Title
Resolution to Approve Amendment No. 2 to the Professional Services Agreement with Tetra Tech, Inc. for Environmental Consulting Services at the Ann Arbor Landfill and to Appropriate Funds ($80,835.95) (8 Votes Required)
Memorandum
Attached for your review and approval is a resolution to approve Amendment No. 2 to the Professional Services Agreement with Tetra Tech, Inc. (TTI) (formerly known as Tetra Tech GEO, Inc.) and to appropriate funds from the Solid Waste Enterprise Fund Balance without regard to fiscal year in the amount of $80,835.95. The amended contract amount totals ($624,221.40). Amendment #1 in July of 2013 failed to incorporate a contingency and since the execution of Amendment #1, several tasks have required additional funds to complete. The requested amendment to the existing contract with Tetra Tech, Inc. will fund unanticipated costs for various additional tasks associated with the continued monitoring and maintenance of the Ann Arbor Landfill, and reinstate a $30,000.00 contingency.
Budget/Fiscal Impact
Funding for this amendment is available in the unrestricted Solid Waste Fund, fund balance. Use of reserves will reduce the balance to $11,427,900.05. Use of the reserve will not impact operations; however, may reduce available funding for future capital needs. It is necessary to contract this work, as the City does not possess the necessary equipment and lacks the staff with the necessary technical expertise to perform this work.
To satisfy the requirements of the Michigan Department of Environmental Quality (MDEQ), the groundwater and air in the vicinity of the landfill must be sampled and analyzed quarterly.
To select the most qualified environmental consulting firm to assist the City with the monitoring and maintenance of the Ann Arbor Landfill, a request for proposals was posted to the Michigan Inter-governmental Trade Network (MITN) BidNet® website in March of 2012. In response to our request, fourteen environmental consulting firms submitted proposals to perform the work. A selection committee comprised of City staff reviewed and selected four firms to interview. After Interviews were conducted, TTI was selected as the most qualified consulting firm based on their previous work experience, their proposed work plan, their competitive fee schedule and their interview.
For many years the landfill has had a plume of 1, 4 Dioxane and Vinyl Chloride contamination offsite primarily in Southeast Area Park, northeast of the landfill. A slurry wall was constructed along approximately 4/5th of the boundary of the landfill to eliminate groundwater passing through the landfill and three purge wells were used to attempt to capture the offsite contamination. The contamination at the site is well understood and completion of several of the tasks below will result in reduced future operating costs to the Solid Waste Enterprise Fund.
Tasks with unanticipated costs associated with this amendment are as follows:
Task 1: Offsite Remedial Action Plan & Coordination with MDEQ ($45,055.00)
This task includes the preparation of a presentation of the draft offsite Remedial Action Plan (RAP) to the Michigan Department of Environmental Quality (MDEQ) Remedial Action Team (RAT), prior to the submittal of the offsite RAP for final review and approval.
Unanticipated costs under this task include:
Developing a technical memo for the MDEQ to clarify regulatory questions after the Remedial Action Team review.
Developing a well abandonment plan as requested by the MDEQ.
Developing a cost analysis for the MDEQ.
Additional drilling and sampling on offsite properties to further delineate the vinyl chloride impacts and ultimately reduce the number of Restrictive Deed Covenants required of the city.
Developing additional cross-sections for the MDEQ.
Additional costs associated with coordinating with MDOT on the Environmental License Agreement required by MDEQ as part of the RAP.
Additional costs incurred to reach out to neighboring property owners to discuss the MDEQ required Restrictive Deed Covenants.
Task 4: North Side Methane Collection System (NSMCS) Maintenance, Industrial User Permit and Lillie Park Sampling ($3,494.95)
This task includes the completion and submittal of the Industrial User Permit inspection forms for City of Ann Arbor Wastewater Treatment Plant. Unanticipated costs under this task include additional grab sampling to demonstrate that composite sampling is not required and reduce future sampling costs.
Task 6: Gas-to-Energy Generator - Resizing and Recosting Estimate ($2,286.00)
This task includes the review of gas curves and system data. In addition, a site visit to inspect the equipment will be required. The Consultant will provide options for continuing methane recovery with associated budgetary costs.
The gas-to-energy system has had a number of significant failures leading to the blower system not operating and landfill methane building up in the landfill. Unanticipated costs include working with Landfill Energy Systems to review equipment maintenance procedures and weekly methane sampling to insure that methane levels are being monitored and stay below action levels. Most recent sampling show levels below action levels.
Contingency: $30,000.00
The City submitted a final RAP to MDEQ in March of 2013, and coordination with the State is ongoing.
Tetra Tech, Inc. received Human Rights approval on June 10, 2013 and complies with the living wage ordinance.
Staff
Prepared by: Nicholas Hutchinson, P.E., City Engineer
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Steven D. Powers, City Administrator
Body
Whereas, Tetra Tech was selected as the most qualified consulting firm based on their previous work experience, their proposed work plan, their competitive fee schedule and their interview;
Whereas, On July 2, 2012, the City entered into an agreement with Tetra Tech, Inc. (formerly known as Tetra Tech GEO, Inc.) in the amount of $364,790.00 for three years to provide professional environmental consulting services at the Ann Arbor Landfill;
Whereas, Tetra Tech, Inc. submitted a proposal under Amendment #1 to provide additional environmental services requested by the City for a new total contract amount of $543,386.00;
Whereas, Several tasks under Amendment #1 require additional funds to complete because of unanticipated requests from the MDEQ and unanticipated monitoring and coordination associated with the Remedial Action Plan and Industrial Use Permit with the City’s Wastewater Treatment Plant;
Whereas, Tetra Tech, Inc. has demonstrated the required experience, qualified professionals, and competitive fee schedule for the required services;
Whereas, Adequate funds to cover the cost of this amendment are available in the Solid Waste Enterprise Fund Balance; and
Whereas, Tetra Tech, Inc. received Human Rights approval on June 10, 2013 and complies with the Living Wage Ordinance;
RESOLVED, That the City Council approve Amendment No. 2 to the Professional Services Agreement with Tetra Tech, Inc. in the amount of $80,835.95;
RESOLVED, That $80,835.95 be appropriated from the Solid Waste Fund Balance, to be available without regard to fiscal year;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute said amendment after approval as to substance by the City Administrator and approval as to form by the City Attorney; and
RESOLVED, That the City Administrator be authorized to take the necessary administrative actions to implement this resolution.