Title
Resolution to Approve Amendment No. 2 to the Professional Services Agreement with Tetra Tech of Michigan, PC, for Water Treatment Professional Engineering Services ($200,000.00 increase, total contract $1,250,000.00)
Memorandum
This memorandum and resolution requests approval of Amendment No. 2 to the professional services agreement for professional engineering services with Tetra Tech of Michigan, PC (Tetra Tech). Council approved a professional services agreement for $500,000.00 through FY23 with Tetra Tech in June 2020 as part of Resolution No. R-20-168, and Amendment No. 1 in April 2022 as part of Resolution No. R-22-106 for $550,000.00.
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 FY24. The original task-based contract was effective FY21 through FY23. Tetra Tech is currently supporting Public Services on numerous projects within the Water Treatment Services Unit (WTSU). As of the November of FY 2023, Tetra Tech has completed the Filter Backwash Improvements design and construction phase, Control Room Air Handling Unit Replacement design and construction phase (HVAC Improvements Phase I), Bleach Tank Replacement design phase, and Floc Drain Replacement design and bidding phase. Tetra Tech continues to provide engineering services on Gelman Basement Sampling, Sentinel Monitoring Wells, General 1, 4-Dioxane services, Midtown Booster Station evaluation, Phase I Environmental Site Assessment, and Bleach Tank Replacement Design. In addition, Tetra Tech continues to provide on-site construction inspection and administration support on the 2018 Architectural and Structural Repairs construction phase, Filter Pipe Gallery Coating project, SCADA Upgrades, HVAC Improvements Phase II, Bleach Tank Replacement as well as miscellaneous maintenance projects. 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. Tetra Tech’s longevity and experience in providing support on projects and assistance to the City as described makes them indispensable as partners in continuing this work.
Additional professional engineering services are required to support the Water Treatment Services Unit with capital, operation, and maintenance projects at the Water Treatment Plant and associated facilities in order to maintain the aggressive capital improvement project schedule through FY24. The requested amount was determined based on forecasted engineering services needs and work assignments.
Based upon the remaining 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 FY24.
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 FY23 Water Supply System Operations and Maintenance budget, Parks Maintenance and Capital Improvement Millage, the General Fund operating budget and FY23 Capital Improvement Budgets, for which services are rendered. Engineering services in FY24 will be funded from the subsequent annual Operating and Capital Budgets if approved by City Council. Tasks will be assigned on as-needed basis to the appropriate fund.
Staff
Prepared by: Glen Wiczorek, Senior Utilities Engineer
Reviewed by: Brian Steglitz, Public Services Area Administrator
Approved by: Milton Dohoney Jr., City Administrator
Body
Whereas, The Water Treatment Services Unit is seeking to amend the Professional Engineering Services Professional Services Agreement with Tetra Tech of Michigan, PC because the contract balance is projected to be exhausted prior to the Contract expiration date of June 30, 2023;
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 and maintenance project schedule;
Whereas, Funding is available in the approved FY23 Water Supply System Operations and Maintenance budget, Parks Maintenance and Capital Improvement Millage, the General Fund Operating Budget (Hydroelectric) and FY23 Capital Budgets;
Whereas, The Professional Engineering Services for FY24 will be funded by the appropriate operating budgets for this fiscal year or approved capital budgets if so approved by Council; and
Whereas, Tetra Tech of Michigan, PC complies with the requirements of the City’s Conflict of Interest, Non-Discrimination and Living Wage ordinances;
RESOLVED, That City Council approve Amendment No. 2 to the Professional Services Agreement with Tetra Tech of Michigan, PC in the amount of $200,000.00 for Water Treatment Professional Engineering Services;
RESOLVED, That the Mayor and City Clerk are authorized and directed to execute the amendment 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;
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, 2024.