Title
Resolution to Approve Amendment No. 2 to Extend the Professional Services Agreement with Tetra Tech of Michigan, PC, for Water Treatment Professional Engineering Services ($200,000.00)
Memorandum
This memorandum and resolution requests approval of Amendment No. 2 to the professional services agreement for professional engineering services with Tetra Tech. Council approved a professional services agreement for $200,000.00 through FY 19 with Tetra Tech in July 2016 as part of Resolution No. R-16-214, and Amendment No. 2 in July 2017 as part of Resolution No. R-17-275 for $100,000.00.
The City is seeking to amend the professional services agreement with Tetra Tech to accommodate additional professional engineering service needs and extend the existing contract for an additional year, through FY20. The original task-based contract was effective FY17 through FY19. Tetra Tech is currently supporting Public Services on numerous projects within the Water Treatment Services Unit. As of the end of FY19, Tetra Tech has completed several projects, including East High Service Pump VFD Construction, South Industrial Tank Coating Design/Bid/Construction, Lime Residuals Lagoon Dredging Design/Bid and Northeast Pressure District Transient Modeling. Tetra Tech has demonstrated themselves to be experienced in a wide range of disciplines, responsive and cost effective in meeting those diverse needs on complex engineering tasks associated with the WTSU.
Additional professional engineering services are required to support the Water Treatment Services Unit (WTSU) with capital, operation, and maintenance projects at the Water Treatment Plant and associated facilities, dams, and hydroelectric generating stations and maintain the aggressive capital improvement project schedule through FY20. The requested amount was determined based on forecasted engineering services needs and work assignments.
Based on the ongoing capital needs, it is recommended that City Council approve Amendment No. 2 to the professional services agreement with Tetra Tech, to provide additional Professional Engineering Services for the remaining life of the contract, through FY20. As approved in Resolution, R-16-214, the City Administrator is authorized to take the necessary administrative actions to authorize two one-year renewals of this agreement.
Tetra Tech complies with the requirements of the City’s Conflict of Interest, Non-Discrimination and Living Wage ordinance.
Budget/Fiscal Impact: These engineering services are to be funded from the approved FY19 Water Supply System Operations and Maintenance budgets, Parks Maintenance and Capital Improvement Millage, the General Fund (Hydroelectric) operating budgets and FY19 capital budget, for which services are rendered. Services for FY20 will be funded from the operating budgets or capital budgets for these fiscal years if so approved by Council. Tasks will be assigned on as-needed basis to the appropriate fund.
Staff
Prepared by: Brian Steglitz, P.E., Water Treatment Plant Manager
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Howard S. Lazarus, City Administrator
Body
Whereas, The Water Treatment Services Unit is seeking to amend the Professional Engineering Services Professional Services Agreement with Tetra Tech to extend the duration of the contract to June 30, 2020 because professional engineering services will be necessary beyond the current Contract expiration date of June 30, 2019;
Whereas, The Water Treatment Services Unit is seeking to amend the Professional Engineering Services Professional Services Agreement with Tetra Tech because the contract balance is projected to be exhausted prior to the extended Contract expiration date of June 30, 2020;
Whereas, Continued professional engineering services are necessary to maintain the Water Treatment Services Unit capital improvement and maintenance project schedule;
Whereas, Additional funds are necessary to maintain the Water Treatment Services Unit capital improvement project schedule;
Whereas, Funding is available in the approved FY19 Water Supply System Operations and Maintenance budgets, Parks Maintenance and Capital Improvement Millage, the General Fund Operating Budgets (Hydroelectric) and FY19 Capital Budget;
Whereas, The Professional Engineering Services for FY20 will be funded the appropriate operating budgets for this fiscal year or approved capital budgets is so approved by Council; and
Whereas, Tetra Tech complies with the requirements of the City’s Conflict of Interest, Non-Discrimination and Living Wage ordinances;
RESOLVED, That the Amendment No. 2 to the Professional Services Agreement with Tetra Tech is approved in the amount of $200,000.00;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute Amendment No. 2 to 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 make 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;
RESOLVED, That the City Administrator be authorized to take the necessary administrative actions to implement this resolution; and
RESOLVED, That the funds be available for the life of the project(s) without regard to fiscal year until the Professional Service Agreement ends on June 30, 2020.