Title
Recommendation to Award a Contract in the Amount of $5,749,133, Including Contingency, to Mountain Cascade Inc. for Construction of Group 4 Sewer Pump Station Renovations for Reliability and Safety Improvements Project (91008602), No. P.W.08-17-37. (Public Works 602)
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
Public Works publicly bid the construction of the Group 4 Sewer Pump Station Renovations for Reliability and Safety Improvements Project (Project), as contained in the City of Alameda Sewer Master Plan. The Project entails improvements at seven pump stations at locations prioritized based on condition assessment, consequence of sewer system overflows (SSOs), and reliability and safety. Mountain Cascade, Inc. is the low cost bid of three total bids submitted. Staff recommends awarding the contract to Mountain Cascade, Inc. for a total amount of $5,749,133.
BACKGROUND
The City of Alameda (City) has separate sanitary sewer and storm water drainage systems. Infiltration and inflow is storm water that should enter the storm drainage system, but instead enters the sewer system through cracks and other defects in the sewer pipes. Storm water in the sewer system can cause excessive flows during wet weather events that exceed both local conveyance and regional treatment capacity.
In 2009, the United States Environmental Protection Agency (EPA) filed a complaint against the East Bay Municipal Utility District (EBMUD), the owner and operator of the regional wastewater treatment facilities. The objective of the lawsuit was to create a federal court order to force EBMUD to eliminate the use of three wet weather facilities (WWFs), which were constructed in the 1980’s. The WWFs were built to handle excessive sanitary flows during the wet season by providing partial treatment and chlorination of peak flows prior to discharge to the San Francisco Bay. The EBMUD lawsuit was followed by a separate suit by the EPA against each of the municipal entities that operate sewer collection systems discharging to the EBMUD system. Alameda was named in the second lawsuit, along with the other dischargers including Albany, Berkeley, Emeryville, Oakland, Piedmont and Stege Sanitary District (collectively, the Satellites).
The EPA case against the Satellites was legally based on allegations of “unpermitted” discharges or SSOs. However, the primary objective was not related to SSO enforcement, but rather to ensure that an aggressive program to reduce WWFs in the sewer system would be carried out by the Satellites. The lawsuits were combined and settled with the terms of the settlement codified in Final Consent Decree for Case Nos. C09-00186 and 09-05684.
DISCUSSION
In accordance with requirements of the Consent Decree, the City is upgrading existing sanitary sewer pump stations to limit public health impacts associated with SSOs and to improve reliability and safety. The pump stations to be renovated under this phase include:
• Pump Station #2: Catalina - 1849 Aughinbaugh Way
• Pump Station #10: Harbor Bay Parkway 1 - 1303 Harbor Bay Parkway
• Pump Station #16: Park Otis - 2130 South Shore Center Dr.
• Pump Station #22: Grand Otis - 1700 Grand St
• Pump Station # 24: Paru - 690 Paru St
• Pump Station #28: Cola Ballena - 1241 Ballena Blvd
• Pump Station #31: Marina Village - 713 Marina Village Pkwy
The renovation work includes installing permanent backup generators where needed, removing and replacing equipment, rehabilitating existing wet wells, construction of new manholes, replacing force and gravity mains at seven locations, installing multiple pumps, replacing motor controls, installing system control and data acquisition alarms, and other safety improvements to provide reliable power to operate the sewer delivery system and prevent SSOs in the event of power failure.
To solicit the maximum number of bids and most competitive price for this project, plans and specifications were provided to builder’s exchanges throughout the Bay Area and posted to the BPExpress website. A notice was placed on the City's website and published in the Alameda Sun on December 12, 2019. After a bidding period of 36 days, three contractors’ submitted bids, and the bids were opened on January 16, 2020. The bid results are as follows:
|
Bidder |
Location |
Base Bid Amount |
|
Mountain Cascade Inc. |
Livermore, CA |
$4,999,246.00 |
|
McGuire Hester |
Oakland, CA |
$5,059,968.00 |
|
Valentine Corporation Inc. |
San Rafael, CA |
$6,436,384.00 |
After reviewing the bids and contacting several references provided by the contractor, staff recommends awarding the contract to Mountain Cascade Inc. for the bid amount, plus a 15% contingency for a total amount of $5,749,133. The contractor is not guaranteed any of the contingency and its use will be at the sole discretion of the Public Works Director for work not originally anticipated in the specification. The specification also informed the successful bidder that they shall pay not less than the prevailing rate of per diem wages as determined by the Director of the California Department of Industrial Relations. This project also is subject to the City’s Project Stabilization Agreement. Construction of this project is expected to be complete by summer of 2021.
ALTERNATIVES
• Award the contract to Mountain Cascade Inc.
• Do not award this contract, putting the City out of compliance with the Consent Decree and subject to enforcement by the Environmental Protection Agency.
FINANCIAL IMPACT
The Sewer Pump Station Upgrades project (91008602) is included in the Capital Improvement Program and is budgeted in the Sewer Enterprise Fund (Fund 602). The project, including the budget revision as proposed in the mid-year update for the City Council action, has sufficient appropriations to cover the cost of contract. The City Manager will sign the contract only after City Council has approved mid-year budget updates. There is no impact to the General Fund.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
This action does not affect the Alameda Municipal Code.
ENVIRONMENTAL REVIEW
In accordance with the California Environmental Quality Act (CEQA), this project is Categorically Exempt pursuant to CEQA Guidelines Section 15301(b), Existing Facilities.
CLIMATE IMPACTS
The City’s sewer rehabilitation program seeks to limit public health impacts associated with SSOs, improve reliability and safety, and build resiliency. By both rehabilitating sewer pipe to reduce the excessive flows into the sanitary sewer system and updating pump stations for increased reliability, the sewer system is better prepared for the higher rainfall and groundwater associated with climate change.
RECOMMENDATION
Award a contract in the amount of $5,749,133, including contingency, to Mountain Cascade Inc. for construction of group 4 sewer pump station renovations for reliability and safety improvements project (91008602), No. P.W.08-17-37.
CITY MANAGER RECOMMENDATION
The City Manager recommends approval of the contract to the low bidder Mountain Cascade Inc. in the amount of $5,749,133. This is also maintains the City on a path of compliance with the EPA Consent Order.
Respectfully submitted,
Liam Garland, Public Works Director
By,
Robert Vance, Senior Engineer
Financial Impact section reviewed,
Elena Adair, Finance Director
Exhibit:
1. Contract
cc: Eric Levitt, City Manager