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File #: 07-0683    Version: 1 Name: 12/17/07 - Lime Feed Sys CDM of Michigan
Type: Resolution Status: Passed
File created: 11/19/2007 In control: City Council
On agenda: 12/17/2007 Final action: 12/17/2007
Enactment date: 12/17/2007 Enactment #: R-07-606
Title: Resolution to Approve Professional Services Agreement with CDM Michigan Inc. for the Lime Feed System Improvements Project ($523,163.00)
Attachments: 1. CDM Lime Feed PSA.doc
Title
Resolution to Approve Professional Services Agreement with CDM Michigan Inc. for the Lime Feed System Improvements Project ($523,163.00)
Memorandum
This memorandum and resolution request approval of the professional services agreement with CDM Michigan Inc. to provide professional engineering services for design and construction of the Lime Feed System Improvements Project at the water treatment plant (WTP).  This project is included in the approved FY08-13 Capital Improvements Plan and was approved by Council as part  of the FY08 capital budget process.
 
This project includes replacing three lime slakers and modifying the associated lime storage bins. The existing lime slakers are in poor condition and were identified during the WTP Facilities Master Plan - 2006 as one of the highest priority capital improvements.  The lime slakers are some of the most critical pieces of equipment at the WTP.  Without operating slakers, the treatment process is ineffective and the WTP would not be able to meet state drinking water standards.  A second critical component to this project is to evaluate and design alternatives to address safety concerns associated with the existing lime bins.  The WTP has experienced several lime slides of varying degrees over the past 5 years that have caused minor injury to staff and damaged lime slaking and other equipment in the vicinity.  Modifications to the bins will be evaluated to eliminate the occurrence of these events.  Finally, this project will evaluate, but not design at this time, the capabilities of the WTP to produce a softer water and/or water with a more consistent level of hardness year round.  The public engagement component of the Facilities Master Plan - 2006 indicated an interest by water customers to receive softer water.  The Consultant, as part of this project, will continue to explore this desire by water customers and determine the costs and benefits of implementing treatment changes to reduce the hardness in delivered water.  The results of this study will be summarized and shared with Council for their consideration.
 
The WTP issued a Request for Proposal (RFP) in August 2007 and received three proposals.  Based on the criteria identified in the RFP, the proposal evaluation committee selected CDM Michigan Inc. as the most qualified firm to provide the services requested.
 
It is therefore recommended that the proposal from CDM Michigan Inc. be accepted, and that the Professional Services Agreement with CDM Michigan Inc. in the amount of $523,163.00 be approved to provide design and construction services for the WTP Lime  Feed System Improvements Project.  Your approval is also requested for a contingency of $50,000.00 for change orders to the contract with CDM Michigan Inc. to be approved by the City Administrator.
 
CDM received Human Rights approval on April 24, 2007, and complies with the living wage ordinance.
 
The construction portion of this project will be separately bid after completion of the design. An engineer's estimate for the cost of construction will be prepared at the completion of the detailed design.  Upon receipt and subsequent evaluation of bids, a resolution will be prepared requesting Council approval of the construction contract.
 
The funds for this project were approved as a part of the FY08 Capital Budget process and are to be advanced from the Water Supply System Operating Fund Balance to be repaid pending the sale of water revenue bonds.
Staff
Prepared by:            Brian Steglitz, P.E., Sr. Utilities Engineer, WTP
Reviewed by:            Sue F. McCormick, Public Services Administrator
Approved by:            Roger W. Fraser, City Administrator
Body
Whereas, The Water Treatment Plant uses lime to soften water;
 
Whereas, It is necessary to complete the Lime Feed System Improvements Project to replace three lime slakers that are in poor condition and can no longer be repaired, and to address safety concerns associated with the existing lime storage facilities at the Water Treatment Plant;
 
Whereas, The Lime Feed System Improvements Project was approved by Council as a part of the FY08 Capital Budget process;
 
Whereas, The Lime Feed System Improvements Project is identified as urgent in the approved FY 2008 to 2013 CIP;
 
Whereas, Of the three firms that submitted proposals, CDM Michigan Inc. submitted a proposal in the amount of $523,163.00 and was selected as the most qualified firm to provide the services requested; and
 
Whereas, CDM has received Human Rights approval on April 24, 2007, and complies with the living wage ordinance;
 
RESOLVED, That Council accept the proposal and approve the professional services agreement with CDM Michigan Inc. in the amount of $523,163.00 to provide professional engineering services for the Lime Feed System Improvements Project;
 
RESOLVED, That Council approve a contingency to the professional services agreement with CDM Michigan Inc. in the amount of $50,000.00 to finance change orders to be approved by the City Administrator;
 
RESOLVED, That the Mayor and City Clerk are authorized and directed to execute the professional services agreement after approval as to substance by the City Administrator and approval as to form by the City Attorney;
 
RESOLVED, that the City makes the following declaration for the purpose of complying with the reimbursement rules of Treas. Reg. 1.150-2 pursuant to the Internal Revenue Code of 1986, as amended, that the City reasonably expects to reimburse itself for expenditures for the costs of the Project with proceeds of Bonds; and
 
RESOLVED, That funding for this project was approved in the FY08 Capital Projects Budget and are to be advanced from the Water Supply System Operating Fund Balance to be repaid pending the sale of water revenue bonds.