabilitation of deteriorated or damaged structures, facilities, or mechanical equipment to meet current standards of public health and safety…”. Further, none of the exceptions to Categorical Exemptions set forth in the CEQA Guideline, Section 15300.2 apply to this Project.
LOCAL PREFERENCE
Local preference was not implemented because the lowest responsive and responsible bidder is a local business.
FISCAL IMPACT
There is no impact to the General Fund. This Project is located within Council District 3. Funding for this Project is included in the Fiscal Year 2020 capital improvement budget within the Wastewater Management Division’s Sewer Enterprise Fund 40501.
Attachments:
Attachment 1 - Bid Evaluation
Attachment 2 - Fiscal Impact Statement
Attachment 3 - Sample Contract